Latest house price news from the Land Registry suggests there may be an ‘end in sight’ already for property prices to start slowing a little.
Nationally, average property prices are just over £175,000, which is 7% up year on year. London, where we have seen 20-30% rises in prices year on year over the last 12 months, is starting to see slower house price growth and we actually saw areas such as Hackney property prices dropping back a little in July.
Locally, in the East Midlands and Lincolnshire, prices are lower than the national average at just under £130,000, rising at just over 5% year on year for the East Midlands and at 6.7% year on year for Lincolnshire. However, both areas are still seeing prices 12% lower than they were back in 2007/8.
I have had quite a few comments when writing about property prices that people feel owning a home in Lincoln is out of their reach and certainly out of the reach of the ‘average wage’ earner.
I’ve been doing some work on this and am finding that actually comparing the ‘average wage’ to the ‘average house price’ isn’t a good measure to use anymore.
One of the reasons for this is because some properties have literally ‘run away’ property price wise, especially detached homes which are in short supply in Lincoln. What this does is ‘stretch’ the average giving a ‘false’ view that property prices are ‘unaffordable’ versus the average wage.
So, I thought I’d have a look around to see what is possible to buy for less than £100,000. According to Rightmove.co.uk there are over 350 properties for sale in Lincoln under this price point at the moment.
To buy a £100,000 property, you would need a £5,000 deposit and you could buy under the ‘Help to Buy’ scheme or some lenders will allow you to borrow 95% without the restrictions this scheme places, such as not letting the property in the future.
And I found shared ownership properties available from £25,000! I’m not necessarily recommending these to you, but they are good value and shows that if you can save a few thousand pounds, you can have a home of your own in Lincoln.
Properties for sale at less than £100,000
Don’t fancy doing any work? Try this two bed spacious home in Dellfield Avenue for just over £100,000.
Want city centre living? Have a look at this two bed flat near the station – but check the lease length, service charges and what major works to expect over the next 10 years.
£100,000 too much? How about a shared ownership property for £50,000, for a two bed flat? Check what you would pay for the mortgage and the rent and find out how much the rent will go up each year. The flat is in North Hykeham.
And for a really good value buy, why not take a look at these shared ownership properties, selling out for under £25,000 in Allenby Close?
For more help on finding out how to save £5,000 to £15,000 for a deposit, by reducing your everyday purchases, take a look at this article.
I am keen to hear your thoughts as always, so let me know what you think and what you can find.
Kate Faulkner is Managing Director of propertychecklists.co.uk. The site gives free advice to consumers on how to measure their local market and an understanding of how to buy their first home or trade up. Kate’s background stretches from self-build to part exchange to buy to let and renovation. She is the author of the Which? property books and regularly appears on local and national media.