Need advice on property investment with friend

[blissquek]

if you can find another thousand friends, it will be turned into a reit.

Ha Ha..that's a good one...so real life too....

 

[chootchiew]

She will take master bedroom and let you have store room

If this happens I will masturbate into her master bedroom

 

[krafty]

a suggestion that you can role-play from the store room to the kitchen.:o

If this happens I will masturbate into her master bedroom

 

[chootchiew]

if you can find another thousand friends, it will be turned into a reit.

Let's start a reit from SBF)

 

[chootchiew]

Generally speaking I follow this rule....if can afford then do it alone ....if cannot afford to do it alone then forget it. As the other guys have said, friendships can be destroyed.

I have seen many friendship into rock for running business. As business will have many variables and decisions to be made. But for investing a property I am really not sure. But seem like it is highly possible since many bros said the same. Or maybe it will not happen if either 1 party is a chin chai person.

 

[chootchiew]

It is like that, i heard single also gets less grant and pay more for the same BTO.

Jialat man, single is always at the least favorable even in office work leave application. PAP want to tekan singles.

 

[chootchiew]

a suggestion that you can role-play from the store room to the kitchen.:o

role play master and servant or landlord and tenant ?

 

[krafty]

japnese french maid will be nice...look to jap AV for creativity.:p

role play master and servant or landlord and tenant ?

 

[jw5]

You need a property for that. Samy Leong's mansion?

Let's start a reit from SBF)

 

[chootchiew]

You need a property for that. Samy Leong's mansion?

Samy Leong Mansion - hourly rate $10/hr condom available at vending machine

 

[Papsmearer]

Can a sinkie buy a condo with a friend ? Is it allowed by PAP law and what are the things I need to be aware of ? E.g. If I die what will happen to my share etc ? Or if my friend die, what will happen ? Anyone ever do this before ?

First and foremost, you have have to sit down and work out all the fine details with her. Especially regarding matters such as:

- Who will contribute how much money to the investment. i.e. how much will each partner inject in the venture. Be specific about this. Not only the downpayment has to be discussed to, but the legal fees, stamp duties, etc. Exactly how much will those be and how much will each partner put in, and when.

- Who will go to the bank for the housing loan? Will be a joint application? WIll there be one primarily applicant while the other is a guarantor? Or will one partner be totally silent and put the mortgage application under the other partner.

- How will the operations and management of the property be done? Do you need to set up an operationally account with the bank so that all rents and expenses can flow out of it? WHo will contribute to the initial funds in this account? Is this a joint account or a 2 to sign account? Who will be the accountant to do your taxes for this property at the end of the year? What will you do if there is a surplus in the account, or a deficit? What is the rule if cash injection is needed? Who will manage the property, get the tenants, take care of repairs, etc. Will you hire a property manager, or will one of you do it yourself? If one partner handles this part, willl the partner get compensated?

- What will happen if you decide to sell? Will there be a first right of refusal, so that one partner can be offered the share of the other partner first if he wants out. What will be the ownership structure be to hold this property? Will be a just 2 people owning it, or will you put it in a ltd private company?

There are many other questions you need to work out to. But the main things is that after you have decided all the issues, have a lawyer draw up a joint venture agreement, or a parntership agreement. If you set up a private ltd company to hold the condo, than you need to have these points incorporated in the articles and memo of incorporation. Once its in writing, then there is alot less possibility of misinterpretation and misunderstanding.

When i get into these arrangements, my 2 big fears is what if the partner gets divorced? Will the spouse come after this condo that I jointly own with him, as a communal property. Also, what happens if my partner is in debt, will creditors come after the investment property too sinc ehe owns half? There are ways to mitigate this, and you can talk to a lawyer about it. Its been a while, but I did set upn a trust once, in which I hold the shares of the property in trust for the trust, and hence did not actually legally own the property. The trust can have beneficiaries like your children or wife. Harder for creditiors and divorcing spouse to come after it. But its been a while since i have done this.

 

[chootchiew]

First and foremost, you have have to sit down and work out all the fine details with her. Especially regarding matters such as:

- Who will contribute how much money to the investment. i.e. how much will each partner inject in the venture. Be specific about this. Not only the downpayment has to be discussed to, but the legal fees, stamp duties, etc. Exactly how much will those be and how much will each partner put in, and when.

- Who will go to the bank for the housing loan? Will be a joint application? WIll there be one primarily applicant while the other is a guarantor? Or will one partner be totally silent and put the mortgage application under the other partner.

- How will the operations and management of the property be done? Do you need to set up an operationally account with the bank so that all rents and expenses can flow out of it? WHo will contribute to the initial funds in this account? Is this a joint account or a 2 to sign account? Who will be the accountant to do your taxes for this property at the end of the year? What will you do if there is a surplus in the account, or a deficit? What is the rule if cash injection is needed? Who will manage the property, get the tenants, take care of repairs, etc. Will you hire a property manager, or will one of you do it yourself? If one partner handles this part, willl the partner get compensated?

- What will happen if you decide to sell? Will there be a first right of refusal, so that one partner can be offered the share of the other partner first if he wants out. What will be the ownership structure be to hold this property? Will be a just 2 people owning it, or will you put it in a ltd private company?

There are many other questions you need to work out to. But the main things is that after you have decided all the issues, have a lawyer draw up a joint venture agreement, or a parntership agreement. If you set up a private ltd company to hold the condo, than you need to have these points incorporated in the articles and memo of incorporation. Once its in writing, then there is alot less possibility of misinterpretation and misunderstanding.

When i get into these arrangements, my 2 big fears is what if the partner gets divorced? Will the spouse come after this condo that I jointly own with him, as a communal property. Also, what happens if my partner is in debt, will creditors come after the investment property too sinc ehe owns half? There are ways to mitigate this, and you can talk to a lawyer about it. Its been a while, but I did set upn a trust once, in which I hold the shares of the property in trust for the trust, and hence did not actually legally own the property. The trust can have beneficiaries like your children or wife. Harder for creditiors and divorcing spouse to come after it. But its been a while since i have done this.

I Big gum sia to you papsmear . this piece of info is very detail. There are so much more that I was not aware of.

Was your investment a good one ?

Happy New Year to you !

 

[ginfreely]

Jialat man, single is always at the least favorable even in office work leave application. PAP want to tekan singles.

Only PAP treated singles like dirt. In msia, singles are allowed to buy their low cost and medium cost flats as long as they fit the income criteria.

To be more precise, PAP only treated Sporean singles like dirt, not allowed to buy HDB until aged 35 while allowing msian SPR siblings to buy HDB flats for longest time ever, only stopped in the recent years.

 

[Papsmearer]

I Big gum sia to you papsmear . this piece of info is very detail. There are so much more that I was not aware of.

Was your investment a good one ?

Happy New Year to you !

I speak from experience. Some investments very good and some had big difference with partners. But can say that win, I win big. Lose I lose small. SO, overall, the average is good. And Happy New Year to you to. U can PM me if you need specific questions. Will try to answer them.

 

[chootchiew]

Only PAP treated singles like dirt. In msia, singles are allowed to buy their low cost and medium cost flats as long as they fit the income criteria.

To be more precise, PAP only treated Sporean singles like dirt, not allowed to buy HDB until aged 35 while allowing msian SPR siblings to buy HDB flats for longest time ever, only stopped in the recent years.

I had 1 msian SPR friend with her sibling who had gained close to 1mil through the 15 over yrs of hdb flaw, and had since returned to msia for retirement .

 

[ginfreely]

I had 1 msian SPR friend with her sibling who had gained close to 1mil through the 15 over yrs of hdb flaw, and had since returned to msia for retirement .

Oh very common for msian SPR siblings to buy HDB flats in the 90s and 2000s. They see renting as waste of money and will buy HDB as soon as they can afford in their 20s. All made money of at least few hundred thousands for their retirement since then but don't expect a word of thanks from these people who see it as their entitlement.

Such an irony that single Singaporeans had to rent or buy expensive condo to have a roof over their head while these msian SPRs had an easy life buying cheap HDB to fund their retirement. Btw HDB was alot cheaper than condos in the 90s, i recall condo price was around 3 times that of HDB. Nowadays HDB prices have gone up alot and so the multiple has come down.

 

[JohnTan]

Not a good idea to invest so much money with a friend, even if he or she is your best friend. Have seen enough friendships end due to investments gone sour, or when both partners have differing views. Even when both parties start off with the same objective, one party can change view due to personal reasons.

 

[eatshitndie]

Not a good idea to invest so much money with a friend, even if he or she is your best friend. Have seen enough friendships end due to investments gone sour, or when both partners have differing views. Even when both parties start off with the same objective, one party can change view due to personal reasons.

well said! i will add to your points.