How to lose Billions.....

Private landlords have seen the collective value of their properties fall by £118.4bn between the first three months of 2008 and the same period this year.

According to new research from Sainsbury's Finance, as house prices have fallen, private landlords have witness the collective value of their properties fall by an estimated £324m a day.

The worst affected area is London, where the value of their properties has fallen by an estimated £37.36bn.

Lucy Hunter, landlord insurance manager, at Sainsbury's Finance said: "The environment for landlords has become increasingly difficult.

"In addition to a fall in the value of their property portfolios, rental yields have also come down because the market is now saturated with new rental properties as many homeowners look to rent their properties rather than sell.

"When faced with these kinds of pressures, it can be tempting to look at ways to cut costs. We are urging landlords not to cut back on buildings and contents insurance as doing so could prove false economy. Your property is a huge asset so it's imperative it is properly protected."

According to Sainsbury's Finance, there are some 3.19 million privately rented properties in Britain, and just over 19 per cent of properties in London are privately rented, which is the highest percentage for any part of the country.

Makes for gloomy reading - I'm off for a strong pot of Ringtons a blueberry muffin and a sit down.....

Unhappily yours,

Mr Jackson.