Co-living an emerging housing option for young adults, but affordability and familiarity concerns remain

Dr Tan Ern Ser, an adjunct principal research fellow at the Institute of Policy Studies (IPS), said that co-living could be a “third pathway” on the housing journey, but only as an interim arrangement until individuals become eligible for public housing.

“I see co-living as expanding the housing options of young adults until a time they marry or hit 35,” he said.

“After all, for instance, some students do enjoy dorm living. And this option may allow them to relive dorm living, which is not expected to be a long-term housing option. My sense is that some young adults may actually enjoy having a longer adolescence.”

Dr Tan said that beyond addressing the desire of youths to live independently, it also promotes a sense of community.

“Co-living may also facilitate social interaction, making friends, which could address the issue of some young people not having friends or perhaps even find a potential marriage partner,” he said.

Co-living facility operators said that tenants are drawn to their model due to the amenities, sense of community and also the duration of stay.

Mr Kelvin Lim, executive chairman and chief executive officer of Coliwoo, told CNA that his clients range mostly from 21 to 35, with tenants as young as 18 who are foreign students.

They typically stay for between six and nine months, and Coliwoo does not offer contracts of more than a year at a single stretch, he said.

“You don’t need to sign a very long lease, as opposed to a traditional rental, where you need to sign a one or two-year lease,” said Mr Lim, adding that the stay can be as short as one month.

Under rental rules, tenancies for HDB flats must be at least six months, and a minimum of three months for private residential properties.

Eco Energy general manager David Tan, whose firm runs the 1925 Quarters in Hindoo Road, said his facility draws mostly people in their 30s.