Interview
Is buy-to-let a good retirement strategy? Check out these pros and cons
September 2026
6 mins
Many people hope to build a stable source of income for retirement by buying a property to rent out. But is being a landlord really as easy as it sounds? In this episode of Life Talk, we sit down with Manci, who has 13 years of experience buying, selling, and investing in property. She shares the realities of being a landlord, from tenants who don't pay rent, to costly repairs, to the risks of fluctuating interest rates and property prices, and what these mean for retirement planning.
Key Highlights
- Many people see buying property to rent out as part of their retirement plan, hoping to rely on rental income for steady cash flow after retirement. However, once you actually become a landlord, you often face any unexpected situations. Manci shares that she once encountered a tenant who didn't pay rent for months, and she eventually even had to resolve the issue through legal action and bailiffs.
- Beyond tenancy issues, Manci also points out that property maintenance is an expense that’s easily overlooked. For example, building facility upgrades or repairs may require landlords to pay a large lump-sum amount. Expenses like these can throw off a retiree's budget.
- In addition, property investment comes with risks like mortgage rate fluctuations, rises and falls in property prices, and scenarios like “earning rent but losing on the property value”. Even with rental income, it doesn’t necessarily mean the overall investment will be profitable. Therefore, if you plan to use property as part of your retirement planning, you’ll need to set aside more sufficient funds and balance risks against cash-flow needs.
- According to the HSBC Retirement Monitor Index Q1 2026, a retired couple aged 65-79 may need around HKD15,000 per month for basic living expenses, or up to HKD33,000 per month for a more comfortable lifestyle, which might be higher than many expect.
- Manci adds that besides property and stock investments, she also diversifies through annuities and retirement insurance plans to build a more stable long-term retirement planning.
- The HSBC Bright Income Insurance Plan offers a non-guaranteed monthly dividend*, giving you potential cash flow for retirement. After premiums are fully paid, the non-guaranteed monthly income may be paid to the life insured up to Age 99, without reducing the guaranteed portion of the policy value. Unlike renting out property, there’s no need to worry about tenants, repairs, or vacancies, and you can even change the life insured, making it easier to plan for passing on wealth in the future.
*The Monthly Dividend payout rate under HSBC Bright Income Insurance Plan is determined under current assumed investment return and is nonguaranteed. The actual amount payable may change from time to time such that the nonguaranteed Monthly Dividend might be higher or lower than those illustrated in the benefit illustration. Under circumstances, the nonguaranteed Monthly Dividend might become zero.
You may be interested in
6 mins
Understanding the Fulfilment Ratio: A Smarter Way to compare insurers
When buying insurance, most people focus on the return of the policies – but is the “projected return” shown in the proposal reliable? In this episode, we take to the streets to answer some of the most common questions in the market, and shine a light on one critical, yet often overlooked metric: Fulfilment Ratio. Understanding it could make all the difference in choosing the right insurer.
6 mins
Ask me anything: Debunking Insurance Myths x 6
Insurance raises many questions: Can you trust projected returns? Will your money be locked away? Why should you buy medical insurance early? In this episode of Life Wisdom Show, we tackle the most common misconceptions head-on.
6 mins
How do “Astronaut Families” balance career and family across borders?
In recent years, some families have chosen to live across borders, with one parent working in Hong Kong while the rest of the family lives overseas. In this episode, we speak with Isaac, an astronaut parent, about the realities of living apart, how to maintain family relationships, and the psychological and financial preparation required.
Find the coverage you need
Disclaimer
HSBC Life (International) Limited (incorporated in Bermuda with limited liability) ("HSBC Life", "the Company", "we" or "us") is authorised and regulated by the Insurance Authority of the Hong Kong SAR to carry on long-term insurance business in the Hong Kong SAR. The Hongkong and Shanghai Banking Corporation Limited ("HSBC") is registered in accordance with the Insurance Ordinance (Cap. 41 of the Laws of Hong Kong) as an insurance agency of the Company for the distribution of life insurance products in the Hong Kong SAR. Policyholders are subject to the credit risk of HSBC Life and early surrender loss. For eligible disputes (as defined in the scope and jurisdiction of the Financial Dispute Resolution Centre under the Financial Dispute Resolution Scheme) arising between HSBC and you out of the selling process or processing of the related transaction by HSBC, HSBC will enter into a Financial Dispute Resolution Scheme process with you. Any disputes arising from the terms, conditions and provisions of the abovementioned insurance policies will be resolved directly between you and the Company. The insurance plans are not a bank deposit or bank savings plan. For detailed information on the insurance products offered by HSBC Life, please visit the insurance section of the HSBC website or any HSBC branch. The life insurance plans are products of the Company but not HSBC, underwritten by the Company and is only intended for sale through HSBC in the Hong Kong SAR.
The information shared in this material is for general reference and for illustration only. It is not intended to constitute a recommendation or advice to any person or to be the basis for any financial decision. No person should act on any information in this material without seeking independent professional advice. If you have any questions about the contents of this material, you should seek professional advice from independent parties. Under any and all circumstances, HSBC Life and HSBC Group shall not be liable for any damages, losses or liabilities, including but not limited to direct or indirect, special, incidental, consequential damages, losses or liabilities, in connection with your or any third party’s use of this material or your reliance on or use of or inability to use the information contained in this material. All speakers’ opinions are provided by the speakers for reference only. They are not intended to constitute any recommendation or advice to any persons or to be the basis for any financial decision. The opinions expressed are those of the speakers and do not represent the views of HSBC Life and HSBC Group. HSBC Life and HSBC Group shall not be liable for any acts or opinion of any third parties. HSBC Life and HSBC makes no guarantees, representations or warranties and accepts no responsibility or liability as the accuracy or completeness of the information in this material. Information in this material is subject to change without notice.
HSBC and HSBC Life does not intend to give any legal, medical, legacy planning or professional advice, and will not give any legal, medical, legacy planning or professional advice. Please seek independent advice from your own independent advisor when necessary.
The information in this material does not constitute an offer for the purchase or sale of any banking or insurance products or services. Products and services are subject to individual needs. This material should not be reproduced or further distributed to any person or entities, whether in whole or in part, for any purpose.
© Copyright. HSBC Life (International) Limited. All rights reserved.
Search Filter
Date
Category
Format