0:00:02 > 0:00:07You may have bought antiques at an auction, even a car, but your home?
0:00:07 > 0:00:13Lots of people do, some as a way of making money, others take a ruin and turn it into their dream home.
0:00:13 > 0:00:19So join us now as we follow people as they buy their home under the hammer.
0:00:43 > 0:00:48Buying property can be a protracted and problematic experience.
0:00:48 > 0:00:54At least when the hammer falls, the property is yours, provided you've got the money!
0:00:54 > 0:01:00But that could be the least of your problems as many auction properties need a lot of work and attention.
0:01:01 > 0:01:07'This converted pub in Ayrshire has too many pint-sized features for my taste.'
0:01:07 > 0:01:10And it's really cramped.
0:01:10 > 0:01:15'In Mid Glamorgan, a block of three flats with big surprises in store.'
0:01:15 > 0:01:20You don't even get kitchens this size in a lot of houses I see!
0:01:21 > 0:01:26'And this nine-year-old, four-bedroomed detached house in Cornwall
0:01:26 > 0:01:31'is in near-mint condition.' You could move in here as it is.
0:01:33 > 0:01:40All these properties have been sold at auction and we'll find out who bought them and what they paid!'
0:01:45 > 0:01:52'Today I'm in Scotland, specifically East Ayrshire and a village called Ochiltree.
0:01:52 > 0:01:59'What a lovely location it is, too. Rolling hills, lush green pasture and a useful local shop as well.
0:01:59 > 0:02:04'It all seems picture perfect, but there's a catch.'
0:02:05 > 0:02:09The property I'm here to see is by the side of a very busy road,
0:02:09 > 0:02:16so that's not a particularly good start. This is it. Formerly a public house, The Hide Inn.
0:02:16 > 0:02:22It closed ten years ago when the last pint was pulled and it was converted into flats.
0:02:22 > 0:02:26I'm here to see one of those at a guide price of £39,000.
0:02:26 > 0:02:29Sounds cheap. Let's take a look.
0:02:36 > 0:02:42'It's a good rural location within commutable distance of Ayr, just 12 miles away,
0:02:42 > 0:02:49'and less than an hour's drive from Glasgow, but traffic surely affects the low guide price.
0:02:49 > 0:02:54'There's a way in off the street, but I'm heading round the back to a private entrance
0:02:54 > 0:02:58'where there's also good car parking space.'
0:02:58 > 0:03:04So, realistically, you're probably going to use this entrance more than the front one.
0:03:04 > 0:03:10You'll be parked out the back there. But it's straight into the kitchen and...a bit of a disappointment.
0:03:10 > 0:03:17It's... Well, it's a long galley kitchen, not a lot of space and it's pretty tired and dated.
0:03:17 > 0:03:23I don't really know how you could design this any different. That's bad, but as you go to the main part,
0:03:23 > 0:03:30you've got this horrible little sort of archway there. Really dark, really dingy.
0:03:30 > 0:03:35Then you come into this main part and it's really cramped.
0:03:35 > 0:03:41I can only just squeeze through. But it is two bedrooms, which is good - one there, one there.
0:03:41 > 0:03:47Living room sort of here. I'd actually make that the living room and make the bedroom at the back.
0:03:47 > 0:03:53Bathroom... Well, that's it. It is only a two-bedroom little flat and remember the guide price.
0:03:53 > 0:03:57Maybe you can make it a bit more open-plan. I don't know.
0:03:57 > 0:04:00For one person it would be fine.
0:04:00 > 0:04:07'If you don't mind squeezing down a narrow corridor, this flat is actually quite spacious.
0:04:08 > 0:04:12'Of the two bedrooms, one is very well proportioned
0:04:14 > 0:04:20'while the other suffers from an awkward layout with its built-in storage.
0:04:22 > 0:04:29'The bathroom, although not huge, is serviceable, but in serious need of modernisation.
0:04:29 > 0:04:33'The lounge is slightly on the small side,
0:04:33 > 0:04:40'so the new owner will have to be very careful choosing furniture, but it's a cosy space all the same.
0:04:43 > 0:04:46'Remember, the guide price was £39,000.
0:04:46 > 0:04:51'I invited along a local estate agent to hear his impressions.'
0:04:51 > 0:04:56I think it's a lovely little flat. It's got a lot of character to it.
0:04:56 > 0:04:59It was a former coaching inn.
0:04:59 > 0:05:05There's been some work done in terms of replastering, painting of walls et cetera,
0:05:05 > 0:05:12but the main thing most people do when they come into a flat like this is probably replace the bathroom,
0:05:12 > 0:05:20have a look at the kitchen. The units aren't terrible, but some things - a new cooker - are required.
0:05:20 > 0:05:26'What sort of rental income could it earn?'
0:05:26 > 0:05:32It could have a rental value in the range of maybe £350-£400.
0:05:33 > 0:05:38'That's £4,000-£5,000 a year. Once done up, what could it sell for?'
0:05:38 > 0:05:43I think once renovated, offers over £45,000.
0:05:43 > 0:05:49'In Scotland, the offers over system means putting in your best offer for a property.
0:05:49 > 0:05:53'In Ayrshire a couple of years ago, this meant adding 10% to the price,
0:05:53 > 0:05:57'but in the current climate it's anything from 0%-5%.
0:05:57 > 0:06:03'So depending on how much was spent on renovation, there might be some profit to be made here.'
0:06:03 > 0:06:09On the face of it, that £39,000 guide price is pretty good, but that road with the heavy lorries
0:06:09 > 0:06:16is a real downside. But you have got parking and the flat itself, not much work required.
0:06:16 > 0:06:21So, all in all, I'm sure it got a lot of interest under the hammer.
0:06:26 > 0:06:31Let's look for an opening bid at £25,000.
0:06:31 > 0:06:35£25,000 on the phone, straight in. £25,000.
0:06:35 > 0:06:37Looking for 26.
0:06:37 > 0:06:40£26,000 in the room. £26,000.
0:06:40 > 0:06:4227,000 on the phone.
0:06:42 > 0:06:4428? £28,000.
0:06:44 > 0:06:4629?
0:06:46 > 0:06:49£29,000. £30,000?
0:06:49 > 0:06:54Yeah? £30,000 it is. £30,000. 31?
0:06:54 > 0:06:5631,000. 32?
0:06:56 > 0:06:5832 it is. 32.
0:06:58 > 0:07:00I'll go 500 if it helps you.
0:07:00 > 0:07:0332 and a half. £32,500.
0:07:03 > 0:07:0433?
0:07:04 > 0:07:07£33,000.
0:07:08 > 0:07:10£33,000. Looking for 500 more.
0:07:10 > 0:07:1333 and a half. 33 and a half.
0:07:13 > 0:07:17£33,500. £34,000 is what I'm looking for.
0:07:17 > 0:07:20£34,000 it is. £34,000.
0:07:20 > 0:07:23£34,000.
0:07:23 > 0:07:25And 500.
0:07:25 > 0:07:28Looking for £35,000 now.
0:07:28 > 0:07:3235,000? One more. Yeah, 35,000. Why not?
0:07:32 > 0:07:35£35,000. £35,000.
0:07:35 > 0:07:38It's in the room at £35,000.
0:07:38 > 0:07:40500 more?
0:07:41 > 0:07:44Don't make me go 250, please.
0:07:47 > 0:07:50No? You're out. That extra one did it.
0:07:50 > 0:07:54£35,000. The hammer's up. Going to sell at £35,000.
0:07:54 > 0:08:01Last chance. Telephone bidder? Definitely out. £35,000 - sold. Congratulations.
0:08:01 > 0:08:07'The successful buyer was Anne, who has two daughters - Brogan, who is seven months pregnant,
0:08:07 > 0:08:13'and Abby. Anne works in marketing and PR for a government employment agency.
0:08:13 > 0:08:18'She and her husband bought the Ochiltree flat for £35,000
0:08:18 > 0:08:23'so their eldest daughter Abby could move out of the family home.
0:08:23 > 0:08:28'Before speaking to Abby and her mum, I had a chat with Brogan.'
0:08:28 > 0:08:34- Brogan, what do you think about it? - Yeah, it's quite nice. I think she'll like it.
0:08:34 > 0:08:40The first time I saw it, I was like, "It's really low in here!" because I'm so tall,
0:08:40 > 0:08:44but I think it could be quite nice. It needs a bit of work.
0:08:44 > 0:08:49- There's pressure on Mum and Dad to help you like they've helped Abby. - Yeah, definitely!
0:08:49 > 0:08:54They can help with the sleepless nights. I'll appreciate that.
0:08:54 > 0:08:59Abby, Anne, lovely to meet you. Congratulations. Tell me why you wanted this.
0:08:59 > 0:09:05Well, we came to see it together and the first thing was the village. We like the village.
0:09:05 > 0:09:09The price was another thing. That was probably the main thing.
0:09:09 > 0:09:15Looking to purchase properties in Ayrshire, especially in Ayr, Prestwick and Troon for Abby
0:09:15 > 0:09:17is very, very pricey.
0:09:17 > 0:09:22- So basically you've bought it for... you.- Yeah.- Great. Fantastic.
0:09:22 > 0:09:27- What did you think when you walked through the door?- Em, I like it.
0:09:27 > 0:09:31- It just needs all fixed.- Everyone's got their own style and taste.
0:09:31 > 0:09:38We liked that it had two bedrooms. Abby's got enough clothes for about three families.
0:09:38 > 0:09:42So she needed a spare room to put all her clothes in.
0:09:42 > 0:09:45What are you going to do to it?
0:09:45 > 0:09:50Em, basically, we'll just rip the kitchen out, rip the bathroom out.
0:09:50 > 0:09:54The flooring - just completely rip it out and start again.
0:09:54 > 0:10:00- Right.- I think I'll get reclaimed floorboards for the hall and the living room
0:10:00 > 0:10:08and then just carpets for the rest. And maybe do a feature wall in the living room, black and white.
0:10:08 > 0:10:12- And red.- And red.- Yeah. In the living room.
0:10:12 > 0:10:15How much have you got set aside?
0:10:15 > 0:10:20- About £5,000, hopefully!- That's our budget. It'll be interesting.
0:10:20 > 0:10:24- My husband says, "It'll be more like £15,000!"- And are you paying for it?
0:10:24 > 0:10:26- Yeah.- Right.
0:10:26 > 0:10:31- So you'll keep a keen eye on it. - Yeah, definitely.- Yeah.
0:10:31 > 0:10:36So what was the process to decide now was the time for your own place?
0:10:36 > 0:10:41Abby's been really keen to move out for a while.
0:10:41 > 0:10:45She's 21 and I think the time's right to do that if she can afford it.
0:10:45 > 0:10:53I don't want her to move somewhere and end up really struggling. That was important to us as well.
0:10:54 > 0:11:01'But it's not just about Abby. Anne and her husband are in the process of selling their existing house.
0:11:01 > 0:11:08'They took several years to convert a shed that housed cattle into a five-bedroom luxury home,
0:11:08 > 0:11:11'while they lived in a caravan.'
0:11:11 > 0:11:15A caravan for 2.5 years?! With two children?
0:11:15 > 0:11:20- Two children, a dog, a cat and four goldfish.- How was that?!- Horrendous!
0:11:20 > 0:11:26It was horrendous! It was an old caravan with a gas fire, no double glazing. Not what you see now.
0:11:26 > 0:11:32- A bit cold for the goldfish. - Yes, what happened one winter was that I got up in the morning
0:11:32 > 0:11:37and the tank was frozen. They were all at a little tiny bit of water,
0:11:37 > 0:11:40all sitting like this!
0:11:40 > 0:11:44'I do hope Abby fares better here than those poor goldfish did!
0:11:53 > 0:11:59'She'll be getting family and friends to do most of the work and pulling in professionals if needed.
0:11:59 > 0:12:06'But she has a strict six-week timescale because there's no room for her at her parents' new home.'
0:12:08 > 0:12:15At the end of the day, if it's not finished, we'll find a wee space for her somewhere.
0:12:15 > 0:12:19I don't know where yet! We don't have anywhere!
0:12:19 > 0:12:24Well, there you go. That's an incentive if I ever heard one.
0:12:24 > 0:12:30- What do your friends think about it? - They think it's great. They all want to come and see it.
0:12:30 > 0:12:35- They probably think they can stay. - And the reality is?- No.
0:12:35 > 0:12:42- Well, we look forward to seeing what happens with the house and in general.- I know.
0:12:42 > 0:12:44- Good luck.- Thank you.
0:12:44 > 0:12:51So Abby's got her own home for the first time and it sounds like it's just in the nick of time.
0:12:51 > 0:12:58But six weeks - that's an incredibly tight timescale before her and the goldfish are frozen out.
0:12:58 > 0:13:01Find out how they get on later in the show.
0:13:04 > 0:13:11I'm in Aberfan in South Wales, a place that will forever be linked with the horrific disaster of 1966
0:13:11 > 0:13:16when a coal waste landslide killed 144 people.
0:13:16 > 0:13:21The event will never be forgotten, bit for now I'm here to see Aberfan as it is today -
0:13:21 > 0:13:28a village in the valleys with stunning views and perhaps some interesting properties.
0:13:33 > 0:13:37'It's certainly hard to separate Aberfan from its tragic past,
0:13:37 > 0:13:41'but that doesn't mean it's not a great place to live now.'
0:13:41 > 0:13:45The lot I'm here to see sounds like a bit of a pick and mix property.
0:13:45 > 0:13:52It's a two-storey mid-terrace with a commercial unit on the ground floor and three studio flats.
0:13:52 > 0:13:57Somebody's been a bit creative! It had a guide of just £59,000.
0:13:57 > 0:14:03That does sound pretty reasonable. Let's get inside and see if it feels like such a good deal from in there.
0:14:05 > 0:14:11'The commercial unit had been let to the local police, but with the boys in blue now gone, it's vacant.
0:14:11 > 0:14:17'The office space is locked up and I can't get in, but there's plenty to explore.
0:14:17 > 0:14:22'Down a dingy alleyway and I'm in a dingier courtyard
0:14:22 > 0:14:26'where I find the entrance to property number one.'
0:14:26 > 0:14:30You know, this is not a bad space for a studio flat.
0:14:30 > 0:14:37In here would be your living and sleeping quarters. It's not terribly light with only this glass,
0:14:37 > 0:14:43but you've got high ceilings, nice floors and, I tell you what, it's not in bad condition.
0:14:43 > 0:14:50I do know that eight years ago this was rewired and replumbed so it's already been refurbished.
0:14:50 > 0:14:54So in quite good nick. Now look at this kitchen! Wow!
0:14:54 > 0:15:01You don't even get kitchens this size in a lot of the houses I see. A really good space in here.
0:15:01 > 0:15:07There's a table and chairs, you can sit and eat and what would really cheer me up is washing up
0:15:07 > 0:15:11and looking at Nellie the Elephant.
0:15:11 > 0:15:16'Yes, in fact, Nellie might need to pack her trunk and get painted over
0:15:16 > 0:15:21'because she may not be to everyone's taste, but this little courtyard is a great asset.
0:15:21 > 0:15:28'Back in the flat, the bathroom off the kitchen is also in need of a visit from some cleaning materials!
0:15:30 > 0:15:36'Upstairs are flats number two and three, with number two mirroring the downstairs almost exactly.
0:15:36 > 0:15:41'It's a touch smaller maybe, but still has a good size kitchen and bathroom.
0:15:41 > 0:15:45'Mm, a lovely shade of lilac this time.
0:15:45 > 0:15:49'One more to go now. Flat number three.'
0:15:49 > 0:15:56Now this studio flat has got its own little entrance hall - fantastic for storing your coats and shoes.
0:15:56 > 0:16:00And it definitely feels bigger than the others.
0:16:00 > 0:16:04It's got a nice high ceiling, lots of natural light coming in
0:16:04 > 0:16:10and it's quite spacious. You've got a double bed, a couple of sofas. It's got a good feel to it.
0:16:10 > 0:16:16A nice square kitchen. You could put a table and chairs in the corner to eat in here.
0:16:16 > 0:16:23You've got the bathroom out there. The only thing is... I can smell number 22 on the menu.
0:16:23 > 0:16:28Chicken chow mein and chips. You've got a Chinese restaurant next door,
0:16:28 > 0:16:35so if you're into your fast food, that could be a plus. If not, this probably isn't the flat for you.
0:16:35 > 0:16:40# There's a guy works down the chip shop swears he's Elvis... #
0:16:40 > 0:16:46'For those not interested in self-catering, this could be the ultimate convenience,
0:16:46 > 0:16:53'but I reckon it would put off more people than tempt them. What doesn't put me off are the figures.'
0:16:53 > 0:16:59OK, let's do the sums. We know the commercial unit has been let for just over £4,000 a year.
0:16:59 > 0:17:05Each of these studios could achieve around £200 per month, so that's £7,200.
0:17:05 > 0:17:11A total income of £11,200 a year. OK.
0:17:11 > 0:17:14Say you buy for the guide of £59,000.
0:17:14 > 0:17:19You spend a generous 11 grand to make your total outlay £70,000.
0:17:19 > 0:17:24Divide the rental income by that total spend and multiply by 100,
0:17:24 > 0:17:27you will achieve your yield.
0:17:27 > 0:17:34Are you keeping up? Bearing in mind, anything over 5%-6% is what we are really after for a good investment,
0:17:34 > 0:17:37hold on, that can't be right.
0:17:37 > 0:17:4211,200 divided by 70, multiplied by 100...
0:17:42 > 0:17:48Do you know, that is a 16% return? Do you know what? That is staggering!
0:17:48 > 0:17:53'It does assume you'd have them all rented out 365 days of the year,
0:17:53 > 0:17:56'but it's still an impressive yield.
0:17:56 > 0:18:01'If you were a buy-to-let investor, you'd be off your noodle to turn this down.
0:18:01 > 0:18:06'But just to be sure, bearing that guide price of £59,000 in mind,
0:18:06 > 0:18:09'I asked a local estate agent for his thoughts.'
0:18:09 > 0:18:15These flats would be great rental properties because it would be below the average in the area
0:18:15 > 0:18:22and there's commutable access to Cardiff and easy access to Merthyr town centre.
0:18:22 > 0:18:28'So location is the key to this purchase. What could the rental value be after refurbishment?'
0:18:28 > 0:18:34The rental value for each flat, you'd be looking at approximately £250-£300 a month.
0:18:34 > 0:18:36'And resale value?'
0:18:36 > 0:18:41For each of the studio flats, you'd be looking at £30,000-£35,000.
0:18:44 > 0:18:50It's often the unassuming properties that make a big impression and this lot is a case in point.
0:18:50 > 0:18:54It doesn't look like much, the studios won't rock anybody's world,
0:18:54 > 0:19:00but with all these units to rent out, your return could be outstanding.
0:19:00 > 0:19:03Let's see who spotted it at auction.
0:19:05 > 0:19:10We move on to lot number 26. What am I bid for this one?
0:19:10 > 0:19:1460? Let's get started. 50 is it? Thank you, sir.
0:19:14 > 0:19:1652 I'm bid. Thank you.
0:19:16 > 0:19:2154 is bid. 56 if you like, sir. 56.
0:19:21 > 0:19:2458 is bid. 60, can I? At 60.
0:19:24 > 0:19:26At £60,000 there.
0:19:26 > 0:19:30All right, I'll take... 2, then. 62.
0:19:30 > 0:19:343 if you like, sir. At 63 I'm bid. At 63.
0:19:34 > 0:19:39All right, I'll take a half. 63 and a half. 64.
0:19:39 > 0:19:44All right, I'll take your other half. 64 and a half. 5 on the right.
0:19:44 > 0:19:48At 65. And another half. Is there only little bids?
0:19:48 > 0:19:53At 65,000 there. Have you all done?
0:19:53 > 0:20:00At £65,000. Don't shake your head for another half. At £65,000. It's yours, sir.
0:20:02 > 0:20:09'With a successful bid of £65,000, the property went to Steve, originally from Leicestershire.
0:20:09 > 0:20:13'Steve and his wife Maggie moved to Aberfan eight years ago.
0:20:13 > 0:20:19'He's semi-retired, but Maggie still works back in Leicester. He's extending the farm they live on,
0:20:19 > 0:20:23'so this will be another project.'
0:20:23 > 0:20:29- Steve, congratulations. You've got three flats and a commercial unit! Well done!- Thank you very much.
0:20:29 > 0:20:34- What did you want to buy those for? - Basically, as a pension investment.
0:20:34 > 0:20:38I thought there would be a good return in the long run.
0:20:38 > 0:20:42I was looking for something that was all in one unit.
0:20:42 > 0:20:46You've got all your pension money in one pot, all there together.
0:20:46 > 0:20:51- So have you invested all your pension money?- Basically.
0:20:51 > 0:20:58I'm no mathematician, but I worked out that you have almost got a 16% yield with this property,
0:20:58 > 0:21:00which is an incredible return!
0:21:00 > 0:21:06Yeah, it is. It was something I thought about when I bought it.
0:21:06 > 0:21:12If you paid more money, your yield was going to go down, but it went into double figures,
0:21:12 > 0:21:16- hence I carried on bidding for it. - 'Come on, Steve! Get excited!
0:21:16 > 0:21:22'But I think he is aware of how well he's done. I wanted to know a bit more about Steve
0:21:22 > 0:21:25'and his lack of a Welsh accent.'
0:21:25 > 0:21:30We bought a place about eight years ago and moved from Leicestershire and we love it.
0:21:30 > 0:21:35We've got a little farm on the west coast and we just love it.
0:21:35 > 0:21:39It's not a massive place, but enough to keep us going.
0:21:39 > 0:21:44I retire officially in a couple of years, but I've skived for 12 months.
0:21:44 > 0:21:51- Tell me what your budget is. - I've not got a real strict budget. It's mainly the redecoration anyway.
0:21:51 > 0:21:56We want to put it right and for people to move in as you would.
0:21:56 > 0:22:02The whole building was renovated with a government grant apparently, from what I can gather.
0:22:02 > 0:22:05A couple of thousand, three thousand.
0:22:05 > 0:22:10'It seems to be win win for Steve. He has a potentially high rental yield,
0:22:10 > 0:22:15'the usual pitfalls of renovation have been sorted previously
0:22:15 > 0:22:20'and the cooking smells from next door don't seem to bother him.'
0:22:20 > 0:22:27There's not much you can do. Most people like a chip shop. We've got that AND a Chinese.
0:22:27 > 0:22:31If young people rent the flat, they'll never need to cook!
0:22:31 > 0:22:37- So that is a big positive for you! - Yeah. When I get my friends in to help me do it up,
0:22:37 > 0:22:42one never stops eating fish and chips, so I won't need to pay him.
0:22:42 > 0:22:48'All this means good news for the chippie, but how long can Steve keep going?'
0:22:48 > 0:22:54I could work 24 hours a day. I prefer that to sitting on a beach. I've tried that and got bored.
0:22:54 > 0:22:59- What?! You got bored of a beach? - I've not got the figure for a beach.
0:22:59 > 0:23:04'OK, so Steve's not the parasol and pina colada type.
0:23:04 > 0:23:08'Still, he's obviously not worried about getting his hands dirty
0:23:08 > 0:23:12'and by dragging in friends to help he's going to keep the costs down.'
0:23:13 > 0:23:19- Good luck with this whole venture. - Thank you.- And I hope you never have a lie in!- I never lie in.
0:23:19 > 0:23:25- And you never lay on a beach again! - We go on holiday, but not too long!
0:23:25 > 0:23:28- Steve, good luck! It's been a pleasure.- Thank you.
0:23:28 > 0:23:32Well, life's a beach for Steve right here in Aberfan.
0:23:32 > 0:23:38He's got a fantastic investment and if he gets his idle friends in, I'm sure he'll save on labour, too.
0:23:38 > 0:23:43But the big question is will Steve ever stop? I don't think he will.
0:23:43 > 0:23:47Find out how he gets on later in the programme.
0:23:48 > 0:23:56'Coming up: in Cornwall, two lounges, four bedrooms, bathroom, toilet and a conservatory.'
0:23:56 > 0:23:58We have a lot of house!
0:23:58 > 0:24:04'We return to Mid Glamorgan where some local wildlife is under threat.'
0:24:04 > 0:24:10Not everybody wants to see an elephant or a giraffe on a wall.
0:24:10 > 0:24:16'But first, with everything in chaos in Ayrshire shouldn't details wait?'
0:24:16 > 0:24:18Abby came in with a lamp and a vase.
0:24:20 > 0:24:26'After three and a half months, we're back in the lovely surroundings of East Ayrshire
0:24:26 > 0:24:32'to visit Ochiltree. We're here to see this converted pub that was bought at auction
0:24:32 > 0:24:36'for £35,000 to become a first home for 21-year-old Abby.
0:24:38 > 0:24:44'She was working to a strict six-week schedule because her parents had sold the family house.
0:24:44 > 0:24:48'They were moving into a smaller property with only two bedrooms,
0:24:48 > 0:24:52'the other one being for her younger sister, Brogan.'
0:24:52 > 0:24:59At the end of the day, if it's not finished, we'll find a wee space for her somewhere.
0:24:59 > 0:25:00We don't have anywhere!
0:25:04 > 0:25:08'Well, it's clear there has been a total transformation of this flat.
0:25:08 > 0:25:13'All the previously dowdy rooms have had a glamorous makeover,
0:25:13 > 0:25:18'turning this into a distinctive and stylish place to live,
0:25:18 > 0:25:22'but, as Abby's mum can testify, there have been problems.
0:25:22 > 0:25:27'First off, finding the money even to do the redecoration.'
0:25:27 > 0:25:33We had an absolute financial nightmare. Abby was going to get extra money through the mortgage
0:25:33 > 0:25:39and she was to get £4,500. She would apply for that once she'd paid her first mortgage payment.
0:25:39 > 0:25:45So that happened, she went into the bank and, basically, because she had a car loan, they couldn't do that.
0:25:45 > 0:25:52So that was that. And then we were selling our house and thought, "Fine. We'll have some money then."
0:25:52 > 0:26:00And then our house didn't get sold and it was delayed a month and even then it didn't get sold.
0:26:00 > 0:26:05'These delays meant that poor Abby was on the verge of being homeless.'
0:26:05 > 0:26:10I think it ended up maybe 8-10 weeks, in the end up.
0:26:10 > 0:26:16- And you had to go and stay... - With my boyfriend's mum. There was no room in the house.
0:26:18 > 0:26:24'Abby's parents' house was eventually sold and her sister Brogan now has a baby daughter.
0:26:24 > 0:26:28'They all live together in Mum and Dad's new two-bedroom bungalow,
0:26:28 > 0:26:33'leaving Abby to enjoy the flat she's always wanted.'
0:26:34 > 0:26:39It was absolutely chaos. We took Abby's furniture with us.
0:26:39 > 0:26:43The baby came along as well so we had all her things.
0:26:43 > 0:26:47It's amazing. You actually forget how much you need.
0:26:47 > 0:26:53So we're squeezed into this bungalow, but hopefully that will all get sorted out.
0:26:53 > 0:26:55# Pretty baby
0:26:55 > 0:26:58# Pretty baby... #
0:26:58 > 0:27:06'This, at least, has worked to Abby's advantage, allowing her to create her personal dressing room.
0:27:06 > 0:27:12'Everywhere she's made her own unique contribution to the look of the place.'
0:27:12 > 0:27:18I picked what I wanted, but my dad and my sister's boyfriend did most of the work.
0:27:18 > 0:27:22- I painted.- Hardly!- That was about it.- Abby's a bit like me.
0:27:22 > 0:27:25She likes the finishing thing.
0:27:25 > 0:27:30We'd half the walls, no flooring and the walls were falling apart,
0:27:30 > 0:27:34Abby would come in with a lamp and a vase and just sit it.
0:27:34 > 0:27:40'But it's in the living room that Abby's design ideas have fully flowered.'
0:27:40 > 0:27:44Em, the living room, I just tried to keep it creams and blacks
0:27:44 > 0:27:48and just a wee bit of red. To brighten it up.
0:27:49 > 0:27:55'The biggest problem they encountered was damp caused by a leaking shower.
0:27:55 > 0:28:02'This stretched all along the hallway to the bedroom. The bathroom has now been completely redone.'
0:28:02 > 0:28:06We put a new shower unit in, took the bath out,
0:28:06 > 0:28:13put new flooring in because we had a leak from the old shower unit. We had to replace all the flooring.
0:28:13 > 0:28:19Got new fittings in it and just painted the full thing. I'm really pleased with it.
0:28:20 > 0:28:25'Given the delays and the damp, how badly has the budget suffered?'
0:28:25 > 0:28:31The budget we had at first was £5,000, but I think we ended up... five and a half.
0:28:31 > 0:28:37- Yeah.- Just now. We've still got the heating to put in and the back door.
0:28:37 > 0:28:43- And the garden to finish. - A few bits and pieces. We think about another maybe £2,000.
0:28:43 > 0:28:46But at the moment it's £5,500.
0:28:49 > 0:28:56'To get an idea about whether they can recoup their investment, we invited two local estate agents.'
0:28:56 > 0:29:02It's a remarkable transformation of what was a relatively nice flat.
0:29:02 > 0:29:09It clearly needed a lot of tender loving care and it has now been transformed into a fabulous flat.
0:29:10 > 0:29:15It's my first time seeing the property and it's pretty much, "Wow!"
0:29:15 > 0:29:20Beautifully designed, very contemporary decor, ideal for young people.
0:29:20 > 0:29:27'This is all very positive. What do they think this flat could get if rented out?'
0:29:27 > 0:29:35On the rental market I would place this property for lease at £350-£400 per calendar month.
0:29:35 > 0:29:39I would put this on the rental market for £450 per calendar month.
0:29:39 > 0:29:44Great! That's amazing. I didn't think it would be as much.
0:29:44 > 0:29:48Definitely not in Ochiltree. It's quite far away.
0:29:48 > 0:29:54'The property was bought for £35,000 and will have about £7,500 spent on it
0:29:54 > 0:30:00'to complete the redecoration. That's a total of £42,500 invested here.
0:30:00 > 0:30:04'If it was put up for sale now, what could it sell for?'
0:30:04 > 0:30:09I would put this on the market for resale value at £45,000-£50,000.
0:30:09 > 0:30:13I would put this on the resale market for £45,000.
0:30:13 > 0:30:21Hopefully maybe get a bit more than that. I was hoping maybe 50, but we'll need to wait and see.
0:30:21 > 0:30:26'All in all, despite a few hiccups, this has gone relatively well.
0:30:26 > 0:30:32'Abby's in a property that could earn a yield in the region of 10%-12.5%.
0:30:32 > 0:30:34'So what's her verdict?'
0:30:34 > 0:30:41I'm really pleased with the flat and the finished result. It's nearly there. Just a couple of things.
0:30:41 > 0:30:45The garden will make a big difference and my couch.
0:30:45 > 0:30:49I can't wait to get everything just finished and that'll be me.
0:30:54 > 0:30:59I'm in St Dennis, in the historical mining area of Cornwall.
0:30:59 > 0:31:03You've got Newquay to the north, St Austell to the south,
0:31:03 > 0:31:08easy access to the A30 and onwards into the county. A great place to be.
0:31:08 > 0:31:13'The village of St Dennis is surrounded by beautiful countryside,
0:31:13 > 0:31:16'but it's not too far from modern urban amenities.
0:31:16 > 0:31:21'With this rural haven you've got the best of both worlds.'
0:31:23 > 0:31:29Well, all sorts of properties go under the hammer and in this instance it's a fairly new one.
0:31:29 > 0:31:33Built nine years ago, it's a detached four-bed house.
0:31:33 > 0:31:38It had a guide price of £100,000. That sounds interesting
0:31:38 > 0:31:42and definitely worthy of investigation.
0:31:44 > 0:31:50A fairly modern house. Hopefully, not too much needs to be done to it, but you never know.
0:31:50 > 0:31:55Doesn't wallpaper date quickly? This definitely needs replacing.
0:31:55 > 0:32:01Front living room there. Downstairs loo. You've got a big living room there.
0:32:01 > 0:32:07Stairs up to the bedrooms, then through to the kitchen. As you'd expect, in pretty good condition.
0:32:07 > 0:32:11The units are very serviceable. Not a bad-sized space.
0:32:11 > 0:32:15Pretty much you could move in to this space as it is.
0:32:17 > 0:32:21# I wouldn't change I wouldn't change
0:32:21 > 0:32:26# I wouldn't change I wouldn't change a thing... #
0:32:26 > 0:32:30'Also on the ground floor, there's a decent-sized garage,
0:32:30 > 0:32:36'but this has a strange partition wall that I suspect was put up to make a utility room,
0:32:36 > 0:32:40'but it doesn't leave much room for a car.
0:32:40 > 0:32:45'Out back, there's this extension, which provides a glorious sun trap.
0:32:48 > 0:32:54'All in all, there are a lot of bonus features here and, at a £100,000 guide price,
0:32:54 > 0:32:57'a lot of property for the money.'
0:32:57 > 0:33:03Because it's fairly new, it's very easy to find out how much this house cost
0:33:03 > 0:33:07and that was £90,000 back in the year 2000.
0:33:07 > 0:33:13Interesting, isn't it? Nine years on and it was up for a guide price of just £100,000.
0:33:13 > 0:33:17I think that's a little too low. What we have is a lot of house.
0:33:17 > 0:33:23Upstairs, for instance, four good-sized bedrooms, nice-sized bathroom with shower as well.
0:33:23 > 0:33:30This house has everything going for it as a family home or a great investment opportunity.
0:33:31 > 0:33:36'There is still potential to develop this house further.
0:33:36 > 0:33:42'The bedrooms are easily spacious enough to accommodate en suites, ideal for a family house,
0:33:42 > 0:33:46'as that takes a lot of pressure off the bathroom.'
0:33:46 > 0:33:51You certainly can't knock the location - on a nice, quiet road.
0:33:51 > 0:33:54And you've got open fields there. Lovely.
0:33:54 > 0:33:58You've got this paved driveway with space for three or four cars
0:33:58 > 0:34:03and you've got a garage, so good news all round.
0:34:04 > 0:34:11'St Dennis is in the heart of Cornwall, so I expect this place would be desirable to many.
0:34:11 > 0:34:15'What does the auctioneer who sold it make of it?'
0:34:15 > 0:34:18It's very much of its era
0:34:18 > 0:34:24in the layout of the accommodation, but because it's so big, particularly upstairs,
0:34:24 > 0:34:30there's en suites just screaming out to be put in in various corners of various bedrooms.
0:34:30 > 0:34:36The pros are that it is vast and a wonderful family home. The only real downside is very little garden.
0:34:36 > 0:34:42Your only choice would be to knock down the conservatory to make your garden bigger. A difficult one.
0:34:43 > 0:34:47'In its current state, what could it rent out for?'
0:34:47 > 0:34:53The property is a pretty good renter, actually, because of the simple size of the accommodation.
0:34:53 > 0:35:00You might even get a company let. Either way, you're looking at possibly £650 per calendar month,
0:35:00 > 0:35:02maybe £675 if you were lucky.
0:35:03 > 0:35:09'So even if this was given a minimal spit and polish to make it ready for tenants,
0:35:09 > 0:35:13'it could bring in a healthy rental income.
0:35:13 > 0:35:18'Once renovated, what could it sell for?'
0:35:18 > 0:35:22If the decor was updated and the en suites put in upstairs,
0:35:22 > 0:35:28the value of the property could tiptoe towards £200,000, but probably not quite.
0:35:28 > 0:35:34'If the new owner spends a bit of money and adds more modern facilities, they could be rewarded
0:35:34 > 0:35:40'with a very reasonable return, so it certainly looks like there may be money to be made here.'
0:35:44 > 0:35:50Well, this is a perfect house for someone who doesn't want to have to d a lot of work.
0:35:50 > 0:35:56A bit of sorting out, painting, new carpets and it's a wonderful home or a potential let.
0:35:56 > 0:36:00I think the guide price was slightly undervalued at £100,000,
0:36:00 > 0:36:05but let's see what it finally went for under the hammer.
0:36:11 > 0:36:14The guide price was modest,
0:36:14 > 0:36:18so who's going to say 125 in? Who'll start me at 120?
0:36:18 > 0:36:23120? Thank you, sir. 120 I've got. We're away.
0:36:23 > 0:36:25122. 124.
0:36:25 > 0:36:28124 I've got. 126.
0:36:28 > 0:36:29128.
0:36:29 > 0:36:33128. You can have a think. 128 is front row for the moment.
0:36:33 > 0:36:36128. At 128.
0:36:36 > 0:36:39130 says the gentleman. 132.
0:36:40 > 0:36:43133. 134.
0:36:43 > 0:36:47At 134. 5. 136, 136.
0:36:47 > 0:36:51Shakes his head. At 136, you're in. At 136.
0:36:51 > 0:36:58Half. Got to do it. 137. Oh, and a half? Good heavens. 137 and a half.
0:36:58 > 0:37:02138. 138 and a half.
0:37:02 > 0:37:04140? 140.
0:37:04 > 0:37:07Where it began. 140. 145.
0:37:07 > 0:37:10145 and a half.
0:37:10 > 0:37:12146, he says. 146 and a half.
0:37:12 > 0:37:17146 and a half. 146 and a half once. Twice.
0:37:17 > 0:37:22Here it goes. 146,500. Sure and done? Front row's got it.
0:37:22 > 0:37:25A new bidder. Completely new face.
0:37:25 > 0:37:27147.
0:37:27 > 0:37:30147 and a half. 147 and a half.
0:37:30 > 0:37:35Oh! Young chap at the back has come in at 150. At 150.
0:37:35 > 0:37:40At 150. 151 and a half. 151 and a half once.
0:37:40 > 0:37:45Twice. Third and last time at 151 and a half.
0:37:45 > 0:37:49Selling, then, at 151,500.
0:37:49 > 0:37:51Well done, sir.
0:37:53 > 0:37:56'Well, Nigel was the eventual buyer.
0:37:56 > 0:38:01'After all that tension, he paid £151,500
0:38:01 > 0:38:06'to secure the house. He's a bus driver who lives in nearby Penryn.
0:38:06 > 0:38:12'Although he hadn't actually seen inside the property, he bought it as a home for himself and his son
0:38:12 > 0:38:17'and to share at weekends with his partner Debbie and her daughter.'
0:38:17 > 0:38:22Nigel, Debbie, lovely to meet you. Congratulations. What a battle!
0:38:22 > 0:38:28It was! I was shaking like a leaf! I was so excited, but so nervous at the same time,
0:38:28 > 0:38:30but I'm delighted.
0:38:30 > 0:38:36But you started the bidding and it just went on and on and on. What were you thinking?
0:38:36 > 0:38:41When it got to £130,000, I thought, "I've got it!" And then it went to 131 and continued
0:38:41 > 0:38:46- up to 151,500!- Yeah.- But I got it in the end and I was determined.
0:38:46 > 0:38:52- They all gave you a round of applause. That doesn't happen very often.- It doesn't.
0:38:52 > 0:38:57Everybody was watching me. I didn't look inside before I bought it.
0:38:57 > 0:39:01- Really?- So I was a little panicky. I did look through the windows!
0:39:01 > 0:39:07But that was as much as I'd seen. It needed a lot less work than I was expecting.
0:39:07 > 0:39:12Now I've looked inside, I feel much more relieved and much happier.
0:39:12 > 0:39:18'Nigel's requirements were very simple - to buy a house at a reasonable price and make it a home
0:39:18 > 0:39:22'for his family. With this property he's got it all.
0:39:22 > 0:39:28'He also gained an added extra, which made one family member very happy.'
0:39:28 > 0:39:31I like the conservatory. It's for my son's pool table.
0:39:31 > 0:39:37- Oh! Perfect as a pool room. - It's a great pool room! Expensive, but a great one.
0:39:37 > 0:39:41It needs work, but nothing major as far as I'm concerned.
0:39:41 > 0:39:44So tell me what you'll do to it.
0:39:44 > 0:39:47First of all it needs to be decorated completely.
0:39:47 > 0:39:54'There are a few niggling details that also need attention. There's a spot of damp in a bedroom.
0:39:54 > 0:39:59'The stairs have subsided slightly and the kitchen needs sprucing up,
0:39:59 > 0:40:04'but fundamentally the property is sound.' What will you do, Debbie?
0:40:04 > 0:40:09- I'm the one with the paintbrush. - She's good with the paintbrush.
0:40:09 > 0:40:12- So what are your plans? - Lots of paint!
0:40:12 > 0:40:17- Lots of paint and paper.- She's being dictated to for various colours,
0:40:17 > 0:40:20but we'll see what happens.
0:40:20 > 0:40:24- What's the order so far? - Mainly from my daughter.
0:40:24 > 0:40:30What colour the room's going to be that she'll be using at weekends.
0:40:30 > 0:40:36- What kind of budget have you got? - I reckon I should be able to keep it within about £3,000.
0:40:36 > 0:40:43- Oh, wow.- I'm hoping to. - No major structural work.- No. I haven't turned the boiler on yet.
0:40:43 > 0:40:49That's one of my biggest worries, but I've got to get someone to service it first.
0:40:49 > 0:40:52Most of what needs doing, I can do.
0:40:52 > 0:40:55'Nigel's budget and schedule are both quite tight.
0:40:55 > 0:41:01'He has £2,000-£3,000 to spend over three months, while working full-time as a bus driver.
0:41:01 > 0:41:05'His plan is to live there while doing the work.'
0:41:05 > 0:41:09So what's the plan, bigger picture? How long will you live here?
0:41:09 > 0:41:13- Probably about 12 months. - As short as that?
0:41:13 > 0:41:18Maybe a little longer. We'll see. I'll see how I feel about it.
0:41:18 > 0:41:23At the moment, I like the house so much, I'm happy living here. We'll see.
0:41:23 > 0:41:29- I'm delighted for you. Good luck and I look forward to seeing how you get on.- Thank you very much.
0:41:31 > 0:41:37Well, this will make a great family home for Nigel and Debbie and their respective families.
0:41:37 > 0:41:41I'm particularly jealous of Josh and his snooker room.
0:41:41 > 0:41:48Living in it while you do it up is never easy and all restoration throws up unexpected problems.
0:41:48 > 0:41:52Hopefully, there aren't too many. You can find out later.
0:41:55 > 0:42:01- Martin and I have high hopes for our purchasers.- Did they do what they intended
0:42:01 > 0:42:04- or were there unforeseen problems? - Let's find out.
0:42:04 > 0:42:09'We're back in Aberfan after three and a half months
0:42:09 > 0:42:15'to see what's happening at this three-flat property with ground-level commercial space.
0:42:15 > 0:42:20'Steve had spent his pension money to snap up this bargain at £65,000
0:42:20 > 0:42:25'and was undeterred by the fast food takeaways next door.'
0:42:25 > 0:42:30Most people like a chip shop and they've got the Chinese as well.
0:42:30 > 0:42:32- That's a big positive for you!- Yeah!
0:42:42 > 0:42:48'Luckily for Steve, all the flats were renovated some years ago with the aid of a government grant.
0:42:48 > 0:42:54'They'd been rewired, replumbed and had central heating installed. Even the windows were double glazed.
0:42:54 > 0:42:58'So this was all work that he didn't need to do.
0:43:01 > 0:43:07'His task was simply to check everything over and refresh the interior
0:43:07 > 0:43:12'to get the three flats into a good enough state to let out.'
0:43:12 > 0:43:16All three kitchens were done around the same.
0:43:16 > 0:43:21All been painted, decorated, checked. All new floor coverings.
0:43:21 > 0:43:27And a real good clean and a lot of elbow grease. That's all we needed to do.
0:43:27 > 0:43:32'In fact, Steve's strategy has been to take a no nonsense approach.
0:43:32 > 0:43:39'In order to maximise his investment he has stuck to the old adage of keeping it simple.'
0:43:39 > 0:43:47Structurally, it was fine. Not a problem. But you could see that from the outside anyway.
0:43:47 > 0:43:51It was really a case, as I say, of redecoration.
0:43:51 > 0:43:57Just a bit of TLC, really. It had just got a little bit tired, a few broken drawers, bits and bobs,
0:43:57 > 0:44:01and basically just time to put into it.
0:44:01 > 0:44:08- 'But time's been one of Steve's biggest enemies.'- The main issues have all been weather-related.
0:44:08 > 0:44:13It doubled the timescale. Originally, we wanted it done in 4-6 weeks, just before Christmas.
0:44:13 > 0:44:16It ended up six weeks after that.
0:44:16 > 0:44:21'Despite the delays, there's still one job Steve hasn't even started!'
0:44:21 > 0:44:25# The animals went in two by two The elephant and the kangaroo
0:44:25 > 0:44:30# And they all went into the ark to get out of the rain. #
0:44:30 > 0:44:36The outside, all the murals, obviously would have been covered by now
0:44:36 > 0:44:39if it wasn't for the bad weather in January.
0:44:39 > 0:44:44We've just got to wait till the spring to cover them up.
0:44:44 > 0:44:48It's not everyone who wants to look and see an elephant or a giraffe.
0:44:48 > 0:44:53'Maybe so, but it hasn't deterred some people.
0:44:53 > 0:44:57'Steve already has his first tenant lined up.'
0:44:57 > 0:45:01This particular flat is the one we've let out.
0:45:01 > 0:45:05I've got a tenant moving in in the next few days.
0:45:05 > 0:45:10We're very pleased with this one. This was the biggest of the three.
0:45:10 > 0:45:16As you can see, it's been all newly decorated, painted and also completely recovered
0:45:16 > 0:45:19with floor covering. Very pleased.
0:45:19 > 0:45:23'With all the delays and overruns caused by bad weather,
0:45:23 > 0:45:29'how has the budget fared since his original estimate of £2,000-£3,000?'
0:45:29 > 0:45:34The budget is virtually bang on. We're nearer £3,000 than £2,500,
0:45:34 > 0:45:37but we'll be no more than £3,000.
0:45:37 > 0:45:41'Steve will be charging his new tenant £295 per month.
0:45:41 > 0:45:46'To see whether this is a good return, we asked two estate agents
0:45:46 > 0:45:51'to give us their view on the property's money-making potential.'
0:45:51 > 0:45:57My first impression is as they are they're perfect for the rental market.
0:45:57 > 0:46:01I think these flats would appeal to young people just leaving home,
0:46:01 > 0:46:07simple because you don't have to put much furniture in them. It wouldn't cost an awful lot to move in.
0:46:07 > 0:46:12They're definitely more suited to the rental market than to sales.
0:46:12 > 0:46:18I'm not sure how the market would be accustomed to studio flats when they're used to terraced houses,
0:46:18 > 0:46:24but for rental it's ideal. The standard is pretty basic, to be honest,
0:46:24 > 0:46:28but that's very suitable for the market around here.
0:46:28 > 0:46:32If purchasers were to buy them, they'd put their own stamp on them.
0:46:32 > 0:46:37'Remember, Steve's first tenant will pay £295 per calendar month.
0:46:37 > 0:46:41'What do the professionals think of that?'
0:46:41 > 0:46:47If I put these on the market, I'd probably put them on at around £275 per calendar month.
0:46:47 > 0:46:52In my opinion, each unit would achieve £295 per calendar month.
0:46:52 > 0:46:56£295 is what we value them at, so that's what we've gone for.
0:46:56 > 0:47:04'The estimated yield on these flats was around 16% and that's well on target, so what could each fetch
0:47:04 > 0:47:11'if he sold them? Remember, he spent £65,000 buying the property and just £3,000 doing it up,
0:47:11 > 0:47:16'making a total outlay of £68,000, plus usual expenses.'
0:47:16 > 0:47:21Em, I will hazard a guess on the resale market
0:47:21 > 0:47:24and I think each unit would probably sell for about £35,000.
0:47:24 > 0:47:29I'd value each individual flat at £35,000-£40,000 each.
0:47:29 > 0:47:34Yeah, I'd be pleased with that. If I sold them for that, very good.
0:47:34 > 0:47:38'The lease on the commercial unit still has a month to run,
0:47:38 > 0:47:41'so we couldn't see inside,
0:47:41 > 0:47:48'but Steve has decided to apply for a change of use permit to maximise the residential possibilities.'
0:47:51 > 0:47:57Converting the downstairs from commercial to residential is probably quite a good idea.
0:47:57 > 0:48:01Commercial around here, there isn't a great demand,
0:48:01 > 0:48:07but there is a demand for residential lettings, so probably a good idea.
0:48:07 > 0:48:12I think turning the commercial unit into a residential unit is a very good idea.
0:48:12 > 0:48:16The rental market around here asks for properties like that.
0:48:16 > 0:48:22The whole building, including the commercial property converted into a residential flat,
0:48:22 > 0:48:25we'd be looking at £150,000.
0:48:25 > 0:48:31'Wow. Steve's spend of £68,000 and the flat valuations alone could give him a pre-tax profit
0:48:31 > 0:48:36'of up to £52,000. And that 150 grand estimate means
0:48:36 > 0:48:40'converting the commercial unit to residential is icing on the cake.
0:48:40 > 0:48:45If I got £150,000, I'd be more than happy, more than pleased.
0:48:45 > 0:48:50Very, very pleased. In fact, I'd swim the Channel, backwards, both ways, under water,
0:48:50 > 0:48:53without coming up for breath.
0:48:59 > 0:49:03'We're back in Cornwall now to catch up with Nigel.
0:49:03 > 0:49:09'He had bought this nine-year-old, four-bedroom property for £151,500.'
0:49:10 > 0:49:18- I didn't look inside before I bought it.- Really?- I was a little panicky. I did look through the windows!
0:49:20 > 0:49:26'Despite not getting to see inside before the auction, it turned out to be in very good condition.
0:49:26 > 0:49:32'Nigel has, in fact, had very little to do to make this a home for himself and his son.
0:49:39 > 0:49:45'For the most part, just a fresh coat of paint and a few basic make and mend repairs
0:49:45 > 0:49:49'were all that was necessary to make the place as good as new.'
0:49:52 > 0:49:56To start with, I needed to sort out the floorboards.
0:49:56 > 0:50:00They had edged up when they got wet at one point,
0:50:00 > 0:50:05so I used a belt sander and brought it down to a level field.
0:50:05 > 0:50:09Then I laid the lino, as you can see.
0:50:09 > 0:50:12I've changed the worktops just to spruce it up,
0:50:12 > 0:50:17put the new tap, but I still need to do a little bit to this place.
0:50:17 > 0:50:22Maybe change the doors and put a new sink in.
0:50:22 > 0:50:25Other than that, I'm fairly happy.
0:50:27 > 0:50:31'It's often said that the heart of any home is the kitchen.
0:50:31 > 0:50:37'In his own way, Nigel has certainly tapped into that sentiment.'
0:50:38 > 0:50:43# Let me sleep all night in your soul kitchen... #
0:50:43 > 0:50:50'Even though the house is only nine years old, upstairs much of the original decor had dated rapidly.
0:50:50 > 0:50:55'What would Nigel say was the biggest change he's made?'
0:50:56 > 0:51:02Simply taking off the wallpaper and the colours would be the biggest change,
0:51:02 > 0:51:04but, yeah, there's still work to do,
0:51:04 > 0:51:09but that's because it's not my main... This is just my home.
0:51:09 > 0:51:11Those jobs will have to wait.
0:51:11 > 0:51:16I'd like to put an en suite bathroom in the main bedroom
0:51:16 > 0:51:21and change the flooring for pine-coloured laminate.
0:51:22 > 0:51:24I feel that would be beneficial.
0:51:31 > 0:51:35And, on cue, the conservatory has now become a games room.
0:51:35 > 0:51:41'Now that partner Debbie has moved away from the area, the two boys are free to sink a few.
0:51:41 > 0:51:44'Balls, that is.'
0:51:44 > 0:51:49I like the village. Everyone I've met has been friendly.
0:51:49 > 0:51:51The disadvantage is my long commute
0:51:51 > 0:51:58and that would be the main reason that I will sell the house some time in the near future.
0:51:58 > 0:52:02I've got a lot of friends in the Falmouth area
0:52:02 > 0:52:07and I miss that area, so I'd like to get somewhere nearer to Falmouth.
0:52:09 > 0:52:13My son Joshua likes the house, he likes the room,
0:52:14 > 0:52:16and so far he's enjoyed it.
0:52:16 > 0:52:22# It's all a teenage wasteland... #
0:52:29 > 0:52:36'As there were so few major changes to be made, Nigel's budget hasn't really strayed much
0:52:36 > 0:52:40'past his original estimate of around £2,000 plus,
0:52:40 > 0:52:45'but his ambitious plans for an en suite would change that.'
0:52:45 > 0:52:47I spent about £2,000,
0:52:47 > 0:52:54but I want to put the en suite and I can't see that being less than another £2,000,
0:52:54 > 0:52:57if I do most of the work myself.
0:52:57 > 0:53:03Some of it has to be farmed out because of the electrics, modern building regulations,
0:53:03 > 0:53:06but I will do as much as I can.
0:53:06 > 0:53:10And laminate flooring, which is as cheap as chips.
0:53:10 > 0:53:14'The garage originally had a half-hearted partition.
0:53:14 > 0:53:21'This is now gone and the space is used to store Nigel's collection of motorbikes.
0:53:21 > 0:53:27'Unfortunately, it's his schedule that has roared away because he's been doing most of the work himself
0:53:27 > 0:53:32'while also holding down his job as a bus driver and looking after his son.'
0:53:34 > 0:53:41I reckon probably another three months before the rest of the work is done, that I'd like to do.
0:53:41 > 0:53:47Part of that is financial. I've been doing the work as and when I get the funds.
0:53:49 > 0:53:53But I'm feeling confident that I can shake it up in a few months' time.
0:53:55 > 0:53:59'Nigel bought the house for £151,500
0:53:59 > 0:54:06'and has spent about £2,000 decorating it. That's a total of £153,500.
0:54:06 > 0:54:10'To get updated valuations since all his hard work,
0:54:10 > 0:54:15'we invited along two local property experts.'
0:54:16 > 0:54:22The main change the chap's made is it's a lot brighter. It was all a bit in on you previously.
0:54:22 > 0:54:25Now it's a nice light, airy home.
0:54:25 > 0:54:29The owner has improved it since he's owned it.
0:54:29 > 0:54:35The rooms are a good size and the decoration is now looking acceptable for the market.
0:54:35 > 0:54:41It's a great big house with huge accommodation, and a tiny garden.
0:54:43 > 0:54:49It would have crossed my mind to perhaps knock the conservatory over or shrink it.
0:54:49 > 0:54:53You're spoiled for groundfloor space. Just to get a bit of green outside.
0:54:53 > 0:54:58There's a reasonably high demand for properties of this scale hereabouts.
0:54:58 > 0:55:04You could look to be getting perhaps as much as £700 per calendar month from the right tenant.
0:55:04 > 0:55:11For rental purposes, I would imagine a figure in the region of £695 per calendar month would be sensible.
0:55:11 > 0:55:17That's more or less what I would have expected. There are houses up the road that are smaller
0:55:17 > 0:55:21and they're making £550. So that sounds fair to me.
0:55:21 > 0:55:28'Although not part of his original plan, renting out the property could bring him a very decent income,
0:55:28 > 0:55:35'but if the house was to go on the market as it is just now, what could Nigel expect to get?'
0:55:35 > 0:55:40In the current market conditions, which are showing signs of pick up,
0:55:40 > 0:55:46I would imagine a figure in the region of £170,000 would be fair as an asking price.
0:55:46 > 0:55:51You could look towards perhaps asking just under £200,000 for it,
0:55:52 > 0:55:57and perhaps whatever you get over 185 would be icing on the cake.
0:55:57 > 0:56:03The 170, that's good. That's quite a profit considering the amount of work I've put in.
0:56:03 > 0:56:08The only thing is now I feel it would be a good idea for the en suite.
0:56:08 > 0:56:14There's enough profit for it to be worthwhile and it will make the house much more sellable.
0:56:15 > 0:56:18'Nigel's options are now clear -
0:56:18 > 0:56:22'to fit an en suite, sell the house and move to Falmouth.
0:56:22 > 0:56:27'Beyond that, what are his plans for the future?'
0:56:27 > 0:56:33The next step, really, would be to look for a property that needs more work, but at a lower price
0:56:33 > 0:56:38because I like the idea of really trying to extend myself.
0:56:39 > 0:56:46But at the lower price, if I need professional help, I would have the money to pay for such work.
0:56:48 > 0:56:54That's it for now. Hopefully, we've armed you with the facts you need to buy property at auction.
0:56:54 > 0:56:58- Join us next time for more Homes Under The Hammer.- See you then.- Bye!
0:57:09 > 0:57:14Subtitles by Subtext for Red Bee Media Ltd - 2010
0:57:15 > 0:57:18Email subtitling@bbc.co.uk