0:00:02 > 0:00:04- Hello!- It's not just homes that can be bought at auction,
0:00:04 > 0:00:07there's office space, holiday hideaways
0:00:07 > 0:00:09and even investment properties.
0:00:09 > 0:00:13We've seen allsorts of outcomes and creations over the years
0:00:13 > 0:00:15buying property under the hammer.
0:00:40 > 0:00:42The auction is fast-paced,
0:00:42 > 0:00:45but do your homework and you could be onto a good thing.
0:00:45 > 0:00:51Know your facts. Buy the right property in the right location and at the right price.
0:00:51 > 0:00:54Get the three Rs right and you could be onto a good thing.
0:00:54 > 0:00:58Here are the properties that inspired the buyers on today's show.
0:00:59 > 0:01:04Coming up... In Devon, wild horses couldn't drag me from this former coach house.
0:01:04 > 0:01:08An amazing opportunity for a mind-blowingly brilliant project.
0:01:09 > 0:01:14This Victorian mid-terrace in London has me hooked in more ways than one.
0:01:14 > 0:01:18..10, 11, 12, 13, 14, 15, 16... 17 coat hooks!
0:01:19 > 0:01:24And in Yorkshire, this detached property may look quirky and interesting,
0:01:24 > 0:01:29but inside it doesn't quite match up to those expectations.
0:01:30 > 0:01:33All these properties have been sold at auction.
0:01:33 > 0:01:37We'll find out who bought them and what they paid for them when they went under the hammer.
0:01:37 > 0:01:39It's yours, sir. Well done.
0:01:41 > 0:01:45For the first lot that went under the hammer,
0:01:45 > 0:01:50I'm in Devon, visiting a property close to the village of Exbourne.
0:01:50 > 0:01:55Exbourne is very much a rural Devon village,
0:01:55 > 0:01:57surrounded by beautiful countryside.
0:01:57 > 0:02:01Yet, it's only five miles from Okehampton and all the facilities.
0:02:01 > 0:02:03There's a shop, a post office and, of course, a pub.
0:02:03 > 0:02:08And the property I'm here to see is just down this little lane.
0:02:08 > 0:02:10The property is a former coach house,
0:02:10 > 0:02:13built around 1840.
0:02:13 > 0:02:19It's been a home for the horses, carriages and grooms for the local country house.
0:02:21 > 0:02:24The coach house had a guide price of £150,000
0:02:24 > 0:02:27and is in a great spot, overlooking the fields.
0:02:27 > 0:02:33Let's start on the top floor, formerly the grooms' accommodation.
0:02:33 > 0:02:36Well, those external stairs are the only access
0:02:36 > 0:02:40to the main living accommodation, so that's not ideal.
0:02:40 > 0:02:44But what have we got? Well, straight into this room here,
0:02:44 > 0:02:48which is a living room, I suppose. Little wood-burning stove...
0:02:48 > 0:02:52Very little in the way of heating. It is actually quite cold today!
0:02:52 > 0:02:57You've got storage radiators. Definitely need to sort that. Bedroom there, I imagine.
0:02:57 > 0:03:00You get the feeling straight away it's just one long...
0:03:00 > 0:03:03..kind of linking set of rooms.
0:03:03 > 0:03:07Not at all ideal. In a very shabby state,
0:03:07 > 0:03:09nowhere more so than in the kitchen here,
0:03:09 > 0:03:12which smells damp, it feels damp.
0:03:12 > 0:03:15It's clearly in need of total renovation.
0:03:15 > 0:03:20We're talking about ripping out the whole of the central part of the property,
0:03:20 > 0:03:23leaving the walls, and reconfiguring it properly.
0:03:23 > 0:03:26At the moment, it doesn't work, really, does it?
0:03:32 > 0:03:35I'm wondering how much could be salvaged here.
0:03:35 > 0:03:39There are some lovely fireplaces and original features,
0:03:39 > 0:03:41but so much appears to be patched up.
0:03:41 > 0:03:44The electrics are going to need a full safety check
0:03:44 > 0:03:47and the plumbing will need replacing, as well.
0:03:47 > 0:03:49As for the tiny bathroom and loo,
0:03:49 > 0:03:53well, you can't ignore the damp, the cracks and the smell of mould.
0:03:53 > 0:03:57And the cracks continue downstairs.
0:03:57 > 0:04:01Well, downstairs, depending on your point of view,
0:04:01 > 0:04:05it either gets much worse or actually much better.
0:04:05 > 0:04:07These are the original stables.
0:04:07 > 0:04:11As you can see, a lot of the original fittings are still here.
0:04:11 > 0:04:14But what you've got is a fantastic space.
0:04:14 > 0:04:18Now we're thinking about how we're going to do something with this property,
0:04:18 > 0:04:22whether or not you could try and keep some of the feeling of this stable.
0:04:22 > 0:04:25But either way, suddenly I'm thinking,
0:04:25 > 0:04:28"What an amazing opportunity for a mind-blowingly brilliant project."
0:04:28 > 0:04:32Off the stable area, there are two further rooms.
0:04:32 > 0:04:35There's plenty of square footage here,
0:04:35 > 0:04:38enough to make an excellent kitchen and living space.
0:04:38 > 0:04:42But it's obvious just from having a quick look
0:04:42 > 0:04:45that the structure needs serious attention first.
0:04:45 > 0:04:49Like a lot of rural properties of this kind of age,
0:04:49 > 0:04:52the coach house is made of cob.
0:04:52 > 0:04:55That's a mixture of sand, straw and clay.
0:04:55 > 0:04:59It doesn't sound very stable or long-lasting, does it?
0:04:59 > 0:05:04Actually, it is, as long as the hat and the feet are in good condition.
0:05:04 > 0:05:07Basically, as long as the roof and the foundations are OK.
0:05:07 > 0:05:10But once the render starts to go,
0:05:10 > 0:05:14or you have problems with the roof or the foundations,
0:05:14 > 0:05:17things, as you saw there, just start to crumble
0:05:17 > 0:05:20and then you really have got problems.
0:05:20 > 0:05:24But this coach house, that went to auction at a guide price of £150,000,
0:05:24 > 0:05:30has one last surprise in store, tucked away out of sight.
0:05:30 > 0:05:33Come through this little archway
0:05:33 > 0:05:36and what do you think you're going to find?
0:05:36 > 0:05:41I'll tell you what, I bet you don't expect to find this!
0:05:41 > 0:05:43It's a walled garden
0:05:43 > 0:05:47with all these beautiful conifers.
0:05:47 > 0:05:50I mean, on a frosty morning like this,
0:05:50 > 0:05:53I imagine at any time of the year,
0:05:53 > 0:05:57it's absolutely charming.
0:05:57 > 0:06:01# In my secret garden
0:06:01 > 0:06:04# A rose without a thorn #
0:06:06 > 0:06:09In addition to the garden, there's an area to the front,
0:06:09 > 0:06:13so in total, about half an acre of grounds.
0:06:13 > 0:06:17We invited a local property expert, who works for the auctioneer,
0:06:17 > 0:06:20to tell us more about this unusual period property.
0:06:20 > 0:06:25What are the options for anyone tempted to purchase this former coach house?
0:06:25 > 0:06:30I don't think the planners would be very keen on it being knocked down.
0:06:30 > 0:06:33I think you could retain some of the character,
0:06:33 > 0:06:38the beams and original fabric could be used again on a very nice conversion.
0:06:38 > 0:06:43I think you can extend it under permitted development, I'm sure there'd be no objection,
0:06:43 > 0:06:46and make a really nice three or four-bedroom house.
0:06:46 > 0:06:50So a charming character property in a beautiful setting.
0:06:50 > 0:06:53Once renovated, would there be a rental demand?
0:06:53 > 0:06:56As a newly refurbished house, it would rent very easily.
0:06:56 > 0:06:59Depending on whether it was a three or four-bed,
0:06:59 > 0:07:04I think it would rent for between £900 and £1,000 per calendar month.
0:07:04 > 0:07:09The property went to auction guided at £150,000.
0:07:09 > 0:07:12So, once renovated, what could the place sell for?
0:07:12 > 0:07:15If it was converted to a really good specification,
0:07:15 > 0:07:20I think it would easily fetch £325,000, maybe even £350,000.
0:07:20 > 0:07:24If you made it into a four-bedroom house by extending it,
0:07:24 > 0:07:27you'd probably fetch something in the region of £375,000,
0:07:27 > 0:07:30maybe a bit more.
0:07:30 > 0:07:34Depending on what kind of a person you are, you'll be either thinking,
0:07:34 > 0:07:38"Just no way!" or "What a fantastic opportunity."
0:07:38 > 0:07:42I fall into the second category. I would love to take this place on.
0:07:42 > 0:07:45Gorgeous location, fantastic little garden,
0:07:45 > 0:07:48about as much character as you could possibly hope for...
0:07:48 > 0:07:51Let's see who agreed with me when it went under the hammer.
0:07:51 > 0:07:56On lot 54, we have a telephone bid. Tremendous opportunity here.
0:07:56 > 0:08:01A two-storey former coach house. Guide price is £150,000-plus.
0:08:01 > 0:08:03I've got a property bid, too,
0:08:03 > 0:08:07so I'm going to start the bidding at £150,000.
0:08:07 > 0:08:11I've got a bid of £150,000. Any competition from the phone or the room?
0:08:11 > 0:08:15155. 160. 165. 170.
0:08:15 > 0:08:18Any advance on 170? What about the phone?
0:08:18 > 0:08:22175, new place. 175. 180. £180,000.
0:08:22 > 0:08:27At 182. I've taken 182. You can go 185 or 184.
0:08:27 > 0:08:29184? 185!
0:08:29 > 0:08:34'This auction lot was, not surprisingly, keenly contested.
0:08:34 > 0:08:35'We pick it up later,
0:08:35 > 0:08:38'when the bidding has reached £205,000.'
0:08:38 > 0:08:39205.
0:08:39 > 0:08:41206.
0:08:41 > 0:08:46207. 208. 209.
0:08:46 > 0:08:48£210,000, seated.
0:08:48 > 0:08:54211. 212? 213. 214.
0:08:54 > 0:08:56215. 216.
0:08:56 > 0:09:00Willing to go 217? Big shake of head there.
0:09:00 > 0:09:05£216,000 it is, then. Sold to you, sir.
0:09:05 > 0:09:08That final successful bid of £216,000
0:09:08 > 0:09:11was made by local man John,
0:09:11 > 0:09:14who currently lives nearby in Okehampton.
0:09:14 > 0:09:17John and his wife have been looking for a new property
0:09:17 > 0:09:19to make their home for the last six months,
0:09:19 > 0:09:22and then spotted this old coach house.
0:09:22 > 0:09:24Now they plan to do it up,
0:09:24 > 0:09:26with the help of their son Paul, and move in.
0:09:26 > 0:09:31I met John and Paul back at the coach house to find out more.
0:09:32 > 0:09:36- John, Paul, lovely to meet you. Congratulations.- Thank you.
0:09:36 > 0:09:41What a great character place you've got here! Tell me why you bought it.
0:09:41 > 0:09:44I think you need a bit of imagination, but...
0:09:44 > 0:09:49I think the garden was the main draw. The garden's absolutely fantastic.
0:09:49 > 0:09:55Cob-wall enclosed. Really super. And the house...
0:09:55 > 0:09:58Let's talk about location. It's pretty good, isn't it?
0:09:58 > 0:10:02Well, that's what we bought it for. It's all about the location.
0:10:02 > 0:10:05I used to live in the village. Paul was brought up in the village,
0:10:05 > 0:10:10my other children were brought up in the village, so we've got a strong local connection.
0:10:10 > 0:10:16How lovely. And in buying this coach house, John is really coming back home.
0:10:16 > 0:10:19And although his son Paul won't be living here,
0:10:19 > 0:10:22he will be heavily involved in the project.
0:10:22 > 0:10:26I'll manage the building works. We'll use various local subcontractors.
0:10:26 > 0:10:30Dad's done the design and it's for me to implement it.
0:10:30 > 0:10:32Paul, do you have experience in building works?
0:10:32 > 0:10:36I have, over the last 15 years, done various construction jobs.
0:10:36 > 0:10:39- My trade is I'm an electrician... - Oh!
0:10:39 > 0:10:42..but deviated away from that in more major building works
0:10:42 > 0:10:44through various projects with my father.
0:10:44 > 0:10:50- This is going to be your full-time job for a while?- Yes, for the next, er, well, six months, hopefully.
0:10:50 > 0:10:53What involvement will you have, practically?
0:10:53 > 0:10:57I'll be managing it, getting prices for materials,
0:10:57 > 0:11:01doing more of the stuff away from the site,
0:11:01 > 0:11:04whereas Paul will be managing the contractors on site.
0:11:04 > 0:11:08It's not just on building projects that John and Paul work together.
0:11:08 > 0:11:11They also run an adventure activity site for kids,
0:11:11 > 0:11:15providing hostel accommodation and outdoor activities
0:11:15 > 0:11:17like kayaking and rock climbing.
0:11:17 > 0:11:19Something tells me this renovation,
0:11:19 > 0:11:22of what John hopes will become a four-bedroom family home,
0:11:22 > 0:11:26will be a rather adventurous activity, too.
0:11:26 > 0:11:30Tell me what you're going to do. What are your ideas?
0:11:30 > 0:11:35OK, well, downstairs, this is going to be a lounge.
0:11:35 > 0:11:38Very open-plan. We're trying to keep it simple.
0:11:38 > 0:11:43And the other end of the building is going to be a kitchen-breakfast room.
0:11:43 > 0:11:46We're going to make upstairs just into bedrooms.
0:11:46 > 0:11:49There's going to be four bedrooms and a bathroom.
0:11:49 > 0:11:52It's nice to go onto any project where you start with a blank canvas.
0:11:52 > 0:11:56All of the walls upstairs are false walls, they're not load-bearing,
0:11:56 > 0:11:59so they can all come down and have a new layout.
0:11:59 > 0:12:02There's lots to do to keep us busy, but it'll be fun.
0:12:02 > 0:12:07As for those cob walls, John's worked with cob buildings before.
0:12:07 > 0:12:10Paul also knows the main things to watch out for.
0:12:10 > 0:12:13The hardest thing is keeping the damp out on cob walls
0:12:13 > 0:12:16and that's going to be one of the issues here.
0:12:16 > 0:12:20We found out that the ground level at the back is higher than it is inside,
0:12:20 > 0:12:25so the first step is to take the floor level down out the back
0:12:25 > 0:12:28so that we know no wall is going to be travelling in.
0:12:28 > 0:12:31And the second stage of it is to tank all the walls
0:12:31 > 0:12:34and hold the damp back that way.
0:12:34 > 0:12:38What kind of budget have you got?
0:12:38 > 0:12:42Er, we're hoping about £40,000!
0:12:42 > 0:12:45But 40 to 50,000 is the guide.
0:12:45 > 0:12:49- I wish you both all the best. Congratulations.- Thank you.
0:12:49 > 0:12:53- I can't wait to see how you finish it off!- Me, too!
0:12:55 > 0:12:58So John's keeping the renovation fairly simple,
0:12:58 > 0:13:00which I think is a good thing,
0:13:00 > 0:13:02and with the help of son Paul,
0:13:02 > 0:13:06turning this place into the most incredible family home.
0:13:06 > 0:13:10Still, it is a race against time to keep the water out of the walls.
0:13:10 > 0:13:13Hope will they get on? Find out later in the show.
0:13:17 > 0:13:21When it comes to location, the next property is off to a great start.
0:13:21 > 0:13:23It's right beside Victoria Park,
0:13:23 > 0:13:28one of London's finest and most historic green spaces.
0:13:28 > 0:13:30Way back in the 1800s,
0:13:30 > 0:13:3530,000 East-Enders signed a petition and sent it off to Queen Victoria.
0:13:35 > 0:13:37It was a powerful petition
0:13:37 > 0:13:41because it opened this park to the public in 1845.
0:13:41 > 0:13:45Before that time, it was a private royal park.
0:13:45 > 0:13:47Enjoyed by thousands of people ever since,
0:13:47 > 0:13:51Victoria Park is a true East-End asset.
0:13:51 > 0:13:54MUSIC: EastEnders Theme Tune
0:13:54 > 0:13:56Often described as "the lungs of London",
0:13:56 > 0:14:01its parks are considered a vital commodity in the city known as the Big Smoke.
0:14:01 > 0:14:05You can feel a world away from the hustle and bustle,
0:14:05 > 0:14:08but you're always much closer than you think.
0:14:08 > 0:14:10The park is there, the property is here.
0:14:10 > 0:14:13Yes! 10 out of 10 for location, then.
0:14:13 > 0:14:17From where I'm standing, this house looks magnificent.
0:14:17 > 0:14:19There's three storeys, four bedrooms.
0:14:19 > 0:14:23The guide price - £350,000.
0:14:23 > 0:14:26It all sounds a bit too good to be true!
0:14:26 > 0:14:29# Wise men
0:14:29 > 0:14:32# Say
0:14:32 > 0:14:37# Only fools rush in
0:14:38 > 0:14:41# But I can't help
0:14:41 > 0:14:44# Falling in love
0:14:44 > 0:14:48# With you #
0:14:49 > 0:14:52I can't help falling in love with this place already
0:14:52 > 0:14:55and I'm barely through the door!
0:14:55 > 0:14:58Immediately, I've got a great feeling about this place.
0:14:58 > 0:15:01It feels well-maintained.
0:15:01 > 0:15:04And if you're looking to hang up your jacket, look no further!
0:15:04 > 0:15:06There's not one, not two, not even three,
0:15:06 > 0:15:09but four, five, six, seven, eight, nine,
0:15:09 > 0:15:1310, 11, 12, 13, 14, 15, 16... 17 coat hooks!
0:15:13 > 0:15:17You'd need an extensive coat collection or a very big family.
0:15:17 > 0:15:20In here, you've got a wonderful reception area.
0:15:20 > 0:15:23Lovely views of the park through that big bay window.
0:15:23 > 0:15:28On a sunny day like today, it looks amazing.
0:15:28 > 0:15:32The only thing I'd change would be this laminate floor.
0:15:32 > 0:15:35It's not really in keeping with this property
0:15:35 > 0:15:40and I would love to see if the original floors are lurking underneath.
0:15:40 > 0:15:43If they are, I would definitely have them refurbished.
0:15:43 > 0:15:45Reinstated period features are such a joy
0:15:45 > 0:15:48and would make this house even more appealing.
0:15:48 > 0:15:52Downstairs is in good order, save a few areas of dry rot,
0:15:52 > 0:15:54which could easily be fixed.
0:15:54 > 0:15:57At the back, there's a lovely walled garden.
0:15:57 > 0:16:02And upstairs, there are more good-sized rooms, ripe for renovation.
0:16:02 > 0:16:07The relatively low guide price was £350,000,
0:16:07 > 0:16:10and I think all it needs is a healthy dose of TLC.
0:16:10 > 0:16:15So far, so good. A great house for its low guide price.
0:16:15 > 0:16:19So come on, there must be a downside here!
0:16:20 > 0:16:23Do you know what? I think I've found it.
0:16:23 > 0:16:27Unfortunately, at the end of that pretty little garden, complete with its apple trees,
0:16:27 > 0:16:32is the A12, with lorries thundering past day and night!
0:16:32 > 0:16:33Nice!
0:16:33 > 0:16:39Not ideal, but adding some shrubs and installing double glazing should hide the worst of it.
0:16:41 > 0:16:45Whilst I love this house, what would a local estate agent think?
0:16:45 > 0:16:48We invited one along to find out.
0:16:48 > 0:16:51This is a lovely-sized Victorian property.
0:16:51 > 0:16:55It's got some really nice features, the sash windows, the bay windows,
0:16:55 > 0:16:59and it overlooks the fabulous Victoria Park.
0:16:59 > 0:17:01If I was going to renovate this house myself,
0:17:01 > 0:17:04I would take the laminated flooring out,
0:17:04 > 0:17:06strip it back to the original floorboards,
0:17:06 > 0:17:10skim all the walls, leave all the sash windows in
0:17:10 > 0:17:13and just give it a good thorough refurbishment.
0:17:13 > 0:17:17One of the great benefits for property like this is,
0:17:17 > 0:17:21you could renovate it as it is to have a beautiful family home
0:17:21 > 0:17:24or you could split it to make two flats.
0:17:24 > 0:17:27If the buyer were to refurbish and opt for the former,
0:17:27 > 0:17:29what could the house sell for?
0:17:29 > 0:17:35Once renovated to a high standard, this property could go back on the market for round about £575,000,
0:17:35 > 0:17:38possibly more if done really well.
0:17:38 > 0:17:42And if they were to divide it into two separate flats?
0:17:42 > 0:17:47Round about £310,000 for a decent-looking two-bed flat.
0:17:47 > 0:17:51Creating two flats certainly seems to raise the profit margin.
0:17:51 > 0:17:56Rent-wise, the estate agents think they could get up to £1,500 a month each.
0:17:56 > 0:17:58But how much rental income could you get
0:17:58 > 0:18:01if it was renovated as a single house?
0:18:01 > 0:18:03As a whole house,
0:18:03 > 0:18:07I'd certainly be looking at around about...
0:18:07 > 0:18:10..£2,400 per calendar month.
0:18:10 > 0:18:12There are options here.
0:18:12 > 0:18:16You could refurbish this house and turn it into a beautiful family home
0:18:16 > 0:18:18or you could divide it into flats.
0:18:18 > 0:18:23The investor in me has to opt for the second option. I think it's the more profitable.
0:18:23 > 0:18:26Everything is subject to planning, of course,
0:18:26 > 0:18:29but if you receive the green light from the planners for this lot,
0:18:29 > 0:18:32it could make someone a pretty penny.
0:18:32 > 0:18:36Let's see who was up for this East-End property at auction.
0:18:41 > 0:18:45Where would you like to start? I'll take 350.
0:18:45 > 0:18:50355. 360.
0:18:50 > 0:18:54There was a lot of interest in this lot and the price quickly rocketed.
0:18:54 > 0:18:58We rejoin as the price reaches 411,000.
0:18:58 > 0:19:00411.
0:19:00 > 0:19:03412. 413.
0:19:03 > 0:19:05414.
0:19:05 > 0:19:09415. 416?
0:19:09 > 0:19:13One more go. It might be her sort of "That's my limit".
0:19:13 > 0:19:17415. First time.
0:19:17 > 0:19:21Second time. Third and last time. Are we all done?
0:19:21 > 0:19:25Sold. 415. Well done. Well bought. It's a nice property.
0:19:25 > 0:19:28The lucky and clearly delighted buyer is Marta,
0:19:28 > 0:19:32with her bid of 415,000.
0:19:32 > 0:19:34# Well, she always knows her place
0:19:34 > 0:19:37# She's got style, she's got grace She's a winner #
0:19:37 > 0:19:41Marta's a 25-year-old property investor
0:19:41 > 0:19:44with a strong family background in the property market.
0:19:44 > 0:19:47Her parents are successful developers in Portugal.
0:19:47 > 0:19:51This mid-terrace house will be her biggest project to date.
0:19:51 > 0:19:54What was really exciting about watching you at auction,
0:19:54 > 0:19:56at the end, you clenched your fists and you were so happy!
0:19:56 > 0:19:59I can't even remember!
0:19:59 > 0:20:02Were you happy with the price you paid?
0:20:02 > 0:20:08I went out to buy the property, I really wanted to get it and I was determined.
0:20:08 > 0:20:13I'd been looking for something special, so when I did get it I was very happy.
0:20:13 > 0:20:18I was happy with the price because of the size of the property. It's incredible.
0:20:18 > 0:20:21- What would you have paid for this house?- Erm...
0:20:21 > 0:20:22What would you have gone up to?
0:20:22 > 0:20:26I went in thinking it would go to 400,
0:20:26 > 0:20:32and when it got to 415, I shook my head at the other bidder saying, "No!"
0:20:32 > 0:20:34The auctioneer said, "Maybe she'll give up"
0:20:34 > 0:20:38and I shook my head and said, "No, I'm going for it."
0:20:38 > 0:20:43I probably would've been prepared to pay a little bit higher, going up to 450, I think.
0:20:43 > 0:20:47So it turns out that securing this for £415,000
0:20:47 > 0:20:49was a great deal for Marta,
0:20:49 > 0:20:52and leaves her with a much healthier budget
0:20:52 > 0:20:56to spend on getting it up to scratch.
0:20:56 > 0:20:59I don't need to ask you why you wanted to buy this property.
0:20:59 > 0:21:02It's amazing. I mean, everything about it...
0:21:02 > 0:21:08The location is where I like to look for properties. This is where I've been looking for a while.
0:21:08 > 0:21:11It's where it's happening at the moment
0:21:11 > 0:21:14and I believe it's where people want a house,
0:21:14 > 0:21:16so the resale capability is amazing.
0:21:16 > 0:21:21With the Olympics and the redevelopment of the area, new businesses opening up,
0:21:21 > 0:21:24I think it really was a place that I wanted to be.
0:21:24 > 0:21:29- I think this area will benefit from the ripple effect. It hasn't quite yet, has it?- No.
0:21:29 > 0:21:32- But I think it will in time. - It will in time.
0:21:32 > 0:21:37I mean, if you go closer to Old Street and Brick Lane,
0:21:37 > 0:21:42in the space of a year, that has been completely transformed.
0:21:42 > 0:21:46So I'm hoping that in the space of another six months -
0:21:46 > 0:21:49Whoever buys this house is going to be happy to walk out the front door
0:21:49 > 0:21:53and skip along in that wonderful park.
0:21:53 > 0:21:55- It's fantastic, isn't it?- Amazing.
0:21:55 > 0:21:58On a sunny day, it's incredible. The trees are amazing.
0:21:58 > 0:22:02And it's so quiet and peaceful and I think that's what you want in London.
0:22:02 > 0:22:05Does the front part outweigh the back?
0:22:05 > 0:22:09What I'm intending to do with it is convert it into two maisonettes.
0:22:09 > 0:22:14It has the potential to be two luxurious, high-end flats.
0:22:14 > 0:22:17Each of those flats have their assets.
0:22:17 > 0:22:21One of the flats has these amazing views of the park,
0:22:21 > 0:22:23the other flat will have the beautiful garden.
0:22:23 > 0:22:27Marta carried out a lot of research before buying this property.
0:22:27 > 0:22:31Converting it into two flats could actually halve her risk here,
0:22:31 > 0:22:35as flats in this area are much riper for resale than whole houses.
0:22:35 > 0:22:41Do you have a Plan B? What if you don't get the permission and it has to stay as a house?
0:22:41 > 0:22:46I have to say that I have an advantage in that area,
0:22:46 > 0:22:49given that the house a couple of doors down
0:22:49 > 0:22:54has also achieved planning permission that I'm looking for to turn it into two flats.
0:22:54 > 0:22:57- OK, so the precedent has already been set?- Yes.
0:22:57 > 0:23:00There shouldn't be any reason why it shouldn't go ahead.
0:23:00 > 0:23:02- Fingers crossed. - I've got my fingers crossed!
0:23:02 > 0:23:05If all goes well with the planners,
0:23:05 > 0:23:09Marta hopes it will take between four and five months to complete the renovation.
0:23:09 > 0:23:13She has a good budget of around £100,000.
0:23:13 > 0:23:16What are her plans for the overall look?
0:23:18 > 0:23:22I like to go for a contemporary feel, but with original features.
0:23:22 > 0:23:27I want it to feel very warm, but still with a touch of modern.
0:23:27 > 0:23:31I'll put plasterboard ceilings in, spotlights.
0:23:31 > 0:23:34I'm going to try and restore these floorboards
0:23:34 > 0:23:36because underneath this laminate,
0:23:36 > 0:23:41I was shocked and very excited to find out
0:23:41 > 0:23:44- that the real floorboards are here. - They are!
0:23:44 > 0:23:48- They're all there. - Good news that there's been laminate over the top...- Protecting them.
0:23:48 > 0:23:51..to protect them! Fantastic!
0:23:51 > 0:23:53- So, you are going to restore them? - Absolutely.
0:23:53 > 0:23:58All the original fittings I shall keep and restore because it adds character.
0:23:58 > 0:24:01- Marta, good luck with this project. - Thank you.
0:24:01 > 0:24:04- It's been so nice meeting you. Take care.- Thank you.
0:24:05 > 0:24:07Marta is focused,
0:24:07 > 0:24:11but she'll need to be to successfully manage this project.
0:24:11 > 0:24:14With £100,000 budget and a four-to-five-month timescale,
0:24:14 > 0:24:16she's certainly ambitious.
0:24:16 > 0:24:21But it is a large development and I hope she hasn't underestimated the amount of work here.
0:24:21 > 0:24:25How does she get on? Find out later on in the show.
0:24:26 > 0:24:32Still to come... In Barnsley, this former hair salon has me all choked up.
0:24:37 > 0:24:42Did Marta's renovation in east London go smoothly?
0:24:42 > 0:24:46By the time we had permission, the bank would no longer give funds to my company.
0:24:47 > 0:24:52But first, in Devon, John had bigger problems than expected.
0:24:52 > 0:24:56I took some slates off and realised the timbers were in poor condition.
0:25:00 > 0:25:02We're back in rural Devon,
0:25:02 > 0:25:04Exbourne, to be precise,
0:25:04 > 0:25:07where this former coach house, built around 1840,
0:25:07 > 0:25:11sold at auction for £216,000.
0:25:11 > 0:25:13It was bought by John
0:25:13 > 0:25:15for him and his wife Mary to live in.
0:25:15 > 0:25:20Their son Paul, a qualified electrician with renovation experience,
0:25:20 > 0:25:22was going to help manage the project.
0:25:22 > 0:25:26Tell me what you're going to do. What are your ideas?
0:25:26 > 0:25:30OK, well, down here, this is going to be a lounge.
0:25:30 > 0:25:33Very open-plan. We're trying to keep it simple.
0:25:33 > 0:25:38And the other end of the building is going to be a kitchen-breakfast room.
0:25:38 > 0:25:41We're going to make four bedrooms upstairs and a bathroom.
0:25:41 > 0:25:46The cob-built property, with grooms' accommodation on the top floor and stables on the ground,
0:25:46 > 0:25:48was in a very poor state of repair.
0:25:48 > 0:25:51But with a beautiful walled garden
0:25:51 > 0:25:54and character features desperate to be lovingly restored,
0:25:54 > 0:25:58it was surely going to benefit from John's conversion.
0:25:58 > 0:26:02He hoped it would take around six to eight months.
0:26:02 > 0:26:04So seven months later, we're back.
0:26:04 > 0:26:07How is the coach house looking now?
0:26:10 > 0:26:15It seems like John and Paul haven't spared the horses getting this place into shape.
0:26:15 > 0:26:18The exterior has been completely re-rendered,
0:26:18 > 0:26:22with new windows and French doors letting in plenty of light
0:26:22 > 0:26:24to reveal...
0:26:28 > 0:26:33..a rundown workroom now turned into a stunning rural-style kitchen,
0:26:33 > 0:26:37in keeping with the character of the cottage.
0:26:38 > 0:26:42The former stable is now a comfortable lounge area.
0:26:43 > 0:26:45It's an amazing transformation.
0:26:45 > 0:26:49Everywhere there are the warm, inviting textures of wood,
0:26:49 > 0:26:53complemented by the excellent quality of the carpentry.
0:26:53 > 0:26:58So a fantastic final product. But how was the renovation for John?
0:26:58 > 0:27:00It's changed completely.
0:27:00 > 0:27:05We kicked off virtually the day we completed.
0:27:05 > 0:27:08The scaffold went up, we got straight on,
0:27:08 > 0:27:12took some slates off and realised that the timbers were in poor condition.
0:27:12 > 0:27:16We decided to re-roof. That was the biggest job.
0:27:16 > 0:27:19It was worthwhile. Now we've got a nice new roof.
0:27:19 > 0:27:24After the roof was done, we moved straight down and started on the ground floor.
0:27:24 > 0:27:28We took out the stable pens. We took up the cobbles, which we've kept.
0:27:28 > 0:27:32We put underfloor heating in, new floor right the way through.
0:27:32 > 0:27:36New staircase. The staircase was outside before.
0:27:36 > 0:27:40And then we decided that we needed a new chimney.
0:27:40 > 0:27:46Paul managed the project really. I did all the design work.
0:27:46 > 0:27:49Paul was a bit frustrated sometimes
0:27:49 > 0:27:53because the design developed during the build!
0:27:53 > 0:27:56John and Mary took a very conscious decision
0:27:56 > 0:27:58to design this house as a long-term home
0:27:58 > 0:28:01and not with an eye to selling quickly for profit.
0:28:01 > 0:28:06But this did impact on their original design for a four-bed,
0:28:06 > 0:28:09as Mary explains...
0:28:09 > 0:28:12The size could've lent itself to a four bedroom,
0:28:12 > 0:28:16but for us, we were trying to keep the big dimensions of the rooms.
0:28:16 > 0:28:21We decided we'd go for two big rooms and a smaller study.
0:28:21 > 0:28:23But the study is still a decent-size room.
0:28:23 > 0:28:30We didn't feel that there was a need to put ensuites in, as we're just "us two".
0:28:30 > 0:28:32We've designed it very much around us.
0:28:32 > 0:28:36We've got a small bathroom that guests can use.
0:28:36 > 0:28:39We went for the master bedroom at the end,
0:28:39 > 0:28:41where we can look over that walled garden.
0:28:41 > 0:28:46They've got two double bedrooms and a study, rather than four bedrooms.
0:28:46 > 0:28:49But is there potential to extend in future
0:28:49 > 0:28:53without affecting the garden they love so much?
0:28:53 > 0:28:55One of the options that we can do
0:28:55 > 0:28:59is to build a conservatory on this end gable.
0:28:59 > 0:29:06Now, the dilemma is, what do we do about the wall that we love?
0:29:06 > 0:29:11One of the options is that we put an opening into the wall
0:29:11 > 0:29:15so that we build the conservatory on the other side of the wall
0:29:15 > 0:29:20and we can look through the hole and include the garden into the conservatory.
0:29:20 > 0:29:23That's what we're certainly considering.
0:29:27 > 0:29:34Their original budget for this renovation was estimated at between 40 and 50,000 pounds.
0:29:34 > 0:29:38So, did John and Mary stick to their original figures?
0:29:38 > 0:29:43Er, 60,000 we're at at the moment.
0:29:43 > 0:29:47I'm sure there'll be a few more things. We've still got lots of work to go on the garden.
0:29:47 > 0:29:50I'm sure Mary will want lots of things in there!
0:29:50 > 0:29:54So, has all their hard work paid off?
0:29:54 > 0:29:57We invited two local experts to view the property
0:29:57 > 0:29:59and give us their opinion.
0:30:00 > 0:30:04This house has always had a soft spot in my heart.
0:30:04 > 0:30:09It was in a special location and one of those houses that you rarely find.
0:30:09 > 0:30:11As an estate agent, you think, "Wow!"
0:30:11 > 0:30:15I think they've done a fantastic job. It's a lovely home.
0:30:17 > 0:30:19I think they've done a superb job.
0:30:19 > 0:30:23They've paid special attention to retaining some of the character,
0:30:23 > 0:30:26the exposed beams, shaped walls, whilst having all the mod cons.
0:30:26 > 0:30:28I really do think it's a superb property.
0:30:28 > 0:30:31The lounge and kitchen are fantastic living areas.
0:30:31 > 0:30:35The fact that they've made the whole space more or less open-plan
0:30:35 > 0:30:38is in keeping with today's trends.
0:30:38 > 0:30:42John and Mary paid £216,000 originally at auction
0:30:42 > 0:30:45and have spent a further £60,000 on renovations
0:30:45 > 0:30:47during the past seven months.
0:30:47 > 0:30:51That brings their total outlay to £276,000.
0:30:51 > 0:30:55What sale value could the property realise now?
0:30:57 > 0:31:01I would recommend an asking price of £365,000,
0:31:01 > 0:31:04looking to achieve £350,000.
0:31:04 > 0:31:08I would put a guide price of £350,000
0:31:08 > 0:31:10and I would expect to achieve it.
0:31:11 > 0:31:13A resale at £350,000
0:31:13 > 0:31:19would mean a profit of around £74,000, before tax and expenses.
0:31:19 > 0:31:23Considering how little time has passed since they bought it, are they pleased?
0:31:23 > 0:31:27That's pretty spot on on what I thought it was going to be valued.
0:31:27 > 0:31:30- Round about 350, I would've thought. - Yes.
0:31:30 > 0:31:33But it's not about price, is it? It's about our home.
0:31:36 > 0:31:40So John and Mary have successfully tackled a broken-down coach house
0:31:40 > 0:31:45and transformed it into the place they always dreamt of.
0:31:45 > 0:31:48What do they think is the best thing about their new home?
0:31:48 > 0:31:51One of the best things
0:31:51 > 0:31:56is that we can sit in front of the old coach doors in the new window
0:31:56 > 0:31:58and watch the sun go down.
0:31:58 > 0:31:59It really is stunning.
0:31:59 > 0:32:05It now looks like it should've done when it was built, as a nice, rural cottage.
0:32:05 > 0:32:09It's ideal and we're very pleased with how it's come out.
0:32:12 > 0:32:16Today I've come to Hoyland Common, just outside Barnsley,
0:32:16 > 0:32:18with rows of Victorian houses.
0:32:18 > 0:32:23With many amenities, there's plenty to keep property buyers happy.
0:32:24 > 0:32:27Built around 1890,
0:32:27 > 0:32:31the property I'm here to see is actually a commercial unit.
0:32:31 > 0:32:34At a guide price of £20-25,000,
0:32:34 > 0:32:37and it's this great big detached building,
0:32:37 > 0:32:42from the outside, it looks like it's going to be pretty good value for money!
0:32:42 > 0:32:45It seems to have quite a bit of character -
0:32:45 > 0:32:48exposed brickwork and an arched window on the first floor.
0:32:48 > 0:32:53So judging by the outside, the inside could be quirky and interesting.
0:32:54 > 0:32:57That's a bit of a disappointment!
0:32:57 > 0:33:01This is the bit I could see, which looks like it's in reasonable nick.
0:33:01 > 0:33:06Sadly, inside doesn't quite match up to those expectations.
0:33:06 > 0:33:09The rear of the property, this one room. Very high ceilings.
0:33:09 > 0:33:15It looks like there might be something interesting going on up there in the loft area.
0:33:15 > 0:33:17I'll maybe investigate that later.
0:33:17 > 0:33:21But as you can see, it is in a bit of a state and looks like it's damp.
0:33:21 > 0:33:24Hm. Let's take a look at the front.
0:33:24 > 0:33:29Oh, OK. Thankfully, this front bit looks like it's in slightly better condition.
0:33:29 > 0:33:33A sink unit... That's interesting. Actually, that makes sense
0:33:33 > 0:33:37because up until quite recently, this was a hairdressers.
0:33:37 > 0:33:39No toilet facilities, which is kind of odd.
0:33:39 > 0:33:43Somewhere people sat... Presumably there was a chair where the cutting was done.
0:33:43 > 0:33:45Good window space.
0:33:45 > 0:33:50So if you were planning to use this as a commercial unit, that's good to have.
0:33:50 > 0:33:52Good access from the front.
0:33:52 > 0:33:56It has got that planning permission to be a business,
0:33:56 > 0:34:00so it could be an estate agents or something similar.
0:34:00 > 0:34:05Or you might want to consider converting it into residential,
0:34:05 > 0:34:08which would require permission and may or may not be possible.
0:34:08 > 0:34:13But as it is, it's quite a nice little space, really.
0:34:18 > 0:34:24So my hair's all set, but this property does seem to be having one long bad-hair day.
0:34:24 > 0:34:25# Almost...
0:34:25 > 0:34:29# Cut my hair #
0:34:29 > 0:34:32So, what has this place got going for it?
0:34:32 > 0:34:34Next door, the ladder looks a bit dicey,
0:34:34 > 0:34:37so forget clambering up there to see the first floor.
0:34:37 > 0:34:41But by going outside, I'd say, judging by the pitch of the roof,
0:34:41 > 0:34:46you could comfortably turn this detached commercial unit into a two-bed house,
0:34:46 > 0:34:48subject to planning permission.
0:34:49 > 0:34:52For a second opinion, we asked a local estate agent
0:34:52 > 0:34:58to tell us what he thought of this place, guided from 20-25,000.
0:35:02 > 0:35:05It is unusual in that it's a commercial property
0:35:05 > 0:35:08in an area which is predominantly pre-war terraced housing.
0:35:08 > 0:35:11There are commercial properties close by,
0:35:11 > 0:35:14but this is very isolated in commercial terms.
0:35:15 > 0:35:20The best use of this property would be to convert it to a totally residential property.
0:35:20 > 0:35:25It has limited potential on the basis of a commercial property
0:35:25 > 0:35:30because of the absence of parking and any other commercial property in the immediate proximity.
0:35:30 > 0:35:34If the new owner did decide to let it out as a commercial property,
0:35:34 > 0:35:38they could do that for around £250 per calendar month.
0:35:38 > 0:35:40How much rental could you stand to make
0:35:40 > 0:35:43if this was changed to residential use?
0:35:43 > 0:35:46As a residential property, if it were improved,
0:35:46 > 0:35:50I would anticipate you could get approximately £375 per month.
0:35:50 > 0:35:56That could be £1,500 a year more as a residential property.
0:35:56 > 0:36:00Bearing in mind the guide price of between 20-25,000,
0:36:00 > 0:36:02how much could a resale fetch?
0:36:02 > 0:36:06If the property was comprehensively improved and was two-bedroomed,
0:36:06 > 0:36:09you'd be talking 55 to 60,000.
0:36:13 > 0:36:15Well, it's a bit of a gamble, this one,
0:36:15 > 0:36:20because it doesn't have that planning permission for conversion to residential.
0:36:20 > 0:36:22But I think it's worth the gamble.
0:36:22 > 0:36:27If you got it, this place would double in value overnight.
0:36:27 > 0:36:31Let's see who fancied the opportunity when it went under the hammer.
0:36:34 > 0:36:37Lot 11. A guide of 20-25,000.
0:36:37 > 0:36:40Somebody start me at 15. £15,000.
0:36:40 > 0:36:44Thank you. 15,000. Do I have 16 anywhere? 17, sir?
0:36:44 > 0:36:4918. 19, sir? Thank you. 20? No. 19,000, sat down.
0:36:49 > 0:36:53£19,000, sat down. Anywhere else? I'm looking for £20,000.
0:36:53 > 0:36:57Sir at the bar. Thank you. Is that a half or a full...?
0:36:57 > 0:37:00£20,000. 21, shall we say?
0:37:00 > 0:37:03Half. Yes. £20,500.
0:37:03 > 0:37:0821. 21 and a half? 22. 22 and a half?
0:37:08 > 0:37:1323. 23 and a half. 24. Four and a half?
0:37:13 > 0:37:1725? 25 and a half? 26?
0:37:17 > 0:37:2126,000 at the bar. 26 and a half?
0:37:21 > 0:37:2627? 27 and a half? 27 and a half. 28.
0:37:26 > 0:37:3028 and a half? No? All done?
0:37:30 > 0:37:34£28,000, stood up at the bar, for the first time at 28,000.
0:37:34 > 0:37:40The second time at 28,000. The third and last time at £28,000. Sold. Well done, sir.
0:37:40 > 0:37:42That successful bid of £28,000
0:37:42 > 0:37:45was made by cousins Sean and Andy.
0:37:47 > 0:37:51Andy, on the left here, is an electrician by trade,
0:37:51 > 0:37:54so he'll have the job of putting the spark back into this place.
0:37:54 > 0:37:56Sean's a taxi driver,
0:37:56 > 0:38:00so perhaps he spotted a fare that could give him a good tip.
0:38:00 > 0:38:05- Sean, Andy, good to meet you both. - All right?- Congratulations.
0:38:05 > 0:38:08Erm, why did you want to buy this place?
0:38:08 > 0:38:11Well, purely to try and earn some money out of it
0:38:11 > 0:38:16or perhaps rent on and make a bit of income for a pension for the future for us both.
0:38:16 > 0:38:18OK, and why this place
0:38:18 > 0:38:21above any other places you might've bought?
0:38:21 > 0:38:24- It was our third choice.- Was it?- Yes.
0:38:24 > 0:38:29- OK. What happened to the other two? - We got out-bidded by the same person on both our houses!
0:38:29 > 0:38:30Oh, no!
0:38:30 > 0:38:32- So we came for this one.- Right.
0:38:32 > 0:38:35I drove past it, I was taxiing,
0:38:35 > 0:38:37drove past, saw it, I phoned him up about it
0:38:37 > 0:38:41and says, "I'm interested in something here,
0:38:41 > 0:38:44"but we'll leave it as second or third choice.
0:38:44 > 0:38:46"If we don't get the other, we'll look at this
0:38:46 > 0:38:50"and if it's the right price, we'll go for it."
0:38:50 > 0:38:55# If you want it, here it is Come and get it
0:38:55 > 0:38:59- # Mm... - # Make your mind up fast #
0:38:59 > 0:39:03And went for it, they did! Luckily, the boys are well connected,
0:39:03 > 0:39:09so they have a team of people all ready to tackle this place once they have a plan of action.
0:39:09 > 0:39:11What do you know about this place?
0:39:11 > 0:39:15From the 1890s, it was a bakery
0:39:15 > 0:39:18and then, er, after that,
0:39:18 > 0:39:22apparently, the back room was breeding for budgies.
0:39:22 > 0:39:25But I think for the last 30 years,
0:39:25 > 0:39:29one lady's owned it as a hairdressers, as you can see.
0:39:29 > 0:39:31So it's been a hairdressers for 30 years.
0:39:31 > 0:39:34Wow. And I understand it didn't close down that long ago.
0:39:34 > 0:39:38I think it was about three months ago, so very recently.
0:39:38 > 0:39:41You might even have former customers knocking on the door!
0:39:41 > 0:39:46I'm prepared to do some haircuts, at the right price!
0:39:46 > 0:39:49Well, since its days as a breeding home for budgies,
0:39:49 > 0:39:52it's not such a pretty boy now.
0:39:52 > 0:39:56And although making it a hairdressers again
0:39:56 > 0:39:59could be a lucrative sideline for the cousins,
0:39:59 > 0:40:03- I reckon the future for this place is, well,- hair- today, gone tomorrow.
0:40:03 > 0:40:07- What is the plan for it, then? - A two-bedroomed house, hopefully,
0:40:07 > 0:40:09if we can turn it from business to residential.
0:40:09 > 0:40:14If not, we'll go for a one-bedroom flat with the business still here.
0:40:14 > 0:40:17But hopefully, a two-bedroom house.
0:40:17 > 0:40:20Everything round here's residential,
0:40:20 > 0:40:25so we thought we've got more chance of swapping it to residential.
0:40:25 > 0:40:30- That was us plan. We'll see what Barnsley Council has to say.- Right!
0:40:30 > 0:40:32Tell me what you're going to do.
0:40:32 > 0:40:36Presumably, you'll have to see what happens with the planning.
0:40:36 > 0:40:41Well, firstly, we can start by taking it down to the bare shelf, taking all the panelling off.
0:40:41 > 0:40:45Getting it down to bares, you'll see if there's any dampness coming in
0:40:45 > 0:40:48and sorting that before we do anything structurally.
0:40:48 > 0:40:53We can at least make a start on doing some work.
0:40:53 > 0:40:57The big thing is the planning. If we can get that sorted out...
0:40:57 > 0:41:00Basically, we want to drop the ceiling by about,
0:41:00 > 0:41:05I mean, it's higher in there, about a foot and a half, give us more room upstairs.
0:41:05 > 0:41:09If we get planning permission for a dormer on the front, it'll make a big difference.
0:41:09 > 0:41:13Well, planning permission can take time to come through
0:41:13 > 0:41:16and there's no guarantee that the cousins will be successful.
0:41:16 > 0:41:21But these guys have already bought one other investment property together
0:41:21 > 0:41:25and their working partnership is firmly rooted in family history.
0:41:25 > 0:41:28- We've been brought up together... - We know each other.
0:41:28 > 0:41:31I mean, we've been brought up together
0:41:31 > 0:41:36because my dad and Sean's dad lived within 100 yards of each other.
0:41:36 > 0:41:40- On the same street. - We've known each other all us life.
0:41:40 > 0:41:44We go out together, we drink together, so...
0:41:44 > 0:41:48And he knows I'm boss, so... THEY LAUGH
0:41:48 > 0:41:52It's always good to know the chain of command,
0:41:52 > 0:41:55even when it's family ties that link you together!
0:41:55 > 0:41:58Andy and Sean have a four-month schedule,
0:41:58 > 0:42:03so I reckon, despite its problems, this property won't test their relationship.
0:42:03 > 0:42:07But the budget... Well, that's a different matter.
0:42:07 > 0:42:10He's got a figure and I've got a figure, and he knows better than me.
0:42:10 > 0:42:13He's saying £15,000 and I'm saying £25,000.
0:42:13 > 0:42:17- Right. - So we'll work in between that!
0:42:17 > 0:42:19Why do you think it's going to be £10,000 more?
0:42:19 > 0:42:23- I'd rather go by the higher amount, just in case.- Right.
0:42:23 > 0:42:27Just purely because, er, I don't want to take any risks.
0:42:27 > 0:42:29I think it'll be 25.
0:42:29 > 0:42:33It's one of very few detached properties on the street.
0:42:33 > 0:42:37Nearly every house on the street is a terraced.
0:42:37 > 0:42:41If we can do it right, it'll look nice for all the neighbours,
0:42:41 > 0:42:46we'll sell it on at a reasonable price and we're all happy.
0:42:46 > 0:42:50- Congratulations. Good luck. We'll look forward to seeing how you get on.- Thank you.
0:42:52 > 0:42:57I think Andy and Sean have known each other long enough that working together shouldn't be a problem.
0:42:57 > 0:42:59But who will be right on that budget?
0:42:59 > 0:43:02Will it be 15 or £25,000?
0:43:02 > 0:43:07And before that, will they manage to get that all-important planning permission?
0:43:07 > 0:43:09Find out later in the show.
0:43:12 > 0:43:15We all know that home is where the heart is.
0:43:15 > 0:43:19Will our buyers be heartbroken or will they have a spring in their step?
0:43:19 > 0:43:22Let's go back and find out.
0:43:23 > 0:43:28Time to head back east - Homerton, east London, to be precise -
0:43:28 > 0:43:34where property investor Marta purchased this four-bedroom Victorian house for £415,000,
0:43:34 > 0:43:40but not before she faced a battle of wills at auction.
0:43:40 > 0:43:43I went in thinking it would go to 400,
0:43:43 > 0:43:48and when it got to 415, I shook my head at the other bidder saying, "No!"
0:43:48 > 0:43:51The auctioneer said, "Maybe she'll give up"
0:43:51 > 0:43:55and I shook my head and said, "No, I'm going for it."
0:43:55 > 0:43:58And she certainly went for it.
0:43:58 > 0:44:02Marta's grand plan was to halve her risk on the resale market
0:44:02 > 0:44:04by splitting her property into two flats.
0:44:04 > 0:44:08She hoped to have the conversion turned around within four to five months.
0:44:08 > 0:44:1421 months later, has Marta managed to realise her vision?
0:44:18 > 0:44:21Even outside, the property has been transformed
0:44:21 > 0:44:27by stripping the paint to reveal the original brickwork underneath.
0:44:27 > 0:44:31Inside, Marta has successfully transformed this large family home
0:44:31 > 0:44:35into two separate three-bedroom flats.
0:44:36 > 0:44:42The lower ground-floor garden flat features a large open kitchen and living space.
0:44:42 > 0:44:47Although a few touches need to be added and the flooring is yet to be revealed,
0:44:47 > 0:44:49it already feels light and spacious.
0:44:50 > 0:44:53There are three bedrooms
0:44:53 > 0:44:55and a new bathroom has been installed.
0:44:55 > 0:45:00At the back there's a good-size garden, ideal for relaxed summer barbeques.
0:45:00 > 0:45:04But what about the flat on those two top floors?
0:45:04 > 0:45:06It, too, has been beautifully renovated.
0:45:06 > 0:45:10Just look at those lovely floorboards!
0:45:10 > 0:45:14To the front, it enjoys great views across Victoria Park.
0:45:14 > 0:45:19As with the ground-floor flat, there are some finishing touches needed here, too.
0:45:19 > 0:45:24And Marta's created a bathroom out of thin air. Well, kind of...
0:45:24 > 0:45:28The bathroom wasn't here initially. It's not finished. It needs a few final details.
0:45:28 > 0:45:32We've actually fit it in between two rooms.
0:45:32 > 0:45:37As you can see, it took a little bit of space from this room here,
0:45:37 > 0:45:41but it's such a huge room, I don't think it really makes a difference,
0:45:41 > 0:45:45and you still have this amazing view of Victoria Park.
0:45:46 > 0:45:50Well, these three certainly seem to be enjoying the view!
0:45:50 > 0:45:56But top of the pecking order must be the heavenly area that Marta didn't even know existed.
0:45:56 > 0:46:00The roof terrace was an absolutely fantastic find.
0:46:00 > 0:46:04We came up here, it was in absolutely terrible condition,
0:46:04 > 0:46:08so we put some decking down and kept the original chimney.
0:46:08 > 0:46:14I didn't think it was a good idea to cover that up. It's so beautiful, it really adds to the view out there
0:46:14 > 0:46:17and these original features in here.
0:46:17 > 0:46:23There are still some safety features to be added here, but what a fantastic space!
0:46:23 > 0:46:28I'm so pleased that Marta has kept so many of the charming original features.
0:46:28 > 0:46:32Quite rightly, she seems pleased with the results.
0:46:32 > 0:46:38And I'm not surprised, because in the process, Marta experienced hold-ups with the planning process
0:46:38 > 0:46:41and difficulties getting the finance needed.
0:46:41 > 0:46:44They contributed to a delay in the renovation,
0:46:44 > 0:46:48though Marta was able to devote her time to another project.
0:46:48 > 0:46:51But this is clearly a good example of "buyer beware".
0:46:51 > 0:46:56Not getting planning permission as soon as you hope can have a real domino effect,
0:46:56 > 0:46:59not only in terms of timescale but funding, too.
0:46:59 > 0:47:03Once these issues were sorted, the work took six months and is nearly complete,
0:47:03 > 0:47:08just slightly over Marta's original four-to-five-month estimate.
0:47:08 > 0:47:12But what about that crucial old chestnut - budget?
0:47:12 > 0:47:14The original budget was 100,000
0:47:14 > 0:47:18and we actually managed to keep within,
0:47:18 > 0:47:20including all the legal fees and stamp duty,
0:47:20 > 0:47:23so, in fact, we spent 100,000 in total.
0:47:24 > 0:47:27No wonder this girl's grinning!
0:47:27 > 0:47:30But not without facing some challenges first.
0:47:30 > 0:47:32Project managing is tough.
0:47:32 > 0:47:36I'm a young girl, which is unusual in this world, but it's quite exciting.
0:47:36 > 0:47:41I buy everything, I'm on site in the morning, all day, and then I go and buy materials.
0:47:41 > 0:47:44So it's a full-time job, obviously.
0:47:44 > 0:47:46It's quite exciting to see the final product.
0:47:46 > 0:47:52I can't wait to see everything absolutely complete, on the market and selling very quickly!
0:47:52 > 0:47:56Sounds like a good time for us to invite two local estate agents
0:47:56 > 0:48:01to cast their eye over the newly split-in-two property.
0:48:01 > 0:48:06The owner squeezed quite a bit of space out of this house
0:48:06 > 0:48:07and we've got two apartments.
0:48:07 > 0:48:10Perhaps the bottom floor's got too many bedrooms,
0:48:10 > 0:48:13they're a bit smallish,
0:48:13 > 0:48:15but apart from that, lovely flats.
0:48:15 > 0:48:18The key selling point is with the top-floor flat.
0:48:18 > 0:48:22A lot of properties have no outside space, so that adds value.
0:48:22 > 0:48:26The same with the ground-floor flat having a garden.
0:48:26 > 0:48:29So estate-agent approval for the appearance...
0:48:29 > 0:48:33But Marta's an investor, so let's talk money.
0:48:33 > 0:48:36She paid £415,000 for the place
0:48:36 > 0:48:38and spent £100,000 on the work,
0:48:38 > 0:48:42bringing her total to £515,000.
0:48:42 > 0:48:44If I was to put the top-floor flat on the market,
0:48:44 > 0:48:48I'd be looking to place it at around about £450,000.
0:48:48 > 0:48:53I'd be looking to market the top-floor flat for around £450,000.
0:48:53 > 0:48:56If we were to put the ground-floor flat on the market,
0:48:56 > 0:48:59we'd be looking to achieve around the £400,000 mark.
0:48:59 > 0:49:03I'd be looking to market the ground-floor flat at around £400,000.
0:49:03 > 0:49:08Wow! Really impressive! That's fantastic news!
0:49:08 > 0:49:12It was such a great investment and it took so much time, love and effort,
0:49:12 > 0:49:15that just puts the cherry on top of the cake!
0:49:15 > 0:49:18No wonder she's happy.
0:49:18 > 0:49:22That's a healthy £335,000 profit,
0:49:22 > 0:49:24minus the usual tax and expenses.
0:49:24 > 0:49:26What about the rental potential?
0:49:26 > 0:49:31The agents reckon the garden flat could make £2,200 per month
0:49:31 > 0:49:37and the roof-terrace flat between £2,300 and £2,600 per month!
0:49:37 > 0:49:42That's an impressive yield of between 10 and 11 percent.
0:49:42 > 0:49:45But Marta always intended to sell.
0:49:45 > 0:49:49Is that still the plan after all her hard work?
0:49:49 > 0:49:54It's been an arduous process. I've put my heart and soul into this project
0:49:54 > 0:49:57and it's so nice to see it all come together at the end.
0:49:57 > 0:50:00I'm actually glad to feel that it's actually over now!
0:50:00 > 0:50:03A little bit sorry to see it go,
0:50:03 > 0:50:08but I'll be very happy to put it on the market and see what I get for it.
0:50:12 > 0:50:15Earlier in the show, we were in Hoyland Common, near Barnsley,
0:50:15 > 0:50:21where we saw this detached property snapped up at auction for £28,000...
0:50:21 > 0:50:26- Sold.- ..by Sean on the left and Andy on the right.
0:50:26 > 0:50:30The pair planned to change it to a two-bed residential property
0:50:30 > 0:50:34from its current status as a commercial unit.
0:50:34 > 0:50:36Until recently, it had been a hairdressers,
0:50:36 > 0:50:39but originally started out as a bakery.
0:50:39 > 0:50:44Funnily enough, they couldn't agree on how much dough they needed to renovate it!
0:50:44 > 0:50:47He's got a figure and I've got a figure, and he knows better.
0:50:47 > 0:50:50He's saying £15,000 and I'm saying £25,000.
0:50:50 > 0:50:54- Right. - So we'll work in between that!
0:50:54 > 0:51:00For the work necessary, my money was on Sean's higher estimate of £25,000.
0:51:00 > 0:51:04But if they couldn't get planning permission, who knows where they'd end up?
0:51:04 > 0:51:07Ten months later, we return to Hoyland Common
0:51:07 > 0:51:12to see just what Sean and Andy have achieved.
0:51:12 > 0:51:15Outside, the front has new double-glazed units
0:51:15 > 0:51:20and around the corner, new double-glazed windows and doors have been installed -
0:51:20 > 0:51:22altogether far more appealing.
0:51:22 > 0:51:25Let's hope it's the same inside.
0:51:25 > 0:51:28# How d'you like me now?
0:51:28 > 0:51:30# How d'you like me now?
0:51:30 > 0:51:32# How d'you like me now?
0:51:32 > 0:51:34# How d'you like me now? #
0:51:36 > 0:51:40Considering what was here before, this is a stunning transformation.
0:51:40 > 0:51:43And that's just the beginning.
0:51:48 > 0:51:50When we first got the property,
0:51:50 > 0:51:53there was found to be a lot of damp and mould problems in the kitchen.
0:51:53 > 0:51:57When we took the plaster down to the bare brick, it was quite dry.
0:51:57 > 0:52:00That took a lot of problems of what we weren't going to do.
0:52:00 > 0:52:03In the rest of this room,
0:52:03 > 0:52:06we raised to floor up about a foot
0:52:06 > 0:52:09and put Kingspan down to comply with building regs.
0:52:09 > 0:52:13We raised the window up about 18 inches
0:52:13 > 0:52:18and raised the door up about eight to ten inches so we didn't have as many steps.
0:52:18 > 0:52:21All the new windows...
0:52:21 > 0:52:24Then the staircase to get access to the two new bedrooms.
0:52:24 > 0:52:29Two new bedrooms? Well, let's face it, the staircase was a bit of a giveaway.
0:52:29 > 0:52:32But it's great to see that Sean and Andy
0:52:32 > 0:52:35got their planning permission for the changes.
0:52:35 > 0:52:38Originally here, it was an empty shell,
0:52:38 > 0:52:42what was used originally as a bakery for a granary.
0:52:42 > 0:52:45What we've done, we've put VELUX windows in,
0:52:45 > 0:52:49we've insulated the walls.
0:52:49 > 0:52:52We've had four steels put in to support the roof.
0:52:52 > 0:52:55All this has been insulated through.
0:52:55 > 0:52:58Originally, I was told,
0:52:58 > 0:53:03I was advised to go for a one-bedroom house and I personally wanted two bedrooms,
0:53:03 > 0:53:05and we've got two bedrooms.
0:53:05 > 0:53:09We've two bedrooms and a bathroom and I think it looks nice.
0:53:09 > 0:53:14It certainly makes the house far more attractive to first-time buyers,
0:53:14 > 0:53:17a small family or just as a rental.
0:53:17 > 0:53:20Was it straightforward getting that change of use?
0:53:20 > 0:53:24To go through planning permission, because of my inexperience in that area,
0:53:24 > 0:53:28I took care of it, but it was harder than I expected.
0:53:28 > 0:53:30But Barnsley Council were quite flexible
0:53:30 > 0:53:34and answered all my questions and helped me out a lot.
0:53:34 > 0:53:37It's always good to get the planning people on your side.
0:53:37 > 0:53:41But complying with the strict building regulations wasn't easy at all.
0:53:41 > 0:53:43The insulation required on the walls
0:53:43 > 0:53:48meant that the final interior floor space was smaller than before.
0:53:48 > 0:53:52For much of the renovation, Andy was mainly involved with his electrical business,
0:53:52 > 0:53:56leaving Sean to do most of the project management.
0:53:56 > 0:53:59I think Sean's learnt more than me
0:53:59 > 0:54:02on the planning side, the management side.
0:54:02 > 0:54:06He's got a lot of information, a lot of contacts,
0:54:06 > 0:54:09so he can ring people and stuff like that.
0:54:09 > 0:54:12I've got a rough idea what's been done,
0:54:12 > 0:54:17but I think Sean has learnt a hell of a lot on the building-reg side.
0:54:17 > 0:54:21Structural regs, building regs - I've learnt a lot, definitely.
0:54:23 > 0:54:27Unfortunately, that education came at a cost.
0:54:27 > 0:54:31As first-timers, they'd anticipated a turnaround of four months,
0:54:31 > 0:54:34but getting that permission, complying with building regs
0:54:34 > 0:54:37and dealing with the pitfalls of project management
0:54:37 > 0:54:41meant they overran by six months, a total of ten months.
0:54:41 > 0:54:44How did the budget cope?
0:54:45 > 0:54:48Originally, I said about 15,000,
0:54:48 > 0:54:51Sean said about 25,000,
0:54:51 > 0:54:56and I think we're pushing about 30,000
0:54:56 > 0:54:58when it's completely finished.
0:55:00 > 0:55:05Add that £30,000 to their original purchase price of £28,000
0:55:05 > 0:55:09and Sean and Andy's total outlay is £58,000.
0:55:09 > 0:55:12Time for two local estate agents to give us their opinion
0:55:12 > 0:55:15on the cousins' first development.
0:55:17 > 0:55:19My first impressions of the property
0:55:19 > 0:55:22are that it's been done to a very good standard,
0:55:22 > 0:55:24good fitments throughout.
0:55:24 > 0:55:28They don't seem to have cut corners, so all good first impressions.
0:55:28 > 0:55:32I think the property's very nice. It's been done to a good standard.
0:55:32 > 0:55:35Nice new kitchen,
0:55:35 > 0:55:38the bathroom fittings are very nice. It's a very good property.
0:55:38 > 0:55:43Sean and Andy are undecided about whether to rent or sell the house.
0:55:43 > 0:55:46So, what sort of returns could they make?
0:55:46 > 0:55:49Remember, they've invested £58,000 here,
0:55:49 > 0:55:52so, what could a resale achieve?
0:55:52 > 0:55:57My opinion of a resale value, I would suggest £70,000 is achievable.
0:55:57 > 0:56:01I would put this on the market for between 70 and 75,000.
0:56:01 > 0:56:0370, 75 is a little under.
0:56:03 > 0:56:06I think towards the 80,000 mark, personally.
0:56:06 > 0:56:11But it's what I expected them to say. 75,000 - I expected that region.
0:56:13 > 0:56:17A sale of 75,000 could give them a possible pre-tax profit
0:56:17 > 0:56:20of £17,000 on their first ever development.
0:56:20 > 0:56:25And with potential rentals of up to £450 per calendar month,
0:56:25 > 0:56:28they could get an annual yield of just over nine percent.
0:56:28 > 0:56:31With that level of return in prospect,
0:56:31 > 0:56:34are they already planning their next development?
0:56:34 > 0:56:38If we rent it, we may be interested in buying another property.
0:56:38 > 0:56:44But it's down to whether we can sell this. If it sells, we may buy on.
0:56:44 > 0:56:49But like the climate at the moment, if it doesn't sell, we may hold off for a while.
0:56:51 > 0:56:57Well, we hope we've shown you how rewarding renovations can be,
0:56:57 > 0:57:00so long as you're prepared for the unexpected!
0:57:00 > 0:57:03- From the both of us, we'll see you soon.- BOTH: Goodbye.
0:57:03 > 0:57:07Subtitles by Red Bee Media Ltd
0:57:07 > 0:57:11E-mail subtitling@bbc.co.uk