Your search results

Three Singaporeans Share Their Experiences of Co-Owning a Property with Friends

Posted by Jayson Ang on March 18, 2025

| 0

TLDR

In Singapore, some individuals venture into property investments with unrelated partners, driven by opportunities and personal circumstances. Jim, leaving finance during the 2009 crisis, invested in real estate with an ex-colleague, turning an old apartment into a bed-and-breakfast. They maintain a stable business relationship, focusing on shared goals. John, unable to buy an HDB flat as a Malaysian, co-purchased a flat with a childhood friend, valuing trust despite potential financial disagreements. Sarah co-owns a condo with a family friend seeking Singaporean investment, balancing personal needs with co-owner expectations. These stories highlight unique co-ownership dynamics and the importance of clear financial boundaries and roles. For potential buyers or sellers, understanding personal goals and market conditions is crucial, with strategic advice aiding in navigating Singapore’s real estate landscape.

Most people buy homes with family or partners. However, some Singaporeans have bought properties with unrelated individuals, sometimes as business ventures. Here are some interesting co-owners and their experiences in investing together:

1. Investing together in a property with an ex-colleague

Jim left his job with a colleague in 2009, at the height of the Global Financial Crisis. Luckily, they left the finance industry just before the worst hit, so they were largely unaffected.

“We both had some savings but weren’t sure about investing in stocks. We expected some unexpected events to happen. However, I have always been passionate about hotels, casinos, and hospitality, even though I didn’t have the money to invest in that.”

Jim lacked the funds to start a boutique hotel, his ultimate goal, but he and his colleague spotted a chance in real estate. They bought an old walk-up apartment in Siglap and renovated it to resemble a bed-and-breakfast Jim had visited while travelling.

Jim prefers not to share too much detail but mentions he and his former colleague have “almost equal shares” in their property unit. There was a plan to buy out his colleague’s share later, but this has not happened, and they remain co-owners.

He notes a few disputes over the years, which were resolved amicably. He believes their relationship is more stable than that of family co-owners. He explains, “We have had disagreements about agents and problem tenants, but it’s positive. We’re less likely to argue than parents with children or spouses because we treat it as a business with shared goals and limited emotional involvement.”

For instance, they handle the property loan by letting his more experienced colleague manage refinancing, while Jim stays updated on changes. He thinks this structured approach is better than informal arrangements, where partners might not understand each other’s roles.

However, Jim believes arrangements like theirs are less common now due to discouragement of property investment by ABSD and the difficulties of financing compared to the past.

2. Purchasing with a childhood friend

In 2011, John bought a two-bedroom flat in Telok Blangah with a childhood friend. They both needed a place to stay since John, being Malaysian, couldn’t buy an HDB flat, and she was struggling to get her permanent residence.

Despite concerns from his family and property agent about potential issues, such as her not paying her share, John chose to trust her because of their long history. They decided on tenancy-in-common, meaning each owned a percentage of the flat and could sell their share independently. John’s share would go to a family member if he passed away, though he prefers not to discuss his legacy plans.

Over 13 years, they had only one major disagreement over renovation costs. His friend wanted to spend over $50,000, which John thought was excessive. He found a cheaper contractor, but she insisted on her friend’s cousin. Eventually, they reached an agreement where John accepted the higher cost in exchange for covering less of the renovation expenses.

John believes it’s important to set clear financial boundaries since one person might be more willing to spend than the other.

3. Sharing a property with a family friend

Sarah bought her first property, a condo, with help from her parents and a family friend. The friend, who had worked with Sarah’s mum in Japan, wanted to invest in Singapore but needed someone to manage the property while living abroad. Sarah was looking for a place too, so they decided to co-own a unit at The Minton around 2010, just before new taxes were introduced.

Initially, Sarah’s parents were hesitant due to concerns about repayments and safety since she would be living alone with tenants. They also worried about her inability to buy an HDB flat afterwards.

While there have been some issues with her co-owner regarding the property’s condition, Sarah feels fortunate overall. Many of her peers couldn’t afford private property at current prices, and her investment has appreciated. However, she finds the arrangement stressful, particularly when needing to make compromises to maintain good relationships with her co-owner and mother.

You can’t buy an HDB flat if you own a private property, but this isn’t permanent. You can buy a flat if you sell your private property within six months. From 2024, there’s a temporary waiting period: you must wait 15 months after selling a private property to buy a resale flat, unless you’re 55 or older and moving into a 4-room or smaller flat.

Should You Buy, Sell or Wait?

If you’re reading this, you must be trying to figure out the best course of action right now: is it the right time to buy or sell?

It’s difficult to give an exact answer since everyone’s situation is unique and what works for one person may not necessarily work for you.

I can bring you a wealth of on-the-ground experience and a data-driven approach to provide clarity and direction. From beginners to experienced investors, our top-down, objective approach will help you on your real estate journey.

I can help you by:

Offering Strategic Real Estate Advice – I can help create a comprehensive plan to guide you through your property journey.
Connecting Your Home with the Perfect Buyers – Through stunning visuals, an effective communication strategy, and an in-depth knowledge of the market, we’ll ensure your home is presented in the best possible way to fulfill your goals.

You May Also Like …

Mandarin Top 5

Top 5 Things to Do in Singapore on a Rainy Day

Jayson Ang – March 24, 2024 –

Singapore, the beautiful island city-state, is known for its sunny weather and stunning attractions. However, even in this tropical paradise,...

Mandarin Top 5

Top 5 Reasons : Why Do Singaporeans Still Flood The Property Market?

Jayson Ang – November 17, 2024 –

Singapore's property market has been a hot topic of discussion for many years, with its resilience and growth attracting both...

Mandarin Top 5

Top 5 Dim Sum Restaurants in Singapore

Jayson Ang – May 14, 2024 –

Dim sum, a popular culinary delight that originated from China, has made its way into the hearts and taste buds...

Mandarin Top 5

Top 5 Thai Restaurants in Singapore

Jayson Ang – June 24, 2024 –

Singapore, a melting pot of cultures and cuisines, is a food lover's paradise. Among the myriad of dining options available,...

Mandarin Top 5

Top 5 : Benefits of Investing in Newer vs. Older Singapore Property Market Condos for International Buyers

Jayson Ang – January 4, 2025 –

Singapore's property market has always been an attractive investment option for international buyers, thanks to its stable economy, strategic location,...

Mandarin Top 5

Top 5 Dessert Places in Singapore

Jayson Ang – July 2, 2024 –

Singapore, a melting pot of cultures and culinary delights, is known for its mouth-watering food scene. From hawker centers to...

All Buying Tips

Is 2024 the Perfect Moment to Refinance Your Home Loan? Discover What Homeowners Should Consider!

Jayson Ang – July 20, 2024 –

TLDR The article covers the shift to SORA for home loan rates, urging consideration of refinancing options amidst rising rates....

Mandarin Top 5

Top 5 Must-Try Foods in Singapore

Jayson Ang – July 12, 2023 –

Top 5 Must-Try Foods in Singapore Singapore, a melting pot of cultures and cuisines, offers a diverse and tantalizing array...

All Blog Posts Buying Tips

5 Disastrous Property Transaction Nightmares (and How to Avoid Them)!

Jayson Ang – April 20, 2023 –

TLDR When attempting to sell your property, various worst-case scenarios can hinder the sale process significantly. These scenarios include buyers...

Mandarin Top 5

Singapore Sights & Sounds: 5 Must-Know Facts From the Little Red Dot

Jayson Ang – March 7, 2025 –

Singapore, affectionately known as the Little Red Dot, is a vibrant city-state in Southeast Asia that boasts a unique blend...

Mandarin Top 5

Top 5 Historical Landmarks in Singapore

Jayson Ang – April 24, 2024 –

Singapore, a bustling cosmopolitan city-state, is known for its rich history and diverse cultural heritage. This small yet vibrant nation...

Buying Tips Mandarin Top 5

Sentosa’s Sizzling Property Market: 5 Reasons Chinese Investors are Flocking to Singapore’s Premier Island

Jayson Ang – June 20, 2023 –

Sentosa's Sizzling Property Market: 5 Reasons Chinese Investors are Flocking to Singapore's Premier Island Here are the top 5 reasons...

Mandarin Top 5

5 Reasons : Can Your Real Estate Investment Hedge Against Inflation?

Jayson Ang – September 10, 2024 –

Inflation is an economic phenomenon that can have a significant impact on an individual's financial well-being. As the cost of...

All Buying Tips Opinion

7 Frequently Overlooked Questions That New Condo Buyers Should Ask At The Showflat To Avoid Any Regrets In The Future!

Jayson Ang – January 29, 2024 –

TLDR Newly launched condominium buyers face uncertainties about price changes, proximity to schools, construction methods, maintenance costs, elevator availability, commercial...

All Blog Posts Buying Tips Top List

Expert Tips : Top Property Investment Strategies in Singapore

Jayson Ang – December 25, 2022 –

TLDR Singapore offers lucrative property investment opportunities with its stable economy and political climate. To succeed, investors should conduct thorough...