0:00:02 > 0:00:05- Hello and welcome to the show. - Even in these difficult times,
0:00:05 > 0:00:10those glamorous properties we see in magazines are still tempting us.
0:00:10 > 0:00:14But, for some, they're even more unaffordable right now.
0:00:14 > 0:00:17But you can get yourself, quite possibly,
0:00:17 > 0:00:21a really impressive property for not much money by going to the auctions.
0:00:47 > 0:00:49Well, there are thousands of properties
0:00:49 > 0:00:53available at auctions every month and the diversity's huge,
0:00:53 > 0:00:56from houses to flats to plots of land that are ripe for development.
0:00:56 > 0:01:00Whatever you're looking for, there's something that fits the bill,
0:01:00 > 0:01:02so take a look at the properties
0:01:02 > 0:01:06that got our auction bidders hot under the collar today.
0:01:06 > 0:01:11This two-three bed bungalow in Fife has an unusual line in mod cons.
0:01:11 > 0:01:15A rather surprising kitchen accessory.
0:01:15 > 0:01:18In Chatham, Kent, the owner will have to dig deep
0:01:18 > 0:01:20to make this plot of land work.
0:01:20 > 0:01:25Whoever takes this on is going to have some serious excavating to do.
0:01:25 > 0:01:28And in Draycott, Derbyshire,
0:01:28 > 0:01:33has this two-bed semi-detached got any potential? Who knows?
0:01:33 > 0:01:35All in all, bit of a TARDIS, this one.
0:01:37 > 0:01:40All these properties have been sold at auction and we'll find out
0:01:40 > 0:01:44who bought them and what they paid when they went under the hammer.
0:01:44 > 0:01:45You've got yourself a house.
0:01:50 > 0:01:56This is the River Eden, which flows through the Royal Borough of Cupar.
0:01:56 > 0:02:00You've got Edinburgh to the south, St Andrews to the north
0:02:00 > 0:02:03and it's a jolly nice place to live.
0:02:03 > 0:02:06With a nature trail running alongside the river
0:02:06 > 0:02:10and no shortage of parks, Cupar in the county of Fife
0:02:10 > 0:02:13is a place where you can enjoy the great outdoors.
0:02:15 > 0:02:18But, on the practical side, the vast road network
0:02:18 > 0:02:22and great train links whisk you up and down the east of Scotland,
0:02:22 > 0:02:27so, as a commuter town, it's got a lot going for it.
0:02:27 > 0:02:31The property I'm here to see is in this highly sought-after
0:02:31 > 0:02:34residential area right at the end of a cul-de-sac.
0:02:34 > 0:02:39Two to three-bedroom bungalow. Had a guide price of £130,000-£140,000.
0:02:39 > 0:02:40Let's take a look.
0:02:40 > 0:02:46The bungalow was built by the RAF as married quarters for staff
0:02:46 > 0:02:49based at RAF Leuchars Air Base about ten miles away.
0:02:49 > 0:02:51It's now been sold off by the Ministry of Defence,
0:02:51 > 0:02:55so with good schools nearby, it could be a good catch.
0:02:55 > 0:02:58The property's right at the end of the cul-de-sac,
0:02:58 > 0:03:01which gives you lovely privacy and, in terms of location,
0:03:01 > 0:03:04amazing views over the surrounding hills.
0:03:04 > 0:03:08The good news is, neighbours have also put in extensions in the roofs,
0:03:08 > 0:03:11so, ooh, I'm getting excited!
0:03:11 > 0:03:15As it's detached, that means this bungalow
0:03:15 > 0:03:19is surrounded by a garden and, in this case, a good-sized one.
0:03:19 > 0:03:22Another bonus is the garage on the driveway, which will save you
0:03:22 > 0:03:26having to fight for a parking space at the end of the cul-de-sac.
0:03:26 > 0:03:28So, what's on offer?
0:03:28 > 0:03:31It's nice to have this entrance area as you come through the front door.
0:03:31 > 0:03:34Somewhere to hang your coats and stuff like that.
0:03:34 > 0:03:38And into, well, this is a lovely surprise for a bungalow.
0:03:38 > 0:03:41A really nice big entrance area.
0:03:41 > 0:03:44Generally in bungalows you don't have this. Wonderful news.
0:03:44 > 0:03:47Bedroom there. Second bedroom towards the back.
0:03:47 > 0:03:52Then a bedroom/dining room there and the loo.
0:03:52 > 0:03:56All in all, fairly basic lay-out but what I see straightaway is that.
0:03:56 > 0:03:58Now, that is good news
0:03:58 > 0:04:01because I'm immediately thinking
0:04:01 > 0:04:03a potential to extend up into the loft.
0:04:03 > 0:04:05There's enough space here maybe
0:04:05 > 0:04:10to put in a spiral staircase to get you up there. Fab!
0:04:10 > 0:04:13The bathroom may need work to make it acceptable by today's standards
0:04:13 > 0:04:18but, with a modest make-over, the two bedrooms could be good to go.
0:04:18 > 0:04:23The same goes for the living room, but you could update that fireplace.
0:04:23 > 0:04:26But with plenty of light coming in, and great views looking out,
0:04:26 > 0:04:30this room could really be inviting.
0:04:30 > 0:04:36Through to the kitchen and a rather surprising kitchen accessory.
0:04:36 > 0:04:37Yes, a wheelie bin.
0:04:37 > 0:04:41Don't normally see those in the middle of the kitchen.
0:04:41 > 0:04:47That's not good. Clearly, some major problem with a leak in the loft,
0:04:47 > 0:04:50which is dribbling water down through the electrics. Not ideal.
0:04:50 > 0:04:53That's clearly a problem that needs to be sorted out,
0:04:53 > 0:04:56but the kitchen itself, nice views over the garden.
0:04:56 > 0:05:00Tired and dated units, but it's a good-sized space.
0:05:00 > 0:05:04All in all, yeah, fantastic. It's nice.
0:05:06 > 0:05:08Here.
0:05:08 > 0:05:11OK, so this is the dining room then,
0:05:11 > 0:05:14or I suppose it could be that third bedroom.
0:05:14 > 0:05:17But what I'm thinking straightaway is this wall.
0:05:17 > 0:05:20Wouldn't it be fantastic to take this out
0:05:20 > 0:05:23and open up the whole of this space?
0:05:23 > 0:05:27That would create a really fantastic amount of space. Kitchen diner.
0:05:27 > 0:05:30I mean, the only downside, of course,
0:05:30 > 0:05:32is you're losing a potential bedroom.
0:05:32 > 0:05:34It all depends what you plan to use it for.
0:05:34 > 0:05:37Of course, if you extend into the loft space,
0:05:37 > 0:05:41then losing a bedroom downstairs wouldn't be so much of a problem.
0:05:41 > 0:05:43If this falls within permitted development,
0:05:43 > 0:05:46you may also be able to save yourself the hassle
0:05:46 > 0:05:51of getting planning permission, but always best to check first.
0:05:51 > 0:05:53Getting back to that water problem,
0:05:53 > 0:05:56it seems the kitchen isn't the only place suffering at the moment.
0:05:56 > 0:06:00The adjacent room seems to have sprung a leak as well.
0:06:00 > 0:06:06It's important the new owner sorts the problem as soon as possible,
0:06:06 > 0:06:10but with a good-sized garden that needs attention from a lawnmower,
0:06:10 > 0:06:13and the guide price of £130,000-£140,0000,
0:06:13 > 0:06:17this bungalow does seem very attractive.
0:06:21 > 0:06:24Time to find out what a local estate agent thinks.
0:06:24 > 0:06:29First impressions, this is bigger on the inside than the outside.
0:06:29 > 0:06:31A good-sized property.
0:06:31 > 0:06:35Excellent plot. Very large. Very nice views.
0:06:35 > 0:06:37In my opinion, quite sellable.
0:06:37 > 0:06:41What should the new owner do to add value?
0:06:41 > 0:06:44I would be doing a conversion of the attic.
0:06:44 > 0:06:47It's my understanding that it is ready-made for conversion.
0:06:47 > 0:06:50Well, that would explain the windows already in the loft,
0:06:50 > 0:06:54but if the owner did the conversion and put in a kitchen diner,
0:06:54 > 0:06:57the estate agent estimates the cost would be around £40,000,
0:06:57 > 0:07:01So, with a guide price of 130,000-140,000,
0:07:01 > 0:07:04how would the sale return stack up?
0:07:04 > 0:07:08If you were to take advantage of the attic conversion and kitchen diner,
0:07:08 > 0:07:14I estimated the resale value being in order of £210,000-£215,000.
0:07:14 > 0:07:16What could it be rented out for?
0:07:16 > 0:07:18If converted,
0:07:18 > 0:07:23I estimate the rental value would be between £800-£825 per month.
0:07:23 > 0:07:28So, a few immediate problems to solve
0:07:28 > 0:07:31and some modernisation issues to deal with.
0:07:31 > 0:07:34However, you can't knock the location.
0:07:34 > 0:07:38With the potential to expand, I think this is a great one to go for.
0:07:38 > 0:07:43Let's see who agreed with me when it went under the hammer.
0:07:44 > 0:07:45Lot number 319.
0:07:45 > 0:07:48I now have a proxy bid on this property,
0:07:48 > 0:07:51so for someone who couldn't be here today, so I will be bidding
0:07:51 > 0:07:53on behalf of the proxy bidder.
0:07:53 > 0:07:55I'm going to start with my proxy bidder at an opening bid
0:07:55 > 0:07:58of £125,000.
0:07:58 > 0:08:04Looking for 126 in the room. Is that a bid, sir? £126,000, I've got.
0:08:04 > 0:08:08I can go 127, then, with the proxy bidder. Back at 128 it is.
0:08:08 > 0:08:11129. 130. 130,000.
0:08:11 > 0:08:15131. 132. 133, I can still go.
0:08:15 > 0:08:17133. 134.
0:08:17 > 0:08:20'The two bidders are locked in a bidding battle,
0:08:20 > 0:08:21'determined to buy the lot.
0:08:21 > 0:08:26'We pick up when the bidding has reached £149,000.'
0:08:26 > 0:08:28149. £149,000.
0:08:28 > 0:08:31I can go for 149,250.
0:08:31 > 0:08:33149,500.
0:08:33 > 0:08:37149,750, you're unsurprised to learn.
0:08:37 > 0:08:38Round it up to 150.
0:08:38 > 0:08:42150,000, it is. At £150,000.
0:08:42 > 0:08:44You'll be delighted that the proxy is now out.
0:08:44 > 0:08:47£150,000, I'm going to sell at this level, ladies and gentlemen.
0:08:47 > 0:08:50Is anyone else coming in? Be very quick.
0:08:50 > 0:08:52Sold.
0:08:52 > 0:08:56'That successful bid of 150,000 was made by husband and wife team
0:08:56 > 0:08:59'Chris and Liz.
0:08:59 > 0:09:02'Liz has recently retired from the health service,
0:09:02 > 0:09:06'while Chris works for the RAF as an admin officer.
0:09:06 > 0:09:10'So it seems fitting that they have bought ex married quarters.
0:09:10 > 0:09:12'The couple currently live in Paisley
0:09:12 > 0:09:14'and have high hopes for their new purchase,
0:09:14 > 0:09:17'but it seems they might not be the new occupants.'
0:09:17 > 0:09:21Chris, Liz, lovely to meet you both. Congratulations.
0:09:21 > 0:09:25- Tell me why you want this bungalow. - We're buying it for my sister-in-law.
0:09:25 > 0:09:28She is desperate to move to this part of the country.
0:09:28 > 0:09:30Her son is hopefully going to university this summer.
0:09:30 > 0:09:33They have pets and, unfortunately,
0:09:33 > 0:09:35people don't like to rent to people with pets.
0:09:35 > 0:09:38- So we've agreed we'll buy it and they'll rent it off us.- Right.
0:09:38 > 0:09:42If they don't like it in a few years' time, it's a house we would very happily retire to
0:09:42 > 0:09:45when I leave the air force so it's great for everybody.
0:09:45 > 0:09:47'In fact, Ann, Liz's sister,
0:09:47 > 0:09:50'was at the auction sitting between Liz and Chris.
0:09:50 > 0:09:52'No wonder she looks happy!'
0:09:52 > 0:09:55# Sisters, sisters
0:09:55 > 0:09:59# There were never such devoted sisters. #
0:09:59 > 0:10:02It's a lovely gesture to help Liz's sister and her two sons
0:10:02 > 0:10:05out of a tight spot, but accommodation here
0:10:05 > 0:10:08could be tight as well, so what attracted them to this property?
0:10:11 > 0:10:12The potential that it has.
0:10:12 > 0:10:15There's windows up there already,
0:10:15 > 0:10:19so it'll be comparatively easy to make it into two en-suite bedrooms.
0:10:19 > 0:10:22We've got builders coming this afternoon to discuss that with us.
0:10:22 > 0:10:24Right.
0:10:24 > 0:10:26Knock down the wall between the kitchen and dining room,
0:10:26 > 0:10:29and extend the kitchen into a kitchen-diner.
0:10:29 > 0:10:33And we've seen it being done in houses, so we know what can be done.
0:10:33 > 0:10:38I'm told they built these houses with the intention that people could extend into upstairs,
0:10:38 > 0:10:40so hopefully the roof strength is there already.
0:10:40 > 0:10:45- There shouldn't be the extra cost of RSJs that you'd normally need. - Hopefully the floor's there.
0:10:45 > 0:10:50- Hopefully - we haven't seen it. - You haven't? Right. - So it's a bit of pot luck.
0:10:50 > 0:10:53So what about planning permission for what you've got in mind?
0:10:53 > 0:10:56We've already lodged a request with the council.
0:10:56 > 0:10:58To see if we need planning permission.
0:10:58 > 0:11:00And we're waiting for their response.
0:11:00 > 0:11:03Hopefully it shouldn't need it since what we're doing is internal.
0:11:03 > 0:11:05I don't think Velux windows count as external,
0:11:05 > 0:11:08we're not changing the property's footprint,
0:11:08 > 0:11:11so I don't envisage a problem, but these things can take a long time.
0:11:11 > 0:11:17'As well as getting permission to install the two en-suite bedrooms upstairs,
0:11:17 > 0:11:19'the couple aim to replace the kitchen and bathroom,
0:11:19 > 0:11:22'check the wiring and plumbing and redecorate throughout.
0:11:22 > 0:11:26'However, neither of them has any experience of developing properties.
0:11:26 > 0:11:29'It's all down to finding and hiring the right builders for the job.
0:11:29 > 0:11:33'They also have a tight deadline of two months to get the place
0:11:33 > 0:11:36'ready for Liz's sister. And the reason?'
0:11:39 > 0:11:42I'm in the Air Force. We tend to move round every couple of years or so.
0:11:42 > 0:11:46I've been lucky to get a job in NATO in Denmark.
0:11:46 > 0:11:49- Right. - Hence I'm trying to get things done,
0:11:49 > 0:11:52as much as we can done, before we go.
0:11:52 > 0:11:58# Come fly with me let's fly, let's fly away... #
0:11:58 > 0:12:02So lots to do, and you want it done quite quickly.
0:12:02 > 0:12:06That's presumably going to mean a reasonable budget to do it.
0:12:06 > 0:12:08We bit into the budget a bit buying the house.
0:12:08 > 0:12:11We'd hoped to buy at 130-140, and I had a 170 budget,
0:12:11 > 0:12:13so we've got about 20,000 to play with,
0:12:13 > 0:12:15which I think should cover most of it.
0:12:15 > 0:12:19- Right.- If we have to go a little further, we might have to stage the work.
0:12:19 > 0:12:2320,000 quid might be a bit tight for putting those two bedrooms in.
0:12:23 > 0:12:24So the contingency,
0:12:24 > 0:12:27if the quotes come in much higher than that, is what?
0:12:27 > 0:12:30Spread the work. I can find a little extra money if necessary.
0:12:30 > 0:12:33I can probably take it up to 25, 26 if necessary,
0:12:33 > 0:12:35so there is a contingency in there.
0:12:35 > 0:12:38- Don't tell the builders that yet. - No, don't tell him that, no!
0:12:39 > 0:12:42'Well, before it's chocks away, Chris and Liz have a short
0:12:42 > 0:12:47'space of time and a limited budget to get the work done, so I'm glad
0:12:47 > 0:12:51'they've got a contingency fund for those unexpected developments.'
0:12:51 > 0:12:55So, in terms of your sister's involvement in the restoration, is she going to have a say?
0:12:55 > 0:12:57Oh, yes, definitely.
0:12:57 > 0:13:00And we'll all be on, you know, painting duty
0:13:00 > 0:13:04once all the building work's done, so yes.
0:13:04 > 0:13:09It makes sense because, hopefully, her plan is to live here a long time - 20, 30 years, perhaps -
0:13:09 > 0:13:11so she might as well have what she wanted.
0:13:11 > 0:13:13What does she say about what you're doing?
0:13:13 > 0:13:21- She's just thrilled, absolutely thrilled.- Well, if you can't help family, who can you help?- Yes.
0:13:21 > 0:13:23- Well, congratulations.- Thank you.
0:13:23 > 0:13:26- Good luck with it, good luck with the building quotes. - Yes, thank you(!)
0:13:26 > 0:13:29- We look forward to seeing how you get on.- Thanks.
0:13:33 > 0:13:38Well, this is one of those projects where you SO hope it succeeds.
0:13:38 > 0:13:42Chris and Liz buying this house for the best possible reasons.
0:13:42 > 0:13:44But I am a little bit concerned about the timescale,
0:13:44 > 0:13:47and that £20,000 budget.
0:13:47 > 0:13:50You can find out how they get on later in the show.
0:13:55 > 0:13:58Today I'm in Chatham in Kent,
0:13:58 > 0:14:01an area that's been going through something of a facelift of late.
0:14:01 > 0:14:04If the regenerated dockyards are anything to go by,
0:14:04 > 0:14:07I reckon investment opportunities round here may be worth
0:14:07 > 0:14:09getting into a flap about.
0:14:09 > 0:14:12Today I'm in the residential area of Lords Wood Lane,
0:14:12 > 0:14:16which, as far as Chatham's concerned, doesn't get much better.
0:14:16 > 0:14:21However, the lot I'm looking for is proving rather hard to locate.
0:14:21 > 0:14:25I'm here to see a plot of land with planning permission
0:14:25 > 0:14:29for a two-bedroom chalet bungalow and a guide of 65 - 70,000.
0:14:29 > 0:14:32But, without a set of steps in my back pocket,
0:14:32 > 0:14:35I'm going to have to pick my way over next door's gravel.
0:14:35 > 0:14:37Don't worry, I have asked!
0:14:37 > 0:14:40'Well, it's a pretty unorthodox way of checking out a plot,
0:14:40 > 0:14:43'and not perhaps the best shoes for the job,
0:14:43 > 0:14:47'but I'm not so sure this development is all about fun.'
0:14:47 > 0:14:51Well, apart from being a hassle to view,
0:14:51 > 0:14:53the first issue that springs to mind here is that
0:14:53 > 0:14:57whoever takes this on is going to have some serious excavating to do
0:14:57 > 0:15:00before they get started.
0:15:00 > 0:15:03And access up here is always going to be via steps or a steep slope -
0:15:03 > 0:15:07not perfect for the less sprightly on their feet.
0:15:09 > 0:15:12Remember, this is a shallow bungalow,
0:15:12 > 0:15:16which means it will have living space in the loft.
0:15:16 > 0:15:20So, buyers expecting a step-free home may be disappointed.
0:15:20 > 0:15:22It does mean you get more space for your money.
0:15:22 > 0:15:25But what about the plot of land itself?
0:15:25 > 0:15:30Now, straightaway, I can see that this was part of somebody's garden.
0:15:30 > 0:15:33I think it belonged to this house here, because you can see,
0:15:33 > 0:15:35there's a fairly new fence that's been put up.
0:15:35 > 0:15:38What I do like is that there are lots of trees here,
0:15:38 > 0:15:40so it's shielding you from the road, although
0:15:40 > 0:15:44you will have to take some of those out to create that entrance.
0:15:44 > 0:15:46And now I'm standing here, I can see this plot of land is on
0:15:46 > 0:15:50a slight gradient, so something for the builders to think about too.
0:15:50 > 0:15:54You've also got views over the Medway, which is really nice.
0:15:54 > 0:15:55So, all in all,
0:15:55 > 0:15:59I can imagine this would be quite a nice place to live, and surely,
0:15:59 > 0:16:02that's all you're looking for when you're looking for a plot of land.
0:16:02 > 0:16:05As the saying goes, "build it and they will come".
0:16:05 > 0:16:08And into the bargain, hopefully, buy it.
0:16:08 > 0:16:11Despite the issues with the slope,
0:16:11 > 0:16:14they are more than compensated for by the surroundings.
0:16:14 > 0:16:17But remember, the lot comes WITH planning permission,
0:16:17 > 0:16:19so, how do the plans measure up?
0:16:19 > 0:16:22It's always exciting for me, looking through plans.
0:16:22 > 0:16:26These are quite basic, but it does demonstrate the floorspace.
0:16:26 > 0:16:30I can see that the downstairs has got a kitchen/diner,
0:16:30 > 0:16:32that runs into the lounge.
0:16:32 > 0:16:34Two big lovely double doors that lead out onto the garden,
0:16:34 > 0:16:37which make the most of the downstairs space.
0:16:37 > 0:16:41You've also got a bedroom here, which is bedroom two.
0:16:41 > 0:16:44So, the main bedroom is on the top floor of the bungalow,
0:16:44 > 0:16:47which is upstairs in the eaves.
0:16:47 > 0:16:51Now, I can see that there is a huge storage space running
0:16:51 > 0:16:53all the way around the outside.
0:16:53 > 0:16:56Now surely, that is a bit of a waste of space. Do you think, possibly,
0:16:56 > 0:16:59we could squeeze another bedroom out of that?
0:16:59 > 0:17:01I think by doing that,
0:17:01 > 0:17:04you would then really appeal to the family market.
0:17:04 > 0:17:05I think that would be worth a shot.
0:17:05 > 0:17:10As it stands, with that guide price of £65-£70,000,
0:17:10 > 0:17:13I don't think a two-bed bungalow would make that much money
0:17:13 > 0:17:15once you've done a decent build.
0:17:15 > 0:17:18But add a third bedroom and you'd be increasing
0:17:18 > 0:17:20the value by more than the work would cost.
0:17:20 > 0:17:23To me, it would make much more sense.
0:17:23 > 0:17:27But for a second opinion, I asked along a local estate agent
0:17:27 > 0:17:30to hear his thoughts on this plot of land.
0:17:31 > 0:17:33My first impressions of the plot are, obviously,
0:17:33 > 0:17:38being on a slope will have one or two issues, but the size is very good.
0:17:38 > 0:17:41The location, being right on the corner, is very good.
0:17:41 > 0:17:43In the garden sizing, it'd be a good size as well.
0:17:43 > 0:17:47So, my first impressions are very good, and I'm surprised at the site.
0:17:47 > 0:17:51So, access to the site may not be a great problem,
0:17:51 > 0:17:53but can those plans be improved upon?
0:17:53 > 0:17:58The plans for a two bedroom chalet detached bungalow are good plans,
0:17:58 > 0:18:01but I think you could potentially use the size a bit more.
0:18:01 > 0:18:05There's a lot of loft space that could be used into a three bed,
0:18:05 > 0:18:07make it a three-bedroom home,
0:18:07 > 0:18:09which would be more popular with families in the area.
0:18:09 > 0:18:13The plot had a guide price of £65-£70,000.
0:18:13 > 0:18:18So, how could the returns stack up first for resale?
0:18:18 > 0:18:20As a two-bedroom detached bungalow,
0:18:20 > 0:18:24you'll be looking in the region of a maximum of 200,000.
0:18:24 > 0:18:26For a three-bedroom property, would be
0:18:26 > 0:18:29looking in the region of £220-£225,000.
0:18:29 > 0:18:32- And rental? - As a two-bedroom property,
0:18:32 > 0:18:35you'd be looking in the region of £750 per calendar month.
0:18:35 > 0:18:39As a three-bedroom property, around about £825 per calendar month.
0:18:40 > 0:18:44So, it's a climb to get to it, but it's no stretch
0:18:44 > 0:18:48of the imagination to see that this plot could be a good development.
0:18:48 > 0:18:51Spend too much on the purchase or the build, well,
0:18:51 > 0:18:54you're then leaving yourself with a tight profit.
0:18:54 > 0:18:56Let's see what it went for at the auction.
0:18:59 > 0:19:05Lot 25. Start me where you will on that one. £65,000 anywhere?
0:19:05 > 0:19:0965,000 anywhere? I'm looking for £50,000 opening bid.
0:19:09 > 0:19:1250, I'm on the way. And five, now, do I see?
0:19:12 > 0:19:14Five, that's 60. At 60.
0:19:14 > 0:19:1662. 62.
0:19:16 > 0:19:1965. 65.
0:19:19 > 0:19:2367. 67. 67.
0:19:23 > 0:19:25And 70. And two.
0:19:25 > 0:19:27And two, I'm looking for. 72.
0:19:27 > 0:19:31And five. And seven. 77.
0:19:31 > 0:19:3377. And 80.
0:19:33 > 0:19:36And 82. At 82. And five.
0:19:36 > 0:19:39And seven. 87.
0:19:39 > 0:19:4290, to the original bidder.
0:19:42 > 0:19:46At £87,000 bid on my right. He's against you in the blue on the left.
0:19:46 > 0:19:52First time at £87,000. Second time at £87,000.
0:19:52 > 0:19:54Third and final time at £87,000. All done.
0:19:54 > 0:19:57It's all yours. £87,000.
0:19:57 > 0:19:59That successful bid of 87,000
0:19:59 > 0:20:02was made by Frank from Sevenoaks in Kent.
0:20:06 > 0:20:08He's a self-employed builder-developer
0:20:08 > 0:20:11and has built around 35 homes to date.
0:20:12 > 0:20:18I met him back at the plot to find out his plans for house number 36.
0:20:18 > 0:20:21- Frank, congratulations. - Thanks very much.
0:20:21 > 0:20:26How did you feel on auction day when the hammer went down and you had won this plot?
0:20:26 > 0:20:28Fantastic. Really fantastic.
0:20:28 > 0:20:33Well, to be honest, it was only between me and the other man.
0:20:33 > 0:20:35If he had gone over the top on my last bid,
0:20:35 > 0:20:40- I would have bowed out as well. - Really?!- Yes. So that was very good.
0:20:40 > 0:20:44- Were you happy with the price you paid? £87,000?- Absolutely. Yes.
0:20:44 > 0:20:47I didn't think I would get this at that price, to be honest,
0:20:47 > 0:20:50- but there you go.- So how much do you know about building plots?
0:20:50 > 0:20:53What were you doing at the auction in the first place?
0:20:53 > 0:20:58I'm a builder anyway. I do loft conversions, extensions. That type of thing.
0:20:58 > 0:21:01And I used to work for a developer and I was,
0:21:01 > 0:21:04if you like, kept down there, but now I've managed to get
0:21:04 > 0:21:09a bit of money and bought the odd plot here and there.
0:21:09 > 0:21:11You used to work for a developer,
0:21:11 > 0:21:14- but you're doing it for yourself now?- Absolutely. Yes.
0:21:14 > 0:21:17- So you're the main man? - I am the main man.
0:21:17 > 0:21:20- Building, developing? - The buck stops here! THEY LAUGH
0:21:20 > 0:21:23Well, it's great to meet someone who has taken a risk
0:21:23 > 0:21:26and seems to have succeeded. Good on you, Frank!
0:21:26 > 0:21:29# You can go your own way
0:21:29 > 0:21:33# Go your own way. #
0:21:33 > 0:21:35But as he says, the buck stops here.
0:21:35 > 0:21:39So has he decided what to do about the issues with the slope?
0:21:39 > 0:21:43It's not a flat site by any means, you've got to get access in,
0:21:43 > 0:21:47which is a ramp, and then once you get in, it makes it worse,
0:21:47 > 0:21:49put it that way.
0:21:49 > 0:21:52If it had been a flat site, it would have been really hunky-dory,
0:21:52 > 0:21:55but there's a little bit of work to be done on it.
0:21:55 > 0:21:59How will you overcome this? Will there be an awful lot of excavation going on
0:21:59 > 0:22:01to get down onto the lower-level?
0:22:01 > 0:22:04No. No. It'll stay at the heart. I'll level it off slightly.
0:22:04 > 0:22:07Obviously we've got to take the spall off the front,
0:22:07 > 0:22:10because the house to their right is at that level
0:22:10 > 0:22:12and I will keep to that.
0:22:12 > 0:22:16And then we've got to ramp from the pathway up to this level.
0:22:17 > 0:22:21Frank seems quite relaxed about dealing with the slope and the bank here.
0:22:21 > 0:22:24He's also seen a better way of getting value from the build
0:22:24 > 0:22:27would be adding that third bedroom.
0:22:27 > 0:22:31How are you going to squeeze another bedroom out of that?
0:22:31 > 0:22:34If you look, that seems to be a waste of space.
0:22:34 > 0:22:37Look at the wasted space they've got there.
0:22:37 > 0:22:39- That's just loft storage space. - Exactly.
0:22:39 > 0:22:42The thing is, you're pitching the roof, and that is quite a wide area.
0:22:42 > 0:22:44You could get another bedroom in there.
0:22:44 > 0:22:48But perhaps the planners don't want that particular situation,
0:22:48 > 0:22:50but it lends itself to another bedroom there.
0:22:50 > 0:22:52That'll effect the saleability.
0:22:52 > 0:22:57- I really hope that goes your way. - I would like that as well, yes.
0:22:57 > 0:23:00But there again, I bought it with planning for two beds,
0:23:00 > 0:23:03so in regards to that, if it comes to it, we'll build it on that.
0:23:03 > 0:23:08It's not a disaster if he doesn't get permission for that third bedroom, but just doing
0:23:08 > 0:23:11a two-bed chalet bungalow would obviously lower his profit margin.
0:23:11 > 0:23:14With a build cost of £80-£90,000,
0:23:14 > 0:23:17Frank reckons it would take two months to get things sorted
0:23:17 > 0:23:20with planning and a further six months to do the build.
0:23:20 > 0:23:24However, this very much depends on how the market is looking,
0:23:24 > 0:23:26so things are a bit up in the air at the moment.
0:23:28 > 0:23:29But he's an experienced builder,
0:23:29 > 0:23:34so I'm sure he's prepared himself for the project ahead.
0:23:34 > 0:23:37What is your experience with building, Frank?
0:23:37 > 0:23:43I started working when I was 15. In a little firm in Sidcup.
0:23:43 > 0:23:48And I was told by my mother to get my best clothes on,
0:23:48 > 0:23:52and I was unloading tiles off a roof in the afternoon.
0:23:52 > 0:23:55- But I love it. I live and die the game.- Frank, congratulations.
0:23:55 > 0:24:00- You've come a long way over the years, well done to you.- Thanks very much indeed.- Well done.- Cheers.
0:24:00 > 0:24:04Frank has got a passion for his work and what a difference that makes!
0:24:04 > 0:24:07I think getting permission for that third bedroom is key
0:24:07 > 0:24:11to the saleability. And that all-important profit.
0:24:11 > 0:24:15Find out if he twists the planners' arms later on in the programme.
0:24:16 > 0:24:19Coming up - the staircase in this house in Derbyshire
0:24:19 > 0:24:22has already been altered once before, but...
0:24:22 > 0:24:25I hate to say it, I think it needs to be moved again!
0:24:26 > 0:24:31In Chatham, did the excavation go well for Frank?
0:24:31 > 0:24:34Not knowing what the ground conditions were like,
0:24:34 > 0:24:36perhaps I should have had a soil sample.
0:24:37 > 0:24:40But first, have Liz's sister
0:24:40 > 0:24:43and nephews made themselves at home in Fife?
0:24:43 > 0:24:45It's like being on holiday or something,
0:24:45 > 0:24:47they just absolutely love it.
0:24:50 > 0:24:54It's now back to the Royal Borough of Cupar in Fife,
0:24:54 > 0:24:57where earlier, married couple Chris and Liz bought this
0:24:57 > 0:25:00two to three-bedroom bungalow for £150,000.
0:25:03 > 0:25:07The plan was to renovate the ground floor and add two ensuite bedrooms
0:25:07 > 0:25:11in the loft that seemed tailor-made for a conversion.
0:25:11 > 0:25:14But all that work wasn't for themselves.
0:25:14 > 0:25:15We're buying it for my sister-in-law.
0:25:15 > 0:25:18She's desperate to move to this part of the country.
0:25:18 > 0:25:21Her son is hopefully going to university this summer,
0:25:21 > 0:25:24so, we've agreed to buy it and they'll rent it off us.
0:25:24 > 0:25:28And Liz's sister Anne, seen here at the auction
0:25:28 > 0:25:31seated between Chris and Liz is clearly delighted.
0:25:31 > 0:25:34But for the amount of work Chris and Liz wanted to do,
0:25:34 > 0:25:36they had a tight budget of £20,000
0:25:36 > 0:25:39and due to Chris's work commitments abroad
0:25:39 > 0:25:42an even tighter turnaround of just two months.
0:25:42 > 0:25:46It was going to be a close call, but three-and-a-half months later,
0:25:46 > 0:25:49we've returned to Cupar to see how they've progressed.
0:25:50 > 0:25:52And from the outside,
0:25:52 > 0:25:56new Velux windows show that some work has been going on.
0:25:59 > 0:26:00And stepping inside,
0:26:00 > 0:26:04the front room has been transformed into a fresh, comfortable lounge.
0:26:04 > 0:26:06And the rear?
0:26:10 > 0:26:14Chris and Liz have gone ahead and removed the wall
0:26:14 > 0:26:17to create an open plan and bright kitchen dining room.
0:26:18 > 0:26:22And the new stairs leads to a stunning new loft conversion,
0:26:22 > 0:26:24housing two ensuite bedrooms,
0:26:24 > 0:26:28both tastefully decorated by Liz's sister Anne.
0:26:28 > 0:26:32She now lives with her two sons.
0:26:32 > 0:26:35But we'll leave it to Liz to tell us more.
0:26:35 > 0:26:38Up here in this space, there was absolutely nothing at all,
0:26:38 > 0:26:41so they have managed to create two double bedrooms,
0:26:41 > 0:26:45both with ensuite, built-in wardrobes
0:26:45 > 0:26:49and extra storage under the eaves, which is an absolute bonus.
0:26:49 > 0:26:53There also was windows already in situ, which was great.
0:26:53 > 0:26:56And somewhere along the line, they provided double glazing
0:26:56 > 0:27:00to match the rest of the house, which was an absolute bonus for us.
0:27:00 > 0:27:04We've also added Velux windows in both the bedrooms,
0:27:04 > 0:27:08in the en-suite and in the hall area as well.
0:27:08 > 0:27:12Both of these en suite rooms are amazing spaces.
0:27:13 > 0:27:14More importantly,
0:27:14 > 0:27:18they've utilised the potential of the bungalow to great effect.
0:27:18 > 0:27:23And the new kitchen is equally a major bonus.
0:27:23 > 0:27:28So, this is the room that we had the most work downstairs done in.
0:27:28 > 0:27:32Initially, there was a wall there that we had knocked down.
0:27:32 > 0:27:35A cooker point in the corner and a doorway through here.
0:27:35 > 0:27:38The doorway was sealed off, new cooker and a complete
0:27:38 > 0:27:41new kitchen put in. Room to get all of the usual white goods,
0:27:41 > 0:27:44dishwasher, washing machine, and of course, the stairs which
0:27:44 > 0:27:48we'd initially planned to have out in the hallway, rather than ruin
0:27:48 > 0:27:51a nice, large hallway, the builder recommended
0:27:51 > 0:27:54we put it into here from the dining area up to upstairs.
0:27:54 > 0:27:56And that's really made a massive difference.
0:27:56 > 0:27:59It gives that nice big area that we wanted.
0:27:59 > 0:28:02And access here without really ruining what's quite a good dining space.
0:28:02 > 0:28:05It's a good move all round.
0:28:07 > 0:28:11But of course, this is a new home for Liz's sister
0:28:11 > 0:28:15and her two sons, who have all settled in well.
0:28:15 > 0:28:18They absolutely love it. They just love it.
0:28:18 > 0:28:21They can't believe that they are actually here and living here.
0:28:21 > 0:28:24It's like being on holiday or something, they absolutely love it.
0:28:24 > 0:28:29The boys' bedrooms have been made into comfortable pads,
0:28:29 > 0:28:31just right for the boys' toys.
0:28:35 > 0:28:39And the ground floor bathroom has had a small change with a WC
0:28:39 > 0:28:44and wash basin remaining, but a new bath and shower installed.
0:28:45 > 0:28:48In all, it's been a hassle-free renovation for the couple,
0:28:48 > 0:28:52not least because they left everything to their builder.
0:28:52 > 0:28:55The hardest thing for us is being away in Denmark now,
0:28:55 > 0:28:59because we've not been here to see what was going on.
0:28:59 > 0:29:02Fortunately, with computerisation, they were able
0:29:02 > 0:29:06to send us pictures throughout the process, so we had a rough idea.
0:29:06 > 0:29:08And I'm just so pleased to be home now
0:29:08 > 0:29:11so we can actually see it!
0:29:11 > 0:29:15# Welcome home
0:29:15 > 0:29:19# Welcome
0:29:19 > 0:29:23# Come on in
0:29:23 > 0:29:25# And close the door. #
0:29:25 > 0:29:29Well, it was just as well that Chris and Liz found a builder
0:29:29 > 0:29:32who could give them such a welcoming final product.
0:29:32 > 0:29:37But before flying off to Denmark, there were some issues to overcome.
0:29:38 > 0:29:41As they weren't enlarging the bungalow footprint
0:29:41 > 0:29:44or installing dormer windows, planning permission wasn't required.
0:29:44 > 0:29:48But the loft conversion meant more work than initially thought,
0:29:48 > 0:29:53as the bungalow's structure didn't meet the new building regulations. This held them up.
0:29:53 > 0:29:56We didn't need planning permission, but we needed a building warranty.
0:29:56 > 0:29:59It wasn't something we'd thought of, but that's required,
0:29:59 > 0:30:02and that probably put a four to six-week delay
0:30:02 > 0:30:04on what we thought would be the timeframe.
0:30:04 > 0:30:08That pushed the original schedule up from two to three months.
0:30:08 > 0:30:11But with the speed and quality of the work, it must have been curtains
0:30:11 > 0:30:15for Chris and Liz's original budget of 20,000.
0:30:16 > 0:30:19We haven't got the final bill yet, but I reckon the decoration,
0:30:19 > 0:30:22the carpets and all the work and the extras -
0:30:22 > 0:30:24probably about £50,000 on top of the house purchase.
0:30:26 > 0:30:29Add that £50,000 to their £150,000 purchase price
0:30:29 > 0:30:33and their total outlay is now 200,000.
0:30:33 > 0:30:36We asked two local estate agents
0:30:36 > 0:30:39what they thought of their investment.
0:30:41 > 0:30:42First impressions are very good.
0:30:42 > 0:30:45They made an excellent job of the property,
0:30:45 > 0:30:47especially the upstairs conversion.
0:30:47 > 0:30:49It's perhaps a little bit more spacious
0:30:49 > 0:30:51than you would have first thought,
0:30:51 > 0:30:54and the fact that they've got two en-suite bathrooms does lift it.
0:30:56 > 0:30:59First impressions, it's a lovely house.
0:30:59 > 0:31:02I like what they've done to the property. Nice and modern inside
0:31:02 > 0:31:05from an older style property on the outside. Certainly modernised.
0:31:05 > 0:31:08It's definitely made a difference to this property.
0:31:08 > 0:31:12What sort of value does the bungalow now have?
0:31:12 > 0:31:16Remember, Chris and Liz's overall investment is around £200,000,
0:31:16 > 0:31:19so how much could it sell for?
0:31:19 > 0:31:23The resale valuation in the current market for this property would be
0:31:23 > 0:31:26of the order of £210,000 to £220,000.
0:31:26 > 0:31:29The valuation in my opinion is likely to be
0:31:29 > 0:31:32in the region of £210,000 to £220,000.
0:31:32 > 0:31:34That's better than we thought.
0:31:34 > 0:31:39We figured about 205/210 based on the market dropping a bit,
0:31:39 > 0:31:41so that's good news, yeah.
0:31:41 > 0:31:43If they ever decide to sell,
0:31:43 > 0:31:45Chris and Liz would stand make a healthy profit
0:31:45 > 0:31:49of £20,000 minus the usual taxes and expenses.
0:31:49 > 0:31:52And there's a possible rental yield of 5%
0:31:52 > 0:31:54if they ever choose to let the property.
0:31:59 > 0:32:02But this is not about the money, but about family.
0:32:02 > 0:32:07The couple have provided a new home for Liz's sister, Anne,
0:32:07 > 0:32:10and her two sons. And the youngest, Ross, will drink to that.
0:32:10 > 0:32:13Chris and Liz are already planning their next move.
0:32:13 > 0:32:16Well, we're in Denmark for the next two years,
0:32:16 > 0:32:21and then after that we'll be looking to settle in this area as well.
0:32:21 > 0:32:24So, I guess in about a year we'll look at the property market
0:32:24 > 0:32:29either at auction again if something comes up in the area, or buying direct from an estate agent.
0:32:29 > 0:32:31But now we've done the auction, we may be more inclined
0:32:31 > 0:32:34to look at that in preference to an estate agent, so, yeah.
0:32:38 > 0:32:40This is Draycott in Derbyshire,
0:32:40 > 0:32:43about six miles east of Derby city centre.
0:32:43 > 0:32:45It's actually mentioned in the Domesday Book.
0:32:45 > 0:32:49The name means "dry place". More recently, in the 1900s,
0:32:49 > 0:32:53it was home to one of the largest lace manufacturing mills in Europe.
0:32:53 > 0:32:55That's now been converted into flats.
0:32:55 > 0:32:59The property I'm here to see is just close by.
0:32:59 > 0:33:02'Today, Draycott is a popular commuter village.
0:33:02 > 0:33:06'But it grew up around two large mills, so a lot of the housing stock
0:33:06 > 0:33:07'was built for mill workers.
0:33:07 > 0:33:10'And today's property is no exception.'
0:33:13 > 0:33:14And here it is.
0:33:14 > 0:33:18It's a two-bed semi on a road which has a mixture of commercial
0:33:18 > 0:33:21and residential property. Looks a bit shabby from the outside.
0:33:21 > 0:33:23Certainly, the window frames need replacing.
0:33:23 > 0:33:26Let's hope that's not an indication of what it's like inside.
0:33:26 > 0:33:29Guide price was 65 grand. Let's take a look.
0:33:29 > 0:33:33# My whole world's come tumbling down
0:33:33 > 0:33:35# I've seen better days... #
0:33:35 > 0:33:37So, what's on offer?
0:33:37 > 0:33:41Through this front door into your front sitting room, I suppose.
0:33:41 > 0:33:45As you can see, it's in a bit of a state, but let's try and look through the mess.
0:33:45 > 0:33:49Not a bad size. Obviously, you'll get quite a bit of noise from that road,
0:33:49 > 0:33:52so double glazing would be one of the first things to put in.
0:33:52 > 0:33:55But, progressing through, there is this glass divide. Not only is that
0:33:55 > 0:33:59a real health hazard... What's it there for? It's yellow -
0:33:59 > 0:34:04it gives a really weird light to this rear part of the property.
0:34:04 > 0:34:07Again, not a bad size. Like the open plan stairs going up there.
0:34:07 > 0:34:10My guess is that those stairs have actually been moved
0:34:10 > 0:34:11at some point in the past.
0:34:11 > 0:34:14So, it gives a really nice open area here.
0:34:14 > 0:34:17And then through to the very rear of the property,
0:34:17 > 0:34:19where you've got this very long kitchen.
0:34:19 > 0:34:22The old boiler needs sorting out
0:34:22 > 0:34:24and clearly the units in here have seen better days.
0:34:24 > 0:34:27So spend some money in here and transform this room for sure.
0:34:27 > 0:34:31But, I mean, all in all, it's a bit of a TARDIS, this one.
0:34:31 > 0:34:34'And out the back, you may well need the help of a Time Lord to work out
0:34:34 > 0:34:37- 'how this garden once looked. - MUSIC: Theme from Doctor Who
0:34:37 > 0:34:42'You might think about incorporating the old outside loo into the kitchen,
0:34:42 > 0:34:46'but before getting too carried away, what about the first floor?'
0:34:47 > 0:34:51So, upstairs, and has the relocating of the staircase
0:34:51 > 0:34:54actually made a big difference?
0:34:54 > 0:34:56I'm not so sure. What have we got at the front?
0:34:56 > 0:35:01Big double bedroom - serious signs of damp which definitely needs investigating.
0:35:01 > 0:35:05But then, down this corridor, second bedroom here, not as big,
0:35:05 > 0:35:06but still not a bad size.
0:35:06 > 0:35:09But then the corridor continues down there
0:35:09 > 0:35:12to that absolutely massive bathroom.
0:35:12 > 0:35:15Just doesn't seem to work, as far as I'm concerned.
0:35:15 > 0:35:18So, what can we do about it? Well, am I missing anything?
0:35:18 > 0:35:22Only thing I can see actually up there, there may be scope to go
0:35:22 > 0:35:24upwards to get maybe another bedroom,
0:35:24 > 0:35:28and play around with the staircase. Hate to say, I think it needs moved again.
0:35:28 > 0:35:31# Get up Get on up... #
0:35:31 > 0:35:33'Moving stairs, loft conversions -
0:35:33 > 0:35:38'both of these options will to add thousands to a renovation budget.
0:35:38 > 0:35:42'The auction guide price for this lot was 65 grand.
0:35:42 > 0:35:46'We asked along the auctioneer who sold it to hear his view on the property.'
0:35:48 > 0:35:51I think, starting at the top, you've got to look at the roof.
0:35:51 > 0:35:56That needs overhauling, the guttering needs replaced as it's the original cast iron
0:35:56 > 0:35:59and it's corroded and the water's escaping down the brickwork.
0:35:59 > 0:36:00The windows -
0:36:00 > 0:36:03right at the bottom you've got some damp-proofing to do.
0:36:03 > 0:36:07You need to upgrade probably the bathroom, the kitchen,
0:36:07 > 0:36:08central heating, wiring -
0:36:08 > 0:36:11that's the usual list and it's all relevant here.
0:36:11 > 0:36:15'What would be the best way forward for this property?'
0:36:17 > 0:36:21One of the key ways of adding value in a sense here is to make a third bedroom somehow.
0:36:21 > 0:36:24Originally, the bathroom would have been bedroom three.
0:36:24 > 0:36:26But it's a big room
0:36:26 > 0:36:29and there's probably scope to split that somehow,
0:36:29 > 0:36:35although it would only make a small third bedroom and a small bathroom. But there is opportunity there.
0:36:35 > 0:36:36'Food for thought there.
0:36:36 > 0:36:39'What does he think the place could fetch on the resale market?'
0:36:43 > 0:36:45I would say, if it stays as a two-bedroomed house,
0:36:45 > 0:36:49it probably has got a ceiling value of just short of £100,000.
0:36:49 > 0:36:52If you made three bedrooms and it was a sensible arrangement,
0:36:52 > 0:36:55then you could probably add £10,000 to that.
0:37:01 > 0:37:05Selling on for 100 or 110 grand sounds pretty good to me,
0:37:05 > 0:37:07but what if it was rented out?
0:37:07 > 0:37:10The rental market around here is pretty strong,
0:37:10 > 0:37:12and I would say that when it is renovated,
0:37:12 > 0:37:16it would have a rental value of about £485 per calendar month.
0:37:17 > 0:37:19So, a bit of work to be done to sort this out,
0:37:19 > 0:37:22but I think spend the effort and a little bit of money,
0:37:22 > 0:37:25and for that £65,000 guide price this would make
0:37:25 > 0:37:28a really pleasant place to live, or a great rental opportunity.
0:37:28 > 0:37:31Let's see who agreed when it went under the hammer.
0:37:33 > 0:37:38Lot 13, a two-bedroom semi. 65 plus is the guide price.
0:37:38 > 0:37:43I'll take 60 to get on. £60,000? 60,000, thank you.
0:37:43 > 0:37:49At £60,000, opening bid. 61 anywhere? 61, thank you.
0:37:49 > 0:37:58At 61,000, 62 in the centre. 62, 63 is bid. 63, 64 now. £65,000.
0:37:58 > 0:38:04At 65, 66? No? £65,000, 66 elsewhere?
0:38:04 > 0:38:1166, 66, 67. 67, 68? 68. 69?
0:38:12 > 0:38:1968 against you. 69? At £68,000, we are selling for the first time at 68.
0:38:19 > 0:38:22Out this side, no mistakes, for the second time at 68.
0:38:22 > 0:38:26Third and last opportunity. Sold at 68,000, thank you.
0:38:26 > 0:38:29Our cameras may not have spotted them there,
0:38:29 > 0:38:34but that successful bid of £68,000 was made by friends Nick, here on the left,
0:38:34 > 0:38:35and David on the right.
0:38:35 > 0:38:39They know each other from their local hockey club.
0:38:39 > 0:38:43David works at the club and when Nick's not playing hockey,
0:38:43 > 0:38:48he has his own building company, which could prove handy here.
0:38:48 > 0:38:51- Nick, David, lovely to meet you, congratulations.- Thank you.
0:38:51 > 0:38:53Why did you want to buy this place?
0:38:53 > 0:38:56We've been looking at properties over the last few months
0:38:56 > 0:38:59and as we drove past this road we saw this property,
0:38:59 > 0:39:01so we stopped and looked at it.
0:39:01 > 0:39:03And we went to the auction,
0:39:03 > 0:39:06and we thought it might not sell, we were hoping it wouldn't sell.
0:39:06 > 0:39:10- You went to the auction, hoping it wouldn't sell?- Yes.- Why?
0:39:10 > 0:39:12We thought we'd get it cheaper the following day.
0:39:12 > 0:39:15- Ah, after a bargain?- Yes. Obviously.
0:39:15 > 0:39:20So in the end, we got to the auction, it dropped down to £55,000,
0:39:20 > 0:39:24then it started to go back up and I thought I'd put my paddle in the air,
0:39:24 > 0:39:29and it got worse, to 68,000, and I ended up getting it, unfortunately.
0:39:29 > 0:39:31- Now! - Do you think you've overpaid, then?
0:39:31 > 0:39:35No, I think we've underpaid, it's just I've got a lot of work to do,
0:39:35 > 0:39:38- and so has David, to be fair. - Yes, absolutely.
0:39:38 > 0:39:41Tell us about you two, what's the relationship?
0:39:41 > 0:39:44We know each other through hockey.
0:39:44 > 0:39:48We both play and work at Beeston Hockey Club, just down the road.
0:39:48 > 0:39:52Nick knew my dad from years ago and yeah,
0:39:52 > 0:39:54we've known each other donkeys' years.
0:39:54 > 0:39:57How did it move from a relationship based on sport
0:39:57 > 0:40:00into the idea of working on a business together?
0:40:00 > 0:40:05I set up a couple of businesses last year,
0:40:05 > 0:40:09and Nick and I have worked on a few projects, building projects.
0:40:09 > 0:40:14He's bailed me out couple of times when it hasn't gone too well.
0:40:14 > 0:40:17I'd seen this place three or four weeks before the auction
0:40:17 > 0:40:19and thought, it's close to where I live,
0:40:19 > 0:40:23I thought it would be an interesting project.
0:40:23 > 0:40:25I mentioned it to Nick
0:40:25 > 0:40:28and obviously, we went to the auction and bought it...
0:40:28 > 0:40:30What preparation did you do
0:40:30 > 0:40:33before you bought it, in terms of the legal pack and things?
0:40:33 > 0:40:37- Nothing.- So, no legal pack? - No legal pack.
0:40:37 > 0:40:38- You'd seen inside?- No.- No?!
0:40:38 > 0:40:40We looked through the windows.
0:40:40 > 0:40:43- Oh, right, that's all right, then. - That old chestnut!
0:40:43 > 0:40:46We'd looked at the roof from across the road and bits and bobs,
0:40:46 > 0:40:50- but it was just a punt.- Don't think that's going to impress me!
0:40:50 > 0:40:55We just felt it was right, we felt it was right to go for it,
0:40:55 > 0:40:59and being a builder, there's got to be a lot of damage
0:40:59 > 0:41:01not to be able to put right, to lose a lot of money.
0:41:01 > 0:41:04If there was plaster the walls and the roof was falling in...
0:41:04 > 0:41:06When we got the keys on Tuesday, we walked in
0:41:06 > 0:41:10and apart from the damp issues, it seemed OK, so we were lucky.
0:41:10 > 0:41:11Won't do it again.
0:41:11 > 0:41:14It was the most exciting three minutes I've ever had, to be fair!
0:41:14 > 0:41:18Exciting, it may be, but as you know I always advise strongly against
0:41:18 > 0:41:21buying a property without viewing it or reading the legal pack.
0:41:21 > 0:41:24Ideally you should, of course, do both,
0:41:24 > 0:41:27as it could save you a big headache in the long run.
0:41:27 > 0:41:30So, what's the plan for it? How are you going to sort it out?
0:41:30 > 0:41:35We'll rip all the inside out pretty much, new doors, kitchen,
0:41:35 > 0:41:39bathroom, take that lovely yellow thing on the stairs.
0:41:39 > 0:41:42We have thought about the outside, there is a lean-to,
0:41:42 > 0:41:45we thought about keeping that, putting a flat roof on it
0:41:45 > 0:41:48and putting some patio doors out onto the garden.
0:41:48 > 0:41:50We're going to look in the roof
0:41:50 > 0:41:53to see if there's a chance to put dormer room in the roof.
0:41:53 > 0:41:57If not we'll make the back room, which is a bathroom now,
0:41:57 > 0:42:02into a bedroom, and then we'll split the middle room into a small bedroom and a bathroom.
0:42:02 > 0:42:05That will make it three bedrooms, the same as next door,
0:42:05 > 0:42:08so hopefully it will put some value into it that way, with a bit of luck.
0:42:08 > 0:42:11What about the position of the staircase?
0:42:11 > 0:42:15- It has, I reckon, been moved at some point.- We think it has been moved.
0:42:15 > 0:42:19Depending on the dormer will depend on whether we move it back or not.
0:42:19 > 0:42:21What are you going to do with it?
0:42:21 > 0:42:23Are you going to sell it or rent it out?
0:42:23 > 0:42:26The plan is to sell it, because I have borrowed money
0:42:26 > 0:42:29off all sorts of friends, relatives, Mum,
0:42:29 > 0:42:32and they need to get their money back.
0:42:32 > 0:42:37I actually bought it for £1,000. The rest of it, I've had to beg, borrow and steal, yeah.
0:42:37 > 0:42:40- Leveraging your cash, that's for sure!- Absolutely.
0:42:40 > 0:42:46We want to sell it, really, but you never know...
0:42:46 > 0:42:52- So, Dave, what's the budget?- About 10, £12,000, something like that.
0:42:52 > 0:42:57If we can get it done for that and make ourselves £5,000 each
0:42:57 > 0:43:00when we sell it, we are going to be laughing.
0:43:00 > 0:43:04- A little project in three months. - That's the timescale, three months?
0:43:04 > 0:43:05Yeah.
0:43:05 > 0:43:09When it comes to making decisions, how are you going to do that?
0:43:09 > 0:43:12We will obviously do the initial labour ourselves,
0:43:12 > 0:43:14Nick's guys will come in.
0:43:14 > 0:43:16Probably Nick, with his experience,
0:43:16 > 0:43:18will pick and choose what's going to go where,
0:43:18 > 0:43:21but we are free to chat with each other.
0:43:21 > 0:43:27- Right.- We'll discuss it for an hour and then we'll do what I want to do!
0:43:27 > 0:43:31- And then I'll throw him out the house!- Terrific!
0:43:31 > 0:43:33Nice to meet you both, congratulations,
0:43:33 > 0:43:37- look forward to seeing how you get on.- OK.- Thank you.
0:43:37 > 0:43:41Well, Nick and David have clearly got a great relationship when it comes to hockey,
0:43:41 > 0:43:45but how will that translate to a business relationship doing up this property?
0:43:45 > 0:43:48They have already broken the cardinal rule by not looking at it
0:43:48 > 0:43:51or reading a legal pack before they bought it.
0:43:51 > 0:43:54How will they get on tackling the jobs? Will they stick at it?
0:43:54 > 0:43:56You can find out later in the show.
0:43:59 > 0:44:01After the work has been done,
0:44:01 > 0:44:03the property should be worth a lot more money.
0:44:03 > 0:44:07But have our buyers started or have there been delays?
0:44:07 > 0:44:11I hope not. Let's go back and see what they've been up to.
0:44:11 > 0:44:16Earlier, we were in Chatham, Kent, where the world-famous dockyards
0:44:16 > 0:44:20have been going through something of a regeneration process lately.
0:44:20 > 0:44:23In the Lords Wood Lane area of Chatham
0:44:23 > 0:44:26we caught up with Frank, a builder turned developer
0:44:26 > 0:44:30with regeneration plans of his own for this plot of land.
0:44:30 > 0:44:32He paid £87,000 for it.
0:44:32 > 0:44:35It came with planning permission for a two-bed chalet bungalow,
0:44:35 > 0:44:39but Frank had other ideas for the best way to take this place forward.
0:44:39 > 0:44:43Initially, there's a bedroom downstairs
0:44:43 > 0:44:47and there's one bedroom upstairs with an en-suite.
0:44:47 > 0:44:48To the right of it,
0:44:48 > 0:44:52there's a roof space which equally could be used as a third bedroom.
0:44:52 > 0:44:55I might well pursue that in planning.
0:44:55 > 0:44:58Frank reckoned it would cost between 80 to 90,000
0:44:58 > 0:45:02and take six months of labour to do the new build.
0:45:02 > 0:45:08However, when he started was very much going to depend on the state of the housing market.
0:45:08 > 0:45:11Two years later we're back,
0:45:11 > 0:45:17and the trees on the bank may have disappeared, but there's no sign of the house Frank wanted.
0:45:17 > 0:45:20The foundations have been laid, but it's a sign of the times
0:45:20 > 0:45:24that this development has become a victim of an unstable property market.
0:45:24 > 0:45:29With the current economic turmoil, Frank wasn't willing to invest in a new build,
0:45:29 > 0:45:34but he has got himself ready for that with new footings laid.
0:45:34 > 0:45:40We've waited a year and a half, because I had other work to finish.
0:45:40 > 0:45:42And then the planning would have lapsed,
0:45:42 > 0:45:47so I chose to obviously start it and get it sorted,
0:45:47 > 0:45:50so I wouldn't have to pay the planning again, basically.
0:45:50 > 0:45:52So, getting the foundations dug and the footings laid
0:45:52 > 0:45:57has meant that regardless of when the building work commences,
0:45:57 > 0:46:01Frank won't have to reapply for planning permission.
0:46:01 > 0:46:08# Time is on my side... #
0:46:08 > 0:46:13In fact, what Frank has already done is the difficult part of any development,
0:46:13 > 0:46:17and while we have no lovely rooms or bay windows to show you,
0:46:17 > 0:46:20we've still got a floor plan for Frank to talk us through.
0:46:21 > 0:46:26As we come in the front door we do a left into double doors, into the lounge.
0:46:26 > 0:46:30Within the lounge we've got a nice bay window
0:46:30 > 0:46:32with some patio doors out onto the patio, there.
0:46:32 > 0:46:37We then come out into the hallway, come into the kitchen here,
0:46:37 > 0:46:41which is a nice kitchen in regards to a window over the units over there.
0:46:41 > 0:46:44Another patio door there.
0:46:45 > 0:46:49Looking at the plans, the rest of the ground floor will have
0:46:49 > 0:46:53a downstairs loo, a utility room and an en-suite bedroom.
0:46:53 > 0:46:55Upstairs, along with the second bedroom,
0:46:55 > 0:46:59Frank still believes there is space to create a third.
0:46:59 > 0:47:02However, he still has to go through the planning process
0:47:02 > 0:47:04to make this possible.
0:47:04 > 0:47:06But not only will it add value to the development,
0:47:06 > 0:47:11it would make the works worthwhile, because, for Frank, getting this far hasn't been easy.
0:47:11 > 0:47:17To level the site, approximately 450 cubic yards of soil had to be removed.
0:47:17 > 0:47:21# Can you dig it, oh yeah
0:47:21 > 0:47:23# Can you dig it, oh yeah... #
0:47:23 > 0:47:26Then, there was the bedrock to deal with.
0:47:26 > 0:47:28# Can you dig it, oh yeah... #
0:47:28 > 0:47:33When we started the site, not knowing what the ground conditions were like,
0:47:33 > 0:47:37perhaps I should have had a soil sample, but I didn't.
0:47:37 > 0:47:40I chose to go down the road of getting a five-tonne digger,
0:47:40 > 0:47:44which would have normally gone through anything.
0:47:44 > 0:47:46This was our problem.
0:47:46 > 0:47:51Flint, and then clay within that, and there was loads of it, as you can see behind me.
0:47:51 > 0:47:57We had to go through this in order to get to a decent footing, being chalk.
0:47:57 > 0:48:02That's as we stand at the moment, and it has been a trial,
0:48:02 > 0:48:06but without that digger, we wouldn't have been able to do it.
0:48:06 > 0:48:09So, as Fred and Barney might say, it's yabba dabba do for the digger
0:48:09 > 0:48:12and yabba dabba don't try it with a spade.
0:48:12 > 0:48:17Seriously, though, on top of the year-and-a-half of nothing happening,
0:48:17 > 0:48:21it's taken Frank and his team five months to get to this stage.
0:48:21 > 0:48:26Up until now he's spent £20,000 on the development.
0:48:26 > 0:48:29Adding that to his purchase price of 87,000
0:48:29 > 0:48:33takes his total outlay so far to £107,000.
0:48:33 > 0:48:35It's a lot of money to have sitting around,
0:48:35 > 0:48:37so what are his immediate plans?
0:48:37 > 0:48:42Once we've finished the site to the level we are at the moment
0:48:42 > 0:48:44with the services in, button up the site
0:48:44 > 0:48:48and then I would have said about eight months' time,
0:48:48 > 0:48:52have a reassess of the situation and what the market is doing,
0:48:52 > 0:48:57to whether we actually go ahead, or we prolong it a little longer.
0:48:58 > 0:49:02So, Frank's planning to build after this coming winter,
0:49:02 > 0:49:05but with an estimated build cost of 80 to 90,000
0:49:05 > 0:49:08added to his purchase price of 87,000,
0:49:08 > 0:49:13his possible spend could be as much as £177,000.
0:49:13 > 0:49:19What do two local estate agents think of the long-term prospects for this site?
0:49:19 > 0:49:21The site is a very good-sized site
0:49:21 > 0:49:24and once the property is built it's going to look rather nice.
0:49:24 > 0:49:29My first impressions of the site are good.
0:49:29 > 0:49:31I think it will be a good-sized bungalow,
0:49:31 > 0:49:35and there is garden space, and it is in a nice residential area.
0:49:36 > 0:49:42Going by today's prices, what could the two or three-bed house sell for?
0:49:42 > 0:49:44If I put this property up as a two-bedroom property,
0:49:44 > 0:49:50I would be looking to market this property in the region of £210,000.
0:49:50 > 0:49:53If this property was to be sold as a three-bedroom property,
0:49:53 > 0:49:56I would be looking to market it in the region of £250,000.
0:49:56 > 0:49:59If I was going to market it as a two-bed,
0:49:59 > 0:50:04I'd be looking at marketing it at around £210,000, to £230,000.
0:50:04 > 0:50:09If it was a three-bed, I'd be looking at about £250,000 for the property.
0:50:09 > 0:50:13Erm, yes, in today's market that doesn't sound too bad,
0:50:13 > 0:50:20but in regards to that I think possibly in a year's time, it might completely change.
0:50:20 > 0:50:22It's difficult to judge how the market will be
0:50:22 > 0:50:25when the land is finally developed,
0:50:25 > 0:50:28but even if it doesn't reach the valuation Frank's after,
0:50:28 > 0:50:30he will happily rent out the property.
0:50:30 > 0:50:32While this site has had its challenges,
0:50:32 > 0:50:35Frank's long experience in the building game means
0:50:35 > 0:50:38he is prepared for the rough times as well as the smooth.
0:50:40 > 0:50:44It's been very good through the years, hard work,
0:50:44 > 0:50:46but it's been worth it in the end.
0:50:46 > 0:50:50Absolutely live and die and love it to bits.
0:50:52 > 0:50:54Back to Draycott near Derby now,
0:50:54 > 0:50:58to check on the progress of this two-bedroom semi.
0:50:58 > 0:51:04It was bought at auction for £68,000 by hockey-playing friends Nick, here on the left,
0:51:04 > 0:51:06and David on the right.
0:51:06 > 0:51:10The property was in a bit of a sorry state and needed knocking into shape.
0:51:10 > 0:51:14But what wasn't so clear was who would be calling the shots on this renovation.
0:51:16 > 0:51:20When it comes to making decisions on this place, how are you going to do that?
0:51:20 > 0:51:25We'll discuss it for an hour, and then do what I want to do!
0:51:25 > 0:51:28And then I'll throw him out the house!
0:51:28 > 0:51:30Three and a half months later, we're back.
0:51:30 > 0:51:33Nick is on hand for a post-match interview
0:51:33 > 0:51:36to tell us if this has been a case of jolly hockey sticks,
0:51:36 > 0:51:38or red cards all round.
0:51:56 > 0:51:59Looks like the boys have played a blinder.
0:51:59 > 0:52:01The old house has been relegated to history,
0:52:01 > 0:52:04and been replaced by a striking refurbishment.
0:52:07 > 0:52:12We rewired the whole house, replumbed the whole house,
0:52:12 > 0:52:16took all the walls back to bare brick, replastered and skimmed.
0:52:16 > 0:52:20Took three chimney breasts out, put a new bathroom floor in -
0:52:20 > 0:52:25that was pretty smelly and horrible - all new windows and doors.
0:52:25 > 0:52:29We've bricked up a door in the kitchen and made patio doors or French doors,
0:52:29 > 0:52:32and we've rebuilt the back wall and fenced it.
0:52:34 > 0:52:36It's an impressive list.
0:52:36 > 0:52:41Upstairs, the biggest change has been rejigging the old two-bed layout,
0:52:41 > 0:52:45to create a third bedroom and a new bathroom.
0:52:45 > 0:52:48Nick is particularly happy with the improvements to the kitchen.
0:52:48 > 0:52:51This was the original back door.
0:52:51 > 0:52:53We took the back door out and its old frame,
0:52:53 > 0:52:58we've replaced it with these bricks that we reclaimed from the brick wall and the chimney breasts.
0:52:58 > 0:53:01It's quite a rustic look now and it fits in quite well.
0:53:01 > 0:53:05Most of the work has been done by Nick's builder, Steve,
0:53:05 > 0:53:08and Nick seems pretty pleased with the work.
0:53:10 > 0:53:12I'm very proud of what Steve has achieved,
0:53:12 > 0:53:14but the house was a ramshackled mess, to be fair,
0:53:14 > 0:53:19and he's turned it into quite a nice, modern-looking house.
0:53:19 > 0:53:24I'm proud of Steve. Steve works hard and David, and they're good lads.
0:53:24 > 0:53:26We're a good team, I suppose.
0:53:26 > 0:53:30It is a team. There's no I in team, is there?
0:53:30 > 0:53:33In fact, builder Steve likes his handiwork so much,
0:53:33 > 0:53:35he's decided to move in.
0:53:35 > 0:53:38# Everyone's a winner, baby, That's the truth... #
0:53:40 > 0:53:43The plan was to sell the house straightaway,
0:53:43 > 0:53:48but my builder did all the work, his wife came and looked at it three or four times,
0:53:48 > 0:53:51they're looking to move house, and because of the village location,
0:53:51 > 0:53:55she quite liked it and she said, "Can we move in and rent it off you?"
0:53:55 > 0:54:01I said yes, and in perhaps a year's time, they may mortgage the house and buy it off me altogether.
0:54:01 > 0:54:04I think they'll stay here because they quite like it.
0:54:04 > 0:54:09Where does that leave David, Nick's business partner and friend from the hockey club?
0:54:11 > 0:54:15Right, well, David, we went halves originally, we did all the work,
0:54:15 > 0:54:18we've paid all the money in, got everything sorted out.
0:54:18 > 0:54:23David's a hockey colleague of mine and he wanted some money out of it,
0:54:23 > 0:54:27I wanted to keep the property, so I've bought him out of this house.
0:54:27 > 0:54:31We're in the process of looking for another house to do the same again.
0:54:31 > 0:54:33It's quite a developing relationship.
0:54:33 > 0:54:36So, the dream team lives on.
0:54:36 > 0:54:40They were only a week over their two-month schedule
0:54:40 > 0:54:44to complete the build, and there's still a bit of landscaping to do.
0:54:44 > 0:54:45But what about the budget?
0:54:46 > 0:54:49The original budget was £10,000 to £12,000,
0:54:49 > 0:54:54but we took three chimney breasts out, re-skimmed those and made them safe,
0:54:54 > 0:54:58we rewired the property and had to rejoist the floor in the bathroom,
0:54:58 > 0:55:01which is now a bedroom, so that was extra, so it came in at 12,800.
0:55:01 > 0:55:02A bit over budget but to be fair,
0:55:02 > 0:55:05we did a lot more work than we envisaged originally.
0:55:05 > 0:55:09Nick and David bought the property for £68,000,
0:55:09 > 0:55:14so their total spend to date is just short of 81,000.
0:55:14 > 0:55:17We asked two local property experts
0:55:17 > 0:55:19to look around and give us their thoughts.
0:55:22 > 0:55:26When I first saw the house it was fairly dire, to say the least.
0:55:26 > 0:55:29It needed a total refurbishment project.
0:55:29 > 0:55:33It needed somebody, actually, to show it a bit of love and TLC,
0:55:33 > 0:55:35and that's exactly what's happened.
0:55:35 > 0:55:38I am quite impressed with the property.
0:55:38 > 0:55:42It's got a fantastic finish. It is almost like walking into a new house.
0:55:42 > 0:55:46What do they think the place could fetch on the rental market?
0:55:46 > 0:55:52I believe the property could achieve a rent of £525 per calendar month.
0:55:52 > 0:55:56I think this has got a rental value of about £525 per calendar month.
0:55:56 > 0:55:59I'm happy with that. I've already let it so we're fine with that.
0:55:59 > 0:56:04And if Nick were to change his mind and decide to sell?
0:56:04 > 0:56:07On today's market, I think the house has got a value, probably,
0:56:07 > 0:56:10of between 100 and £105,000.
0:56:10 > 0:56:15I think the property could achieve a sale price of £105,000.
0:56:15 > 0:56:19Yeah, fine, that would be quite good. I'm happy with that. Yeah, lovely.
0:56:19 > 0:56:23If he sold for 105,000, Nick could be looking at
0:56:23 > 0:56:29a healthy pre-tax profit of around 24 grand, minus fees and expenses.
0:56:29 > 0:56:31So what does the future hold for Nick and David?
0:56:33 > 0:56:36The future for me and David is quite bright,
0:56:36 > 0:56:38we're looking for another house as we speak,
0:56:38 > 0:56:42hopefully bigger, a little bit better, a bigger budget, more work,
0:56:42 > 0:56:46and we'll continue to go from strength to strength, hopefully.
0:56:48 > 0:56:52Well, we'll have plenty more auction stories for you next time.
0:56:52 > 0:56:56Some with happy endings, others with less fortunate outcomes.
0:56:56 > 0:56:58You won't want to miss any of them,
0:56:58 > 0:57:00so join us next time for more Homes Under The Hammer.
0:57:00 > 0:57:02- We'll see you then. - Goodbye.- Goodbye.