The Cherry ISA
Estimated at over £6 trillion, the UK’s residential property market is worth more than the combined value of UK equities and commercial property. It’s easily the UK’s most valuable asset class.
To date though, pooled investment arrangements have struggled to offer products that tap into the UK’s residential property market. But times are changing. With the Cherry ISA , you can invest in property returns without the hassle of owning somewhere yourself. That means no upkeep, maintenance or tenant management; just the unique opportunity to invest in the residential property market as a whole.
This ground-breaking arrangement offers a range of returns made up of a fixed coupon and returns based on UK RPI (Retail Price Index) and/or UK or Wales UK HHPI (Halifax House Price Index) – non-seasonally adjusted. It’s a stocks-and-shares ISA that grants you access to tax-free growth.
Funds raised by the Cherry ISA are lent to Cherry to acquire UK residential property via CoBuy. CoBuy, a product owned by the Cherry team, makes it easier for potential home-owners to take that first step on the housing ladder. Cherry buys UK residential properties, then part-sells and part-rents them to private individuals under the CoBuy brand.
With a CoBuy home, we’ve halved the size of the mortgage needed, and also halved the deposit potential owners need to save. They buy half the home upfront and rent the rest, with the option to increase the percentage of the property they own over time until they own the whole place.
The Cherry ISA is provided by Third Platform Services Ltd (TPS), an HMRC authorised ISA manager. TPS provide the application process for and the management of the Cherry ISA.