Case study: How co-buying helped Chris begin his property investment journey.

Background

Chris, a long-term FinancePath client of over 15 years, first approached us at age 28. At the time, Chris had a reasonably good-paying job early in his career but only $10,000 in savings. Renting in inner-city Melbourne and travelling overseas meant saving for a deposit felt impossible — especially 15 years ago when government support for first-home buyers was limited.

“I realised that I probably needed to start to plan for the future.”

The Challenge

The biggest hurdle was raising enough for a deposit. Chris wanted to enter the property market but didn’t believe it was possible with such limited savings. After meeting with FinancePath, new options came to light — including co-buying.

The Solution

Chris approached a friend in a similar financial position and suggested co-buying an investment property. Together, they identified a three-bedroom, two-bathroom apartment in inner-city Melbourne. To make it happen, Chris borrowed $5,000 each from his mum and sister, promising to repay with interest.

Before proceeding, they agreed on a clear, written plan:

• If either party needed funds or wanted to sell, the other had first right of refusal.
• If a buyout wasn’t possible, they would obtain an independent valuation and sell on the open market.

“Having a strong agreement in writing made it very, very clear to both of us before we proceeded. It kept the experience relatively stress-free.”

The Outcome

Seven years later, both had moved on, started families, and decided to sell. The property had performed well, delivering over $100,000 net return after capital gains tax. This windfall became the foundation for their owner-occupied homes.

“I don’t think I would ever have been able to save $100,000 independently. Co-buying gave me discipline and a purpose for saving as I focused on reducing the mortgage debt.”

Key Takeaways

• Clear agreements reduce stress: Written terms upfront made the process smooth and avoided disputes.
• Co-buying accelerates wealth creation: Chris leveraged shared resources to enter the market sooner.
• Financial discipline matters: Having a shared goal encouraged consistent savings and debt reduction.

Chris’s experience shows how co-buying can transform a challenge into an opportunity — with the right planning, advice, and communication.

FinancePath was there every step of the way to guide the process and ensure success.