Its research revealed that more than two-thirds of all university towns recorded house price increases above the UK average of 62% in the last ten years.
Lloyds TSB found that the average price in new university towns – those established since 1960 – is now £155,953, with seven such towns seeing prices more than double in the last decade.
Bangor in Wales recorded growth of 129% to £142,582, followed by Carlisle up 100% to £127,118 and Sunderland, up 108% to £120,302.
The most expensive new university town is Winchester, with an average house price of £364,667, followed by Kingston-upon-Thames at £360,331 and Buckingham at £330,795.
The least expensive new uni towns were Salford at £106,685, Paisley at £106,967 and Bradford at £108,282.
Despite the success of the newer establishments, older university towns also recorded significant house price growth.
In Aberystwyth, the average house price has increased by 144% to £190,209, making it the top performer of any university town.
Hull saw the next biggest rise amongst older university towns, with the average price increasing by 119% to £106,021.
This was followed by the historic Scottish university cities of Aberdeen, Edinburgh and Exeter, which saw increases of 118%, 103% and 91%, respectively.
Nitesh Patel, housing economist at Lloyds TSB, said: “Growing student numbers are likely to have had a positive impact on house prices in university towns over the past decade. This effect has been heightened in the newer university towns where prices have on average, risen more rapidly than in towns that host the more established universities.
“Increased student demand for accommodation is also likely to have added to upward pressures on rental values in university towns, increasing their attractiveness to landlords.”
