CONTRACTOR ACCOMMODATION MANAGEMENT FOR DERBY LANDLORDS
Own a 4–6+ Bedroom Property in Derby & Questioning Your HMO or AST Returns?
Mortgage pressure rising? Licensing costs increasing? Void periods eating into margin?
Why Some Derby Landlords Are Reassessing HMO & AST
Mortgage rates have shifted.
HMO licensing costs continue to rise.
Compliance requirements are tightening.
Void periods and tenant churn are eroding margin.
For larger Derby properties, fixed monthly rent is not always the highest-performing model.
Many landlords are now reviewing whether contractor accommodation offers stronger net returns with less regulatory pressure.
Why Derby Supports Contractor Demand
Derby has sustained contractor and corporate demand driven by:
Engineering and manufacturing sectors
Infrastructure projects
Regional business travel
Transport links and employment corridors
Multi-bedroom houses with parking and practical layouts are particularly attractive to contractor groups staying for weeks or months.
This is not holiday letting.
It is structured business-driven demand.
Income Comparison Example
Example: 5-Bed Derby House
Traditional AST
£2,100 pcm fixed
Licensed HMO
£3,000–£3,400 pcm (higher management and compliance burden)
Contractor Accommodation (Conservative Scenarios)
Assumed nightly rate: £140
60% occupancy (18 nights): £2,520
75% occupancy (23 nights): £3,220
85% occupancy (26 nights): £3,640
Performance varies by location and layout, but larger Derby properties can exceed traditional rent levels when positioned correctly.
Before onboarding, we model conservative occupancy assumptions so you can compare clearly.
Assumptions based on current Derby contractor booking patterns and comparable local performance. Figures shown are gross revenue before cleaning and management.
Why Some Derby Landlords Stay HMO - And Why Others Don’t
HMO can work well in the right conditions.
However, some landlords are now reconsidering due to:
Increasing licensing costs
Regulatory tightening
Management intensity
Limited ability to flex pricing
The contractor model reduces licensing friction in many cases while allowing dynamic pricing.
Who This Works For in Derby
This model is typically suited to:
4–6+ bedroom houses
Former HMOs with strong layout
Properties near employment corridors
Houses with parking
Landlords seeking higher net yield without long fixed tenancies
Unlike fixed tenancies, the contractor model retains greater flexibility should you choose to sell or refinance.
Not Every Derby Property Is Suitable
We selectively onboard properties where:
Location demand exists
Layout supports multi-occupancy
Parking and access are viable
The numbers stack up under conservative assumptions
If the model does not outperform your current setup, we will say so.
Addressing Common Concerns
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In most cases, yes - but it depends on property type and local considerations. We review this upfront.
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Properties are inspected multiple times per month through structured cleaning and guest turnover - often providing greater oversight than long fixed tenancies.
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We operate structured house rules and professional guest screening. Contractor stays are typically low disruption compared to party-based short stays.
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Income is dynamic, but risk is managed through pricing strategy and multi-channel exposure. We present conservative scenarios before any decision is made.
What We Handle
We manage the full operational model.
You retain ownership.
We focus on optimisation.
For a broader overview of our management structure, see our landlord services overview
Contractor and corporate marketing
Cleaning & linen coordination
Guest communication
Performance tracking
Maintenance reporting
Dynamic Pricing
Listing and positioning
Case Study: Derby 4-Bed Conversion
Previous use: Single let
Previous rent: £1,400 pcm
After repositioning for contractor accommodation:
Average monthly performance: £3,500+
Average occupancy: 86%
Average nightly rate: £140
Before renewing your HMO licence or signing another 12-month tenancy…
If you are reviewing your Derby rental strategy, it may be worth understanding your alternative.
We’ll compare your current model against a conservative contractor accommodation projection.
No obligation. Just numbers.