F
or years, my college friends have been locked in an iMessage chain about how to live closer together. We've mapped out our must-haves: affordable housing, good schools, yoga within walking distance, and nature nearby. However, coordinating careers, family commitments, and financing logistics was a logistical nightmare. The text chain fizzled out until the US surgeon general warned about isolated parents losing their minds.

    That's when I discovered Hot Friend Compounds, a concept that could make our dream a reality. Phil Levin, a 38-year-old Oakland resident with experience in co-living, has created Live Near Friends, a startup that helps friend groups buy homes together. Around 10% of San Francisco's housing units are vacant, offering opportunities for co-buying.

    Levin's résumé includes founding Culdesac, a car-free neighborhood builder, writing about co-living on Substack, and building Radish, an Oakland compound with 19 adults and 4 babies living in 10 homes. "Co-buying is a fantasy for friends, but it's hard to pull off," he said. Hot Friend Compounds aims to turn group-chat dreams into brick-and-mortar reality.

    The platform targets friend groups who want to buy homes together, particularly those with kids or planning to have them. A recent marketing email highlighted the desire for cluster apartments with friends nearby. Live Near Friends sources properties, including off-market exclusives, and provides financing guidance, tours, and introductions to lenders and legal specialists.

    Affordability is a key driver, with 44% of co-buyers motivated by skyrocketing home prices. Socialization also plays a significant role, with 19% of co-buyers prioritizing proximity to friends. San Francisco homes are being eyed as potential Hot Friend Compounds.

    The platform's interface makes it simple for friend groups to find properties that match their priorities. An algorithm matches them with San Francisco and East Bay properties, sourced from brokerage listings and Levin's personal network. You don't need to be "hot" to benefit; it's about living a better life with the strength of numbers.

    Levin's team provides personalized comments on property listings, highlighting features like ADU potential, size discrepancies, and proximity to playgrounds. The comments are refreshingly blunt, describing properties as "in the armpit of 580 and 80" or noting that a $6 million property might not need their help.

    Hot Friend Compounds is funded by $1.6 million from seed investors, including Banana Capital and Ritual Capital. In the long term, Live Near Friends hopes to earn revenue by acting as a brokerage. While there are other companies in the space, Levin's expertise in residential co-buying fills a gap in the market.

    A realtor specializing in multifamily properties notes that vacant duplex or triplex listings are hard to find on Zillow or Redfin. Hot Friend Compounds calls brokers and does the legwork to find available properties. The platform doesn't share listings when a property is full, prioritizing finding people homes over evicting others.

    A neuroscientist and founder of Haight St. Commons praises Hot Friend Compounds for providing tools to solve the coordination problem of living near friends in a nice way. Smaller buildings are easier to acquire, making them ideal for co-buying groups.