Episode 12 Homes Under the Hammer


Episode 12

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Transcript


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Hello and welcome to the show. Sometimes when you're buying

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at auction, the heart can rule the head.

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But that's not always a bad thing.

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We should always be prepared for those pitfalls.

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Yes. Now, nobody wants to pay over the odds,

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and a good place to start is your local property auction.

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Now, here on Homes Under The Hammer,

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one of the cardinal sins is not doing your research on the property

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and the area that it's in.

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Yeah, we always say,

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"Visit the property beforehand and read the legal pack."

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-But you know what?

-What?

-People just ignore us!

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Were the buyers on today's show saints or sinners?

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Let's find out.

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Strange things are going on in this Cheshire bungalow.

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Just a few things that have got me a bit flummoxed.

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Well, Martin, not as strange as my visit to this barbershop and flat

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in Rochdale, Lancashire.

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I'm not sure I can carry this off.

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And the price of 90 grand is hair-raising at this site

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in Eccles, Kent, considering what you get!

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Da-da-daah! A couple of sheds! Ha-ha!

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All these properties are being sold at auction.

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We'll find out who got them and how much they paid for them

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when they went under the hammer.

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Well done.

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Alsager is a small town in Cheshire situated six miles from Crewe

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with fantastic rail links.

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The town's growth stems from the nearby potteries,

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and in the Second World War,

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workers flocked to the town to work in the nearby armaments factory.

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But it's all quiet on this Western Front now.

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Neighbourhoods with lots of bungalows, I love them.

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They're peaceful, they're generally well-kept.

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Yeah, and bungalows, as you know if you've seen the show for a while,

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well, I'm a great fan of them. And here is a classic.

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£95,000 was the guide price,

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looks to be in reasonable condition.

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Let's take a look.

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Oh.

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That's not a good start, is it?

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Something going on there, looks like a bit of damp.

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But, erm, nice little entrance for you, apart from that.

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And it's through into a fairly classic layout for these kind of bungalows,

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a central area off which all the different rooms spread.

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Oh.

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The second thing that's not so brilliant. What is going on there?

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As you can see, all the paint is coming off the doorframe here.

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Very odd. But anyway, kitchen there. It looks little bit dated,

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but it's a reasonable size and you've got windows on two sides,

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so you've got lots of light coming in there.

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It needs a bit of tarting up,

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but apart from that, it's quite pleasant.

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Um, I mean...

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Huh?

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That's very odd.

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Another bit of a conundrum.

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The bottom of the doorframe there has all rotted away

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and it looks like there's damp on that wall.

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It seems to me there's portions of the bungalow

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where there's a bit of a damp issue, and yet it doesn't smell damp

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and the carpet's not particularly ruined and...

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Hmm.

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My property-developer brain is working overtime on this one,

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and it can't quite figure it out.

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I will eventually, though.

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Through into the living room, erm, and it's of that era.

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It's a 1960s bungalow and lots of the original 1960s features are still here.

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But I'm not seeing anything which I don't like.

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Just a few things that have got me a bit flummoxed.

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I wonder if the water tank has flooded at some point.

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That could account for why it seems worse around the bathroom area,

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but it doesn't explain why the wood has rotted.

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I'm still flummoxed.

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One thing for sure, it wasn't caused by an overflowing bath.

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There isn't one.

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MUSIC: The Flood by Take That

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# No-one understood

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# We were holding back the flood

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# Learning how to dance the rain... #

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It'd be nice if it had a bath in there. Unfortunately, it's only big enough for a shower,

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unless you do a bit of jiggery-pokery.

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Erm, and then two bedrooms.

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One there. Erm, again, I love the fact you've got these windows looking out onto the garden,

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and it's not a huge bungalow, but it's got everything you need.

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It's got two bedrooms.

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This is one of them.

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Well, the second one of them. Built-in cupboards - quite nice, maybe.

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Erm, it needs a bit of decoration, needs a bit of bringing up to date.

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But no signs of that localised damp or whatever that problem is in here,

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which is good news.

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And overall, it's a fairly together, fairly lovely bungalow.

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The key to recognising a property's potential is to be able to see past

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any dated decor or before any house clearance has taken place.

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On first viewing, I'm looking more at the size of the rooms,

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how they may be better configured, and the size of the plot.

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And the potential to extend,

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which is usually the greatest way to add value.

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Well, at the side of the property, you've got a decent driveway,

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which could lead to a garage.

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But it doesn't. It leads to this cute little shed.

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Maybe building a garage would be a sensible thing to do.

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Somewhere to potter, stick your car, stick your rubbish, the usual thing.

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But at the back here, a really nice-sized garden.

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It's fairly mature, some nice trees and all that kind of stuff.

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It just adds to the property.

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Yeah, I'm not seeing anything I don't like.

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We called in a local estate agent

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to see if there's anything that they don't like.

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Local knowledge is usually the most crucial factor in

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determining a property's value.

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The village of Alsager is a small town, made up mainly of small,

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independent shops, but with some larger supermarkets.

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There are excellent road links, with the A500, the M6 and the A51.

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In addition, we're told this street of mainly bungalows is desirable in this area,

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buoying the sales market for retirees and downsizers.

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So, valuations!

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Once fully modernised, I'd be looking to mark it on the sales market for £145,000,

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and on the rental market, £600 per calendar month.

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Well, in general, I don't think you can go too far wrong with bungalows

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and this one is no exception.

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With that really attractive guide price, there's money to be made or a nice home to be bought.

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Let's see who agreed when it went under the hammer.

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Let's start with lot number two,

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lot number one has been sold prior.

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Lot number two. Can I say 80,000 to start?

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75, then. Can we get it going at 75?

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75 bid, took it there, thank you. At 75,000.

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80 bid. At £80,000.

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I'll go in twos if it helps. 82.

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82 it is. £82,000.

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£84,000.

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The first auction lot of the day takes a steady path upwards

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to where we rejoin the bidding at 106,000.

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106.

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Yeah. 106 and a half. 107.

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107 and a half. 108.

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108 and a half, yeah? 108 and a half.

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109.

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Another half?

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Yeah. 109 and a half.

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110.

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No? At 110 then, pointing at her now.

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£110,000.

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Another 500 anywhere else?

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If not, £110,000 once.

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£110,000 twice.

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Third and final time, 110,000,

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You bought it, madam. Well done.

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The successful bid came from Ann, at the auction with her husband, John.

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They've been on Homes Under The Hammer before,

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when they paid £81,000 for this three-bedroom semi in Crewe.

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John took me through their plans in August 2014.

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It's a complete works, isn't it?

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Erm, new windows right through,

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new kitchen, new bathroom,

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extend the bathroom into the little bedroom.

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It's the only way to do it, as far as I can see, pinch a foot.

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Electrics want doing. Er, a bit shot at, as you might say.

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Mmm.

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And hopefully, yeah, we'll get there.

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Five months later and John had completed a very smart renovation.

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And just as well, as John's son was so taken with the finished product,

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that he moved in himself.

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John and Ann met me back at their new £110,000 purchase.

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Ann, John, good to see you.

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Tell me why you wanted to buy this place.

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Well, basically, I've always wanted a bungalow.

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Oh, OK.

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Erm, I live in a ground-floor flat at the moment,

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in a nice area in Nantwich, in Cheshire,

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erm, but this came up and I thought, well, you know,

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have a go and see whether we can get it at the auction.

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Right.

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-So, that's the way it's gone.

-That's it.

-We were lucky.

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-Right. It's for you, then?

-Well, it's for the both of us.

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-Yes.

-Yeah, it's both of us.

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-Right.

-If we can sell my flat, then that's fine, we'll move in.

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If I don't sell my flat, then we'll just see

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whether we get this one sold.

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-Right.

-It's an if/or.

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You know, one way or the other.

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OK. So, John, what do you think about it?

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It's what it is.

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It wants doing up, that's why it's at auction.

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The old story. New bathroom, new kitchen, rewiring, plumbing, new windows.

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They're the old aluminium ones, which are not good for condensation.

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Take it from there.

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-Right. But your goal is to try and make it liveable.

-Oh, yeah.

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A place that you're going to live in?

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-Yeah. Yeah, that's not a problem.

-Right.

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20,000 budget, I should imagine.

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If it goes a bit over

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and it takes four or five months,

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it takes four or five months, so...

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A few issues, which are still confusing me quite a bit.

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The doorframes in the kitchen, or going into the kitchen,

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the paint's come off it, and then,

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-in this room here, the lounge...

-There was a leak.

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-..there was a leak.

-There was a leak, apparently,

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but the estate agent told us.

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I don't know how long back, but, you know, take the linings out,

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get it replastered, no problem, as far as I can see.

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But it was very obviously a very specific leak in one place, because it doesn't spread to the floor.

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It was coming from within the roof,

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so, whether it's the old tank that's still up there, I don't know. I haven't been in the roof yet.

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Right.

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Erm, we might take a wall out. Again, depending on which way the joists are going.

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We'll investigate that.

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The estate agent said something about it hadn't been dried out properly

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and that's why it rotted the way it did.

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Oh, I see. So, there was a leak and then it wasn't dried out properly. So, bits were dried out. OK.

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-Yeah.

-Yeah, but we'll sort it.

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I think it looks a bit worse than what it is.

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Aha! Flummoxed no more. All is explained.

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And with solid floors,

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there shouldn't be too much damage to deal with.

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Still, there's a lot to do,

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and despite allegedly being retired for ten years,

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John is going to be doing the work.

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But, then again, he is very qualified.

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Erm, I was a joiner many years ago.

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OK.

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Erm, a building inspector after that, for quite a number of years.

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Erm, so, yeah, I'll stick my hand to anything.

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Right. Literally hands-on stuff.

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Oh, God, yes. Yeah.

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Obviously not the wiring or the plastering or the plumbing,

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but anything that wants doing and joinery work and shifting

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and the skip filling up, well, I'll do it.

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Will you ever sort of slow down and take your foot off the gas?

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No, I'm a young 69. I've got lots of years in front of me yet.

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When I snuff it, is the time to sleep.

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Erm, I'll carry on as long as I can.

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-Good lad.

-I just tell him not to kill himself doing it.

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So, then, after this one plans for more or what?

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Oh, yeah. Oh, yeah.

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I'd do another.

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Do you enjoy it?

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No, I'm not going to retire. No, for sure. No, no.

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So, in normal circumstances, it'd be buying them, doing them up

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and selling them on, or renting them out?

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-That was the plan, yeah.

-That was the original plan.

-Was it?

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-Yeah, that was the original plan, but, you know...

-Seems to have gone a bit...

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We'll get there in the end, yeah.

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So, the original plan was to buy it, do it up and sell it on, and then Ann stepped in and said,

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-"Actually, hang on a minute..."

-I want that, yes. Correct.

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So, yeah, it'll happen.

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John says it will happen and reckons on a four to five month timescale.

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That should give them plenty of time to sell their flat.

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But, with Ann being so keen on the bungalow,

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I wonder if laid-back John is going to feel under pressure.

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No, er, "Oh, it's got to be done, it's got to be done!", but we'll get there.

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And the budget? Quite a healthy budget, then.

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Say 20,000. Again, if that goes over, it goes over.

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Erm, I'm not bothered. It's a case of "it's for us", so,

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that's the final thing. It's for us.

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Well, listen, congratulations.

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-Thank you.

-Thank you.

-Good luck with it.

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We look forward to seeing how you get on.

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-Thanks.

-Thanks a lot.

-Cheers.

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Well, a few things slightly up in the air on this one,

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but one thing for sure, Ann wants it, and if John can make it happen, he will.

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You can find out what does happen later in the show.

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MUSIC: All Around The World by Lisa Stansfield

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Rochdale was the birthplace of the first modern cooperative in 1844.

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In more recent times, the Lancashire market town has produced

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a string of world-famous entertainers,

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such as Gracie Fields and this lady, Lisa Stansfield.

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# Been around the world

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# And I-I-I

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# I can't find my baby... #

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The neighbourhood I'm in is a mix of commercial

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and residential properties and that's pretty fitting,

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cos the lot I'm here to see is just that, and here it is.

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On the ground floor, there's a working barbershop.

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On the first floor, it's a one-bed flat.

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The whole unit has a guide price of in between £60,000 and £70,000.

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Let's start in the barber's.

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It's a lot of space in here.

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Nice and bright, as well.

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As you can see, mirrors everywhere, cos it is working at present.

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You've got a kitchen out the back, toilet as well.

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Now, if you were to take on this venture,

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you've got tenants already in place, which means income.

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Not a bad start. I'm quite happy.

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Judging by the busyness of the road,

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the shop should benefit from plenty of passing trade.

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But do they provide good-quality male grooming?

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There's only one way to find out.

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Could you just take a bit off the top and maybe a bit off the sides as well? Thank you.

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That's it, that's how you do it.

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That's it, perfect. Perfect.

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Phew. I'm not sure I can carry this off.

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MUSIC: Devil's Haircut by Beck

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# Got a devil's haircut

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# In my mind... #

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Well, that certainly made my hair curl.

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Thanks, pal.

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Moving swiftly on.

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OK, we're upstairs in the flat now.

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Just a small hallway here.

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To my right, we have a decent-sized kitchen for a one-bed flat.

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You'd have to take all that out and start again.

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Here you've got the bathroom.

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Lovely shade of green. It is quite tight in there but, you know,

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it's a one-bed flat so you're not expecting anything too big.

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That, as well, would have to come out and you'd have to start again

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in the bathroom, too.

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Through into this room here, which is the bedroom.

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It is quite small and you seem to have a skylight up there

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which hasn't been finished at all.

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That would need doing.

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Through into this room here,

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which is definitely the lounge.

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Summing up this flat.

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New kitchen, new bathroom.

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Just spruce it up a bit.

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Bit of elbow grease and I think you'd be there.

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And, to put a commercial perspective on things, who better to speak to

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than an expert from the auction house who sold the property?

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First impressions on the property, great little investment.

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You've got an income straight away from the tenant on the ground floor.

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It's a hairdressers, they're always popular

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and people always generally want them in the future.

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So, even if it becomes vacant,

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probably it wouldn't be that difficult to find another tenant.

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Erm, the flat is separate, separate access.

0:16:460:16:49

So, again, it would suit a first-time occupier,

0:16:490:16:52

somebody looking to move out of the family home.

0:16:520:16:54

Probably lives local, maybe works in Rochdale.

0:16:540:16:57

So, there will always be a good demand for something like this.

0:16:570:17:00

And how much does he estimate the new owner will have to spend

0:17:020:17:05

to get this place back up to scratch?

0:17:050:17:08

To get the place up to scratch,

0:17:080:17:10

£1,500, £2,000.

0:17:100:17:12

Er, general redecoration.

0:17:120:17:14

Probably new floor coverings.

0:17:140:17:16

The kitchen, bit tired.

0:17:160:17:18

Perhaps new doors on the cupboards, new worktops,

0:17:180:17:22

but otherwise, not a great deal.

0:17:220:17:24

Would there be any benefit in selling the shop and flat separately?

0:17:250:17:28

There's no demand at all for these properties individually,

0:17:290:17:32

the flat or the shop separately.

0:17:320:17:35

They would always be sold as one unit,

0:17:350:17:37

so, we'd expect this to sell for between £80,000 and £90,000.

0:17:370:17:41

This is potentially a great little investment in a good location,

0:17:420:17:46

and whoever buys it, they've got that business downstairs,

0:17:460:17:49

so money's coming in straight the way.

0:17:490:17:50

There's not an awful lot that needs doing in there, so I think it would be money well spent.

0:17:500:17:54

Let's see who wanted it when it went under the hammer.

0:17:540:17:57

Traditionally constructed, end-of-terrace property

0:17:580:18:01

providing self-contained ground-floor retail commercial unit,

0:18:010:18:05

with a first-floor, self-contained flat,

0:18:050:18:07

accessed from the rear.

0:18:070:18:10

Nice and easy, 65.

0:18:100:18:11

60, then. See a bid at 60,000?

0:18:120:18:15

Anybody here straight in at 60?

0:18:150:18:18

60 I'm bid. At 60 I'm bid, then.

0:18:180:18:21

In fives. At £60,000.

0:18:210:18:22

Five anywhere?

0:18:230:18:24

If not, I'll take two.

0:18:240:18:26

At £60,000, then.

0:18:260:18:27

62.

0:18:270:18:29

64...

0:18:290:18:30

Once the bidding got started,

0:18:300:18:32

the price rose steadily.

0:18:320:18:34

We rejoin the auction with the price at £85,000.

0:18:340:18:38

At £85,000.

0:18:380:18:40

On my right on the aisle.

0:18:400:18:41

Here to sell, don't lose it.

0:18:410:18:43

First-time.

0:18:430:18:44

Second time at £85,000.

0:18:440:18:46

New bidder, 86.

0:18:460:18:48

87. 88.

0:18:480:18:49

89.

0:18:510:18:52

90?

0:18:520:18:54

89, here. Been with me all the way.

0:18:540:18:56

At £89,000.

0:18:560:18:58

With you, sir. Against you and against you.

0:18:580:19:00

First-time. Second time all done.

0:19:000:19:03

£89,000...

0:19:030:19:05

selling...

0:19:050:19:07

Well done, sir. 692.

0:19:070:19:08

The successful bidder was Faisal,

0:19:130:19:15

a local property developer and landlord.

0:19:150:19:18

Before he moved into this business,

0:19:180:19:20

Faisal had another occupation and the song is a bit of a clue.

0:19:200:19:23

MUSIC: In The Navy by Village People

0:19:230:19:25

# In the navy

0:19:250:19:26

# In the navy... #

0:19:260:19:27

No, he wasn't in the Village People.

0:19:270:19:30

All will be revealed back at the flat.

0:19:300:19:32

Faisal, nice to meet you.

0:19:330:19:34

-Nice to meet you.

-Congratulations, sir.

-Thank you very much.

0:19:340:19:37

What attracted you to this property?

0:19:370:19:39

It's the area, because I live locally

0:19:390:19:41

and most of my properties are in this area.

0:19:410:19:44

It's easy to have a look at them and easy for maintenance-wise as well.

0:19:440:19:47

And then, I'm concentrating more on the commercial side,

0:19:470:19:50

and this property was already rented,

0:19:500:19:52

so it's extra income already coming.

0:19:520:19:54

Tell us a bit about your background, before property.

0:19:540:19:57

Er, before property, I was in the navy.

0:19:570:19:59

I was Lieutenant Commander in the Pakistan Navy.

0:19:590:20:01

I served on board ship 14 years,

0:20:010:20:04

and after I have took premature retirement and came to UK in 1996.

0:20:040:20:09

So, when I came to this country, I didn't have a job.

0:20:090:20:12

So, one of my relatives, he was, erm, he kindly offered me.

0:20:120:20:15

He said, "Oh, I do the property, so if you want to join in, you know,

0:20:150:20:18

and then let's start this renting business."

0:20:180:20:21

What're you going to do to the flat?

0:20:210:20:22

Er, I'm going to do the kitchen, full reinstatement of the kitchen.

0:20:220:20:25

-And we'll take the chimney breast out of the kitchen.

-Yes.

0:20:250:20:28

Just upstairs, not the downstairs.

0:20:280:20:30

And, then I'm going to do the full bathroom new.

0:20:300:20:32

Fully tile the bathroom, take out the bath and put a shower there.

0:20:320:20:36

And then, basically,

0:20:360:20:38

everything renovating in the bathroom and the kitchen.

0:20:380:20:40

Talking of work, who's going to do the work for you?

0:20:400:20:43

I've got a team of builders and I've been doing the property development

0:20:430:20:47

almost for 18 years as well, so, I'm quite handyman myself as well.

0:20:470:20:51

And, er, my team is really, really very good,

0:20:510:20:53

so I think we all will chip in

0:20:530:20:55

and hopefully get this property going very quick.

0:20:550:20:58

What will you do yourself? What are you handy with?

0:20:580:21:00

I do kitchens and I do bathrooms as well.

0:21:000:21:03

Do you? You don't need anybody else!

0:21:030:21:05

No, of course not. But, because of the number of properties, you know,

0:21:050:21:08

it's very difficult to concentrate and spend more time on one place,

0:21:080:21:11

and that's why I bring people in to help me out.

0:21:110:21:14

OK. And downstairs, you'll just keep it as is? Let that run itself?

0:21:140:21:17

Downstairs will stay as it is because it's on the, you know,

0:21:170:21:19

self-repairing and insuring lease, so, we're OK with that.

0:21:190:21:22

I think it's going to maintain that,

0:21:220:21:24

and it's in good condition as well at the moment.

0:21:240:21:26

So, it doesn't need spending anything downstairs.

0:21:260:21:28

Faisal's wealth of experience means he's well equipped to deal with any

0:21:320:21:35

problems this Rochdale property might throw at him.

0:21:350:21:39

Well, almost anything.

0:21:390:21:41

So, Faisal, have you got any concerns on the roof?

0:21:410:21:43

-I see there's a few...

-Yeah, there's a few missing tiles, so,

0:21:430:21:46

first thing is, I'm going to get the roofer in and make sure that

0:21:460:21:49

the tiles are sorted because the weather is...

0:21:490:21:52

Rochdale is always raining, anyway.

0:21:520:21:53

If there's nowhere else raining, it's raining in Rochdale.

0:21:530:21:56

So, that's the priority for me to sort out.

0:21:560:21:59

-Anywhere near Manchester it's always raining.

-Always raining, yeah.

0:21:590:22:04

'Now, I do want to rain on Faisal's parade,

0:22:040:22:07

'but he paid 89 grand for this property,

0:22:070:22:10

'which is pretty much the market value the estate agent estimated.'

0:22:100:22:13

And were you happy with what you paid for the property?

0:22:170:22:19

Erm, in fact, I think I've been very lucky,

0:22:190:22:21

because when I went to the property I thought,

0:22:210:22:23

"Oh, yeah, probably my limit was up to £100,000."

0:22:230:22:26

And it came out to be about £89,000, so, I was really,

0:22:260:22:30

really happy that I got it for that price.

0:22:300:22:32

But I was ready to go up to £100,000 as well.

0:22:320:22:34

-Ah, so you've got a little bit left in the budget, there?

-Correct, yes.

0:22:340:22:37

-And how much have you got to spend on this?

-I think about £3,000-£4000.

0:22:370:22:41

Especially because, my experience in property development,

0:22:410:22:45

if you want to do a decent kitchen, it costs you around £2,000.

0:22:450:22:49

And then roughly the same, you know,

0:22:490:22:50

about £1,000-£1,500 on the bathroom as well.

0:22:500:22:53

And then a little bit on the painting and decorating.

0:22:530:22:56

So, I'm hoping, really, between £3,000 and £4,000.

0:22:560:22:59

And how long will it take you to get this one turned around?

0:22:590:23:01

Erm, I think, er, four weeks.

0:23:010:23:03

That's the, you know, timescale I'm prepared to spend, you know,

0:23:030:23:07

time-wise on this one.

0:23:070:23:08

Because I think, after that, I'm holding back this flat

0:23:080:23:12

for... For no reason.

0:23:120:23:15

I could easily put a tenant in and just start getting the

0:23:150:23:18

-income from, er, you know... straight away, then.

-OK.

0:23:180:23:20

So, what kind of money are you going to be getting back?

0:23:200:23:23

Downstairs shop is already rented to the barber shop and is producing

0:23:230:23:27

£500 income per calendar month, and I'm expecting £350 for the flat.

0:23:270:23:32

So, hopefully, once it's tenanted the altogether income will be £850.

0:23:320:23:38

Is that the kind of yield you were looking for?

0:23:380:23:40

Yeah, I think it's roughly about 10%,

0:23:400:23:42

which is really great in this industry, for the property industry.

0:23:420:23:46

People are expecting, and when they're working,

0:23:460:23:48

they're working almost for this yield,

0:23:480:23:50

keeping in mind they'll get 10% return on their investment.

0:23:500:23:54

Are these the kind of properties you look for?

0:23:540:23:56

I had residential properties first,

0:23:560:23:58

but I've moved on to commercial ones now.

0:23:580:24:01

The reason is that commercial tenants are more stable.

0:24:010:24:04

They're there for a longer time

0:24:040:24:06

and they're not as much maintenance required, to be honest.

0:24:060:24:08

-You've got it all wrapped up, pal.

-It is, yes.

-It's a doddle for you.

0:24:080:24:11

-I wish you all the best.

-Thank you very much.

0:24:110:24:13

-Good luck, Faisal.

-Thank you very much, thank you.

0:24:130:24:16

With Faisal's experience, this project will be a doddle,

0:24:160:24:19

and with his naval history, I'm sure he'll take command of the situation.

0:24:190:24:23

But will he sink or swim?

0:24:230:24:25

You can find out how he gets on later in the programme.

0:24:250:24:27

Coming up, in Eccles, Kent,

0:24:290:24:31

there are no short cuts when it comes to new-builds.

0:24:310:24:34

Don't ignore the rules, as they're there for a reason.

0:24:360:24:39

And in Rochdale, Lancashire,

0:24:400:24:42

former naval officer Faisal has reluctantly got back in the water.

0:24:420:24:46

Our work had been hampered majorly because of the rain.

0:24:460:24:49

Remember this two-bedroom bungalow in Alsager, Cheshire?

0:24:530:24:57

With a shed at the bottom of the drive,

0:24:570:24:59

and a back garden that needed a bit of a clear-up.

0:24:590:25:03

When I looked around it, I found some peculiar water damage.

0:25:030:25:07

That's very odd.

0:25:080:25:10

The bottom of the doorframe there has all rotted away

0:25:100:25:13

and it looks like there's damp on that wall.

0:25:130:25:15

Seems to be there's portions of the bungalow where there's a bit of a

0:25:150:25:19

damp issue, and yet it doesn't smell damp, and the carpet's not

0:25:190:25:22

particularly ruined and...

0:25:220:25:23

HE SIGHS

0:25:230:25:25

Hmmm.

0:25:250:25:26

'Bathroom was bath-less, so, as a possible source of the problem,

0:25:260:25:30

'it was off the hook.'

0:25:300:25:31

'The property was bought by husband-and-wife team John and Ann

0:25:330:25:37

'for £110,000, to initially do up and sell on.

0:25:370:25:41

'But then Ann decided she'd like to keep it as their home,

0:25:410:25:45

'and she knew who was going to cop for most of the work.'

0:25:450:25:48

Erm, I was a joiner many years ago.

0:25:500:25:52

Building inspector after that, for quite a number of years.

0:25:520:25:57

-Literally, hands-on stuff.

-Oh, God, yes. Yeah.

0:25:570:26:00

Obviously, not the wiring or the plastering or the plumbing,

0:26:000:26:03

but anything that wants doing,

0:26:030:26:05

and joinery work, and shifting, and the skip filling up, I'll do it.

0:26:050:26:09

Will you ever slow down and take you foot off the gas?

0:26:090:26:12

No, I'm a young 69.

0:26:120:26:13

I've got lots of years in front of me yet.

0:26:130:26:15

When I snuff it, it's the time to sleep.

0:26:150:26:18

Erm, I'll carry on as long as I can.

0:26:180:26:20

The couple were expecting a four to five month work schedule.

0:26:220:26:26

In reality, it turned into 13 months,

0:26:260:26:30

but they did take a five-month break.

0:26:300:26:32

They were able to sell their own flat remarkably quickly,

0:26:320:26:36

so, they moved in before tackling the outside work.

0:26:360:26:40

John retired ten years ago but, as a building inspector on site,

0:26:400:26:44

he was used to being king of all he surveyed - quite literally.

0:26:440:26:48

But, with this project,

0:26:480:26:50

he's had to take into account the wishes of his Queen Ann.

0:26:500:26:56

# And, oh, oh, oh, I was a king under your control

0:26:560:27:04

# And oh, oh, oh, I want to feel like you've let me go

0:27:040:27:10

# So let me go. #

0:27:100:27:13

As you might expect from a former building inspector, everything,

0:27:150:27:19

and I mean everything, has been done to the highest standards.

0:27:190:27:23

Nowhere is this more evident than in the bathroom,

0:27:230:27:26

which finally lives up to its name.

0:27:260:27:28

It has a bath!

0:27:280:27:30

And no worries about the water-damaged woodwork -

0:27:300:27:33

that's all been replaced.

0:27:330:27:34

MUSIC: King by Years and Years

0:27:400:27:44

The colour scheme and finishing touches of soft furnishings

0:27:500:27:53

have a very tasteful touch,

0:27:530:27:56

and the all-new windows and light-fittings

0:27:560:27:58

really brighten up the rooms.

0:27:580:28:00

What was once tired and jaded has become modern and vibrant.

0:28:000:28:05

John and his specialist trade people have definitely breathed new life

0:28:050:28:10

into this bungalow.

0:28:100:28:11

And, of course, all of it under Ann's discerning eye.

0:28:110:28:15

Well, by the looks of it,

0:29:040:29:06

King John and Queen Ann certainly make a good team.

0:29:060:29:10

But there must have been differences of opinion along the way, I'm sure.

0:29:100:29:16

I do like the new bay window, though.

0:29:160:29:18

We've put a bay in.

0:29:180:29:20

Ann wanted a bay rather than a flat window.

0:29:200:29:22

I wasn't fussy,

0:29:220:29:24

but I'm glad that she's got her own way because it does look nice.

0:29:240:29:26

Well, it works.

0:29:260:29:27

Was there anything else you gave way on, John?

0:29:270:29:30

She's the boss,

0:29:300:29:31

so I did as I was told and what she wanted went in.

0:29:310:29:35

-Got in, in the end.

-THEY LAUGH

0:29:350:29:37

Didn't that make working together a little tense?

0:29:370:29:40

Er, working together? Pass.

0:29:410:29:44

I'm joking. Erm, we get on great.

0:29:440:29:46

He'd start something and I'd say,

0:29:460:29:48

"I think I've changed me mind on that one. I think we'll have something different."

0:29:480:29:51

-As women do. But everything's been fine.

-It's good.

-No problems.

-No.

0:29:510:29:55

-We haven't fallen out at all.

-No.

0:29:550:29:57

I wish that was the case for all the refurbishments I see on the show.

0:29:570:30:02

How about money? That can usually cause a tiff or two.

0:30:020:30:06

How did the original £20,000 budget stand up?

0:30:060:30:09

Price-wise, how much have we spent?

0:30:100:30:12

Ooh, gosh...

0:30:120:30:14

Er, roughly round about 28,000.

0:30:140:30:16

We didn't expect to spend that much,

0:30:160:30:18

but because we were going to live in it ourselves, it was a case, well,

0:30:180:30:21

we'll do better stuff.

0:30:210:30:23

We'll have nicer flooring and nicer doors and light-fittings

0:30:230:30:26

and all the rest of it.

0:30:260:30:27

And the kitchen was a little bit more higher spec than we probably would have put in.

0:30:270:30:32

We've put in two local estate agents to get their views and valuations

0:30:320:30:36

for the property.

0:30:360:30:38

I think the main selling points of the property are the

0:30:380:30:40

excellent finish to the renovation,

0:30:400:30:43

particularly all-new double glazing,

0:30:430:30:45

new central heating system and new electrics put in place.

0:30:450:30:48

I like that the bedrooms are at the back of the property.

0:30:480:30:51

I think it gives more privacy and I think it's quite a selling point

0:30:510:30:55

for that reason.

0:30:550:30:56

I also like the fact that the kitchen is on the front,

0:30:560:30:58

because I think it is quite nice

0:30:580:31:00

to have a little look out while you're washing the dishes.

0:31:000:31:02

Although John and Ann show no signs of selling just yet,

0:31:020:31:07

what would their property be worth now?

0:31:070:31:10

They paid £110,000 at auction

0:31:100:31:12

and spent a further £28,000 on refurbishment.

0:31:120:31:16

So, any value above 138,000 would be good news.

0:31:160:31:20

On the current sales market,

0:31:200:31:22

I would value this property at £155,000-£160,000.

0:31:220:31:28

In the current sales market,

0:31:280:31:29

this property could achieve in the region of £175,000-£180,000.

0:31:290:31:36

Crikey! That could potentially mean a pre-tax profit of anywhere between

0:31:360:31:40

£17,000 and a stonking £42,000.

0:31:400:31:46

What do they think of that?

0:31:460:31:48

I'm really surprised.

0:31:480:31:50

Never thought, for one minute, it would reach those figures.

0:31:500:31:53

Whichever one, the lower or the higher, is great.

0:31:530:31:56

That's fine, because we were looking at it for a living here,

0:31:560:32:00

possibly for the rest of our lives,

0:32:000:32:02

but we'll wait and see on that.

0:32:020:32:03

Possibility. We'll wait and see. See what fate takes us!

0:32:030:32:06

Well, I'm betting fate takes you back down to the auction once again.

0:32:060:32:09

Just as soon as John gets bored.

0:32:090:32:12

I'm in the county known as the Garden of England - Kent.

0:32:190:32:22

Home to hops, oast houses and the village of Eccles -

0:32:220:32:26

not to be confused with it's northern namesake,

0:32:260:32:29

where the cakes come from.

0:32:290:32:30

Eccles is a short hop from Maidstone, and there's easy access

0:32:300:32:34

to the motorways nearby.

0:32:340:32:36

And if you want to be close to open green spaces, well,

0:32:380:32:41

this is a great street,

0:32:410:32:43

because you're surrounded by fields and parks.

0:32:430:32:46

Just look at the view over there - it's lovely.

0:32:460:32:49

Now, this is a sought-after road to live on,

0:32:490:32:51

but the guide price for the auction lot I'm here to see was 90-95,000.

0:32:510:32:56

Sounds intriguingly cheap for this area.

0:32:560:32:59

Shall we take a look and see what you actually get for your money?

0:33:030:33:06

Dun-dun-duh!

0:33:060:33:07

Couple of sheds, ha-ha!

0:33:070:33:09

A really glamorous one, as well, at the end here.

0:33:090:33:11

It's like a little gingerbread house.

0:33:110:33:12

But, no, that's a joke because that's not with you get.

0:33:120:33:15

Come into the garden and, erm... Voila!

0:33:150:33:18

It is a plot of land.

0:33:180:33:20

It comes with planning permission to build a semidetached house

0:33:200:33:24

on the end of this one here.

0:33:240:33:26

So, it's going to have three stories and four bedrooms.

0:33:260:33:29

My guess is the people that used to live next door

0:33:290:33:33

have sold their garden off to create this wonderful plot.

0:33:330:33:36

Fantastic.

0:33:360:33:37

I said semidetached,

0:33:390:33:40

but I suppose it's actually going to be an end-terrace,

0:33:400:33:43

and the former end-terrace will become a mid-terrace.

0:33:430:33:47

It seems more than likely that the owners must have weighed up any loss

0:33:470:33:50

in value in the house against the money made from selling the plot.

0:33:500:33:54

However, if certain guidelines are met,

0:33:580:34:00

you can retain the existing external wall as a separation

0:34:000:34:04

between the old and the new house.

0:34:040:34:07

If you do go down this route,

0:34:070:34:09

then the foundations will have to be exposed and checked

0:34:090:34:12

to ensure they're suitable for an increased load.

0:34:120:34:14

The wall will have to be checked to ensure it complies

0:34:140:34:17

with building regs and can sustain movement without cracking,

0:34:170:34:21

and has an effective damp-proof course.

0:34:210:34:24

A party-wall agreement with the neighbouring property

0:34:240:34:27

will also need to be made.

0:34:270:34:29

The route you decide to take will be dictated by building regulations

0:34:290:34:33

and the condition of materials you're working with.

0:34:330:34:36

Don't ignore the rules, as they're there for a reason.

0:34:360:34:39

The granted planning permission is for a similar house

0:34:390:34:42

to what will become next-door -

0:34:420:34:44

a top-floor master bedroom in the roof space,

0:34:440:34:47

and three bedrooms on the first floor.

0:34:470:34:49

Building works will undoubtedly mean disruption and noise.

0:34:510:34:56

My advice?

0:34:560:34:57

Keep the neighbours informed

0:34:570:34:58

and listen to any concerns they might have.

0:34:580:35:00

It should make everyone's life more pleasant.

0:35:000:35:03

We called in a local estate agent to get some valuations

0:35:090:35:12

for the completed project, and to find out more about the area.

0:35:120:35:16

I think this street is a very desirable street.

0:35:180:35:20

There's a park opposite for the children and it's a good place

0:35:200:35:23

for families to raise their kids.

0:35:230:35:25

What are the thoughts on the quality of the plot?

0:35:250:35:28

I think this is a great building plot.

0:35:280:35:29

It's flat and I think the house should be easy to construct,

0:35:290:35:32

there's no clearance required, so it should be a fairly easy project.

0:35:320:35:36

Would you change anything about the plans?

0:35:360:35:39

Having studied the plans,

0:35:390:35:40

I don't think I would make any changes at all.

0:35:400:35:42

The only thing I may do is consider adding a conservatory at some point

0:35:420:35:47

in the future, just to create that little bit of extra space.

0:35:470:35:50

This is a relatively small village, so,

0:35:500:35:53

will there be a demand for such a large house?

0:35:530:35:56

I think there is a good demand for four-bedroom houses in this location

0:35:560:36:00

and I hope that they finish it to a good standard and it should be quite

0:36:000:36:03

easy to sell.

0:36:030:36:04

What sort of potential market is there for the property around here?

0:36:040:36:08

When this house is actually built, I feel that, freehold,

0:36:080:36:11

it will sell for £285,000 at today's values.

0:36:110:36:16

And, as far as rental is concerned, approximately £1,500 a month.

0:36:160:36:19

From a shed to a whole new house,

0:36:210:36:23

this is an auction lot with more potential

0:36:230:36:25

than it seemed at first glance.

0:36:250:36:27

Yes, I'm sure there will be challenges along the way,

0:36:270:36:29

but buy this in this popular spot, and you're off to a good start.

0:36:290:36:33

Who agreed? Let's head to auction and find out.

0:36:330:36:36

130 now,

0:36:370:36:38

and this is land with planning for an attached four-bedroom house.

0:36:380:36:42

Very good area for resales, it's freehold and vacant possession.

0:36:420:36:46

Where are you going to start me? Can I see £90,000 to start me?

0:36:460:36:50

£90,000, can I say give me 85, start me where you will?

0:36:500:36:54

85,000 have got.

0:36:540:36:56

87 bid I have.

0:36:560:36:58

Put it up to 90. At 90, and two.

0:36:580:37:01

92, 92 can I see?

0:37:010:37:02

94, 96?

0:37:020:37:04

96, 98?

0:37:040:37:06

98? Going up to 100.

0:37:060:37:08

And two. 102.

0:37:080:37:09

And four? And six?

0:37:090:37:11

And eight?

0:37:110:37:13

In the packed sales room,

0:37:130:37:14

bids climb rapidly to where we rejoin at 114,000.

0:37:140:37:19

At 114. 116?

0:37:190:37:22

116, 118, 118?

0:37:220:37:24

No? At 116, back to you, madam.

0:37:240:37:27

116,000 for the first time.

0:37:270:37:29

116,000 for the second time.

0:37:290:37:32

Third and final time, at 16,000, stuck with it, yours,

0:37:320:37:36

well done and the number is M260.

0:37:360:37:39

Right from the first to the last bid,

0:37:390:37:42

it was a success for Sue and Graham.

0:37:420:37:44

Now, I won't ask if they've done their homework on this purchase,

0:37:460:37:49

because not only does their daughter live down the road,

0:37:490:37:52

Sue and Graham, and their puppy Gus, currently live right next door.

0:37:520:37:57

# Walking the dog

0:37:570:37:59

# You are walking the dog

0:37:590:38:02

# Walking the dog, just walking the dog. #

0:38:020:38:06

When the couple were viewing the plot,

0:38:060:38:08

they discovered the house was for rent from the owner,

0:38:080:38:10

so they're here until the build is finished.

0:38:100:38:13

How perfect is that?

0:38:130:38:15

The house! Not the puppy.

0:38:150:38:17

Although the puppy is just so perfect, too.

0:38:170:38:20

I met Sue to talk through with the plans.

0:38:220:38:24

Sue, congratulations.

0:38:240:38:25

-Thank you.

-Well done.

0:38:250:38:27

Now, this is just... Well, it's such a lovely garden, really, isn't it?

0:38:270:38:32

-Yes.

-So, tell me the story. Who found it, why do you want it?

0:38:320:38:35

-I found it.

-Yeah.

0:38:350:38:37

My husband was going to auction,

0:38:370:38:38

so I found loads of properties for him to look at that were potential

0:38:380:38:42

and he didn't, you know, just didn't ever buy anything.

0:38:420:38:49

Mostly because they went for too much.

0:38:490:38:51

Because I gave him a limit for each property, so I said,

0:38:510:38:54

don't spend more than that on that and they all went over the limits,

0:38:540:38:58

and then this was the first auction I'd been to, property auction,

0:38:580:39:02

and I'd seen this plot and put a budget of 120,

0:39:020:39:07

because I knew how much property was worth round here,

0:39:070:39:10

knew what we were building. So, yeah.

0:39:100:39:14

So, were you looking specifically for a plot of land

0:39:140:39:17

-to build something for you to live in?

-No. No.

0:39:170:39:19

-So, this just happened to come up and it ticked a lot of boxes?

-Yes.

0:39:190:39:23

We were looking really for renovation properties,

0:39:230:39:27

but this came up and it just seemed ideal.

0:39:270:39:30

So, I know this plot comes with planning permission to build.

0:39:300:39:32

Are you going to tweak the plans or leave them exactly as they are?

0:39:320:39:35

Yeah, we're hoping to build an extension as well,

0:39:350:39:39

because currently, the planning only covers to the side of the house

0:39:390:39:43

-without the 2.5 metre extension.

-OK.

0:39:430:39:47

So we've submitted plans for that and, providing we get that,

0:39:470:39:52

that will make a huge difference.

0:39:520:39:54

If we don't, then we'll probably build a conservatory.

0:39:540:39:58

Sue's hoping to incorporate a ground floor extension within the size

0:40:000:40:04

that would normally be permitted development.

0:40:040:40:07

This will include bifold doors into the garden.

0:40:070:40:11

The neighbours have already extended in this way, so signs are hopeful.

0:40:110:40:15

This isn't their first project.

0:40:180:40:20

They've already renovated a house they inherited.

0:40:200:40:22

But this is their first foray into new builds.

0:40:220:40:26

Sue's been lucky to find a builder who'll give them an all-in price.

0:40:260:40:30

He is going to do everything for you?

0:40:300:40:32

You've got a price, it's within budget.

0:40:320:40:34

Come on, share the information, how much is it going to cost you?

0:40:340:40:37

It's going to cost us 128,000.

0:40:370:40:40

-Exactly?

-Well...

0:40:400:40:41

-And that's to do everything?

-That's to do everything.

-Yeah.

0:40:410:40:44

That's to tile, carpet, flooring, bathrooms, the whole works.

0:40:440:40:48

Obviously, you know, and the bifold doors, and if anything changes,

0:40:480:40:53

then we've got contingency for it.

0:40:530:40:56

But, I'm not thinking that we'll change very much.

0:40:560:40:59

Just be careful of those extras.

0:40:590:41:01

It's all those extras, you see, that they can add on that end up,

0:41:010:41:04

you know, amounting to quite a lot.

0:41:040:41:06

It's great that you've encompassed an all-in price with this.

0:41:060:41:09

How long do you think it's going to take to build?

0:41:090:41:12

-The builder says six to eight months.

-Right.

0:41:120:41:15

And you've got your budget, your timescale,

0:41:150:41:17

so is there anything that's worrying you about this?

0:41:170:41:20

No, not especially.

0:41:200:41:22

It's quite rare to actually buy a plot of land that's going to be

0:41:220:41:25

-attached to another house.

-Yes, yeah.

0:41:250:41:27

Any stipulations, have there been any problems so far with what you've bought?

0:41:270:41:31

With what's happened?

0:41:310:41:33

The only stipulation was that we had to have parking for two cars

0:41:330:41:36

somewhere on the plots.

0:41:360:41:38

So, we're planning to put the parking out front,

0:41:380:41:41

which none of the other houses on the road have,

0:41:410:41:43

but I don't really understand why.

0:41:430:41:45

And the other one is they did say that we couldn't build anything else

0:41:450:41:50

-on this plot of land.

-Mm-hm.

0:41:500:41:52

So the other bit with the extension, might be a slight problem.

0:41:520:41:57

Now, I know you got another little addition at the moment that's going

0:41:570:42:00

to be very involved.

0:42:000:42:02

Tell me about that gorgeous dog of yours!

0:42:020:42:04

Well, we lost our dog a year or so ago

0:42:040:42:08

and we've taken a long time to get over it

0:42:080:42:11

and we just got here and felt so settled, that my husband said,

0:42:110:42:16

"I think it's time we got another dog."

0:42:160:42:19

So, I looked online and found a little Jack-A-Poo,

0:42:190:42:22

so he's a Jack Russell crossed with a toy poodle.

0:42:220:42:24

-So that's where the fluffiness comes from, the poodle?

-Yes.

0:42:240:42:27

-He's absolutely gorgeous.

-Yes.

0:42:270:42:29

And are you thinking that this is going to be a long-term home for you

0:42:290:42:32

-to stay here for a long time?

-No.

-No?

-No.

0:42:320:42:35

We'll stay here until the build's finished,

0:42:350:42:38

and maybe a month or so after that, and then we'll find somewhere else.

0:42:380:42:42

-This isn't a home for you to live in?

-No.

0:42:420:42:44

This is the development project?

0:42:440:42:46

Sue, what role are you going to play whilst the project is going on?

0:42:460:42:49

I'm just go to sit and watch.

0:42:490:42:51

In the garden, in the sun!

0:42:510:42:54

-Hopefully.

-With the doggie?

-With the dog, yes.

0:42:540:42:56

-Really?

-Absolutely, yes. Definitely.

0:42:560:42:58

Sue, it's been lovely meeting you today.

0:42:580:43:01

I cannot wait to see the end result.

0:43:010:43:02

Good look with the project and good luck with the puppy.

0:43:020:43:05

-Thank you!

-Thank you, lovely to meet you.

0:43:050:43:07

OK, and you.

0:43:070:43:08

So, it's the first new-build project for a Sue,

0:43:100:43:12

but at least she's living right next door to keep her eye on the build.

0:43:120:43:16

But that's if she can tear herself away from her new little puppy.

0:43:160:43:20

Join me later in the programme to see if it all works well,

0:43:200:43:24

or if it turns out to be a right dog's dinner.

0:43:240:43:26

We've seen how our first buyer got on, but what about the other two?

0:43:290:43:32

Yeah, were they laughing all the way to the bank, or are they crying into their cornflakes?

0:43:320:43:36

Eloquently put, Lucy, you've been reading the thesaurus again.

0:43:360:43:39

Let's find out how they got on.

0:43:390:43:41

Time now to head back up the M62 to Rochdale, Lancashire.

0:43:450:43:48

The property I visited was this barbershop,

0:43:520:43:55

and an upstairs one-bed flat with separate access.

0:43:550:43:58

With the shop already leased to a tenant for £500 per calendar month,

0:43:590:44:03

there was ready income for any new buyer.

0:44:030:44:06

Now, it's well-known that us media types can't resist an opportunity

0:44:080:44:12

of a free makeover, but when this chap got going,

0:44:120:44:15

it was a hair-raising experience.

0:44:150:44:18

It did remind me of a short spell I had playing football for...Barnet.

0:44:180:44:22

GROANS

0:44:220:44:23

I'm here all week, folks!

0:44:230:44:25

No.

0:44:250:44:26

Upstairs, the flat was in reasonable condition,

0:44:280:44:31

but a new kitchen and bathroom but wouldn't go amiss,

0:44:310:44:34

and a general redecoration would finish the job nicely.

0:44:340:44:37

It was local property developer Faisal who paid £89,000

0:44:370:44:42

for this potentially lucrative buy-to-let opportunity.

0:44:420:44:46

My limit was up to £100,000 and it came out to be £89,000,

0:44:460:44:51

so I was really, really happy that I got it for that price.

0:44:510:44:53

A former officer in the Pakistan Navy,

0:44:530:44:56

Faisal swapped his sea legs for a sturdy pair of stepladders

0:44:560:45:00

and has built up some handy DIY skills since starting out

0:45:000:45:03

in the property world 18 years ago.

0:45:030:45:05

What are you handy with?

0:45:060:45:07

I do kitchens and I do bathrooms as well.

0:45:070:45:09

You don't need anybody else!

0:45:090:45:12

In this flat, those kind of skills were exactly what was required.

0:45:120:45:16

Faisal was keen to get this property turned around quickly and so set

0:45:160:45:20

himself a timescale of four weeks with a maximum budget of £4,000.

0:45:200:45:26

Eight weeks later,

0:45:260:45:27

we're back to finding out how he's been getting on.

0:45:270:45:30

Aside from a spot of snagging here and there,

0:45:400:45:43

this flat looks ready to move into.

0:45:430:45:45

But what does Faisal think of the end result?

0:45:450:45:48

I think overall,

0:45:480:45:49

I like the outlook of the kitchen and the bathroom.

0:45:490:45:52

You know, they just look amazing.

0:45:520:45:55

The work has been done to a good standard.

0:45:550:45:57

A major refurbishment has been done in the kitchen,

0:45:570:45:59

which means new kitchen units, new sink, new worktops

0:45:590:46:03

and the new tiles have been put in which nicely blend in

0:46:030:46:07

with the paint we've done, which is the magnolia.

0:46:070:46:10

And then the rest of the work in the bathroom, where we had a bath,

0:46:100:46:13

that has been removed now

0:46:130:46:15

and we have put a shower there, fully tiled,

0:46:150:46:18

new sink and new toilet set has been done there as well.

0:46:180:46:21

In the living room and bedroom,

0:46:240:46:26

it was a straightforward decorating job,

0:46:260:46:28

although new carpets have been added throughout.

0:46:280:46:31

Faisal even got to exercise his DIY muscles.

0:46:310:46:34

Most of the work has been done by my builders,

0:46:350:46:38

apart from the kitchen units and the worktop which I've done myself.

0:46:380:46:42

Nice job, pal, but don't forget it you still have to box in those

0:46:430:46:47

central heating pipes.

0:46:470:46:48

Although the heating, plumbing and electrics looked to be in good

0:46:500:46:52

condition, Faisal wasn't prepared to take any chances.

0:46:520:46:56

No work has been done on the heating and plumbing apart from checking it

0:46:560:47:00

so that it's safe for the tenant when they come in.

0:47:000:47:03

Safety first is definitely the only way to go when dealing

0:47:040:47:07

with gas and electrics.

0:47:070:47:09

# You'd better be nice, better think twice, better be careful. #

0:47:090:47:15

Always leave a little aside in your budget

0:47:150:47:17

for any expert inspections your property might require.

0:47:170:47:21

For peace of mind, it's worth paying that little bit extra.

0:47:210:47:24

On that subject, how did Faisal get on with his budget of £4,000?

0:47:240:47:28

We've been very lucky because I've done the work myself as well,

0:47:310:47:33

like, in the kitchen units and the worktop, I've done them myself.

0:47:330:47:36

So, at the end it cost us £2,650.

0:47:360:47:40

That's a massive £1,350 under budget.

0:47:420:47:46

And did he manage to complete the job within the four-week timescale?

0:47:460:47:50

Work has been hampered outside, majorly, because of the rain and,

0:47:500:47:53

because of that, we had two weeks delay in the project.

0:47:530:47:56

Apart from that, everything just went on schedule as we planned.

0:47:560:47:59

# Why does it always rain on me? #

0:47:590:48:04

Losing those two weeks meant that removing the chimney breast

0:48:040:48:07

in the kitchen slipped off Faisal's to-do list,

0:48:070:48:10

although the builder did manage to fix those loose slates.

0:48:100:48:13

Faisal's very happy with how the flat's turned out.

0:48:140:48:17

And, no matter how much rain falls in Rochdale,

0:48:170:48:20

nothing will dampen his spirits.

0:48:200:48:22

We've asked two local property experts

0:48:260:48:29

to have a look at the work he's done

0:48:290:48:31

and give us some valuations based on the local property market.

0:48:310:48:34

It's my first time inside the property.

0:48:340:48:36

The update to the kitchen and the bathroom, clearly money well spent,

0:48:360:48:39

as well as the redecoration work and the new carpets.

0:48:390:48:42

The standard of the finish is done to a very, very good standard,

0:48:420:48:46

and as soon as it does come on the rental market,

0:48:460:48:48

I know for a fact it will fly out.

0:48:480:48:51

So it shouldn't be difficult to let it.

0:48:530:48:55

On the sales market,

0:48:550:48:56

the agents believe the flat and the shop, sold together,

0:48:560:48:59

could fetch between £95,000 and £105,000.

0:48:590:49:04

At the high-end, that would give Faisal a pre-tax profit of £13,500,

0:49:040:49:08

against his roughly £91,500 spent.

0:49:090:49:13

What would the flat achieve on the rental market?

0:49:130:49:16

I would value this particular flat, in today's market,

0:49:180:49:21

at £360 per calendar month.

0:49:210:49:24

I would expect it to achieve a rental income

0:49:240:49:27

of approximately £375-£400 per calendar month.

0:49:270:49:31

With the downstairs shop earning a rental of £500 per calendar month,

0:49:320:49:37

and an additional monthly rent from the flat

0:49:370:49:40

possibly as high as £400 per calendar month,

0:49:400:49:43

could bring Faisal a total monthly income of £900,

0:49:430:49:47

and that's a yield of 12%.

0:49:470:49:49

I've got, already, somebody who's interested in the property,

0:49:490:49:52

and he offered me 325, which I've accepted.

0:49:520:49:56

So, I think I will stay with them because we've already agreed.

0:49:560:50:00

Settling for that lower income still means that Faisal is earning

0:50:010:50:05

a return on investment of 11%.

0:50:050:50:08

He's shown that a little bit of DIY knowledge can save money

0:50:080:50:11

and add value.

0:50:110:50:13

Does he have any tips for wannabe developers?

0:50:130:50:16

I would definitely say to people who want to do the property development,

0:50:170:50:21

that they should do it but, before doing that,

0:50:210:50:24

they should have some sort of on-hand experience -

0:50:240:50:26

joining, a builder, or just go to college or any institution

0:50:260:50:31

which can provide a few tips and training to these guys.

0:50:310:50:35

And it will be definitely worth it,

0:50:350:50:36

but you have to have a little bit of experience before,

0:50:360:50:38

if you want to do DIY yourself.

0:50:380:50:40

Back to Kent, and the small village of Eccles where,

0:50:460:50:49

previously in the show, I looked around a side and back garden,

0:50:490:50:52

bought at auction of £116,000.

0:50:520:50:55

Shall we take a look and see what you actually get for your money?

0:50:570:51:00

Dun-dun-duh!

0:51:000:51:01

Couple of sheds! Ha-ha!

0:51:010:51:03

A really glamorous one, as well, at the end, here.

0:51:030:51:05

Come into the garden and... Voila - it's a plot of land.

0:51:050:51:10

It comes with planning permission

0:51:100:51:12

to build a semidetached house on the end of this one, here.

0:51:120:51:15

So, it's going to have three stories and four bedrooms.

0:51:160:51:19

My guess is the people that used to live next door have sold their

0:51:190:51:24

garden off to create this wonderful plot.

0:51:240:51:27

The new owners of the plot were husband and wife Graham and Sue.

0:51:270:51:31

Their aim - to do the new build and sell on,

0:51:310:51:34

budgeting £128,000 for the work over a 6-8 month time period.

0:51:340:51:40

So, you want to build an exact replica of what's next door,

0:51:400:51:44

and you also want to try and build an extension of the back of the house,

0:51:440:51:47

like all the others along have.

0:51:470:51:49

-Yeah.

-Do you think you may have any problems with that?

0:51:490:51:51

Possibly. I don't really know.

0:51:510:51:53

The architect's working on it at the moment and he's,

0:51:530:51:56

he's on holiday this week,

0:51:560:51:58

but he's hoping to submit the plans next week.

0:51:580:52:00

So, were you looking specifically for a plot of land

0:52:000:52:03

-to build something for you to live in?

-No.

0:52:030:52:05

-So this just happened to come up and it ticked a lot of the boxes?

-Yeah.

0:52:050:52:09

We were looking, really, for renovation properties,

0:52:090:52:13

but this came up and it just seemed ideal.

0:52:130:52:16

Altering plans that have already been passed

0:52:170:52:19

can be a very time-consuming exercise.

0:52:190:52:23

Permitted development rules on extensions only apply to existing

0:52:230:52:26

structures, and Sue and Graham were planning a new build.

0:52:260:52:30

This also meant their plans would be open to objections

0:52:300:52:33

from members of the public.

0:52:330:52:35

We're back, nine months later, to see what happened.

0:52:360:52:41

# Carry me home when this is over

0:52:410:52:45

# Carry me home into the sun

0:52:450:52:50

# Through all the highs

0:52:500:52:52

# And all the hard times

0:52:520:52:54

# When we are grey and old

0:52:540:52:57

# Will you carry me home? #

0:52:570:53:00

Well, it's nearly finished, and they got permission for the extension,

0:53:020:53:06

although the planning process had delayed things.

0:53:060:53:09

Sue got her bifolds and the lounge extension looks to have

0:53:110:53:14

doubled the space.

0:53:140:53:15

Where there was once a gable end wall,

0:53:170:53:19

there's now an entrance hall and kitchen with all the mod cons.

0:53:190:53:23

# One day, baby, we can have it all. #

0:53:260:53:28

You could, Gary, including your own state-of-the-art wok burner,

0:53:280:53:33

state-of-the-art sink and kitchen units.

0:53:330:53:36

# You could carry me...

0:53:400:53:41

# Carry me home, when this is over... #

0:53:410:53:45

Let's carry on upstairs, to the second floor to be precise,

0:53:460:53:50

which comprises of an en-suite with roof windows to give a bright,

0:53:500:53:54

airy feel to the master bedroom.

0:53:540:53:56

From here, you get a good view of the remaining back garden,

0:53:590:54:02

here, on the left.

0:54:020:54:04

Down on the first floor there's the family bathroom,

0:54:050:54:08

which is fitted out with good-quality tiles and units.

0:54:080:54:11

# When we are grey and old

0:54:110:54:14

# Will you carry me home? #

0:54:140:54:17

It's on this floor where you'll find the three further bedrooms,

0:54:210:54:24

all of a reasonable size.

0:54:240:54:26

And, finally, on the ground floor, by the front lobby,

0:54:340:54:37

is a downstairs toilet which has a central heating boiler installed.

0:54:370:54:41

From an end of terrace garden to a new abode,

0:54:430:54:46

has anything else changed in the past nine months?

0:54:460:54:49

We've now decided that we're going to move in.

0:54:500:54:53

We like the area and it's very convenient and...

0:54:530:54:56

Yes. So we're hoping to move in in about three or four weeks.

0:54:560:55:02

What do you think Jack-A-Poo Gus will make of it all?

0:55:020:55:06

He's got a lot bigger than we thought he was going to get,

0:55:060:55:08

and changed colour.

0:55:080:55:10

But he's absolutely adorable and I think he'll love it,

0:55:100:55:14

absolutely love it here,

0:55:140:55:16

cos he's got so much more space to run around.

0:55:160:55:19

Apart from objections to the plans, were there other delays?

0:55:190:55:23

The plan we put in was wrong, so then we had to submit another plan.

0:55:230:55:27

Then we had put a larger window in the dormer than was in the original

0:55:270:55:30

plan, so we had to submit a plan for that.

0:55:300:55:33

And that probably extended all of that by about two to three months.

0:55:330:55:37

Currently, there's no water connected and the parking spaces are to be completed,

0:55:380:55:43

but has anything turned out better than expected?

0:55:430:55:47

My favourite part is the family bathroom.

0:55:470:55:49

I absolutely adore it.

0:55:490:55:51

I'm so pleased with it.

0:55:510:55:52

The tiles are lovely and the bath's a nice shape and, yeah,

0:55:530:55:58

I'm really pleased with that.

0:55:590:56:00

I bet you can't wait to get the water on, Sue, to try it out.

0:56:000:56:05

Sue thinks that, on completion,

0:56:050:56:06

they'll have spent £10,000 over their original budget,

0:56:060:56:10

taking the build cost to £138,000.

0:56:100:56:13

We called in two local estate agents,

0:56:160:56:19

to see if the project has been financially worth it.

0:56:190:56:23

The addition of the extension on the ground floor, I think,

0:56:230:56:26

is very necessary,

0:56:260:56:28

because it's quite a big house but most of the accommodation,

0:56:280:56:31

of course, is on the first and second floor so,

0:56:310:56:33

in order to create more of a family-type home,

0:56:330:56:36

it did need a little bit more room on the ground floor.

0:56:360:56:40

I'm very impressed with what has happened to this property.

0:56:400:56:43

White emulsion walls are very in keeping with the current trend.

0:56:430:56:47

The kitchen is very well fitted to a very high standard.

0:56:470:56:52

Yes, certainly very impressed, overall, that there's, really,

0:56:520:56:55

nothing I don't like, at all.

0:56:550:56:57

I think it's got top marks from me.

0:56:570:57:00

Sue and Graham have decided to move in,

0:57:000:57:02

but what potential profit might they have realised?

0:57:020:57:05

They paid £116,000 at auction for the plot

0:57:050:57:08

and £138,000 in build costs -

0:57:080:57:12

a total of £254,000.

0:57:120:57:16

If this property was put on the market now,

0:57:160:57:19

I would say they should achieve a figure in the region of £320,000.

0:57:190:57:23

I believe this property could sell for around about £325,000.

0:57:230:57:27

I'm quite impressed with that.

0:57:280:57:30

325 would be really, really good.

0:57:300:57:34

320, yeah, I'd be really happy with that.

0:57:340:57:37

Who wouldn't be happy with a £71,000 gain,

0:57:370:57:40

minus the usual taxes and expenses,

0:57:400:57:43

in just nine months?

0:57:430:57:45

Is it something you'd repeat, Sue?

0:57:450:57:46

I think if you'd asked us six months ago, we would have both said no,

0:57:480:57:51

we wouldn't do it again.

0:57:510:57:53

But I think, now, especially with the values that we've had

0:57:530:57:58

from the estate agents, I think, yes, we would do it again.

0:57:580:58:01

Behind every auction property there is a story to tell.

0:58:040:58:07

Yes, and it's generally a fascinating one.

0:58:070:58:09

And, what's more, we'll have plenty more for you next time.

0:58:090:58:12

Yeah, so join us again on Homes Under The Hammer.

0:58:120:58:14

-We'll see you then.

-Goodbye.

-Bye-bye.

-Goodbye.

0:58:140:58:16

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