0:00:02 > 0:00:06Sometimes, the property market is quiet. Other times, it's booming.
0:00:06 > 0:00:11You need to know what you're buying is going to be a good investment.
0:00:11 > 0:00:15One way to do that is to buy your next home under the hammer.
0:00:40 > 0:00:45Whatever property you're looking for, you should find it at auction.
0:00:45 > 0:00:47Here's what today's buyers spent their money on.
0:00:49 > 0:00:54'In Derbyshire, this commercial property appears to have it all.'
0:00:54 > 0:00:57A marble fire! What more do you want? It's great.
0:00:58 > 0:01:01'On the Kent coast, my illusions are shattered
0:01:01 > 0:01:05'at this one-bedroom maisonette in Sheerness.'
0:01:05 > 0:01:08I cannot hide my disappointment.
0:01:09 > 0:01:14'This two-up, two-down mid-terrace in Blackburn has me bemused.'
0:01:16 > 0:01:18What on Earth is this?
0:01:20 > 0:01:22'These properties have been sold at auction.
0:01:22 > 0:01:28'We'll find out who bought them and what they paid when they went under the hammer.'
0:01:31 > 0:01:34'I'm in South Normanton, Derbyshire.
0:01:34 > 0:01:37'Once a busy coal mining hub,
0:01:37 > 0:01:42'many of the houses were originally built for the mining workers.
0:01:42 > 0:01:48'It's handy for the M1, and trains at Alfreton make it popular for commuters.'
0:01:48 > 0:01:52The street is a mix of residential and commercial properties,
0:01:52 > 0:01:56which is the same as the lot I'm here to see.
0:01:56 > 0:02:00It's a commercial unit with a flat above.
0:02:00 > 0:02:02That gives lots of flexibility.
0:02:02 > 0:02:05You could rent out this unit and live above.
0:02:05 > 0:02:10Rent out the unit, rent out above. Live in the unit... Whatever!
0:02:10 > 0:02:14£56,00 was the guide price. Let's look inside.
0:02:14 > 0:02:18'The shop and flat are next door to two takeaways.
0:02:18 > 0:02:22'Great for passing trade and if you're feeling peckish,
0:02:22 > 0:02:25'but not so great for the residential value.'
0:02:25 > 0:02:31When you are looking at commercial property, you have to look through different eyes.
0:02:31 > 0:02:34First, frontage. That's quite good.
0:02:34 > 0:02:39Then adaptability of space. What you've got here is one large room.
0:02:39 > 0:02:45Useful to have this kind of ceiling, which gives you flexibility with your lighting options.
0:02:45 > 0:02:51All in all, from a commercial point of view, yeah. It's not a bad start.
0:02:51 > 0:02:54Actually, it just gets better.
0:02:54 > 0:02:59Apart from that main front area, there's a storage area there,
0:02:59 > 0:03:01little kitchenette here.
0:03:01 > 0:03:05Then the extent of the property continues outside.
0:03:05 > 0:03:09Lots of really useful storage space.
0:03:09 > 0:03:15An outside loo, which isn't really ideal, cos it is the only toilet facilities.
0:03:15 > 0:03:18You'd want to try and move that inside.
0:03:18 > 0:03:20A huge great storeroom here.
0:03:20 > 0:03:24That goes on really quite a long way towards the back.
0:03:24 > 0:03:29And then we come on to part two of this particular auction lot.
0:03:29 > 0:03:33Because there is, upstairs, a flat!
0:03:33 > 0:03:35Up there.
0:03:36 > 0:03:38'So far, so good.
0:03:38 > 0:03:42'This former office is looking promising.
0:03:42 > 0:03:47'With this amount of space, it could be a profitable little unit.
0:03:47 > 0:03:51'Let's see what the residential part has to offer.'
0:03:51 > 0:03:57This is a real surprise because it's a lovely little self-contained flat.
0:03:57 > 0:04:01The kitchen, you can't argue with that! Lots of space, new units.
0:04:01 > 0:04:05Bathroom in there, too. Upstairs to your bedrooms.
0:04:05 > 0:04:08Down the corridor to...living room?
0:04:08 > 0:04:10What do you expect?
0:04:10 > 0:04:12Not this, that's for sure!
0:04:12 > 0:04:17A really nice size space. Double glazing so you don't get much noise.
0:04:17 > 0:04:21Even got a marble fire! What more do you want? It's great!
0:04:23 > 0:04:27'Upstairs, the bedroom could be described as compact and bijou,
0:04:27 > 0:04:32'but a great double-glazed skylight lets in plenty of natural light.
0:04:32 > 0:04:37'I'm quite impressed, considering its guide price was £56,000.
0:04:37 > 0:04:40'Time to call in a local property expert
0:04:40 > 0:04:46'to tell us a bit more about the potential of this promising lot.'
0:04:47 > 0:04:52The current use is Class A1, retail, which would be ideally suited
0:04:52 > 0:04:54to hairdressing, holistic therapists.
0:04:54 > 0:04:57Subject to planning, a wide range of other uses.
0:04:57 > 0:04:59Hot food takeaway licences
0:04:59 > 0:05:03are quite popular down this parade.
0:05:03 > 0:05:08It's between two hot food takeaway premises. That could be another use.
0:05:08 > 0:05:12A property like this, one could have an owner-occupier.
0:05:12 > 0:05:17Ideally suited for rental income as well.
0:05:17 > 0:05:21There is a flat which has separate access, which is excellent.
0:05:21 > 0:05:24The purchaser could have a separate income
0:05:24 > 0:05:29from the shop, or various opportunities to be flexible.
0:05:31 > 0:05:34The possibilities for this place seem endless.
0:05:34 > 0:05:38What kind of income could it generate on the rental market?
0:05:38 > 0:05:42The rent for the flat, in the region of £300 per calendar month.
0:05:42 > 0:05:46The shop, with the workshop, a bit of a split.
0:05:46 > 0:05:52You could separate the workshop, but circa £50, £60 per week would be my opinion.
0:05:55 > 0:05:58'This place could prove to be a good little earner.
0:05:58 > 0:06:01'If you rented both the flat and the shop
0:06:01 > 0:06:04'it could bring in over £500 a month.
0:06:04 > 0:06:08'What would the value be if it was spruced up and sold on?'
0:06:08 > 0:06:11Once renovated, it would fetch £70,000 to £75,000.
0:06:11 > 0:06:16One of the things I like to look for in property is flexibility.
0:06:16 > 0:06:19You've certainly got that with this place.
0:06:19 > 0:06:24It's great. Let's see who fancied it when it went under the hammer.
0:06:26 > 0:06:30Vacant retail sales unit. Vacant one-bedroom,
0:06:30 > 0:06:34recently refurbished flat above it. Start me where you like.
0:06:34 > 0:06:38May I say 62? 62? 60,000?
0:06:38 > 0:06:4160,000? A lot of property for the money.
0:06:41 > 0:06:45Guide is 56 plus. Start me at that, if you will.
0:06:45 > 0:06:4855? Doesn't matter where we begin.
0:06:48 > 0:06:5055,000? 54? Where you like
0:06:50 > 0:06:5354, thank you. At £54,000.
0:06:53 > 0:06:5854 is the opening bid. 55 somewhere else? At £54,000.
0:06:58 > 0:07:0155,000, over on the right.
0:07:01 > 0:07:03At 55. 56 is bid.
0:07:03 > 0:07:0556. 57?
0:07:05 > 0:07:08£57,000. 58? 58 on the left.
0:07:08 > 0:07:11At 58,000. 59?
0:07:11 > 0:07:1559,000. At 59. One more? £60,000?
0:07:15 > 0:07:19At £59,000 here. 60 somewhere else?
0:07:19 > 0:07:2160,000.
0:07:21 > 0:07:24Thank you. At £60,000. 61 now?
0:07:24 > 0:07:2561?
0:07:25 > 0:07:31£60,000. A disappointing price but we're going to sell it at £60,000.
0:07:31 > 0:07:3261.
0:07:32 > 0:07:3461. 62?
0:07:34 > 0:07:3862? At 61,000. The bid's at the back of the room.
0:07:38 > 0:07:40£61,000 once.
0:07:40 > 0:07:43Twice. Third time. All done?
0:07:43 > 0:07:45Sold at 61,000...
0:07:45 > 0:07:51'The successful bid was made by Glyn, bidding on behalf of Lisa, who lives locally.
0:07:51 > 0:07:56'She paid £61,000 for the flat and shop,
0:07:56 > 0:08:00'and I needed to find out what she wanted to do with it.'
0:08:03 > 0:08:06Lisa, lovely to meet you. Congratulations.
0:08:06 > 0:08:09- Thank you. - Tell me why you wanted this place.
0:08:09 > 0:08:13- Basically, to turn it into a beauty salon.- Oh, wow.
0:08:13 > 0:08:16- Probably a hairdresser's as well. - Tell me about you.
0:08:16 > 0:08:23- Is that what you do? - I've something I've been doing for 12 years in South Normanton.
0:08:23 > 0:08:28I converted my garage into a beauty salon and wanted to take it further.
0:08:28 > 0:08:33- So this will be a heck of a jump up. - Absolutely. Looking forward to it.
0:08:33 > 0:08:41- What kind of stuff do you do? - Everything from nails to facials, eyelashes, waxing...
0:08:41 > 0:08:43All that kind of thing.
0:08:43 > 0:08:49- What are the plans for this place? - The same thing. I'll have three rooms, hopefully.
0:08:49 > 0:08:54The front room being the nail part of the studio.
0:08:54 > 0:08:56Then a room for facials and waxing,
0:08:56 > 0:09:00and then a room for a hairdresser's.
0:09:00 > 0:09:05# Keep young and beautiful It's your duty to be beautiful... #
0:09:05 > 0:09:11'Sounds like Lisa has big plans, and she's got plenty of room.
0:09:11 > 0:09:17'She lives and works down the road, so will bring the client base she's built over 12 years with her.
0:09:17 > 0:09:20'With some elbow grease and forward planning,
0:09:20 > 0:09:24'she could turn this place into a profitable little business.'
0:09:24 > 0:09:29I've got where I can work, if I want to live here I can, or rent it out.
0:09:29 > 0:09:35A workshop I can use for storage and a gym, which I've always had.
0:09:35 > 0:09:38- Not a lot of money, for what it is. - No.
0:09:38 > 0:09:43Fantastic. I'm really, really happy with that result, to be honest.
0:09:43 > 0:09:49- What are you going to do to sort it out?- I've got a lot of friends, thankfully!
0:09:49 > 0:09:55They're going to start this weekend, firstly with the flat,
0:09:55 > 0:10:00and then with the workshop so I can start to store all my things.
0:10:00 > 0:10:05Then we're going to change the front of the shop, to start with.
0:10:05 > 0:10:10I want to make it into three rooms. Studded walls, basically.
0:10:10 > 0:10:12Then all the fixtures and fittings.
0:10:14 > 0:10:19'Sounds like a transformation for the commercial side of Lisa's property.
0:10:19 > 0:10:27'She's not sure what she'll do with the flat just yet, though she could get away with doing very little.'
0:10:27 > 0:10:30There's not a lot to do, fortunately.
0:10:30 > 0:10:33A little bit of painting and cleaning up,
0:10:33 > 0:10:37then getting new furniture, whatever takes your fancy.
0:10:37 > 0:10:42- The flat is a bit of a surprise, isn't it?- Absolutely!- It's lovely.
0:10:42 > 0:10:44I was quite surprised myself.
0:10:44 > 0:10:49- What kind of budget have you got? - I'm looking about £10,000.- Really?
0:10:49 > 0:10:53Quite a lot of work to do. Shop-fitting's expensive.
0:10:53 > 0:10:58- Yeah.- But you've got friends to help.- Absolutely. Yes, I have.
0:10:58 > 0:11:02- So what's the timescale? - Probably a couple of months.
0:11:02 > 0:11:06- Until you're actually in, operating? - Yes. I'd say.
0:11:06 > 0:11:12- What about passing trade? That's something you haven't had before? - No. Never have.
0:11:12 > 0:11:16It's always people have made appointments.
0:11:16 > 0:11:19This will be a different thing, once again.
0:11:19 > 0:11:23There's only me here, so whether it'll get that busy
0:11:23 > 0:11:29that I'll have to bring somebody in with me, I'm not quite sure yet.
0:11:29 > 0:11:34- Listen, good luck. I wish you all the best.- Thank you very much.
0:11:34 > 0:11:38So, exciting times and a new start for Lisa.
0:11:38 > 0:11:43But kitting out commercial premises is notoriously expensive.
0:11:43 > 0:11:46Will she manage to do it for that £10,000 budget?
0:11:46 > 0:11:48Find out later in the show.
0:11:53 > 0:11:57'Today, I'm in a wintry Sheerness on the Kent coast,
0:11:57 > 0:12:03'where I'm hoping to find a bargain amongst this Georgian grandeur.'
0:12:03 > 0:12:08This is one of the oldest roads in Sheerness.
0:12:08 > 0:12:12Some of these amazing properties date to the early 1800s.
0:12:12 > 0:12:15They really are such beautiful buildings.
0:12:15 > 0:12:18Today's auction lot is just here.
0:12:18 > 0:12:24It's a one-bedroom maisonette with a guide price of £35,000 to £40,000.
0:12:24 > 0:12:28'That guide price of 35,000 to 40,000 got me pretty excited.
0:12:28 > 0:12:34'Its commutable distance from London could make this an attractive rental
0:12:34 > 0:12:39'or long-term investment, if you're able to wait for the market to pick up.
0:12:39 > 0:12:43'So there could be sheer delight in store in Sheerness.'
0:12:43 > 0:12:45SHIVERS
0:12:45 > 0:12:50It is good to get away from the biting winds of Sheerness.
0:12:50 > 0:12:52And what a nice surprise!
0:12:52 > 0:12:56It's in relatively good condition. Some nice detailing.
0:12:56 > 0:12:59There's a separate flat entrance there.
0:12:59 > 0:13:03A couple of flats upstairs. Where's the one we're looking for?
0:13:03 > 0:13:05Must be at the back.
0:13:05 > 0:13:08'I really love the period details.
0:13:08 > 0:13:13'Things are looking pretty hopeful for this one-bed maisonette.'
0:13:13 > 0:13:15Oh.
0:13:15 > 0:13:17I cannot hide my disappointment.
0:13:17 > 0:13:23It's such a shame that this flat is tucked right at the back of this beautiful building.
0:13:23 > 0:13:26I wasn't really expecting this.
0:13:26 > 0:13:30It's almost like the room that somebody forgot.
0:13:30 > 0:13:34There might have been a problem with a leaky bathroom.
0:13:34 > 0:13:39The wallpaper's peeling. Signs of damp. I would get that checked out.
0:13:39 > 0:13:41This staircase dominates the room.
0:13:41 > 0:13:45I'm wondering if you could turn that around.
0:13:45 > 0:13:50As you walk in, go straight upstairs. I'd look into doing that.
0:13:50 > 0:13:54I don't think there's central heating, there's storage heaters.
0:13:54 > 0:13:57It needs a lot of decoration.
0:13:57 > 0:14:01The carpets, well! There are dog hairs all over them!
0:14:01 > 0:14:05It's quite grim, I have to say. The kitchen...
0:14:05 > 0:14:09You've got a little door leading out to the garden.
0:14:09 > 0:14:14Not bad. You've really got to think about this place, once renovated,
0:14:14 > 0:14:16smelling of fresh paint!
0:14:16 > 0:14:20And I can't get out of my head that guide price.
0:14:20 > 0:14:22£35,000 to £40,000?
0:14:22 > 0:14:24That is quite cheap.
0:14:26 > 0:14:30'Head upstairs and you'll find a small and outdated bathroom
0:14:30 > 0:14:32'with a separate loo.
0:14:32 > 0:14:38'The stair configuration means that you have lots of wasted space on this landing.
0:14:38 > 0:14:44'That leads you into the only bedroom, which is not a bad size.
0:14:44 > 0:14:48'It's all a bit shabby, and not in a shabby chic kind of way.
0:14:48 > 0:14:51'But with a little imagination,
0:14:51 > 0:14:55'I'm sure this upstairs space could be made to work much better.
0:14:55 > 0:14:58'A further bonus is the garden.
0:14:58 > 0:15:03'It is shared with the neighbours and you may not get a sea view,
0:15:03 > 0:15:06'but it's a useful outdoor space.
0:15:06 > 0:15:11'We asked a local estate agent for his thoughts on this
0:15:11 > 0:15:14'and the property market in Sheerness.'
0:15:14 > 0:15:17Sheerness is quite a popular area
0:15:17 > 0:15:22for London buyers - you can be in London in an hour, hour and a half.
0:15:22 > 0:15:24It's a little seaside town,
0:15:24 > 0:15:31but it is popular with commuters, first-time buyers - properties are relatively cheap.
0:15:31 > 0:15:35'What does he make of this one-bed maisonette?'
0:15:35 > 0:15:39It's not a bad size property. It's close to the town centre.
0:15:39 > 0:15:43To the train station, so it's idea for commuters.
0:15:43 > 0:15:49Needs a bit of money spent on it, refurbished from top to bottom.
0:15:49 > 0:15:53The good thing is that there is a garden to the apartment.
0:15:53 > 0:15:57It is shared, but there is useable space to the rear of the property.
0:15:57 > 0:16:04'Once renovated, what's the potential to this place on the rental market?'
0:16:04 > 0:16:09We are getting very good rents. Sale prices aren't so high.
0:16:09 > 0:16:15Rental wise, you could achieve between £500 and £550 per calendar month.
0:16:17 > 0:16:22'Wow! If you snap this up for close to the 35 to 40 grand guide price,
0:16:22 > 0:16:25'and kept an eye on the renovation budget,
0:16:25 > 0:16:28'renting this property out could mean an astronomical yield.
0:16:28 > 0:16:33'What about the resale market, where prices aren't quite as sky high?'
0:16:33 > 0:16:38When the property has been completely refurbished,
0:16:38 > 0:16:43you should be able to sell the property in the region of £50,000.
0:16:43 > 0:16:48This is interesting - a sea-front property but without the sea views.
0:16:48 > 0:16:53And it is a bit of a disaster zone. There's no central heating.
0:16:53 > 0:16:56It needs a new kitchen, a new bathroom.
0:16:56 > 0:16:59It needs money spending on it. But the guide price?
0:16:59 > 0:17:03£35,000 to £40,000? Ha! That says it all.
0:17:03 > 0:17:06Let's see who wanted it at auction.
0:17:08 > 0:17:11Lot 46, we go to now, in Sheerness.
0:17:12 > 0:17:16A vacant one-bedroom maisonette.
0:17:16 > 0:17:21It's got nice storage heating. It's mostly double glazed.
0:17:21 > 0:17:23Start me where you will. £35,000?
0:17:23 > 0:17:29Not much money for a one-bedroom maisonette in Sheerness. Can I say £35,000?
0:17:29 > 0:17:31£35,000 bid do I see?
0:17:31 > 0:17:37Cheap money when you get a tenant in. A phenomenal return. All I'm looking for is £35,000.
0:17:37 > 0:17:40Give me 30, then. Be silly. £30,000.
0:17:40 > 0:17:46£30,000. I'm on the way. At 32 now, do I see?
0:17:46 > 0:17:5031 if you like. £31,000 bid. I've got. At 32, it's against you.
0:17:50 > 0:17:5632 I have. 33 now do I see? 33.
0:17:56 > 0:18:00Maisonette here, £33,000? Are you all done at £32,000?
0:18:00 > 0:18:05One more, I can do the deal. At £32,000 I can't. 33 I can.
0:18:05 > 0:18:10Can't tell you what the reserve is, of course. £33,000 can I see?
0:18:10 > 0:18:13We're stuck at £32,000. I'm looking for 33.
0:18:13 > 0:18:19If you're not going to bid another one, I can't do the deal. No?
0:18:19 > 0:18:22Well, you know what you've got to bid... 33.
0:18:22 > 0:18:26I'm obliged, sir. I think you might buy a cheap lot.
0:18:26 > 0:18:2933 I've got. 34 I want, if I can.
0:18:29 > 0:18:34If not, £33,000 I've got by the door. £34,000 and it's against you.
0:18:34 > 0:18:37You were bidding 32. 33 I've now got.
0:18:37 > 0:18:4234 I want. I'm going to sell at 33. For the first time.
0:18:42 > 0:18:4633 for the second time. With you at £33,000.
0:18:46 > 0:18:51'Securing the property at the rock bottom price of £33,000 was Yanis.
0:18:51 > 0:18:55'He attended the auction with his son, Gustavs.
0:18:55 > 0:18:58'Yanis is a builder, stone mason and property developer.
0:18:58 > 0:19:06'His partner Yvetta is an interior designer, and together they also run a granite worktop business.
0:19:06 > 0:19:08# Hey, you the rock steady crew... #
0:19:08 > 0:19:15'Originally from Latvia, Yanis and Yvetta now live in London with their two sons Gustavs and Karlis.
0:19:15 > 0:19:20'I met Yanis at the property to hear his plans.'
0:19:20 > 0:19:26- Congratulations.- Thank you.- You looked like a busy man on auction day. Who were you there with?
0:19:26 > 0:19:31With my family. With a son, trying to bid for this property.
0:19:31 > 0:19:36You had a baby under one arm, trying to buy something that cost £33,000!
0:19:36 > 0:19:39Yeah. Thanks to him, probably, I bought it.
0:19:39 > 0:19:45- Do you normally take your family to auction?- This is the first time I went to auction.
0:19:45 > 0:19:49- Why did you want to buy this property?- Actually, I didn't.
0:19:49 > 0:19:54I went for different property, but that price went up
0:19:54 > 0:19:58and you've got to control your budget!
0:19:58 > 0:20:02This is for my girlfriend for Christmas present.
0:20:02 > 0:20:05I had to get something for her,
0:20:05 > 0:20:09otherwise how can I live without Christmas present?
0:20:09 > 0:20:13- What did your girlfriend say? Was she happy?- She should be.
0:20:13 > 0:20:17- Has she seen it yet?- Not really. Only from floor plans.
0:20:17 > 0:20:20I will show her when is everything ready.
0:20:20 > 0:20:25- You'll show it to her properly when you've made it look fantastic?- Yeah.
0:20:27 > 0:20:29'I like your style, Yanis.
0:20:29 > 0:20:36'Probably the right decision to spare your wife the currently grubby state of this maisonette.'
0:20:36 > 0:20:40Is your girlfriend going to get involved in this?
0:20:40 > 0:20:43Yes. She's interior designer.
0:20:43 > 0:20:49- She's used to designing apartments. - Is she going to have any input, put her special touches?
0:20:49 > 0:20:55She does hardest job in the world at the moment, looking after the kids.
0:20:55 > 0:20:58She will...
0:20:58 > 0:21:03- Let's see.- When you saw it for the first time, what did you think?
0:21:03 > 0:21:09- Were you happy with your first look around this property? - It could be OK for rental.
0:21:09 > 0:21:15- OK. So what are you going to do to change this flat...?- Create space.
0:21:15 > 0:21:19- Without moving down or sideways. - How are you going to do that?
0:21:19 > 0:21:25At the moment, chimney breast is here, which takes a lot of space.
0:21:25 > 0:21:29Then move that wall between kitchen and living room.
0:21:29 > 0:21:33And has to be stairs made in right way, yeah?
0:21:33 > 0:21:36Not from middle of the house,
0:21:36 > 0:21:40but entering from the main door going upwards.
0:21:40 > 0:21:45The same thing upstairs. Everything has to be made open-plan.
0:21:45 > 0:21:50- Will you keep the toilet and bathroom where they are? - No. It's a waste of space.
0:21:50 > 0:21:53That hallway is so big in a small property.
0:21:53 > 0:21:57When we turn the stairs around, we lose the hallway.
0:21:57 > 0:22:02Then you will have proper size bathroom in one room.
0:22:02 > 0:22:06How much do you think it's going to cost to do all the work?
0:22:06 > 0:22:09- What's your budget? - Budget is £5,500.
0:22:09 > 0:22:15- £5,500?- With a fully furnished, fully appliance, everything in.
0:22:15 > 0:22:18- Who's going to do the work? - My builders.
0:22:18 > 0:22:23How long is it going to take to renovate this? How many weeks?
0:22:23 > 0:22:27- Three, if the guys work hard enough! - Three weeks?- Yeah.
0:22:27 > 0:22:30But if the guys are quite lazy, then up to four.
0:22:30 > 0:22:35- Three to four weeks?- Yeah. - Yanis, good luck with this project.
0:22:35 > 0:22:41- You're going to have a lot of fun. Can't wait to see what it looks like.- Thank you very much.
0:22:41 > 0:22:43Yanis is a real character.
0:22:43 > 0:22:48What a fab Christmas present to buy your girlfriend! A sea-front flat!
0:22:48 > 0:22:55Will it really take him just three weeks to renovate? Or will the builders be lazy and take four?
0:22:55 > 0:22:59Join me later in the programme to find out what happens.
0:23:01 > 0:23:07'Coming up, in Blackburn, this two-bed mid-terrace shows great promise.'
0:23:07 > 0:23:10A good space. You can do things with this.
0:23:11 > 0:23:17'Yanis has high hopes for his renovation of this one-bed maisonette in Kent.'
0:23:17 > 0:23:20I hope other people will like it same as I like it.
0:23:22 > 0:23:28'But first, in South Normanton, Derbyshire, Lisa's true colours shine through.'
0:23:28 > 0:23:30I like to go a bit over the top.
0:23:35 > 0:23:38We're back in South Normanton, Derbyshire,
0:23:38 > 0:23:43'to check on progress at this commercial property with workshop and flat.
0:23:43 > 0:23:46'Lisa bought it at auction for £61,000.
0:23:46 > 0:23:51'She intended to move her beauty salon into the shop,
0:23:51 > 0:23:53'and was full of ideas for the rest.'
0:23:53 > 0:23:59I've got where I can work. If I want to live here, I can, or rent it out.
0:23:59 > 0:24:04There's a workshop at the back that I can use for storage and my gym.
0:24:06 > 0:24:09'Lisa set herself a budget of £10,000,
0:24:09 > 0:24:14'and expected to take a couple of months to knock the shop and flat into shape.'
0:24:14 > 0:24:19- The flat is a surprise.- Absolutely. I was quite surprised myself.
0:24:21 > 0:24:27'Five months after our visit, we're back to see what mark Lisa made on the property.
0:24:48 > 0:24:52- CHUCKLES - 'This makes a welcome change
0:24:52 > 0:24:55'from the magnolia we usually see.
0:24:55 > 0:25:00'Lisa has brought her own style and has improved the layout
0:25:00 > 0:25:03'to make it work really well as a beauty salon.'
0:25:03 > 0:25:08I was fortunate enough to start with a blank canvas.
0:25:08 > 0:25:10I've made a reception area.
0:25:10 > 0:25:14The nail treatment area is where I'm going to be working from.
0:25:14 > 0:25:18We put a studded wall in to turn this into a treatment room
0:25:18 > 0:25:23so I can do the waxing, facials and body massage.
0:25:23 > 0:25:26I really think that my clients will be happy.
0:25:26 > 0:25:32'There's room for a hairdressing station, which she will rent out.
0:25:32 > 0:25:37'At the back, she's streamlined the hotchpotch of little rooms
0:25:37 > 0:25:42'to create a kitchenette and extremely useful shower room.
0:25:42 > 0:25:45'The workshop has become part store
0:25:45 > 0:25:49'and part home gym that Lisa promised herself.
0:25:49 > 0:25:52'As for the flat, well, Lisa couldn't resist
0:25:52 > 0:25:56'putting her personal style stamp on that, too.
0:26:14 > 0:26:17'Rather than renting the flat out,
0:26:17 > 0:26:20'Lisa has decided to make it her own and move in!'
0:26:20 > 0:26:24Well, basically, I've just painted it.
0:26:24 > 0:26:28And just put it all together, the chandeliers
0:26:28 > 0:26:33and the lamps, and generally, it's where I like to relax.
0:26:33 > 0:26:39I like to go a bit over the top. It does reflect my personality.
0:26:39 > 0:26:41All this bling!
0:26:41 > 0:26:46'And there was a pleasant surprise in store in the airing cupboard.'
0:26:46 > 0:26:49It wasn't until I'd actually bought the place,
0:26:49 > 0:26:52I thought, "I'll have a look round."
0:26:52 > 0:26:59I found extra space in the loft, so converted it into a dressing room.
0:26:59 > 0:27:03'It hasn't taken Lisa long to fill it up.
0:27:03 > 0:27:08'Work meant that Lisa's timescale slipped from two months to five.
0:27:08 > 0:27:11'But what about her budget?'
0:27:11 > 0:27:14I did budget for about £10,000.
0:27:14 > 0:27:19I've not spent every penny so I might treat myself this weekend.
0:27:20 > 0:27:23'I think you deserve a treat, Lisa.
0:27:23 > 0:27:27'Given the purchase price of 61,000 and her spend of 10,000,
0:27:27 > 0:27:31'Lisa's total outlay fitting out the shop, workshop and flat
0:27:31 > 0:27:34'comes in at just under £71,000.
0:27:34 > 0:27:38'We asked two local experts to cast an eye over the property
0:27:38 > 0:27:41'and give us their opinions on the shop.'
0:27:41 > 0:27:46Since the property's been renovated, very much improved.
0:27:46 > 0:27:50New shop frontage. Perfect for the use.
0:27:50 > 0:27:55The location's ideal for a salon and for an owner-occupier
0:27:55 > 0:27:57that we have now.
0:27:57 > 0:28:02Very impressed by the finishing touches, really.
0:28:02 > 0:28:05First impressions now are very good indeed.
0:28:05 > 0:28:10It looks extremely inviting.
0:28:10 > 0:28:13The makeover has been well achieved.
0:28:13 > 0:28:16And new shop front, so looks the business.
0:28:16 > 0:28:18'What do they make of the flat?'
0:28:18 > 0:28:22It was in good condition previously.
0:28:22 > 0:28:28With it being occupied it just feels more homely and very inviting.
0:28:28 > 0:28:30I do have to say,
0:28:30 > 0:28:33although the lady has put her own stamp on it,
0:28:33 > 0:28:37it really is quite appealing and very, very presentable.
0:28:37 > 0:28:44'Lisa's total spend was 71,000, so what do the experts reckon Lisa could make
0:28:44 > 0:28:47'if she sold up the shop, gym and flat?'
0:28:47 > 0:28:53The resale value in the current market condition is around £75,000.
0:28:53 > 0:28:57The value of the property is probably in the order of £80,000.
0:28:57 > 0:29:03'Those resale valuations mean Lisa could be looking at a pre-tax profit
0:29:03 > 0:29:06'of between £4,000 and £9,000.
0:29:06 > 0:29:08'But the rental market is stronger.
0:29:08 > 0:29:13'They reckon the shop could command a rent of £290 to £330 a month.
0:29:13 > 0:29:15'What about the flat?'
0:29:15 > 0:29:20Rental for the flat would be in the region of £325 per calendar month.
0:29:20 > 0:29:26This is very lettable. I have no doubt you'd get £350 a calendar month.
0:29:27 > 0:29:29# Looking so good!
0:29:30 > 0:29:32# You looking good
0:29:32 > 0:29:36# Like I knew that you would, all right... #
0:29:36 > 0:29:38'Looking good, indeed.
0:29:38 > 0:29:43'Renting out the flat and shop could bring Lisa a very healthy yield
0:29:43 > 0:29:48'of up to 11.5% before fees and expenses. How does that sound?'
0:29:48 > 0:29:52I really hadn't thought much about it. This is mine.
0:29:52 > 0:29:56It's where I'm going to be working from.
0:29:56 > 0:30:00So it means quite a lot to me, really, whatever.
0:30:00 > 0:30:02Yeah. That's good.
0:30:02 > 0:30:06'Lisa's pretty comfy here for now.
0:30:06 > 0:30:10'But what does the future hold for her, the flat and the shop?'
0:30:10 > 0:30:14I'm not sure what the longer term plan is.
0:30:14 > 0:30:19At the moment, this is my baby and I want to make it successful,
0:30:19 > 0:30:21and that's what I'm going to do.
0:30:24 > 0:30:30'I'm in Blackburn, Lancashire, once the weaving capital of the world.
0:30:30 > 0:30:33'These days, it's a town on the up.'
0:30:34 > 0:30:40Blackburn town centre is undergoing a multi-million-pound regeneration programme.
0:30:40 > 0:30:45It's spilling out into the roads that lead into the town centre.
0:30:45 > 0:30:47The council are restoring,
0:30:47 > 0:30:51as you can see, all the properties on the way in. Fantastic news!
0:30:51 > 0:30:58Especially if it's one you might buy, such as this. £45,000 was the guide price.
0:30:58 > 0:31:01Two-bedroom mid-terrace. Let's take a look.
0:31:03 > 0:31:06'The front looks in pretty good nick,
0:31:06 > 0:31:10'with new door, windows and a nice new railing.
0:31:10 > 0:31:14'But there's no escaping the fact that is a really busy road
0:31:14 > 0:31:18'with a bus stop and double yellow lines.
0:31:18 > 0:31:21'Let's hope things look better inside.'
0:31:22 > 0:31:24What on Earth is this?
0:31:24 > 0:31:28It's kind of a stud partition wall which has been
0:31:28 > 0:31:33chopped out to create this interesting design feature.
0:31:33 > 0:31:39Here's your front room. Good news it's got double glazing.
0:31:39 > 0:31:42It would be infinitely better once that's gone!
0:31:42 > 0:31:46- 'I know what this partition needs.' - # ..your sledgehammer... #
0:31:46 > 0:31:52'A couple of blows with a sledgehammer, and this odd partition wall would be history.
0:31:52 > 0:31:56'I wonder if the rest of downstairs needs the same treatment.'
0:31:56 > 0:31:59To the kitchen, and a really nice surprise.
0:31:59 > 0:32:05A good space. Clearly, the units would benefit from being replaced.
0:32:05 > 0:32:09And what about this Swedish sauna look?
0:32:09 > 0:32:13Decorating styles go in cycles.
0:32:13 > 0:32:16Will this be back in fashion soon?
0:32:16 > 0:32:20# It used to be so nice It used to be so good... #
0:32:20 > 0:32:25'I wouldn't take a chance on pine cladding staging a comeback.
0:32:25 > 0:32:30'If making money is the name of the game, I'm afraid this has to go.
0:32:30 > 0:32:34'Now, what does this mid-terrace have in store upstairs?'
0:32:34 > 0:32:36So, upstairs, two bedrooms.
0:32:36 > 0:32:38A large one at the front
0:32:38 > 0:32:41and a smaller one at the back.
0:32:41 > 0:32:45Somebody's done a conversion to bring upstairs the bathroom.
0:32:45 > 0:32:49I think, in this instance, worth the sacrifice.
0:32:49 > 0:32:52To have the upstairs loo, big plus.
0:32:52 > 0:32:56'Once upon a time, there may well have been an outside loo.
0:32:56 > 0:33:00'Nowadays, there's not a lot going on out here,
0:33:00 > 0:33:04'but you do get a garden of sorts.
0:33:04 > 0:33:07'But I've spotted something that needs closer inspection.'
0:33:07 > 0:33:11Well, here in the main bedroom,
0:33:11 > 0:33:13problems with damp round the window.
0:33:13 > 0:33:16The plasterwork is all blown out.
0:33:16 > 0:33:20My guess is that's coming through the window.
0:33:20 > 0:33:23It's clearly not rising damp.
0:33:23 > 0:33:26It's unusual, so it needs investigating
0:33:26 > 0:33:30to find out where the damp is coming from.
0:33:30 > 0:33:35It could be a problem from before the external refurbishment.
0:33:35 > 0:33:37Either way, it needs to be checked.
0:33:41 > 0:33:47'I don't think the damp is a deal-breaker, but safest to get it checked out.
0:33:47 > 0:33:52'If you did get this for its guide price of 45,000, it could be a good buy.
0:33:52 > 0:33:57'We asked a local estate agent to give us his thoughts.'
0:33:58 > 0:34:02It does need quite a significant amount of work.
0:34:02 > 0:34:06The kitchen is cladded with pine boards and that really is
0:34:06 > 0:34:09out of date by quite a few years.
0:34:09 > 0:34:16'What does the estate agent suggest is the way forward for this two-bed mid-terrace?'
0:34:16 > 0:34:18We need an upgrade to the kitchen,
0:34:18 > 0:34:21an upgrade to the bathroom,
0:34:21 > 0:34:25and I would pay attention to the outside of the property.
0:34:25 > 0:34:28At the back, it is in a poor state.
0:34:28 > 0:34:33'If the work was done, what could the property fetch as a rental?'
0:34:33 > 0:34:39To let this two-bed property in this market at this moment in time,
0:34:39 > 0:34:44you'd be getting between £400 and £425 per calendar month.
0:34:44 > 0:34:52'If the purchaser were to sell it on, what kind of resale value would he estimate for this place?'
0:34:52 > 0:34:58I don't think you could push the value above £70,000. That would be the absolute maximum.
0:34:59 > 0:35:04Sadly, better on the outside than it is on the inside.
0:35:04 > 0:35:10I still think this is a great property to go for, with all that's going on to refurbish Blackburn.
0:35:10 > 0:35:15Shame about the road. Still, who fancied it when it went under the hammer?
0:35:15 > 0:35:17Lot 56,
0:35:17 > 0:35:20a vacant two-bedroom terrace.
0:35:20 > 0:35:24Guide 45,000. Who's going to give me 45?
0:35:24 > 0:35:29May I say 30, then? £30,000 and we're away.
0:35:29 > 0:35:33£30,000. 30 I have. Do I see 35?
0:35:33 > 0:35:3830 I have. 35,000 bid. It's against you at 40.
0:35:38 > 0:35:4040,000. 45? Two of you?
0:35:40 > 0:35:44At 40,000 I have. 41? 41,000?
0:35:44 > 0:35:4541. 42?
0:35:45 > 0:35:4842. 43?
0:35:48 > 0:35:50At 43 I'm at, then. 43?
0:35:50 > 0:35:5343,000? At 43,000.
0:35:53 > 0:35:56It's your bid at 42. 43 anywhere?
0:35:56 > 0:35:5942 on the right. 43? 43,000. 44?
0:35:59 > 0:36:0244,000? 45?
0:36:02 > 0:36:06At 44,000 for the first time, seated.
0:36:06 > 0:36:09At 45. At 45,000, then.
0:36:09 > 0:36:1445,000. Put you in for another one. No? 45,000 for the first time.
0:36:14 > 0:36:18At 45,000 for the second time. Are we all done at £45,000...?
0:36:18 > 0:36:22- BANGS GAVEL - Easy as that!
0:36:22 > 0:36:27# Easy like Sunday morning... #
0:36:27 > 0:36:30'As easy as falling off a log, you might say.
0:36:30 > 0:36:38'For bang on the guide price of 45 grand, the successful bid was made by civil servant Ifty.
0:36:38 > 0:36:46'I caught up with him back at the mid-terrace to see what's in store for his first purchase at auction.'
0:36:46 > 0:36:51- Ifty, congratulations.- Thank you. - Tell me why you wanted this place.
0:36:51 > 0:36:54An investment, really, to make a bit of money.
0:36:54 > 0:36:59I'm buying it to sell. I'm going to do it up top to bottom and sell it.
0:36:59 > 0:37:04- Do you know the Blackburn area well? - I live about five, ten minutes away.
0:37:04 > 0:37:09I've lived in Blackburn all my life, so I thought get somewhere local.
0:37:09 > 0:37:15- What was it about this property? - It was just a two-up, two-down, I guess!
0:37:15 > 0:37:18It was a decent price. It's on a main road.
0:37:18 > 0:37:21So I thought, "Go for it!"
0:37:21 > 0:37:24- You saw the main road as a positive? - Yeah.
0:37:24 > 0:37:26Normally, you do have parking.
0:37:26 > 0:37:31Because of work, they've put double yellows on this side.
0:37:31 > 0:37:36You've got street parking on the side as well, so it's not too bad.
0:37:36 > 0:37:39'A little local knowledge goes a long way.
0:37:39 > 0:37:45'If the double yellow lines are removed when the work is finished,
0:37:45 > 0:37:50'then parking will be easier and the property more attractive to buyers.'
0:37:50 > 0:37:52Tell me about you.
0:37:52 > 0:37:56- Um... Well, I work full time. - What do you do?
0:37:56 > 0:37:58I'm a civil servant.
0:37:58 > 0:38:03I process benefit claims for people over 60.
0:38:03 > 0:38:08Yeah, so I work full time, So I won't be doing a lot of work here.
0:38:08 > 0:38:12I will be giving it to a builder to do everything.
0:38:12 > 0:38:17I'll be project managing, I guess, make sure he's doing the work!
0:38:17 > 0:38:19Have you done this before?
0:38:19 > 0:38:23I moved into my house a few years ago, and did that top to bottom.
0:38:23 > 0:38:26- Put a dormer on and that.- Oh, right.
0:38:26 > 0:38:29I've been helping my brother do his house as well.
0:38:29 > 0:38:32I've not got much skilled experience
0:38:32 > 0:38:36but I do a bit of labouring and stuff.
0:38:36 > 0:38:42- Tell me what you're going to do. - I was thinking of just a normal refurbishment.
0:38:42 > 0:38:45New plaster, new kitchen, full electrics.
0:38:45 > 0:38:50But then I thought it'll sell better as a three-bedroom than two-bedroom.
0:38:50 > 0:38:56- So I am going to convert the attic. - Oh!- Into a third bedroom.
0:38:56 > 0:39:00- Hopefully, put an en suite in or something.- Oh, gosh!
0:39:00 > 0:39:04Talk me through the costings, how much you think it'll add value.
0:39:04 > 0:39:07Um, I think the whole work,
0:39:07 > 0:39:10as a three-bedroom property, everything,
0:39:10 > 0:39:12should be about 22,000.
0:39:12 > 0:39:17I hope to sell it at probably about 80, 85.
0:39:17 > 0:39:22Right. And how much will it sell as a two-bedroom, do you think?
0:39:22 > 0:39:28I would get at least, probably about, I would say...75 at least.
0:39:28 > 0:39:34- OK.- But depends on the market, cos we're not selling as many houses.
0:39:34 > 0:39:40£10,000 worth of difference. How much is it going to cost you to put that extra bedroom on?
0:39:40 > 0:39:43Probably about 5,000 or 6,000.
0:39:43 > 0:39:48But I feel that it will sell better as a three-bedroom than two-bedroom.
0:39:48 > 0:39:52That's the main thing, really. Getting it sold!
0:39:52 > 0:39:55'Alarm bells are ringing in my head.'
0:39:55 > 0:39:57# Hey, ring the alarm
0:39:57 > 0:39:59# Hey, oh! #
0:39:59 > 0:40:04'I'm a little concerned that Ifty's expectations are on the high side.
0:40:04 > 0:40:08'Six grand for a loft conversion is ambitious.
0:40:08 > 0:40:13'But before Ifty attacks the loft, there's the interior to sort out.'
0:40:13 > 0:40:16What about the front room, that really silly bit of wall?
0:40:16 > 0:40:21Yeah, am thinking of knocking that down, opening the room up
0:40:21 > 0:40:23nice and fully.
0:40:23 > 0:40:26What about the ceiling in the kitchen here?
0:40:26 > 0:40:30This is all going to go. I'll probably lower it.
0:40:30 > 0:40:35- Skim it off so everything looks nice and cosy.- Great.
0:40:35 > 0:40:39- What timescale?- Hopefully, within two weeks, I'll get work started,
0:40:39 > 0:40:44- and get it completed within, hopefully, three months.- Great.
0:40:44 > 0:40:47- Then what for you? Move on to another one?- Yeah.
0:40:47 > 0:40:49Hopefully, I can sell it.
0:40:49 > 0:40:52Cos, er... I mean...
0:40:52 > 0:40:55Properties aren't selling as...they should be!
0:40:55 > 0:41:00But yeah, sell it, then move on to something else, hopefully.
0:41:00 > 0:41:02What if you can't sell it?
0:41:02 > 0:41:08I will consider renting it but then, it's more of a hassle,
0:41:08 > 0:41:10you know, maintaining the house.
0:41:10 > 0:41:14If I do it top to bottom, I'd rather get it off my hands.
0:41:14 > 0:41:20- I wish you all the best. Look forward to seeing how you get on.- Thank you.
0:41:20 > 0:41:25Ifty going to his first auction and buying his first investment property.
0:41:25 > 0:41:30I'm a little bit concerned that the numbers don't quite stack up,
0:41:30 > 0:41:36the amount he'll spend sorting out that third bedroom, compared to the amount he'll get back.
0:41:36 > 0:41:42Everything hangs on him being able to sell it which, in the current climate, is no given.
0:41:42 > 0:41:45Find out how he gets on later in the show.
0:41:48 > 0:41:53Time has passed and money has been spent. Are the results worth it?
0:41:53 > 0:41:57Have our buyers been busy or let the grass grow under their feet?
0:41:57 > 0:41:59Time to go back and find out.
0:41:59 > 0:42:02# Smoke on water
0:42:02 > 0:42:04# Fire in the sky
0:42:05 > 0:42:07# Smoke on water... #
0:42:07 > 0:42:10'We're back to Sheerness on the Kent coast
0:42:10 > 0:42:15'to find out how granite and worktop impresario Yanis
0:42:15 > 0:42:20'got on renovating this one-bed maisonette he bought for only 33,000
0:42:20 > 0:42:24'as a Christmas present for his girlfriend Yvetta.'
0:42:24 > 0:42:29- Was she happy?- She should be. - Has she seen it yet?- Not really.
0:42:30 > 0:42:33'Let's hope that he's transformed the place.
0:42:33 > 0:42:36'He certainly had impressive plans.'
0:42:36 > 0:42:40Everything has to be taken out and make open-plan.
0:42:40 > 0:42:42'Yanis set a budget of £5,500,
0:42:42 > 0:42:48'and gave himself and his builders a timescale that was just as tight.'
0:42:48 > 0:42:54- How long's it going to take? How many weeks? - Three, if the guys work hard enough.
0:42:54 > 0:42:58- Three weeks?- But if the guys are quite lazy, then up to four.
0:42:58 > 0:43:03'Just five and a half weeks after our first visit,
0:43:03 > 0:43:07'we're back to see how Yanis has got on.'
0:43:07 > 0:43:12MUSIC: "Let Your Love Flow" by the Bellamy Brothers
0:43:23 > 0:43:27'Yanis! We love it! I think it's safe to say you've aced this one.
0:43:27 > 0:43:31'You've let the love and the light flow into the property.
0:43:31 > 0:43:37'That grubby peach bath suite with separate loo is a distant memory.
0:43:37 > 0:43:41'The wet room that replaces them is incredible.'
0:43:41 > 0:43:46This bit we're calling my dream shower panel,
0:43:46 > 0:43:51which has body jets and radio and different options,
0:43:51 > 0:43:56like rain jets and a standard shower.
0:43:56 > 0:44:02Then we have green lights coming through the back of the dream panel.
0:44:02 > 0:44:08At the same time, you can enjoy music and have fun in the shower.
0:44:08 > 0:44:12# Let your love fly Like a bird on the wing... #
0:44:12 > 0:44:17'This property is more than just granite and great gadgets.
0:44:17 > 0:44:19'By rejigging the stairs,
0:44:19 > 0:44:26'Yanis has been able to fit in a second bedroom/study - genius!
0:44:26 > 0:44:30'The new staircase gives more space and looks fantastic!
0:44:30 > 0:44:34'To comply with building regs, it should have a banister.
0:44:34 > 0:44:40'The open-plan kitchen/living room looks as though it belongs
0:44:40 > 0:44:43'on the pages of a glossy magazine.'
0:44:43 > 0:44:48The kitchen, it looks nice to me, because this is open-plan kitchen.
0:44:48 > 0:44:55My idea was to make it less noticeable this is a kitchen.
0:44:55 > 0:45:00In that case, I have designed a marble-made extractor fan
0:45:00 > 0:45:03with a motor inside
0:45:03 > 0:45:05and at the same time make it flush.
0:45:05 > 0:45:10The hob and the sink I tried to hide in a corner with the tap.
0:45:10 > 0:45:15It's not in the centre of the room. I'm very pleased with the kitchen.
0:45:15 > 0:45:20It looks amazing to me and I hope other people will like it same as I like it.
0:45:22 > 0:45:26'As long as they don't mind marble and granite, that's a safe bet.
0:45:26 > 0:45:31'The stuff is everywhere. It's on the bedroom window sills.
0:45:31 > 0:45:36'He's even used it to create a dining area in the shared garden.
0:45:36 > 0:45:43'Do you think you've gone a little too far with the granite, Yanis?'
0:45:43 > 0:45:48I didn't make a granite staircase or do skirtings out of granite.
0:45:48 > 0:45:52This was everything left over from the jobs
0:45:52 > 0:45:56and I managed to squeeze in this job and same time cleared my space.
0:45:56 > 0:46:02'A-ha! So, how has using up leftover material from his day job,
0:46:02 > 0:46:08'providing stone worktops, impacted on his £5,500 budget?'
0:46:08 > 0:46:11I didn't count the bills.
0:46:11 > 0:46:17I was buying and using my own goods.
0:46:17 > 0:46:20But I spent, I could say, seven?
0:46:20 > 0:46:23If I spent more, I will pay from my pocket.
0:46:23 > 0:46:27'Seven grand? That's amazing!
0:46:27 > 0:46:29'The build timescale may have slipped
0:46:29 > 0:46:34'from four weeks to five and a half weeks, but that's still speedy.
0:46:34 > 0:46:39'Yanis bought the property as a Christmas present for his partner, Yvetta.
0:46:39 > 0:46:43'Does she think it's a cracker or a turkey?'
0:46:43 > 0:46:47I think it's the best present I ever had!
0:46:47 > 0:46:52He done great work, very good work. He was working very hard.
0:46:52 > 0:46:54Days and nights.
0:46:54 > 0:46:57'It looks like the hard work's not over yet,
0:46:57 > 0:47:02'with Karlis and Gustavs so full of energy.
0:47:02 > 0:47:07'We asked two local estate agents to give us their thoughts.'
0:47:07 > 0:47:08It's amazing!
0:47:08 > 0:47:12He's gone beyond what most developers would do in a property.
0:47:12 > 0:47:16The quality of the finish in this property is much higher
0:47:16 > 0:47:19than I expected in the local area.
0:47:19 > 0:47:24It's more of a London standard, I would say.
0:47:24 > 0:47:28Adding the second bedroom's certainly a benefit.
0:47:28 > 0:47:31It attracts more buyers and opens it up to a bigger target.
0:47:31 > 0:47:35Bathroom is fantastic! It's very high-spec.
0:47:35 > 0:47:39The shower, you wouldn't want to get out of it. It's wonderful.
0:47:39 > 0:47:43'Yanis has done this project on a shoestring.
0:47:43 > 0:47:47'His total spend is a very impressive £40,000.
0:47:47 > 0:47:50'What could it sell for now?'
0:47:52 > 0:47:56The sell price would be around 60,000, 65,000.
0:47:56 > 0:48:03This particular property I'd put up for sale in the region of 65,000 to 70,000, in its current condition.
0:48:03 > 0:48:09'Those valuations could mean a pre-tax profit of 20,000 to 30,000.
0:48:09 > 0:48:12'Not bad for five and a half weeks' work!
0:48:12 > 0:48:18'But both estate agents agree the local resale market is not strong.
0:48:18 > 0:48:20'So what about the rental market?'
0:48:20 > 0:48:23The rental value of this property,
0:48:23 > 0:48:27I'd say it would achieve up to £625 per calendar month.
0:48:27 > 0:48:32I think, per calendar month, I'd be looking at achieving around 625.
0:48:32 > 0:48:35Possibly up to £650.
0:48:38 > 0:48:41'Looks like Yanis might be quids-in on this one.
0:48:41 > 0:48:44'Those rental valuations could mean
0:48:44 > 0:48:51'that he's looking at a mind-blowing yield of between 18.5% and 19.5%.
0:48:51 > 0:48:55'What does the man himself make of that?'
0:48:55 > 0:48:58Crazy money! Very high price.
0:48:58 > 0:49:01Only to get the right tenants
0:49:01 > 0:49:04who will look after the property.
0:49:04 > 0:49:09I don't see any point to selling. In six years, I can get my money back!
0:49:09 > 0:49:11'So the big question is,
0:49:11 > 0:49:15'what will he buy Yvetta for Christmas next year?'
0:49:15 > 0:49:18Good question. She has everything!
0:49:18 > 0:49:22The only thing is missing marriage at the moment.
0:49:22 > 0:49:26But I don't know. I am still too young to get married!
0:49:29 > 0:49:34'We're back in Blackburn, to see how civil servant Ifty has got on
0:49:34 > 0:49:39'renovating this two-bed mid-terrace which he bought for 45 grand.
0:49:39 > 0:49:43'This was Ifty's first investment project.
0:49:43 > 0:49:48'He'd set a three-month timescale and £22,000 budget to turn it around.'
0:49:48 > 0:49:52I was thinking of doing just a normal refurbishment.
0:49:52 > 0:49:56New plaster, new kitchen, full electrics.
0:49:56 > 0:50:01Then I thought it'll sell better as a three-bedroom than a two-bedroom.
0:50:01 > 0:50:05- I am going to convert the attic into a bedroom.- Oh!
0:50:05 > 0:50:10Hopefully, if there's space, put an en suite in or something.
0:50:10 > 0:50:14'Three and a half months later, we're back. Has Ifty been nifty?
0:50:14 > 0:50:19'And has this, his first renovation, gone as planned?
0:50:24 > 0:50:28'So the first thing to say is that it's not finished.
0:50:28 > 0:50:31'That's not to say that Ifty's builders were slacking.
0:50:31 > 0:50:35'More than just that pine cladding has come out.
0:50:35 > 0:50:40'Chimney breasts have been removed, walls rebuilt and partitions put up.
0:50:40 > 0:50:45'On the first floor, the full extent of the work becomes clear.
0:50:45 > 0:50:49'The damp checked out OK so it was full-steam ahead
0:50:49 > 0:50:54'for Ifty, as he explains in the spacious master en suite bedroom.'
0:50:54 > 0:50:57This was a large room to begin with.
0:50:57 > 0:51:01We had the chimneys coming out to here.
0:51:01 > 0:51:05I've taken all the chimney breasts out from the house.
0:51:05 > 0:51:09I did have to make a full concrete wall,
0:51:09 > 0:51:13which was a big job, but it's made these walls straight
0:51:13 > 0:51:15and given us all this extra space.
0:51:15 > 0:51:19I've had a lot of space to make an en suite.
0:51:19 > 0:51:23I'm going to have a toilet, sink and shower, fully tiled.
0:51:23 > 0:51:30There's space to get your drawers there and a nice double bed.
0:51:30 > 0:51:35'The new en suite will take this two-bed mid-terrace property
0:51:35 > 0:51:37'into a different league.
0:51:37 > 0:51:41'But wait a minute! There's more! Bring on the loft conversion!'
0:51:41 > 0:51:44It's a completely new bedroom up here.
0:51:44 > 0:51:51It was a two-bed before, but I put a completely new floor up here.
0:51:51 > 0:51:55Nice double bedroom. Got two nice sky windows.
0:51:55 > 0:51:57I'm really happy with the finish.
0:51:57 > 0:52:01It's definitely going to maximise the value.
0:52:01 > 0:52:05A three-bed will sell better than a two-bed.
0:52:05 > 0:52:07You've got nice storage space.
0:52:07 > 0:52:10It looks nice. I'm happy with it.
0:52:10 > 0:52:14'I'm really impressed with how Ifty's maximised the space.
0:52:14 > 0:52:18'Those roof windows are letting lots of natural light stream in.'
0:52:18 > 0:52:23# Let it shine
0:52:23 > 0:52:25# Let it shine. #
0:52:25 > 0:52:30'The property's two-up, two-down status is firmly in the past,
0:52:30 > 0:52:34'but has it been at the cost of future projects for Ifty?
0:52:34 > 0:52:40'Has the loft conversion broken the ceiling of his £22,000 budget?'
0:52:40 > 0:52:43At the moment, it's about 18,000.
0:52:43 > 0:52:45I think, to finish it...
0:52:45 > 0:52:52I would like it to come to about 22,000, but it might be between 22 and 26.
0:52:52 > 0:52:56Depending on how much the bathrooms cost and the kitchen,
0:52:56 > 0:52:58and on what kind of finish I go for.
0:52:58 > 0:53:05I want to go for a high-end finish to sell it, so it might go up to 26 to 28.
0:53:05 > 0:53:07'Hang on a minute. 22? 26? 28,000?
0:53:07 > 0:53:13'Watch out, Ifty. It's climbing higher the more you think about it.
0:53:13 > 0:53:20'A 28-grand budget would take his total spend to 73,000, and he's already behind schedule.'
0:53:20 > 0:53:26It's been about three months. My original timescale was about three months.
0:53:26 > 0:53:29I think it'll be another month before we finish.
0:53:29 > 0:53:34'It's not the worst I've heard in terms of shifting timescales,
0:53:34 > 0:53:38'but he really needs to keep an eye on that budget.
0:53:38 > 0:53:43'He's making a massive improvement, but will he reap any rewards?
0:53:43 > 0:53:46'What do two local estate agents think?'
0:53:46 > 0:53:51I didn't expect the amount of work to be done to this standard.
0:53:51 > 0:53:56The property is completely different to the original layout.
0:53:56 > 0:54:01If the amenities installed come up to the same standard of work,
0:54:01 > 0:54:03it should be great.
0:54:03 > 0:54:09Having had a look around, it's good how they've used the space very well.
0:54:09 > 0:54:15A third bedroom is a good selling point, and also the en suite master
0:54:15 > 0:54:18will be a good selling point.
0:54:18 > 0:54:22In a competitive market, you've got to make your property stand out,
0:54:22 > 0:54:27and if it's got an en suite, that's making it stand out from the crowd.
0:54:27 > 0:54:30'No reason to be miffed there, Ifty.
0:54:30 > 0:54:36'What about the rental potential of this now three-bed mid-terrace?'
0:54:36 > 0:54:40There is a big demand for rental property in the area.
0:54:40 > 0:54:45If it's done to a good standard, which it must be to attract tenants,
0:54:45 > 0:54:49you'd be looking around £450 per calendar month.
0:54:49 > 0:54:56I'd be able to rent this property out between a figure of £425 and £450 per calendar month.
0:54:56 > 0:54:59'That's OK, a yield of around 7%,
0:54:59 > 0:55:03'even if it costs at the higher end of his budget.
0:55:03 > 0:55:08'Ifty's plan is to sell the property so, if his outlay does reach 73,000,
0:55:08 > 0:55:11'could he still end up in profit?'
0:55:11 > 0:55:17When renovated, the property could be sold for a figure of £75,000 to £80,000.
0:55:17 > 0:55:22I think, if this was placed on the open market today,
0:55:22 > 0:55:26we would be looking at a figure no greater than £80,000.
0:55:26 > 0:55:33'Ah, so if Ifty does over spend on his budget and decides to sell,
0:55:33 > 0:55:40'he could be looking at a pre-tax profit between £2,000 and £7,000, minus usual selling expenses.'
0:55:40 > 0:55:42For the finish I'm going for,
0:55:42 > 0:55:46I was expecting between around about 85 to 87.
0:55:46 > 0:55:49Cos it is going to be a really nice finish.
0:55:49 > 0:55:54I know that I will have to price it at a realistic price,
0:55:54 > 0:56:00because of the market, but I was expecting about...80 to 85 really.
0:56:00 > 0:56:02Close to the 85 mark.
0:56:02 > 0:56:05But...it's OK.
0:56:05 > 0:56:11I will still make something out of it so...it's not too bad.
0:56:13 > 0:56:18'I hope he does make the figure he's hoping for because he's worked hard
0:56:18 > 0:56:23'to create something special out of a property that didn't stand out before.
0:56:23 > 0:56:29'Ifty's got vision, and that'll count for something in future, if he hasn't been put off.'
0:56:29 > 0:56:34I would do this again because it's been a good learning experience
0:56:34 > 0:56:39and just the way the house was at the beginning, really dark, dingy.
0:56:39 > 0:56:44Now it's a really nice house. Once it's finished, it'll look superb.
0:56:47 > 0:56:53That's the stories from today's show, but anything can happen and does happen on Planet Property.
0:56:53 > 0:56:58- So join us next time for more Homes Under The Hammer.- Goodbye.
0:57:16 > 0:57:19Subtitles by Red Bee Media Ltd
0:57:19 > 0:57:22E-mail subtitling@bbc.co.uk