July 29, 2011 3.42 pm This story is over 122 months old

Lincoln house prices on the rise

Up and down: Property prices in Lincoln have gone up, but houses are still cheaper than four years ago.

The average house price in Lincoln rose by £3,498 in the last three months, according to a report from property website Zoopla.

Although Lincoln has seen a 2.3% rise, house prices in the area are currently £10,361 cheaper than they were four years ago. The average asking price for a house in Lincoln is now £177,577.

Nationally, Lincoln is £51,423 below the UK average and £237,423 below that of London. Other neighboring city averages were different, with £170,405 in Nottingham, £157,511 in Birmingham and £140,895 in Scunthorpe.

Average values

There are currently 1,066 Lincoln houses on the market and, according to a national heat map, Lincoln is relatively cold compared with nearby areas such as Nottingham and Sheffield.

Nationwide have found that national house prices have increased by 0.2% in July and that the price of a typical home in July is 0.4% lower than one year ago.

Robert Gardner, Nationwide’s Chief Economist, said: “Stability has been the watchword for the UK housing market over the past 12 months.

“Sluggish demand for homes, combined with only a gradual rise in the supply of available properties, has helped to keep property prices relatively stable.

“As the economic outlook brightens, labour market conditions strengthen and housing affordability becomes less stretched, so demand for housing should improve.

“Time will tell whether a greater preference for renting will remain in evidence or the desire for home-ownership once again asserts itself.”

The Lincoln climate

Marc Jones of Iglu Lettings, said: “Lincoln has not seen the dramatic price adjustments that some areas have seen across the country over recent years but has still felt very firmly the change in the market brought about by the lack of willingness to lend by banks and the general nervousness by people to take on a larger mortgages at a time of reduced job security.

“The greater Lincoln area is earmarked as a growth point with tens of thousands of new properties planned and it’s without question that the high demand for the current limited supply of properties has contributed to the stable prices that we have seen.

“While some Estate Agents have struggled to keep going though what has been the slowest sales period for two decades, the letting market has been operating at an all time high with a lot of people choosing to let rather than buy.

“So my advice would be keep your property if you can, let it for a few years through a reputable agent then rejoin the sales market at a time when mortgage lending is more fluid and capital growth has started to increase once again.”

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