0:00:02 > 0:00:05- Hello and welcome.- Buying a property can be a long, drawn-out process,
0:00:05 > 0:00:07but not when you buy through the auction.
0:00:07 > 0:00:11You should have the keys to the property you want in just 28 days.
0:00:11 > 0:00:16It really can be that quick buying your home under the hammer.
0:00:41 > 0:00:45Sometimes buying at auction can be a bit of a gamble,
0:00:45 > 0:00:47but not if you do your research first.
0:00:47 > 0:00:50So, are today's buyers on a winning streak?
0:00:50 > 0:00:53Let's find out. This is what they bought.
0:00:54 > 0:00:58'Coming up, there's a former schoolhouse in Devon with loads of potential.'
0:00:58 > 0:01:03Big extension, big view, then you've got your dream place in the country.
0:01:03 > 0:01:08'In Kilburn, Northwest London, there's a small one-bed flat with plenty of space.'
0:01:08 > 0:01:13It's not terribly wide, but you have got masses of ceiling height.
0:01:15 > 0:01:20'And in Swindon, Wiltshire, this three-bed semi is pretty middle-of-the-road.'
0:01:20 > 0:01:24Not bad. I mean, I've definitely seen worse.
0:01:25 > 0:01:27'All these properties have been sold at auction.
0:01:27 > 0:01:30'We'll find out who bought them and what they paid for them
0:01:30 > 0:01:33- 'when they went under the hammer.' - Well done.
0:01:38 > 0:01:43'Dartmoor National Park is one of Britain's gems.
0:01:43 > 0:01:47'But finding a suitable property to match the surroundings isn't easy.
0:01:47 > 0:01:49'However, today, I might be in luck
0:01:49 > 0:01:54'in the village of Lamerton, just two miles from the park boundary.'
0:01:56 > 0:01:58Well, I am very excited about this one.
0:01:58 > 0:02:01Not only is it in a beautiful location,
0:02:01 > 0:02:03but the auction catalogue description
0:02:03 > 0:02:08contains those tantalising words, "character property."
0:02:08 > 0:02:13And, boy, oh, boy, is it that! Stone-built, detached,
0:02:13 > 0:02:16right in the centre of the village here.
0:02:16 > 0:02:20175 to 195 grand. Ooh-hoo.
0:02:22 > 0:02:24'Well, that's an exciting price.
0:02:24 > 0:02:30'But, on closer inspection, I'm a little less excited about the condition of the front.
0:02:30 > 0:02:32'Not surprising, given its age.
0:02:32 > 0:02:37'The property was built in the 19th century and used to be the village schoolhouse,
0:02:37 > 0:02:41'so the exterior is bound to show signs of wear and tear.
0:02:41 > 0:02:44'And the windows look as though they're about to fall out.
0:02:44 > 0:02:48'But houses like this were built to last, and the stone structure seems rock solid.'
0:02:51 > 0:02:54- HE LAUGHS - Wow.
0:02:54 > 0:02:57That is what you call a front room!
0:02:57 > 0:03:01Absolutely incredible space!
0:03:01 > 0:03:04When you walk in, you don't expect to find something like this.
0:03:04 > 0:03:10You've got a big fireplace, the beams, this ceiling height, which just...
0:03:10 > 0:03:14I don't know about you, but this is my ideal lounge.
0:03:14 > 0:03:18Another fireplace there. Just brilliant!
0:03:23 > 0:03:25'As fantastic as the large front room is,
0:03:25 > 0:03:30'it actually takes up the entire ground floor footprint of the original building.
0:03:30 > 0:03:36'Meanwhile, the kitchen and bathroom have been squeezed into two single-storey extensions at the rear
0:03:36 > 0:03:39'and are really rather pokey.
0:03:39 > 0:03:42'This arrangement could do with a complete rethink.
0:03:42 > 0:03:44'Time to head upstairs to the three bedrooms.'
0:03:44 > 0:03:47Not only have you got those beautiful stone steps
0:03:47 > 0:03:53leading out of the living room, but they continue all the way upstairs, and that is extremely unusual.
0:03:53 > 0:03:56So there's high hopes when you do come to this floor,
0:03:56 > 0:04:00but, unfortunately, they are rather ceremoniously dashed.
0:04:00 > 0:04:04Somebody's had a go at doing something up here, some kind of restoration,
0:04:04 > 0:04:08and put in stud partition walls. They've made an absolute bodge of it.
0:04:08 > 0:04:10Done totally unsympathetically.
0:04:10 > 0:04:14What this needs is a bit of care and attention, somebody with imagination.
0:04:14 > 0:04:19I mean, look what you could do with this. I'd be thinking about taking this ceiling out,
0:04:19 > 0:04:23extensions for sure, but just something which just adds to
0:04:23 > 0:04:27that fantastic grandeur of downstairs.
0:04:27 > 0:04:31'With some reconfiguration and the addition of an extension,
0:04:31 > 0:04:36'the bathroom could be moved up here whilst keeping the three bedrooms.
0:04:36 > 0:04:40'One certainty is that these partitions do need to be ripped out
0:04:40 > 0:04:43'in favour of a brand new plan.
0:04:44 > 0:04:51'Outside in the garden, I can't help but notice there's room for improvement here, too.'
0:04:51 > 0:04:56So, exciting stuff going on inside the house, but potential out the back here is enormous,
0:04:56 > 0:04:59because at the moment, it really isn't very good at all.
0:04:59 > 0:05:03A sort of hodge-podge of additions which have been added over the years.
0:05:03 > 0:05:07What I'm thinking is some really well-thought-through extension,
0:05:07 > 0:05:11adding to the property in general, but also making the most of that view,
0:05:11 > 0:05:14because that is magical and, at the moment,
0:05:14 > 0:05:18the house just doesn't really have an opportunity to benefit from it.
0:05:18 > 0:05:23So big extension, big view, then you've got your dream place in the country.
0:05:23 > 0:05:25# Dream
0:05:25 > 0:05:27# Dream, dream, dream
0:05:27 > 0:05:29# Dream
0:05:29 > 0:05:32'But how big could that dream be and what could it look like?
0:05:32 > 0:05:35'The auctioneer who sold the property came along
0:05:35 > 0:05:38'to tell us more about its history and its potential.'
0:05:40 > 0:05:43It's a shell, essentially,
0:05:43 > 0:05:45but what a characterful shell.
0:05:45 > 0:05:49One of the most fantastic features of the house is the stone steps.
0:05:49 > 0:05:53They used to be on the outside and it was for when it was a school
0:05:53 > 0:05:57and there was boys and girls, but never should they mix,
0:05:57 > 0:06:00and the boys were on the ground floor
0:06:00 > 0:06:03and the girls didn't even go through the building to get upstairs,
0:06:03 > 0:06:06they went around the back and up the stone steps.
0:06:06 > 0:06:09What lets the property down is its back side,
0:06:09 > 0:06:12and you just want to clear that and start again,
0:06:12 > 0:06:14probably with a two-storey extension.
0:06:14 > 0:06:20'So, once the work was finished, how much could it fetch on the rental market?'
0:06:20 > 0:06:24The holiday rental market I think would be a bit sporadic out here.
0:06:24 > 0:06:29The longer-term rental, three bedrooms,
0:06:29 > 0:06:33you're probably looking at £700 per calendar month.
0:06:33 > 0:06:36'And if sold as a refurbished family home,
0:06:36 > 0:06:41'keeping in mind that guide price of £175,000 to £195,000?'
0:06:42 > 0:06:48I think, if they got a double-storey extension and did it in keeping with what's already here,
0:06:48 > 0:06:54you could be looking at £220,000, £240,000, depending how they did it.
0:06:55 > 0:07:01Well, this is one of those properties that somebody is going to come along and fall in love with.
0:07:01 > 0:07:03I mean, a lot of work to do,
0:07:03 > 0:07:08but boy, oh, boy, could you turn this into something absolutely spectacular.
0:07:08 > 0:07:11Let's find out what happened at the auction.
0:07:14 > 0:07:19A detached, two-storey, three-bedroom character property
0:07:19 > 0:07:24in the village of Lamerton. For those of you in the know, a very pretty and well-thought-of village.
0:07:24 > 0:07:27How about 170?
0:07:27 > 0:07:31160, I'll stand my ground for the house. 160. Are you serious? I'm serious.
0:07:31 > 0:07:35160, thank you. At 160. I knew why you were waiting.
0:07:35 > 0:07:38162 for 96 is what I'm asking. 160.
0:07:38 > 0:07:40At 160. 162.
0:07:40 > 0:07:43162. 164.
0:07:43 > 0:07:48166. 168 do I? 166.
0:07:48 > 0:07:49168.
0:07:49 > 0:07:52169? 169.
0:07:52 > 0:07:54169. 169.
0:07:54 > 0:07:57At 169 for lot 96.
0:07:57 > 0:08:00At 169. 169.
0:08:00 > 0:08:02170. At 170.
0:08:02 > 0:08:05At 170.
0:08:05 > 0:08:07At 170 sat. At 170.
0:08:07 > 0:08:10Once, then. Bring things to a head.
0:08:10 > 0:08:12At 170 twice.
0:08:12 > 0:08:15It's here at 170.
0:08:15 > 0:08:18You're all missing it. Here we go. Last chance.
0:08:18 > 0:08:20At 170 and selling at 170.
0:08:20 > 0:08:22Sir, yours. That simple.
0:08:26 > 0:08:29'With his successful bid of £170,000,
0:08:29 > 0:08:33'the new headmaster of this former schoolhouse is Bill.
0:08:33 > 0:08:36'He recently took early retirement from his city job in London.
0:08:36 > 0:08:41'Now, with time on his hands and muscle in the guise of his son, Joe,
0:08:41 > 0:08:44'it was exactly the project he was after.'
0:08:44 > 0:08:47# I'm going right back to school
0:08:47 > 0:08:52- Bill, Joe, nice to meet you both. Congratulations.- Thank you. - What a great house.
0:08:52 > 0:08:56- It's interesting, isn't it? - Yeah, it is certainly that! Why did you want to buy it?
0:08:56 > 0:09:01I saw it in the catalogue and I've been looking in the West Country for a while
0:09:01 > 0:09:04with the idea that, in two or three years, I might move down here,
0:09:04 > 0:09:07and it just looked like a fantastic stone-built house,
0:09:07 > 0:09:12which I quite like, and an opportunity, because it was a wreck internally.
0:09:12 > 0:09:18Fairly big decision to up roots and move from the big city into the little village.
0:09:18 > 0:09:22Yes, but I just left my job about three months ago
0:09:22 > 0:09:26- and I'm just looking for something to do with my life, so...- OK.
0:09:26 > 0:09:31- What do you think about your dad taking this on?- At the start, I was a bit concerned,
0:09:31 > 0:09:33but now I've seen it, it's got a lot of potential.
0:09:33 > 0:09:37Right. And if your dad moved down here, would you end up visiting
0:09:37 > 0:09:40- or coming down here yourself? - Rarely, I think.
0:09:40 > 0:09:44- It's a bit too cold.- Too cold?- Yeah.
0:09:44 > 0:09:47'Well, he won't be too cold once he's worked up a sweat renovating the house.
0:09:47 > 0:09:51'But there's one aspect that's giving me the chills.'
0:09:51 > 0:09:54Do you have any experience of property renovation?
0:09:54 > 0:09:56Er, no. None at all. Nil.
0:09:56 > 0:10:00- Nil.- Nil. But I have a friend who lives in Devon
0:10:00 > 0:10:03who did a lot of property development around here,
0:10:03 > 0:10:08mostly new build, but he has all the contacts, which is another good reason to do it here.
0:10:08 > 0:10:12- It's a heck of a project for somebody with no experience. - I guess it is, yes,
0:10:12 > 0:10:16but, you know, dive it, why not?
0:10:16 > 0:10:18'I'd say that's pretty brave.
0:10:18 > 0:10:22'But he'll add more value if he keeps his costs down,
0:10:22 > 0:10:27'so having local contractor knowledge is a big plus. Does he think it's a safe investment?'
0:10:30 > 0:10:35Although the market is going down at the moment, I just think it's much better to have money in property
0:10:35 > 0:10:40- than it is to leave it in the bank, especially as my money was in an Icelandic bank.- No, it wasn't!
0:10:40 > 0:10:46- It was.- What happened?- I got it out two weeks before they decided that they were going to close the doors.
0:10:46 > 0:10:49- No!- Yeah.- How come you knew that? - I didn't know.
0:10:49 > 0:10:52- I was just lucky.- You just randomly took your money out?
0:10:52 > 0:10:56- No, to buy this place. - Whoa! Really?- Yeah.
0:10:56 > 0:11:00'It seems this place has really been his lucky charm.
0:11:00 > 0:11:03'What has he got planned for the refurbishment?'
0:11:03 > 0:11:07The extension on the back at the moment, I think it dates from the 1970s.
0:11:07 > 0:11:12It looks pretty rough to me, inside and outside. I want to take the single-storey extension off,
0:11:12 > 0:11:18put a two-storey extension on the back with a new bathroom above where the current bathroom is,
0:11:18 > 0:11:20a further bedroom.
0:11:20 > 0:11:26Internally, take the divisions out that are there at the moment and put two bedrooms on the front.
0:11:26 > 0:11:33Make it really three bedrooms. On the downstairs, kitchen coming out into the garden
0:11:33 > 0:11:38with a sort of sun room on this south side here, looking towards the view,
0:11:38 > 0:11:41- with a dining area in it.- Wow.
0:11:41 > 0:11:45On the other side of that, where the current bathroom is, I want a utility room and workshop.
0:11:45 > 0:11:50- If I do move down here, I have a couple of motorcycles and I want to put them in there.- Great!
0:11:50 > 0:11:53That sounds like a fairly big extension and plans for this place.
0:11:53 > 0:11:58- How much is that going to cost, do you think?- My budget for the total renovation is about £50,000.
0:11:58 > 0:12:02'Bill's hoping to get the work done in eight to ten months.
0:12:02 > 0:12:07'But once he's renovated this gorgeous house and hopefully added to its charm and value,
0:12:07 > 0:12:11- 'what will he do with it?' - I think I may sell it. I may sell it.
0:12:11 > 0:12:17That wasn't the answer I was expecting. The way you were talking, I thought you were moving down here.
0:12:17 > 0:12:19That really depends on how the money goes
0:12:19 > 0:12:24and whether or not I can turn it into the place I want to live within that price,
0:12:24 > 0:12:29because there are all sorts of things, like using the stone materials on the extension
0:12:29 > 0:12:36and whether or not that's affordable, because I wouldn't like another breeze block and rendered extension.
0:12:36 > 0:12:40Good luck with it all and I can't wait to see how you transform it.
0:12:40 > 0:12:42- Thank you very much. - Nice to meet you both.
0:12:44 > 0:12:48Well, after a lucky escape getting his money out of the Icelandic banks,
0:12:48 > 0:12:52Bill's banking on this property in Devon.
0:12:52 > 0:12:56How is he going to get on? Well, he doesn't have very much experience in restoration
0:12:56 > 0:13:02and this is a big project. The only way to find out is to join us later in the programme.
0:13:09 > 0:13:15'I'm in Kilburn, Northwest London. Half an hour's brisk walk will get you into the city centre
0:13:15 > 0:13:20'and you're just a stone's throw from fashionable Maida Vale and West Hampstead
0:13:20 > 0:13:22'without their hefty price tags.
0:13:23 > 0:13:29'Sometimes called County Kilburn due to its large Irish population.
0:13:29 > 0:13:32'The big question is, will someone have the luck of the Irish with it?'
0:13:35 > 0:13:38I love these typical North London streets, and I'm not the only one,
0:13:38 > 0:13:43because properties with period character regularly achieve a higher resale price
0:13:43 > 0:13:49than those with less charm. They hold their value better and they will always sell well.
0:13:49 > 0:13:53Now, with that in mind, I'm pleased to say this is the flat we're here to see.
0:13:53 > 0:14:00I know it's on the first floor, it's got one bedroom and it had a guide price of £185,000.
0:14:01 > 0:14:08'Despite the bins, this street is pretty attractive and is just a few steps from the high street.
0:14:08 > 0:14:13'The property itself appears well-kept judging by the exterior and the communal areas.
0:14:13 > 0:14:17'They may be lacking in the looks department, but I've seen worse.'
0:14:17 > 0:14:23Ooh, bit of a squeaky door! Little bit shabby on the inside, I have to say, and lots of doors.
0:14:23 > 0:14:28We've got a big load of wasted space in there, an airing cupboard with a hot-water tank.
0:14:28 > 0:14:31A huge bathroom through here.
0:14:31 > 0:14:35And this would be the lounge. Now, the thing that strikes me about this flat
0:14:35 > 0:14:39is it's not huge, it's not terribly wide,
0:14:39 > 0:14:42but you have got masses of ceiling height
0:14:42 > 0:14:45and, therefore, it makes you think that this is a big flat
0:14:45 > 0:14:48when, actually, it's not that big in here.
0:14:48 > 0:14:52You've got no features at all, so you could think about working with that,
0:14:52 > 0:14:55putting in a fireplace and some nice coving and stuff.
0:14:55 > 0:15:01A kitchen through here. Again, not terribly big. Not bad.
0:15:01 > 0:15:04I reckon there's an awful lot you could do with this flat.
0:15:06 > 0:15:09'And you'd start with a good clean.
0:15:09 > 0:15:14'It's pretty grubby, with signs of neglects, but there's certainly scope for improvement.
0:15:14 > 0:15:17'The bedroom is at the back with a little balcony area.
0:15:17 > 0:15:21'I suppose an optimist would call that a roof terrace.
0:15:21 > 0:15:25'So, what could you do to make this place more appealing?'
0:15:25 > 0:15:29Not a great bedroom. How else could you think about improving this flat?
0:15:29 > 0:15:32Option number one, you've got a wasted space in here.
0:15:32 > 0:15:37How about opening all of this up and creating one large bedroom?
0:15:37 > 0:15:40Because you've got that big cupboard in there doing nothing.
0:15:40 > 0:15:45Option two, you've got a big bathroom, you could think about shifting this bathroom
0:15:45 > 0:15:47and putting it into this area here,
0:15:47 > 0:15:52and then you could use all the space in here for the kitchen,
0:15:52 > 0:15:57have one huge kitchen, a lovely big dining table at the end by the window
0:15:57 > 0:16:00and then you've got a fabulous place to entertain, to eat.
0:16:00 > 0:16:03Or you may like open-plan living.
0:16:03 > 0:16:09You could think about taking this wall out and shoving this kitchen over to this area over here.
0:16:09 > 0:16:13I mean, you really have got quite a lot of options with this flat.
0:16:13 > 0:16:17But, for me, moving that bathroom is key.
0:16:19 > 0:16:24'Many of these conversions were done badly in the eighties and stud partitions put up willy-nilly.
0:16:24 > 0:16:26'Now it's time to rearrange.
0:16:28 > 0:16:32'Does a local estate agent think this flat is smashing
0:16:32 > 0:16:34'or just a bit broken?'
0:16:34 > 0:16:37The properties here are very popular,
0:16:37 > 0:16:39largely due to the fact that they're quite big.
0:16:39 > 0:16:43They're very good for converting, so bought at the right price,
0:16:43 > 0:16:48it can be split into two separate units, which are very good for resale or rental.
0:16:49 > 0:16:53'Once the refurbishment's been done, how much does he think it could be worth?'
0:16:55 > 0:16:59Once it's been fully refurbed, I would put it on the market at just below 250
0:16:59 > 0:17:04- and expect to achieve very close to that.- '£250,000 is a pretty healthy valuation.
0:17:04 > 0:17:08'If it was bought for close to that guide price of 185 grand,
0:17:08 > 0:17:12'there could be money to be made here, even with the renovation costs.
0:17:12 > 0:17:15'What about renting it out?'
0:17:15 > 0:17:19I'd be looking to achieve in the region of £900 to £1,000 per calendar month quite easily.
0:17:19 > 0:17:25So is this flat worth buying? I think, without a doubt, yes.
0:17:25 > 0:17:29Property values in London vary hugely depending on where you are.
0:17:29 > 0:17:34But you'd be hard-pushed to find a one-bed flat with these proportions in such a good location
0:17:34 > 0:17:36for anything like this guide price.
0:17:36 > 0:17:42It needs work, for sure, but in my opinion, it is a fantastic one to go for at the auction.
0:17:45 > 0:17:51Lot 110. A well-located one-bedroom first-floor flat.
0:17:51 > 0:17:52170, then.
0:17:52 > 0:17:54170 I've got.
0:17:54 > 0:17:58171. 175, yeah, OK.
0:17:58 > 0:18:01180. 185.
0:18:01 > 0:18:06186. 187, new place. 190.
0:18:06 > 0:18:09195. 200.
0:18:09 > 0:18:13201. 202. 203.
0:18:13 > 0:18:15203.
0:18:15 > 0:18:19204. 204? OK, 204.
0:18:19 > 0:18:22205. 206.
0:18:22 > 0:18:24207. 208.
0:18:24 > 0:18:27209. No? Back to you.
0:18:27 > 0:18:31Bid's at £208,000 against the gentleman sitting down.
0:18:31 > 0:18:35It's with you two at the back. The bid's at £208,000.
0:18:35 > 0:18:39208 for the first. 208 for the second.
0:18:39 > 0:18:43208 for the third and final time. Are you all done? Sold!
0:18:43 > 0:18:45208. Well bought.
0:18:45 > 0:18:50'And that successful bid of £208,000 came from couple Andy and Anya.
0:18:54 > 0:18:57'They've already been checking out all that Kilburn has to offer.'
0:18:57 > 0:19:03# Apples, peaches, bananas and pears
0:19:03 > 0:19:06'Have this pair got themselves a peach of a property?
0:19:06 > 0:19:09'Andy has a background in IT
0:19:09 > 0:19:13'and Anya, originally from Poland, does translation and voiceover work.
0:19:13 > 0:19:18'The couple live in Surrey, but I met them back at their new flat to hear about the plans for it.'
0:19:18 > 0:19:20Guys, congratulations.
0:19:20 > 0:19:25So, what was the thought behind you wanting to buy this and why Kilburn?
0:19:25 > 0:19:29We looked at five flats in total before the auction.
0:19:29 > 0:19:33We had a budget in mind and we drew on a map the postcodes we could get to
0:19:33 > 0:19:36within half an hour to an hour from our place.
0:19:36 > 0:19:41And we wanted London because of the resale value and possible rental returns.
0:19:41 > 0:19:46- How well do you know Kilburn? - We've researched the area as much as we possibly could
0:19:46 > 0:19:50and tried to find the good and the bad areas, areas that rent and don't rent,
0:19:50 > 0:19:56and just basically driving, you get a general feeling for areas. We've come out late in the evenings
0:19:56 > 0:19:59and just checked the local areas, just to see what we're comfortable with,
0:19:59 > 0:20:04- and we've been to some where we haven't even got out of the car. - So you're doing well so far!
0:20:04 > 0:20:10- Well, we've got out and in. - What is it that you two both do? Are you both property developers?
0:20:10 > 0:20:14- We're trying to be.- So do you have another job as well, Anya?
0:20:14 > 0:20:19I do voice recording a little bit at the moment
0:20:19 > 0:20:22and trying to find new properties.
0:20:22 > 0:20:26- Andy, what about you?- I just do the property development side now.
0:20:26 > 0:20:30I've moved across to this. I also do engine building for go-karts once a week
0:20:30 > 0:20:32and vehicle cleaning, as well.
0:20:32 > 0:20:35What were you doing before all the property stuff?
0:20:35 > 0:20:39I was a courier and I was in IT.
0:20:39 > 0:20:43Basically, due to redundancies and everything, it pushed us in this way.
0:20:43 > 0:20:47It was the plan to do it, but it just happened slightly quicker than we wanted.
0:20:47 > 0:20:51So we thought we'd take the redundancy money and do something with it.
0:20:51 > 0:20:54# Go on, take the money and run
0:20:54 > 0:20:58'Here, here! I always like stories of turning challenges into positives
0:20:58 > 0:21:01'and Andy and Anya are doing just that.'
0:21:01 > 0:21:04# Go on, take the money and run
0:21:04 > 0:21:10Anya, what was it about this flat that inspired you, that made you think, "I could do a lot with this"?
0:21:10 > 0:21:15It's probably mostly the high ceilings
0:21:15 > 0:21:18and it's a really big flat for a one-bedroom flat.
0:21:18 > 0:21:22Although, I will say, I think the layout isn't as it should be.
0:21:22 > 0:21:25I agree. The layout probably needs some work.
0:21:25 > 0:21:28- This wall into the kitchen will probably go.- This one here?
0:21:28 > 0:21:31Yeah, make it all open-plan.
0:21:31 > 0:21:34And also, I think it needs a good finish on it.
0:21:34 > 0:21:39- It's going to be in competition against a lot of others.- I think you can do a lot more with this place
0:21:39 > 0:21:43than just take down this wall. My opinion is that you've got quite a lot of wasted space
0:21:43 > 0:21:49between the bedroom and this room here. You've got a hot-water tank that could go and a big cupboard.
0:21:49 > 0:21:55Have you thought about perhaps shifting that bathroom into that area?
0:21:55 > 0:21:59It was an idea, possibly making that more of an en suite
0:21:59 > 0:22:04and utilising the room that the bathroom leaves, cos it is a huge bathroom for a flat of this size.
0:22:06 > 0:22:10'It certainly is. And with that extra space, you could turn the kitchen
0:22:10 > 0:22:18'into a large kitchen-diner for entertaining. However, it will all depend on the budget.'
0:22:19 > 0:22:23We've got about £25,000 to spend,
0:22:23 > 0:22:26but I hope we're going to spend less than that
0:22:26 > 0:22:31- and we're going to do most of the work ourselves.- Are you now?
0:22:31 > 0:22:36We're capable of doing all the work apart from the stuff we're not legally allowed to do,
0:22:36 > 0:22:39such as electrics and gas. Everything else, we can do ourselves.
0:22:39 > 0:22:44- So you're quite a hands-on couple? - Yes, Anya usually does the designing and picks out the flaws
0:22:44 > 0:22:47and I do the donkey work. And it seems to work well.
0:22:47 > 0:22:49That's great, Anya! I like your style!
0:22:52 > 0:22:55'I also approve of their preparation.
0:22:55 > 0:23:01'They've been working towards marketing the property for around £250,000 once fully renovated,
0:23:01 > 0:23:05'which is probably about spot-on. But to make it sell in this tricky market,
0:23:05 > 0:23:08'they're going to have to pull out all the stops.'
0:23:08 > 0:23:12How are you going to develop this? What's it going to look and feel like?
0:23:12 > 0:23:15We want to go for a high-end feel,
0:23:15 > 0:23:17make it nice, classy,
0:23:17 > 0:23:19use real wood, not laminate, if we can,
0:23:19 > 0:23:23make the kitchen really nice, spend money on really nice worktops.
0:23:23 > 0:23:25Anya, do you agree with all of those things?
0:23:25 > 0:23:32Erm, most of them, yes. He's got some silly ideas, like putting in a coffee machine,
0:23:32 > 0:23:36building it into the kitchen, which I don't agree with.
0:23:36 > 0:23:38I think that's a great idea!
0:23:38 > 0:23:42That just gives your buyer that little something extra.
0:23:42 > 0:23:47If you can get a good coffee machine at a good price, I think that's not a bad idea.
0:23:47 > 0:23:51I wanted something where if you came to view this flat and three others,
0:23:51 > 0:23:54you'd remember the one with the coffee machine.
0:23:54 > 0:23:56How long do you think it's going to take?
0:23:56 > 0:24:01We've been thinking... We could do all the work in four weeks,
0:24:01 > 0:24:08but with suppliers and everything, the kitchen supplier is on a four-week leave,
0:24:08 > 0:24:12- so I think it's probably going to be eight weeks. - Guys, good luck with this.
0:24:12 > 0:24:16I'm excited to see how it all turns out for you and you have done really well.
0:24:16 > 0:24:20- Congratulations.- Thank you.- Thanks, Andy. Anya, thank you.- Thank you.
0:24:20 > 0:24:23So, a new career for Andy and Anya.
0:24:23 > 0:24:26I'll be interested to see if they shift that bathroom.
0:24:26 > 0:24:28It could make all the difference.
0:24:28 > 0:24:33But you know what I reckon will help sell this place or get a tenant? That coffee machine!
0:24:33 > 0:24:37Will they grind out a profit or will it have been a nightmare?
0:24:37 > 0:24:41You can find out what happens later on in the show.
0:24:42 > 0:24:48'Coming up, in Swindon, there's a kitchen that needs a few changes and then, before you know it...'
0:24:48 > 0:24:51I'm talking myself into completely replacing the whole thing.
0:24:52 > 0:24:57'In Kilburn, how did Andy and Anya get on during the renovation?'
0:24:57 > 0:25:02When we've been together, we work well as a team. She'll probably totally disagree.
0:25:03 > 0:25:09'But first, in Devon, after a lengthy delay, has Bill solved his problems?'
0:25:09 > 0:25:12It's a big worry. "What's next?" is the question.
0:25:16 > 0:25:21'Back to Devon now, and the village of Lamerton on the edge of Dartmoor.
0:25:21 > 0:25:24'Earlier, we met Bill and his son Joe,
0:25:24 > 0:25:29'who bought this dilapidated former schoolhouse for £170,000.
0:25:29 > 0:25:32'The building was run-down and pretty much a shell,
0:25:32 > 0:25:37'but it would be the perfect canvas for an experienced developer to build a beautiful house.
0:25:37 > 0:25:42'Had Bill got the background to tackle this sort of renovation?'
0:25:42 > 0:25:45- Er, no, none at all. Nil.- Nil.- Nil.
0:25:45 > 0:25:49- It's a heck of a project for somebody with no experience. - I guess it is, yes,
0:25:49 > 0:25:53but dive in, why not?
0:25:53 > 0:25:58'Well, let's hope he puts on a pair of rose-tinted spectacles,
0:25:58 > 0:26:01'because a project this size could have many unseen problems.
0:26:01 > 0:26:06'With plans for a two-storey extension, Bill has a 50 grand budget
0:26:06 > 0:26:09'and an eight to ten month schedule to turn the house around.
0:26:11 > 0:26:16'Well, those were the plans, but it was another 19 months
0:26:16 > 0:26:21'till Bill called us back in. But it seems the wait has been worth it.
0:26:21 > 0:26:25'Outside, the work still seems to be going on. But inside...
0:26:28 > 0:26:34'The shell of the front room has been transformed into a wonderfully spacious living room.
0:26:35 > 0:26:41'At the back, the planned extension has now added a new dimension to the ground floor.
0:26:41 > 0:26:44'There's a large dining room and a beautiful kitchen.
0:26:44 > 0:26:49'It's almost unrecognisable. And there's a good reason for that.'
0:26:50 > 0:26:55From the original building, all that's probably left is the four walls and most of the roof.
0:26:55 > 0:26:58There isn't anything else that remains, really.
0:26:58 > 0:27:06From the ground floor slab that was taken up through to the exterior tiling, it's all been changed.
0:27:06 > 0:27:12'Well, not all. Bill's kept that wonderful staircase that led to the schoolhouse's first floor.
0:27:15 > 0:27:18'He's also retained the large main bedroom.
0:27:18 > 0:27:23'But by rejigging the walls, he's created a second larger double bedroom
0:27:23 > 0:27:26'and devoted the remaining space to a new loo.'
0:27:30 > 0:27:34The piece I'm in now was the original girls' school, the first floor.
0:27:34 > 0:27:37It just ends here where the stairway is
0:27:37 > 0:27:41and then the new extension has been built on here.
0:27:41 > 0:27:44'The extension above the kitchen now houses a small bedroom...
0:27:46 > 0:27:52'..office space and a new bathroom, complete with shower.
0:27:52 > 0:27:57'It's an impressive transformation, but with Bill originally planning an eight to ten month turnaround,
0:27:57 > 0:28:01'it took a year just to get planning permission for the extension.'
0:28:01 > 0:28:04The biggest obstacle seemed to be getting started,
0:28:04 > 0:28:09making sure that you had everything lined up, and that includes planning permission,
0:28:09 > 0:28:14and finding out that there was a problem with the foundations of the wall.
0:28:14 > 0:28:19That was, I guess, a big worry, because "What's next?" is the question about that.
0:28:19 > 0:28:23'13 months after buying the house, just as work was about to start,
0:28:23 > 0:28:26'they knocked down the old lean-tos,
0:28:26 > 0:28:29'which revealed the party wall had no foundations.
0:28:29 > 0:28:35'So digging for the new extension couldn't start until the wall had been rebuilt with new foundations.
0:28:35 > 0:28:37'Six months later, it's almost complete.'
0:28:37 > 0:28:41As far as the work's concerned, it's all been done by professionals.
0:28:41 > 0:28:47My son helped me clearing it out and making sure that it was ready for the work to start,
0:28:47 > 0:28:53but professional work throughout. They've done everything from the foundations to the paintwork.
0:28:53 > 0:28:59'There's a garage at the back, which is handy to have, and in general, this extension manages to continue
0:28:59 > 0:29:01'the charm of the old schoolhouse.
0:29:03 > 0:29:06'But what gives this house that extra-special appeal
0:29:06 > 0:29:13'is that the extension has now made the views across the garden and beyond part of the character.
0:29:18 > 0:29:22'And Bill has added his own personal touch at the front.'
0:29:24 > 0:29:29So, I had the dragon put above the front door here.
0:29:29 > 0:29:33I saw a dragon on the internet and I thought I'd quite like it.
0:29:33 > 0:29:36It's a nice Victorian touch to the building.
0:29:36 > 0:29:40I thought, on a rainy night, it would look spectacular with lightning above it.
0:29:40 > 0:29:44There was a suggestion we put LEDs in the eyes, but I don't think I'll do that.
0:29:44 > 0:29:46It's a finishing point for the building.
0:29:46 > 0:29:51'It's certainly eye-catching. While Bill is proud of his efforts here,
0:29:51 > 0:29:54'there is still something he's looking forward to.'
0:29:55 > 0:29:59I think the favourite part is, strange thing to say,
0:29:59 > 0:30:02is getting the final bill and knowing it's the final bill.
0:30:02 > 0:30:07I don't want to pay any more. That's it. Stop spending the money.
0:30:07 > 0:30:09# Maybe the last time
0:30:11 > 0:30:15'With only some finishing work left to be done, hopefully Bill will get his wish soon.
0:30:15 > 0:30:19'But, as an investment, will the house pay its way?
0:30:19 > 0:30:24'Remember, he bought it for £170,000 and with that unexpected 19-month turnaround,
0:30:24 > 0:30:27'his budget must have taken a hit.'
0:30:27 > 0:30:32I thought, at the time, it would be between £50,000 and £80,000 to get all the work done.
0:30:32 > 0:30:35It's actually an awful lot more than that. It's about £180,000, £190,000.
0:30:35 > 0:30:40Er, the big difference, I think, has been the fact that I've done it to my specification
0:30:40 > 0:30:43rather than doing it as a project to sell on.
0:30:43 > 0:30:47I've had everything done that I wanted to have done myself,
0:30:47 > 0:30:50as I do intend to live here.
0:30:53 > 0:30:56'That's good news. But Bill's overspend
0:30:56 > 0:30:59'could take his total outlay to £360,000.
0:30:59 > 0:31:02'So, has he got the best out of the house?
0:31:02 > 0:31:07'We asked two local property experts what they thought of Bill's renovation.'
0:31:09 > 0:31:12Jaw-dropping conversion job.
0:31:12 > 0:31:16Fantastic. Really one of the special ones.
0:31:16 > 0:31:20I think it's a lovely property. It's unique, it's characterful
0:31:20 > 0:31:23and it's set right in the heart of the village.
0:31:23 > 0:31:29The juxtaposition of the old and the new is world class.
0:31:29 > 0:31:35It's kind of seamless. You drift really nicely from one part to the other and back again.
0:31:35 > 0:31:38It really is a very special job he's done here.
0:31:38 > 0:31:44The layout of the property is very good. There are two bedrooms that are a bit on the small side,
0:31:44 > 0:31:47but the refurbishment is done very well.
0:31:47 > 0:31:52Lovely, well-fitted bathroom and it's just very nice all round, really.
0:31:52 > 0:31:56'Good, positive vibes there. But does it work as an investment?
0:31:56 > 0:32:01'Bill will be spending up to about £360,000 on the property.
0:32:01 > 0:32:04'So, how much could it achieve if he sold it?'
0:32:05 > 0:32:09The value of the house to somebody who wants to be in the sticks
0:32:09 > 0:32:12but able to get to a lot of places,
0:32:12 > 0:32:15the ceiling is probably about £300,000.
0:32:15 > 0:32:19I would put this property on the market at £285,000.
0:32:19 > 0:32:22That's pretty much as I expected, actually. Bang on.
0:32:22 > 0:32:28Next door, I know, sold for slightly less than that, but it is a smaller house.
0:32:28 > 0:32:31'At the moment, it may not be spectacular as an investment,
0:32:31 > 0:32:34'but by breathing new life into this former schoolhouse,
0:32:34 > 0:32:38'Bill isn't just investing in and building a new property,
0:32:38 > 0:32:40'but making a new start for himself.
0:32:40 > 0:32:44'And if it's half as good as this renovation, I'm sure it will be a great success.'
0:32:44 > 0:32:48I hope my life to be, I guess, different and fresh,
0:32:48 > 0:32:54and I want to explore the local area and take advantage of the beautiful countryside, especially Dartmoor.
0:33:03 > 0:33:08'I've come to Swindon in Wiltshire, which is on the M4 between Bristol and London.
0:33:08 > 0:33:12'Swindon has been named one of the 20 best places in Britain to buy property.
0:33:12 > 0:33:14'So let's see what's on offer.'
0:33:17 > 0:33:22I'm on the western edge of Swindon in an area called Greenmeadow.
0:33:22 > 0:33:27I'm here to see a three-bedroom semi. It had a guide price of £135,000.
0:33:27 > 0:33:29And you know what? It doesn't look too bad.
0:33:31 > 0:33:36'Already, things are looking up, with off-street parking and a garage.
0:33:36 > 0:33:41'Although the windows and roof look in pretty good shape, the house does seem a touch tired.'
0:33:43 > 0:33:48It does look a little bit like it needs a bit of love and attention from the outside.
0:33:48 > 0:33:53But, for a house this age, you're not going to expect too many major problems, I would say.
0:33:53 > 0:33:56Nice little porch area there, through into the living room.
0:33:56 > 0:33:59Not bad. I mean, I've definitely seen worse.
0:33:59 > 0:34:05Through to a little rear area here, like a dining room, and I love these big patio doors out onto the garden.
0:34:05 > 0:34:09It doesn't need that much at first glance.
0:34:09 > 0:34:12'The downstairs area seems to work fine as it is,
0:34:12 > 0:34:16'but whoever buys this will certainly need to clean the place up,
0:34:16 > 0:34:20'sort out the carpet situation and give it a good lick of paint.
0:34:20 > 0:34:23'Nothing too serious, though.'
0:34:23 > 0:34:26I mean, you could even get away with the kitchen.
0:34:26 > 0:34:30It would benefit from some money spending in here,
0:34:30 > 0:34:34but if you were going to rent the place out, then tidy it up,
0:34:34 > 0:34:40get a professional cleaner in here, do a bit of steam cleaning, maybe change the taps, the hobs,
0:34:40 > 0:34:46maybe... Oh, you know what? I'm talking myself into completely replacing the whole thing.
0:34:46 > 0:34:49It really depends what you plan to do with the place.
0:34:49 > 0:34:52# Don't you want me, baby?
0:34:53 > 0:34:57# Don't you want me, oh
0:34:57 > 0:35:02'For rental, it pays just to get the house up to a serviceable standard,
0:35:02 > 0:35:05'rather than waste money on unnecessary bells and whistles.
0:35:05 > 0:35:08'If I were buying the place to live in or sell on,
0:35:08 > 0:35:12'this kitchen would be ripped out and replaced with a shiny new one.
0:35:12 > 0:35:14'What about upstairs?'
0:35:16 > 0:35:21So, nice, wide staircase leading upstairs, then you come up here.
0:35:21 > 0:35:25Separate bathroom and loo. Age-old question, do you make it into one or not?
0:35:25 > 0:35:31I like keeping it separate, especially in a family house, which I think this would be perfect for.
0:35:31 > 0:35:33Three bedrooms, really good size one at the back,
0:35:33 > 0:35:40smaller box room there and then through to the third bedroom. It's got fairly old-fashioned
0:35:40 > 0:35:43but pretty good storage space.
0:35:43 > 0:35:46Again, it comes to, if you were going to rent this place out,
0:35:46 > 0:35:50I don't think I'd do a lot. I'd probably replace the carpets,
0:35:50 > 0:35:54do a bit of touching up here and there and then I think it's pretty much ready to go.
0:35:56 > 0:36:00'So, the layout is all pretty standard and so is the garden.
0:36:00 > 0:36:04'It's a good size and I reckon, with a bit of landscaping, a new patio
0:36:04 > 0:36:07'and a few trees, it could be a lovely spot.
0:36:10 > 0:36:14'All in all, this semi could make a pleasant little family home.
0:36:14 > 0:36:18'It would be perfect for someone who was a bit shy of DIY.
0:36:18 > 0:36:21'Let's hear what a local estate agent thinks of the place.'
0:36:25 > 0:36:30This particular property, generally, is not in bad condition.
0:36:30 > 0:36:34My views are that, downstairs, the layout is generally fine.
0:36:34 > 0:36:41Upstairs, the only thing that I would suggest would be to bring the loo and the bathroom into one
0:36:41 > 0:36:45to make one large bathroom to make the property far more saleable.
0:36:45 > 0:36:48'How much rent could this semi generate?'
0:36:48 > 0:36:53My opinions are, on a rental valuation, once the property has been renovated,
0:36:53 > 0:36:58it would be worth in the region of £600 per calendar month.
0:36:58 > 0:37:00'And if put up for sale?'
0:37:00 > 0:37:03Once the property has been renovated to a good standard,
0:37:03 > 0:37:07My estimate for resale value would be in the region of £165,000.
0:37:08 > 0:37:13Well, a nice little family home or a rental property here in Greenmeadow.
0:37:13 > 0:37:18So let's see who fancied pastures new when it went under the hammer.
0:37:21 > 0:37:24Lot number 17, three bedrooms.
0:37:24 > 0:37:26Needs a bit of updating, we know.
0:37:26 > 0:37:29Where are you going to start me for lot 17?
0:37:29 > 0:37:31135? No?
0:37:31 > 0:37:34130, then. We'll start at £130,000.
0:37:34 > 0:37:37We'll go in twos. At 130,000, selling lot 17.
0:37:37 > 0:37:41At 130. 132 may I say?
0:37:41 > 0:37:44At £132,000. 4 if you like. 134.
0:37:44 > 0:37:47136. 138 to you, sir.
0:37:47 > 0:37:52At £136,000. 138. 138. Now 40 if you will.
0:37:52 > 0:37:55The bid is over there on the right-hand side at £138,000.
0:37:55 > 0:37:59OK, I'll take 40 if you like. Or 39 if you'd rather.
0:37:59 > 0:38:02Otherwise, it's £138,000 for the first time.
0:38:02 > 0:38:06£138,000 for the second time.
0:38:06 > 0:38:09140, OK. 140. 2, sir, if you like.
0:38:09 > 0:38:12I'll take the hand at the back at £140,000.
0:38:12 > 0:38:152 anyone? Yes or no? I'll take 1 if you like.
0:38:15 > 0:38:19Otherwise, £140,000 at the back for the first time.
0:38:19 > 0:38:24140 for the second time. At 140,000, third and last time if you're done.
0:38:24 > 0:38:27And the number at the back, sir, is, which I can't see...
0:38:27 > 0:38:2976, OK. Thank you very much.
0:38:33 > 0:38:39'For £140,000, the new owner is local property developer David.
0:38:39 > 0:38:44'We've met David before on the programme, back in 2006.
0:38:44 > 0:38:49'Then he'd taken on a massive building project in the nearby town of Hook.
0:38:49 > 0:38:53'But when we last saw him, that project hadn't come to much.'
0:38:55 > 0:38:58David, congratulations. Well done. And good to meet you again.
0:38:58 > 0:39:02- And yourself.- Now, last time we met you was February 2006
0:39:02 > 0:39:09- and I think we were standing in some decrepit portakabiny wooden thing. - That's correct.
0:39:09 > 0:39:13- How did that all go? - It took its time, but we actually managed to get planning permission
0:39:13 > 0:39:16and sold the houses in February '08.
0:39:16 > 0:39:20- Right. Cos when we first came back to see you... - Not a lot else had happened.
0:39:20 > 0:39:23We didn't get the planning permission at that time, but eventually we got it
0:39:23 > 0:39:30- and managed to build the houses and sell them just before the big crash. - So a successful end.- Yeah.
0:39:30 > 0:39:34'In fact, after spending £500,000 on them,
0:39:34 > 0:39:37'David managed to sell the two four-bed houses
0:39:37 > 0:39:42'for over £700,000 in total. That left him with a healthy profit.
0:39:42 > 0:39:45'Not bad for someone who wasn't originally a property developer.'
0:39:45 > 0:39:48Remind me about your history, your past.
0:39:48 > 0:39:51I started out as an electronics engineer
0:39:51 > 0:39:57and then progressed to being an area manager in replacement windows and conservatories.
0:39:57 > 0:40:00I know that's a bit of a leap, but it worked,
0:40:00 > 0:40:06and that's where I got my background for being able to do properties, from conservatories, bay windows,
0:40:06 > 0:40:08and all the other building stuff.
0:40:08 > 0:40:11And when you're not doing property stuff, what do you do?
0:40:11 > 0:40:15I do a lot of internet betting. I say things are going to lose rather than win.
0:40:15 > 0:40:20- Oh?- Cos with horses, the favourites only win 30 percent of the time.
0:40:20 > 0:40:24- Right.- So I will say a horse is going to lose or a team is going to lose a football match
0:40:24 > 0:40:28- and then make money that way. - Right. Does that make much money?
0:40:28 > 0:40:31- Approximately about £500 a week. - Oh, OK! That's worth doing.
0:40:31 > 0:40:37- Not bad.- And is that a sideline? - Mostly, I do more of that than anything else.- Right.
0:40:37 > 0:40:42'So, that's very interesting. David's bread and butter comes from internet betting.
0:40:42 > 0:40:46'And it's the property developing he now does as a sideline.'
0:40:50 > 0:40:53It's very local to where I am. I'm five minutes away.
0:40:53 > 0:40:56The price was right, at the end of the day.
0:40:56 > 0:40:59The ceiling limit, realistically, was about £140,000 to buy it,
0:40:59 > 0:41:02cos you can only sell it for about 165.
0:41:02 > 0:41:08There's about £10,000 of work to be done on the property, so that leaves approximately £15,000 to be made.
0:41:08 > 0:41:13- Right. So is the idea, then, to buy it, do it up and sell it on?- Yes.
0:41:13 > 0:41:18- Not rent it out?- Possibly. It depends. If I can't sell it straight away, I will rent it, yeah.
0:41:18 > 0:41:23- What are you planning to do to it? - The ceilings upstairs need to be skimmed,
0:41:23 > 0:41:28because there's water damage from a leaking tank in the loft.
0:41:28 > 0:41:31New bathroom. Internal doors need to be replaced.
0:41:31 > 0:41:33Magnolia gloss and a new carpet.
0:41:33 > 0:41:38- What about the kitchen? - Erm, that's going to cost approximately £1,000 for the kitchen.
0:41:38 > 0:41:41It looked better when I first came in.
0:41:41 > 0:41:44Now, having a second look at it, it does need updating.
0:41:44 > 0:41:47I was hoping to get away with that, but I think it needs to be replaced.
0:41:47 > 0:41:53- And outside? - Erm, fencing. There isn't any boundary fences there at the moment.
0:41:53 > 0:41:55They need to be replaced.
0:41:55 > 0:42:01There is a problem outside with the toilet upstairs, where you've got the overflow,
0:42:01 > 0:42:06there was a plastic pipe that had been bodge-repaired, but now it's been taken away,
0:42:06 > 0:42:10so there's just a hole now, so that needs to be repaired.
0:42:10 > 0:42:12And both the garage doors need to be replaced.
0:42:12 > 0:42:15'So, a fair bit a work still to be done,
0:42:15 > 0:42:19'but thankfully, nothing structural or particularly expensive.
0:42:19 > 0:42:23'I reckon the house will look fabulous once completed.'
0:42:27 > 0:42:30- Who's going to do the work? - I will be doing most of the work,
0:42:30 > 0:42:34but the skimming of the ceilings and the carpets will be done by other people I know.
0:42:34 > 0:42:38- Any idea how long it's going to take?- Approximately eight weeks.
0:42:38 > 0:42:40So what after this one for you? What's next?
0:42:40 > 0:42:48Depending on what the auction brings, I can't tell whether it's going to be a brand new build or a refurbishment.
0:42:48 > 0:42:53But you don't seem to be too phased taking on anything. You can go the whole range of opportunities.
0:42:53 > 0:42:56- Yeah.- Good. We look forward to seeing how you get on.
0:42:56 > 0:42:59- Congratulations and good luck with it.- Thank you.
0:43:02 > 0:43:05Well, David certainly seems to know what he's doing with this place.
0:43:05 > 0:43:10But I'm a little bit concerned that he did pay the top end of his budget to buy it
0:43:10 > 0:43:12and I don't think there's that much money to be made.
0:43:12 > 0:43:17He's got to keep a real tight rein on what he spends sorting it out.
0:43:17 > 0:43:20Find out how he gets on later in the show.
0:43:23 > 0:43:28Well, time has past. Let's return to those properties and find out what's happened.
0:43:28 > 0:43:32- Will we recognise them? Will they look as good as new?- Let's hope so.
0:43:34 > 0:43:39'We return now to Kilburn in Northwest London where, earlier, we met Andy and his wife, Anya,
0:43:39 > 0:43:43'who bought this one-bedroom flat for £208,000.
0:43:43 > 0:43:47'They'd just moved into property developing after Andy was made redundant,
0:43:47 > 0:43:50'so felt this was a good project to start on.
0:43:50 > 0:43:55'They agreed on the big changes for this flat, but for Anya from Poland,
0:43:55 > 0:43:58'it looked like it was the little things that might prove a problem.'
0:43:58 > 0:44:03Some silly ideas, like putting in a coffee machine, building it into the kitchen.
0:44:03 > 0:44:08- I don't agree with that. - I think that's a great idea.
0:44:08 > 0:44:14'It's now three months later. Time to head back to see if Andy did get his coffee machine.
0:44:16 > 0:44:19'Step through the front door and immediately you'll find
0:44:19 > 0:44:24'that the living room has been refurbished and looks much fresher. There's a fantastic fireplace.
0:44:26 > 0:44:29'And that shabby kitchen is now cool and contemporary
0:44:29 > 0:44:32'with a much grander entrance to match the interior.'
0:44:36 > 0:44:39Originally, the door was here, and we were going to make it open-plan,
0:44:39 > 0:44:45but decided that not everyone liked open-plan, so we've got a nice big archway rather than a doorway
0:44:45 > 0:44:48and that adds light from the kitchen window into the lounge.
0:44:48 > 0:44:54Also, it makes the kitchen look slightly bigger. And I managed to get my coffee machine.
0:44:55 > 0:44:59'Elsewhere in the flat, a new bathroom suite has been installed.
0:45:01 > 0:45:06'And that back bedroom has been refurbished. So it looks like a straightforward renovation.'
0:45:06 > 0:45:08Everything was a challenge here.
0:45:08 > 0:45:15I mean, the building's quite tall so we were suspecting...
0:45:15 > 0:45:18I think the most problems we had in the bathroom.
0:45:18 > 0:45:24We were going to move the bathroom into the bedroom, but I couldn't get the plumbing underneath the floor.
0:45:24 > 0:45:28It was mainly the toilet waste, which would've been more of a problem than the sink waste.
0:45:28 > 0:45:34Also, the bathroom just wasn't big enough in the bedroom, so we left it where it was.
0:45:35 > 0:45:39'I reckon they've done a pretty good job. The couple did most of the work
0:45:39 > 0:45:45'but although Andy did the plumbing, they had tradesmen in to re-plaster and rewire.
0:45:45 > 0:45:50'Anya's main role was to oversee the design. And, with space in the flat at a premium,
0:45:50 > 0:45:54'the washing machine will eventually find its way into the cupboard in the hall.
0:45:54 > 0:45:59'But it seems there was an unexpected bonus when it came to storage space.'
0:45:59 > 0:46:04When we went for the fuse box, we came across that this cupboard was ours.
0:46:04 > 0:46:08The lady downstairs, who's lived here for a number of years, said the fuse box was in here.
0:46:08 > 0:46:13And when we opened the door, we realised that it's absolutely huge.
0:46:13 > 0:46:18It's got the high ceiling, as well, so the new owners can put loads of storage in there,
0:46:18 > 0:46:21put some racks, coats, whatever, and it's fabulous.
0:46:22 > 0:46:28'There's a good level of finish throughout and Anya's eye for design has certainly been useful here,
0:46:28 > 0:46:31'with this fireplace especially taking pride of place.
0:46:31 > 0:46:34'Originally, the couple had a timescale of eight weeks,
0:46:34 > 0:46:40'but ended up spending 11 weeks getting the flat in shape, working together.'
0:46:40 > 0:46:44Erm, it's been interesting. She can dodge things when I've been throwing them
0:46:44 > 0:46:48because I've thrown my toys out of the pram. No, it's been really good working with her.
0:46:48 > 0:46:52We haven't always been together working, so we've had the break.
0:46:52 > 0:46:56But when we've been together, we work well as a team. She'll probably totally disagree.
0:46:56 > 0:47:01We're actually doing really well together. In the flat, he's doing one thing, I'm doing another,
0:47:01 > 0:47:06so we're not really in the way much. Sometimes, yeah, I do help him with other stuff.
0:47:06 > 0:47:08So we're doing really well.
0:47:08 > 0:47:12'Even if Andy did get his coffee-making machine.
0:47:12 > 0:47:18'For their first venture into property developing, they've got a good product in a sought-after area.
0:47:18 > 0:47:22'But, with plans to sell, is it going to work as an investment?
0:47:22 > 0:47:29'They bought it for £208,000, so how much has the budget added to their spend?'
0:47:29 > 0:47:34The original budget was £25,000 on top of the purchase price, which was 208,
0:47:34 > 0:47:39which would've brought us to 233, and I think we've come in at £229,500.
0:47:41 > 0:47:45'I love it when people do the job for less than they budgeted.
0:47:45 > 0:47:50'But will the outlay of just under £230,000 prove a good investment?
0:47:50 > 0:47:55'We asked along two local estate agents to find out what they thought of the flat.'
0:47:55 > 0:47:59First impressions, it's been restored to a pretty good standard.
0:47:59 > 0:48:04An exceptional kitchen and bathroom which appeals to this price range.
0:48:04 > 0:48:07The first impressions of the flat, it's a nice, clean conversion.
0:48:07 > 0:48:11He kept it plain and simple and used reasonably good quality fitments.
0:48:11 > 0:48:16I most like about the flat how bright it is and the high ceilings.
0:48:16 > 0:48:19Positives - fabulous sash windows,
0:48:19 > 0:48:21beautifully restored kitchen and bathroom.
0:48:21 > 0:48:24The position is also a fantastic asset for the flat.
0:48:24 > 0:48:28It's very close to the Tube and lots of vibrant shopping parades nearby.
0:48:28 > 0:48:31'So how well has Andy and Anya's investment done?
0:48:31 > 0:48:35'Remember, they spent just under 230 grand.
0:48:35 > 0:48:38'So how much could the flat fetch if sold on?'
0:48:38 > 0:48:45I would ideally like to see this come on the market at the stamp duty threshold of £250,000,
0:48:45 > 0:48:48because there I know there is an existing market.
0:48:48 > 0:48:54But, if the owner was in no particular hurry, you could test the market at £270,000.
0:48:54 > 0:49:00I think, if this flat was to come on the market, it would be in and around £270,000.
0:49:00 > 0:49:05Oh, right. OK. That's more than we were thinking. A lot more than we were thinking.
0:49:05 > 0:49:11'That would mean a possible pre-tax profit of between £20,000 and just over £40,000.
0:49:11 > 0:49:14'What could a rental return achieve?'
0:49:14 > 0:49:20I would say that we would rent this flat out in the region of £1,000 per calendar month.
0:49:20 > 0:49:23I think you'd get £1,250 per calendar month for the flat.
0:49:23 > 0:49:26- That was about the figures we were thinking of.- Yeah.
0:49:26 > 0:49:31We were thinking between £250 and £300 a week, which would be around those figures.
0:49:32 > 0:49:37'A potential rental return of £1,250 per calendar month
0:49:37 > 0:49:40'could give the couple a yield of 6.5 percent.
0:49:40 > 0:49:44'So this flat should prove a winner, whatever they decide to do.
0:49:44 > 0:49:50'I wouldn't be surprised to see Andy and Anya follow up their success with another visit to an auction.'
0:49:50 > 0:49:53Yes, definitely. It's a lot easier to buy from an auction.
0:49:53 > 0:49:58And it's quicker, as well. You don't have the hassle of the estate agents pushing you for more money,
0:49:58 > 0:50:02and also, when the hammer goes down, it's yours.
0:50:06 > 0:50:10'Back in Swindon, experienced property developer David
0:50:10 > 0:50:14'snapped up this three-bed semi for £140,000.
0:50:14 > 0:50:17'It really needed just a good makeover so, for David,
0:50:17 > 0:50:22'who'd appeared on the show before when he bought an old bungalow on some scrub land
0:50:22 > 0:50:26'and put two new builds on it, this house was never going to be a difficult project.
0:50:28 > 0:50:34'So, three months later, had this been as straightforward as it appeared?
0:50:36 > 0:50:40'Well, the outside's been tidied up. There's a new garage door
0:50:40 > 0:50:44'and it's now got a proper side gate into the garden.
0:50:45 > 0:50:48'While inside...
0:50:50 > 0:50:56'..it's clean and refurbished, exactly as you might expect of someone with David's experience.'
0:51:05 > 0:51:08As you can see, we've completely refurbished the kitchen.
0:51:08 > 0:51:14We've skimmed the walls, the ceilings, done the new cooker, and I think it looks 100 percent better.
0:51:18 > 0:51:22'So, with the kitchen revamped, what about upstairs?
0:51:29 > 0:51:32'Once again, David has maximised what was here already,
0:51:32 > 0:51:37'keeping the perfectly serviceable bathroom suite and redecorating all the rooms.
0:51:43 > 0:51:47'And with newly fitted neutral carpets throughout,
0:51:47 > 0:51:50'he's made the house look as good as new.
0:51:52 > 0:51:57'And he's followed the same practical approach in the garden.'
0:51:58 > 0:52:02As you can see, we've refurbished the whole of the patio area,
0:52:02 > 0:52:06put a new patio down, put mulch all down the garden
0:52:06 > 0:52:10and put a step along here, which I think is very attractive.
0:52:10 > 0:52:14It makes the garden look a lot tidier, a lot neater, and it's south-facing for the sunshine.
0:52:16 > 0:52:19'This is the perfect property developer's garden.
0:52:19 > 0:52:22'It's neat and tidy and shows off the space well.
0:52:22 > 0:52:26'It offers a completely blank canvas for any new owner
0:52:26 > 0:52:29'and it finishes off the three-bed house perfectly.'
0:52:29 > 0:52:31I was on site nearly every day
0:52:31 > 0:52:35and the work that I personally couldn't do, I couldn't skim the ceilings,
0:52:35 > 0:52:40cutting of worktops and units, fitting of patio areas,
0:52:40 > 0:52:43I didn't do those parts, but everything else I did myself.
0:52:43 > 0:52:47'But the key to any successful property development isn't just the work you do,
0:52:47 > 0:52:50'it's also knowing what not to do.'
0:52:53 > 0:52:57We didn't actually replace the boiler for a new combi-boiler due to the cost.
0:52:57 > 0:53:02This is a project where you're supposed to earn some money. The bath and the sink are fine.
0:53:02 > 0:53:05There's nothing wrong with those. Just needed a spruce up.
0:53:05 > 0:53:10There is a limit of how much money you can spend on a property to earn profit at the end of the day.
0:53:10 > 0:53:14# See us fade away, it's all about the money
0:53:14 > 0:53:20'Exactly. You can do the best job in the world, but overspend and you wave goodbye to any profit.'
0:53:22 > 0:53:26Our budget was originally £10,000, but because of the overrun,
0:53:26 > 0:53:30we've spent approximately £11,500.
0:53:30 > 0:53:34'Add that to David's purchase price of £140,000
0:53:34 > 0:53:39'and that could take the total spend just to over £151,000.
0:53:39 > 0:53:42'So he may have slightly overspent on his budget,
0:53:42 > 0:53:45'but he hopes the returns will make it all worthwhile.
0:53:50 > 0:53:54'After staking over £151,000 in total,
0:53:54 > 0:53:59'has this professional gambler chosen a safe bet with this three-bed house?
0:53:59 > 0:54:01'What do two local estate agents think?'
0:54:09 > 0:54:13It's beautifully presented, as you would expect for a refurbishment.
0:54:13 > 0:54:16Nice fitted kitchen. Bathroom's very tidy, as well.
0:54:16 > 0:54:24Usual magnolia from a refurbishment, which is a great blank canvas for somebody, so very nicely done.
0:54:24 > 0:54:29The owner has improved the property and generally modernised it.
0:54:29 > 0:54:32He's kept the property neutral and that will suit all types of buyer.
0:54:32 > 0:54:36'Ideally, David would sell the house if he could get the right price.
0:54:36 > 0:54:39'Otherwise, he'd be happy to rent it out.'
0:54:41 > 0:54:44Generally, three-bed properties are very easy to rent.
0:54:44 > 0:54:49I would expect he would get somewhere around £650 a month.
0:54:49 > 0:54:54This would certainly make a fantastic buy-to-let investment
0:54:54 > 0:55:00and, per calendar month, we would expect to achieve something in the region of £650.
0:55:00 > 0:55:04On the rental side of things, I've already been offered £700 a month for this property.
0:55:04 > 0:55:06I know the estate agents say about £650,
0:55:06 > 0:55:09but at the moment, mortgages are harder to come by,
0:55:09 > 0:55:14so property rentals are just that little bit extra and people are paying a bit more.
0:55:14 > 0:55:16'That's not a bad rental return.
0:55:16 > 0:55:20'But will David's £151,000 investment pay off?'
0:55:22 > 0:55:26I would market this property at about £170,000
0:55:26 > 0:55:31and I would expect to achieve something around £160,000 to £165,000.
0:55:31 > 0:55:38In my opinion, for sale, I would estimate a price in the region of £165,000.
0:55:38 > 0:55:44As far as resale values are concerned, I'm going to try and sell it for the first couple of months
0:55:44 > 0:55:49and I'm going to try for 175, 180. If someone buys it, all well and good. If they don't, I'll rent it.
0:55:49 > 0:55:55'So, whichever way you look at it, whether he rents or sells, there will be a decent return.
0:55:55 > 0:55:58'So he must be glad he took this one on.'
0:56:00 > 0:56:04Yeah, I'm pleased we bought this. I think it'll be a worthwhile investment
0:56:04 > 0:56:06either for selling or for renting.
0:56:06 > 0:56:09And I look forward to doing the next one.
0:56:15 > 0:56:19'Since filming, although David did have interest from potential tenants,
0:56:19 > 0:56:25'he's decided to put the house straight onto the market for £179,950.
0:56:25 > 0:56:28'That's because he would now like to move onto a new project.
0:56:28 > 0:56:34'I, for one, wouldn't be at all surprised if he makes another success of whatever he buys next.'
0:56:38 > 0:56:43We'll be back next time to whet your appetite with more auction properties.
0:56:43 > 0:56:48- We hope we've inspired you on Homes Under The Hammer. - See you then.- Goodbye.- Goodbye.
0:56:50 > 0:56:54Subtitles by Red Bee Media Ltd
0:56:54 > 0:56:58E-mail subtitling@bbc.co.uk