0:00:02 > 0:00:04- Hello and welcome. - They say every house tells a story
0:00:04 > 0:00:08and over the years, Lucy and I have certainly found that to be true.
0:00:08 > 0:00:11Oh, yes, there are always tales to tell and secrets to uncover
0:00:11 > 0:00:14when you buy your home under the hammer.
0:00:39 > 0:00:43At auctions, properties are bought on a buyer-beware basis
0:00:43 > 0:00:46so it's up to you to make sure you do all your homework.
0:00:46 > 0:00:50Or you could be in for some nasty surprises.
0:00:50 > 0:00:54So, how did our buyers get on today? Were they lucky or not?
0:00:55 > 0:00:58'Maybe this cottage in Devon belongs on Little Britain.'
0:00:59 > 0:01:04Well, I'm six foot and these ceilings certainly aren't.
0:01:05 > 0:01:11'In Croydon, it's not just the wall colours that need changing in this end-of-terrace.'
0:01:11 > 0:01:14Brown door, brown door, brown door, brown door. They are everywhere!
0:01:15 > 0:01:20'And this derelict property in Leeds takes open-plan living to new extremes.'
0:01:20 > 0:01:25Not a project for the faint-hearted, this one, but I think there's money to be made here.
0:01:27 > 0:01:31'All of these properties went to auction and we'll find out who bought them
0:01:31 > 0:01:35'and what they made when they went under the hammer.'
0:01:46 > 0:01:50I'm in East Devon in the charming named Newton Poppleford.
0:01:50 > 0:01:55The name actually means "new town over a pebbly ford"
0:01:55 > 0:01:58because the local name for pebbles is a popple,
0:01:58 > 0:02:02and you'll find lots of popple-stone walls all around here.
0:02:02 > 0:02:07It's time I pop-pled off to look at the property.
0:02:07 > 0:02:11'You'll find Newton Poppleford between Exeter and Sidmouth
0:02:11 > 0:02:16'in an area of East Devon designated as of outstanding natural beauty,
0:02:16 > 0:02:18'which it certainly is.'
0:02:18 > 0:02:23Well, thankfully, the property I'm here to see is befitting of the surroundings.
0:02:23 > 0:02:26Grade II listed, three-bedroom character cottage.
0:02:26 > 0:02:29It had a guide price of 130,000 quid. This is it.
0:02:29 > 0:02:33Well, looks a bit tired on the outside.
0:02:33 > 0:02:36Got to see inside, though, haven't we?
0:02:36 > 0:02:40'It's in this row of terraced cottages and lets the side down a bit.
0:02:40 > 0:02:44'The rendering's dropping off, the windows need replacing
0:02:44 > 0:02:46'and the porch gets zero points for character.
0:02:46 > 0:02:50'But it is the end of the terrace with its own barn next door.'
0:02:55 > 0:02:59Whoa! I'm just looking at the thickness of these walls.
0:02:59 > 0:03:03They must be about three feet thick or so.
0:03:03 > 0:03:08So my guess is that this is cob construction.
0:03:08 > 0:03:13Cob was basically all the old bits of building materials, bits of straw,
0:03:13 > 0:03:17bits of donkey poo, all sorts of things. Very good, strong construction
0:03:17 > 0:03:20as long as it's kept dry.
0:03:20 > 0:03:25Erm, and when it's not, then it does cause all sorts of problems.
0:03:25 > 0:03:30The other thing is, it's a specialist thing to sort it out so that could be very expensive.
0:03:30 > 0:03:34But straight into the front room and oh, my goodness.
0:03:34 > 0:03:36It's a cottage so you expect low ceilings
0:03:36 > 0:03:39but this is incredible.
0:03:39 > 0:03:43I'm six foot and these ceilings certainly aren't.
0:03:43 > 0:03:49# Hey, y'all, I'm still standing tall
0:03:49 > 0:03:51# Whoo
0:03:51 > 0:03:56'Aside from the height issues, this cottage has plenty of original features
0:03:56 > 0:04:00'like the fireplace, windows and timbers,
0:04:00 > 0:04:04'plus the original bread oven in the corner of the living room.
0:04:04 > 0:04:09'The character and the challenges continue in the dining room,
0:04:09 > 0:04:15'although I'm afraid this once cosy kitchen is now hidden under tiles and wood cladding.
0:04:17 > 0:04:21'At least the stove is in keeping. But there is a great surprise off the kitchen.
0:04:21 > 0:04:27'The space in this undeveloped barn could be converted into a fabulous living space.
0:04:27 > 0:04:32'It's full of potential with bags of rustic charm and quirkiness.'
0:04:37 > 0:04:42One of the things I love most about old houses like this are the staircases.
0:04:42 > 0:04:47More often than not, they seem like they've been bolted on over the years and this is no exception.
0:04:47 > 0:04:51Look how fantastically higgledy-piggledy it is.
0:04:51 > 0:04:54It starts there, goes up, there's a return there, another one here
0:04:54 > 0:04:58and then you've got the bedrooms and the loo going off.
0:05:02 > 0:05:09'It would be great to see the two bedrooms upstairs restored to their classic cottage style.
0:05:09 > 0:05:13'But the larger third bedroom above the barn is a more intriguing space
0:05:13 > 0:05:16'which could make a wonderful master bedroom.'
0:05:18 > 0:05:23Like many older properties, this one has been added to over the years
0:05:23 > 0:05:26and one of the more recent additions is fairly obnoxious.
0:05:26 > 0:05:31It's this lean-to and my guess is that it's not even what you'd class as standard construction.
0:05:31 > 0:05:37At a wild stab in the dark, I'd say that was just a wooden frame
0:05:37 > 0:05:39which has got plasterboard over the top of it.
0:05:39 > 0:05:44You'd think that you could just knock this down and build something a bit more suitable.
0:05:44 > 0:05:49However, this place is Grade II listed, so horrible though this is,
0:05:49 > 0:05:53you've got to get the approval of the listed buildings people before you knock it down.
0:05:54 > 0:05:59'If you did get the approval, the challenge here would be to restore the cottage
0:05:59 > 0:06:03'and bring out all the character features inside and out.'
0:06:05 > 0:06:08So it's all looking fantastic, if a little bit quirky.
0:06:08 > 0:06:14However, there is one major, major negative point to this whole property
0:06:14 > 0:06:19and it comes from this brook which trickles innocently at the bottom of the garden.
0:06:19 > 0:06:22Unfortunately, around once every ten years,
0:06:22 > 0:06:26this brook turns into a raging torrent,
0:06:26 > 0:06:29causing the whole of this area to flood.
0:06:29 > 0:06:32That includes this property which, in the past,
0:06:32 > 0:06:37has had water up to the height of the ceiling in the lounge.
0:06:37 > 0:06:41That's not good, especially when it comes to trying to get insurance.
0:06:41 > 0:06:44# Although no-one understood
0:06:44 > 0:06:46# We were holding back the flood
0:06:46 > 0:06:50# Learning how to dance the rain
0:06:50 > 0:06:54'Time to see what a local expert from the auction house
0:06:54 > 0:06:57'that sold the cottage thinks of this period property.'
0:06:59 > 0:07:03I like this property cos it is quite unusual to come back to quite a dated cottage.
0:07:03 > 0:07:06There's not many of these around at the moment
0:07:06 > 0:07:09and when you come in, you realise there's great potential
0:07:09 > 0:07:12to create what would be a stunning family home.
0:07:12 > 0:07:17'What about the risk of flooding from the brook at the back?
0:07:17 > 0:07:21You might look at making the floors more water-friendly
0:07:21 > 0:07:25if it ever did flood again, ie, flagstones or ceramic tiling, that sort of thing.
0:07:25 > 0:07:30'The cottage went to auction guided at £130,000.
0:07:30 > 0:07:33'So how much could it be worth after a total refurbishment
0:07:33 > 0:07:37'that took account of the threat from the brook?'
0:07:37 > 0:07:40Once the property is renovated and more flood-friendly,
0:07:40 > 0:07:43I think you could achieve somewhere in the region of £275,000.
0:07:47 > 0:07:51Well, you either love this kind of character property or you don't.
0:07:51 > 0:07:55One thing's for sure - whoever takes it on needs to go in with their eyes open
0:07:55 > 0:07:58because houses like this throw up all sorts of issues
0:07:58 > 0:08:03and then you've got the added complication of that potential flooding.
0:08:03 > 0:08:07Still, I don't think that's going to matter a jot to whoever bought it.
0:08:07 > 0:08:12They're just going to have fallen in love with it. Let's find out who it was when it went to the auction.
0:08:12 > 0:08:18Newton Poppleford, a semi-detached, three-story character cottage
0:08:18 > 0:08:21needed refurb and modernisation.
0:08:21 > 0:08:24Who's going to say the guide price, 130 in?
0:08:24 > 0:08:27130,000.
0:08:27 > 0:08:31120, then. 120 we've got. 120.
0:08:31 > 0:08:34At 120. 5 he says. 125.
0:08:34 > 0:08:37130. 35.
0:08:37 > 0:08:406. 37. 8.
0:08:40 > 0:08:42139. 139.
0:08:42 > 0:08:45139 and a half.
0:08:45 > 0:08:48140. 140 and a half.
0:08:48 > 0:08:52141. 141 and a half.
0:08:52 > 0:08:55142. 142 and a half.
0:08:55 > 0:08:57143. And a half.
0:08:57 > 0:08:59And 44.
0:08:59 > 0:09:02144 and a half. 145.
0:09:02 > 0:09:0445 and a half.
0:09:04 > 0:09:0646.
0:09:06 > 0:09:0846 and a half.
0:09:08 > 0:09:1047. And a half.
0:09:10 > 0:09:1348. And a half.
0:09:13 > 0:09:1548 and a half. 149.
0:09:15 > 0:09:19And a half. 49 and a half. 49 and a half.
0:09:19 > 0:09:22150. 150 and a half.
0:09:22 > 0:09:24151.
0:09:24 > 0:09:26151 and a half.
0:09:26 > 0:09:29152. And a half.
0:09:29 > 0:09:33153. And a half. 153 and a half.
0:09:33 > 0:09:35154.
0:09:35 > 0:09:39154 and a half. 155. And a half.
0:09:39 > 0:09:42155 and a half. Front row has it.
0:09:42 > 0:09:44At 155 and a half.
0:09:44 > 0:09:48156. 156 once.
0:09:49 > 0:09:53156 twice.
0:09:53 > 0:09:57At 156, if we're sure and done, last chance, here it goes.
0:09:57 > 0:10:01- At 156. - HAMMER BANGS
0:10:01 > 0:10:07'That final bid of £156,000 was made by John who already lives in the village.
0:10:07 > 0:10:12'He's a teacher and also used to run a property maintenance company.
0:10:12 > 0:10:15'He has renovated some of his previous homes in the past
0:10:15 > 0:10:18'so that experience should come in handy here.
0:10:20 > 0:10:24'I met up with him at the cottage to hear about his plans for it.'
0:10:24 > 0:10:28John, lovely to meet you. Tell me why you wanted to buy this place.
0:10:28 > 0:10:33I think it's just such fantastic value for money. It's a beautiful property, fantastic garden,
0:10:33 > 0:10:37decent size rooms, ticked all the boxes, really.
0:10:37 > 0:10:41What do you know about the property? Have you seen it in your travels?
0:10:41 > 0:10:45- I actually bought it three months ago.- What?
0:10:45 > 0:10:51- And I was gazumped on it.- No!- With a week to exchange, someone came up with a banker's draft and bought it.
0:10:51 > 0:10:54She then pulled out because she found out that it flooded
0:10:54 > 0:10:57and I went to auction and bought it, as you saw.
0:10:57 > 0:11:01So with the normal purchase through private treaty thing?
0:11:01 > 0:11:06- That's right. It was coming up for auction and I put in an offer beforehand.- At what level?
0:11:06 > 0:11:09- It was 143,000.- 143.
0:11:09 > 0:11:13- Yeah.- So you had to pay a bit more.
0:11:13 > 0:11:17Quite a lot more, yes, which has put a significant hole in my budget for doing it up.
0:11:17 > 0:11:22So, then, the flooding. It was enough to put somebody else off. Why didn't it put you off?
0:11:22 > 0:11:26I'm just going to be pragmatic about it.
0:11:26 > 0:11:30I think the property represented such good value,
0:11:30 > 0:11:32there had to be a downside to it.
0:11:32 > 0:11:35And it's flooded six times in the last 60 years,
0:11:35 > 0:11:37once every ten years,
0:11:37 > 0:11:40I think I can put up with it flooding once every ten years.
0:11:40 > 0:11:45# The tide is high but I'm holding on
0:11:45 > 0:11:49# I'm going to be your number one
0:11:49 > 0:11:52'You've got to admire John's pragmatic attitude.
0:11:52 > 0:11:57'He's clearly fallen in love with the place and is prepared to risk the rising waters returning.
0:11:57 > 0:12:01'But he had to pay £156,000 at auction,
0:12:01 > 0:12:06'£13,000 more than he'd offered three months before when he was gazumped.'
0:12:07 > 0:12:11So what are you going to do with it? Cos it's a bit of a labyrinth.
0:12:11 > 0:12:15Yeah. That's one of the appeals for me. I really like it like that.
0:12:15 > 0:12:20So I'm not going to mess around too much with the layout of the building.
0:12:20 > 0:12:24It needs replumbing, rewiring, all the windows need replacing,
0:12:24 > 0:12:30- it needs a new kitchen, new bathroom. Enough to keep me busy for a couple of weeks.- What's your budget?
0:12:30 > 0:12:36- £20,000.- Right.- It's not going to stretch very far.- Hm. How are you going to split that up?
0:12:36 > 0:12:41I'm going to have to go budget with everything. So budget kitchen, budget bathroom.
0:12:41 > 0:12:46- All the windows need replacing and I think I'll have to build those myself.- Build the windows?
0:12:46 > 0:12:50- I've not done it before but it can't be rocket science. - Are you good at carpentry?
0:12:50 > 0:12:54Not too bad. I ran a business doing property maintenance for five years
0:12:54 > 0:12:58- so I'm pretty handy.- What do you do when you're not doing this?
0:12:58 > 0:13:02- I'm a teacher.- Oh, great, what kind? - Primary school.- OK. Locally?
0:13:02 > 0:13:06- I'm a supply teacher, so I teach here, there and everywhere.- OK.
0:13:06 > 0:13:08So is it for you and your family or...?
0:13:08 > 0:13:12- For me and my two boys, yeah. - Oh, great. How old are they? - Six and seven.
0:13:12 > 0:13:15'Wow, what a great adventure for his two boys.
0:13:15 > 0:13:20'An old cottage with a barn, large garden and a stream.'
0:13:20 > 0:13:24Let's talk about timescales. How long is it going to take?
0:13:24 > 0:13:28It really depends on money, because in supply teaching, you're not guaranteed an income.
0:13:28 > 0:13:36- So as and when the money comes in, I'll do a bit more to the house. - Congratulations.- Thanks very much.
0:13:36 > 0:13:41- Good luck.- Cheers.- And I look forward to seeing how you get on. - Excellent. Thank you.
0:13:41 > 0:13:44# Although no-one understood
0:13:44 > 0:13:46# We were holding back the flood
0:13:46 > 0:13:50# Learning how to dance the rain
0:13:51 > 0:13:55This place needed somebody who fell in love with it and had a bit of a sense of humour
0:13:55 > 0:13:59and thankfully John fulfils both of those criteria.
0:13:59 > 0:14:03Find out how he gets on restoring this gorgeous property later in the show.
0:14:06 > 0:14:12'I'm in Croydon, Surrey, which is just a 20-minute train journey from Central London.
0:14:12 > 0:14:16'Croydon's the hometown of supermodel Kate Moss.
0:14:16 > 0:14:20'So will today's lot be a stunner or a catwalk catastrophe?'
0:14:20 > 0:14:24So I'm just over a mile from the nearest train station, which is Norwood Junction,
0:14:24 > 0:14:29and I'm here to see this two-bedroom end-of-terrace that was built in the early 90s.
0:14:29 > 0:14:32It may not be the prettiest property,
0:14:32 > 0:14:35it is a bit boxy and plain on the outside,
0:14:35 > 0:14:38but I think it could stack up financially.
0:14:38 > 0:14:42After all, it did have a guide price at auction of £125,000.
0:14:42 > 0:14:46I know similar properties around here have sold for a lot more than that.
0:14:46 > 0:14:49I'm going to have a little nose around inside.
0:14:50 > 0:14:54'This ex-Housing Association property was described in the auction catalogue
0:14:54 > 0:14:56'as "requiring modernisation".
0:14:56 > 0:15:01'Well, at least it's already got modern UPVC double glazing
0:15:01 > 0:15:04'and I do like the cul-de-sac location.'
0:15:04 > 0:15:07Ooh, this is exactly what I was expecting on the inside.
0:15:07 > 0:15:12Lots of brown. I don't think that kitchen has been changed since the 90s.
0:15:12 > 0:15:18It's probably original. But look at these doors. Typical for somewhere like this.
0:15:18 > 0:15:22Quite a boxy house. Cappuccino-coloured walls.
0:15:22 > 0:15:25The downside for me is it's rather dark.
0:15:25 > 0:15:28I would love to bring more light in here.
0:15:28 > 0:15:32One way of doing that, get rid of this old serving hatch, terribly old-fashioned.
0:15:32 > 0:15:38You could knock this wall down, then you'd have all the light from the front flooding through here.
0:15:38 > 0:15:43But that would mean there's only one room in the whole of the downstairs.
0:15:43 > 0:15:48You'd walk in through the front door and straight away be in the kitchen, in the lounge.
0:15:48 > 0:15:52So I think you've really got to think about who's going to be living here
0:15:52 > 0:15:55and how that person wants to live.
0:15:56 > 0:16:00'Overall, this place isn't in too bad shape.
0:16:00 > 0:16:04'But as it has not really changed since it was built in the early 90s,
0:16:04 > 0:16:06'it feels in need of updating.'
0:16:06 > 0:16:10# We're tired of the 90s
0:16:10 > 0:16:12# We're tired of the 90s
0:16:12 > 0:16:17Well, you've got a really good size garden out here, which is nice to see,
0:16:17 > 0:16:20but I am concerned about this uneven patio.
0:16:20 > 0:16:23It looks like there's been some movement here
0:16:23 > 0:16:28and I think the culprit is, well, it's pretty obvious, these poplar trees. Whoo!
0:16:28 > 0:16:31They are so big and look how close they are to the house.
0:16:31 > 0:16:35Tree roots can do all sorts of damage to foundations.
0:16:35 > 0:16:38Even though this house appears to have no cracks,
0:16:38 > 0:16:40I would still get a surveyor in to check it out
0:16:40 > 0:16:44and I would certainly talk to the neighbours about cutting those bad boys down.
0:16:45 > 0:16:52'The usual recommendation is that poplar trees should be planted at least 20 metres from a building,
0:16:52 > 0:16:55'not two metres as they are here.'
0:16:55 > 0:16:57# Tall tree
0:16:59 > 0:17:04'I just hope the foundations of this house haven't been weakened.
0:17:06 > 0:17:12'Upstairs in this two-bedroom house, that went to auction guided at £125,000,
0:17:12 > 0:17:16'the second bedroom overlooks that rear garden.
0:17:16 > 0:17:20'It's a good size double with useful storage space.'
0:17:20 > 0:17:23It is actually bigger than you think upstairs. But look!
0:17:23 > 0:17:28Brown door, brown door, brown door, brown door. They are everywhere! They've got to go!
0:17:28 > 0:17:35But in here, interestingly, you've got a small bathroom and quite a big upstairs loo.
0:17:35 > 0:17:38Now, even though I wouldn't knock through downstairs,
0:17:38 > 0:17:42I would definitely knock these through into one big family bathroom.
0:17:42 > 0:17:46I think you'd have much more space and it would look so much better.
0:17:46 > 0:17:50This is the second bedroom. You can see it needs decorating.
0:17:50 > 0:17:54A lot of work needs to be done up here. But it depends what camp you're in.
0:17:54 > 0:17:57Man U, Chelsea.
0:17:57 > 0:18:00I think I'm going to stay here in this camp. Come on the blues!
0:18:02 > 0:18:05'Well, I'm not sure this is a Premiership property.
0:18:07 > 0:18:10'I think it's in a league of its own.'
0:18:10 > 0:18:12# Blue is the colour
0:18:12 > 0:18:17'The goal for any investor would be to try and turn the place around.'
0:18:17 > 0:18:20# And winning is our aim
0:18:20 > 0:18:23'What does a local estate agent think of this end-of-terrace
0:18:23 > 0:18:25'and what refurbishment would he recommend
0:18:25 > 0:18:29'if this house is to score on the open market?'
0:18:29 > 0:18:31Decoratively, these are easy to work on
0:18:31 > 0:18:34because it's not that old as a house, really.
0:18:34 > 0:18:39Redec, repaint, fill in all the holes where pictures have been up.
0:18:39 > 0:18:42It's got the original kitchen from when it was built.
0:18:42 > 0:18:45I would recommend that it not be knocked through because of cooking smells.
0:18:45 > 0:18:50They seem to travel everywhere. A lot of people that rent don't like open-plan.
0:18:50 > 0:18:54'At least with a hatch, you can shut the door on smells.
0:18:54 > 0:18:57'What about the bathroom? Is it worth knocking into one with the loo?
0:18:57 > 0:19:02You've got space up in the bathroom to create a nice, really big bathroom.
0:19:02 > 0:19:06If it's going to be rented, however, I'd leave it as it is,
0:19:06 > 0:19:08separate toilet, separate bathroom.
0:19:08 > 0:19:12There's no point wasting the money when you're going to rent the property out.
0:19:12 > 0:19:18With regards to the amount that you could get per calendar month, you'd get approximately £850 to £900.
0:19:18 > 0:19:24'The property went to auction at a guide price of £125,000.
0:19:24 > 0:19:28'So what about the potential resale value once it's done up?'
0:19:28 > 0:19:34This property would sell for approximately £180,000.
0:19:34 > 0:19:38You'd get offers ranging from 170 to 180 quite easily, I think.
0:19:40 > 0:19:42Get this end-of-terrace for the right price
0:19:42 > 0:19:46and this plain-Jane property, well, it could make you a pretty packet.
0:19:46 > 0:19:48I think it just needs a bit of a makeover.
0:19:48 > 0:19:52So who bid and bought this one? Let's head to auction and find out.
0:19:52 > 0:19:56We move on to lot 39.
0:19:56 > 0:20:00A two-bed end-of-terrace house. We've got a realistic reserve on it.
0:20:00 > 0:20:03I'm not going to go below 100.
0:20:03 > 0:20:06100. 105 anywhere?
0:20:06 > 0:20:09105. 110. 110.
0:20:09 > 0:20:11115.
0:20:11 > 0:20:16115. 115. 120.
0:20:16 > 0:20:20120. 125. 130.
0:20:21 > 0:20:24135. 140.
0:20:24 > 0:20:25140, sir.
0:20:27 > 0:20:30145.
0:20:30 > 0:20:32146, sir?
0:20:33 > 0:20:36Have a think. 145, first time.
0:20:36 > 0:20:38Second time.
0:20:38 > 0:20:41Third and last time if you're all done.
0:20:41 > 0:20:44Sold, 145. Well done.
0:20:44 > 0:20:51'That final bid of £145,000 was made by Croydon-based couple Sharon and David.
0:20:51 > 0:20:56'Sharon's a freelance journalist and her husband David is a chartered surveyor.
0:20:56 > 0:20:59'The two-bedroom terrace isn't their first investment property.
0:20:59 > 0:21:03'They have three others. But it's their first ever auction buy.
0:21:03 > 0:21:09'So they wanted something close to home in an area they're familiar with.
0:21:09 > 0:21:13'I met up with them at their new purchase to find out more.'
0:21:13 > 0:21:19Guys, congratulations. This is really good news. What's the story behind you wanting to buy this?
0:21:19 > 0:21:24We've been looking for a property in Croydon for a few months. This one came up at a previous auction
0:21:24 > 0:21:29but we hadn't viewed it because I thought it was too close to the railway line.
0:21:29 > 0:21:32But when it didn't sell, we decided to have a look
0:21:32 > 0:21:34and then we thought it would be a really good buy.
0:21:34 > 0:21:38- Tell me what you do for a living. - I'm a quantity surveyor
0:21:38 > 0:21:42so I've been involved in construction and the industry for many years.
0:21:42 > 0:21:47We have done some investment before but from a surveying point of view, I know what I'm looking at.
0:21:47 > 0:21:53You do miss things occasionally, but when we saw this, we had a quick look round, damp meter...
0:21:53 > 0:21:58We looked at so many horrors, to see this was such a refreshing change because it's all really cosmetic.
0:21:58 > 0:22:00What do you do for a living?
0:22:00 > 0:22:05I'm a journalist and I've worked all around the profession, really,
0:22:05 > 0:22:10from news through to magazine work, editing, online work.
0:22:10 > 0:22:14With your busy careers, how do you keep on top of your properties?
0:22:14 > 0:22:17- Er, well, we've managed so far, haven't we?- Yeah.
0:22:17 > 0:22:20- You fit it in around... - Weekends and evenings so far.
0:22:20 > 0:22:23I'm freelance so I can take some time-outs occasionally.
0:22:23 > 0:22:28- And I'm freelance so it's possible to fit it around that. - Do you have a family?
0:22:28 > 0:22:31- Yes, we've got five children. - What? Five kids?
0:22:31 > 0:22:35- Properties, careers.- Three grown up and two still quite needing us.
0:22:35 > 0:22:41It's a great thing to do for us but it's a legacy for the children, as well. That's why we want to do it.
0:22:42 > 0:22:45'Blimey! These two have got a lot on their plate.
0:22:45 > 0:22:48'And now they've got another property to refurbish, too.
0:22:48 > 0:22:51'They built their last home from scratch
0:22:51 > 0:22:56'so they definitely have plenty of property experience and expertise.'
0:22:58 > 0:23:03- So did you walk in here, David, and look around and know exactly what you were looking at?- Yeah.
0:23:03 > 0:23:09I really did. Two bed. Even the size of the bedrooms, I just thought it was great.
0:23:09 > 0:23:12And the kitchen is going to be so easy to strip out.
0:23:12 > 0:23:17Even the bathroom, it's in good condition. You can leave the suite, change the taps and the boiler.
0:23:17 > 0:23:22- But structurally, it's absolutely fine.- Something that has worried me is looking at those trees
0:23:22 > 0:23:26that are slightly hanging over here and the patio outside has been lifted.
0:23:26 > 0:23:30Do you think there's been structural movement? There's been movement out there.
0:23:30 > 0:23:36Certainly outside, but not with the building. Before the auction, I checked with the building inspector
0:23:36 > 0:23:42and he inspected the properties all those years ago and the foundations go down to three metres.
0:23:42 > 0:23:45- So I thought, "Great", ticked the box.- So the movement you can see,
0:23:45 > 0:23:50the roots are going around the house but they're not interfering with the building itself.
0:23:52 > 0:23:59'Sounds like they've got away with it. But you might not be so lucky if your foundations aren't as deep.
0:23:59 > 0:24:01'So always check it out.'
0:24:01 > 0:24:03# Tall tree
0:24:05 > 0:24:07# Tall tree
0:24:09 > 0:24:14- Guys, what are your plans for this? - I mean, it is just a decorate throughout, flooring throughout.
0:24:14 > 0:24:18We're going to knock through from the kitchen into here to let the light through
0:24:18 > 0:24:23and upstairs it's just really decorating all three rooms. The only dilemma we had a first
0:24:23 > 0:24:28was whether or not we should have a big bathroom or keep it as the bathroom and separate loo,
0:24:28 > 0:24:31but we'll probably keep the loo separate because we want to rent it out
0:24:31 > 0:24:36- and we figure that sharers will probably like having a separate toilet.- What's your budget?
0:24:36 > 0:24:39Well, £8,500 to £9,000.
0:24:39 > 0:24:42A lot of the work we are going to be doing ourselves
0:24:42 > 0:24:47and we've got a subcontract plumber. I'd be a lot more if we got a builder in.
0:24:47 > 0:24:51- But we're confident with that. - And how long do you think it's going to take to complete the work?
0:24:51 > 0:24:55- This is always the funny thing. - About eight weeks? - Eight weeks maximum.
0:24:55 > 0:24:59- In eight weeks you think you can be in and out?- Yeah.- Guys, good luck.
0:24:59 > 0:25:04- I can see you're really excited and chomping at the bit. Good luck. Thank you, Sharon. David.- Thank you.
0:25:04 > 0:25:09For Sharon and David, this is a pretty straightforward job for them.
0:25:09 > 0:25:14They've refurbished properties before and they hope to do this one quite quickly and cheaply.
0:25:14 > 0:25:19With the demands of their other jobs, though, and a large family make the schedule slip?
0:25:19 > 0:25:22And will they actually knock the kitchen through?
0:25:22 > 0:25:26You can find out how they get on later on in the programme.
0:25:27 > 0:25:31'Coming up, this house in Leeds just needs a bit of cash thrown at it.'
0:25:31 > 0:25:36Spend ten grand on this and it could be a lovely place to live. No, really!
0:25:37 > 0:25:43'We return to Croydon where the refurbishment roles have been clearly defined.'
0:25:43 > 0:25:47I've been the painting person. I painted pretty much the whole house.
0:25:48 > 0:25:53'But first it's back to Devon where if there's no pain, there's no gain.'
0:25:53 > 0:25:57To replace all the windows will take many years but we'll get there eventually.
0:26:00 > 0:26:06'Time now to return to Newton Poppleford in Devon where John, a teacher,
0:26:06 > 0:26:11'bought this characterful Grade II listed building for £156,000.
0:26:11 > 0:26:17'It was going to be home for himself and his two boys when they came to stay.
0:26:17 > 0:26:22'The cottage needed a full refurbishment and also came with a significant risk of flooding
0:26:22 > 0:26:26'due to the brook in the back garden.'
0:26:26 > 0:26:29# Although no-one understood
0:26:29 > 0:26:31# We were holding back the flood
0:26:31 > 0:26:34'However, this didn't put John off.'
0:26:34 > 0:26:38It's flooded six times in the last 60 years, once every ten years.
0:26:38 > 0:26:42I think I can put up with it flooding once every ten years.
0:26:42 > 0:26:45'But it's now 18 months later
0:26:45 > 0:26:48'and from the road, the cottage looks very similar.
0:26:50 > 0:26:54'But the overgrown back garden has been cleared,
0:26:54 > 0:26:58'making the most of the brook and the large plot the cottage sits on.
0:27:00 > 0:27:03'John moved in a month after he bought it
0:27:03 > 0:27:07'and his sons, Max and Oscar, are frequent visitors.
0:27:09 > 0:27:14'Inside, the boys now share a brilliant bedroom.
0:27:18 > 0:27:22'And the second bedroom is well on the way to being finished.
0:27:22 > 0:27:28'John's also transformed the bathroom with a modern white suite,
0:27:28 > 0:27:31'matching the tiling and contrasting with the floor.
0:27:31 > 0:27:39'The master bedroom is huge. It now looks more like a luxury hotel suite than a cottage bedroom.
0:27:40 > 0:27:44'Downstairs, the original kitchen has been stripped out
0:27:44 > 0:27:47'and is on its way to becoming a utility room.
0:27:47 > 0:27:54'Although John's concentrated on the first floor, he has installed a new kitchen in the former dining room.'
0:27:54 > 0:27:58The ground floor of the property has probably had the least amount of work done to it.
0:27:58 > 0:28:02I wanted to get the bedrooms sorted first. Basically, the ground floor has been rewired
0:28:02 > 0:28:05and has had central heating put in.
0:28:05 > 0:28:10I've converted the barn to my workshop, so that's now up and running and functioning very well.
0:28:10 > 0:28:13I've done the boys' bedroom, or one of the boys' bedrooms
0:28:13 > 0:28:16and I've done my own bedroom and I've redone the bathroom.
0:28:16 > 0:28:20'So the boys are sharing Oscar's room at the moment,
0:28:20 > 0:28:23'but will soon have one each.'
0:28:23 > 0:28:27I think it's nice. But when we get Max's finished,
0:28:27 > 0:28:32that means it'll be mine and I'll have all my stuff there and there's room for everything.
0:28:33 > 0:28:37'However, to start with, Dad's new home wasn't that popular.'
0:28:37 > 0:28:41My boys thought the place was terrifying. They thought it was really creepy.
0:28:41 > 0:28:45There was nothing done. They were sleeping on the floor and it was a mess.
0:28:45 > 0:28:48And think it needs some more work doing at the moment
0:28:48 > 0:28:52but when it's finished I think it's going to be brilliant.
0:28:52 > 0:28:56'Early on, John converted the barn into his workshop.'
0:28:56 > 0:28:58# If I were a carpenter
0:28:58 > 0:29:01# And you were a lady
0:29:01 > 0:29:06'Has he been busy making those replacement windows?'
0:29:06 > 0:29:10So far, I've made one sill and one complete set of windows with a frame.
0:29:10 > 0:29:13And, again, it's going to be a labour of love.
0:29:13 > 0:29:17To replace all the windows will take me many years, but we'll get there eventually.
0:29:17 > 0:29:20'So who's been doing all the work?'
0:29:20 > 0:29:24I've done all of the work in the house myself apart from the plastering.
0:29:24 > 0:29:27The gas plumbing I didn't do. I called somebody in to do that.
0:29:28 > 0:29:33'Of course, John's got lots of experience of property maintenance
0:29:33 > 0:29:36'but fitting it in with his supply teaching can't have been easy.'
0:29:36 > 0:29:40As far as work goes, I am now building full-time.
0:29:40 > 0:29:46I was swapping between teaching and doing building work
0:29:46 > 0:29:49and I finally plumped for building.
0:29:49 > 0:29:55I think he's done a lot and he's made really good progress.
0:29:55 > 0:30:01It's a bit slow starting off, but quality better than speed.
0:30:02 > 0:30:08'Doing it yourself can save money, but has John managed to keep his costs under control?
0:30:08 > 0:30:14'He's still go lots to do and he budgeted just £20,000 for the whole house.'
0:30:14 > 0:30:18My initial estimates were obviously horrendously inaccurate.
0:30:18 > 0:30:21I spent a lot more money than that.
0:30:21 > 0:30:27I've given up counting. It doesn't matter. It's going to be a family home and that's what's important.
0:30:27 > 0:30:30And I'll pay for things as I can afford them.
0:30:30 > 0:30:36My boys are desperate to stay here. I thought I'd do another project,
0:30:36 > 0:30:41but they've said, "No, we really love this house, we want to stay here" so here we stay.
0:30:41 > 0:30:44'Time to hear what two local property experts think
0:30:44 > 0:30:47'of the work John's done so far
0:30:47 > 0:30:50'and the future prospects for the cottage.'
0:30:50 > 0:30:52The work that's been carried out so far has been done
0:30:52 > 0:30:56in a very sympathetic manner and made best use of the space.
0:30:56 > 0:30:59Overall, the property has had a transformation upstairs
0:30:59 > 0:31:01in two or three of the rooms.
0:31:01 > 0:31:04Downstairs still needs transformation and I expect to see the same.
0:31:04 > 0:31:08The bathroom is now a very attractive feature of the property.
0:31:08 > 0:31:12New white suite, slate flooring, separate shower cubicle, all very nice.
0:31:12 > 0:31:16The property is located in a flood-risk area so that may put some people off
0:31:16 > 0:31:22but, to be honest, where it is and what it is and the standard of the cottage, I would still buy it.
0:31:22 > 0:31:28'So what's the property now worth? Remember, John paid £156,000 at auction
0:31:28 > 0:31:31'and his budget of £20,000 has already gone
0:31:31 > 0:31:35'so he's spent at least £176,000.'
0:31:35 > 0:31:41When the property's fully renovated, I would expect to achieve a figure in the region of £225,000.
0:31:41 > 0:31:46The likely resale value of the property would be somewhere around £250,000, possibly upwards,
0:31:46 > 0:31:52but dependent on him continuing the sort of transformation in the same standard throughout.
0:31:52 > 0:31:56'John isn't sure exactly how much he's spent on the renovations so far
0:31:56 > 0:32:00'but he estimates that completing the work will cost him around £30,000
0:32:00 > 0:32:04'which is £10,000 over his original budget.
0:32:04 > 0:32:07'Even with this overspend, based on the valuations,
0:32:07 > 0:32:14'he could still stand to make a pre-tax profit of between around £39,000 and £64,000.
0:32:14 > 0:32:17'But it seems as though selling isn't on his mind.'
0:32:18 > 0:32:23That's pretty much what I expected the resale value would be.
0:32:23 > 0:32:28It doesn't really matter very much because the boys want to stay here and I'm very happy here.
0:32:28 > 0:32:31It doesn't matter.
0:32:41 > 0:32:46'I'm in the Holbeck district of Leeds on the southern edge of the city.'
0:32:47 > 0:32:53You certainly can't complain about the closeness to good transport links with this next property.
0:32:53 > 0:32:57Right by the side of some of the main roads passing through the centre of Leeds,
0:32:57 > 0:33:01walking distance to the city centre and the property I'm here to see is just up that street.
0:33:03 > 0:33:10'The Holbeck area is part of an ambitious regeneration scheme run by Leeds Council.
0:33:10 > 0:33:13'The majority of houses round here are back-to-back terraces
0:33:13 > 0:33:17'which really do have a unique sense of character about them.
0:33:17 > 0:33:24'However, in recent years, many of these have fallen into a state of serious disrepair.'
0:33:24 > 0:33:27So what do you have to pay to invest in property around here?
0:33:27 > 0:33:32Well, the guide price for this one-bedroom terrace
0:33:32 > 0:33:35was just 30,000 quid.
0:33:37 > 0:33:39But take a look at the outside.
0:33:39 > 0:33:42You can see why it was so cheap.
0:33:42 > 0:33:46You know what? I don't even think I'm going to go inside.
0:33:46 > 0:33:50However, maybe you should. Go on, Lee.
0:33:50 > 0:33:53In you go. Go on. Go in! Go in!
0:33:53 > 0:33:56In you go! Good boy. That's it.
0:33:59 > 0:34:06'Thanks to our intrepid cameraman for so kindly volunteering to show us inside.
0:34:06 > 0:34:11'Don't worry, we are rigorous about health and safety checks so he'll be fine.
0:34:11 > 0:34:14'As you can see, the place is in a sad state of repair
0:34:14 > 0:34:19'and it's really taken the concept of open-plan living a bit too far.
0:34:19 > 0:34:24'The layout's slightly unusual with the kitchen overlooking the main road.
0:34:24 > 0:34:29'The property's extremely uninviting at the moment and there's zero kerb appeal.
0:34:29 > 0:34:33'However, if you can see beyond the smashed glass, missing door and clutter,
0:34:33 > 0:34:37'it's not quite as bad as first impressions suggest.
0:34:37 > 0:34:40'I reckon the bathroom suite could scrub up quite well
0:34:40 > 0:34:42'and I've only spotted this one bit of damp.'
0:34:44 > 0:34:49'Now, of course, I wasn't just going to let the cameraman go in and not venture inside myself.'
0:34:49 > 0:34:52Normally with a property like this,
0:34:52 > 0:34:55the windows and doors would be boarded up.
0:34:55 > 0:34:59Somehow, to see them in this state makes it even more dramatic.
0:34:59 > 0:35:03But actually it's just a classic case of trying to see through
0:35:03 > 0:35:06to what this place could become.
0:35:06 > 0:35:09And, believe it or not,
0:35:09 > 0:35:12- I reckon... - HE LAUGHS
0:35:12 > 0:35:16..spend ten grand on this and it'd be a lovely place to live.
0:35:16 > 0:35:18No, really!
0:35:18 > 0:35:22'Well, this house requires vision all right and lots of it.
0:35:22 > 0:35:27'Once new windows and doors have been installed and the property made watertight,
0:35:27 > 0:35:30'you'd then be ready to transform the inside.
0:35:30 > 0:35:34'It could prove to be a good time to buy round here
0:35:34 > 0:35:38'because the area is set for transformation, as well.'
0:35:40 > 0:35:47Like many other parts of Leeds, Holbeck has undergone major regeneration in recent years.
0:35:47 > 0:35:50And it's really good to buy in an area where that's happening.
0:35:50 > 0:35:55However, when it involves knocking down traditional housing such as terraces like this,
0:35:55 > 0:36:00there's part of you that just feels a little tinge of sadness.
0:36:00 > 0:36:03# Cry no more tears
0:36:03 > 0:36:07# Make the song sing your troubles away
0:36:07 > 0:36:10'Sometimes you can't stand in the way of progress.
0:36:10 > 0:36:15'The Holbeck regeneration scheme aims to preserve the area's unique character,
0:36:15 > 0:36:20'combining the architecture of some of the old buildings with contemporary developments.
0:36:20 > 0:36:23'What does a local estate agent think of this property
0:36:23 > 0:36:26'that went for auction at just £30,000?'
0:36:27 > 0:36:30Structurally, it seems quite stable.
0:36:30 > 0:36:34So it's mainly internally. It needs a complete refurb, new kitchen,
0:36:34 > 0:36:38bathroom, double glazing, central heating, redecoration.
0:36:38 > 0:36:42I think it's a good investment for a buy-to-let developer. We could rent this out
0:36:42 > 0:36:46for £325 to £350 a month.
0:36:46 > 0:36:52'Once the house has some windows, a door, a new kitchen, a bathroom, well, the list just goes on and on,
0:36:52 > 0:36:55'but how much could it be worth?'
0:36:55 > 0:37:00I think, realistically, we'd be looking to price this at £49,995.
0:37:00 > 0:37:05# I'm looking through the window
0:37:05 > 0:37:08Well, not a project for the faint-hearted, this one,
0:37:08 > 0:37:10but I think there's money to be made here.
0:37:10 > 0:37:13Let's see who fancied it at the auction.
0:37:13 > 0:37:15'This lot came up later in the day,
0:37:15 > 0:37:18'which explains why the room's quieter now.'
0:37:18 > 0:37:20Lot number 47.
0:37:20 > 0:37:23A vacant one-bedroom back-to-back terraced house.
0:37:23 > 0:37:26Guide price £30,000. Where do you want start the bidding?
0:37:26 > 0:37:30£30,000? 25? Yep.
0:37:30 > 0:37:34Straight in at 25. I'll take a half. 25 and a half.
0:37:34 > 0:37:37New bidder, 25 and a half. 26. 26.
0:37:37 > 0:37:40And a half. 27.
0:37:40 > 0:37:43And a half. 28.
0:37:43 > 0:37:45And a half.
0:37:45 > 0:37:47New bidder, 28 and a half.
0:37:47 > 0:37:5029. And a half.
0:37:50 > 0:37:54Yep. 30. No. 30, I'll take your bid. 30.
0:37:54 > 0:37:56And a half?
0:37:56 > 0:37:59Anywhere else at £30,500?
0:37:59 > 0:38:01First time, then, at £30,000.
0:38:01 > 0:38:03Second time.
0:38:03 > 0:38:07Third and final time, if you're all finished, at 30,000.
0:38:07 > 0:38:09- HAMMER BANGS - Thank you very much.
0:38:09 > 0:38:16'The final bid was made by Bal who works full-time as a project manager for the National Grid.'
0:38:16 > 0:38:18# We'll always be together
0:38:18 > 0:38:22# Together in electric dreams
0:38:24 > 0:38:28'Bal also has numerous buy-to-let properties in Leeds.
0:38:28 > 0:38:31'His son, Randip, is helping out with this project
0:38:31 > 0:38:35'and is keen to dip his toe into the world of property development.
0:38:35 > 0:38:39'I met up with them outside the house to find out about their plans.'
0:38:39 > 0:38:42- Bal, Randip, lovely to meet you both. Congratulations.- Thank you.
0:38:42 > 0:38:48- Tell me why you wanted to buy this place.- Er, it was a good price and it's close to the city centre.
0:38:48 > 0:38:52I've bought a few properties in this area before and that's why I went for it.
0:38:52 > 0:38:57Obviously, from the outside, and when you go inside,
0:38:57 > 0:39:00- it's a mess, isn't it? Are you not worried about that at all?- No.
0:39:00 > 0:39:02I've done these things before.
0:39:02 > 0:39:07- I've got a team of builders and they'll clear it for me. - So it doesn't bother you at all?- No.
0:39:07 > 0:39:10When you're looking at a property, how do you see through its current state?
0:39:10 > 0:39:19I look beyond the work. I see the structure. I can see how I can turn this into a good living property.
0:39:19 > 0:39:23- Randip, what's your involvement? - I'm trying to follow in my dad's footsteps.
0:39:23 > 0:39:26I'm keen to move into investment, particularly in property,
0:39:26 > 0:39:32- so I'm just learning the ropes from my father.- So is this the first one you've been actively involved in?
0:39:32 > 0:39:34I've been shadowing my dad for quite some time now
0:39:34 > 0:39:40but it's the first property I've seen in this sort of state, so it's interesting to see how it turns out.
0:39:40 > 0:39:44- What were your first impressions? - Wow.- Yeah. - THEY LAUGH
0:39:44 > 0:39:47- Bit of work to be done.- Yeah.
0:39:47 > 0:39:51'I'll say! New windows, new door, new bathroom, new kitchen, new everything, in fact.
0:39:51 > 0:39:54'And one large skip required.'
0:39:55 > 0:39:57So what's the plan for this place?
0:39:57 > 0:40:04Er, the first thing, we're going to get rid of all the rubbish and then make it secure
0:40:04 > 0:40:07with the new windows so that people can work inside.
0:40:07 > 0:40:10Once that's done, we'll move in and then do all the central heating,
0:40:10 > 0:40:15new kitchen, new bathroom, make it really nice and neat.
0:40:15 > 0:40:18- And my plan is to rent it once it's all done.- Right.
0:40:18 > 0:40:24- So what's the budget for the work? - Anything between £12,000 and £13,000.
0:40:24 > 0:40:27- And timescale?- Six to eight weeks.
0:40:27 > 0:40:31- So pretty quick, then.- Yes. - And really turn it around.
0:40:31 > 0:40:38That's right. That's the plan. I've got the builders and everybody lined up and they're keen to start work.
0:40:38 > 0:40:40What do you think the biggest challenge ahead is?
0:40:40 > 0:40:46- Nothing.- Nothing? - No. It's just a normal house and just replace everything.
0:40:46 > 0:40:51- It's a normal house without any windows in a complete state!- Yeah.
0:40:51 > 0:40:53Yeah, I think there's a lot of work
0:40:53 > 0:40:57but we've done it before and it'll be another job.
0:40:58 > 0:41:01'What a learning curve for Randip.
0:41:01 > 0:41:06'This father and son duo have quite a task ahead of them here.'
0:41:08 > 0:41:11What's your involvement going to be, Randip?
0:41:11 > 0:41:17Well, I'm going to help my dad project-manage just clearing it out, doing the electrics, the windows.
0:41:17 > 0:41:21- Are you going to be hands-on? - Not hands-on in terms of getting the rubbish out,
0:41:21 > 0:41:26more in terms of coordinating the builders and the electricians and the gas companies
0:41:26 > 0:41:31- to make sure they do what they need to do.- How many times have you done this?- I've got 14 or 15.
0:41:31 > 0:41:34- In Leeds or...?- Yeah, in Leeds.
0:41:34 > 0:41:38- Do you still get excited by doing up property?- Oh, yes, I do.
0:41:38 > 0:41:42It's the sort of thing I've been doing for many years.
0:41:42 > 0:41:48You see something like this, very derelict, and you bring it into good condition, it gives me satisfaction.
0:41:48 > 0:41:53I'll improve the area and it's another house for somebody to live in.
0:41:53 > 0:41:55And once you've finished this project, what next?
0:41:55 > 0:41:59We're already looking for the next one. I've got quite a bit of time off work now
0:41:59 > 0:42:02to spend time in Leeds looking around,
0:42:02 > 0:42:05hence my involvement here to see what needs to be done
0:42:05 > 0:42:09and maybe, in the future, do this myself without my dad's help.
0:42:09 > 0:42:15- Congratulations. Good luck with it. - Thank you.- We look forward to seeing how you transform this place.
0:42:18 > 0:42:22Well, to most people, sorting out a house like this would be a real challenge,
0:42:22 > 0:42:26but to Bal and Randip, nothing seems to be too much of an issue.
0:42:26 > 0:42:32However, properties do tend to have a habit of coming up with unexpected problems.
0:42:32 > 0:42:35How are they going to get on? You can find out later in the show.
0:42:38 > 0:42:41Transforming a property from a worn-out shell into a home
0:42:41 > 0:42:44can be rewarding and profitable.
0:42:44 > 0:42:48But how did today's buyers get on with what they bought? Let's find out.
0:42:49 > 0:42:54'Back now to Croydon in Surrey where husband and wife team David and Sharon
0:42:54 > 0:42:59'paid £145,000 for this 1990s two-bed end-of-terrace.
0:42:59 > 0:43:03'It was to add to their buy-to-let portfolio.'
0:43:03 > 0:43:05# We're tied to the 90s
0:43:05 > 0:43:08# In the middle, I'm terribly frightened
0:43:08 > 0:43:11'David's a surveyor and Sharon's a journalist.
0:43:11 > 0:43:17'They planned to refurbish and then rent the place out, but there was a potential problem outside.'
0:43:17 > 0:43:24Something that has worried me is looking at those trees that hang over and the patio has been lifted.
0:43:24 > 0:43:30- Do you think there's any structural movement?- There's certainly movement outside but not with the building.
0:43:30 > 0:43:35The roots are going around the house but they're not interfering with the building.
0:43:36 > 0:43:42'Well, three months had passed when me met up again with the couple back at the property.
0:43:43 > 0:43:46'The rear garden has been cleared back
0:43:46 > 0:43:51'and now those three trees don't look quite so threatening as they've lost their leaves.
0:43:53 > 0:43:58'Inside, the kitchen units have been replaced and a new boiler's been installed.
0:43:58 > 0:44:01'That wall with the hatch is history.
0:44:03 > 0:44:07'As doors now separate the enlarged kitchen-diner from the living room.
0:44:09 > 0:44:14'High-quality flooring has been laid and the neutral decor really opens the space up.
0:44:17 > 0:44:22'Upstairs, the two bedrooms have been decorated to a high standard in neutral colours.
0:44:23 > 0:44:26'Complemented by the curtains.
0:44:28 > 0:44:32'The separate bathroom and loo have been knocked into one
0:44:32 > 0:44:34'and partly refitted.'
0:44:35 > 0:44:39In the bathroom, people think it's a new bath
0:44:39 > 0:44:41but we've kept the existing bath,
0:44:41 > 0:44:46got rid of and replaced the bath panel with something much nicer, new flooring down,
0:44:46 > 0:44:51the suite is partly replaced and we fully tiled and it's made a world of difference.
0:44:51 > 0:44:53We also put in a high-level window.
0:44:53 > 0:44:56'The finish upstairs is excellent.
0:44:56 > 0:44:58'Those dated brown doors have gone
0:44:58 > 0:45:03'and the laminate floor David put down looks so much smarter.
0:45:03 > 0:45:07'But it's downstairs that has seen the major change.'
0:45:07 > 0:45:12The first thing we did was demolish the partition and put this wall up here with nice new doors.
0:45:12 > 0:45:16This is where the partition was demolished. There was a cupboard here,
0:45:16 > 0:45:23access from the hall, which was just a cloak cupboard, demolished that to open up the space right behind me
0:45:23 > 0:45:27and then stripped the kitchen out, put a new kitchen in, new worktops
0:45:27 > 0:45:30and got this large space for the dining area,
0:45:30 > 0:45:33so you've got a kitchen-dining area which you can close off.
0:45:34 > 0:45:38'Simply sliding the wall down a few metres has transformed the place
0:45:38 > 0:45:42'and created two far more practical living spaces.
0:45:43 > 0:45:49'Now anyone in the kitchen can look through the house out onto the garden. But what about the trees?'
0:45:50 > 0:45:55Since we were last here, I've spoken to three tree surgeons.
0:45:55 > 0:45:57It is possible to top those sorts of trees
0:45:57 > 0:46:03but it just really encourages them to grow more madly and they're already tall enough.
0:46:04 > 0:46:08'So they've left the trees and replaced some of the slabs.
0:46:09 > 0:46:13'David has laid some decking. But who tackled the rest of the work?'
0:46:13 > 0:46:18We got a subcontract plumber, he was very good. And we project-managed that, if you like.
0:46:18 > 0:46:22But the rest of the work, we've done all of it ourselves.
0:46:22 > 0:46:26I've been the painting person. I painted pretty much the whole house.
0:46:26 > 0:46:30David has done all of the carpentry and joinery work, fitting the kitchen.
0:46:30 > 0:46:34One of the things I really like about the house is the staircase that David has done.
0:46:34 > 0:46:38We thought we might do stair carpet, but stair carpet does wear out,
0:46:38 > 0:46:46so we decided we'd laminate the stairs, but he's also done oak edges and it really does look impressive.
0:46:46 > 0:46:51'Did they manage to keep to the budget they'd set of £8,500 to £9,000?'
0:46:52 > 0:46:57We've spent about £8,750. We've got a few minor bills, 30, 40 quid to add up.
0:46:57 > 0:47:02The major purchases were things like the flooring and the boiler.
0:47:03 > 0:47:06'Time to see how two local property experts
0:47:06 > 0:47:10'rate the finish and rental potential here.'
0:47:11 > 0:47:15They've used every available space positively.
0:47:15 > 0:47:17They kitchen is a very good size kitchen.
0:47:17 > 0:47:20The reception area is a very good size.
0:47:20 > 0:47:24Very well done up toilet and bathroom. Good size bedrooms.
0:47:24 > 0:47:27Knocking a toilet and bathroom together creates a lot of space
0:47:27 > 0:47:30so you've got a luxurious bathroom now. Very comfortable.
0:47:30 > 0:47:35They've done a very good job of the property, they've used very good materials, very well presented.
0:47:35 > 0:47:38Nothing against the property.
0:47:38 > 0:47:43The standard of finish is excellent, really well presented, the materials used are very good.
0:47:43 > 0:47:47Some clever changes to the property. Really good, decent job.
0:47:47 > 0:47:53'How much is the property now worth? Remember, they paid £145,000 at auction
0:47:53 > 0:47:56'and their budget is almost £9,000,
0:47:56 > 0:48:03'meaning a total outlay of £154,000. So, are they in profit?'
0:48:03 > 0:48:08The property will sell for around £215,000 to £220,000.
0:48:08 > 0:48:13We would market this property at £219,950.
0:48:13 > 0:48:18'That valuation range of £215,000 to £220,000
0:48:18 > 0:48:22'would generate a gross profit, before the usual selling expenses,
0:48:22 > 0:48:25'of £61,000 to £66,000.
0:48:25 > 0:48:29'Could those figures change their plans? Might they sell now?'
0:48:29 > 0:48:34No, we don't want to sell it because we know the rental market here.
0:48:34 > 0:48:37There's a lot of demand for properties that are high-spec,
0:48:37 > 0:48:39so I think it's one to hang on to.
0:48:39 > 0:48:43This property will rent for around £925 per calendar month.
0:48:43 > 0:48:50On the rental market, we would hope to achieve around the £900 per calendar month mark.
0:48:50 > 0:48:53It's a bit better than I expected.
0:48:53 > 0:48:56Yeah, I always thought £900 to £950,
0:48:56 > 0:49:00because I do watch what happens in the local market really closely
0:49:00 > 0:49:03and I know of others that have rented not has high spec as this
0:49:03 > 0:49:07- and they've been about that price, haven't they?- Yeah.- So happy.
0:49:08 > 0:49:12'So these two part-time property developers add another property
0:49:12 > 0:49:15'to their growing portfolio.
0:49:15 > 0:49:19'But can they see themselves giving up their day jobs and making a career change?'
0:49:19 > 0:49:23Yeah, it's definitely our ambition to become full-time property developers
0:49:23 > 0:49:28and it's an achievable ambition. This is just a stepping stone to it. Definitely.
0:49:28 > 0:49:34What I'm really pleased about is that we saw a sad, dark little house that we could see had a lot of potential
0:49:34 > 0:49:39and I think we've really brought that out of it and I think it'll make a lovely home for somebody.
0:49:48 > 0:49:51'Time now to go back to Leeds where earlier in the programme
0:49:51 > 0:49:58'Bal bought this derelict one-bedroom end-of-terrace property for £30,000.
0:49:58 > 0:50:01'Bal's a project manager for the National Grid
0:50:01 > 0:50:04'and his son, Randip, was helping out with the project.
0:50:04 > 0:50:09'They certainly didn't seem intimidated by the task ahead.'
0:50:09 > 0:50:12- It's a mess, isn't it? Are you not worried about that at all?- No.
0:50:12 > 0:50:17I've done these things before. I've got a team of builders and they'll clear it for me.
0:50:17 > 0:50:21'There were stairs in the kitchen leading down to the cellar
0:50:21 > 0:50:24'but it was far too dangerous to go down there.
0:50:24 > 0:50:29'And there was a yard to the side but, like the property, that was in a right old state, as well.
0:50:31 > 0:50:37'Well, it's now just eight weeks later and we meet up with the developing duo again.
0:50:41 > 0:50:45'The derelict pile of bricks once more looks like a house.
0:50:45 > 0:50:49'What a difference a front door and windows make.
0:50:54 > 0:51:00'Inside, the living room's been cleared out and the walls replastered and decorated.
0:51:04 > 0:51:09'Central heating's been installed, plus a wall-mounted fire.
0:51:11 > 0:51:14'The refit in the kitchen is equally impressive.
0:51:14 > 0:51:20'The old units were ripped out, walls plastered and tiled and new appliances plumbed in.'
0:51:23 > 0:51:25Before, this kitchen was an absolute wreck.
0:51:25 > 0:51:29So we started off by taking out all the old units, or what was left of them,
0:51:29 > 0:51:32replacing them with brand new units,
0:51:32 > 0:51:37doing complete flooring, completely tiled the side of the kitchen
0:51:37 > 0:51:40and we've put in a number of goods, so the cooker,
0:51:40 > 0:51:42the washing machine and the fridge.
0:51:42 > 0:51:48We've then finished off by putting blinds on the kitchen and the boiler's in the kitchen.
0:51:48 > 0:51:52'Upstairs in the bedroom, they've retained the original wardrobe
0:51:52 > 0:51:55'and new carpets have gone down.
0:51:55 > 0:51:59'It's actually a good sized room now you can see it.
0:52:00 > 0:52:03'And a white suite has been put into the bathroom
0:52:03 > 0:52:07'along with laminate flooring, a radiator and a window.
0:52:07 > 0:52:11'This two-up two-down is once again ready to live in.
0:52:11 > 0:52:16'Bal took on a beast and it looks like he's won.'
0:52:16 > 0:52:21This property was a derelict property, just a shell, and nobody could live in this house.
0:52:21 > 0:52:26So we've done everything in here. As you can see, brand new windows, new kitchen,
0:52:26 > 0:52:29new bathroom, did the brickwork outside,
0:52:29 > 0:52:35so I've brought this property into a sort of state which people can live in, which I'm quite proud of.
0:52:35 > 0:52:39'Absolutely. On this first joint project with his dad,
0:52:39 > 0:52:43'Bal's son Randip has seen a total transformation.'
0:52:45 > 0:52:51I came into it not owning any property so for me to see how this has come along is fantastic.
0:52:51 > 0:52:54The number of people involved in making it into a home.
0:52:54 > 0:52:58Two months ago, this was a bombsite. Now it's somewhere that someone can live.
0:52:58 > 0:53:02'The outside needed attention from top to bottom.
0:53:02 > 0:53:07'A team of builders had to repair the roof. But what about the yard next door?'
0:53:07 > 0:53:12The wall wasn't fit. We actually got a letter from the council deeming it to be unsafe.
0:53:12 > 0:53:16So the first thing we had to do was make sure that structurally it was secure and safe.
0:53:16 > 0:53:19We then bricked the wall up, took out all the rubbish,
0:53:19 > 0:53:24made it look nice and neat and put concrete over the entire yard, as well.
0:53:24 > 0:53:28'The cellar, which wasn't safe to see when we first visited,
0:53:28 > 0:53:30'has had the brickwork repaired,
0:53:30 > 0:53:34'been checked for damp and given a lick of paint.
0:53:34 > 0:53:39'The kitchen and bathroom have been the biggest expense. But how much has all the work cost?
0:53:39 > 0:53:41'Did Bal manage to stick to his budget?'
0:53:41 > 0:53:45I think I said between £12,000 and £13,000
0:53:45 > 0:53:50and the actual budget is £12,850.
0:53:52 > 0:53:56'Time to get some valuations from two local property experts.'
0:53:59 > 0:54:02I think he's done a good job. It's unrecognisable from before,
0:54:02 > 0:54:05which it needed to be. It's nice and neutral and modern
0:54:05 > 0:54:07and ready for somebody to move straight into.
0:54:07 > 0:54:09I think the work looks very professional.
0:54:09 > 0:54:12It looks very clean. You can see yourself living here.
0:54:12 > 0:54:16Obviously, it's a one-bedroom back-to-back so it is what it is.
0:54:16 > 0:54:18It will only appeal to a certain client.
0:54:18 > 0:54:21It won't appeal to families, et cetera.
0:54:21 > 0:54:26It's part of the regeneration part of Leeds. It's also really close to the city centre,
0:54:26 > 0:54:30so you have lots of people living in this area working in the city but paying less.
0:54:32 > 0:54:37'What's the house now worth? Remember, Bal paid £30,000 at auction
0:54:37 > 0:54:42'and has spent £12,850 on it including labour,
0:54:42 > 0:54:46'making a total outlay of £42,850.
0:54:46 > 0:54:49'So, how much could it achieve?'
0:54:49 > 0:54:54To sell the property, I'd look to market this at £44,950.
0:54:54 > 0:54:58In its current condition, I would value this property at £55,000.
0:54:59 > 0:55:06'Those two very different valuations of £44,950 and £55,000
0:55:06 > 0:55:09'would give Bal and Randip pre-tax profits
0:55:09 > 0:55:13'of between around £2,000 and £12,000,
0:55:13 > 0:55:15'minus the usual selling expenses, of course.
0:55:15 > 0:55:18'So, might they be tempted to sell?'
0:55:20 > 0:55:22The plan is actually to let it
0:55:22 > 0:55:27and then maybe later on see if the market picks up,
0:55:27 > 0:55:32maybe we'll consider selling it, but at the moment, definitely rent it.
0:55:32 > 0:55:38In my opinion, I'd look to put this to the rental market at £325 per calendar month.
0:55:38 > 0:55:41I would value this for £395 per calendar month.
0:55:41 > 0:55:46'Is that the sort of income they'd hoped to achieve?'
0:55:46 > 0:55:50I think that's good. We always calculate and prepare for the worst
0:55:50 > 0:55:54so 325 is definitely something we've considered.
0:55:54 > 0:55:57If we get 395 then fantastic, but 325, we'll be happy with that.
0:55:58 > 0:56:01'So good news all round on those rental figures.
0:56:01 > 0:56:07'It certainly seems as though Randip has been bitten by the property developing bug.'
0:56:07 > 0:56:10I've taken a lot of confidence from being involved in this project,
0:56:10 > 0:56:14so much so that I'm in the process of buying my own property.
0:56:14 > 0:56:18So that's the level of confidence that I've gained from this experience.
0:56:18 > 0:56:21'What about dad? Is he ready to buy again?'
0:56:22 > 0:56:28Yes, I think if I get the opportunity, we'll do some more.
0:56:28 > 0:56:30But at the moment I just want to have a break.
0:56:30 > 0:56:35'And the good news is that Bal and Randip have now managed to rent the property out.
0:56:35 > 0:56:39'Their tenant is paying £425 per calendar month,
0:56:39 > 0:56:44'exceeding their earlier expectations. So well done to them.'
0:56:48 > 0:56:51Well, whether you're a seasoned professional or a property novice,
0:56:51 > 0:56:55there are always lessons to be learned buying property at auction.
0:56:55 > 0:57:00- So join us next time for more auction action on Homes Under The Hammer.- See you then.- Goodbye.
0:57:02 > 0:57:06Subtitles by Red Bee Media Ltd
0:57:06 > 0:57:10E-mail subtitling@bbc.co.uk
0:57:10 > 0:57:10.