Keep Control. Earn More.
The Exempt Accommodation framework for HMO landlords who want higher yields without giving up operational control. You manage the property. You keep 100% of net income.
Higher Yields for Hands-On Landlords
If you already manage HMO properties, you know the work involved. This framework lets you continue that work while accessing significantly higher income through government-backed housing payments.
This is not a management service. We do not take over your property. You remain the operator, handling maintenance, tenant issues, and day-to-day decisions. The framework provides regulatory status and payment processing that unlocks enhanced rates.
The result: you do similar work to what you already do, but with government-backed payments that are not capped by Local Housing Allowance. ~£200-261 per room per week, depending on claimant type and area.
Your Role as Operator
When you join the framework, you become an Operator. This is a hands-on role with clear responsibilities.
- •General maintenance and repairs - you arrange and pay for these
- •Day-to-day tenant issues - queries, complaints, minor problems
- •Behavioural management - tenant conduct, house rules, neighbour relations
- •Property compliance - maintaining standards within framework requirements
- •Void periods - you carry the risk when rooms are empty
- •Tenant acceptance decisions - you can accept or refuse referrals
Weekly property visits are best practice but not mandatory. You manage the property as you see fit within framework guidelines.
What the Framework Provides
The framework enables you to access Exempt Accommodation status and government-backed payments. Here is what we provide:
Regulatory Status
Properties qualifying under the framework achieve Exempt Accommodation status. This exempts you from LHA caps and can provide exemption from mandatory HMO licensing and certain planning requirements.
Tenancy Documentation
You use the framework's compliant tenancy documentation. The framework entity appears on tenant paperwork. This is required for the regulatory status to apply.
Payment Processing
Universal Credit housing payments are collected by the framework and distributed to you. This provides a single payment stream rather than collecting from individual tenants.
Tenant Referrals
The framework provides tenant referral pathways. You can accept or refuse referrals at your discretion. You may also self-source tenants who meet eligibility criteria.
How Your Income Works
Income under this framework is based on enhanced Universal Credit housing element rates, which are not capped by Local Housing Allowance.
Government-Backed Payments
Housing payments are made via the DWP through Universal Credit. Once a tenant is correctly placed, the housing element is stable and not arbitrarily withdrawn. This is more reliable than tenant affordability for private rent.
Net Income to You
After framework deductions, you receive approximately £200 per room per week for standard UC single adult claimants. For enhanced claimants (PIP, LCW, WTC, or Carer recipients), this rises to £231-261 per room per week. Figures are area-dependent.
100% to You
There is no profit share. After the framework deduction, you receive 100% of the remaining income. Your actual profit depends on your operating costs and occupancy levels.
This is not a guaranteed rent arrangement. Your income depends on occupancy and your operational management. Void risk remains with you.
Is This Right for You?
This framework is designed for specific landlord profiles. It is not suitable for everyone.
This suits landlords who:
- •Already manage HMOs or are willing to do so
- •Are comfortable with hands-on property management
- •Want higher yields than standard private letting
- •Prefer government-backed payments over tenant affordability risk
- •Want exemption from LHA caps
- •Value demand-led occupancy in supported housing
This is not for landlords who:
- •Want someone else to manage their property
- •Seek guaranteed rent regardless of occupancy
- •Are unwilling to handle tenant issues directly
- •Want a passive investment arrangement
- •Plan to sell the property in the near term
If you are already managing tenants and want to increase your yields, this framework may suit you. If you want to step back from property management, it will not.
Property Requirements
Properties must meet defined standards to qualify for the framework. We assess each one individually.
Suitability
Properties suitable for multi-occupancy, typically HMO-style layouts. Houses, flats, and existing HMOs may qualify depending on location, layout, and condition.
Compliance Standards
Properties must meet defined HMO and framework compliance standards. This includes fire safety (interlinked smoke alarms, carbon monoxide detection), fire risk assessment, and damp/mould reporting. Some items can be arranged via the framework's approved panel.
Inspection
All properties are inspected before going live. A re-inspection fee applies if the initial inspection is failed. Periodic inspections occur during operation.
Location
The framework operates nationwide across England. We assess whether your location has adequate demand during the suitability review.
Questions Landlords Often Ask
Common concerns addressed directly.
What if a tenant causes problems?
You handle behavioural management as the operator. If a tenant breaches conditions or fails to sustain their tenancy, there is a defined removal pathway. Replacement timing depends on demand in your area.
Do I have to accept every tenant referral?
No. You can accept or refuse referrals at your discretion. You may also self-source tenants who meet eligibility criteria for the framework.
What happens if rooms are empty?
Void risk remains with you. The income figures assume 75% occupancy. Your actual results depend on how well you fill and retain tenants.
How is this different from rent-to-rent or guaranteed rent?
There is no lease to a third party. You retain ownership and operational control. There is no income guarantee. This is a regulatory framework that enables access to government-backed payments, not a management arrangement.
What is the relationship with Letora?
A Service Level Agreement governs the relationship. The framework entity appears on tenant paperwork. You use the framework's tenancy documentation. You remain the operator responsible for the property.
For more detailed answers, visit our frequently asked questions page.
Submit Your Property
The first step is a property suitability assessment. Submit your details and we will review your property within 2 working days. Standard pathway properties can be live within 21-28 days.
No obligation. Initial assessment provided free of charge.
Learn More
Explore these pages for more detail on specific aspects of the framework.
Important Information
This page provides general information about the Exempt Accommodation framework. Individual circumstances vary and all arrangements are subject to property assessment and agreement of terms.
Income figures are indicative and vary by area and claimant type. Actual results depend on occupancy and your operational management. Void risk remains with the operator. This is not a guaranteed rent arrangement.
All arrangements are documented through a formal Service Level Agreement. You should seek independent legal and financial advice before joining.