#94: Buying Property with Friends: Pros & Cons, Risks, Challenges & Legal Tips

NOTG - Nuggets on the Go by PropertyLimBrothers

Jointly buying a property with a friend in Singapore can feel like a creative solution to rising prices—but is it the right move? In this second part of NOTG banter between George, Alexa, and Yong Zhun from PropertyLimBrothers, they explore the complexities of co-ownership, using buyer persona Laura’s journey as a case study. As a 37-year-old single HR manager earning S$8,500, Laura considers co-buying with a friend to navigate affordability challenges.

They break down essential considerations, from CPF utilisation and loan eligibility to the legal frameworks of Joint Tenancy and Tenancy-in-Common. George, Alexa, and Yong Zhun highlight how these structures affect ownership rights, exit strategies, and inheritance. Real-life examples illustrate the risks of misaligned expectations, from en bloc disagreements to personal changes like marriage or career shifts.

Stay tuned for insights into financial planning, and an analysis of how interest rate changes impact Singapore’s property market and how it may impact property buying with friends.

Time Stamps
00:00 Intro
00:38 Introduction of persona (Laura)
00:50 Persona profile
03:05 Rationale behind buying a home with a friend
05:50 Options for Laura
07:00 Concerns of buying with a friend
10:00 George's client case study
12:57 Concerns of buying with a friend (continued)
17:08 "Would you buy with a friend and is it worth it?"
20:43 Advice for Laura
22:20 Financial calculations for Laura
23:19 Advice for Laura (continued)
25:16 Non-landed Private Price statistics
26:18 Advice for Laura (continued)
27:18 Financial calculations for Laura (continued)
30:11 Property Recommendations for Laura
31:30 Financial calculations for Laura (continued)
33:44 How news and the media impacts buyer decisions
34:28 Article: Fed rate cuts during the "Great Recession."
35:28 Final thoughts and recap
36:57 Outtakes