A leaseback, also known as a sale-leaseback or sale and leaseback, is a transaction wherein the owner /seller of a property sells the property to an investor (Buyer) and then leases it back from the investor. In this type of property, there are is an agreement between buyer and seller allowing seller/owner to lease back the property at a future date, when it is comfortable to buy back for the seller. A Lease back will allow you to stay in your home and repurchase it at a future time when you can afford it. The type of property can be anything, right from residential or commercial real estate to equipment and vehicles.
A sale-leaseback is beneficial to both the buyer and seller alike. The seller gets a lump sum of cash quickly, while the buyer acquires a long-term lease property, that too at a lower than market price. Companies use a lease back property as a way to quickly raise up their capital and achieve a number of their other corporate objectives such as paying debt, funding growth, acquiring other business, or reinvesting their money into the current operations. This type of property can provide the seller with additional tax deductions. This is one of the most lucrative investment options that yield high return. But then there may be some associated risks and must be careful while investing in such assets.
Over the years, the sale-leaseback property has become very popular in the United States and many European countries across the world. Many businesses and individuals have realized the benefits of investing in such properties and this is perhaps the reason why most of the investors tend to choose this type of investment, when it comes to investing their hard-earned money in the commercial real estate. To know more about lease properties, just visit internet and extract all other details necessary for you.