The land use and land cover change have a negative impact on both the environment and socioeconomic settings. This study focused on the investigation of the trends of land use/ land cover change and its effect on soil properties in the upland sediment source area of the Eastern Lake Tana Basin. Two different years’ satellite images (Sentinel-2 for 2017 and spot for 2007) and one year (1982) of aerial photograph, were used to analyze the trends of LU/LCC. Disturbed and undisturbed soil samples were collected from different land uses (paired ones) with to the depth of 0-30 cm. About LU/LC classification, produced eight different LU/LC types namely croplands, eucalyptus plantation, grazing lands, natural forest, riverine, scattered shrubs, bare land and settlement. The result showed an increasing trend for eucalyptus plantation, while, natural forest and open shrub lands decreased. The land use/ land cover change dynamic indicates that, eucalyptus plantation was exerting an incredible pressure on another cover, in particular agricultural lands and grazing land. The ANOVA results showed that soil bulk density, soil moisture content, sand and clay content of soil, SOM, CEC, availability of phosphorus and total nitrogen varied strong land use types. In general, natural forest had strongly significant difference with all selected land use types. According to the spatial distribution of land cover prediction, the eucalyptus woodlot land cover extends up to 271.38 ha and the agricultural cultivated land and grazing land will be decreased to 510.03 ha and 158 ha in the year of 2030 respectively. The communities and government will look for alternative means of livelihood like non-farm /off-farm income generating activities due to limited capacity of agriculture land to accommodate population. Activities of land use change can be based on land capabilities and suitability class is very important. To predict the future land use change, use LU/LC change models in the watershed to describe the spatial distribution of land use conversion is the recommended one. Key Words; eucalyptus plantation, Image classification, Land use Land cover, Land uses change trends, soil properties