Research from BDRC Continental and the National Landlords Association shows that the vast majority say that they regard their rental properties as their pensions. 81% of landlords questioned viewed their let property portfolios as the asset that will keep them in their retirement.

Most of the landlords interviewed (61%) said they plan to live off the rental income while 20% said they will sell some of the properties in their portfolio. 5% said they will sell all of their properties when they retire and 39% are more flexible, saying their plans will depend on the state of the market when they retire.

The BDRC Contiental/NLA Landlords’ Panel has been monitoring the performance and sentiment of the private rental sector in Britain every three months since 2006. Landlord insurance clients seeking information about market sentiment might follow this research on a quarterly basis. The latest research, for the third quarter of 2012 shows that landlords’ optimism fell by six points compared to the second quarter. Despite this, the landlords said that tenant demand and yields were both up. They also said that voids and arrears remained stable.

Mark Long, Director at BDRC Continental said “Despite the challenging economy, the private rental sector remains resilient for most of Britain’s private landlords. In Q3 this year we saw further evidence of that as the number of private landlords with a single property making a loss fell by three quarters from 16% in Q2 this year to 4% in Q3, and although short-term confidence has taken a bit of a seasonal knock, I fully expect optimism to recover as we end 2012 and enter 2013.” We would be very interested in hearing how our landlord insurance clients view the state of the market as they year draws to a close.