Lincoln Buy-to-Let 2024 Guide

The average UK house price is £291,044, according to the HM Land Registry UK House Price Index.

In comparison, Lincoln’s average property price is £183,527. This makes Lincoln 45% cheaper than the national average. As such, investors can expect to find good-value properties in the area.

In Lincoln, you will pay the following averages depending on property type:

• Detached: £297,886
• Semi-detached: £201,405
• Terraced: £152,907
• Flat: £113,047

The city has seen property price growth of 0.40% over the last year, double that of the UK (0.2%).

Savills predicts the East Midlands will experience 24.6% capital growth between now and 2029, higher than the UK’s 23.4% capital growth prediction. This is good news for those interested in Leicester investment properties and other East Midlands cities, not just Lincoln.

Lincoln City Centre and North Lincoln

Lincoln city centre and the central districts are popular with residents. Typically, Lincoln can be divided into the Uphill and Downhill areas.

Uphill – as you may have guessed – is up the hill above River Witham and home to many of the city centre amenities, offices and Lincoln Cathedral. This is considered an affluent residential area. The area has many detached homes, semi-detached houses and period-style properties.

The Downhill part of the city centre has cheaper properties and is generally a mixed area.

Lincoln’s central areas include the likes of Newland, Lincoln Cornhill and Brayford Waterfront Quarter. The University of Lincoln is in this part of town. The city centre has enjoyed much regeneration in recent years, ushering in a new city quarter with enhanced leisure amenities. Why not take a look at the RWinvest buy to let income calculator a useful tool available to all of our readers?

The council has other regeneration plans in the pipework, such as a £150 million regeneration plan for the Waterside North area, which will introduce new homes and leisure facilities.

Areas in North Lincoln include:

• Ermine
• Ermine East
• Ermine West
• St. Giles
• Welton
• Nettleham

Commuters can access the city centre with ease from these locations. In addition, the east of the city is also within easy reach. Investors can find good-value properties in this area, including private and social residential estates.

Average Property Price in Lincoln City Centre and North Lincoln

The average property price in LN2 is £242,288.

Average Rental Yield in Lincoln City Centre and North Lincoln

The average rental yield in LN2 is 3.80%.

North Hykeham is a separate town in the North Kesteven council zone. It sits southwest of Lincoln and has its own schools, shops and transport links, including a train station that serves Lincoln, Nottingham, Newark and other towns in the region. The area is popular with tenants but significantly more expensive than Lincoln.

Average Property Price in North Hykeham

The average property price in North Hykeham is £246,680.

Average Rental Yield in North Hykeham

The average rental yield in North Hykeham is 3.95%.

(Average property prices were taken from Rightmove in late 2023, and gross rental yield estimates were calculated with figures from housesforsaletorent.co.uk)

Due to the high demand for newly available properties, new-builds in Lincoln are being delivered by both the local council and private developers.

As part of the City of Lincoln Council’s Vision 2025 strategic plan, they started a new-build council house programme in 2021. Through regeneration and the development of key housing sites, the town may become a more attractive location for private developers and buy-to-let property investors as the area becomes more popular as a place of residence.

In particular, it seems that houses are more common as new-build developments in Lincoln, so investors looking for new-build apartment buildings may have more luck exploring other nearby areas. This could include new-builds in Bolton or more major cities like Birmingham.

Regarding property investment, Lincoln’s prices are good value, especially considering the city’s decent reputation for happiness and advantageous position in the middle of the country.

However, while the city has reasonable property valuations compared to many other places in the UK – it is much cheaper than buy-to-let properties for sale in London, for instance – investors can find properties that are a similar price elsewhere with much more attractive rental yields.

Recently, North West cities have gained a reputation as one of the best buy-to-let locations in the UK. Take Liverpool, for example. This North West city has an average property price of £180,268, but rental yields can exceed 7% in some postcodes. In addition, Liverpool also appeals to residents in the same way as Lincoln, boasting a rich cultural heritage, beautiful architecture and top-class student living, making property investment in Liverpool a top choice.