0:00:02 > 0:00:04Property prices go up and down, but one thing that
0:00:04 > 0:00:08remains constant is a need for a roof above your head.
0:00:08 > 0:00:12Yes, and not only that, if you buy wisely, it can be a great place
0:00:12 > 0:00:15to invest your money and you can watch it grow.
0:00:15 > 0:00:19Yes, one place to buy a home or an investment is under the hammer.
0:00:45 > 0:00:50Well, before you take on a project, it's good to know that you've got the time to devote to it.
0:00:50 > 0:00:55You might be surprised, by renovating a property, just how much it can take over your life.
0:00:55 > 0:01:00So will today's properties be straightforward or take on a life of their own?
0:01:01 > 0:01:05The secret's out in Kent, and this house could be in hot water.
0:01:05 > 0:01:10This old boiler has been hiding the original fireplace for years, by the looks of things.
0:01:10 > 0:01:13In Stoke-on-Trent, every colour in the rainbow
0:01:13 > 0:01:17was used to decorate this place, and it's not to everyone's liking.
0:01:17 > 0:01:21Don't do this if you're thinking of decorating your place, will you?
0:01:21 > 0:01:26And when we first returned to this farm cottage in Dorset, the extension hadn't even begun.
0:01:26 > 0:01:31But now, over a year later, we can show you the fantastic new house.
0:01:32 > 0:01:36All of these properties went to auction, and we'll find out who bought them
0:01:36 > 0:01:39and what they paid for them when they went under the hammer.
0:01:39 > 0:01:41It's yours. Well done.
0:01:44 > 0:01:47Today, I'm in Cobham in Kent.
0:01:47 > 0:01:52It's an area that's got close associations with the Victorian writer Charles Dickens,
0:01:52 > 0:01:55who frequently walked to the village from his house at Gad's Hill.
0:01:55 > 0:01:59Now, he'd often test his storytelling skills by giving
0:01:59 > 0:02:03readings from his latest work here at the Leather Bottle Inn.
0:02:03 > 0:02:08The inn actually features in one of Dickens' earliest works, The Pickwick Papers.
0:02:08 > 0:02:11You can see why he enjoyed Cobham so much.
0:02:11 > 0:02:18And with its 13th-century church and impressive architecture, it still ticks all the right boxes today.
0:02:18 > 0:02:22How much would you pay for an attractive semi-detached cottage
0:02:22 > 0:02:29situated in a rural location on the outskirts of a much-sought-after village? 600,000?
0:02:29 > 0:02:32500,000? 400, perhaps?
0:02:32 > 0:02:38Well, today, the cottage I'm here to see was guided at just 145,000.
0:02:38 > 0:02:40Let's have a look around.
0:02:41 > 0:02:46Well, it's a strange entrance that looks more like it's at the rear of the property.
0:02:46 > 0:02:49Considering the cottage is in a conservation area
0:02:49 > 0:02:54and has three floors, it's hard to believe the guide price was so low.
0:02:54 > 0:02:58The back of the building is very imposing, and there's a large garden.
0:02:58 > 0:03:02I was not expecting it to be like this inside!
0:03:02 > 0:03:06It's horrendous! Not much in the way of a fitted kitchen.
0:03:06 > 0:03:10Got some rather interesting utensils lying around.
0:03:10 > 0:03:12But I've got to say, I love this window.
0:03:12 > 0:03:16You've got a lovely old sash here, and it'll be as good as new once it's been serviced.
0:03:16 > 0:03:20Now, at the back of the property you've got the reception room, a feature fireplace over there
0:03:20 > 0:03:25which doesn't really match the period of this property, another great window and, through here,
0:03:25 > 0:03:31a second reception room. Now, sadly, there's no back door leading out onto that wonderful garden,
0:03:31 > 0:03:37and the only access to it is walking back out through the front door and round the side of the house.
0:03:37 > 0:03:42And when you do get out there, the garden of this semi is huge
0:03:42 > 0:03:44and the back of the building very impressive.
0:03:44 > 0:03:48So what's it like on the first floor?
0:03:48 > 0:03:52Upstairs, you've got two rather small bedrooms on this floor.
0:03:52 > 0:03:55Now, there's an attic room up these stairs here,
0:03:55 > 0:04:01but I'm not going up there, as it's off limits and it's unsafe, although I am told it's a really big space.
0:04:01 > 0:04:05Something that's not ideal, though, is you have to walk through here
0:04:05 > 0:04:09to get upstairs to it, so some reconfiguring needs to be done.
0:04:09 > 0:04:11Now, this is interesting over here.
0:04:11 > 0:04:16Have a look. This old boiler has been hiding the original fireplace for years, by the looks of things.
0:04:16 > 0:04:21Take that out, relocate it and refurbish this and then
0:04:21 > 0:04:25you're well on your way to restoring this old house to its former glory.
0:04:25 > 0:04:29In the other bedroom, the fireplace is still visible,
0:04:29 > 0:04:33and both rooms retain lots of lovely doors, windows and woodwork.
0:04:33 > 0:04:38I think it could be truly glorious once renovated, but there is such a lot of work required.
0:04:38 > 0:04:45Downstairs, there are rats living in the bathroom, so they will need to be got rid of.
0:04:45 > 0:04:50I'm keen to find out what a local estate agent makes of this cottage
0:04:50 > 0:04:53that was guided at just 145,000.
0:04:53 > 0:04:56My first impression of the property is there's a lot of work to be done
0:04:56 > 0:05:00here, complete refurbishment, electrics, everything.
0:05:00 > 0:05:04But then, that's a good thing. You can start from scratch.
0:05:04 > 0:05:08You definitely need to here, and that could be what puts people off.
0:05:08 > 0:05:13But the neighbouring property is a stunning barn conversion which shows what can be achieved.
0:05:13 > 0:05:16Cobham is a highly desirable location. It's semi-rural.
0:05:16 > 0:05:19However, the accessibility, with motorway
0:05:19 > 0:05:23and the Ebbsfleet international station, will definitely put it on the map.
0:05:23 > 0:05:28Well, let's talk numbers. How much could someone make here?
0:05:28 > 0:05:36I would expect that after a full refurbishment, you could easily achieve a figure of around 350,000.
0:05:36 > 0:05:38The figures are interesting, but there is an awful lot of work
0:05:38 > 0:05:41to be done on the building as it stands at the moment.
0:05:41 > 0:05:47If you were really ambitious and decided to extend, how much could it then be worth?
0:05:47 > 0:05:50I think with extensions,
0:05:50 > 0:05:57this property would easily be able to achieve up to 400,000.
0:05:57 > 0:06:01Of course, the surrounding countryside will influence any valuation here.
0:06:01 > 0:06:04The property requires a whole load of vision.
0:06:04 > 0:06:10You have to see past the grime and the lack of amenities and think what it could be like.
0:06:10 > 0:06:13Let's see who had that vision as we go to auction.
0:06:13 > 0:06:17Lot 42, guided at 145 plus.
0:06:17 > 0:06:19Lots of people up there having a look round.
0:06:19 > 0:06:22And what may I say? Start me at 140? 140 to start me?
0:06:22 > 0:06:24130, then? I'm in your hands.
0:06:24 > 0:06:27130 I have. Thank you. 130 I'm bid.
0:06:27 > 0:06:29At £130,000, then.
0:06:29 > 0:06:32135 is bid. And 140.
0:06:32 > 0:06:36145. 145 I have, second row back.
0:06:36 > 0:06:39At 145 I'm bid. 150 anywhere?
0:06:39 > 0:06:40150 I have.
0:06:40 > 0:06:43152. 152 I have, second row back.
0:06:43 > 0:06:50152. 155? 155. 156, if it helps. 156.
0:06:50 > 0:06:55158. 160. And 162.
0:06:55 > 0:07:02At 160,000, then. Being sold for the first time at 160, second row back.
0:07:02 > 0:07:05For the second time at 160,000.
0:07:05 > 0:07:10Third and final time at 160,000, second row back. Are you all done?
0:07:10 > 0:07:14Sold at 160,000. Well done.
0:07:14 > 0:07:19For 160,000, Mark and Cheryl were the very excited successful bidders for the property.
0:07:19 > 0:07:26Mark's a breakdown mechanic who gives emergency roadside assistance, and Cheryl's a full-time housewife.
0:07:26 > 0:07:30I went to the cottage to meet them, along with their daughter Megan
0:07:30 > 0:07:34and Buster the dog to hear about the plans for their new home.
0:07:34 > 0:07:39So, guys, what's the story behind you wanting to buy this at auction? Mark?
0:07:39 > 0:07:44We'd looked for a couple of years to buy a property in the countryside,
0:07:44 > 0:07:48because it's where we wanted to live, and just stumbled across it.
0:07:48 > 0:07:51We got a telephone call from my parents, and my dad said,
0:07:51 > 0:07:54"Come and have a look, see what you think,"
0:07:54 > 0:07:58and it sort of escalated from there. And then we'd got a holiday booked in Cornwall,
0:07:58 > 0:08:03so the week that the auction was, we was actually on holiday in Cornwall.
0:08:03 > 0:08:04He had to come home early, so I stayed.
0:08:04 > 0:08:09- So you stayed on holiday with your fingers crossed and you came back home to bid!- I felt sick all day.
0:08:09 > 0:08:12- Yes.- Did you? - Yeah. It was a horrible feeling.
0:08:12 > 0:08:15When we got it and he rang me and said, "We've got it,"
0:08:15 > 0:08:21I was a bit shell-shocked, and still I can't believe it's really ours and it's going to happen.
0:08:21 > 0:08:25Well, you'd better believe it, Cheryl, because there's a lot to be done here.
0:08:25 > 0:08:30But their 160,000 has bought them a fantastic opportunity.
0:08:30 > 0:08:36They looked beyond the mess and debris and saw the potential here.
0:08:36 > 0:08:39When you first looked at this house, what did you think?
0:08:39 > 0:08:41I just thought it could be really pretty.
0:08:41 > 0:08:44I just sort of knew that it was going to be a state,
0:08:44 > 0:08:49but just thought, I can see past this and see that it's just a nice family home.
0:08:49 > 0:08:51Big project, but lots of potential.
0:08:51 > 0:08:54Did it put you off, though, looking at the state of the house?
0:08:54 > 0:08:58No. To be honest, we wasn't interested in the house at all.
0:08:58 > 0:09:01What sold it was the back view of the house and the garden.
0:09:01 > 0:09:04I'm with you a 100%. I mean, what a garden you've got!
0:09:04 > 0:09:05Well, hopefully, one day, yeah.
0:09:05 > 0:09:09And how beautiful does it look at the back? You've got those amazing windows.
0:09:09 > 0:09:10It just looks stunning.
0:09:10 > 0:09:12That's what sold it to us.
0:09:12 > 0:09:15Now, one thing I do know is that it's in a conservation area,
0:09:15 > 0:09:18- which is fantastic, but you also have to adhere to rules.- We do.
0:09:18 > 0:09:21What do you know about that, Mark?
0:09:21 > 0:09:24We've actually spoken already to the conservation lady, and
0:09:24 > 0:09:29she's been out with us and had a quick look round, just to give us some ideas and some feelings of
0:09:29 > 0:09:33- what we could and couldn't do, and she's said we couldn't do any of the things we wanted...- Oh.
0:09:33 > 0:09:40..but has then thrown in lots of things that we can do, which were much bigger ideas
0:09:40 > 0:09:44- that we hadn't thought of because we didn't think we'd be allowed to... - So she gave you some ideas.
0:09:44 > 0:09:49She's on about big extensions and stuff like that that we'd be allowed to have, and the small stuff that
0:09:49 > 0:09:52we thought, like a door opening and bits and pieces, she said no to.
0:09:52 > 0:09:56- So we really don't know what we're doing.- We haven't got any idea what we want!
0:09:56 > 0:09:59- So you're completely confused. - Completely, yeah.
0:09:59 > 0:10:02Extending at the back might still prove to be an issue,
0:10:02 > 0:10:07but they may be able to extend the front of the house. It may not be a bad idea, as it's a bit
0:10:07 > 0:10:12of a hotchpotch at the moment and could do with some smartening up.
0:10:12 > 0:10:16But how much do they have available to spend here?
0:10:16 > 0:10:17Between 20 and 30 we've got to spend.
0:10:17 > 0:10:20Ooh! OK, that's not a huge amount to do everything
0:10:20 > 0:10:23you need to do, because you need to do everything here, don't you?
0:10:23 > 0:10:26Yes. Yeah, we knew we was on a tight budget.
0:10:26 > 0:10:29We've spoken to a few builders, painters, decorators,
0:10:29 > 0:10:35that sort of thing, and they've suggested that with that figure, we could have it liveable, so...
0:10:35 > 0:10:41- But that doesn't count for structural things, taking walls out, extensions.- Obviously,
0:10:41 > 0:10:45we hadn't even thought of that, because we didn't think we was allowed to do things like that.
0:10:45 > 0:10:50We've really got to walk away, sit down and decide what we're doing and really look at finances.
0:10:50 > 0:10:54I tell you what I'd do if I were you. I'd look at second-hand kitchens,
0:10:54 > 0:10:59I would be having makeshift kitchens set up so that you haven't spent
0:10:59 > 0:11:04a lot of your budget on a kitchen just to then have to knock the wall out and make it bigger anyway.
0:11:04 > 0:11:05Yes. Yeah, that's a good idea.
0:11:05 > 0:11:09Well, there's not much point in throwing good money after bad,
0:11:09 > 0:11:12and it's far better to get their ideas in place first.
0:11:12 > 0:11:15Mark's a highly qualified vehicle mechanic,
0:11:15 > 0:11:20so he's used to fixing cars, but how will he be at fixing old houses?
0:11:20 > 0:11:24Mark and Cheryl are not the only ones looking forward to making this their home.
0:11:24 > 0:11:28- Their daughter Megan is really excited, as well.- Yeah?
0:11:28 > 0:11:32- You like it?- The biggest thing with our other house was the fact
0:11:32 > 0:11:35the garden was so small, and she wants things like trampolines,
0:11:35 > 0:11:38climbing frames, the usual kiddies' things.
0:11:38 > 0:11:41She loves the view, because she's got a rocking horse,
0:11:41 > 0:11:45so she thinks that she can sit there and pretend that she's galloping across the fields.
0:11:45 > 0:11:50Oh, I love it that she can see through all this grim mess!
0:11:50 > 0:11:52- She's got the vision, hasn't she? - She has, yes.
0:11:52 > 0:11:54- What about her little dog? - Oh, Buster.
0:11:54 > 0:11:57We'll be able to take him for walks forever!
0:11:57 > 0:12:01So Megan's already dreaming of galloping across the fields
0:12:01 > 0:12:05and taking long walks with Mum, Dad and her dog Buster.
0:12:05 > 0:12:10But one thing's for sure - Dad has got a big job on his hands.
0:12:10 > 0:12:13So was he alarmed by the scale of the challenge?
0:12:13 > 0:12:15Um. It's a big project.
0:12:15 > 0:12:18I've not done anything like this,
0:12:18 > 0:12:20as grand as this, obviously.
0:12:20 > 0:12:25There's going to be lots of people helping me and doing the work for me.
0:12:25 > 0:12:31- There is worries, but I'm sure we can overcome them. - Guys, good luck with this project.
0:12:31 > 0:12:36I think you've got a cracking plot here, and all of you are going to have a great time. Well done, Mark.
0:12:36 > 0:12:38- Thank you. - Thanks, Cheryl.- Thank you.
0:12:39 > 0:12:44Mark, Cheryl, Megan and Buster have found their dream home,
0:12:44 > 0:12:47but their dream home is currently a nightmare!
0:12:47 > 0:12:49How will they get on turning this from
0:12:49 > 0:12:54a rat-infested, derelict building to a warm family country cottage?
0:12:54 > 0:12:58You can join me later to see how they get on.
0:13:05 > 0:13:11I'm in Hanley, widely regarded as the capital of the six towns that make up the city of Stoke-on-Trent.
0:13:11 > 0:13:17It's also the birthplace of EJ Smith, the captain of the ill-fated maiden voyage of the Titanic.
0:13:17 > 0:13:20The big question is, will the property I'm here to see
0:13:20 > 0:13:23sink without a trace or prove to be plain sailing?
0:13:23 > 0:13:31Well, it's a three-bedroom end of terrace at guide price of 39,000 quid, so it's a good start.
0:13:31 > 0:13:35It looks as though the original end of terrace could have been extended
0:13:35 > 0:13:38at some time, as the door's in the middle of the property.
0:13:38 > 0:13:41It means it's one of the largest houses on the street,
0:13:41 > 0:13:46where the smaller ones were selling for around £65,000 a couple of years ago.
0:13:46 > 0:13:50But, judging by the outside, this place has some problems.
0:13:50 > 0:13:53The windows are smashed and the sagging roof will need attention.
0:13:53 > 0:13:55So, it's not shipshape.
0:13:55 > 0:14:00But that guide price of £39,000 has definitely got me interested.
0:14:00 > 0:14:04That's the kind of price you'd expect to pay for a two-up, two-down terrace.
0:14:04 > 0:14:06You've got here a lot more. It's almost double-fronted.
0:14:06 > 0:14:09You've got a living room and sitting room over that side.
0:14:09 > 0:14:11A bit of a storage area there, by the front door.
0:14:11 > 0:14:14Over here, another sitting room/living room.
0:14:14 > 0:14:16Both of them have got fireplaces.
0:14:16 > 0:14:19Strip those back and create a bit of a central feature. That'd be nice.
0:14:19 > 0:14:22Stairs up to the bedrooms and then through into
0:14:22 > 0:14:26the rear of the property, where you've got your kitchen.
0:14:26 > 0:14:29Well, it needs a bit of work. I don't know if these...
0:14:29 > 0:14:31These might be serviceable, actually.
0:14:31 > 0:14:36But it's not a bad-sized space and someone's obviously been thinking about the renovation process.
0:14:36 > 0:14:40Shall we go for the chilli wallpaper, the butterflies or the tulips?
0:14:40 > 0:14:42It's a tough call!
0:14:43 > 0:14:48Before you can even start to make that decision, you've got some structural issues to check out.
0:14:48 > 0:14:52First priorities should be the damp and those nasty cracks.
0:14:52 > 0:14:55Maybe then you can deal with the colour schemes in this place.
0:14:55 > 0:14:59Someone obviously liked to express themselves.
0:14:59 > 0:15:01Just look at the staircase.
0:15:01 > 0:15:04The colours are even more vibrant upstairs.
0:15:04 > 0:15:07That staircase is just surreal.
0:15:07 > 0:15:11Actually, the paint job in general up here doesn't get much better.
0:15:11 > 0:15:14This dark blue colour is just so oppressive.
0:15:14 > 0:15:17Don't do this if you're thinking about decorating your place, will you?
0:15:17 > 0:15:21In fact, in general, upstairs just doesn't work.
0:15:21 > 0:15:23There's lots of corridors and stud partition walls.
0:15:23 > 0:15:27It makes the whole thing feel cramped when, actually, it's not a bad-sized space.
0:15:27 > 0:15:32What we have got is three double bedrooms and a loo and bathroom over there.
0:15:32 > 0:15:35Again, the colour scheme doesn't get much better as you walk around.
0:15:35 > 0:15:37In fact in some ways it gets worse.
0:15:37 > 0:15:40How about this for a choice of colour? Yum(!)
0:15:40 > 0:15:42However, on the plus side,
0:15:42 > 0:15:46along with the property comes an entire other building
0:15:46 > 0:15:48and it's out there.
0:15:50 > 0:15:54It's a brick-built warehouse that you can access from the garden or from the road.
0:15:54 > 0:16:00A bit of a bonus. And it has a separate electricity and water supply from the main house.
0:16:00 > 0:16:05That could be very useful if you wanted to redevelop the site separately.
0:16:07 > 0:16:13It gets better because once you get inside this building, it's bigger than it looks from up there.
0:16:13 > 0:16:18What it is, currently, is a workshop. It looks like it's just been abandoned.
0:16:18 > 0:16:20There's tools all over the place,
0:16:20 > 0:16:23it's a good-sized space, especially when you come over here.
0:16:23 > 0:16:26Look at the ceiling height. How fantastic is this?
0:16:26 > 0:16:32So, what does this bring as an added advantage to this particular auction lot? Well, lots in my mind.
0:16:32 > 0:16:35You could keep it like this, you could run it as a commercial unit,
0:16:35 > 0:16:37you could rent it out pretty much as it is.
0:16:37 > 0:16:43But the key for me is to see if you can get residential permission to build here.
0:16:43 > 0:16:46Planning permission for residences, planning permission for houses.
0:16:46 > 0:16:48That is where the money is.
0:16:48 > 0:16:53I think changing it to residential status could be a real possibility, as this is smack bang
0:16:53 > 0:16:56in the middle of a residential area and access is good.
0:16:56 > 0:17:00But will a local estate agent share my enthusiasm?
0:17:00 > 0:17:05There's a lot on offer here, with a very tempting guide price.
0:17:06 > 0:17:10The guide price of this house is £39,000 plus,
0:17:10 > 0:17:12which, for the size of property,
0:17:12 > 0:17:14along with the workshop, does make very good value.
0:17:14 > 0:17:21Well, there's an investment opportunity with the house, but what about developing the workshop?
0:17:23 > 0:17:29There would be potential, maybe, to look into obtaining some sort of residential planning permission.
0:17:29 > 0:17:34But obviously inquiries would need to be made and it's not been done in the past.
0:17:34 > 0:17:41How much could the property be worth if you let the workshop as it is and just renovated the house?
0:17:44 > 0:17:48The resale valuation of the property would be in the region of £70,000
0:17:48 > 0:17:51as a single unit, including the workshop.
0:17:51 > 0:17:56From the research I've done, it seems that this is a pretty good rental area.
0:17:56 > 0:17:59So, what would the numbers be if you went down that route?
0:17:59 > 0:18:03The rental income for the house would be in the region of £400
0:18:03 > 0:18:07per calendar month after, obviously, modernisation.
0:18:07 > 0:18:11There would be additional potential to actually let the workshop separately.
0:18:11 > 0:18:17I would imagine in the region of £50 per week would be a reasonable income for that type of property.
0:18:17 > 0:18:23Well, some interesting decisions to be made here by any investor looking for a challenge.
0:18:25 > 0:18:32Well, it was a lot of property for that £39,000 guide price before I discovered the workshop.
0:18:32 > 0:18:36But, having seen that, you know what, this was a great opportunity for somebody.
0:18:36 > 0:18:38Let's see who spotted it at the auction.
0:18:38 > 0:18:42Lot number 29 is a three-bedroomed end terraced house
0:18:42 > 0:18:45in a convenient location for the city centre.
0:18:45 > 0:18:51It has a substantial brick-built garage-cum-workshop at the back.
0:18:51 > 0:18:53So, what shall we say for lot 29?
0:18:53 > 0:18:5430,000, surely? It's got to be that?
0:18:54 > 0:18:5630 I'm bid, thank you. At 30,000.
0:18:56 > 0:18:59I'll take two. 32. Can we say 32?
0:18:59 > 0:19:0332, at £32,000.
0:19:03 > 0:19:0434?
0:19:04 > 0:19:1036? 36. At 38...38,000, 39, is it?
0:19:12 > 0:19:16This is a cheap property at £38,000.
0:19:16 > 0:19:19Bidder there, 39,000.
0:19:20 > 0:19:2140,
0:19:21 > 0:19:2441.
0:19:24 > 0:19:2642.
0:19:26 > 0:19:28No? Shaking his head.
0:19:28 > 0:19:30With you, 42,000.
0:19:30 > 0:19:33New bidder. 43, 44.
0:19:33 > 0:19:4045, 46. 46. 47.
0:19:40 > 0:19:44No? At £47,000, the bid is still there.
0:19:44 > 0:19:48New bidder. 47,500, 48.
0:19:48 > 0:19:5048...
0:19:50 > 0:19:5348,500. 49.
0:19:53 > 0:19:5849,500. 50.
0:19:58 > 0:20:01Another half? 50,500.
0:20:01 > 0:20:0451? Another half?
0:20:04 > 0:20:0751,500.
0:20:07 > 0:20:0952.
0:20:09 > 0:20:1252,500. 53? 53.
0:20:12 > 0:20:1653,500? Definite?
0:20:16 > 0:20:21All right, 53 and a half. Bid's here.
0:20:21 > 0:20:23At £53,500, another 500 anywhere else?
0:20:23 > 0:20:26Selling it then at 53,500, first time,
0:20:26 > 0:20:3053,500 second time, third and final time, all done.
0:20:32 > 0:20:33It's yours. Well done.
0:20:35 > 0:20:41After that long bidding war, the successful buyers were Craig and Gary, two local builders.
0:20:41 > 0:20:46They paid £53,500 for the house and workshop.
0:20:46 > 0:20:50The pair met through their girlfriends a year ago
0:20:50 > 0:20:53and decided to try their hands at property developing together.
0:20:53 > 0:20:55Craig, Gary, good to meet you both.
0:20:55 > 0:20:58- That was a bit of a scramble at the end, wasn't it?- Oh, yes.
0:20:58 > 0:21:01- Yes, it was. - But you were determined to get it.
0:21:01 > 0:21:05- Yeah.- And you did. Why did you want to buy this house?
0:21:05 > 0:21:08Potential, really, wasn't it?
0:21:08 > 0:21:10We viewed the property twice, weren't it?
0:21:10 > 0:21:16And come round. We've got plans for converting it into two flats.
0:21:16 > 0:21:22And obviously with the warehouse round the back, there's plans
0:21:22 > 0:21:26later on to get that into two terraced as well.
0:21:26 > 0:21:30So, did you check out the legal pack for this before you bought it?
0:21:30 > 0:21:31- No!- No.
0:21:31 > 0:21:36- No? Because it's quite a complicated property, really, isn't it? - Yeah, it is.
0:21:36 > 0:21:39Was there anything in there that was a problem?
0:21:39 > 0:21:42- Er...- Have you read it still?
0:21:42 > 0:21:45You haven't read the legal pack, still! Oh my goodness.
0:21:45 > 0:21:51- It could say "Well, they are going to build a motorway through here in two weeks' time."- Yeah.
0:21:51 > 0:21:52Tsk, tsk!
0:21:52 > 0:21:55I know. We'll probably learn from this lesson.
0:21:55 > 0:21:58How many times do I have to say it?
0:21:58 > 0:22:00Read the legal pack before the auction!
0:22:00 > 0:22:05But Craig and Gary ignored that advice and in fact, still haven't read it.
0:22:05 > 0:22:09Rather risky as they bought a house that included
0:22:09 > 0:22:12this workshop for which they have got some very big ideas.
0:22:12 > 0:22:16So, is the plan to have that as a completely separate dwelling?
0:22:16 > 0:22:21- Yeah.- Yes. It's ready to be knocked down anyways.
0:22:21 > 0:22:24And what kind of thing would you put in its place? How many storeys?
0:22:24 > 0:22:30We would like to think we can put a couple of semi-detached houses in there.
0:22:30 > 0:22:33- Blimey!- Depends what they come out with the drawing, you know?
0:22:33 > 0:22:35Yeah. Wow!
0:22:35 > 0:22:38That's where your potential mega profit's going to be, isn't it?
0:22:38 > 0:22:40You've thrown yourself into quite a project!
0:22:42 > 0:22:45Blimey! For their first project together
0:22:45 > 0:22:49they spent £53,500 on this end of terrace and have
0:22:49 > 0:22:52ambitious plans to convert it into two flats and, as if
0:22:52 > 0:22:58that wasn't enough, they hope to get planning permission to build a pair of semis where the workshop is now.
0:22:58 > 0:23:01Well, that's a lot for these two good mates to take on.
0:23:01 > 0:23:06They're going to have to put their business heads together to make this happen.
0:23:06 > 0:23:10Converting the house will be their first challenge.
0:23:11 > 0:23:15So talk me through what you're thinking of doing to it.
0:23:15 > 0:23:19Knocking a few walls about, taking the chimney breasts out.
0:23:19 > 0:23:23Knocking the walls down, open it up, a couple of extensions on the back.
0:23:23 > 0:23:25To make space for bathrooms.
0:23:25 > 0:23:28- Just knock it down and start again! - Basically, yeah.
0:23:28 > 0:23:30A lot of walls coming down.
0:23:30 > 0:23:34Yeah, and making it into two separate flats. Downstairs, upstairs flats.
0:23:34 > 0:23:37Give me an idea of how much you think it's going to cost.
0:23:37 > 0:23:41Let's take it bit by bit. This first bit here, to get this converted into flats.
0:23:41 > 0:23:4315,000 we said, didn't we?
0:23:43 > 0:23:47- Yeah, 15,000.- And then is the plan to sell or rent?
0:23:47 > 0:23:49Rent the properties. Yes, rent them out.
0:23:49 > 0:23:52And then let's move on to the conversion of the workshop.
0:23:52 > 0:23:57Any idea how much that would cost to do what you would like to do in your ideal world?
0:23:57 > 0:24:03We're talking in the region of probably between 50,000 - 60,000.
0:24:03 > 0:24:07OK, and what would be the plan for those? To sell those or to rent those as well?
0:24:07 > 0:24:09Rent them at the moment.
0:24:09 > 0:24:12- Wait for the market to pick up, hopefully.- Wait for the market, yeah.
0:24:12 > 0:24:16But out of one property you've generated yourself
0:24:16 > 0:24:20maybe four rental properties.
0:24:20 > 0:24:22- Wow!- That's the plan.
0:24:22 > 0:24:25Well, they're certainly thinking big,
0:24:25 > 0:24:27but even the best-laid plans can hit problems.
0:24:27 > 0:24:33So, I've got my fingers crossed for these two friends on their very first development project.
0:24:35 > 0:24:41Well, Craig and Gary have certainly got an interesting project to take on for their first joint venture.
0:24:41 > 0:24:47But having not read the legal pack, still having not read the legal pack,
0:24:47 > 0:24:51a cracked window could be the least of their problems.
0:24:51 > 0:24:53Find out how they get on later in the show.
0:24:53 > 0:24:57Coming up - more than two years after our first visit
0:24:57 > 0:25:04we return to this Dorset cottage and find it transformed into a fabulous luxury home.
0:25:04 > 0:25:10Back in Stoke-on-Trent, will this house now be flats - and what about the workshop?
0:25:10 > 0:25:14Although it might not look like it, we've done a lot of work to get to this stage.
0:25:16 > 0:25:20But first, back in Kent, buying this property was a lovely surprise.
0:25:20 > 0:25:24Still, I can't believe it's really ours and it's going to happen.
0:25:29 > 0:25:32We return to the Kent village of Cobham now, where Mark and his wife
0:25:32 > 0:25:37Cheryl had paid £160,000 for this derelict semi-detached cottage.
0:25:37 > 0:25:43It was in a terrible state but they hoped renovation could make it their dream family home.
0:25:43 > 0:25:45When you looked at this house, what did you think?
0:25:45 > 0:25:52We knew that it was going to be a state but just thought, "Hmm, I can see past this."
0:25:52 > 0:25:55And see that it's just a nice family home.
0:25:55 > 0:25:58Now, ten and a half months later, the progress is amazing
0:25:58 > 0:26:02but there's still a lot to do and the family haven't moved in yet.
0:26:05 > 0:26:09When we were here last, the attic room was too dangerous to enter
0:26:09 > 0:26:14but now it's safe and been converted into a beautiful master bedroom.
0:26:17 > 0:26:22On the first floor, the rear bedroom's been retained with the original fireplace intact.
0:26:26 > 0:26:28But the second bedroom that had the hot water tank
0:26:28 > 0:26:34has now become the family bathroom, complete with some very high quality fixtures and fittings.
0:26:41 > 0:26:44Downstairs on the ground floor, the two back rooms overlooking
0:26:44 > 0:26:48the garden have been knocked into one fabulous kitchen-diner.
0:26:48 > 0:26:51There are two new skylights and, just like the bathroom,
0:26:51 > 0:26:56it's also kitted out with the latest modern units and equipment. But remind us, Mark.
0:26:56 > 0:26:58Just how bad was it?
0:26:58 > 0:27:00I can't describe what it was like.
0:27:00 > 0:27:04It was horrible, dirty, dingy, falling to pieces.
0:27:04 > 0:27:08The cellar was all caved in, the loft had half the floor missing.
0:27:08 > 0:27:11It was just in disrepair.
0:27:11 > 0:27:14Oh, yes it was. Rat-infested with rotten timbers.
0:27:14 > 0:27:19But now Cheryl and Mark have breathed new life into this house.
0:27:19 > 0:27:22So, who's been doing the work?
0:27:22 > 0:27:26We've had two builders in to do all the structural work
0:27:26 > 0:27:29but basically, decorating, we've been doing that ourselves.
0:27:29 > 0:27:35What about their plan to extend? You may remember they had spoken to the conservation officer
0:27:35 > 0:27:41and it sounded promising that they would be allowed to make some increase in the footprint.
0:27:41 > 0:27:45Initially we contacted the council and asked for somebody to come out
0:27:45 > 0:27:47and give us some advice on doing the house.
0:27:47 > 0:27:51We followed their advice to the T and put in for planning permission
0:27:51 > 0:27:54and that was unfortunately turned down.
0:27:54 > 0:27:58From there, we have sat down with them and they have decided that we can have some
0:27:58 > 0:28:03of the extension that we wanted but we'll have to sacrifice one of the buildings that's already there.
0:28:03 > 0:28:06So revised plans had to be drawn up.
0:28:06 > 0:28:08But how will those impact on the property?
0:28:08 > 0:28:11The proposed extension will start here,
0:28:11 > 0:28:14and square off to the end of the building.
0:28:14 > 0:28:20It will be an exact replica of what's already built there and this will actually house our lounge.
0:28:20 > 0:28:25It will be fantastic to have a spacious living area.
0:28:25 > 0:28:28It's one thing that the current layout does not feature.
0:28:29 > 0:28:32The plans have been submitted and they've now got to wait
0:28:32 > 0:28:35three weeks before they hear if they have been successful.
0:28:35 > 0:28:38The reckon the building will take a couple of months to complete.
0:28:38 > 0:28:42But with the work in the rest of the house progressing well,
0:28:42 > 0:28:46what does their daughter, Megan, think of her new home so far?
0:28:46 > 0:28:49Just excitement, every time we come over.
0:28:49 > 0:28:51She just can't wait to live out here.
0:28:51 > 0:28:54It's like home from home.
0:28:54 > 0:28:57- Constantly playing in the garden. - Yeah.- Yeah, it's good.
0:28:57 > 0:29:03Smiles all round. It's taken about a year to get to this point and the standard of work is superb.
0:29:03 > 0:29:09One important factor though is the budget. So how much have they spent?
0:29:09 > 0:29:14Oh, we're up to about 30,000 so far.
0:29:14 > 0:29:18Obviously we're not finished but we've gone for a few things that we didn't budget for.
0:29:18 > 0:29:22By the time the extension's done,
0:29:22 > 0:29:26probably I reckon we'll be up to nearly 50,000.
0:29:30 > 0:29:32Time to see if that money has been wisely spent.
0:29:32 > 0:29:36Will two local estate agents give this cottage the thumbs up?
0:29:38 > 0:29:42The second time back at the property, I was surprised to see such change.
0:29:42 > 0:29:43I particularly like the kitchen.
0:29:43 > 0:29:48There's space, the way it's been organised is just fantastic.
0:29:48 > 0:29:53It's a lovely looking house, it's in a lovely location and as soon as
0:29:53 > 0:29:56it's finished I think it's going to be a fantastic home.
0:29:56 > 0:30:01The finish is outstanding and there's been no expense spared.
0:30:01 > 0:30:07Even down to little details like door hinges, every room has been done to a high standard.
0:30:07 > 0:30:10They've really spent money. You can see they're doing it not
0:30:10 > 0:30:13to make a profit but to make it their own home.
0:30:13 > 0:30:14I love the light fittings.
0:30:14 > 0:30:16I love the attention to detail.
0:30:16 > 0:30:18They've really done well.
0:30:18 > 0:30:20Potential negatives I see here is the lounge.
0:30:20 > 0:30:24At the moment it's quite small in comparison to the rest of the property.
0:30:24 > 0:30:28But if they get the right planning permission I'm sure it'll make all the difference.
0:30:28 > 0:30:30So just how much could the place now be worth?
0:30:30 > 0:30:36Remember, the couple paid 160,000 at auction and have spent about £30,000 already.
0:30:36 > 0:30:40But Mark sees that stretching to 50 grand if the extension gets
0:30:40 > 0:30:45the go-ahead, which would take it to £210,000 in total.
0:30:45 > 0:30:51Without the extension I would value this property for £285,000.
0:30:51 > 0:30:57If permission was granted for the extension they would exceed £300,000.
0:30:57 > 0:31:01As it stands you would sell this house for the order of £250,000.
0:31:01 > 0:31:05I think with the extension, £290,000.
0:31:05 > 0:31:09On those valuations, even without building the extension,
0:31:09 > 0:31:15there could be a £60,000 gross profit before deducting the usual expenses.
0:31:15 > 0:31:19And if they did extend that could stretch to 80,000.
0:31:19 > 0:31:22They must be delighted.
0:31:22 > 0:31:26- Blimey.- That's all right.
0:31:26 > 0:31:31I was expecting a little bit more but that's all right at the moment. It's good.
0:31:31 > 0:31:33And those are just rewards.
0:31:33 > 0:31:37Taking on such a derelict place requires real guts.
0:31:37 > 0:31:41They spotted an opportunity and are now creating a fabulous family home.
0:31:41 > 0:31:45So, would they tackle another in similar condition?
0:31:45 > 0:31:47Mark would do it again but I know I wouldn't.
0:31:47 > 0:31:49Definitely, yes.
0:31:49 > 0:31:52I've enjoyed what we've done.
0:31:58 > 0:32:04We're now returning somewhere we first showed you in 2007.
0:32:04 > 0:32:09My next property, the cottage, is sitting on the edge of a working farm.
0:32:09 > 0:32:13Originally it was used to house the workers who were employed in the fields.
0:32:13 > 0:32:16Now, I do know this house was built in the 1900s.
0:32:16 > 0:32:21It looks great on the outside, lovely stonework with brick dressing around the window.
0:32:21 > 0:32:25It's got a tiled roof. Beautiful roses around the door.
0:32:25 > 0:32:27Look at these. Idyllic, really.
0:32:27 > 0:32:30Does it get much better than this?
0:32:31 > 0:32:37This cottage went to auction with a very alluring guide price of just £200,000.
0:32:37 > 0:32:41From the outside it looks to be in pretty good condition.
0:32:43 > 0:32:46Well, it all started really well.
0:32:46 > 0:32:52As you walk in here the smell of damp and mustiness just hits you in the face.
0:32:52 > 0:32:57I'm wondering whether that's because this cottage has been locked up for quite some time.
0:32:57 > 0:33:00I hope it's not going to be a serious problem.
0:33:00 > 0:33:03But looking around, it's amazing.
0:33:03 > 0:33:08You've got these wonderful old flagstone floors, a fantastic Raeburn here.
0:33:08 > 0:33:14My guess is that this is the only source of central heating in the property. I can't see any radiators.
0:33:14 > 0:33:18Got a few problems with all the plasterwork coming off the ceiling.
0:33:18 > 0:33:21From the dining area straight through into the sitting room,
0:33:21 > 0:33:23very cottage-y, small and cosy.
0:33:25 > 0:33:29A-ha! There is the culprit of that rotten, musty damp smell.
0:33:29 > 0:33:33Take a look at this. Plaster peeling away everywhere.
0:33:33 > 0:33:38I presume there isn't a damp-proof course in a cottage of this age.
0:33:38 > 0:33:41To get one installed would cost around £1,000.
0:33:41 > 0:33:44You've definitely got to do that, whoever takes on this project.
0:33:44 > 0:33:49There were plenty of signs of damp here, but also a lot of character.
0:33:49 > 0:33:52At the other end of the cottage, behind the dining room,
0:33:52 > 0:33:56the units in the kitchen were definitely going to need changing.
0:33:56 > 0:34:00They didn't match the period of the property at all.
0:34:00 > 0:34:04Upstairs the cottage's character continues.
0:34:04 > 0:34:06But so does the damp.
0:34:06 > 0:34:10Apart from the bedrooms there's also a bathroom. It's a fair size.
0:34:10 > 0:34:13But the huge water tank does take up a lot of space.
0:34:13 > 0:34:15I wonder if it could be moved.
0:34:15 > 0:34:20This is where, to me, it gets a little bit disappointing because
0:34:20 > 0:34:23to access bedroom two you have to walk through bedroom one.
0:34:23 > 0:34:25Not ideal, is it?
0:34:25 > 0:34:29Years ago families would've all lived together in one big space.
0:34:29 > 0:34:32Today I think people need a little more privacy.
0:34:32 > 0:34:34There is a solution to that.
0:34:34 > 0:34:37You could think about creating a corridor from the bathroom
0:34:37 > 0:34:40leading all the way through the back of the house to the bedrooms
0:34:40 > 0:34:44although that would shunt all the rooms forwards and eat into the space.
0:34:44 > 0:34:49Perhaps you may think about developing on a much grander scale.
0:34:49 > 0:34:52If so, I have come up with another solution. It's outside.
0:34:52 > 0:34:53Let me show you.
0:34:53 > 0:34:56You know me, when I put on my developer's hat,
0:34:56 > 0:35:00I always like to think about extending and improving any property.
0:35:00 > 0:35:03This is the back of the house.
0:35:03 > 0:35:07You've got to use your imagination because there isn't much room.
0:35:07 > 0:35:10If you chop all this back, you have views of the working farm.
0:35:10 > 0:35:12You can even hear the cows.
0:35:12 > 0:35:15This is where the development opportunity is.
0:35:15 > 0:35:18Subject to planning permission, a double storey extension
0:35:18 > 0:35:20would work really well out here.
0:35:20 > 0:35:23Therefore you could create extra bedrooms upstairs,
0:35:23 > 0:35:26downstairs you could have a huge, big, kitchen area
0:35:26 > 0:35:31and walk straight out onto this really pretty, little garden.
0:35:36 > 0:35:41This is the kind of property that looks absolutely gorgeous in photographs,
0:35:41 > 0:35:44but we all know the reality of the work needed
0:35:44 > 0:35:47to make it look beautiful on the inside, as well.
0:35:47 > 0:35:50Let's see who wants the challenge in the auction room.
0:35:50 > 0:35:55And the cottage went to auction with a guide price of £200,000.
0:35:56 > 0:36:02Right. Lot 11 takes us to one of my favourite areas and properties.
0:36:02 > 0:36:05Would someone like to put me straight in at 200?
0:36:05 > 0:36:09200,000, 200,000, 205, on the aisle.
0:36:09 > 0:36:14210. 215.
0:36:14 > 0:36:17220 with the proxy bid. At 220.
0:36:17 > 0:36:19225 in pink.
0:36:19 > 0:36:22230, with the catalogue.
0:36:22 > 0:36:27230, 235, 240, with a proxy at 240.
0:36:27 > 0:36:30245.
0:36:30 > 0:36:33245. 250. At 250. I'll take two.
0:36:33 > 0:36:38At 250, 252. Proxy bid's out.
0:36:38 > 0:36:39254.
0:36:39 > 0:36:44Right at the back. 256. 258.
0:36:44 > 0:36:49258,000. 260. 262,
0:36:49 > 0:36:51262, 264.
0:36:51 > 0:36:57264. 266 at the back, 268.
0:36:57 > 0:37:01270. 270. 272,
0:37:01 > 0:37:04272. 274.
0:37:04 > 0:37:06274.
0:37:06 > 0:37:08All done?
0:37:08 > 0:37:11276. Fresh bidding. 278.
0:37:11 > 0:37:13280.
0:37:13 > 0:37:15282.
0:37:15 > 0:37:17282.
0:37:17 > 0:37:20284. I'll take one if it helps you.
0:37:20 > 0:37:24At 284. 285.
0:37:24 > 0:37:30285. 286. At £286,000.
0:37:30 > 0:37:32Anthony Mayall.
0:37:32 > 0:37:35The successful bid was made by a local land agent.
0:37:35 > 0:37:38He was acting for Philippa and her husband David
0:37:38 > 0:37:41who own and work on the neighbouring farm.
0:37:41 > 0:37:44They bought the cottage as an investment.
0:37:44 > 0:37:48I met Philippa there to find out why they had bought it.
0:37:50 > 0:37:53I think for the same reason that lots of people would want it,
0:37:53 > 0:37:56because it's a lovely, traditional cottage
0:37:56 > 0:38:01in a quiet setting in the countryside and there's room to improve it
0:38:01 > 0:38:04and it's a really lovely, idyllic property.
0:38:04 > 0:38:07So, why is this property important to your farming business?
0:38:07 > 0:38:09Farming is 24/7.
0:38:09 > 0:38:13You've always got to have somebody available to look after cattle
0:38:13 > 0:38:16and sheep and attend to their welfare.
0:38:16 > 0:38:19So to have a property where you can have another member
0:38:19 > 0:38:22of the family or someone that helps you,
0:38:22 > 0:38:24part of your team, or even a tenant who is also
0:38:24 > 0:38:28very interested in the farm is really valuable to us.
0:38:28 > 0:38:33Have you often looked out onto this cottage, thinking you would like to buy it?
0:38:33 > 0:38:37We've always considered that it might become available
0:38:37 > 0:38:40and we've hoped that we might be in a position to purchase it, if it did.
0:38:40 > 0:38:46Now that Philippa has the keys for this pretty cottage, the hard work is going to start.
0:38:46 > 0:38:49I met up with her architect to find out what his plans are for the place.
0:38:49 > 0:38:52I've got to say, it's a little bit pinched inside.
0:38:52 > 0:38:56You've got the problem of bedroom one going into bedroom two.
0:38:56 > 0:39:00How are you going to extend or just make it bigger?
0:39:00 > 0:39:03We want to leave the cottage just as it is
0:39:03 > 0:39:05so that the character is maintained,
0:39:05 > 0:39:08therefore we don't want to alter the elevations.
0:39:08 > 0:39:11So, we will still have two bedrooms and the bathroom up there,
0:39:11 > 0:39:15but on the ground floor we're looking for a large kitchen
0:39:15 > 0:39:17that you can sit in, eat in, live in during the day.
0:39:17 > 0:39:21And so that will occupy the main extension in this direction,
0:39:21 > 0:39:25leaving the corner where there's no light and views for stairwell,
0:39:25 > 0:39:28loo, you know, secondary rooms.
0:39:28 > 0:39:31OK, ballpark, how much do you think it's going to cost?
0:39:31 > 0:39:35If I was asked to give a budget at this stage,
0:39:35 > 0:39:39I would say between £100,000-£150,000. Excluding VAT.
0:39:39 > 0:39:43- Are you happy with that? - Over a long period of time, yes.
0:39:43 > 0:39:45And as any farmer knows, you have to be patient
0:39:45 > 0:39:48about the delay between sowing and harvesting.
0:39:52 > 0:39:54Join us later in the programme,
0:39:54 > 0:39:57to see if anything had actually taken root the first time
0:39:57 > 0:39:59we returned after one year.
0:39:59 > 0:40:03And how the cottage has become a fantastic new home two years later.
0:40:08 > 0:40:10Well, the months have passed.
0:40:10 > 0:40:13Time to return to our properties to see how they got on.
0:40:13 > 0:40:17Will it be a developer's dream or a living nightmare?
0:40:17 > 0:40:18Let's find out.
0:40:18 > 0:40:24Earlier, and builders Craig and Gary had just paid £53,500
0:40:24 > 0:40:26for this large end-of-terrace property,
0:40:26 > 0:40:31plus a large workshop behind it in the Stoke-on-Trent town of Hanley.
0:40:31 > 0:40:33They had been friends for a year,
0:40:33 > 0:40:36but had only just gone into partnership together.
0:40:36 > 0:40:39This was their first, and rather ambitious, development.
0:40:39 > 0:40:44Initially, the house was to be divided up into two flats
0:40:44 > 0:40:48and then they wanted to build two new houses where the workshop was.
0:40:48 > 0:40:50What would you put in its place? How many storeys?
0:40:50 > 0:40:52We would like to think we can put
0:40:52 > 0:40:56- a couple of semi-detached houses in there.- Oh, blimey.
0:40:56 > 0:41:00It depends what they come out with at the drawing, you know?
0:41:00 > 0:41:04Wow! That's where your potential mega profit is going to be, isn't it?
0:41:04 > 0:41:08Five months later, we are back and, oh dear.
0:41:08 > 0:41:12That double-fronted house has two more windows boarded up
0:41:12 > 0:41:17and the workshop is...still there.
0:41:17 > 0:41:20But inside, the colourful interior has had lots of attention.
0:41:20 > 0:41:24The walls have been patched up and now look ready to plaster.
0:41:27 > 0:41:30But there is still no sign of any building work
0:41:30 > 0:41:32to divide the house into the two proposed flats.
0:41:32 > 0:41:35And Gary's now busy on another building project.
0:41:35 > 0:41:40So, Craig, what's been happening in these last five months?
0:41:40 > 0:41:42We decided to keep it as a house.
0:41:42 > 0:41:47Because it was too costly to do what we wanted.
0:41:47 > 0:41:52It was time as well, to do the actual work.
0:41:52 > 0:41:54With us being working in the day,
0:41:54 > 0:41:57we only had a certain amount of time to spend on the property.
0:41:57 > 0:42:02It wasn't possible for us to do, really.
0:42:02 > 0:42:05So the plans for the flats have been shelved
0:42:05 > 0:42:08and the house was now just going to be refurbished.
0:42:08 > 0:42:12OK, this was one of the three bedrooms.
0:42:12 > 0:42:14As you can see we have stripped the walls
0:42:14 > 0:42:16like we have done in many of the other rooms.
0:42:16 > 0:42:18Although it might not look like it,
0:42:18 > 0:42:21we've done a lot of work to get to this stage.
0:42:21 > 0:42:23We've got the sockets in,
0:42:23 > 0:42:29basically, left in the flooring that we found at the floor level was dropping in this corner
0:42:29 > 0:42:34and what we wanted to do was take back all the boards
0:42:34 > 0:42:36and re-floor to get the floor level.
0:42:36 > 0:42:41Unfortunately, we didn't get time to get the flooring stripped back
0:42:41 > 0:42:45and re-levelled off which someone else is going to have to do.
0:42:45 > 0:42:49Hang on a minute. It sounds like the plans have changed again.
0:42:49 > 0:42:52For some reason Craig and Gary have decided
0:42:52 > 0:42:57to leave the floorboards even though they have done a lot of other work up here.
0:42:57 > 0:43:00OK, so this is the bathroom.
0:43:00 > 0:43:03Originally, there was a sink here, bath over there, toilet was here.
0:43:03 > 0:43:08What we wanted to do was create a bit more space.
0:43:08 > 0:43:11As you can see, we have started to retile.
0:43:11 > 0:43:14We have done the electrics and the plumbing.
0:43:14 > 0:43:16It's just a shame that we couldn't finish
0:43:16 > 0:43:19what we anticipated doing in this room.
0:43:21 > 0:43:24There's no flat conversion and Gary's working on another job.
0:43:24 > 0:43:28It seems their first joint project isn't going too well.
0:43:28 > 0:43:31As we were on our way through the project,
0:43:31 > 0:43:35I came down with a back injury which has put the job,
0:43:35 > 0:43:38over the last two to three months, on hold, really.
0:43:38 > 0:43:41Me and my work partner decided to sit down
0:43:41 > 0:43:45and have a chat about what we were going to do with the property,
0:43:45 > 0:43:49so we decided to put it back into the auction
0:43:49 > 0:43:53to try to get back what we paid.
0:43:55 > 0:43:57Oh, no! What bad luck.
0:43:57 > 0:44:00Craig's injury has meant they both decided to back out
0:44:00 > 0:44:03of their first development project.
0:44:03 > 0:44:05But at what cost?
0:44:05 > 0:44:10We bought it at the auction for £53,500.
0:44:10 > 0:44:15When we took it back to the auction, we got 53,000.
0:44:15 > 0:44:19We knew we had made a loss on it, but it's only a small amount
0:44:19 > 0:44:22and it's a lesson that we'll learn in the future.
0:44:22 > 0:44:26What about the workshop? What's the story there?
0:44:28 > 0:44:31Workshop's currently as it was, basically, because of time.
0:44:31 > 0:44:35We didn't have time to work on the outbuilding.
0:44:37 > 0:44:42Craig's already said they made a loss of £500 on the auction sale,
0:44:42 > 0:44:44and that's not counting the cost of work on the property
0:44:44 > 0:44:49which is now just money down the drain.
0:44:49 > 0:44:52With the materials that we've spent and the bathroom, tiles,
0:44:52 > 0:44:55electrical equipment, probably...
0:44:58 > 0:45:00..500, something like that.
0:45:01 > 0:45:05Let's see if two local estate agents can give Craig and Gary
0:45:05 > 0:45:11any good news as the lads are looking at an overall loss of around £1,000.
0:45:11 > 0:45:14My first impressions are that there is a lot of potential with it,
0:45:14 > 0:45:16quite a large end terrace.
0:45:16 > 0:45:20A lot of the hard work has been started, but a lot of work still required.
0:45:20 > 0:45:22They have done what most people would do
0:45:22 > 0:45:25which is a general strip out, start with the kitchen.
0:45:25 > 0:45:27There's still quite a bit of work to do.
0:45:27 > 0:45:30It's obviously a work-in-progress.
0:45:30 > 0:45:33If they had carried on continuing to turn it into flats,
0:45:33 > 0:45:36long-term, the investment would have been better,
0:45:36 > 0:45:39the potential income would have been more from renting.
0:45:39 > 0:45:42But the outlay to renovate it in the first place
0:45:42 > 0:45:44is more than keeping it as a terraced house.
0:45:45 > 0:45:49Sadly, the rental income's of no consequence now for Craig and Gary,
0:45:49 > 0:45:52but what about the resale value of the house and the workshop?
0:45:52 > 0:45:56How much could the property be worth if they had managed to finish the work?
0:45:56 > 0:45:59Fully renovated as a house,
0:45:59 > 0:46:04I'd imagine this could be worth somewhere around £60,000-£65,000.
0:46:04 > 0:46:08Fully renovated, the resale value of this property would be around £55,000.
0:46:08 > 0:46:11Based on an average figure of around 60,000,
0:46:11 > 0:46:15would that have given them the return they had hoped for
0:46:15 > 0:46:19if they had managed to finish the work and then sell?
0:46:19 > 0:46:22Fully renovated, £60,000.
0:46:22 > 0:46:26It's not a big return on what we would have invested in the property.
0:46:28 > 0:46:32The refurbishment is now on hold and it's up to the new owners
0:46:32 > 0:46:35to consider because Craig and Gary returned to the auction
0:46:35 > 0:46:41and sold for £53,000. Was that a fair price?
0:46:41 > 0:46:44In the property's current condition, its value is closer to £45,000.
0:46:44 > 0:46:48So, how does that make you feel, Craig?
0:46:48 > 0:46:50Yeah, shocked, really.
0:46:50 > 0:46:53I suppose the current market is,
0:46:53 > 0:46:55it's probably what it's valued at.
0:46:55 > 0:46:58So I suppose putting it back into the auction
0:46:58 > 0:47:02and getting 53,000 was a good result, at the end of the day.
0:47:07 > 0:47:12Earlier in the programme, we reminded you about this
0:47:12 > 0:47:15classic, country cottage with roses round the door
0:47:15 > 0:47:17that we first visited in 2007.
0:47:17 > 0:47:20It's in the lovely hamlet of Huntingford near Gillingham
0:47:20 > 0:47:24in Dorset and had been bought for £286,000 by Philippa.
0:47:24 > 0:47:28She and her husband owned the neighbouring farm
0:47:28 > 0:47:31and acquired the cottage to make sure they had control
0:47:31 > 0:47:35of the land and possibly to house their farm workers.
0:47:35 > 0:47:36But when we pulled on our wellies
0:47:36 > 0:47:41and returned 12 months later it hadn't progressed much at all.
0:47:41 > 0:47:44Not surprising, because whenever planning permission
0:47:44 > 0:47:46is required there are usually delays.
0:47:46 > 0:47:49But some work outside had been completed.
0:47:49 > 0:47:52We've put in a new access, which involved taking down
0:47:52 > 0:47:55the old farm buildings which were in a really poor state
0:47:55 > 0:48:00and we've now submitted and been successful in obtaining planning consent
0:48:00 > 0:48:04to extend the property and improve what's already here.
0:48:04 > 0:48:08Whilst they waited for planning permission to be granted,
0:48:08 > 0:48:09inside, some work had begun.
0:48:09 > 0:48:14The old plaster had been removed, ready for the damp-proof treatment.
0:48:14 > 0:48:19And the final drawing showed exactly how the cottage would change.
0:48:19 > 0:48:21We've demolished the kitchen and in its place
0:48:21 > 0:48:23there is an extension allowed here.
0:48:23 > 0:48:26The back door comes in off where the farmyard was
0:48:26 > 0:48:32into a utility area and a nice south-facing kitchen.
0:48:35 > 0:48:37Now, another 12 months later,
0:48:37 > 0:48:40we returned to see the fabulous new property where
0:48:40 > 0:48:44Philippa's daughter Alison is living until she goes to university.
0:48:46 > 0:48:49It's been two years since the hammer fell at auction,
0:48:49 > 0:48:52but the wait has definitely been worth it.
0:48:54 > 0:48:57The cottage has been sympathetically extended
0:48:57 > 0:49:00at 90 degrees to the original property.
0:49:02 > 0:49:06The bricks, stones and roof tiles all match beautifully.
0:49:09 > 0:49:12Inside the original cottage, what was the dining room
0:49:12 > 0:49:15has been refurbished in a classic country style.
0:49:19 > 0:49:23And on the other side of the chimney, is the sitting room.
0:49:24 > 0:49:27We've seen the damp plaster disappear.
0:49:27 > 0:49:31It's now dried out, been re-plastered and decorated.
0:49:34 > 0:49:36The impressive new wing of the property is accessed
0:49:36 > 0:49:40through this hall which leads to a stunning new kitchen and dining room.
0:49:44 > 0:49:48Very bright, very modern and very attractive.
0:49:51 > 0:49:53It's been a lovely project.
0:49:53 > 0:49:56It's been very easy to manage because it's on the doorstep.
0:49:56 > 0:49:59That makes a huge difference. We've had a great team of builders.
0:49:59 > 0:50:02Fantastic, skilled craftsmen.
0:50:02 > 0:50:06Really good stonemasons which have done justice
0:50:06 > 0:50:09to the stonework and the brickwork and matched it with the old,
0:50:09 > 0:50:11which I think has been a good result.
0:50:11 > 0:50:14The house has got lots of character.
0:50:14 > 0:50:18But we've managed to incorporate a lot more light into the new part.
0:50:18 > 0:50:19From the outside,
0:50:19 > 0:50:23it looks very similar in terms of its architectural features.
0:50:25 > 0:50:30Apart from the kitchen and hall, a utility room and cloakroom
0:50:30 > 0:50:32have been built on the ground floor of the new extension.
0:50:32 > 0:50:36And it's not just Philippa's daughter who's making it her home.
0:50:36 > 0:50:39You may remember one reason for buying the cottage was to
0:50:39 > 0:50:43be able to offer local accommodation to their farm workers.
0:50:43 > 0:50:44So did that happen?
0:50:44 > 0:50:47The situation that we have now
0:50:47 > 0:50:49is that we have a young member of the family
0:50:49 > 0:50:52who has his own agricultural engineering business
0:50:52 > 0:50:57and he is operating that alongside his commitment to the farming here.
0:50:57 > 0:51:00And so he's using this as his home,
0:51:00 > 0:51:05and it's also available for other members of the family as required.
0:51:05 > 0:51:08Upstairs, access to the bathroom and the two bedrooms
0:51:08 > 0:51:11used to be via the front of the cottage.
0:51:11 > 0:51:14But now the stairs lead to a new corridor at the back.
0:51:14 > 0:51:17This leads first of all to a lovely new bathroom.
0:51:21 > 0:51:24Next door, along the corridor,
0:51:24 > 0:51:28the first bedroom also looks out onto the front of the cottage.
0:51:34 > 0:51:37Plus there's a double-aspect, second bedroom on the corner.
0:51:37 > 0:51:41But if you turn left at the top of the stairs into the new extension,
0:51:41 > 0:51:45the landing leads into a new master bedroom with an en suite.
0:51:45 > 0:51:48Again, the light floods in and as Philippa explains,
0:51:48 > 0:51:52getting light into the extension was a prime concern.
0:51:54 > 0:51:59Well, here we are at the join between the old and the new.
0:51:59 > 0:52:03The key thing was to get the roof pitches the same
0:52:03 > 0:52:06so that it all flows on.
0:52:06 > 0:52:10We've got brick dressings which copy the brick dressings around the windows here.
0:52:10 > 0:52:15And, um...then we had a slight test as to how we link
0:52:15 > 0:52:18because it was at a point where the house had no natural light at all.
0:52:18 > 0:52:20It was a really dark corner.
0:52:20 > 0:52:23And so John the architect, who you met before,
0:52:23 > 0:52:27had the idea that we had this glazed L that joined the two.
0:52:27 > 0:52:29It worked really well.
0:52:29 > 0:52:33We've changed it from being quite a modern, contrasting
0:52:33 > 0:52:36design of window to something that's more traditional
0:52:36 > 0:52:39and in keeping with what we've got here.
0:52:39 > 0:52:42It's never easy to blend the old and the new,
0:52:42 > 0:52:45but I reckon they have managed it very well here.
0:52:45 > 0:52:48Creating this fabulous kitchen is a real bonus.
0:52:51 > 0:52:55At the point where the original cottage joins the new extension
0:52:55 > 0:52:58some other walls needed to be removed.
0:52:58 > 0:53:01This room has changed because you've now got a front door
0:53:01 > 0:53:03which is not so much a front door,
0:53:03 > 0:53:06just an access that comes into this room.
0:53:06 > 0:53:08There was a wall there and you went through
0:53:08 > 0:53:12to a little back hall and the staircase, which has been removed.
0:53:12 > 0:53:16So, that space has been joined into this room to make it bigger.
0:53:16 > 0:53:19And then here we took the old range out
0:53:19 > 0:53:22which was past its renovation point, so that had to go, I'm afraid.
0:53:22 > 0:53:26And we just kept an open fireplace here.
0:53:26 > 0:53:28We found this chunk of oak
0:53:28 > 0:53:30which we've managed to put in, which is old enough
0:53:30 > 0:53:33to look as if it's been there longer than it has.
0:53:36 > 0:53:38Philippa's team have been able to restore
0:53:38 > 0:53:44some of the original sash windows, but the new ones blend in really well.
0:53:44 > 0:53:46Two years ago, Philippa and her husband
0:53:46 > 0:53:50paid £286,000 at auction for the cottage.
0:53:50 > 0:53:55But how much has this impressive refurbishment and building project cost?
0:53:55 > 0:53:58We ended up spending 160,000.
0:53:58 > 0:54:03A lot more, probably, was spent outside.
0:54:03 > 0:54:06You can underestimate things like
0:54:06 > 0:54:09putting in a drive and a road and fencing.
0:54:09 > 0:54:11They are always things that you don't budget for.
0:54:13 > 0:54:15Let's see if two local property experts
0:54:15 > 0:54:18will think that money's been well spent.
0:54:18 > 0:54:21It's not so much kerb appeal as field appeal here.
0:54:21 > 0:54:25But what's the first impression they get from the cottage?
0:54:25 > 0:54:27Really good.
0:54:27 > 0:54:30Very good use of natural stone.
0:54:30 > 0:54:31The external side looks good.
0:54:31 > 0:54:33Internally, it's finished well.
0:54:33 > 0:54:35I saw the property last year,
0:54:35 > 0:54:38I'm very impressed with what Philippa's done here.
0:54:38 > 0:54:42They've made excellent use of the country position and the windows
0:54:42 > 0:54:45looking over the countryside and the farmland adjoining.
0:54:45 > 0:54:50I think the way they have done the design has been imaginative.
0:54:50 > 0:54:52It's a good use of space.
0:54:52 > 0:54:54You've got a big kitchen which is important
0:54:54 > 0:54:56because most people live in the kitchen.
0:54:56 > 0:54:59All that you want in a nice, cosy, comfortable cottage.
0:54:59 > 0:55:03The quality of workmanship's excellent and the stonework facing
0:55:03 > 0:55:06outside and some of the internal fittings are very good.
0:55:06 > 0:55:08How much is the cottage now likely to be worth?
0:55:08 > 0:55:12Don't forget they have spent £160,000 on the project
0:55:12 > 0:55:19on top of the £286,000 purchase price, making a total of £446,000.
0:55:19 > 0:55:24As of today's date, I'd put a value of £415,000 on the cottage.
0:55:24 > 0:55:27I reckon on a guide price of £425,000.
0:55:27 > 0:55:31So, no financial profit at the moment,
0:55:31 > 0:55:34but the reason Philippa and her husband bought the cottage
0:55:34 > 0:55:36was to own the land adjacent to their farm.
0:55:36 > 0:55:39So it wasn't just a money-making exercise.
0:55:39 > 0:55:44Those valuations are about right in the ballpark market that we are in today.
0:55:44 > 0:55:47If we had to stick it on the market tomorrow,
0:55:47 > 0:55:51I am confident that whoever is the optimist at 425
0:55:51 > 0:55:53is where I'd go with my instruction.
0:55:53 > 0:55:57It's taken over two years from the hammer falling
0:55:57 > 0:56:00to completing this beautiful house.
0:56:00 > 0:56:03Has the wait been worth it?
0:56:03 > 0:56:06I think you have to have staying power with these things.
0:56:06 > 0:56:12There's always a moment when you doubt the sense of what you do,
0:56:12 > 0:56:14in all sorts of situations.
0:56:14 > 0:56:16But I'm really glad we've done it.
0:56:16 > 0:56:19It's been a nice project.
0:56:19 > 0:56:22We've been lucky with the site, we've been lucky with
0:56:22 > 0:56:26the people who helped us and no, we're chuffed.
0:56:29 > 0:56:31That's it for today's properties.
0:56:31 > 0:56:33Have they inspired you to do the groundwork
0:56:33 > 0:56:37and build the foundations for your own property portfolio?
0:56:37 > 0:56:40Or if you just like watching other people do it
0:56:40 > 0:56:43then tune in next time for more Homes Under The Hammer.
0:56:43 > 0:56:44- See you then.- Goodbye.
0:56:57 > 0:57:00Subtitles by Red Bee Media Ltd