Episode 29

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0:00:02 > 0:00:06First-time buyers and property veterans all visit auction rooms.

0:00:06 > 0:00:09The only thing you need is to have the finances

0:00:09 > 0:00:11to pay for what you bid for.

0:00:11 > 0:00:15If you want to buy your home under the hammer, visit the auction rooms.

0:00:40 > 0:00:43The important thing about buying at auction

0:00:43 > 0:00:47is when the hammer goes down, you've exchanged contracts and the property is yours.

0:00:47 > 0:00:51That's why it's vital to know what you're letting yourself in for

0:00:51 > 0:00:53and have your finances in place.

0:00:53 > 0:00:57So were today's property developers well-prepared or ill-equipped?

0:00:58 > 0:01:05'I'm off to a mining village in Merseyside to unearth a property that could be a hidden gem.'

0:01:05 > 0:01:07I don't think so.

0:01:07 > 0:01:13'My mind's running wild with the possibilities of what could be built here in Dorset.'

0:01:13 > 0:01:18You could run your own distillery for personal use. I'd toast to that!

0:01:18 > 0:01:26'And in Stoke, a handsome three-bedroomed semi that's definitely not developer-friendly.'

0:01:26 > 0:01:28You're pretty much stuck with this layout.

0:01:30 > 0:01:33'All of these properties were sold at auction

0:01:33 > 0:01:38'and we find out who bought them when they went under the hammer.'

0:01:43 > 0:01:48This is St Helens, halfway between Liverpool and Manchester.

0:01:48 > 0:01:53It's got canals, it's got parkland. It's a lovely place to live.

0:01:53 > 0:01:55What's very interesting as well

0:01:55 > 0:02:01is that Beechams opened the world's first medicine factory here in 1859.

0:02:01 > 0:02:04That's quite useful because, as you know,

0:02:04 > 0:02:07buying property can sometimes be a bit of a headache.

0:02:07 > 0:02:11You can always treat that with a spot of retail therapy.

0:02:11 > 0:02:15Not only has St Helens got its own shopping centre and retail parks,

0:02:15 > 0:02:19it's conveniently located near many important northern destinations.

0:02:19 > 0:02:25The house I'm here to see is about a mile and a half outside St Helens town centre

0:02:25 > 0:02:27in the residential suburb of Parr.

0:02:27 > 0:02:30Most of the houses round here are ex-local authority built

0:02:30 > 0:02:33to house miners from Bold Colliery.

0:02:33 > 0:02:39The colliery has closed, but maybe the house I'm here to see could be a bit of a diamond in the rough.

0:02:41 > 0:02:45Judging by the outside, I don't think so.

0:02:45 > 0:02:51Still, with a guide price of a mere £25,000, you've got to go in.

0:02:53 > 0:02:57Well, inside, it's pretty bad.

0:02:57 > 0:03:02Obviously, major signs of vandalism. The windows have all been broken.

0:03:02 > 0:03:07And it's internal. The plasterboard has been taken down, light fittings have been stripped.

0:03:07 > 0:03:12Even the electrical sockets have gone. But let's try and look through that.

0:03:12 > 0:03:18We've got bedrooms upstairs, obviously, a large through lounge. It's not a bad-sized space.

0:03:18 > 0:03:23I must get my developer's hat on. I can see through the mess.

0:03:24 > 0:03:31I don't know about a hat. You're going to need rose-tinted spectacles with this kitchen.

0:03:31 > 0:03:33It's not a bad space

0:03:33 > 0:03:39and, in fact, the units weren't bad before someone decided to smash them to pieces.

0:03:39 > 0:03:45But again, let's try and look through this. Kitchen here, you've got your utility area there.

0:03:45 > 0:03:49It's a very usable family house once you've sorted it out.

0:03:49 > 0:03:51Upstairs...?

0:03:51 > 0:03:58I think I'll just assume there are three reasonable-sized bedrooms and a bathroom.

0:03:58 > 0:04:00That's good enough for me.

0:04:00 > 0:04:03# Think I'd better leave right now... #

0:04:03 > 0:04:08Luckily, our cameraman is braver than me and happy to go up there.

0:04:08 > 0:04:14It turns out it's safer than it looks and there are indeed three bedrooms upstairs.

0:04:14 > 0:04:19One is fairly large, but the other two are definitely on the small side.

0:04:20 > 0:04:23It looks like those vandals were cold.

0:04:23 > 0:04:29Not only have they set fire to the place, they've also pinched the boiler.

0:04:30 > 0:04:36The bathroom? Well, not much to be salvaged there, but it is a decent size for the house.

0:04:36 > 0:04:42Outside, the house comes with a good bit of garden to the front and rear.

0:04:42 > 0:04:46It could be worth spending some money on resurfacing the driveway.

0:04:46 > 0:04:52You could add a gate, creating your own private parking space right outside your back door.

0:04:52 > 0:04:56I know the garden's a mess, but it's actually a good size,

0:04:56 > 0:05:01so get a lawn in there, some plants and it's a great family facility.

0:05:01 > 0:05:06Something a bit more interesting, though, is the construction of the property.

0:05:06 > 0:05:08It is non-standard construction.

0:05:08 > 0:05:12It's called Wimpey no-fines - no fines being no sand.

0:05:12 > 0:05:15It's made of basically concrete and pebbles.

0:05:15 > 0:05:20Insurance companies and mortgage companies don't like non-standard construction,

0:05:20 > 0:05:26but this is regarded as not a bad version of non-standard construction and it has some major plus features,

0:05:26 > 0:05:32including not being susceptible to damp, so, all in all, that shouldn't put you off.

0:05:33 > 0:05:36So what could you do with this property?

0:05:36 > 0:05:39Let's see what a local surveyor thinks.

0:05:39 > 0:05:43Improvement-wise, the property has been vandalised.

0:05:43 > 0:05:47The windows have been broken, the kitchen has been destroyed.

0:05:47 > 0:05:49It just wants putting back together.

0:05:49 > 0:05:53£5,000 to £10,000 should see it back in reasonable condition.

0:05:53 > 0:05:59That five to ten grand could see this place transformed, thanks to a new kitchen,

0:05:59 > 0:06:02refurbished bathroom...

0:06:03 > 0:06:06..some major re-wiring,

0:06:06 > 0:06:08oh, and a few floorboards!

0:06:08 > 0:06:12You could soon see a return on your investment.

0:06:12 > 0:06:16A property like this, it's an ideal rental property.

0:06:16 > 0:06:21It's three-bedroomed, semi-detached with a garden front and back.

0:06:21 > 0:06:25You'd be looking at a rental value of about £375 per month.

0:06:25 > 0:06:30Smashing! It's hard to look beyond the wreckage and see this as a family home,

0:06:30 > 0:06:37but if bought for around 25,000 and done up to a good standard, there could be a profit here.

0:06:37 > 0:06:40Fully refurbished, if the property was on the open market,

0:06:40 > 0:06:42I'd be asking around £65,000.

0:06:44 > 0:06:50Well, there's no denying there is a lot of work to do, so possibly not one for a first-timer.

0:06:50 > 0:06:54However, intrinsically, it's a good house in a reasonable area.

0:06:54 > 0:07:00And remember that guide price - £25,000-plus. It's a good one to go for at the auction.

0:07:03 > 0:07:07Lot 112 in St Helens. 20 anywhere?

0:07:07 > 0:07:1015? 15 we've got.

0:07:10 > 0:07:1320 I've got. 21 I've got.

0:07:13 > 0:07:1522?

0:07:15 > 0:07:1822 I've got. 23 I need.

0:07:18 > 0:07:2024 then...? 25?

0:07:20 > 0:07:22I've got it. 26?

0:07:22 > 0:07:2427?

0:07:24 > 0:07:2628?

0:07:26 > 0:07:2829?

0:07:28 > 0:07:3130...? 31?

0:07:31 > 0:07:3331. 32?

0:07:33 > 0:07:3533?

0:07:35 > 0:07:3734?

0:07:37 > 0:07:4035...? 6?

0:07:40 > 0:07:4237 then?

0:07:42 > 0:07:4338?

0:07:43 > 0:07:4638 I've got now, sir.

0:07:47 > 0:07:53A half. 38 and a half then. It's against you. I'll take 39?

0:07:53 > 0:07:5539 I've got.

0:07:55 > 0:07:57And a half. 40?

0:07:57 > 0:08:03OK, it's with you then, sir, at the back at 39,500.

0:08:03 > 0:08:07Are we all done at 39 and a half for the first time?

0:08:07 > 0:08:12Second time at 39,500. Third and final time, we're all done...

0:08:13 > 0:08:18Local man Mike made the winning bid of £39,500,

0:08:18 > 0:08:22£14,500 above the guide price of 25 grand.

0:08:22 > 0:08:27Mike is an engineer by trade and has been a property developer for 12 years.

0:08:27 > 0:08:31Working alongside him is property manager Lee

0:08:31 > 0:08:35who looks after the houses and flats that Mike buys to let.

0:08:38 > 0:08:42- What do you know about the area? - I'm fairly local to the area,

0:08:42 > 0:08:46so we've got a good idea of what goes on in the area

0:08:46 > 0:08:49and these houses done up are quite decent houses.

0:08:49 > 0:08:53- Right.- Three-bedroomed and the garden front and rear.

0:08:53 > 0:08:56And they're ideal for families.

0:08:56 > 0:09:02It's a regeneration area and there's people getting involved, landlords like me and Mike,

0:09:02 > 0:09:05hopefully, doing a good service.

0:09:05 > 0:09:10'Local regeneration schemes are doing all they can to promote civic pride

0:09:10 > 0:09:14'and encourage a strong community spirit.'

0:09:14 > 0:09:20They have litter-picking days and next week, they'll go round doing hanging baskets for the old people.

0:09:20 > 0:09:27Just getting the kids involved and tenants looking after their properties. That's how it should be.

0:09:27 > 0:09:32They get a bit of feedback from us and they approach us to ask our tenants

0:09:32 > 0:09:37what their views are on the area and what things they need that would help.

0:09:37 > 0:09:40We come up with things like keeping the place tidy,

0:09:40 > 0:09:45graffiti getting removed and people looking after their own stock.

0:09:45 > 0:09:50Mike, it sounds like you're not just being landlords. You're putting a lot back.

0:09:50 > 0:09:52Lee is more than me.

0:09:52 > 0:10:00I'm involved in the area and I'd like to see Parr be back to where it was years ago.

0:10:00 > 0:10:03Some nice people live round here

0:10:03 > 0:10:08and the houses could be made nice again and a nice place to live.

0:10:08 > 0:10:12What are you going to do to this place to sort it out?

0:10:12 > 0:10:15This will have to be completely gutted,

0:10:15 > 0:10:18plastered throughout...

0:10:19 > 0:10:21..central heated,

0:10:21 > 0:10:25insulated if necessary,

0:10:25 > 0:10:29and just generally smartened up, gardens and the outside.

0:10:29 > 0:10:32And just get it back to being a nice house.

0:10:34 > 0:10:40'Based on their previous experience, how much do they reckon it would cost

0:10:40 > 0:10:43'to do up this house and make it a home?'

0:10:44 > 0:10:50We'd probably spend between 10,000 to 12,000 on this property.

0:10:52 > 0:10:56It may get to 15, depending when we strip things out.

0:10:56 > 0:11:01'Mike and Lee have worked together for ten years and get on very well,

0:11:01 > 0:11:05'but they don't always agree, especially about timescales.'

0:11:05 > 0:11:09We're looking at about three months' work to be done on this.

0:11:09 > 0:11:13- Eight weeks.- You think it's going to be eight weeks?- Yes, eight weeks.

0:11:13 > 0:11:16Eight to twelve weeks is what it took in the past.

0:11:16 > 0:11:20'At least they can smile about it, kind of.

0:11:20 > 0:11:25'Even before this work has started, they've already decided on their next move.'

0:11:25 > 0:11:29Buying more houses in the area, doing them up and renting them out.

0:11:29 > 0:11:33Each property that we do do and move on,

0:11:33 > 0:11:37it's another property that's been regenerated and it looks nice.

0:11:37 > 0:11:42If we can work our way through the estate like that, we'd be very pleased.

0:11:42 > 0:11:46- How much of that is a driver for you?- A lot of it.

0:11:46 > 0:11:51I come to work and I know the people next door and over the road.

0:11:51 > 0:11:53There's people passing, "Hi, Lee, how are you?" It's nice.

0:11:53 > 0:11:56People saying you're doing a great job.

0:11:56 > 0:12:00"More landlords should be like you and Mike." But they're not.

0:12:00 > 0:12:06This is the message we're trying to send to other landlords - if we can do it, so can you.

0:12:06 > 0:12:10We might not make as much money as quickly as those,

0:12:10 > 0:12:16but the houses are a lot nicer and you get a good reputation and we get the right tenants.

0:12:18 > 0:12:24There you go - Mike and Lee proving that you can be a successful property investor and landlord

0:12:24 > 0:12:28and still put something back into the community. Fantastic stuff.

0:12:28 > 0:12:34Still, a lot of challenges with this one. Will they do it to budget and what about that timescale?

0:12:34 > 0:12:38Will it be eight weeks or twelve? Find out later.

0:12:51 > 0:12:55This is the little village of Powerstock

0:12:55 > 0:12:59and with its honey-coloured stone cottages and winding lanes,

0:12:59 > 0:13:01it's a perfect rural idyll.

0:13:01 > 0:13:04The village is nestled on the edge of the Dorset Downs

0:13:04 > 0:13:10and with the coast only 20 minutes' drive away, it's all looking very exciting indeed.

0:13:10 > 0:13:14So, if you were looking for a rural location,

0:13:14 > 0:13:17this place would be hard to beat.

0:13:17 > 0:13:22So, just a short walk from that pretty little village

0:13:22 > 0:13:25and I'm here to see our auction lot.

0:13:26 > 0:13:32It's a rather strange auction lot - not a house, but a very unusual piece of land.

0:13:32 > 0:13:37Land? Well, yes, they don't make it any more, so it's valuable, right?

0:13:37 > 0:13:39Well, yes and no.

0:13:39 > 0:13:45This piece has a guide price of just £10,000. Now, that lowly amount gives you some idea of its worth.

0:13:45 > 0:13:51It doesn't come with planning and the chances of attaining planning permission to build here are nil

0:13:51 > 0:13:58because this is grazing land - great for cows and sheep, not so great for property developers though.

0:13:59 > 0:14:05Yes, the only sweet smell coming from this patch would be from the perfume of flowers,

0:14:05 > 0:14:08rather than any successful development project.

0:14:08 > 0:14:12Maybe this land is a very different kind of investment.

0:14:12 > 0:14:16So what are your options with this land then?

0:14:16 > 0:14:20Well, you could keep a horse here or maybe rent it to a farmer.

0:14:20 > 0:14:25Or you could just use this space for your own recreational needs,

0:14:25 > 0:14:27somewhere to come and enjoy.

0:14:27 > 0:14:31You are in an area of outstanding natural beauty, after all.

0:14:31 > 0:14:35Are those views worth £10,000 though?

0:14:35 > 0:14:37I'd like to think so.

0:14:37 > 0:14:43OK, so there's no doubting this is a beautiful spot, but so what?

0:14:43 > 0:14:49There's no development potential here, but it's not the intrinsic value of the land that's important.

0:14:49 > 0:14:55It's the value it has to the local area. House prices, after all, are governed by location.

0:14:55 > 0:15:00If this land lost its greenfield status to become an industrial site,

0:15:00 > 0:15:04what do you think would happen to the house prices nearby?

0:15:04 > 0:15:10This land doesn't just come with picture postcard views. It also comes with its very own orchard.

0:15:10 > 0:15:15I would definitely have someone come and take a look to identify the trees,

0:15:15 > 0:15:19but if they were cider apples, that would be fantastic.

0:15:19 > 0:15:23You could run your own mini-distillery for personal use. I'd toast to that!

0:15:23 > 0:15:26# I am a cider drinker

0:15:26 > 0:15:29# I drinks it all of the day... #

0:15:31 > 0:15:36Scrumping aside, is there any way this land can bear fruit?

0:15:36 > 0:15:40Or is this just a chance to own your own little bit of England?

0:15:40 > 0:15:44What does the local property expert from the auctioneer think?

0:15:44 > 0:15:48This piece of ground is going to be of interest

0:15:48 > 0:15:52to those people within the village who wish to purchase a bit of ground

0:15:52 > 0:15:54for a pony paddock,

0:15:54 > 0:15:58somebody perhaps living within the district who wants to buy it,

0:15:58 > 0:16:02so that their children or grandchildren can have the use of it.

0:16:02 > 0:16:08It's got apple trees, it's south-facing and lots of wildlife,

0:16:08 > 0:16:10fauna and flora.

0:16:10 > 0:16:16As a place to come and play or laze around, how much would somebody normally have to pay?

0:16:16 > 0:16:20The value of ground in this particular area

0:16:20 > 0:16:26and a little plot of ground like this is probably about £10,000 an acre.

0:16:26 > 0:16:30This is what little plots of ground usually make.

0:16:30 > 0:16:37Surely, would-be developers would be trying to buy this prime plot just in case?

0:16:37 > 0:16:41To talk about building out in this part of the country

0:16:41 > 0:16:45and on this piece of ground, there's more chance of you going to the moon!

0:16:50 > 0:16:52So, choices are limited here.

0:16:52 > 0:16:56You could use this land for grazing, you could keep a pony on here

0:16:56 > 0:17:01or you could simply enjoy owning your own piece of England. Why not?

0:17:01 > 0:17:05Something you will never be able to do is build. That is a no-no,

0:17:05 > 0:17:09so speculative buyers will not be interested in this one.

0:17:09 > 0:17:13Someone was, though, so let's go to auction and see who that was.

0:17:15 > 0:17:170.784 acres.

0:17:17 > 0:17:22We've got a guide of £10,000. Someone like to put me straight in at 10?

0:17:22 > 0:17:2410, thank you. At 10,000.

0:17:24 > 0:17:2810,000. 12? 12. 14.

0:17:28 > 0:17:3016? The lady, thank you.

0:17:30 > 0:17:3316. At 16,000 on the aisle.

0:17:33 > 0:17:3618? 18 to Stephen on my left.

0:17:36 > 0:17:3920? 20. At 20 standing.

0:17:39 > 0:17:42At 20. 22.

0:17:42 > 0:17:4424? At 24.

0:17:44 > 0:17:4624.

0:17:47 > 0:17:5026? 26, thank you.

0:17:50 > 0:17:5526 with the field sports tie. 28? 28. 28...

0:17:55 > 0:17:57All done and sure then?

0:17:57 > 0:18:01On my left at £28,000...

0:18:01 > 0:18:08- Stephen Jenkins, congratulations. - Dorset Wildlife Trust. - Dorset Wildlife Trust. Thank you.

0:18:08 > 0:18:10APPLAUSE

0:18:11 > 0:18:18'After a bit more of a fight than I expected, it was the Dorset Wildlife Trust that came out on top.

0:18:18 > 0:18:23'For £28,000, they added another 0.7 of an acre

0:18:23 > 0:18:27'to the 200,000 acres of Dorset countryside they already own.

0:18:27 > 0:18:31'So what made this little bit so special?

0:18:31 > 0:18:35'I met up with their chief executive Simon to find out.'

0:18:35 > 0:18:38Land like this doesn't come up all the time.

0:18:38 > 0:18:44The Dorset Wildlife Trust is always on the lookout for good quality nature reserve material

0:18:44 > 0:18:49and land like this which is good for various species, has great plants and wildlife

0:18:49 > 0:18:51is a great opportunity for us.

0:18:51 > 0:18:56It really is beautiful here. How much research did you do into buying it?

0:18:56 > 0:19:02Quite a lot. We have a responsibility to our members who give us the money to buy this sort of land.

0:19:02 > 0:19:06We've got a thousand volunteers and out of those thousand volunteers,

0:19:06 > 0:19:11we've got a number of real experts on grassland or bats or orchard trees.

0:19:11 > 0:19:17They come in and they have a look at the land for us and tell us just how valuable it is for wildlife.

0:19:17 > 0:19:22- They tipped you off on this one and said, "Go for it!" - They did and we did.

0:19:22 > 0:19:27'The Trust put out an appeal to their 25,000 members to help purchase this land

0:19:27 > 0:19:33'and within two weeks, they got a fantastic £80,000, which is pretty impressive.'

0:19:36 > 0:19:39Why are spaces like this so important?

0:19:39 > 0:19:41They have such a range of uses.

0:19:41 > 0:19:47They're important for the wildlife, as representative areas within Dorset.

0:19:47 > 0:19:53We've got to keep different types of habitat and wildlife all around Dorset.

0:19:53 > 0:19:59- Who else will be involved in this project with you?- We have a range of volunteers that we work with,

0:19:59 > 0:20:02but with a site like this very close to the village centre,

0:20:02 > 0:20:08we hope to draw in the villagers as part of a community plan and that's the exciting thing.

0:20:08 > 0:20:12It's not about putting fences around nice bits of Dorset.

0:20:12 > 0:20:18It's about pulling people in and letting them share in the environment that we have here.

0:20:20 > 0:20:26'One of those involved is Joy, the Trust's People and Wildlife Co-ordinator.

0:20:26 > 0:20:30'She encourages local communities to get involved.'

0:20:30 > 0:20:35Joy, I know this is really an exciting time for you guys at the Wildlife Trust.

0:20:35 > 0:20:41But to me, this just looks like a huge, overgrown field. What is so exciting about you buying this?

0:20:41 > 0:20:48It's a lot more than an overgrown field. We've got fantastic old trees which are probably cider apple trees

0:20:48 > 0:20:52because a lot of the orchards round here were for cider-making.

0:20:52 > 0:20:57We've got a stream and we know there are otters that pass through here.

0:20:57 > 0:21:00We want people to enjoy it as well,

0:21:00 > 0:21:06so there's a lovely area down there which we can develop for picnic tables to go in,

0:21:06 > 0:21:10have an information centre to tell people about what they can see here.

0:21:10 > 0:21:16There's a school just round the corner and they can use this as an outdoor classroom.

0:21:16 > 0:21:20Imagine seeing the kids' faces coming into something like this!

0:21:20 > 0:21:23What are you most looking forward to here?

0:21:23 > 0:21:27Getting the local people and communities on board

0:21:27 > 0:21:33because it's just fantastic for people to actually think, "Oh, this is a place that we can use,"

0:21:33 > 0:21:38whether they want to use it for events, wildlife study or with school groups.

0:21:38 > 0:21:40That's really what I enjoy most -

0:21:40 > 0:21:46actually enthusing people in their own natural heritage.

0:21:46 > 0:21:52'With Joy's enthusiasm, Simon's support and a range of volunteers and helpers,

0:21:52 > 0:21:56'this should be a fantastic community asset.'

0:21:59 > 0:22:03That's the thing I really do love about Homes Under The Hammer.

0:22:03 > 0:22:08You never know who's going to buy and what they'll do with their purchase.

0:22:08 > 0:22:13Who'd have thought that this land would be utilised in such a special way?

0:22:13 > 0:22:17I wish Simon and Joy all the luck in making this a huge success.

0:22:19 > 0:22:25'Coming up, is this three-bedroomed semi in Stoke a sight for sore eyes?'

0:22:25 > 0:22:28I've seen better. I have seen worse!

0:22:29 > 0:22:35'We return to Dorset to find out who the new residents of this plot of land are going to be.'

0:22:36 > 0:22:40We want to get a few sheep in here to graze.

0:22:40 > 0:22:45'But first, does this house in Merseyside meet its new owners' standards?'

0:22:45 > 0:22:49We wouldn't expect somebody to live in something we wouldn't live in.

0:22:52 > 0:22:56This house on Merseyside was bought at auction for £39,500.

0:22:56 > 0:23:03It's in the residential suburb of Parr, a mile and a half from St Helens town centre.

0:23:03 > 0:23:09The house is on an estate that was originally built for miners working at the local Bold Colliery.

0:23:09 > 0:23:16Since the mines were closed in the late 1980s, the area has gone through some difficult times

0:23:16 > 0:23:18and this house was badly vandalised.

0:23:18 > 0:23:24Mike bought it and, with the help of property manager Lee, planned to repair the damage and rent it out.

0:23:24 > 0:23:28I'd like to see Parr be back to where it was years ago.

0:23:28 > 0:23:31Some nice people live round here

0:23:31 > 0:23:34and the houses could be made nice again.

0:23:34 > 0:23:38# All messed up and no place to go... #

0:23:38 > 0:23:43This was all messed up, but that mess is now long gone.

0:23:43 > 0:23:47The vandals did a really good job trying to destroy the place.

0:23:47 > 0:23:51Now there's been an equally good job putting it all back together.

0:23:58 > 0:24:01But where on earth did they start?

0:24:01 > 0:24:05We took everything out of the property and started from scratch.

0:24:05 > 0:24:09That's new electrics, had it plastered throughout,

0:24:09 > 0:24:12new window frames, new doors.

0:24:12 > 0:24:16The boiling system needed replacing, all the plumbing.

0:24:16 > 0:24:20We took the old kitchen away cos it had been vandalised.

0:24:20 > 0:24:25We were going to try and salvage the original kitchen, but that didn't happen,

0:24:25 > 0:24:28so we stripped it all out and renewed it.

0:24:28 > 0:24:31We've rearranged it in a more practical way.

0:24:31 > 0:24:37Originally, the sink and the cooker were along the same wall, making the kitchen feel like a long corridor.

0:24:37 > 0:24:42Now the sink has been moved under the window, freeing up more space.

0:24:44 > 0:24:48The last time we were here, there was a huge hole in the ceiling

0:24:48 > 0:24:50or was that in the upstairs floor?

0:24:50 > 0:24:56Well, upstairs was in a bad condition. The floor was in a real mess.

0:24:56 > 0:25:00There was no floorboards in and all the plumbing had been ripped out.

0:25:00 > 0:25:06We put everything back to how it should be. It's a nice, clean job. I'm quite pleased with it.

0:25:06 > 0:25:12The bathroom was non-existent because it had been vandalised and all the things taken out of it.

0:25:12 > 0:25:18The worse the condition, the better it is for us. We can just rip everything out and start again.

0:25:18 > 0:25:22Mike and Lee have certainly cracked on with this refurbishment.

0:25:22 > 0:25:27Upstairs, the real fires, those lit by the vandals, have gone.

0:25:27 > 0:25:31All three bedrooms are now restored and looking smart,

0:25:31 > 0:25:33as is the outside of the property.

0:25:33 > 0:25:37We've put new fences and new gates on the property

0:25:37 > 0:25:41which makes it look completely different than before.

0:25:41 > 0:25:46Next year, we'll get round to doing all the gardens, so they'll all be nice

0:25:46 > 0:25:50and rightly so because it's a nice estate with nice people.

0:25:50 > 0:25:53Why can't they have a nice house to live in?

0:25:53 > 0:25:58The only thing that's brought some of the houses down is private landlords

0:25:58 > 0:26:03because they won't do the jobs that they're supposed to do, in my eyes.

0:26:03 > 0:26:07We wouldn't expect somebody to live in something we wouldn't live in.

0:26:07 > 0:26:12That's a nice sentiment, but sentiments can prove expensive.

0:26:13 > 0:26:15What did they spend here?

0:26:15 > 0:26:21I was quite pleasantly surprised about that because we thought it would be about 15,000

0:26:21 > 0:26:24and it came in at about 10,500.

0:26:24 > 0:26:29The budget is kept down obviously because we do a lot of work ourselves,

0:26:29 > 0:26:35so if you had to employ somebody to do what I did and what Mike did, your budget would be a lot more.

0:26:35 > 0:26:40They've spent £10,500, £4,500 under budget.

0:26:40 > 0:26:44That's not something we often get to say on Homes Under The Hammer.

0:26:44 > 0:26:50If I remember rightly, there was a difference of opinion about how long it would take.

0:26:50 > 0:26:54It was eight weeks, so we managed to get it done in that time.

0:26:54 > 0:26:57We could've done it in eight weeks,

0:26:57 > 0:26:59but it probably went to twelve

0:26:59 > 0:27:02as we had other jobs running parallel with this one.

0:27:02 > 0:27:06Eight weeks, twelve weeks, who's counting? Apparently not those two!

0:27:06 > 0:27:12Mike bought the property for £39,500 and they've spent £10,500 so far.

0:27:16 > 0:27:21What do two local property experts think of the house now?

0:27:21 > 0:27:26It had been vandalised previously. It's all been done very nicely.

0:27:26 > 0:27:32The kitchen's been refitted to a good standard. The bathroom again refitted, perfectly serviceable.

0:27:32 > 0:27:36It was built as a three-bedroomed family house, which is what it is.

0:27:36 > 0:27:39It has a very big garden. It's very good for a family.

0:27:39 > 0:27:41The work done here is really good.

0:27:41 > 0:27:45The plaster re-finish is practical, as is the laminate flooring.

0:27:45 > 0:27:51The kitchen has been done well. It's a nice, open space with lots of room for family living.

0:27:51 > 0:27:55There's agreement then that it's a good family home,

0:27:55 > 0:28:01but what's the best option here, given current conditions - rental or re-sale?

0:28:01 > 0:28:08With the market the way it is, the rental market is very strong. It will rent very easily, rather than sell.

0:28:08 > 0:28:14I think it would be better as a rental property. Re-sale in the area isn't as well as it should be.

0:28:14 > 0:28:19That's good news for Mike and Lee. They always planned to rent it out.

0:28:19 > 0:28:22Now the all-important question - for how much?

0:28:22 > 0:28:28If it was to go on the rental market, I would expect to be asking around £450 per calendar month.

0:28:28 > 0:28:35This property would achieve around 450, 500 per calendar month in the rental market.

0:28:35 > 0:28:40We're very happy with that. We've got a tenant moving in and she's paying 498 a month.

0:28:40 > 0:28:42Yeah, that's what we expected.

0:28:42 > 0:28:48Mike and Lee are getting a good rental price and a great return while they're at it.

0:28:48 > 0:28:51They've spent around £50,000 on the house so far.

0:28:51 > 0:28:57What difference have their renovations made to the property's market value?

0:28:57 > 0:29:01If the property was on the market, I'd expect to achieve around £60,000.

0:29:01 > 0:29:05I would put this property on the market for around 70,000 to 75,000.

0:29:05 > 0:29:11We were thinking in the region at the moment of about £65,000.

0:29:11 > 0:29:14That's quite a good result. We're made up with that.

0:29:14 > 0:29:17The house could be worth more than they imagined.

0:29:17 > 0:29:22That's good to hear, but they're not doing it just for the money.

0:29:22 > 0:29:26Being locals, they're committed to the area and their tenants.

0:29:26 > 0:29:33If you do a house up in the area like this, it's better for the area, it's better for everybody concerned.

0:29:33 > 0:29:39- We're glad we've done it and we'll be doing more.- The next project is the house next door.

0:29:39 > 0:29:43This is virtually finished. There's a tenant moving in on Friday.

0:29:43 > 0:29:45On Monday, we'll start work on that.

0:29:45 > 0:29:51Same procedure - rip everything out and bring it up to scratch like this and get another nice tenant in.

0:29:51 > 0:29:57The good news is that the new tenants have now moved into the house and made it a home.

0:29:57 > 0:30:02Mike and Lee have started working on the property next door and are looking for more.

0:30:02 > 0:30:06They're doing a great job and we wish them every success.

0:30:13 > 0:30:16I'm in Trentham on the outskirts of Stoke-on-Trent.

0:30:16 > 0:30:22It's probably most famous in the north-west as home to Trentham Gardens

0:30:22 > 0:30:26where I used to go as a child and it's where I learnt to swim.

0:30:26 > 0:30:31The big question is, will the property I'm here to see be doggy paddle or front crawl?

0:30:33 > 0:30:39And if swimming is not your thing, then this is an ideal area for a walk in the park.

0:30:40 > 0:30:44# I keep on walking till the sun comes up

0:30:44 > 0:30:47# I keep on walking and the sun comes up

0:30:47 > 0:30:50# I keep on walking till the sun comes up

0:30:50 > 0:30:54# I keep on walking till the sun comes up... #

0:30:54 > 0:31:00Trentham is one of Stoke's more expensive areas and was part of the estate village of Trentham Hall,

0:31:00 > 0:31:04a former country seat owned by the Dukes of Sutherland.

0:31:04 > 0:31:09The gardens and park still remain, but the grand old house was knocked down long ago.

0:31:09 > 0:31:15Hopefully, the property sold at auction has fared a little better and is still standing.

0:31:17 > 0:31:22The house I'm here to see is on this cherry tree-lined avenue.

0:31:22 > 0:31:25This will be gorgeous in the spring!

0:31:25 > 0:31:28The property looks in reasonable nick.

0:31:28 > 0:31:34Three bedrooms, semi-detached, had a guide price of 100,000 quid. Let's take a look.

0:31:34 > 0:31:38Well, the outside of the house could do with a bit of repair work,

0:31:38 > 0:31:42but I think it's mainly cosmetic.

0:31:44 > 0:31:50So... Well, that's nice. I like big entrance areas. Look at that!

0:31:50 > 0:31:53It really gives the house an open feel straight away.

0:31:53 > 0:31:58Stairs up to the bedrooms there, front sitting room here. Doesn't look too bad.

0:31:58 > 0:32:03It could do with a new fireplace. Rear living room area - that looks quite nice.

0:32:03 > 0:32:06Then through to the kitchen...

0:32:06 > 0:32:09Well, it could do with a bit of work.

0:32:09 > 0:32:13I've seen better. I have seen worse, it has to be said.

0:32:13 > 0:32:18I'd definitely want to get rid of the cooker. The units may be serviceable.

0:32:18 > 0:32:22It's not a bad-sized space and, all in all, a good enough start.

0:32:22 > 0:32:27At one end of the kitchen, there's a boiler room and walk-in pantry.

0:32:27 > 0:32:31These could be knocked through to make a downstairs cloakroom,

0:32:31 > 0:32:35a utility room or just to increase the size of the kitchen.

0:32:36 > 0:32:42So that rear living room is not a bad-sized room, but that's not the great thing about it.

0:32:42 > 0:32:46It's got an open fire, but that's not the great thing about it.

0:32:46 > 0:32:51The fantastic thing about it is it's got these patio doors leading out on to the garden,

0:32:51 > 0:32:54throwing loads of light into the room.

0:32:54 > 0:32:58Outside, more opportunities present themselves

0:32:58 > 0:33:02because some neighbouring properties have gone for an extension -

0:33:02 > 0:33:07a single-storey extension on the back, a double-storey extension on the side.

0:33:07 > 0:33:13Both are ways you could extend this into a considerably-sized family home. It's big enough already.

0:33:13 > 0:33:17One great thing it's got already is this - a good-sized rear garden.

0:33:17 > 0:33:23The garden obviously needs work, but it's nothing a lawn mower couldn't sort out

0:33:23 > 0:33:26which you could keep in this handy garage.

0:33:26 > 0:33:32And that long drive means the house could be ideal for a family with more than one car.

0:33:32 > 0:33:38Back upstairs, it looks as though the house could do with a bit of care and attention.

0:33:38 > 0:33:44So, upstairs, three generously proportioned bedrooms and something that's gone a bit wrong

0:33:44 > 0:33:50because you've got the bathroom there, then across this landing area is the loo.

0:33:50 > 0:33:54Now, I quite like separate loos. It works very well in a family house,

0:33:54 > 0:34:00but a lot of people like to knock them together and clearly you won't be able to do this here.

0:34:00 > 0:34:06Unless you consider some major extension, you're going to be stuck with this layout.

0:34:06 > 0:34:13It could be expensive knocking down walls and building extensions just to give you an all-in-one bathroom.

0:34:13 > 0:34:19The three bedrooms are a good size, but in need of some repair and re-decoration.

0:34:23 > 0:34:26There's even a sign of what looks like damp.

0:34:26 > 0:34:29That will need to be sorted out.

0:34:29 > 0:34:35If you've got a small budget, it's worth doing these jobs before you think about knocking any walls down.

0:34:35 > 0:34:39The house went to auction at a guide price of £100,000.

0:34:39 > 0:34:42I asked a local estate agent along

0:34:42 > 0:34:46to find out how it compares with others in the street.

0:34:46 > 0:34:50The majority of houses in Trentham are similar to this property -

0:34:50 > 0:34:54three-bedroom semi-detached, three-bedroom detached,

0:34:54 > 0:34:57four-bedroom detached, your family type of home.

0:34:57 > 0:35:02It's a desirable place to live, but you still get good value for money.

0:35:02 > 0:35:08With Trentham Gardens not far away, you feel like you can have a touch of the rural life,

0:35:08 > 0:35:12yet you're only ten minutes' drive from Stoke city centre.

0:35:12 > 0:35:15Does anything stand out about this house?

0:35:15 > 0:35:20What I like about this property is its character from the outside.

0:35:21 > 0:35:23A little bit of Mock Tudor,

0:35:23 > 0:35:27it makes it a little different, a bit more mature.

0:35:27 > 0:35:31It sets it apart from its modern counterparts.

0:35:31 > 0:35:35Obviously, at the moment, it's not being shown at its best.

0:35:35 > 0:35:41There's a lot of cosmetic work to be done, but it's a good, structurally solid property.

0:35:41 > 0:35:44The property could do with a bit of work,

0:35:44 > 0:35:47but how much do houses on this street go for?

0:35:49 > 0:35:51Once renovated,

0:35:51 > 0:35:57I think the value of this property is somewhere in the region of £160,000 to £165,000.

0:36:00 > 0:36:06If the new owner didn't want to sell the house on, would renting be a good option?

0:36:08 > 0:36:14The rental value - somewhere between £525 to £550 per calendar month.

0:36:14 > 0:36:19Well, a little bit of jiggery-pokery required to sort this place out,

0:36:19 > 0:36:23but I think for that £100,000 guide price, this is a cracking property.

0:36:23 > 0:36:29It will make a lovely family home or a great investment. Who agreed with me when it went under the hammer?

0:36:33 > 0:36:35What shall we say then for Lot 50?

0:36:36 > 0:36:38What is it? 95 to start me?

0:36:39 > 0:36:4495 I'm bid, front row. At £95,000. 100 can I say?

0:36:44 > 0:36:47100, standing right. At 100,000.

0:36:47 > 0:36:50105? 105.

0:36:50 > 0:36:52110.

0:36:52 > 0:36:55115? 115.

0:36:55 > 0:36:57120.

0:36:57 > 0:37:00121 in the aisle.

0:37:00 > 0:37:02122. 123.

0:37:02 > 0:37:05124. 125.

0:37:05 > 0:37:09126. 127.

0:37:09 > 0:37:12128. 129.

0:37:12 > 0:37:13130.

0:37:13 > 0:37:16130 and a half.

0:37:16 > 0:37:20131. 131 and a half.

0:37:20 > 0:37:22132.

0:37:22 > 0:37:26At 132,000... 132 and a half.

0:37:26 > 0:37:28133, sir? No?

0:37:28 > 0:37:34132 and a half. The bid's in the aisle then at £132,500, first time...

0:37:34 > 0:37:38At 132,500, second time...

0:37:38 > 0:37:42Third and final time... 133.

0:37:42 > 0:37:45133,000.

0:37:45 > 0:37:49It's with you back right, sir, at £133,000.

0:37:49 > 0:37:53Are we all done now? At 133, first time...

0:37:53 > 0:37:56133, second time...

0:37:56 > 0:37:58Third and final time at 133...

0:37:58 > 0:38:01133 and a half.

0:38:01 > 0:38:04134. Against you in the aisle, sir.

0:38:04 > 0:38:08At £134,000, first time...

0:38:08 > 0:38:13Second time. Third and final time at 134...

0:38:13 > 0:38:16BANGS GAVEL You bought it, sir. Well done.

0:38:16 > 0:38:23'That successful bid of 134,000, over 30% more than the guide price, came from Andy.

0:38:23 > 0:38:29'He runs his own company which specialises in laying tarmac surfaces.

0:38:29 > 0:38:32'I can see that drive changing.'

0:38:32 > 0:38:36# Can you dig it? Oh, yeah

0:38:36 > 0:38:39# Can you dig it...? #

0:38:39 > 0:38:43'I met him back at his new property.'

0:38:43 > 0:38:49- Were you happy with what you paid? It's quite a bit over the guide price.- I was well happy with it.

0:38:49 > 0:38:53I mean, I expected it to go over the guide price.

0:38:53 > 0:38:55So how was the auction for you?

0:38:55 > 0:39:01It was all right. I bought my own house at auction, so I've had experience of auctions before.

0:39:01 > 0:39:07- So you're an auction veteran? - I wouldn't say that. It's always a little bit nerve-wracking.

0:39:07 > 0:39:10So why this particular house?

0:39:10 > 0:39:14Because I think Trentham is in an ideal position to rent out

0:39:14 > 0:39:19and also it's got potential for us to do things with it, really.

0:39:19 > 0:39:21- It's a nice house, isn't it?- Yeah.

0:39:21 > 0:39:28- Tell me what you're going to do to it.- We'll probably put a new kitchen in, alter the bathroom,

0:39:28 > 0:39:31then widen the drive and decorate it through.

0:39:31 > 0:39:36How are you going to sort the bathroom out? I looked at the loo on the stairs.

0:39:36 > 0:39:39I don't know what you can do.

0:39:39 > 0:39:41Yeah, that's the question, really.

0:39:41 > 0:39:45I was looking into perhaps putting an extension on the one side

0:39:45 > 0:39:50and try and make the toilet room slightly bigger and moving the bathroom across.

0:39:50 > 0:39:54- Wow, quite a big job, quite a lot of expense!- Yeah.

0:39:54 > 0:40:01- And the rest of the house, pretty much as it is?- Yes, we'll re-wire some rooms and decorate it through.

0:40:01 > 0:40:07I've never been in a house with so few plug sockets. There's one plug socket in each bedroom, I think!

0:40:11 > 0:40:13'It sounds like a re-wire is a must.

0:40:13 > 0:40:19'Andy's not doing the work on his own. His girlfriend is going to lend a professional hand.'

0:40:19 > 0:40:25My girlfriend used to work for an interior design firm which did show homes.

0:40:25 > 0:40:29- Wow, she must be very excited! - She's ready to start tomorrow!

0:40:29 > 0:40:34What is she going to do? What stage is she going to come in at?

0:40:34 > 0:40:39We'll probably together strip all the house out, clean the walls off and what have you,

0:40:39 > 0:40:43then she'll do the decorating and oversee some of the work.

0:40:45 > 0:40:51'Andy paid £34,000 above the guide price and plans to do some of the work himself.

0:40:51 > 0:40:56'Owning a groundworks company means sorting out that drive won't be a problem,

0:40:56 > 0:41:01'but he'll have to hire in trades such as electricians and plasterers.'

0:41:01 > 0:41:04How much have you set aside for the work?

0:41:04 > 0:41:07I was thinking something like 8,000.

0:41:07 > 0:41:14- A tight budget.- Yeah, but we'll be doing a lot of the work ourselves. It'll be mainly materials.- Right.

0:41:14 > 0:41:18- And in terms of the time it will take?- Probably about two months.

0:41:18 > 0:41:24'Two months sounds quite ambitious, given Andy will be doing his day job at the same time.

0:41:24 > 0:41:31'He's optimistic that with the help of his partner and friends in the trade, it is a realistic timeframe.

0:41:31 > 0:41:37'His budget is small for a fairly large property, so I'd suggest Andy sticks to a simple renovation

0:41:37 > 0:41:41'and puts any ideas of an extension on hold.'

0:41:41 > 0:41:44What's the plan after you've done this one?

0:41:44 > 0:41:47To rent it out and just watch how it goes.

0:41:47 > 0:41:52Do you have any idea of what you might get in terms of rent?

0:41:52 > 0:41:58- 500 to 550, something like that. - A decent enough return. - That's what I was hoping for, yeah.

0:41:59 > 0:42:04So, Andy taking on a great little house for his first investment property,

0:42:04 > 0:42:09but I am a bit concerned that because he paid so much more than the guide price,

0:42:09 > 0:42:12his budget and his margins are going to be very tight.

0:42:12 > 0:42:18But it will have a lovely driveway when we come back. Find out how he gets on later in the show.

0:42:22 > 0:42:26Well, as the saying goes, some you win, some you lose.

0:42:26 > 0:42:32- So were the buyers successful or did their gamble not pay off? - Let's find out.

0:42:32 > 0:42:36Every now and again, a surprise lot comes up at auction

0:42:36 > 0:42:40that inspires a very different kind of purchaser to bid,

0:42:40 > 0:42:46not the property developers, builders or first-time buyers we usually come across on this show.

0:42:46 > 0:42:50And so it was with Lot 23E in June 2008 -

0:42:50 > 0:42:560.7 acres of land just outside the village of Powerstock in gorgeous rural Dorset.

0:42:56 > 0:43:01This land was sold for £28,000 to a local wildlife trust.

0:43:01 > 0:43:05They had definite plans for this small addition

0:43:05 > 0:43:08to the 200,000 acres they already maintained.

0:43:08 > 0:43:13With a site like this which is very close to the village centre,

0:43:13 > 0:43:18we hope to draw in the villagers as part of a community plan and that's the exciting thing.

0:43:18 > 0:43:22It's not about putting little fences around nice bits of Dorset.

0:43:22 > 0:43:27It's about pulling people in to let them share in the environment here.

0:43:27 > 0:43:32So the seasons rolled on and ten months later, we've returned

0:43:32 > 0:43:38to see if this idyllic piece of land with its stream and apple trees has blossomed even further.

0:43:39 > 0:43:44The apple trees have emerged from their previous tangled scrub.

0:43:50 > 0:43:54And there is subtle land management taking place

0:43:54 > 0:43:58as the Trust's People and Wildlife Co-ordinator Joy explains.

0:44:00 > 0:44:05Some of the trees like this one here were totally covered in brambles.

0:44:05 > 0:44:09It kills the branches and the tree is suffering quite a bit.

0:44:09 > 0:44:14We've cleared the bramble patches away and given the trees a longer life span

0:44:14 > 0:44:20than they would have had otherwise and hopefully more flowers will grow up around the trees.

0:44:20 > 0:44:27I've put some wild flower mix down there, so in June, it'll be more interesting than a pile of brambles.

0:44:28 > 0:44:33So far, the clearance and maintenance of the site has been carried out

0:44:33 > 0:44:39by a willing bunch of volunteers, but there are plans afoot to get some additional animal help.

0:44:39 > 0:44:44We've put a sheep fence round as we want to get a few sheep in here to graze the grass down.

0:44:44 > 0:44:50That's really good for wild flowers, so they'll be in here for a few weeks later on in the summer.

0:44:50 > 0:44:57We've cleared the stream off a bit as that will encourage more things to take advantage of the stream.

0:44:57 > 0:45:04We've had a bench donated by a family whose mother lived virtually all her life in the village. That's lovely.

0:45:04 > 0:45:10Already this is showing what a diverse and interesting habitat this is

0:45:10 > 0:45:13for all kinds of plants and creatures.

0:45:13 > 0:45:19It might not be a home for people, but it's just teeming with wildlife who have taken up residence here.

0:45:19 > 0:45:24That in turn attracts people in as Tony, the chairman of the Trust, explains.

0:45:24 > 0:45:28It's a wonderful area for the community to come and visit.

0:45:28 > 0:45:34There is open access whilst before probably they wouldn't be able to come here.

0:45:34 > 0:45:38They can enjoy it peacefully and look at the wildlife

0:45:38 > 0:45:43and it's our job to interpret and explain to people what wildlife is there.

0:45:43 > 0:45:49There is an enormous number of little beasties like beetles, as well as the birds and the flowers.

0:45:49 > 0:45:55And it's the local community and especially the schools that they try to get on board.

0:45:55 > 0:45:58The children are going to come along a bit later

0:45:58 > 0:46:03and we hope they'll look on this place as an outdoor classroom and use it in the future

0:46:03 > 0:46:08because the school is just down the lane, so it's very handy for them.

0:46:08 > 0:46:14We've had some locals turn up to help clear the brambles and clearing the fence line for the fence.

0:46:14 > 0:46:21We've got some locals coming along to help this afternoon with the activities, so it's been great.

0:46:21 > 0:46:24And today is Apple Blossom Day for the orchard.

0:46:24 > 0:46:30It's a chance for both the Trust and the community to get together and celebrate the arrival of spring.

0:46:42 > 0:46:46So as the children continue to get the wildlife bug,

0:46:46 > 0:46:50will there be a net profit in their outside classroom?

0:46:50 > 0:46:55We asked a local property expert along with his dog to find out.

0:46:57 > 0:47:00This land is absolutely enchanting.

0:47:00 > 0:47:06It's the typical little old orchard that typifies the area,

0:47:06 > 0:47:11for which there is a growing need and a growing resurgence.

0:47:11 > 0:47:18This clearly isn't about profit, but with the £28,000 to buy the land being donated by the members

0:47:18 > 0:47:22and the £2,000 spent, have they used their members' money carefully?

0:47:23 > 0:47:28On the market, this land could be worth in the region of £30,000.

0:47:28 > 0:47:33- Priceless, really, isn't it? - It is, Joy.- You can't put a price on something like this.

0:47:33 > 0:47:36It really is a very long-term project.

0:47:36 > 0:47:43The Trust hopes to keep the land in perpetuity, but there are still plenty of tasks to get on with.

0:47:43 > 0:47:48Well, I hope that in the future, the village will continue to enjoy it.

0:47:48 > 0:47:54I hope the school will be able to use it as an outdoor classroom for all sorts of cross-curricular activities

0:47:54 > 0:47:58and that it will go on from strength to strength.

0:47:58 > 0:48:01Hear, hear! I think that's all I can say.

0:48:01 > 0:48:05This little bit of Dorset may never be home for people,

0:48:05 > 0:48:12but it will be a home for a diverse range of wildlife and an outside classroom for the local school.

0:48:12 > 0:48:18It just goes to show that you don't always need financial returns to make a rewarding investment.

0:48:26 > 0:48:32This three-bedroomed, semi-detached house in Stoke was bought at auction for 134,000 quid.

0:48:33 > 0:48:37It's in a popular residential location

0:48:37 > 0:48:41and was in need of modernisation and improvement.

0:48:41 > 0:48:45Its new owner Andy had a few decisions to make.

0:48:46 > 0:48:52I was looking into perhaps putting an extension on one side and trying to make the toilet room slightly bigger

0:48:52 > 0:48:55and moving the bathroom across.

0:48:55 > 0:48:59I can see why he wanted to make that toilet room bigger,

0:48:59 > 0:49:04but joining it to the bathroom wasn't going to be easy with that stairwell in the way.

0:49:04 > 0:49:07I'm not sure how he's done it, but it's...

0:49:07 > 0:49:11# All right now

0:49:11 > 0:49:15# Baby, it's all right now... #

0:49:15 > 0:49:19It's pretty all right in other areas of the house too...

0:49:21 > 0:49:24..though it's not quite finished yet.

0:49:24 > 0:49:30He's obviously been busy and created some valuable extra space, so how has he done it?

0:49:34 > 0:49:40OK, so one of the biggest and first jobs we did to the house when we first started

0:49:40 > 0:49:44was to remove all the existing stairs and take the bathroom out.

0:49:44 > 0:49:48There was a small toilet room to the top of the stairs.

0:49:48 > 0:49:52We demolished all that and that gave us room for a bigger bathroom.

0:49:52 > 0:49:58That's clever. Andy first thought he'd have to build an extension to make room for a bigger bathroom.

0:49:58 > 0:50:04Instead, he's removed the old stairwell that divided the upstairs landing in the middle,

0:50:04 > 0:50:06separating the toilet and bathroom.

0:50:06 > 0:50:12He's then rebuilt the staircase, taking space from what was the kitchen pantry and boiler room.

0:50:12 > 0:50:17Moving the stairs aside like this has created enough room upstairs

0:50:17 > 0:50:22for that all-important bigger bathroom and toilet with shower cubicle.

0:50:22 > 0:50:27That's not all. There's now space under the stairwell for an added bonus.

0:50:27 > 0:50:32We weren't sure how it would work, but I'm glad we altered the stairs

0:50:32 > 0:50:36because it's given us an extra room downstairs and a nice bathroom.

0:50:36 > 0:50:38As I said, that's clever.

0:50:38 > 0:50:44Since Andy's gone to all the trouble of moving those stairs, it seems rude not to use them.

0:50:44 > 0:50:47Let's look at the upstairs bedrooms.

0:50:47 > 0:50:50# All right now Baby, it's all right... #

0:50:50 > 0:50:56Other than a bit of decorating to finish off, the house is looking great

0:50:56 > 0:51:02and Andy has given new life to old character features, stripping the original doors back to the wood.

0:51:02 > 0:51:06# All right now Baby, it's all right... #

0:51:06 > 0:51:11And there's no longer just one main socket per room.

0:51:11 > 0:51:13We've completely re-wired the house

0:51:13 > 0:51:19and obviously incorporated sockets and TV aerial sockets and things like that extra.

0:51:20 > 0:51:24Downstairs has also had a bit of a facelift.

0:51:24 > 0:51:28In the front reception room, the 1970s gas fire has been replaced

0:51:28 > 0:51:32with something that not only has a grate, but also looks great.

0:51:33 > 0:51:39To keep the heat from that new fire in, the old bay window has been double-glazed.

0:51:42 > 0:51:47The carpets, not to everyone's tastes, have been ripped up

0:51:47 > 0:51:51and the floorboards sanded to create a smart, new floor.

0:51:52 > 0:51:59The back reception room feels light and airy with its open outlook on to the garden.

0:52:00 > 0:52:04The kitchen no longer looks like a period piece.

0:52:09 > 0:52:12Andy must have had a lot of help getting this all done.

0:52:13 > 0:52:18I've pretty much done the demolition work, clearing the site...

0:52:19 > 0:52:24..the landscaping and the driveway, the fencing,

0:52:24 > 0:52:27then we've done all the other odd jobs,

0:52:27 > 0:52:31other than the plastering and the electrical work and the plumbing.

0:52:32 > 0:52:34Andy mentioned the driveway.

0:52:34 > 0:52:40Since he runs his own groundworks company specialising in tarmacking, it should be top-notch.

0:52:44 > 0:52:49As you can see, we've resurfaced the drive.

0:52:49 > 0:52:53We've put these stone edgings around the outside, widened the entrance,

0:52:53 > 0:52:57so we can get two cars on if I rent it out to a family

0:52:57 > 0:52:59and sort of gravelled the front,

0:52:59 > 0:53:03built a brick pillar on the left-hand side,

0:53:03 > 0:53:06and then re-done the fence.

0:53:06 > 0:53:09The back garden has been tidied up as well.

0:53:11 > 0:53:17It's now a large, open area and ideal for families with children.

0:53:18 > 0:53:24Andy hoped to carry out the work in two months with a budget of £8,000. How's that gone?

0:53:25 > 0:53:29We've been working on this project for about four months,

0:53:29 > 0:53:34but really probably two months of that has been solid work.

0:53:34 > 0:53:39The rest I've been busy doing my groundwork.

0:53:39 > 0:53:44My original budget of 8,000 got altered when I decided to do the extra work inside

0:53:44 > 0:53:48and I wasn't really budgeting for any fees

0:53:48 > 0:53:54which probably brings us up to around about 15,000 and I think I'll finish the project at about 16,000.

0:53:54 > 0:54:00Roughly twice the time and twice the cost, but to be fair, it's looking twice as good.

0:54:05 > 0:54:09Things seem to be going smoothly for Andy, but has he added value?

0:54:10 > 0:54:14We invited two local estate agents to take a look around.

0:54:19 > 0:54:21Trentham is quite well sought after,

0:54:21 > 0:54:24good high schools and infrastructure links.

0:54:24 > 0:54:29It's a three-bedroom, semi-detached house. It's had a reasonable re-fit.

0:54:29 > 0:54:33A new kitchen and bathroom have gone in. Good features have been retained.

0:54:33 > 0:54:40They've kept some original doors, the original flooring in the hall and it keeps the character of the building.

0:54:40 > 0:54:44They've opened the grounds up and made it a family-orientated garden.

0:54:44 > 0:54:49My first impression of the property, the owner has done a fantastic job.

0:54:49 > 0:54:55The main features I like are the fireplaces, the original doors,

0:54:55 > 0:55:01the floorboards and also the fact that he's utilised the downstairs WC and the upstairs bathroom.

0:55:01 > 0:55:06Moving the staircase was very worthwhile. The internal layout of the property is very good.

0:55:06 > 0:55:10And he's utilised all the space very well.

0:55:11 > 0:55:16Andy bought this property with the sole intention of letting it out.

0:55:19 > 0:55:22So how much rent could he get?

0:55:22 > 0:55:27I'd place a rental of £650 per calendar month on this property.

0:55:27 > 0:55:32I would look to put this property on the market for £625 per calendar month.

0:55:32 > 0:55:36Yeah, if I got 600 to 650, I'd be happy at that.

0:55:37 > 0:55:41That's a yield of around 5% which isn't great,

0:55:41 > 0:55:48but in this climate, if you're getting back more than you're putting in, that's good.

0:55:48 > 0:55:53If Andy decides to sell, how much should he be asking for?

0:55:53 > 0:55:57I'd put this property on the market at £174,950.

0:55:57 > 0:56:02The re-sale price for this property would be £179,950.

0:56:03 > 0:56:08That's a pre-tax profit of around £25,000 to £30,000,

0:56:08 > 0:56:11minus usual deductions.

0:56:11 > 0:56:13Is Andy still happy?

0:56:13 > 0:56:17Originally, I wasn't expecting it to be that high,

0:56:17 > 0:56:21but talking to the neighbours and different people,

0:56:21 > 0:56:25realising what the area is capable of

0:56:25 > 0:56:30and we've obviously done more work to the house, so I was hoping for 180,000.

0:56:30 > 0:56:37Whatever Andy does with the property, he's certainly shown he had the drive to get the job done.

0:56:38 > 0:56:42We hope you've picked up plenty of useful hints and tips today.

0:56:42 > 0:56:48- There'll be more handy home-buyer advice next time on Homes Under The Hammer.- See you then.- Goodbye.