Landlords are continuing to remain calm in the face of current financial turbulence. According to the latest review from the Association of Residential Letting Agents, over three-quarters of landlords questioned say they will not sell their investments because of falling house prices.

Instead, they plan to hold onto their property portfolios for an average of over 16 years. A quarter of those surveyed plan to keep their investments for more than 20 years.

“This shows that investors still intend to make use of the availability of buy-to-let mortgages and the profile of the typical investor has not changed since the last serious downturn,” says Ian Potter, ARLA’s head of operations.

“The average investor is cautious, mature and aims to support the private rented sector for the long term by looking for the right property in the right market.”

Georgina Clarke from Jackson-Stops & Staff in Pimlico says landlords who are in tune with the present cooler market will fare best. If they know their property should look good and be valued correctly, there is a stronger chance their investments will let quicker than their rivals’.

“My advice to landlords is to make an effort with the presentation of your property and be realistic about price. With fewer people out there and more property on the market, do not waste opportunities and make every viewing count,” she says.

Clarke also suggests landlords be flexible. “If a prospective tenant wants to bring his own bed, be accommodating. And if they want new, neutral curtains, think before refusing. These are all minor requests in the scheme of things and could secure you a tenant over a less accommodating landlord.” She also warned: “As we approach Christmas, where typically the
lettings market slows, I would urge all landlord’s to listen to agents’ advice, as a vacant period now could be a long one.”

Although the autumn appears to be quieter than many agents would hope, there have been surprising levels of movement among senior executives called in to rebuild and troubleshoot in the City, points out Clarke.

“They come, of course, with good corporate budgets. Mid-level executives and graduate trainees have been elusive, but we expect their return in the New Year and would anticipate an active start to 2009 as action plans kick in,” she adds.

So, buy-to-let might not be floundering in the deep end, but looks set to improve its stroke despite turbulent waters.