Cahootz is an online platform that allows investors to purchase fractional ownership in UK residential properties, making property investment more accessible and affordable. Eligible investors buy fractions in individual properties, earn income from rent, and any capital appreciation that may occur over the period in which they hold the fractions. Cahootz takes care of all the operating responsibilities.
Fractional investing is the process of investing in shares in a limited company which holds the legal title to a specific property. This shareholding entitles the owner to a proportional economic interest in the company such as rental income and any capital appreciation. Holding shares does not entitle the owner to live in the property or use the property for personal use.
Investing in property, like any investment, comes with risks, including the risk of market fluctuations and of property values decreasing. Cahootz also cannot guarantee that there will always be a buyer for fractions when investors want to sell. You are investing in property and as such you are exposed to all the risks that exist with respect to owning property. For example, vacancy periods where no rent will be paid or property prices falling for a period and therefore impacting the value of the property and therefore your fraction value. In addition, the property market is not a liquid market. Therefore, when it comes to selling your fraction, it may take some time to find a buyer.
Cahootz adds a one-off commission fee of 3% of the property purchase price to the cost of your fractions at the outset. We then charge an annual platform fee of 3% of the gross rent received which covers our cost of running the platform and maintaining the platform. We do not charge any platform fee while the property is vacant. And we do not charge a fee to you upon the sale of your fraction.
When you invest in fractions through the Cahootz platform, you are buying an ordinary share in an SPV that owns a single property. For instance, if you purchase 2% of the shares in the SPV, you would then be entitled to 2% of the economic interests of the property owned by the SPV, which may include income from rent and or property value appreciation.
No. Cahootz will manage all tenant interactions and will report these via your dashboard on the platform.
Our data hosting services are provided by Amazon Web Services (AWS) located in Ireland, and we employ technical measures to safeguard your data. However, we must acknowledge that transmitting information over the internet can be vulnerable to security breaches. Despite our best efforts to protect your personal data, we cannot guarantee the security of any data transmission to our website. This risk increases if you access the internet through an unsecured network. Once we receive your information, we take stringent measures and employ security features to prevent unauthorised access. We also encourage all users to enable two factor authentication of their account from their account settings to further provide additional security.
No, each investor is limited to one account on Cahootz. This is to prevent fraud and ensure compliance with regulatory requirements.
Cahootz is a web-based platform and is compatible with most modern devices and browsers. However, for the best experience, it is recommended to use the latest versions of Google Chrome, Mozilla Firefox, or Safari.
The investments that you make through Cahootz are not protected by the FSCS.
Cahootz does not offer any investment advice related to investing in property on our platform.
Once you are registered on the platform and have passed the investor appropriateness test, you will be able to invest in fractions of residential buy to let investment property. These fractions entitle you to receive the proportional amount of rental income and capital value derived from the specific property in question.
The investment amount you choose to invest is the total you pay and includes all the following:
The following expenses are taken directly out of the monthly rent that the property generates:
Depending on the properties you invest in, you will receive your proprtionate share of the rental income as a dividend either monthly, quarterely, or bi-annually.
A full breakdown of these costs for each property is shown on the platform.
Through your portfolio dashboard, you can see all the relevant information regarding the property, including the running costs, maintenance, and tenancy performance.
Cahootz takes care of all this and provides you with a clear view of exactly what is going on with your property at any given time.
The minimum amount you can invest from is £1,060.
Cahootz will arrange for an independent third-party valuation of each property after 5,6 and 7 years. At these points, you will have the opportunity to vote on whether to hold or sell the property and receive the proceeds from sale. Whilst you are free to try and sell your fractions privately at any time, or use our bulletin board twice yearly, there is no guarantee that anyone will buy your fractions, we do not offer a secondary market.
Your Cahootz property manager will arrange for the best and most cost-effective local agent to let and manage the day to day running of the property. These costs are clearly displayed in your property dashboard view.
Once you have answered the questionnaire, self certified under an investor category, and set up your account, we carry out an electronic identity verification process. This is an essential part of our due diligence process, and is something that’s required by the Financial Conduct Authority (FCA) for all customers.
Cahootz will subcontract the management, lettings and maintenance to local agents and service providers for each individual property in question.
The Cahootz privacy policy outlines how the platform collects, uses, and protects user data. It is recommended that you review the policy before creating an account on Cahootz.
If you experience technical issues with the Cahootz platform, you can contact Cahootz customer support for assistance. They may ask you to provide additional information about the issue, such as screenshots or error messages, to help diagnose and resolve the problem.
A fraction is one ordinary share in an SPV (Limited Company) that owns 100% of a specific property.
When you invest through Cahootz, your investment in property is made through a UK Limited Company called a Special Purpose Vehicle (“SPV”), which is established specifically for purchasing and holding the property. You own ordinary shares in the SPV that holds legal title to the property you have invested in.
Whilst you can sell your fractions privately at any time, Cahootz will arrange for an independent third-party valuation of each property after 5,6 and 7 years. If more than 50% of fraction holders vote to sell the property at the first (year 5) or second (year 6) valuation, then the property will be put on the market and sold. At the third valuation (year 7), the property will be put on the market and sold unless 100% of the fraction holders vote to keep the property, in which event the process will repeat.
This helps to provide investors with some certainty around the length of their investment alongside the flexibility to sell only when the market conditions are right.
For those looking to exit earlier, we also offer the ability to list your fractions on our bulletin board twice yearly (September and March).
To get started with Cahootz, investors must first create an account on the platform, confirm your investor categorisation and complete the client appropriateness questionnaire (a short set of questions with multiple choice answers designed to give us comfort that you understand the nature of the buy to let property investment, illiquidity and market risks of such and investment). There will then be a 24-hour cooling off period which you can use to browse properties and decide what could be interesting for you. Following this 24-hour period, investors can reserve fractions through their account subject to completing the necessary electronic identity verification checks.
You have 14 days from when you have made the commitment to invest in the fractions to request your money back.
An SPV stands for Special Purpose Vehicle. In the case of Cahootz, the SPV will be a UK limited company that will be established for the sole purpose of holding your property.
The Cahootz property manager works closely with the local appointed lettings and management agency to ensure care and maintenance is provided to the property on an ongoing basis.
To be eligible investors must be able to self-certify as either high net worth, sophisticated or restricted in accordance with the Financial Conduct Authority’s rules.
The rental yields quoted are provided for guidance purposes only and may or may not be achieved.
Investors will continue to own shares in the SPV which owns the property.
There are no restrictions on the number of properties you can invest in through the platform.
Cahootz does not provide tax advice to investors, and it is the investor's responsibility to report and pay any applicable taxes on their earnings.
No. The value of your investment, at any point in time, is derived from the underlying property in the SPV.
There are several costs that need to be added on to the list price of any property purchase including but not limited to, stamp duty, legal fees and in our case the Cahootz fee and contingency cash amount. The fraction price includes a proportional amount of these costs on top of the list price of the property.
As with all property purchases, Stamp Duty Land Tax (SDLT) is an amount payable to HM Revenue and Customs on the purchase of property or land in the UK. It is subject to change; for the most up-to-date information please refer to the UK Government guidance. When you purchase property through a Limited Company there is an additional 3% SDLT (the SDLT surcharge) due. On the sale of your shares in the SPV stamp duty will be payable at 0.5% of the consideration payable by the purchaser.
Cahootz provides regular updates on the properties through the investor dashboard, and investors can also stay informed about the property market through industry publications and news sources.
No. As part of the fraction purchase price we have included an amount that will be kept in the contingency cash account of the SPV. This will be kept at a minimum of four months’ rent and will be used to cover unforeseen circumstances. At the end of every twelve-month period, we will re-evaluate the cash reserve amount and top up, if necessary, from the rental proceeds.
No. The Cahootz property manager through the appointed local agent will arrange for appropriate tenants to rent the apartment.
The current or expected rental yield is calculated as the anticipated rent for current 12 month rental period, divided by the list price of the property, expressed as a percentage.
You decide when you want to sell your fractions, however, Cahootz does not offer a secondary market. In addition, property should be viewed as a long-term investment, in particular during the first few years where it is necessary for the recovery of transaction expenses such as stamp duty and legal fees.
Cahootz is initially offering newly built apartments on the platform. However, our intention is to expand this offering over the coming months and years.
No. Each apartment is 100% paid in cash collected from fractions investors.
Rental income is distributed to investors in the form of dividends from the SPV that owns the property. These dividends are net of operating costs of running the property and corporate tax payable by the SPV.
Cahootz cannot advise you on which properties to invest in. This is something you should take financial and investment advice on from your own financial advisor.
Cahootz will organise for the property conveyancing with all appropriate documentation, searches and surveys, to be carried out prior to you investing in the property. This will enable our solicitors to close the purchase of the property once 100% of the fractions in the property have been sold.
Cahootz will arrange for regular property valuations which will be displayed through your dashboard account on the platform. This will also show you a clear record of rental income paid and the performance of the property valuation.
Cahootz works with property developers who have a proven track record. You should review each of the developers independently before making any decision to invest in fractions. Cahootz does not make any investment recommendations.
Yes. You must complete a questionnaire and self-certification process before we can open an account for you on the platform.
The property manager at Cahootz through the local managing agent will arrange for the damage to be repaired and the costs will be covered from the contingency cash fund in the SPV bank account.
The Cahootz property manager together with the appointed local lettings agent will be doing everything possible to find new quality tenants for the property as quickly as possible. During the vacancy period, all maintenance and running expenses will be covered from the vacancy and contingency cash accounts in the SPV. Cahootz does not charge a platform fee during vacancy periods.
Once you pass our initial questionnaire and client take on-process, you are free to invest in fractions on the Cahootz platform, provided you are not a tax resident of the United States or Canada.
No, you cannot live in any property invested in through Cahootz
No. Each property investment is structured so they continue to operate even in the event that Cahootz is no longer operating. Each property is ring fenced in its own SPV and separate ownership structure.
Gross rental income paid by the tenants into the property SPV account is used to fund the running, maintenance, taxes and insurance, Cahootz platform fee, local letting agent’s fee, contingency top up, refurbishment fund and service of the property. Once the monthly costs, contingencies and corporate taxes are accounted for the net rental amount is paid out in the form of dividends to the relevant fractional investors.
Initially rent will accumulate in each SPV and be paid out as dividend to investors on an annual basis. You will have a record of monthly rental payments made and expenses incurred on each property via your individual dashboard.
Cahootz is an online platform that allows investors to purchase fractional ownership in UK residential properties, making property investment more accessible and affordable. Eligible investors buy fractions in individual properties, earn income from rent, and any capital appreciation that may occur over the period in which they hold the fractions. Cahootz takes care of all the operating responsibilities.
Once you are registered on the platform and have passed the investor appropriateness test, you will be able to invest in fractions of residential buy to let investment property. These fractions entitle you to receive the proportional amount of rental income and capital value derived from the specific property in question.
The investment amount you choose to invest is the total you pay and includes all the following:
The following expenses are taken directly out of the monthly rent that the property generates:
Depending on the properties you invest in, you will receive your proprtionate share of the rental income as a dividend either monthly, quarterely, or bi-annually.
A full breakdown of these costs for each property is shown on the platform.
Through your portfolio dashboard, you can see all the relevant information regarding the property, including the running costs, maintenance, and tenancy performance.
Cahootz takes care of all this and provides you with a clear view of exactly what is going on with your property at any given time.
A fraction is one ordinary share in an SPV (Limited Company) that owns 100% of a specific property.
When you invest through Cahootz, your investment in property is made through a UK Limited Company called a Special Purpose Vehicle (“SPV”), which is established specifically for purchasing and holding the property. You own ordinary shares in the SPV that holds legal title to the property you have invested in.
Whilst you can sell your fractions privately at any time, Cahootz will arrange for an independent third-party valuation of each property after 5,6 and 7 years. If more than 50% of fraction holders vote to sell the property at the first (year 5) or second (year 6) valuation, then the property will be put on the market and sold. At the third valuation (year 7), the property will be put on the market and sold unless 100% of the fraction holders vote to keep the property, in which event the process will repeat.
This helps to provide investors with some certainty around the length of their investment alongside the flexibility to sell only when the market conditions are right.
For those looking to exit earlier, we also offer the ability to list your fractions on our bulletin board twice yearly (September and March).
There are no restrictions on the number of properties you can invest in through the platform.
You decide when you want to sell your fractions, however, Cahootz does not offer a secondary market. In addition, property should be viewed as a long-term investment, in particular during the first few years where it is necessary for the recovery of transaction expenses such as stamp duty and legal fees.
Rental income is distributed to investors in the form of dividends from the SPV that owns the property. These dividends are net of operating costs of running the property and corporate tax payable by the SPV.
No, you cannot live in any property invested in through Cahootz
Fractional investing is the process of investing in shares in a limited company which holds the legal title to a specific property. This shareholding entitles the owner to a proportional economic interest in the company such as rental income and any capital appreciation. Holding shares does not entitle the owner to live in the property or use the property for personal use.
The minimum amount you can invest from is £1,060.
To get started with Cahootz, investors must first create an account on the platform, confirm your investor categorisation and complete the client appropriateness questionnaire (a short set of questions with multiple choice answers designed to give us comfort that you understand the nature of the buy to let property investment, illiquidity and market risks of such and investment). There will then be a 24-hour cooling off period which you can use to browse properties and decide what could be interesting for you. Following this 24-hour period, investors can reserve fractions through their account subject to completing the necessary electronic identity verification checks.
To be eligible investors must be able to self-certify as either high net worth, sophisticated or restricted in accordance with the Financial Conduct Authority’s rules.
Cahootz does not provide tax advice to investors, and it is the investor's responsibility to report and pay any applicable taxes on their earnings.
Cahootz provides regular updates on the properties through the investor dashboard, and investors can also stay informed about the property market through industry publications and news sources.
Investing in property, like any investment, comes with risks, including the risk of market fluctuations and of property values decreasing. Cahootz also cannot guarantee that there will always be a buyer for fractions when investors want to sell. You are investing in property and as such you are exposed to all the risks that exist with respect to owning property. For example, vacancy periods where no rent will be paid or property prices falling for a period and therefore impacting the value of the property and therefore your fraction value. In addition, the property market is not a liquid market. Therefore, when it comes to selling your fraction, it may take some time to find a buyer.
The investments that you make through Cahootz are not protected by the FSCS.
Cahootz does not offer any investment advice related to investing in property on our platform.
Cahootz will arrange for an independent third-party valuation of each property after 5,6 and 7 years. At these points, you will have the opportunity to vote on whether to hold or sell the property and receive the proceeds from sale. Whilst you are free to try and sell your fractions privately at any time, or use our bulletin board twice yearly, there is no guarantee that anyone will buy your fractions, we do not offer a secondary market.
You have 14 days from when you have made the commitment to invest in the fractions to request your money back.
The rental yields quoted are provided for guidance purposes only and may or may not be achieved.
Investors will continue to own shares in the SPV which owns the property.
No. The value of your investment, at any point in time, is derived from the underlying property in the SPV.
No. As part of the fraction purchase price we have included an amount that will be kept in the contingency cash account of the SPV. This will be kept at a minimum of four months’ rent and will be used to cover unforeseen circumstances. At the end of every twelve-month period, we will re-evaluate the cash reserve amount and top up, if necessary, from the rental proceeds.
The current or expected rental yield is calculated as the anticipated rent for current 12 month rental period, divided by the list price of the property, expressed as a percentage.
Cahootz is initially offering newly built apartments on the platform. However, our intention is to expand this offering over the coming months and years.
Cahootz cannot advise you on which properties to invest in. This is something you should take financial and investment advice on from your own financial advisor.
Cahootz will arrange for regular property valuations which will be displayed through your dashboard account on the platform. This will also show you a clear record of rental income paid and the performance of the property valuation.
Yes. You must complete a questionnaire and self-certification process before we can open an account for you on the platform.
The Cahootz property manager together with the appointed local lettings agent will be doing everything possible to find new quality tenants for the property as quickly as possible. During the vacancy period, all maintenance and running expenses will be covered from the vacancy and contingency cash accounts in the SPV. Cahootz does not charge a platform fee during vacancy periods.
No. Each property investment is structured so they continue to operate even in the event that Cahootz is no longer operating. Each property is ring fenced in its own SPV and separate ownership structure.
Gross rental income paid by the tenants into the property SPV account is used to fund the running, maintenance, taxes and insurance, Cahootz platform fee, local letting agent’s fee, contingency top up, refurbishment fund and service of the property. Once the monthly costs, contingencies and corporate taxes are accounted for the net rental amount is paid out in the form of dividends to the relevant fractional investors.
Initially rent will accumulate in each SPV and be paid out as dividend to investors on an annual basis. You will have a record of monthly rental payments made and expenses incurred on each property via your individual dashboard.
Cahootz adds a one-off commission fee of 3% of the property purchase price to the cost of your fractions at the outset. We then charge an annual platform fee of 3% of the gross rent received which covers our cost of running the platform and maintaining the platform. We do not charge any platform fee while the property is vacant. And we do not charge a fee to you upon the sale of your fraction.
Your Cahootz property manager will arrange for the best and most cost-effective local agent to let and manage the day to day running of the property. These costs are clearly displayed in your property dashboard view.
When you invest in fractions through the Cahootz platform, you are buying an ordinary share in an SPV that owns a single property. For instance, if you purchase 2% of the shares in the SPV, you would then be entitled to 2% of the economic interests of the property owned by the SPV, which may include income from rent and or property value appreciation.
Once you have answered the questionnaire, self certified under an investor category, and set up your account, we carry out an electronic identity verification process. This is an essential part of our due diligence process, and is something that’s required by the Financial Conduct Authority (FCA) for all customers.
An SPV stands for Special Purpose Vehicle. In the case of Cahootz, the SPV will be a UK limited company that will be established for the sole purpose of holding your property.
There are several costs that need to be added on to the list price of any property purchase including but not limited to, stamp duty, legal fees and in our case the Cahootz fee and contingency cash amount. The fraction price includes a proportional amount of these costs on top of the list price of the property.
No. Cahootz will manage all tenant interactions and will report these via your dashboard on the platform.
Cahootz will subcontract the management, lettings and maintenance to local agents and service providers for each individual property in question.
The Cahootz property manager works closely with the local appointed lettings and management agency to ensure care and maintenance is provided to the property on an ongoing basis.
As with all property purchases, Stamp Duty Land Tax (SDLT) is an amount payable to HM Revenue and Customs on the purchase of property or land in the UK. It is subject to change; for the most up-to-date information please refer to the UK Government guidance. When you purchase property through a Limited Company there is an additional 3% SDLT (the SDLT surcharge) due. On the sale of your shares in the SPV stamp duty will be payable at 0.5% of the consideration payable by the purchaser.
No. The Cahootz property manager through the appointed local agent will arrange for appropriate tenants to rent the apartment.
No. Each apartment is 100% paid in cash collected from fractions investors.
Cahootz will organise for the property conveyancing with all appropriate documentation, searches and surveys, to be carried out prior to you investing in the property. This will enable our solicitors to close the purchase of the property once 100% of the fractions in the property have been sold.
Cahootz works with property developers who have a proven track record. You should review each of the developers independently before making any decision to invest in fractions. Cahootz does not make any investment recommendations.
The property manager at Cahootz through the local managing agent will arrange for the damage to be repaired and the costs will be covered from the contingency cash fund in the SPV bank account.
Once you pass our initial questionnaire and client take on-process, you are free to invest in fractions on the Cahootz platform, provided you are not a tax resident of the United States or Canada.
Our data hosting services are provided by Amazon Web Services (AWS) located in Ireland, and we employ technical measures to safeguard your data. However, we must acknowledge that transmitting information over the internet can be vulnerable to security breaches. Despite our best efforts to protect your personal data, we cannot guarantee the security of any data transmission to our website. This risk increases if you access the internet through an unsecured network. Once we receive your information, we take stringent measures and employ security features to prevent unauthorised access. We also encourage all users to enable two factor authentication of their account from their account settings to further provide additional security.
The Cahootz privacy policy outlines how the platform collects, uses, and protects user data. It is recommended that you review the policy before creating an account on Cahootz.
No, each investor is limited to one account on Cahootz. This is to prevent fraud and ensure compliance with regulatory requirements.
Cahootz is a web-based platform and is compatible with most modern devices and browsers. However, for the best experience, it is recommended to use the latest versions of Google Chrome, Mozilla Firefox, or Safari.
If you experience technical issues with the Cahootz platform, you can contact Cahootz customer support for assistance. They may ask you to provide additional information about the issue, such as screenshots or error messages, to help diagnose and resolve the problem.