Episode 89

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0:00:02 > 0:00:05Hello! Buying at auction gives people the chance

0:00:05 > 0:00:07to buy properties in need of a bit of work.

0:00:07 > 0:00:10People like to put their own stamp and style on a property

0:00:10 > 0:00:13and, hopefully, make a profit along the way.

0:00:13 > 0:00:17You might be able to do that buying your next home under the hammer.

0:00:42 > 0:00:44We both love the buzz of an auction room.

0:00:44 > 0:00:47You can sense the hope and frustration in the air.

0:00:47 > 0:00:52Yes, and you never know quite how it's going to go until the last minute.

0:00:52 > 0:00:55Let's see what tempted the buyers on today's show.

0:00:56 > 0:00:58In Ramsbottom, Greater Manchester,

0:00:58 > 0:01:01this end-of-terrace could sweep you off your feet.

0:01:01 > 0:01:05..this overall feeling of, like, falling backwards!

0:01:06 > 0:01:09There's a three-bed house in Kent with an odd layout,

0:01:09 > 0:01:12which leads to a rare decision for me.

0:01:12 > 0:01:15I would leave it exactly as it is.

0:01:16 > 0:01:18And in Ripley, Derbyshire,

0:01:18 > 0:01:22I'm suspicious about the state of this two-bed semi.

0:01:22 > 0:01:26I wonder if somebody's trying to cover something up.

0:01:27 > 0:01:30All these properties have been sold at auction.

0:01:30 > 0:01:34We'll find out who bought them and what they paid for them when they went under the hammer.

0:01:34 > 0:01:36It's yours, sir. Well done.

0:01:40 > 0:01:43I'm in Ramsbottom, and this is the marketplace

0:01:43 > 0:01:46where I've come to find this incredible sculpture

0:01:46 > 0:01:49called the Tilted Vase.

0:01:51 > 0:01:53Ramsbottom's located in the Greater Manchester area,

0:01:53 > 0:01:56about four miles north of Bury.

0:01:56 > 0:02:01The Tilted Vase was created to reflect the town's industrial heritage.

0:02:01 > 0:02:02# Oh, industry!

0:02:02 > 0:02:07# Whatever will become of me? #

0:02:07 > 0:02:10Well, Ramsbottom developed in the 19th century

0:02:10 > 0:02:13around the spinning, weaving and printing industries.

0:02:13 > 0:02:17Nowadays, as well as being home to this two-tonne piece of art,

0:02:17 > 0:02:20it's a lively market town

0:02:20 > 0:02:23within easy striking distance of Manchester City Centre.

0:02:24 > 0:02:28Don't be fooled by words like "industry" and "city centre".

0:02:28 > 0:02:32Lively it may be, but it's also surrounded by some stunning countryside,

0:02:32 > 0:02:35so you get the best of both worlds.

0:02:35 > 0:02:37# You're gonna find me

0:02:37 > 0:02:41# Way out in the country #

0:02:41 > 0:02:45The property I'm here to see is about five minutes outside Ramsbottom

0:02:45 > 0:02:47in this semi-rural area.

0:02:47 > 0:02:49The view is extremely pretty.

0:02:49 > 0:02:54Not so good is the fact that we are on a very busy main road.

0:02:54 > 0:02:59You get trucks, farm machinery and allsorts of things thundering down here.

0:02:59 > 0:03:04It is still a very popular area, so I'm excited about the property.

0:03:04 > 0:03:09This is it. It's an end-of-terrace, two bedrooms, at a guide price of ?60-65,000.

0:03:09 > 0:03:11Let's take a look inside.

0:03:14 > 0:03:17So one of the first things I'm going to be looking for is soundproofing.

0:03:17 > 0:03:21Got double-glazing on that window and this little porch thing,

0:03:21 > 0:03:24which not only will keep the cold out

0:03:24 > 0:03:27but, all importantly, keep the noise out, as well.

0:03:27 > 0:03:30Although, in its current state, that's not going to do much at all.

0:03:30 > 0:03:33Still, the idea is good!

0:03:33 > 0:03:37So into this front lounge. Big fireplace scenario going on.

0:03:37 > 0:03:40I think you want to improve that. It's a bit dated.

0:03:40 > 0:03:46Big room. But straight away I'm a bit concerned

0:03:46 > 0:03:49because it looks to me like the floors are actually...

0:03:49 > 0:03:51..sloping off down here

0:03:51 > 0:03:54and the ceilings look a bit wonky. That's interesting.

0:03:54 > 0:03:58Another thing I'm looking out for is any signs of damp,

0:03:58 > 0:04:02because in a stone-built property like this,

0:04:02 > 0:04:04damp can be a potential issue.

0:04:04 > 0:04:07All in all, apart from the wonkiness, a nice-size space.

0:04:07 > 0:04:10But then look what happens! You come into this kitchen!

0:04:10 > 0:04:14What an odd shape! I guess this is because it's an end-of-terrace

0:04:14 > 0:04:18and it's been shaped to make access possible down this side road.

0:04:18 > 0:04:22But it leaves you with this kitchen which is triangular!

0:04:22 > 0:04:25Fantastic if you like certain types of cheese and chocolate,

0:04:25 > 0:04:28but other than that, it's a bit weird!

0:04:29 > 0:04:33The triangular kitchen leads to the back, where there's an access road

0:04:33 > 0:04:36but no real outside space to speak of.

0:04:36 > 0:04:39However, stunning views like this on your doorstep

0:04:39 > 0:04:42do go some way to making up for that.

0:04:44 > 0:04:49The exterior looks solid, although I would advise a thorough investigation by a surveyor

0:04:49 > 0:04:52to try and get to the bottom of those sloping floors.

0:04:52 > 0:04:54So upstairs then.

0:04:54 > 0:04:58Two reasonable-sized bedrooms.

0:04:58 > 0:05:02I'm quite excited about the fact that the ceilings are really high,

0:05:02 > 0:05:05and up there, access to the loft,

0:05:05 > 0:05:08which could give you an option to extend up there.

0:05:08 > 0:05:14But, again, this overall feeling of falling backwards into this side of the property

0:05:14 > 0:05:17as the slope is so intense!

0:05:17 > 0:05:23But through to what I think is one of my favourite rooms in the house, strangely, the bathroom.

0:05:23 > 0:05:27The shape of it gives it this really nice-sized space.

0:05:27 > 0:05:31Yes, it's tired and dated, but spend a bit money and you'd have a lovely family bathroom.

0:05:31 > 0:05:33Although, if you were in the bath,

0:05:33 > 0:05:38you might find your rubber ducky floated around in an odd way!

0:05:38 > 0:05:40# Splish-splash, I was taking a bath

0:05:40 > 0:05:43# Long about a Saturday night

0:05:44 > 0:05:47# A rub dub, just relaxing in the tub

0:05:47 > 0:05:49# Thinking everything was all right #

0:05:49 > 0:05:52And if you thought everything else was to your taste,

0:05:52 > 0:05:56sorting out the sloping floors would be well worth it.

0:05:57 > 0:06:01It came with a guide price of ?60-65,000.

0:06:01 > 0:06:03Time to ask the auctioneer who sold it

0:06:03 > 0:06:08what he makes of the unique shape of the place.

0:06:08 > 0:06:12The first impressions are that it needs some modernisation.

0:06:12 > 0:06:13It's an odd shape,

0:06:13 > 0:06:17which makes it a little bit quirky and maybe not for everybody,

0:06:17 > 0:06:19but it's a good property

0:06:19 > 0:06:21and I think you're stuck with the layout.

0:06:21 > 0:06:24What sort of figures could someone make here?

0:06:24 > 0:06:28I think in the current market, in the current condition,

0:06:28 > 0:06:30this property's worth around ?60,000.

0:06:30 > 0:06:35When all the work's done it could be worth up towards 100, if not a little more,

0:06:35 > 0:06:37but I have a feeling that 100 is the limit

0:06:37 > 0:06:40because of that lack of outside space.

0:06:40 > 0:06:44A ?40,000 margin to be working with is not too shabby!

0:06:44 > 0:06:47What about the rental returns?

0:06:47 > 0:06:49From a rental point of view,

0:06:49 > 0:06:54I think that we're looking at something in the region of ?525 to ?550 per calendar month.

0:06:54 > 0:06:58Well, the busy road, the lack of outdoor space

0:06:58 > 0:07:01and the quirky design inside

0:07:01 > 0:07:04means the property isn't going to appeal to everybody.

0:07:04 > 0:07:09But I still think the location and the space you've got here

0:07:09 > 0:07:12means that it is an attractive opportunity for someone.

0:07:12 > 0:07:16Let's find out who that was when it went under the hammer.

0:07:17 > 0:07:19Lot 129.

0:07:19 > 0:07:23I'm looking for ?40,000 to start. Straight in at 40,000.

0:07:23 > 0:07:2742,000? 42 I've got. 44. 46.

0:07:27 > 0:07:3148. Is that 50? It is. 50. 52. 54.

0:07:31 > 0:07:3654 we've got. 56. Got it. 58?

0:07:36 > 0:07:38No? It's with you, then, sir, at 56,000.

0:07:38 > 0:07:41I'll take one if it helps you at 57,000. 58.

0:07:41 > 0:07:5159. 60. 61, then. 62. 62 we've got. 63.

0:07:51 > 0:07:53Got it. 66. Shaking his head.

0:07:53 > 0:07:55Are we all done at 65?

0:07:55 > 0:07:59First time I'm going to sell it, at ?65,000. We're all finished.

0:07:59 > 0:08:02Second time at 65,000. We're all done.

0:08:02 > 0:08:05Ooh. That was close!

0:08:05 > 0:08:0765,000 I had. Is that 66? It is.

0:08:07 > 0:08:1167. Shaking your head. It's with you, then, sir at 66,000.

0:08:11 > 0:08:14First time at 66. Second time at 66,000.

0:08:14 > 0:08:18Are we all finished? Yes, we are. Sold to you at 66.

0:08:18 > 0:08:24Snapping it up with that successful last-ditch bid of 66,000 was Mick.

0:08:24 > 0:08:26He's a full-time developer

0:08:26 > 0:08:29with 14 years of experience under his belt.

0:08:29 > 0:08:33I've met him on the show before, back in 2007,

0:08:33 > 0:08:35when he purchased a property in Bolton.

0:08:35 > 0:08:38What properties do you go for? Mainly terraced.

0:08:38 > 0:08:41First-time buyers. They seem easier to shift.

0:08:41 > 0:08:44Anything where there's a profit in it, if I'm honest.

0:08:44 > 0:08:47I caught up again with Mick and his wife Nicola

0:08:47 > 0:08:49to hear about their plans for this place.

0:08:49 > 0:08:52Nicola, Mick, good to see you. BOTH: Hi.

0:08:52 > 0:08:55Mick, nice to see you again! It's been a few years. It has.

0:08:55 > 0:09:00How did that all end up? It was fine. We made a good profit.

0:09:00 > 0:09:06But shortly after that, the market went steeply downhill and things went from bad to worse.

0:09:06 > 0:09:10We couldn't borrow money, we couldn't sell anything, couldn't remortgage.

0:09:10 > 0:09:15It was tough, tough times. But we had the good times before, so you can't complain.

0:09:15 > 0:09:19Mick, we've met. Nicola, we haven't. We've not met before.

0:09:19 > 0:09:21What's gone on here since we last met!

0:09:21 > 0:09:26We met just after we filmed the last one. Oh, right! And we got married last year.

0:09:26 > 0:09:28Congratulations! Thank you. Fantastic.

0:09:28 > 0:09:31But you're now both involved in doing the property stuff.

0:09:31 > 0:09:34Yes. Michael's been asking me to get involved

0:09:34 > 0:09:39and I've kept out, because I've got a job myself doing hairdressing.

0:09:39 > 0:09:42But he knows I'm really interested, so I agreed and said yes.

0:09:42 > 0:09:45Are you going to carry on hairdressing, as well? Yes.

0:09:45 > 0:09:49How was the auction for you? The auction's superb.

0:09:49 > 0:09:53The auctions at the minute, you can pick some pretty good stuff up.

0:09:53 > 0:09:56It seems to be a good gauge of where the market's at.

0:09:56 > 0:10:02During the lean period, we'd go and there'd be plenty people, but nobody was buying,

0:10:02 > 0:10:06but a lot of stuff seems to be selling now, for a reasonable price.

0:10:06 > 0:10:12Probably the reserve prices are set at a more realistic level. Yes, definitely.

0:10:12 > 0:10:15So despite a few difficult years for the market,

0:10:15 > 0:10:17Mick's not been put off.

0:10:17 > 0:10:21It seems as though buying at auction has continued to be a fruitful avenue for him.

0:10:21 > 0:10:24Let's come on to this house, then. Why did you decide to buy this?

0:10:24 > 0:10:29I didn't go for this. I was looking at a couple of other things, which I got outbid on.

0:10:29 > 0:10:33But it came up, and I know the area, I know the property-ish,

0:10:33 > 0:10:37I'd not seen it before, but it was the right money so I thought I'd go for it.

0:10:37 > 0:10:39So, it was the price that attracted you?

0:10:39 > 0:10:44Yes, you've got to buy and sell cheap if you're going to do anything.

0:10:44 > 0:10:47There's a lot of competition and not a lot of buyers with mortgages.

0:10:47 > 0:10:51So, what did you think about this house when you first saw it?

0:10:51 > 0:10:53It's lovely. It's a nice house. I love the area.

0:10:53 > 0:10:56I think the house, once it's done...

0:10:56 > 0:10:59We're going to keep it contemporary and nice.

0:10:59 > 0:11:01Nice, quirky little house.

0:11:01 > 0:11:05It is unusual, with the triangular shape.

0:11:05 > 0:11:09There's somebody for every house. I don't think we'll do too bad out of it.

0:11:09 > 0:11:10# Solid

0:11:12 > 0:11:15# Solid as a rock #

0:11:15 > 0:11:18So a solid purchase in Mick's eyes,

0:11:18 > 0:11:21but one that still needs a lot of attention.

0:11:21 > 0:11:26Tell me what you're going to do. We're going to rip it out completely, back to the brickwork.

0:11:26 > 0:11:31We'll rewire it, plaster it. Basically everything. New kitchen, bathroom.

0:11:31 > 0:11:35I think we'll put something a little nicer than we usually do.

0:11:35 > 0:11:38Unique. Let Nicola design the bathroom. Yes.

0:11:38 > 0:11:42Put something a bit more unusual in and see how we go.

0:11:42 > 0:11:46Tell me what you're going to do. I'll keep the bathroom white.

0:11:46 > 0:11:49I fancy doing the clawed bath.

0:11:49 > 0:11:52Oh! Something a bit different than the P-shaped bath.

0:11:52 > 0:11:56And we're going to keep the kitchen nice and light,

0:11:56 > 0:11:58more higher units.

0:11:58 > 0:12:00It'll be good. I'm excited.

0:12:00 > 0:12:04Mick hopes to turn the house around in six to eight weeks

0:12:04 > 0:12:07on a budget of ?15,000.

0:12:07 > 0:12:10Nicola will focus on the finishing touches to make it look good.

0:12:10 > 0:12:15# Make it good, make it good Somehow #

0:12:15 > 0:12:19Once finished, Mick plans to put it back on the market.

0:12:20 > 0:12:24What price are you going to pitch it at? Round about 100, 110,

0:12:24 > 0:12:26see what response we get.

0:12:26 > 0:12:28I think I'll do well at that sort of figure. Yes.

0:12:28 > 0:12:33So, there's money to be made in it? Not a massive amount, but a decent profit, hopefully.

0:12:33 > 0:12:38Is that the way it's gone in recent times - doing more and getting less from each one?

0:12:38 > 0:12:43In the old days, we'd get them and put the price up 10,000 before we'd finished

0:12:43 > 0:12:45because everybody wanted to buy.

0:12:45 > 0:12:48But at the minute, you've got to turn them round quicker

0:12:48 > 0:12:51and get out quicker and onto the next.

0:12:51 > 0:12:55Congratulations. Good luck. Maybe we'll meet again in another few years. Hopefully!

0:12:55 > 0:12:57Thank you very much. Thank you.

0:12:57 > 0:13:02Mick, like many people in the property investment world,

0:13:02 > 0:13:05experiencing tough times in the last few years,

0:13:05 > 0:13:07but things do seem to be on the up.

0:13:07 > 0:13:12The key is, as he spotted, buying properties at the right price,

0:13:12 > 0:13:16spending carefully in doing them up and selling at a realistic level.

0:13:16 > 0:13:20A few issues, of course, with the road and lack of outdoor space,

0:13:20 > 0:13:22but he has got Nicola's help.

0:13:22 > 0:13:25So, will it be a success? Find out later in the show.

0:13:31 > 0:13:34I'm in the Kent town of Gravesend,

0:13:34 > 0:13:36a place definitely on the fast track to success.

0:13:36 > 0:13:39# Train of love's a-coming

0:13:39 > 0:13:42# Big black wheels a-humming #

0:13:42 > 0:13:46Gravesend is benefitting from the Ebbsfleet factor.

0:13:46 > 0:13:49That's what the local agents will have you believe anyway.

0:13:49 > 0:13:54I think the improved transport links signal good things for this part of Kent.

0:13:54 > 0:14:03The high-speed link brings commuters into the capital in 22 minutes

0:14:03 > 0:14:06I'm here to see this three-bedroom terrace

0:14:06 > 0:14:10and the guide is 95 to 105,000.

0:14:10 > 0:14:12The last property to sell on this road

0:14:12 > 0:14:15achieved ?144,000.

0:14:15 > 0:14:19That gives you an idea of the margin you could achieve here.

0:14:19 > 0:14:24But beware! Paying too much over that guide price could see you out of pocket.

0:14:24 > 0:14:29Light, airy and spacious are not words that I would use to describe a terrace house,

0:14:29 > 0:14:32but walking in here, that's what it feels like!

0:14:32 > 0:14:36There's so much light coming in through the window

0:14:36 > 0:14:39and I really like the way this whole space has been opened up.

0:14:39 > 0:14:43It's great the way the stairs have been used as a natural divider

0:14:43 > 0:14:45so you've still got your sitting room,

0:14:45 > 0:14:48your nice kitchen/diner through here.

0:14:48 > 0:14:51OK, it's terribly dated.

0:14:51 > 0:14:55You'll need to spend some money to bring it up to standard.

0:14:55 > 0:14:56You've got your flock wallpaper.

0:14:56 > 0:15:02I think it's great the way this area has already been opened up.

0:15:02 > 0:15:05I think people are going to enjoy this contemporary space,

0:15:05 > 0:15:07because it's quite a modern way to live.

0:15:07 > 0:15:12I'm not so keen on the fact that you've got a very small bathroom down here.

0:15:12 > 0:15:17I think that's been put down here for a reason. We'll touch on that a little later.

0:15:17 > 0:15:21But as I said, with some money, with some thought behind it,

0:15:21 > 0:15:23I think you've got yourself a really nice little house.

0:15:23 > 0:15:26Whilst the bathroom doesn't look too happy at the moment,

0:15:26 > 0:15:30it's amazing what some new tiling could do to lift it.

0:15:30 > 0:15:33The kitchen is in a shoddy state of repair

0:15:33 > 0:15:35and the whole of this open-plan reception area

0:15:35 > 0:15:38definitely needs cheering up.

0:15:39 > 0:15:44But what about the upstairs? There's one front bedroom here with good proportions.

0:15:44 > 0:15:48Fine. But at the back, there are two other bedrooms that do have issues

0:15:48 > 0:15:51and they're to do with the layout.

0:15:51 > 0:15:55Viewers, you have heard me banging on about this before.

0:15:55 > 0:15:57It's a common dilemma with these houses

0:15:57 > 0:16:00so I've got to get this off my chest.

0:16:00 > 0:16:04How do you access this room? Look.

0:16:04 > 0:16:08Now, I don't think it would work putting a corridor along here.

0:16:08 > 0:16:11You'd have to get rid of this chimney breast,

0:16:11 > 0:16:14but then you would lose this window here

0:16:14 > 0:16:16and that's not good! Are you with me?

0:16:16 > 0:16:20Or you could think about moving the bathroom from downstairs

0:16:20 > 0:16:23and putting it in this room.

0:16:23 > 0:16:26But then you've got all the plumbing to cost out

0:16:26 > 0:16:29and that's not a great idea.

0:16:29 > 0:16:33Or you could just leave it all as it is

0:16:33 > 0:16:36and have a huge extra room to use as an office

0:16:36 > 0:16:39or, ladies, a walk-in wardrobe.

0:16:39 > 0:16:41Now, what would I do as a developer?

0:16:41 > 0:16:45Well, I'd be looking at maximum profit, minimum spend.

0:16:45 > 0:16:48I'd have to be honest on this occasion,

0:16:48 > 0:16:51I would leave it exactly as it is.

0:16:51 > 0:16:56# I love just the way you are #

0:16:58 > 0:17:01Well, maybe "love" is a bit too strong to describe this,

0:17:01 > 0:17:04but sometimes you have to accept what you're given.

0:17:04 > 0:17:07An alternative could be to turn the stairs

0:17:07 > 0:17:10to come out on the other side of the room.

0:17:10 > 0:17:12That could cost as much as 20,000,

0:17:12 > 0:17:15and with the guide price at ?95 to ?105 grand,

0:17:15 > 0:17:20and a ceiling value of no more than 150,000 in the current market,

0:17:20 > 0:17:23that wouldn't leave much room for profit.

0:17:23 > 0:17:29Still, if you're looking to make this a long-term home, a big spend could be the way to go.

0:17:29 > 0:17:38This lean-to doesn't aesthetically add anything to the property.

0:17:38 > 0:17:41needs to be replaced with a more suitable material

0:17:41 > 0:17:44that might fit in a little better with this house.

0:17:44 > 0:17:47While we're here, the garden is as you'd expect.

0:17:47 > 0:17:50It needs a haircut and a bit of a tidy.

0:17:50 > 0:17:53So roll your sleeves up and get to it.

0:17:53 > 0:17:58The garden does need to be reintroduced to the lawnmower.

0:17:58 > 0:17:59A little bonus is the rear entrance,

0:17:59 > 0:18:03which will prove invaluable during the renovation

0:18:03 > 0:18:06as it's handy for moving materials in and out.

0:18:07 > 0:18:09But for a second opinion on this house,

0:18:09 > 0:18:12guided at 95 to 105,000,

0:18:12 > 0:18:14we asked an estate agent for his thoughts

0:18:14 > 0:18:16on the best way forward.

0:18:17 > 0:18:21With the staircase, I really would recommend reversing it

0:18:21 > 0:18:23or getting it up the flank wall

0:18:23 > 0:18:26so you can get a landing on that top floor.

0:18:26 > 0:18:28Even if you leave it as a three-bedroom,

0:18:28 > 0:18:33having that landing and corridor would make a difference.

0:18:33 > 0:18:37If you make it a bathroom, you've got to have a corridor.

0:18:38 > 0:18:42Would changing the layout have any effect on the value?

0:18:42 > 0:18:46If they lost a bedroom, it really wouldn't make much difference.

0:18:46 > 0:18:48A three-bed with a ground-floor bathroom

0:18:48 > 0:18:52is worth as much as a two-bed with a first-floor bathroom.

0:18:52 > 0:18:54Hmm... Food for thought there.

0:18:54 > 0:18:58How do the figures stack up? First, resale...

0:18:58 > 0:19:02In good condition, this could be sold for ?150,000.

0:19:02 > 0:19:03And rental?

0:19:03 > 0:19:07This could be rented for around ?700 per month.

0:19:08 > 0:19:11The downstairs bathroom has to stay where it is,

0:19:11 > 0:19:14but that's only to keep costs down.

0:19:14 > 0:19:19However, creating a corridor upstairs to separate the bedroom is a good option,

0:19:19 > 0:19:22but for somebody who wants to live here long-term,

0:19:22 > 0:19:25not for an instant profit.

0:19:25 > 0:19:28Let's see who wanted this lot as we go to auction.

0:19:31 > 0:19:33Then we go to lot eight.

0:19:33 > 0:19:36Give me 95 if you like. 95. It doesn't matter where we start.

0:19:36 > 0:19:41?95,000 I have. I'm on the way. 95 I have.

0:19:41 > 0:19:44100, I'm looking for. 100 bid at the back. 100.

0:19:44 > 0:19:47And five do I see? 105, can I see?

0:19:47 > 0:19:51102 if you like. 102, I'm bid. 102.

0:19:51 > 0:19:55104 I'm bid. 106 do I see?

0:19:55 > 0:19:56105 on the phone.

0:19:56 > 0:20:01106. He's out of it again. 107 now. 107.

0:20:01 > 0:20:03106 I have. 107 I want.

0:20:03 > 0:20:05Are we all done at ?106,000

0:20:05 > 0:20:09for the first, second, third and final time?

0:20:09 > 0:20:12Are you all done? 106. Thank you, sir.

0:20:15 > 0:20:20That successful bid of 106,000, one grand over the guide price,

0:20:20 > 0:20:22came from Mark.

0:20:24 > 0:20:26He lives 16 miles away in Bromley, Kent,

0:20:26 > 0:20:29but has lived in Gravesend before.

0:20:29 > 0:20:32He's planning a career change to start developing properties.

0:20:32 > 0:20:34This is his first project

0:20:34 > 0:20:36and he can bring some unique skills to it.

0:20:36 > 0:20:39I met him back at the house to find out more.

0:20:39 > 0:20:41It's great to meet you. Good to meet you.

0:20:41 > 0:20:45What I want to know is, why did you want to buy this house?

0:20:45 > 0:20:48Change of career, really. Yes? Yes.

0:20:48 > 0:20:52I've been in the building game 30 years. I want to do something different.

0:20:52 > 0:20:55What spurred you on to want to do this?

0:20:55 > 0:20:57The opportunity arose last year that I sold a house,

0:20:57 > 0:21:00got some equity out of it and that's how I'm financing it.

0:21:00 > 0:21:03Just a change of career and onwards and upwards.

0:21:03 > 0:21:07You were in the building game, doing what? Fibrous plastering.

0:21:07 > 0:21:09Tell me all about that!

0:21:09 > 0:21:12Decorative and ornamental plasterwork, really.

0:21:12 > 0:21:16Restoring old buildings, ceilings, columns, arches, that sort of stuff.

0:21:16 > 0:21:20That is quite a specialist job. Have you done any exciting ones recently?

0:21:20 > 0:21:23I was in the Savoy Hotel for four months last year...

0:21:23 > 0:21:25Wow! ..doing bits and pieces in there.

0:21:25 > 0:21:31And most London theatres, worked in those doing bits and pieces and restoration.

0:21:31 > 0:21:36Are we going to come back and find unbelievable cornicing, ceiling roses? No, no, no!

0:21:36 > 0:21:39It's all going to be contemporary. There's going to be some cornice,

0:21:39 > 0:21:43but contemporary rather than ultra traditional,

0:21:43 > 0:21:46just to fit in with the style of the rest of the house.

0:21:46 > 0:21:48Glad to hear it, Mark.

0:21:48 > 0:21:52Lovely as it would be to see lots of ornate plasterwork, this is a business venture

0:21:52 > 0:21:55and Mark sees it as the right time to start.

0:21:55 > 0:21:58# That this is the time # This is the time

0:21:58 > 0:22:01# The time for action # This is the time to be seen

0:22:01 > 0:22:04# Time to be seen # This is the time for action

0:22:04 > 0:22:09# Time to be seen #

0:22:09 > 0:22:12Mark aims to sell on once the renovation's complete.

0:22:12 > 0:22:14So, what are his plans?

0:22:14 > 0:22:17Nothing really structural needs doing,

0:22:17 > 0:22:20apart from knocking one wall down between the kitchen and bathroom

0:22:20 > 0:22:24to create a bigger kitchen, and move the bathroom upstairs.

0:22:24 > 0:22:29That's the major stuff. The rest of it is decorating and replastering.

0:22:29 > 0:22:33How are you going to reconfigure the upstairs to accommodate the bathroom?

0:22:33 > 0:22:36There's a chimney breast that runs with cupboards.

0:22:36 > 0:22:39I hope to take those out and create a decent corridor,

0:22:39 > 0:22:43and put some stud work up to create a room within a room.

0:22:43 > 0:22:47Put some glass panels on the top to let some natural light in.

0:22:47 > 0:22:50So, that room won't actually have its own natural daylight?

0:22:50 > 0:22:56Not natural daylight, but I hope to put some light tubes in there to get some light bouncing around.

0:22:56 > 0:23:00I think I'd be more inclined to create a bathroom in the middle of the property,

0:23:00 > 0:23:05because having a windowless bedroom is far from ideal.

0:23:05 > 0:23:08I haven't ruled anything out at the moment.

0:23:08 > 0:23:11I know it's going to be a compromise. But the plumbing involved

0:23:11 > 0:23:15and the cost of moving the bathroom to the centre of the house

0:23:15 > 0:23:18is a little bit restrictive.

0:23:18 > 0:23:21I haven't made any decisions 100 percent,

0:23:21 > 0:23:23but we'll have to wait and see, I think.

0:23:23 > 0:23:29I don't think Mark's getting the best out of the configuration, but at least he's open to options.

0:23:29 > 0:23:32Considering this is his first renovation,

0:23:32 > 0:23:36he shouldn't make life too difficult for himself.

0:23:36 > 0:23:41He does have a ?10,000 budget, which should get the job done,

0:23:41 > 0:23:45but I'm going to try and persuade him one more time to reconsider that layout.

0:23:45 > 0:23:49How about if I said to you you could do it on six grand

0:23:49 > 0:23:52if you didn't create the corridor,

0:23:52 > 0:23:55move the bathroom and you left it as it was? Yes.

0:23:55 > 0:23:58Would that appeal to you? It would, yes.

0:23:58 > 0:24:03Ultimately, I'm not going to live here, so it's the best deal financially

0:24:03 > 0:24:07and aesthetically to whoever's moving in.

0:24:07 > 0:24:10So, yes, the cheaper the better.

0:24:10 > 0:24:12I get the feeling you want to make this really good.

0:24:12 > 0:24:16I've got to, because it's a day job and I've got to make money out of it,

0:24:16 > 0:24:20otherwise I'm back on the building sites in the cold and wet.

0:24:21 > 0:24:24It's good to see Mark hasn't set his plans in concrete

0:24:24 > 0:24:29and understands that keeping the budget down is the only way to make a profit.

0:24:29 > 0:24:32He's confident he can turn it around in eight to ten weeks

0:24:32 > 0:24:36and seems fairly relaxed about his first ever renovation.

0:24:37 > 0:24:40I'm a pretty unfazed bloke. Get on with it and see what happens.

0:24:40 > 0:24:43Where do you get your confidence from? Am I confident? Yes!

0:24:43 > 0:24:45It's just me, you know? It's just the way I am.

0:24:45 > 0:24:50Is it the lucky ring? I hope so! It's going to bring you luck. Touch it for luck.

0:24:50 > 0:24:54Good luck. This is an exciting time for this chapter in your life.

0:24:54 > 0:24:56Well done. Thanks very much. Thank you.

0:24:57 > 0:24:59A windowless bedroom?

0:24:59 > 0:25:02I would rather a downstairs bathroom if faced with that option,

0:25:02 > 0:25:05and I think would-be buyers would agree.

0:25:05 > 0:25:07It's fair to say, there are a few options here.

0:25:07 > 0:25:11But if it's purely a money-making scheme for Mark,

0:25:11 > 0:25:14I would make the best of that downstairs bathroom.

0:25:14 > 0:25:19Let's hope his little beard ring brings him some developer's luck!

0:25:19 > 0:25:21You can find out how he gets on later in the programme.

0:25:22 > 0:25:27Coming up... In Ripley, this property seems to be suffering from an age-old problem.

0:25:27 > 0:25:31More indications, well, of damp.

0:25:32 > 0:25:35In Gravesend, Kent,

0:25:35 > 0:25:39did renovating this three-bed house go smoothly for plasterer Mark?

0:25:39 > 0:25:42The plastering was a bit hard, every room, every wall.

0:25:43 > 0:25:47But first, how did experienced developer Mick

0:25:47 > 0:25:50and first-timer Nicola get on?

0:25:50 > 0:25:52We've had no heated moments!

0:25:57 > 0:26:00We're returning to Ramsbottom in Manchester now.

0:26:00 > 0:26:02Here, property old-hand

0:26:02 > 0:26:05and Homes Under the Hammer aficionado Mick

0:26:05 > 0:26:09purchased this end-of-terrace house at auction for 66,000.

0:26:09 > 0:26:14This time, he convinced wife Nicola to lend him a hand.

0:26:14 > 0:26:17You're not both involved in the property stuff? Yes.

0:26:17 > 0:26:19Michael's been asking me to get involved

0:26:19 > 0:26:24and I've kept out, because I've got a job myself doing hairdressing.

0:26:24 > 0:26:28But he knows I'm really interested, so I agreed and said yes.

0:26:28 > 0:26:32The plan was to rip everything out and start again.

0:26:32 > 0:26:36We've come back just under three months later

0:26:36 > 0:26:39to see if the couple have worked their magic on this quirky house.

0:27:01 > 0:27:06So it's back to basics, as Nicola and Mick have gone for a neutral finish throughout.

0:27:06 > 0:27:09The house looks all the better for it.

0:27:09 > 0:27:11Even the outside has had a wash and brush up,

0:27:11 > 0:27:15giving it some all-important kerb appeal.

0:27:15 > 0:27:17One of the downsides of this property

0:27:17 > 0:27:20was the sloping floors.

0:27:20 > 0:27:23The floors were quite uneven.

0:27:23 > 0:27:26We thought this was due to some settlement,

0:27:26 > 0:27:29but after stripping everything back, we found some old stone flooring,

0:27:29 > 0:27:31probably down for about 150 years.

0:27:31 > 0:27:35Some of it had settled in parts, so we pulled it up, levelled it out,

0:27:35 > 0:27:38re-concreted and re-asphalted.

0:27:38 > 0:27:43The money we got for the flags paid for the rest of the floor, so everyone's a winner.

0:27:43 > 0:27:48Selling the old stone flooring to pay for new was a great idea

0:27:48 > 0:27:51and a novel way of keeping the budget on track.

0:27:51 > 0:27:53The original budget was about 15,000.

0:27:53 > 0:27:57I've actually spent a couple of thousand less, which is a bonus.

0:27:59 > 0:28:03For their ?13,000, Mick and Nicola ripped everything out.

0:28:03 > 0:28:06They rewired, replastered, redecorated,

0:28:06 > 0:28:09put in a new staircase and kitchen,

0:28:09 > 0:28:11as well as a new bathroom.

0:28:15 > 0:28:20As you can see, we've gone for a Victorian-style suite.

0:28:20 > 0:28:24We've got a roll-top bath and clawed feet.

0:28:24 > 0:28:27This was the room that I'm really excited about.

0:28:27 > 0:28:31Here, this is what was the cupboard and it had the water tank in.

0:28:31 > 0:28:33We've ripped that out and put in a walk-in shower,

0:28:33 > 0:28:37because I think people like the choice of a bath or a shower.

0:28:37 > 0:28:42Yes, I've enjoyed doing this room. I'm pleased with the bath, everything.

0:28:43 > 0:28:46Although Mick's been renovating properties for years,

0:28:46 > 0:28:49this was the first time Nicola had come on board.

0:28:49 > 0:28:52It looks as though she's done a lovely job here.

0:28:52 > 0:28:54But did she enjoy it?

0:28:54 > 0:28:58Me having an input, the first time I've actually worked with Mick,

0:28:58 > 0:29:02I've enjoyed everything about it. The kitchen, the bathroom...

0:29:02 > 0:29:05I've enjoyed working with the lads. We've had good input together.

0:29:05 > 0:29:10It's been good. We've had no heated moments, so yes, we're going to do another one. Yes.

0:29:12 > 0:29:16With Mick's experience, Nicola's fresh eyes and a reliable team to do the work,

0:29:16 > 0:29:20it seems to have been a slick operation.

0:29:20 > 0:29:23Everything's gone pretty smoothly. We have a team of lads.

0:29:23 > 0:29:26At the moment, we're on with about three or four houses.

0:29:26 > 0:29:29The lads go in first and rip it out

0:29:29 > 0:29:31then the electrician goes in, then the plasterers.

0:29:31 > 0:29:33It's quite a smooth process really.

0:29:33 > 0:29:36This all sounds too good to be true.

0:29:36 > 0:29:40Surely there was something that didn't go to plan.

0:29:40 > 0:29:44We planned for six or eight weeks. It took a bit longer, due to the fact I've got other properties.

0:29:44 > 0:29:48You get a problem on one, you've got to take the lads off.

0:29:48 > 0:29:50But all in all, it's not dragged on too long.

0:29:50 > 0:29:53We're pleased with how long it's taken and the result.

0:29:55 > 0:29:57With the couple sounding positive,

0:29:57 > 0:30:01we invited an estate agent and the auctioneer who sold the property

0:30:01 > 0:30:03to take a look around.

0:30:03 > 0:30:05The property looks really good.

0:30:05 > 0:30:11The buyer's refurbed what was here rather than changing any layout,

0:30:11 > 0:30:14which probably would've been difficult anyway.

0:30:14 > 0:30:19He's done a fantastic job. Very straightforward and neat. It looks really good.

0:30:19 > 0:30:22I particularly like the bathroom and the fireplace.

0:30:22 > 0:30:26I think they go with the feel of the cottage-style property

0:30:26 > 0:30:30and they keep that with the modern feel of the kitchen

0:30:30 > 0:30:33and the plaster walls.

0:30:33 > 0:30:36I really like the kitchen and bathroom fittings.

0:30:36 > 0:30:40I think they've got that little bit more detail than the standard

0:30:40 > 0:30:44and shows thought has gone into it, and they look really exceptional.

0:30:44 > 0:30:48So high praise for the house. But what about the finances?

0:30:48 > 0:30:52It cost ?66,000 at auction

0:30:52 > 0:30:54and the work another ?13,000,

0:30:54 > 0:31:08bringing their total outlay to ?79,000.

0:31:08 > 0:31:14we're probably going to have a ceiling, because of the lack of outside space, at ?100,000.

0:31:14 > 0:31:16I can't see anybody paying much more.

0:31:16 > 0:31:20I might be wrong, but I think that's its ceiling price.

0:31:20 > 0:31:27I think, in the current market, we'd be able to achieve ?100,000.

0:31:27 > 0:31:31I'm happy with that. There's still good profit in it.

0:31:31 > 0:31:32Given those values,

0:31:32 > 0:31:37the potential profit here is ?21,000 minus all the usual expenses,

0:31:37 > 0:31:40an all-round great purchase and renovation.

0:31:40 > 0:31:43We couldn't leave with asking Mick and Nicola

0:31:43 > 0:31:46for their tips on buying at auction.

0:31:46 > 0:31:49Set yourself a limit if you see a property.

0:31:49 > 0:31:53It's very easy to get carried away, bidding well over what you want to pay.

0:31:53 > 0:31:57When you're doing the property up, don't do it for yourself.

0:31:57 > 0:32:00Do it that somebody else is going to want to live there.

0:32:00 > 0:32:02If you get too personal, you spend too much money

0:32:02 > 0:32:05and you won't make any, and that's what you're doing it for.

0:32:11 > 0:32:23I'm in Ripley, an old industrial Derbyshire town

0:32:23 > 0:32:25makes it an ideal commuter town.

0:32:25 > 0:32:30The property I'm here to see is on this fairly quiet cul-de-sac.

0:32:30 > 0:32:33One of the first things I notice, though, is that it has mixed use.

0:32:33 > 0:32:37What I mean by that is, not only have you got residential,

0:32:37 > 0:32:39you've also got these commercial units.

0:32:39 > 0:32:42That could be an issue, but I'll come to that later.

0:32:42 > 0:32:45The property itself looks pretty good.

0:32:45 > 0:32:48It's bay-fronted, semi-detached, at a guide price of ?56,000.

0:32:48 > 0:32:51Let's take a look inside.

0:32:52 > 0:32:54What have we got?

0:32:54 > 0:32:56DOOR BANGS Ooh!

0:32:56 > 0:33:00A door that doesn't quite have anywhere to go!

0:33:00 > 0:33:04Front sitting room over that way and into your rear sitting room.

0:33:04 > 0:33:06It's not a bad space.

0:33:06 > 0:33:08But straight away I'm spotting a potential problem.

0:33:08 > 0:33:11This is a chimney breast and it's been blocked up.

0:33:11 > 0:33:16You should always have some kind of breathing block that allows air in,

0:33:16 > 0:33:19otherwise that is a potential damp problem.

0:33:19 > 0:33:23It's been freshly painted. I wonder if somebody's trying to cover something up.

0:33:23 > 0:33:27We'll play around with that later. But not a bad-sized space.

0:33:27 > 0:33:32And then off there, into this area of the property, the kitchen.

0:33:32 > 0:33:34Not, again, a bad size.

0:33:34 > 0:33:38It's a bit tired and dated. It could do with some new units.

0:33:38 > 0:33:41But if you were renting it out, you could clean it up and make do.

0:33:41 > 0:33:45If you were planning on doing something a bit more ambitious,

0:33:45 > 0:33:49there's a bit of building work that you could play around with.

0:33:49 > 0:33:53There's this little ante area here, in between the kitchen and the loo.

0:33:53 > 0:33:56It probably dates back to the days when it was a building regulation

0:33:56 > 0:33:59to have two doors between a loo and a kitchen.

0:33:59 > 0:34:01You now only need one door,

0:34:01 > 0:34:05so you could get rid of this space and integrate it into the kitchen.

0:34:05 > 0:34:09That, I think, would give you a much better feel in this part.

0:34:09 > 0:34:12But all in all, it's OK.

0:34:12 > 0:34:18The front room isn't a bad size and the house does have double glazing and gas central heating.

0:34:18 > 0:34:22It's good to have those two attributes already under your belt.

0:34:22 > 0:34:26There are signs of damp, although I don't think it's too serious.

0:34:26 > 0:34:30A bit of investigation upstairs could shed some light on the cause.

0:34:30 > 0:34:34Two double bedrooms, one at the front and another here.

0:34:34 > 0:34:37There's a corridor which leads down to the bathroom.

0:34:37 > 0:34:41I think that bathroom, as well as providing useful facilities,

0:34:41 > 0:34:43is creating some of the problems,

0:34:43 > 0:34:48Because up here, more indications of damp.

0:34:48 > 0:34:54But not damp caused by water coming through the walls, but actually condensation.

0:34:54 > 0:34:58Living in a house, using a house, creates moisture in the air.

0:34:58 > 0:35:01When that hits an exterior wall,

0:35:01 > 0:35:05it condenses on the surface and then you get this mould.

0:35:05 > 0:35:08Old houses were built to recognise that and to compensate for it.

0:35:08 > 0:35:12There were lots of air bricks, lots of natural ventilation.

0:35:12 > 0:35:15But you get a house like this, you stick double glazing in,

0:35:15 > 0:35:18you stop that natural flow and this is what happens.

0:35:18 > 0:35:22The simple solution - get more air into the property

0:35:22 > 0:35:25and then problems like this will go away.

0:35:26 > 0:35:28# Breath

0:35:28 > 0:35:30# Breath in the air #

0:35:33 > 0:35:36Getting the ventilation right in here wouldn't take much.

0:35:36 > 0:35:40You could put in air vents into the chimney breasts,

0:35:40 > 0:35:42extractor fans in the bathrooms and kitchens,

0:35:42 > 0:35:46or just regularly opening windows would help significantly.

0:35:46 > 0:35:50If you want more fresh air, there's a pleasant garden at the back.

0:35:50 > 0:35:52It's long and laid to lawn

0:35:52 > 0:35:55and just needs a bit of trimming back.

0:35:55 > 0:35:58But more of an issue are the neighbours on the right.

0:35:58 > 0:36:01Next door is a car repairs garage,

0:36:01 > 0:36:05which could put off lenders and therefore potential purchasers.

0:36:05 > 0:36:08It could affect the marketability of the property.

0:36:08 > 0:36:13The good news that a planning application's been submitted to convert the garage into houses,

0:36:13 > 0:36:16in which case, the value of this one could rise.

0:36:19 > 0:36:24We asked along a local estate agent to get his view on this two-bed semi

0:36:24 > 0:36:27which had an auction guide price of ?56,000-plus.

0:36:27 > 0:36:29With the garage next door having planning,

0:36:29 > 0:36:31that may well be a concern,

0:36:31 > 0:36:34not quite knowing what's going to happen in the future.

0:36:34 > 0:36:38When the scheme's finally completed, that'll be good news.

0:36:38 > 0:36:40In the meantime, it's a little disconcerting.

0:36:40 > 0:36:44Whether or not a new development goes ahead,

0:36:44 > 0:36:46how do the investment figures stack up?

0:36:46 > 0:36:48First, resale.

0:36:48 > 0:36:51Once the basic works have been carries out,

0:36:51 > 0:36:55it ought to be marketed for sale just shy of the ?80,000 mark.

0:36:55 > 0:36:59And the rental? Locally, the rental market is strong.

0:36:59 > 0:37:04we ought to return somewhere between 400 and 425 per calendar month

0:37:04 > 0:37:06once the house is in good order.

0:37:06 > 0:37:09Well, taking everything into consideration,

0:37:09 > 0:37:13I think this is a great little opportunity.

0:37:13 > 0:37:16Yes, there's work to be done, but for that guide price, a good one to go for.

0:37:16 > 0:37:20Let's see who agreed when it went under the hammer.

0:37:21 > 0:37:25Lot number 40, a two-bedroom semi with a bay window.

0:37:25 > 0:37:2958,000 at the back. Thank you. At ?58,000.

0:37:29 > 0:37:3159 I have. 59.

0:37:31 > 0:37:3560,000. 61. 61.

0:37:35 > 0:37:3862. 63. 64.

0:37:38 > 0:37:4265. 65. 66, sir?

0:37:42 > 0:37:4466. 67.

0:37:44 > 0:37:5168? 68. 69. 70 for you, sir? 69 and a half?

0:37:51 > 0:37:5270,000, thank you.

0:37:52 > 0:37:56Lady's bid at 70,000. 500 somewhere else? 70 and a half.

0:37:56 > 0:38:0070 and a half. 71. 500.

0:38:00 > 0:38:0272.

0:38:02 > 0:38:0472 and a half.

0:38:04 > 0:38:0873. 73.5.

0:38:08 > 0:38:1074,500.

0:38:10 > 0:38:13500. 75,000.

0:38:13 > 0:38:1675.5. 76.

0:38:16 > 0:38:19?76,000, gentleman's bid.

0:38:19 > 0:38:24At 76,000 for the first time, for the second time,

0:38:24 > 0:38:26third and last opportunity.

0:38:26 > 0:38:28Sold at 76. It's yours, sir. Thank you.

0:38:28 > 0:38:34That successful bid of 76,000 was made by Nigel and Christina.

0:38:34 > 0:38:39For this married couple, who live only a mile away, it's two firsts.

0:38:39 > 0:38:44That was their first ever auction and this will be their first ever development.

0:38:44 > 0:38:47I met them back at the house to find out more.

0:38:47 > 0:38:50Lovely to meet you. And you. Congratulations.

0:38:50 > 0:38:52Tell me why you wanted to buy this place.

0:38:52 > 0:38:58We wanted a rental property locally, something we can keep our eye on,

0:38:58 > 0:39:03and this sort of lended itself for that purpose.

0:39:03 > 0:39:06What was it about it you liked, Christina?

0:39:06 > 0:39:08The location. Definitely the location.

0:39:08 > 0:39:12It's a cul-de-sac, so very few cars coming down here.

0:39:12 > 0:39:15Tell me about you two. Is this something you've done before?

0:39:15 > 0:39:18No. We're novices! Right!

0:39:18 > 0:39:21What prompted you to do it at this particular juncture?

0:39:21 > 0:39:23I recently retired

0:39:23 > 0:39:27and it's going to be something to occupy me.

0:39:27 > 0:39:32And money in the bank's not doing very much these days, so a bit of rental income.

0:39:32 > 0:39:36So, take some savings out and plump it into property? Yes.

0:39:36 > 0:39:38Are you going to work on this full time?

0:39:38 > 0:39:40I won't be, no. We'll have professionals in.

0:39:40 > 0:39:42But there's bits and bobs I can do.

0:39:42 > 0:39:46I'm thinking of insulating the loft, doing the garden, that sort of thing.

0:39:46 > 0:39:50Christina, what about you? I've been made redundant. I'm sorry!

0:39:50 > 0:39:55I'm looking for another job at the moment, so I'll help out where I can.

0:39:55 > 0:40:00Hopefully, I'll have another job... It sounds a bit precarious, financially.

0:40:00 > 0:40:04You retired, you lost your job. Ahh! You just bought a house you have to spend money on!

0:40:04 > 0:40:07I suppose. Put like that, it does sound that way,

0:40:07 > 0:40:11but we have got money put to one side.

0:40:11 > 0:40:15As I say, it's better off in property rather than the bank.

0:40:15 > 0:40:19Fingers crossed. Fingers crossed. This might be a new career!

0:40:19 > 0:40:23You never know, do you? Yes! We'll see how it goes first!

0:40:23 > 0:40:27We are looking around for another one. Oh, really? Yes.

0:40:27 > 0:40:31So if this works out really well, we'll go straight into another one.

0:40:32 > 0:40:35Despite redundancy and retirement,

0:40:35 > 0:40:38Christina and Nigel are going full steam ahead

0:40:38 > 0:40:40and undertaking a major new project.

0:40:40 > 0:40:44But as first-timers, what do they plan to do here?

0:40:44 > 0:40:47One of the best bits of advice we had

0:40:47 > 0:40:50was to make sure that we did it really nicely,

0:40:50 > 0:40:53and that way, we can attract a really good tenant

0:40:53 > 0:40:58and expect not top end of the rental market,

0:40:58 > 0:41:01but go for... The best you can get. The best you can get.

0:41:01 > 0:41:05Good standard decoration, make sure the electrics are sorted out.

0:41:05 > 0:41:10New bathroom, new kitchen, replastered throughout, all the woodwork changing.

0:41:10 > 0:41:15We thought new windows, because we don't think the ventilation is quite right.

0:41:15 > 0:41:19There's a lot of condensation and mould around, so we thought that could fix it.

0:41:19 > 0:41:21That could be air blocks that have been blocked.

0:41:21 > 0:41:25Yes, no ventilation in the chimneys, that sort of thing.

0:41:25 > 0:41:29So, what about things like the kitchen and the loo downstairs?

0:41:29 > 0:41:32It's a bit weird with that extra little room.

0:41:32 > 0:41:36Well... We're still undecided on that, aren't we? Yes.

0:41:36 > 0:41:41I think we'll probably come down and leave it as it is, er...

0:41:41 > 0:41:43Or maybe not. Or maybe not.

0:41:43 > 0:41:47For the sake of taking out a wall, I'd take it out!

0:41:47 > 0:41:50We did go through that thought process.

0:41:50 > 0:41:55And came out the other side thinking? "We'll probably leave it!"

0:41:56 > 0:41:59Bearing in mind the property is to be let out and not sold,

0:41:59 > 0:42:04perhaps leaving the wall and loo as they are is the right choice.

0:42:04 > 0:42:07But do they really need to change the bathroom and kitchen

0:42:07 > 0:42:10and replace the windows with new ones?

0:42:10 > 0:42:14I don't know, but they've set aside a healthy ?15,000 budget

0:42:14 > 0:42:17and a three-to-four month timescale.

0:42:17 > 0:42:21One potential issue is the garage next door

0:42:21 > 0:42:24and what may or may not be done to that.

0:42:24 > 0:42:27What are you aware of that? They've got planning permission.

0:42:27 > 0:42:33They put in a planning application which is about to come to an end.

0:42:33 > 0:42:36Four town houses. I think that's a good thing

0:42:36 > 0:42:39rather than having a garage next door.

0:42:39 > 0:42:44In the short term, for the upheaval of the building of all of that,

0:42:44 > 0:42:47I think in the long term we'll gain from that.

0:42:47 > 0:42:49Congratulations. Good luck with it.

0:42:49 > 0:42:52Thank you. We look forward to seeing how you get on. Thank you.

0:42:52 > 0:42:58I think Nigel and Christina have done well with this, their first investment property.

0:42:58 > 0:43:02I am concerned that they might overspend in terms of sorting it out,

0:43:02 > 0:43:05especially when they know it's for rental.

0:43:05 > 0:43:09In those circumstances, you've got to keep a tight reign on your budget.

0:43:09 > 0:43:12You can find out how they get on later in the show.

0:43:15 > 0:43:17Finding good tradesmen is often the key

0:43:17 > 0:43:22to getting properties done up to a good standard and on time,

0:43:22 > 0:43:26but sometimes people do try to do it themselves to maximise profit.

0:43:26 > 0:43:30Are today's buyers getting stuck in or just stuck?

0:43:30 > 0:43:32Let's find out.

0:43:33 > 0:43:37It's back now to Gravesend in Kent where we met Mark, a plasterer,

0:43:37 > 0:43:42who bought this three-bed mid-terrace house for 106,000.

0:43:42 > 0:43:46His plan was to makeover the entire place, from top to bottom.

0:43:46 > 0:43:49He planned to deal with the odd layout upstairs

0:43:49 > 0:43:51by creating a windowless bedroom,

0:43:51 > 0:43:55but was keeping an open mind on what else to do.

0:43:55 > 0:43:57I haven't ruled anything out.

0:43:57 > 0:43:59I know it's going to be a compromise.

0:43:59 > 0:44:05The plumbing involved and the cost of moving the bathroom to the centre of the house

0:44:05 > 0:44:07is a little bit restrictive.

0:44:07 > 0:44:10I haven't made any decisions 100 percent,

0:44:10 > 0:44:13but we'll have to wait and see, I think.

0:44:13 > 0:44:15As it was his first development,

0:44:15 > 0:44:19it's good to hear Mark hadn't set his ideas in stone.

0:44:19 > 0:44:21With a background as a specialist plasterer,

0:44:21 > 0:44:26restoring decorative and ornamental plasterwork in old buildings and theatres,

0:44:26 > 0:44:28it was going to be fingers crossed

0:44:28 > 0:44:32that his first project didn't end up as a major drama.

0:44:34 > 0:44:36Well, five months later,

0:44:36 > 0:44:39we've returned to see how Mark got on.

0:44:40 > 0:44:42The exterior has certainly been improved

0:44:42 > 0:44:47with a fresh lick of paint, new windows and a door.

0:44:49 > 0:44:52The interior is still going through its renovation,

0:44:52 > 0:44:57but replastered walls have definitely given the place a lift already.

0:45:03 > 0:45:07But the biggest change is in the kitchen.

0:45:09 > 0:45:12OK, initially in here,

0:45:12 > 0:45:14we had a wall dividing the two spaces,

0:45:14 > 0:45:16kitchen and bathroom.

0:45:16 > 0:45:20It wasn't very practical at all, so we've taken the wall down

0:45:20 > 0:45:23and knocked through at the back.

0:45:23 > 0:45:25French windows create an access into the garden

0:45:25 > 0:45:29and a bigger, lighter kitchen and better working space.

0:45:30 > 0:45:35A definite improvement, allowing light to flood through the entire ground floor.

0:45:35 > 0:45:38But where does that leave the bathroom?

0:45:38 > 0:45:44Well, upstairs, it looks as though Mark has made what I think is the right decision.

0:45:46 > 0:45:50What I decided to do here is move the bathroom,

0:45:50 > 0:45:53which was originally going to go in the back bedroom,

0:45:53 > 0:45:55into the centre of the house.

0:45:55 > 0:46:00I feel it works a bit better, people not having to go through bedrooms to get to the bathroom.

0:46:00 > 0:46:04There was a few plumbing issues, but we've managed to sort that out.

0:46:04 > 0:46:07At the end of the day, I think it'll work quite well.

0:46:07 > 0:46:10I'm so glad Mark kept his options open

0:46:10 > 0:46:12and has gone for the bathroom up here.

0:46:12 > 0:46:17That still left him with two sizeable bedrooms, both nearing completion.

0:46:17 > 0:46:19And though the house isn't a three-bed any more,

0:46:19 > 0:46:22it should retain its market value

0:46:22 > 0:46:25because of the new upstairs bathroom.

0:46:26 > 0:46:29And while there's work to do, it's all looking in good shape

0:46:29 > 0:46:33with Mark's plastering skills in evidence throughout.

0:46:33 > 0:46:36But has it all been a bit of a busman's holiday for him?

0:46:36 > 0:46:39It's been good. I've enjoyed doing it.

0:46:39 > 0:46:44Obviously, the plastering was a bit hard, every room, every wall, every ceiling.

0:46:44 > 0:46:49That was the real guts of the job, the rest has been finishing off,

0:46:49 > 0:46:52and I think it's achieved a nice standard on it.

0:46:52 > 0:46:55This wasn't a one-man show, though.

0:46:55 > 0:46:59Mark has had invaluable help from two well qualified friends

0:46:59 > 0:47:02who have replumbed and rewired the entire house.

0:47:02 > 0:47:04Having mates' rates always helps with costs.

0:47:04 > 0:47:09Plus he's got some great bargains, especially on new double glazing.

0:47:09 > 0:47:12Initially, I was going to put the windows in myself.

0:47:12 > 0:47:14I assumed they were standard sizes.

0:47:14 > 0:47:18But once I went round and had a measure up, they weren't.

0:47:18 > 0:47:21I got in touch with a local guy who done them for me

0:47:21 > 0:47:23and a real good price on them.

0:47:23 > 0:47:26I think the market was competitive

0:47:26 > 0:47:29and he was willing to cut me a deal on it.

0:47:29 > 0:47:32Obviously, I didn't have the hassle of fixing them,

0:47:32 > 0:47:35they were fixed for me, so that pushed it on.

0:47:35 > 0:47:38With him and his friends doing most of the work,

0:47:38 > 0:47:43Mark reckons there's only three to four weeks left before it will go on the market.

0:47:43 > 0:47:47So, did keeping his costs down to the minimum help the budget?

0:47:47 > 0:47:51The original budget was 10,000 to 12,000.

0:47:51 > 0:47:56At the moment, I'm 7,300, so I've got a bit of flexibility left.

0:47:56 > 0:47:59But there's going to be bills for finishing off,

0:47:59 > 0:48:02perhaps another ?2,000,

0:48:02 > 0:48:07so I think I'll be spot on with about the 10,000, fingers crossed.

0:48:09 > 0:48:12If Mark's cost stay at 10 grand,

0:48:12 > 0:48:16his total outlay will be ?116,000.

0:48:16 > 0:48:18We asked along two estate agents

0:48:18 > 0:48:21to hear their thoughts on his first renovation project.

0:48:24 > 0:48:27A great improvement where we've already seen changes.

0:48:27 > 0:48:31I love the doors downstairs from the kitchen into the garden

0:48:31 > 0:48:33really bringing the garden into the house.

0:48:33 > 0:48:36I love the openness, the fact the walls are out now.

0:48:36 > 0:48:39Really looking very much better, very different house.

0:48:41 > 0:48:45This is my first time in the property and really, really like the layout.

0:48:45 > 0:48:49Very quirky, very different.

0:48:49 > 0:48:54I like the open-plan layout because it has a modern feel to it.

0:48:54 > 0:48:57I really like the upstairs layout. They've done a good job.

0:48:57 > 0:49:02The estate agents seem to like it. But with Mark investing 116,000,

0:49:02 > 0:49:05he needs to know what it could sell for.

0:49:05 > 0:49:10When complete, I would put this property on the market for ?150,000.

0:49:10 > 0:49:13When completed, I'd put this property on the market

0:49:13 > 0:49:17in the region of ?140-145,000.

0:49:17 > 0:49:20That's about as I expected. I'd like to think I could get 150 for it

0:49:20 > 0:49:25with the work that's been going on, and new appliances throughout.

0:49:25 > 0:49:28That's pretty reasonable. That's what I was looking for.

0:49:28 > 0:49:31That could give Mark a possible pre-tax profit

0:49:31 > 0:49:34of between 24 and 34,000 -

0:49:34 > 0:49:37a great way to start a property-developing career.

0:49:37 > 0:49:39If he decided to let the house out,

0:49:39 > 0:49:44he could earn a healthy annual yield of just under eight percent.

0:49:50 > 0:49:54Mark is using this as a launch pad to go onto more properties.

0:49:54 > 0:49:56But while he finishes off this house,

0:49:56 > 0:50:01he has a hunch about where the good fortune that came with it lies.

0:50:01 > 0:50:04The beard's grown a bit, added another bead or two and...

0:50:04 > 0:50:08..it brought me a bit of luck again. Hopefully!

0:50:16 > 0:50:18Back now to Ripley in Derbyshire,

0:50:18 > 0:50:22where earlier, we met married couple Nigel and Christina.

0:50:22 > 0:50:27They'd bought this two-bedroom semi-detached house for ?76,000

0:50:27 > 0:50:29with plans to do it up and rent it out.

0:50:29 > 0:50:31It should've been a straightforward job

0:50:31 > 0:50:36that their 15-grand budget and three to four-month schedule could easily handle.

0:50:36 > 0:50:40But when it came to renovating properties, they were total novices.

0:50:40 > 0:50:43What prompted you to do it at this juncture?

0:50:43 > 0:50:46I recently retired

0:50:46 > 0:50:50and it's going to be something to occupy me.

0:50:50 > 0:50:55And money in the bank's not doing very much these days, so a bit of rental income.

0:50:55 > 0:50:58Four and a half months later, we met up with Nigel

0:50:58 > 0:51:02to find out if it was a case of novices' nightmare

0:51:02 > 0:51:04or first-time fun.

0:51:07 > 0:51:11Well, from the outside, the front is looking smarter and tidier.

0:51:15 > 0:51:18And inside, both the living room and dining room

0:51:18 > 0:51:20are already looking brighter and fresher,

0:51:20 > 0:51:23despite still needing some work.

0:51:25 > 0:51:27And the kitchen may look new,

0:51:27 > 0:51:31but the changes aren't actually as dramatic as you may think.

0:51:32 > 0:51:37Behind me is the downstairs toilet and ante room.

0:51:37 > 0:51:42We did think about extending the kitchen right the way though,

0:51:42 > 0:51:46but as it's a rental property, we decided against that

0:51:46 > 0:51:50and pretty well kept the downstairs toilet as it is.

0:51:50 > 0:51:53It's had a new toilet seat. I think that's about it.

0:51:53 > 0:51:57We've retained these walls, rather than knocking them out.

0:51:57 > 0:52:00Then you come into the kitchen,

0:52:00 > 0:52:04and the carcases are from the old kitchen.

0:52:04 > 0:52:09All we've done is put on new door fronts and drawer fronts.

0:52:09 > 0:52:12But, of course, new worktops, a new sink,

0:52:12 > 0:52:14new oven, electric oven,

0:52:14 > 0:52:16old gas hob,

0:52:16 > 0:52:20and we've got a new radiator going in here

0:52:20 > 0:52:22that's still got to be hung,

0:52:22 > 0:52:25and generally redecorated.

0:52:25 > 0:52:28Upstairs, both bedrooms still need some finishing off.

0:52:28 > 0:52:33But it's obvious that changes have definitely been for the better.

0:52:33 > 0:52:36Again, the bathroom is not quite complete yet,

0:52:36 > 0:52:39but even so, with new units, new tiles,

0:52:39 > 0:52:43well, new everything, it's the most improved room in the house.

0:52:43 > 0:52:47And for Nigel and Christina, that's not the only improvement.

0:52:47 > 0:52:49Christina's got a new job,

0:52:49 > 0:52:52so probably up until about three or four weeks ago,

0:52:52 > 0:52:56she was helping out here in the house.

0:52:56 > 0:52:59But now she'll have trouble getting time off.

0:52:59 > 0:53:02Well, big congratulations to Christina.

0:53:02 > 0:53:06But were the pair ever tempted to get builders in to do the work?

0:53:07 > 0:53:10It crossed our mind to get a builder to do everything

0:53:10 > 0:53:18and we got a quote for him to do everything.

0:53:18 > 0:53:21We did a lot of work ourselves

0:53:21 > 0:53:24and we used a lot of local contractors.

0:53:24 > 0:53:27The contactors were called in when needed

0:53:27 > 0:53:30to replaster the walls and do some rewiring.

0:53:30 > 0:53:35The house has also had its central heating system upgraded and some radiators moved,

0:53:35 > 0:53:40which helped solve the damp problem, along with the new double glazing.

0:53:40 > 0:53:43We've had all new windows,

0:53:43 > 0:53:45and they've got trickle vents

0:53:45 > 0:53:48where we've had problems with condensation.

0:53:48 > 0:53:52So hopefully, we've cured the condensation side of it

0:53:52 > 0:53:55and made it look neater.

0:53:55 > 0:53:57And it's been insulated, which it wasn't.

0:53:57 > 0:54:00Let's not forget the garden. A trim and tidy up,

0:54:00 > 0:54:03plus a fresh coat of paint on the rear walls

0:54:03 > 0:54:05has made it far more presentable.

0:54:06 > 0:54:12There was a minor damp problem with water from a leaky gutter draining onto the rear wall,

0:54:12 > 0:54:16but it's all been sorted out by Nigel.

0:54:16 > 0:54:19And with only two weeks to go till the work's complete,

0:54:19 > 0:54:22he reckons the level of finish is just right for the rental market,

0:54:22 > 0:54:25which is their current plan.

0:54:26 > 0:54:29For these first-time developers, the renovation presented

0:54:29 > 0:54:33just the right amount of difficulty to make it interesting,

0:54:33 > 0:54:36and it seems the couple didn't fall short of the challenge.

0:54:36 > 0:54:40But how did their ?15-grand budget measure up?

0:54:40 > 0:54:43We did a quick calculation probably last week

0:54:43 > 0:54:47and I think we were just creeping up to ?10,000.

0:54:47 > 0:54:51I think by the time we've finished it all, we're probably about 12.

0:54:51 > 0:54:54Add that to their ?76,000 purchase price

0:54:54 > 0:55:00and Nigel and Christina's total outlay could be a possible ?88,000.

0:55:02 > 0:55:04We asked two estate agents

0:55:04 > 0:55:07what they thought of the couple's first ever renovation.

0:55:07 > 0:55:11My first impressions are that it still needs finishing off.

0:55:11 > 0:55:15It's done to a reasonable standard. It's a nicely proportioned property.

0:55:15 > 0:55:18Two good-size receptions rooms and bedrooms.

0:55:18 > 0:55:21The bathroom's a good size. The kitchen's on the small side,

0:55:21 > 0:55:24but otherwise it's well proportioned.

0:55:24 > 0:55:26The finish in the kitchen and bathroom are good.

0:55:26 > 0:55:30They're not quite finished, but I can see where they're going.

0:55:30 > 0:55:35The bathroom especially has a touch of luxury about it.

0:55:37 > 0:55:39I'd say the finish is reasonable.

0:55:39 > 0:55:43It's been done to a standard for the rental market rather than the sale market.

0:55:43 > 0:55:46If you were to sell it, you'd do it to a higher standard.

0:55:46 > 0:55:49Nigel and Christina still want to rent it out.

0:55:49 > 0:55:52What sort of income could they expect?

0:55:52 > 0:55:54For rent, I think the property is worth

0:55:54 > 0:55:58between ?425 and ?450 per calendar month.

0:55:58 > 0:56:03I would expect it to rent quite comfortably at around about ?450 per calendar month.

0:56:03 > 0:56:07That's pretty well what we thought. That's good.

0:56:07 > 0:56:10If they achieve that sort of rental income,

0:56:10 > 0:56:14the couple could expect a healthy annual yield of just over six percent.

0:56:14 > 0:56:16But if they wanted to sell,

0:56:16 > 0:56:20the estates agents reckon they could achieve a possible ?95,000.

0:56:20 > 0:56:24That would give them a small pre-tax profit of seven grand.

0:56:28 > 0:56:32Hopefully, for Nigel and Christina, this project could be the start of a new venture

0:56:32 > 0:56:36in renovating properties and building up a portfolio.

0:56:36 > 0:56:39This is the first time that we've ever bought a place

0:56:39 > 0:56:43to do this sort of thing, to resell or rent.

0:56:43 > 0:56:46Touch wood, it's all gone pretty well,

0:56:46 > 0:56:50so it may be something we may well do again.

0:56:52 > 0:56:56Well, that's it for now. Join us next time

0:56:56 > 0:57:00as we follow more people buying their homes under the hammer.

0:57:00 > 0:57:02Look forward to seeing you then. BOTH: Goodbye!

0:57:02 > 0:57:06Subtitles by Red Bee Media Ltd

0:57:06 > 0:57:10E-mail subtitling@bbc.co.uk

0:57:30 > 0:57:33Are you meddling again?

0:57:33 > 0:57:34Possibly.

0:57:34 > 0:57:38You have to tell the police whatever it is that you know.

0:57:38 > 0:57:39She was murdered.

0:57:39 > 0:57:42Quirke! What have you done?!

0:57:42 > 0:57:43Gabriel Byrne is Quirke.