0:00:02 > 0:00:03Welcome to the show.
0:00:03 > 0:00:05Both of us have been dealing in property for many years now
0:00:05 > 0:00:08and we've witnessed the fluctuations in the market.
0:00:08 > 0:00:11But through it all, we've remained convinced of one thing,
0:00:11 > 0:00:15you can find yourself a bargain when you buy your home under the hammer.
0:00:40 > 0:00:43Martin and I have always been fascinated
0:00:43 > 0:00:44by buying under the hammer.
0:00:44 > 0:00:48Yes, the speed, the excitement and the potential to get yourself a bargain.
0:00:48 > 0:00:49They're all very attractive!
0:00:49 > 0:00:54So, let's see what got our purchasers hot under the collar on today's show.
0:00:55 > 0:00:58In Staffordshire, this two-bedroomed terraced property
0:00:58 > 0:01:01may put some people off, but look below the surface.
0:01:01 > 0:01:04Actually, it's not too scary at all!
0:01:05 > 0:01:07This semi in Faversham, Kent,
0:01:07 > 0:01:09has an interior that might make you feel a little blue.
0:01:09 > 0:01:15Well, the decor hits you between the eyes, that's for sure!
0:01:15 > 0:01:18And in Cumbria, this house could have some serious problems.
0:01:18 > 0:01:22It's a majorly important structural part of the roof
0:01:22 > 0:01:25and it has been cut basically in half!
0:01:26 > 0:01:28All these properties have been sold at auction.
0:01:28 > 0:01:33We'll find out who bought them and what they paid for them when they went under the hammer.
0:01:33 > 0:01:34It's yours.
0:01:39 > 0:01:42Today, I'm in the Staffordshire town of Basford.
0:01:42 > 0:01:46It's home to Europe's first purpose-built theatre in the round,
0:01:46 > 0:01:48The New Vic.
0:01:48 > 0:01:51# They say the neon lights are bright
0:01:51 > 0:01:56# On Broadway...#
0:01:56 > 0:01:58And there are other theatres as well
0:01:58 > 0:01:59in the two hospitals in the town,
0:01:59 > 0:02:02the Royal and the City General.
0:02:02 > 0:02:06So, with all those theatrical and medical workers, there could be many tenants
0:02:06 > 0:02:08looking for accommodation here.
0:02:10 > 0:02:13Well, just a mile from the City Hospital
0:02:13 > 0:02:16is the property I'm here to see.
0:02:16 > 0:02:19Two bedroom mid-terrace at a guide price of 60,000 quid
0:02:19 > 0:02:22looks pretty good from the outside!
0:02:22 > 0:02:24The rendering on this redbrick house looks OK
0:02:24 > 0:02:28and I'm pleased that the condition of the roof matches the neighbouring properties.
0:02:28 > 0:02:32So, it looks as though this place has aged pretty well,
0:02:32 > 0:02:34but the windows look original,
0:02:34 > 0:02:36which could be an issue.
0:02:38 > 0:02:40So, what have we got?
0:02:40 > 0:02:44OK, up a little flight of stairs, into the house
0:02:44 > 0:02:45and your front sitting-room.
0:02:45 > 0:02:47Quite a nice space
0:02:47 > 0:02:48and I love the high ceilings,
0:02:48 > 0:02:51that gives a really nice feeling of space in the property.
0:02:51 > 0:02:53You've also got this bay window here,
0:02:53 > 0:02:56which, again, lots of light, gives that extra bit of space...
0:02:56 > 0:02:57I notice a bit of damp there,
0:02:57 > 0:03:00very common for a bay window to have damp like that.
0:03:00 > 0:03:03Normally, coming in down from the roof
0:03:03 > 0:03:06or lead flashing against the main part of the building.
0:03:06 > 0:03:08Unlikely, I would say, for it to be rising,
0:03:08 > 0:03:11given our elevated position, but you never know.
0:03:11 > 0:03:15Bit of a gas fire there, and that needs to be checked out and the central heating
0:03:15 > 0:03:17looks like it's quite dated.
0:03:17 > 0:03:20Through into your rear sitting-room area,
0:03:20 > 0:03:22very traditional layout for this kind of property,
0:03:22 > 0:03:24stairs up to the bedrooms,
0:03:24 > 0:03:26a very interesting looking gas fire.
0:03:26 > 0:03:28It's a little bit dated,
0:03:28 > 0:03:32but all in all, I've not seen anything that frightens me yet!
0:03:32 > 0:03:34Apart from the orange colour scheme!
0:03:34 > 0:03:36Let's hope that when you peel back the paper,
0:03:36 > 0:03:40there are no nasty surprises!
0:03:40 > 0:03:42Well, so far so good!
0:03:42 > 0:03:46Ah well! I hadn't seen the kitchen!
0:03:46 > 0:03:49Yes, it's not huge and as you can see
0:03:49 > 0:03:53it is definitely in need of a bit of tender loving care.
0:03:53 > 0:03:57New tiles, new work surfaces, new units, new boiler for sure!
0:03:57 > 0:04:01But nothing that frightens me again too much.
0:04:01 > 0:04:02That's stuff you'd want to do.
0:04:02 > 0:04:06New kitchen, maybe 1,000 quid, 2,000 quid, whatever you want to do.
0:04:06 > 0:04:11Carrying on through, the back door. Again, very traditional layout
0:04:11 > 0:04:12for this kind of property.
0:04:12 > 0:04:14The loo, bathroom, is right at the back here,
0:04:14 > 0:04:17only accessed through the kitchen. In certain parts of the country,
0:04:17 > 0:04:19this may be an issue.
0:04:19 > 0:04:20However, around here,
0:04:20 > 0:04:23this is exactly what you would expect for this kind of property
0:04:23 > 0:04:27and talking to the estate agents, it isn't too much of an issue
0:04:27 > 0:04:31when it comes to selling it on or renting it out. It does need to be refurbished,
0:04:31 > 0:04:34but again, kitchens and bathrooms, you'd expect that.
0:04:34 > 0:04:38So, yeah, I'd go back to the point, it's not actually too scary at all!
0:04:38 > 0:04:41Upstairs in this mid-terrace,
0:04:41 > 0:04:43that had a guide price of £60,000 plus,
0:04:43 > 0:04:46you either turn left at the top of the stairs to the front
0:04:46 > 0:04:50or to the right to the rear bedroom.
0:04:51 > 0:04:53Both need a full makeover
0:04:53 > 0:04:58and I'm afraid the view from the back window is not the best.
0:04:58 > 0:05:01Well if you're expecting a large back garden,
0:05:01 > 0:05:03you are going to be a bit disappointed.
0:05:03 > 0:05:08You've literally just got this narrow strip.
0:05:08 > 0:05:10If it's a family home, it's bad news.
0:05:10 > 0:05:12If you're renting it out, it's actually good news.
0:05:12 > 0:05:15However, having said that, what's that?
0:05:19 > 0:05:22Oh! There's a little garage.
0:05:22 > 0:05:25There is actually a little lane at the rear of the property,
0:05:25 > 0:05:29so there's obviously access there to get a car in here.
0:05:29 > 0:05:33Clearly, this is in a right old state. In fact, it looks a bit dangerous.
0:05:33 > 0:05:35I won't stay in here too long! It's a very useful space.
0:05:35 > 0:05:40Either, replace it with something that isn't going to fall down in the first big gust of wind,
0:05:40 > 0:05:44or just clear it away and then you have got somewhere that you could put a bit of a garden in.
0:05:44 > 0:05:46Yeah, good news.
0:05:46 > 0:05:48# Knock it down, knock it down
0:05:48 > 0:05:49# Knock it down, knock it down
0:05:49 > 0:05:51# Yeah! #
0:05:51 > 0:05:54So a surprisingly spacious property.
0:05:54 > 0:05:57We asked a local estate agent to come and cast
0:05:57 > 0:05:59his eyes over it.
0:06:00 > 0:06:03How does it fit into the local housing market?
0:06:05 > 0:06:09There's good potential with this property. It needs updating,
0:06:09 > 0:06:11full modernisation
0:06:11 > 0:06:15but it's going to appeal, very much, to the rental market.
0:06:15 > 0:06:17And, how much rent could it generate?
0:06:17 > 0:06:21Once renovated, this property should command
0:06:21 > 0:06:25a rent of £450 per calendar month.
0:06:25 > 0:06:29There is a bit of an update required here but once complete,
0:06:29 > 0:06:32is there a demand for this type of property?
0:06:32 > 0:06:36How much could it be worth after a full refurbishment?
0:06:36 > 0:06:41Once renovated, I would suggest an asking price of £89,950.
0:06:46 > 0:06:51As far as I'm concerned, there is really nothing not to like about this house.
0:06:51 > 0:06:53It's in a good location if you were to rent it out.
0:06:53 > 0:06:56I think you could live here and almost move in as it is,
0:06:56 > 0:07:01although it would definitely benefit from a bit of tender loving care and upgrading.
0:07:01 > 0:07:04I like the high ceilings, I like the brick... Yeah, great one to go for.
0:07:04 > 0:07:07Let's see who agreed when it went under the hammer.
0:07:10 > 0:07:13Lot 43, this is in Basford, Stoke-on-Trent.
0:07:13 > 0:07:15What's this, 55 on this one.
0:07:16 > 0:07:2050, then. Start me at 50. 50 bid, thank you.
0:07:20 > 0:07:23At £50,000. I'll go in ones, if it helps.
0:07:23 > 0:07:25The bid's at 50 so far. 51,
0:07:25 > 0:07:3052, 53, 54, 55.
0:07:30 > 0:07:3456, 57, 58 now?
0:07:34 > 0:07:3858, at 58,000. 59,
0:07:38 > 0:07:4160, 61,
0:07:41 > 0:07:4462, 63...
0:07:44 > 0:07:49Shaking your head. 63, gentleman in red. At £63,000.
0:07:49 > 0:07:52Against you seated. 64?
0:07:52 > 0:07:56Yeah? 64, 65...
0:07:56 > 0:07:59No? At £65,000.
0:07:59 > 0:08:01Another one anywhere else?
0:08:01 > 0:08:04If not, I'm selling it at £65,000.
0:08:04 > 0:08:07For the first time at £65,000.
0:08:07 > 0:08:10For the second time, bid's left, no mistake.
0:08:10 > 0:08:13At £65,000, third and final time...
0:08:13 > 0:08:14Are we all done?
0:08:14 > 0:08:17Your lot, sir, well done.
0:08:17 > 0:08:22That final successful bid of £65,000 was made by Ken and his wife, Jill.
0:08:26 > 0:08:29The couple have bought the house as their first property investment.
0:08:29 > 0:08:32# It takes two, baby
0:08:32 > 0:08:35# It takes two, baby
0:08:35 > 0:08:37# It takes two. #
0:08:38 > 0:08:41Ken has been a builder for 40 years and runs his own business
0:08:41 > 0:08:45while Jill recently took early retirement from a nursing career.
0:08:45 > 0:08:50I met them back at the house to find out their plans.
0:08:50 > 0:08:53- Jill, Ken, good to meet you both. - Good to meet you.
0:08:53 > 0:08:56- Congratulations!- Yes. - You got yourself a house.
0:08:56 > 0:08:57Mmm, yeah.
0:08:57 > 0:08:59Tell me why you wanted to buy it?
0:08:59 > 0:09:02Erm, investments at the moment are really poor.
0:09:02 > 0:09:06We're getting no return on most of the money we've got
0:09:06 > 0:09:09and we decided that... I mean, I'm in the building trade.
0:09:09 > 0:09:13I've done loads and loads of these properties and never really had the time
0:09:13 > 0:09:19to actually do anything for myself but now Jill's taken retirement,
0:09:19 > 0:09:23she can look after the office side of this part of the business
0:09:23 > 0:09:27and she's very good on money and keeping records, making lists.
0:09:27 > 0:09:31- Jill, you've been drafted in?- Yes.
0:09:31 > 0:09:36- To set the business up in some ways, actually?- Yes, I been working full-time for 38 years
0:09:36 > 0:09:41and I just wanted to invest in some property and generate some income.
0:09:41 > 0:09:45- You know, so we do want to...- What were you doing until he retired?
0:09:45 > 0:09:47- I was a nurse.- Oh, right.
0:09:47 > 0:09:52Well I hope your professional qualifications as a nurse aren't needed too much in the job!
0:09:52 > 0:09:54What are you looking forward to?
0:09:54 > 0:09:58I'm going to have a go with Ken, I'm going to strip all the wallpaper
0:09:58 > 0:10:01and I'm going to get rid of that shed at the back
0:10:01 > 0:10:07and I look forward to picking up all the pieces and throwing it in the skip.
0:10:07 > 0:10:10- You're really going to get hands-on, are you?- Oh, yes, definitely.
0:10:10 > 0:10:14So Jill brings both admin and office skills to the project
0:10:14 > 0:10:19plus a hands-on approach, the ideal combination for their first investment property.
0:10:20 > 0:10:23So why this house then?
0:10:23 > 0:10:26We looked at it on the auction site
0:10:26 > 0:10:30and this area is quite near to the hospitals, town centre,
0:10:30 > 0:10:34even Keele University is not far away, Stoke University.
0:10:34 > 0:10:37- The station's not too far away, quite handy...- Stoke City...
0:10:37 > 0:10:41- ..and not a bad area. - Stoke City football club?
0:10:41 > 0:10:43Right, OK, are you fans by any chance?
0:10:43 > 0:10:46- Oh, yeah, big fans, yes. - Are you both big fans, then?
0:10:46 > 0:10:49I am a season ticket holder, Jill's, she's the statistician.
0:10:49 > 0:10:53She tells me where we are and what position we are when I come home.
0:10:53 > 0:10:56To see if this place will be a home win for Ken and Jill,
0:10:56 > 0:11:00I want to know what they plan to do with it.
0:11:01 > 0:11:06Strip it down, cure any little bits of damp that there may be,
0:11:06 > 0:11:10new kitchen, new bathroom, two new windows in the back
0:11:10 > 0:11:12and a new door.
0:11:12 > 0:11:15Basically, paint it all, new carpets in.
0:11:15 > 0:11:18We've not quite decided about the fires,
0:11:18 > 0:11:20maybe we'll do an open fire, maybe not.
0:11:20 > 0:11:23We'll see what we're doing. Otherwise, everything is more or less organised.
0:11:23 > 0:11:27No major structural changes, are you leaving the lay-out pretty much as it is
0:11:27 > 0:11:29with the kitchen back there and the toilet at the back?
0:11:29 > 0:11:35I think we'll have to alter the door position going into the kitchen. We may even put an arch there
0:11:35 > 0:11:37because it's difficult to get units on both sides.
0:11:37 > 0:11:41What are you doing at the back? You've got the sheddy thing
0:11:41 > 0:11:44and the courtyardy bit. What's the plans for that?
0:11:44 > 0:11:47Jill will pull that down and we'll burn the wood on our wood burner.
0:11:47 > 0:11:48Right, OK.
0:11:48 > 0:11:50We're going to leave it for parking.
0:11:50 > 0:11:52If people don't want to use it for parking,
0:11:52 > 0:11:54they've got a nice picnic, barbecue area at the back, anyway.
0:11:54 > 0:11:57Maybe clean the paving, see what they're like when the garage is gone.
0:11:57 > 0:12:01Tidy the yard up, it should look OK.
0:12:01 > 0:12:04What's the plan for it, are you going to rent it?
0:12:04 > 0:12:08We're going to keep our options open but, I think, in this climate,
0:12:08 > 0:12:11I think, the best thing to do is to try and rent it.
0:12:12 > 0:12:14Well they seem to have a strategy in place
0:12:14 > 0:12:17and with Ken's experience and contacts in the building trade,
0:12:17 > 0:12:21I reckon a five to £7,000 budget is doable.
0:12:21 > 0:12:24What about the timescale?
0:12:24 > 0:12:27I would think four to six weeks. It depends on my work, as well.
0:12:27 > 0:12:32If I get called off to do something that's more profitable, I'll go.
0:12:32 > 0:12:34We've got a holiday coming up...
0:12:34 > 0:12:36It's coming to ski time and we don't let anything stop that.
0:12:36 > 0:12:39- Oh, really, big fans of skiing? - We're big ski fans, yeah.
0:12:39 > 0:12:43- So no slippery slopes for this house?- No, no, I don't think so.
0:12:43 > 0:12:46I can't see any serious problems at all.
0:12:46 > 0:12:47I think it'll go quite smoothly.
0:12:47 > 0:12:52- Congratulations, good luck with it. - Thank you.- I look forward to seeing how you go.- Lovely to meet you.
0:12:52 > 0:12:55Lovely to meet you, too. Have fun skiing and have fun with the house!
0:12:57 > 0:13:01Well Ken and Jill obviously spotting a property ripe for transfer with this place
0:13:01 > 0:13:05but how will their new developing partnership get on?
0:13:05 > 0:13:08Will it make it into the Premier League
0:13:08 > 0:13:10or will they score an own goal with this place?
0:13:10 > 0:13:12You can find out, later in the show.
0:13:15 > 0:13:20I'm in rural Kent today, in the leafy market town of Faversham,
0:13:20 > 0:13:23which is rapidly becoming a popular commuter town
0:13:23 > 0:13:27with fast train links to London, taking just 70 minutes.
0:13:27 > 0:13:31Today's auction lot is in a fabulous location for commuters.
0:13:31 > 0:13:36It is so close to the train station that announcements can sometimes be heard from the platform.
0:13:36 > 0:13:38So if your 7:05 is running a little late,
0:13:38 > 0:13:42you can afford to take a more leisurely stroll to the station.
0:13:42 > 0:13:44So, perfect!
0:13:44 > 0:13:46It's here. It's a three bedroomed semi-detached house.
0:13:46 > 0:13:51It had a guide price of 170 to £180,000.
0:13:51 > 0:13:54Not only does it have ample off-street parking,
0:13:54 > 0:13:56it comes with a garage, is double glazed
0:13:56 > 0:13:59and has a good-sized front garden.
0:13:59 > 0:14:00So far, it's promising.
0:14:02 > 0:14:05Wow! Well the decor hits you between the eyes, that's for sure!
0:14:05 > 0:14:08That aside, though, you've got lots of space in here.
0:14:08 > 0:14:11You can see there's been central heating installed.
0:14:11 > 0:14:14It's terribly old-fashioned, I think you really need to come in here
0:14:14 > 0:14:18with a fresh, modern look and change, basically, everything.
0:14:18 > 0:14:22But, really good spaces. I love all the daylight coming through.
0:14:22 > 0:14:25I think the only redeeming feature, so far, are these lovely old doors,
0:14:25 > 0:14:28so you could try and preserve those.
0:14:28 > 0:14:32Perhaps change that fireplace because that's not really beautiful.
0:14:32 > 0:14:35You've got one reception room, two reception rooms.
0:14:35 > 0:14:36I know the kitchen's through here.
0:14:36 > 0:14:40Potentially, you could think about knocking through
0:14:40 > 0:14:44and having a lovely, big family space to the back. You've got beautiful views out to the garden.
0:14:44 > 0:14:47With a bit of money spending on it, and a bit of thought,
0:14:47 > 0:14:49this could be a really nice family house.
0:14:51 > 0:14:53It really screams of potential!
0:14:53 > 0:14:58The rooms are all a healthy size and the kitchen just needs a bit of updating.
0:14:58 > 0:15:00You might even be able to rescue some of the units.
0:15:00 > 0:15:06There's also a downstairs toilet and so far I'm loving what I see.
0:15:06 > 0:15:10I know I'm laughing, but I just can't get my head around this colour scheme.
0:15:10 > 0:15:15That is so blue! That aside, really lovely proportions up here.
0:15:15 > 0:15:18Again, big family rooms, a bathroom here.
0:15:18 > 0:15:21A fabulous bedroom to the back of the property,
0:15:21 > 0:15:24a really good size to the front and not even a box room.
0:15:24 > 0:15:27You'd easily get a double bed in the front bedroom there.
0:15:27 > 0:15:32Again, I suppose, once you've painted it all, a very big tick from me.
0:15:32 > 0:15:35# Don't sigh, don't cry
0:15:35 > 0:15:38# Bye, bye, blue... #
0:15:39 > 0:15:42Yes, say "bye-bye" to the blues and "hello"
0:15:42 > 0:15:47to a more contemporary colour scheme and the bedrooms will be immediately improved.
0:15:47 > 0:15:50It shouldn't cost an arm and a leg, either, just some elbow grease.
0:15:50 > 0:15:54Apart from a bit of a scrub, are there more adventurous ways
0:15:54 > 0:16:00of getting the most out of this property, guided at 170 to 180,000?
0:16:00 > 0:16:05What's the best way to add value to a property? Hot tub? No!
0:16:05 > 0:16:09Create a fabulous water feature in the garden? No!
0:16:09 > 0:16:12Add an extra bedroom?
0:16:12 > 0:16:16And, with this house, you can even think about creating a bedroom and bathroom.
0:16:16 > 0:16:19Now at the side return, and the garage here, could all be utilised
0:16:19 > 0:16:22and a precedent has already been set, which is good news
0:16:22 > 0:16:25because neighbours along here have already done that.
0:16:25 > 0:16:29My only concern is the end value, I would say around £350,000 here.
0:16:29 > 0:16:32You know, there is a ceiling price on this road
0:16:32 > 0:16:34so the new owner will have to crunch some figures
0:16:34 > 0:16:37before embarking on any kind of development here.
0:16:37 > 0:16:41Extensions not only extend the size of a house,
0:16:41 > 0:16:44they also extend the length of time it takes to turn it around.
0:16:44 > 0:16:48There are also other issues that could derail any over ambitious plans here.
0:16:48 > 0:16:52A lovely sunny garden out the back and it's huge!
0:16:52 > 0:16:57But something that might put buyers off is that you can see the train station.
0:16:57 > 0:17:00Now people may think noise could be a negative factor
0:17:00 > 0:17:06but you don't get any because the trains have almost stopped by the time they pull in.
0:17:06 > 0:17:10So, you get none of that ee-aw, ee-aw, ee-aw.
0:17:10 > 0:17:12One thing I would do, though, would be
0:17:12 > 0:17:16to put some planting here to shield that old car park behind.
0:17:16 > 0:17:19# Cover me
0:17:19 > 0:17:21# Come on in and cover me. #
0:17:21 > 0:17:23So, perhaps, some work to be done in the garden
0:17:23 > 0:17:30to improve the house's privacy but, again, not something that would be too tricky to sort out.
0:17:30 > 0:17:36All in all, I think this covers all the bases in terms of being a great family home.
0:17:36 > 0:17:38But, can you cover your costs on this place
0:17:38 > 0:17:42that was guided at 170 to 180,000?
0:17:42 > 0:17:46What does the local estate agent make of what's on offer here?
0:17:47 > 0:17:51This is a good semi-detached house in a great location
0:17:51 > 0:17:53and it just needs
0:17:53 > 0:17:55a complete refurbishment and redecoration.
0:17:55 > 0:17:57It's best not to overdevelop it.
0:17:57 > 0:18:01OK, so the estate agent doesn't think it needs an extension
0:18:01 > 0:18:04but what sort of resale figure could there be for this house,
0:18:04 > 0:18:07that was guided at 170 to 180,000?
0:18:09 > 0:18:12The value of this, once renovated, is going to be towards £300,000.
0:18:12 > 0:18:17Extended, will probably be towards £350,000.
0:18:17 > 0:18:20So with the build costs for an extension, the increase in value
0:18:20 > 0:18:23wouldn't generate a significant increase in profit.
0:18:23 > 0:18:27How could it fair on the rental market?
0:18:27 > 0:18:29If it's let out as a three-bedroomed house,
0:18:29 > 0:18:33it will be 750 to £800 per calendar month.
0:18:33 > 0:18:36Well it's not a looker of a house but it's functional
0:18:36 > 0:18:39and I think there's scope to add value here
0:18:39 > 0:18:42but don't forget the ceiling price of 350,000.
0:18:42 > 0:18:47The new owner will have to make sure their final spend does not exceed that.
0:18:47 > 0:18:51I think, an extension is a good idea as long as you don't overspend.
0:18:51 > 0:18:54I'd think about a modest addition here,
0:18:54 > 0:18:57turning this into a four-bed house, perhaps.
0:18:57 > 0:19:00Let's find out who fancied this challenge as we go to auction.
0:19:02 > 0:19:06Lot 46, 170 to start me.
0:19:06 > 0:19:10£170,000. 170, I have, and I should think so!
0:19:10 > 0:19:12And 180, 180, I have.
0:19:12 > 0:19:14190, Sir?
0:19:14 > 0:19:16200? 200, I have.
0:19:16 > 0:19:19And, 210. And, 220.
0:19:19 > 0:19:24225 and 226. 226, I'm bid.
0:19:24 > 0:19:28227? 227. 228?
0:19:28 > 0:19:30228 I'm bid and 229, is bid.
0:19:30 > 0:19:33230? 230 I have.
0:19:33 > 0:19:36231? No?
0:19:36 > 0:19:40At £231,000... That was a very definite "no".
0:19:40 > 0:19:44Well at 231,000, on my left hand side, the gentleman bid.
0:19:44 > 0:19:47Being sold for the first time at 231.
0:19:47 > 0:19:50At 231 for the second time.
0:19:50 > 0:19:55231,000, third and final time, are you all done?
0:19:55 > 0:19:57Sold at 231.
0:19:58 > 0:20:01That successful bid of 231,000,
0:20:01 > 0:20:0551,000 over the upper guide price, was made by Giles.
0:20:05 > 0:20:09He lives 40 minutes away with his wife, Rachel,
0:20:09 > 0:20:11and their two young children.
0:20:11 > 0:20:14Giles used to work in London, in insurance,
0:20:14 > 0:20:16but has recently been at stay-at-home dad.
0:20:16 > 0:20:20- Giles, lovely to meet you, congratulations. - Thank you very much.
0:20:20 > 0:20:22Tell me the story behind you buying this property?
0:20:22 > 0:20:26Well we've been looking for a couple of months to find somewhere to renovate.
0:20:26 > 0:20:29I've been at home looking after the children for a year,
0:20:29 > 0:20:30which has been hard work.
0:20:30 > 0:20:34- So what's your background?- I used to work in insurance, in London
0:20:34 > 0:20:37and basically did that for about ten years.
0:20:37 > 0:20:41Basically, decided when I was about 30, I didn't want to do that any more.
0:20:41 > 0:20:44So I've always been interested in property.
0:20:44 > 0:20:50I met my wife, we got married and we've been renovating a few houses to live in.
0:20:50 > 0:20:56We've self built a house and then I've taken a little bit of time off,
0:20:56 > 0:20:59over the last year, to look after the children.
0:20:59 > 0:21:04That's been too much like hard work, so we've decided to get back on the property ladder
0:21:04 > 0:21:06and have another go at doing a renovation.
0:21:06 > 0:21:08As far as the property developing goes,
0:21:08 > 0:21:11would you say you've learnt on the job, you've learnt along the way?
0:21:11 > 0:21:13Yeah, absolutely.
0:21:13 > 0:21:17My dad was always a bit of a "fix it up" kind of guy
0:21:17 > 0:21:21and I was always someone who wanted to get involved with what he was doing.
0:21:21 > 0:21:23I just learned as I've gone along.
0:21:23 > 0:21:28You know, we've always got specialist trades in to do specific things, electrics and gas.
0:21:28 > 0:21:33Actually, a lot of renovation and building work is muscle and grunt.
0:21:33 > 0:21:37And, er, if you can do that yourself, you can keep your costs down
0:21:37 > 0:21:40and, you know, hopefully make a bit of profit at the end of it.
0:21:40 > 0:21:43So you've got muscle and grunt, I've never heard of that before.
0:21:43 > 0:21:46That's how I'll think of you now, Giles with the muscle and grunt.
0:21:46 > 0:21:49# I want muscle! #
0:21:50 > 0:21:53Not only will Giles need a bit of muscle and grunt,
0:21:53 > 0:21:55he'll also need to do some juggling.
0:21:55 > 0:21:59His wife's a doctor and he'll need to take his children to and from nursery.
0:21:59 > 0:22:04But, at last, he has a chance to focus on his own work project.
0:22:04 > 0:22:07So let's talk about this property, where are you going to start with this?
0:22:07 > 0:22:09The first thing is to get some planning permission,
0:22:09 > 0:22:11put it into the local council.
0:22:11 > 0:22:16We're planning a substantial two-storey extension
0:22:16 > 0:22:19on the side of the house to create two bedrooms
0:22:19 > 0:22:22and a bathroom upstairs and some extra living space downstairs.
0:22:22 > 0:22:27Get that in and in the couple of months that it'll, hopefully, take that to go through,
0:22:27 > 0:22:32the focus will be on renovating this side of the existing property.
0:22:32 > 0:22:36Upstairs is really cosmetic, it doesn't look great at the moment.
0:22:36 > 0:22:39I don't think there's anything too much to worry about.
0:22:39 > 0:22:43Downstairs, there's a little bit more work to do and we're going to open it out a little bit
0:22:43 > 0:22:46and then, hopefully, that should be quite seamless.
0:22:46 > 0:22:49By the time that's finished, the planning permission will be through
0:22:49 > 0:22:54and we'll be able to, you know, move straight on with doing the extension.
0:22:54 > 0:22:59Then, you know, I'd estimate another four to five months after that,
0:22:59 > 0:23:01we'll be ready to go.
0:23:01 > 0:23:04Hopefully, you know, total project time about eight or nine months.
0:23:04 > 0:23:09- You're going to make it into a five-bedroom, two-bathroom house? - Yeah.
0:23:09 > 0:23:11What sort of money have you got to spend on it,
0:23:11 > 0:23:14it's all about keeping your costs down to get the profit at the end?
0:23:14 > 0:23:20We've got a total budget of around 60,000 for the renovation and the extension.
0:23:20 > 0:23:23At this moment, I would think that's probably going to be something
0:23:23 > 0:23:26like 40,000 for the extension,
0:23:26 > 0:23:30maybe 45, and 15 to 20 for the renovation.
0:23:30 > 0:23:33Giles hopes to sell the finished house
0:23:33 > 0:23:38and has crunched his numbers on the basis of a £350,000 valuation.
0:23:38 > 0:23:43How are you going to cope, in the coming months, with peeling wallpaper, builders,
0:23:43 > 0:23:47- nappy changing, potty training, perhaps because your little one is only one?- Yes, absolutely.
0:23:47 > 0:23:51You've still got all your daddy chores, your wife's busy at work.
0:23:51 > 0:23:53How are you going to manage?
0:23:53 > 0:23:56I've got a few hours each day when I'm here on my own,
0:23:56 > 0:24:02there's no crying babies, there's no wife asking me to do any jobs or chores.
0:24:02 > 0:24:05I'll be quite happy. I've been looking forward to doing this for awhile.
0:24:05 > 0:24:07Is this going to be your downtime?
0:24:07 > 0:24:11Exactly, yeah, property development for a bit of R&R.
0:24:11 > 0:24:16- I love it! Giles, good luck and I hope it goes really well. Lovely to meet you.- And you, thank you.
0:24:16 > 0:24:19# Daddy, daddy cool
0:24:19 > 0:24:23# Daddy, daddy cool
0:24:23 > 0:24:26# Daddy, daddy cool... #
0:24:27 > 0:24:31Will full-time dad, Giles, go potty for this project
0:24:31 > 0:24:35and has he got the bottle to hold out for the maximum value here?
0:24:35 > 0:24:39One thing's for sure, those sleepless nights are not going to get any easier.
0:24:39 > 0:24:44Good luck, Giles, we'll be back later in the programme to see how he gets on.
0:24:45 > 0:24:46Still to come, in Cumbria,
0:24:46 > 0:24:50this three-bed house has a problem that's hard to ignore.
0:24:50 > 0:24:54The gable end wall of the house is actually bowing out.
0:24:55 > 0:24:59In Kent, how did combining in fatherhood with renovation go?
0:24:59 > 0:25:02Picking up children and, you know, having to come back to earth
0:25:02 > 0:25:04with a bit of a bump at the end of each day has been great.
0:25:06 > 0:25:11But, first, in Staffordshire, did Ken and Jill's experience leave her thirsty for more?
0:25:11 > 0:25:14I soon found out that perhaps this is not my cup of tea.
0:25:18 > 0:25:22Back now to Basford, Stoke-on-Trent, where earlier in the programme
0:25:22 > 0:25:27Ken and his wife, Jill, bought this two-bed mid-terrace for 65,000.
0:25:29 > 0:25:32It was their first auction purchase.
0:25:32 > 0:25:37Ken runs his own building company and Jill had retired after 38 years of nursing.
0:25:39 > 0:25:42What are you going to do, then, to sort it out?
0:25:42 > 0:25:44Er, strip it down,
0:25:44 > 0:25:47obviously cure any little bits of damp that there may be.
0:25:47 > 0:25:50New kitchen, new bathroom...
0:25:50 > 0:25:53What's the plan for it, are you going to rent it out or sell it?
0:25:53 > 0:25:56We're going to keep our options open but, I think, in this climate,
0:25:56 > 0:26:00I think the best thing to do is to try and rent it.
0:26:02 > 0:26:05Well, it's now three months later.
0:26:07 > 0:26:10And, the house is ready to rent out.
0:26:11 > 0:26:13The bay fronted living room walls
0:26:13 > 0:26:16and carpet have a neutral colour scheme.
0:26:19 > 0:26:21A new door has been fitted to the dining room.
0:26:24 > 0:26:28So from orange and green to magnolia and gloss white.
0:26:28 > 0:26:33And, the new fireplace adds a great homely touch.
0:26:33 > 0:26:37But there have been some major damp issues that needed to be treated throughout.
0:26:40 > 0:26:43The entrance to the kitchen is now through an arch.
0:26:45 > 0:26:48The new units and appliances look really good but the damp
0:26:48 > 0:26:53was only the start of the problems in the kitchen, as Ken explains.
0:26:53 > 0:26:57When we bought the house we realised that the kitchen was the worst part
0:26:57 > 0:27:01of the house, really. Everything was shot, boiler, kitchen units, window.
0:27:01 > 0:27:04We totally stripped it out.
0:27:04 > 0:27:07We realised straight away that the fact that we could do with
0:27:07 > 0:27:09the cooker on one side, the fridge on the other
0:27:09 > 0:27:13because there wasn't really enough room to put both on the same side.
0:27:13 > 0:27:16We needed to centre this opening up here.
0:27:16 > 0:27:19We centred it up and we thought putting an arch in would give us
0:27:19 > 0:27:22a little bit more light into that room there.
0:27:22 > 0:27:24I think it's worked really well.
0:27:24 > 0:27:27The grey flooring continues into the bathroom
0:27:32 > 0:27:35A new window and suite have gone in there.
0:27:41 > 0:27:46The damp issues continued upstairs where Ken has replastered the two bedrooms.
0:27:48 > 0:27:50New doors have been installed.
0:27:50 > 0:27:53And, the wardrobes removed from the front bedroom.
0:27:55 > 0:27:59It looks fresh, clean and modern, thanks to Ken and Jill's teamwork.
0:27:59 > 0:28:03I think he's done wonderfully well.
0:28:03 > 0:28:05I think he's very good at what he does.
0:28:06 > 0:28:09I really stepped up a gear when it came to the cleaning
0:28:09 > 0:28:13and organising the carpets and making all the phone calls.
0:28:13 > 0:28:17But, he's done most of the work.
0:28:18 > 0:28:23But it seems Ken had his work cut out trying to fix some exterior problems as well.
0:28:23 > 0:28:26We had problems, the roof, the wall plate was rotten
0:28:26 > 0:28:31and I had to put scaffolding along the back, take the rotten wood out, replace it
0:28:31 > 0:28:36and put an overhang on the roof, retiled it's a heck of a lot better.
0:28:36 > 0:28:39Also, there were no lintels over the windows.
0:28:41 > 0:28:43It didn't take much to demolish that old garage,
0:28:43 > 0:28:46it was practically falling down.
0:28:46 > 0:28:49Now the paving slabs have been cleaned up,
0:28:49 > 0:28:52the outside does look much tidier.
0:28:52 > 0:28:54What's left to do?
0:28:54 > 0:28:59We've pulled everything down round. I've just got to put a pair of gates on the back there.
0:28:59 > 0:29:03We, obviously, re-rendered the outside, altered the drain a little bit.
0:29:03 > 0:29:06Yeah, I'm quite happy as it is now at the moment.
0:29:06 > 0:29:09With Ken's 40 years of building experience,
0:29:09 > 0:29:11nothing fazed him about the work here.
0:29:11 > 0:29:16What about Jill, did she enjoy her first development project?
0:29:18 > 0:29:21Started off really, really enthusiastic,
0:29:21 > 0:29:24and then I soon found out that perhaps this is not my cup of tea.
0:29:26 > 0:29:29I don't think it's something I'd do full time.
0:29:29 > 0:29:31I do want to go back to work.
0:29:31 > 0:29:33With the damp issues to sort out,
0:29:33 > 0:29:37Ken spent a lot more time here than he intended.
0:29:37 > 0:29:40In the end, to speed things up, he got some extra help.
0:29:40 > 0:29:45But what effect did that have on the budget of £5,000-7,000?
0:29:46 > 0:29:48Because the time was dragging on,
0:29:48 > 0:29:50we decided to get a decorator in.
0:29:50 > 0:29:53So, budget wise,
0:29:53 > 0:29:56plus with the decoration we were intending to do ourselves,
0:29:56 > 0:29:58that pushed the budget up a bit.
0:29:58 > 0:30:03An odd few things like the roof, possibly gone now about 9,000.
0:30:03 > 0:30:08So, on this, their first development project, added to the £65,000
0:30:08 > 0:30:10they spent at auction,
0:30:10 > 0:30:13that takes their total outlay to 74,000.
0:30:13 > 0:30:18Time to see if two local estate agents will think the work here
0:30:18 > 0:30:19has been worthwhile.
0:30:19 > 0:30:22I think they've done a good job with the kitchen.
0:30:22 > 0:30:24It's got nice, neutral units.
0:30:24 > 0:30:26The flooring's been tiled, which is a good positive,
0:30:26 > 0:30:28and it's nice, neutral colours.
0:30:28 > 0:30:31Opening up the kitchen using an archway rather than a door
0:30:31 > 0:30:33is a great idea.
0:30:33 > 0:30:35It gives a feeling of space rather than opening
0:30:35 > 0:30:37and shutting doors all the time.
0:30:37 > 0:30:39I think the bathroom's nice and neutral,
0:30:39 > 0:30:41the suite's plane white, nice tiled floor,
0:30:41 > 0:30:44and it'll appeal to everyone.
0:30:44 > 0:30:47Ken and Jill have invested £74,000 here,
0:30:47 > 0:30:52and the estate agents reckon a resale could achieve between 80 and 83,000,
0:30:52 > 0:30:57giving the couple a potential gross profit of between 6 and 9,000.
0:30:57 > 0:31:00That's a small profit, which Ken and Jill feel is indicative
0:31:00 > 0:31:02of the current housing market.
0:31:02 > 0:31:04How do the rental figures look?
0:31:06 > 0:31:07If we were renting the property,
0:31:07 > 0:31:12we would be asking a figure somewhere in the region of
0:31:12 > 0:31:14£475 per calendar month.
0:31:14 > 0:31:17I'd put this property on the market, per calendar month, at £425.
0:31:17 > 0:31:23- I think 475 is more accurate. - 475 is what we were hoping for. Yes.
0:31:23 > 0:31:26So, we're fine with that, aren't we?
0:31:26 > 0:31:27Yeah.
0:31:27 > 0:31:31So, rental is definitely the way to go, with yields of around
0:31:31 > 0:31:337-8% possible here.
0:31:33 > 0:31:37This house was hiding a few nasty surprises with that damp,
0:31:37 > 0:31:41but Ken's years of experience in the building trade were invaluable.
0:31:41 > 0:31:44What's next for the couple? Another refurbishment?
0:31:44 > 0:31:47- THEY LAUGH - Erm...
0:31:47 > 0:31:51Jill doesn't want a property with as much work to do.
0:31:51 > 0:31:54It didn't really surprise me in many ways,
0:31:54 > 0:31:57but there was a lot of work that needed doing.
0:31:57 > 0:31:58A lot of work that was hidden.
0:31:58 > 0:32:01Preferably something that's brand new
0:32:01 > 0:32:04and doesn't need any work doing to it!
0:32:06 > 0:32:10I'm 30 minutes from Carlisle in the market town of Wigton.
0:32:10 > 0:32:12Now, in medieval times,
0:32:12 > 0:32:15this triangular market square was the centre of the village.
0:32:15 > 0:32:19It used to have a wooden cross, now there's this rather elaborate fountain.
0:32:19 > 0:32:22# Just try a little wig-wam bam. #
0:32:22 > 0:32:25Wigton's a thriving little market town,
0:32:25 > 0:32:29and regular livestock auctions mean that it's a hub
0:32:29 > 0:32:31for the local agricultural community.
0:32:33 > 0:32:35# Wig-wam, bam, sham-a-lam. #
0:32:36 > 0:32:41Well, right in the centre of town, opposite a pay and display car park, is the property I'm here to see.
0:32:41 > 0:32:43Now, it is ironic that it's opposite that car park,
0:32:43 > 0:32:48because in terms of parking right outside the house, you can't, cos you've got this double-yellow line.
0:32:48 > 0:32:50But this is it - it's a three-bedroom town house.
0:32:50 > 0:32:52Had a guide price of 60,000 quid.
0:32:52 > 0:32:57Rather interesting bit of excavation work's going on next door, but I'll come back to that.
0:32:57 > 0:32:59For now, let's take a look inside.
0:33:00 > 0:33:02Well, it's a nice start. Look at that front door.
0:33:02 > 0:33:05Get that cleaned up, that would be beautiful.
0:33:05 > 0:33:08But, through there, into this little entrance area,
0:33:08 > 0:33:10got a useful storage space.
0:33:10 > 0:33:12A living room area off to the left,
0:33:12 > 0:33:14stairs up to the bedrooms,
0:33:14 > 0:33:17and then another living area over to the right-hand side, here.
0:33:17 > 0:33:19I like that there's reasonable-height ceilings.
0:33:19 > 0:33:22It doesn't feel too claustrophobic, which is good.
0:33:22 > 0:33:25And double glazing, so not too much noise from the road.
0:33:25 > 0:33:29One negative straightaway - storage radiators, and very old ones at that.
0:33:29 > 0:33:34So, central heating is something you're going to have to factor in to your costs.
0:33:34 > 0:33:35But then, through to the kitchen,
0:33:35 > 0:33:38and I think there's some internal work needed here.
0:33:38 > 0:33:42There is a sort of larder/storage cupboard there.
0:33:42 > 0:33:46Get rid of that to create a bit more space.
0:33:46 > 0:33:48There's an understairs area there.
0:33:48 > 0:33:51I'm thinking, make that into, maybe, a downstairs loo.
0:33:51 > 0:33:53Building regulations changed, so you only need one door between a loo
0:33:53 > 0:33:58and a kitchen nowadays, so stick a downstairs loo in there.
0:33:58 > 0:34:01And then the kitchen itself, well, as you can see,
0:34:01 > 0:34:04it's very dated and old.
0:34:04 > 0:34:05Yeah, it needs a bit of work.
0:34:05 > 0:34:10Something a bit radical you might want to consider is taking out this wall here.
0:34:10 > 0:34:12It is a supporting wall, so you have to make sure you do it properly.
0:34:12 > 0:34:17But then, open this whole area out into a big, sort of open-plan feel.
0:34:17 > 0:34:20That would be fairly dramatic.
0:34:20 > 0:34:24So, all-in-all, as ground floors go, pretty good.
0:34:27 > 0:34:30There are certainly options here, but knocking down supporting walls
0:34:30 > 0:34:33and plumbing in a new loo won't come cheap.
0:34:33 > 0:34:35You might be better off just updating what's here,
0:34:35 > 0:34:39because on the first floor, there's a bit of work to do, too.
0:34:39 > 0:34:42The three bedrooms up here could all do with new carpets
0:34:42 > 0:34:44and redecorating.
0:34:44 > 0:34:48And, as for the family bathroom, well, it's a good size,
0:34:48 > 0:34:50but that could also do with a revamp.
0:34:50 > 0:34:55I'm a little concerned by this big crack in the bedroom ceiling.
0:34:55 > 0:34:58I hope a quick peek in the attic will shed some light on the matter.
0:34:58 > 0:35:00HE GROANS
0:35:00 > 0:35:03Well, whenever you're looking round properties,
0:35:03 > 0:35:07it's always really useful if you can take a look inside the loft space.
0:35:07 > 0:35:10It's what surveyors do, so you should take a leaf from their book.
0:35:10 > 0:35:14Some people do carry around portable ladders so they can do exactly that,
0:35:14 > 0:35:16because this is the sort of thing you might find.
0:35:16 > 0:35:21Up here in this little attic space, a very strange sort of room.
0:35:21 > 0:35:22It's got some carpet tiles.
0:35:22 > 0:35:24It's obviously been semi-converted,
0:35:24 > 0:35:27but obviously does not meet any kind of building regulations,
0:35:27 > 0:35:28and could only be used for storage.
0:35:28 > 0:35:30But something much more worrying...
0:35:30 > 0:35:33Um, look at this. This is called a purlin.
0:35:33 > 0:35:37It's a majorly important structural part of the roof,
0:35:37 > 0:35:41and it has been cut, basically, in half,
0:35:41 > 0:35:44to give access through the loft hatch, here.
0:35:44 > 0:35:46The kind of weakening of the structure of the roof
0:35:46 > 0:35:49that's gone on there, heaven only knows.
0:35:49 > 0:35:53And it's also been done there, so clearly not ideal at all,
0:35:53 > 0:35:56and I would certainly want to get a structural engineer
0:35:56 > 0:35:59to check that out and tell you what needs to be done to fix it.
0:36:00 > 0:36:02There's always the risk
0:36:02 > 0:36:06that there isn't enough support for this kind of ad-hoc loft conversion,
0:36:06 > 0:36:10so you'd be wise to get the structure thoroughly checked.
0:36:10 > 0:36:12And if you thought the cracks in the bedroom were bad,
0:36:12 > 0:36:15I'm afraid that there's more cause for concern outside.
0:36:15 > 0:36:20Well, as I noticed when I first arrived at the property, right by the side of it
0:36:20 > 0:36:22is this huge great excavation.
0:36:22 > 0:36:25It looks like they're putting in the foundations to build
0:36:25 > 0:36:27some kind of a house. I'd want to know what that is,
0:36:27 > 0:36:30so check that out with the local planners. But while I'm here,
0:36:30 > 0:36:34I've also noticed the gable end wall of the house...
0:36:34 > 0:36:37I don't know if you can see it, but it is actually bowing out this way,
0:36:37 > 0:36:40and there's a really nasty crack there.
0:36:40 > 0:36:45So, I don't know if this digging has had some effect on the house itself,
0:36:45 > 0:36:47but I'd certainly want a structural engineer
0:36:47 > 0:36:49to check that out before I did anything.
0:36:51 > 0:36:53But it's not all doom and gloom out here,
0:36:53 > 0:36:56because while there are double-yellows at the front
0:36:56 > 0:37:01and a big hole at the side of the property, it's a different matter at the back.
0:37:01 > 0:37:04Well, thankfully, there is a resolution
0:37:04 > 0:37:07to those parking problems, here, at the rear of the property.
0:37:07 > 0:37:09Not only have you got a small garden,
0:37:09 > 0:37:12there is rear access through this gate, here,
0:37:12 > 0:37:15to a place where you could easily park two cars.
0:37:15 > 0:37:18That makes a big difference.
0:37:19 > 0:37:23The property went to auction with a guide price of 60,000.
0:37:23 > 0:37:28We asked along a local estate agent to give us his thoughts.
0:37:28 > 0:37:30My first impressions of the house
0:37:30 > 0:37:33are that there are a good number of rooms, each of a good size.
0:37:33 > 0:37:36However, I believe the property requires refurbishment throughout.
0:37:36 > 0:37:41What kind of price tag would he put on the property once refurbished?
0:37:41 > 0:37:43Once renovated to a good standard,
0:37:43 > 0:37:47I believe this property would be worth around £95,000.
0:37:48 > 0:37:51And what about putting the property on the rental market?
0:37:51 > 0:37:54Once the property's been refurbished to decent standard
0:37:54 > 0:37:58it could be let out at £400 per calendar month.
0:37:58 > 0:38:01You certainly couldn't wish for a more centrally located property
0:38:01 > 0:38:03and a lot of space for the money.
0:38:03 > 0:38:06Let's see who fancied it when it went under the hammer.
0:38:09 > 0:38:11Lot 22. Who will put me in at 60?
0:38:11 > 0:38:13Let's see 60 for this.
0:38:13 > 0:38:1550, get me started.
0:38:15 > 0:38:1850 I've got. At £50,000 we're away.
0:38:18 > 0:38:20I'll take 51.
0:38:20 > 0:38:2251 I've got. 52...
0:38:22 > 0:38:2353...
0:38:23 > 0:38:2654...55...
0:38:26 > 0:38:2756...
0:38:27 > 0:38:3057...58...
0:38:30 > 0:38:32Shake of the head.
0:38:32 > 0:38:34At £57,000.
0:38:34 > 0:38:3658...
0:38:36 > 0:38:3959, shake of the head. It's with you at 58.
0:38:39 > 0:38:42At £58,000 I'm selling it.
0:38:43 > 0:38:45At £58,000 for the first time,
0:38:45 > 0:38:48at £58,000 for the second time,
0:38:48 > 0:38:52at £58,000 then, third and final time.
0:38:52 > 0:38:54All done. Sold, madam, well done.
0:38:56 > 0:39:01That successful bid of £58,000 was made by local lass Sheila
0:39:01 > 0:39:04who attended the auction with her sister Kathleen.
0:39:04 > 0:39:07Now, Sheila knows her silverside from her sirloin
0:39:07 > 0:39:10because not only does she run the restaurant and bar
0:39:10 > 0:39:11at the local cattle market
0:39:11 > 0:39:15but she also keeps the books for her husband, who is a butcher.
0:39:15 > 0:39:19I met Sheila back the property to hear about her plans.
0:39:19 > 0:39:22- Sheila, lovely to meet you. Congratulations!- Thank you.
0:39:22 > 0:39:24Tell me why you wanted to buy this place.
0:39:24 > 0:39:27I'd been looking to buy a property to do up.
0:39:27 > 0:39:30I've been looking at one or two and this came on the market
0:39:30 > 0:39:32and I thought it would be a good buy.
0:39:32 > 0:39:34What was it about it that you particularly liked?
0:39:34 > 0:39:38- I used to live next door. - Next door?!- Yes.- Which way?
0:39:38 > 0:39:41- Not in the hall!- Right! - THEY LAUGH
0:39:41 > 0:39:44- No, the house, me parents owned the house next door.- Oh, OK.
0:39:44 > 0:39:46- So, what was in that hole before? - A butcher's shop.
0:39:46 > 0:39:48- Oh, OK.- Me dad built it.
0:39:48 > 0:39:50So, hang on a minute,
0:39:50 > 0:39:52- your dad built the shop that used to be next door...- Yes.
0:39:52 > 0:39:56- ..which was a butchers shop? - He bought the house when I was 15...- Right.
0:39:56 > 0:39:59- ..and he built a butcher's shop in the garden.- So, how long did the shop operate for?
0:39:59 > 0:40:01Oh...
0:40:01 > 0:40:03- Many years?- Many years. - When did it stop?
0:40:03 > 0:40:05Well, my dad died and my brother took it over,
0:40:05 > 0:40:07and he closed it about four year ago.
0:40:07 > 0:40:10Right, but up until four years ago it was a going,
0:40:10 > 0:40:13- going concern in a butcher's. - Yeah, and then he closed it
0:40:13 > 0:40:17- and sold the site to my other brother who's a builder.- Ha!
0:40:17 > 0:40:18Wow!
0:40:20 > 0:40:22Ha, butchers, builders -
0:40:22 > 0:40:24I wonder if there is a candlestick maker in the family!
0:40:24 > 0:40:27But, joking aside, it'll be a big help to Sheila
0:40:27 > 0:40:32to know exactly what's going on in the hole in the ground next door.
0:40:33 > 0:40:35'I've told him to hurry up and fill it in!'
0:40:35 > 0:40:39- THEY LAUGH - Because he's your brother...- Yeah. - ..you can tell him that!- Yeah.
0:40:39 > 0:40:43- What's he doing to the place? - He's building four townhouses.- Right.
0:40:43 > 0:40:45- Hm-mm.- And will they actually adjoin this building?
0:40:45 > 0:40:48No, there'll be a two inch gap so it'll protect my gable end.
0:40:48 > 0:40:51Yeah, now, let's come onto the gable end cos it is a bit wonky, isn't it?
0:40:51 > 0:40:55Yeah, yeah. I might do something with it before he starts building.
0:40:55 > 0:40:58- I'll get a builder to look at it and see if I need to.- Are you concerned?
0:40:58 > 0:41:01- Cos it concerned me a little bit.- No.
0:41:01 > 0:41:04- I've had structural engineer look over it.- What did he say?
0:41:04 > 0:41:06Erm, not too much concern, no.
0:41:06 > 0:41:09While your engineer was here, did he stick his head into the loft?
0:41:09 > 0:41:12- Yes, that was the main reason I got him here!- You know about that then?
0:41:12 > 0:41:15Yeah, yeah, I knew before I bought it.
0:41:15 > 0:41:19- He's not too concerned about that either.- What does he think you can do to sort that out?
0:41:19 > 0:41:23Er, maybe some steel structures, just to strengthen it.
0:41:24 > 0:41:28Well, that's a big relief because I was worried that this house
0:41:28 > 0:41:30might have serious structural issues.
0:41:30 > 0:41:34What has Sheila got in store for the rest of the property?
0:41:34 > 0:41:36Maybe keep the carpet!
0:41:36 > 0:41:37- SHE LAUGHS - Yeah, lovely!
0:41:37 > 0:41:40It's a good carpet!
0:41:40 > 0:41:43Oh, really? Yes, it is, it's amazing how they last, these carpets.
0:41:43 > 0:41:46- Yeah, no, I'll put a wood floor. - Put a wood floor down, OK!
0:41:46 > 0:41:50No, I'll laminate this room and the kitchen.
0:41:50 > 0:41:53- The cupboard in the kitchen is to come out.- Right.
0:41:53 > 0:41:56- And just redecorate.- Any, sort of, structural alterations down here?
0:41:56 > 0:41:58Taking out any walls or...
0:41:58 > 0:41:59No, no.
0:41:59 > 0:42:02If I was going to live in it I would have maybe taken that wall out.
0:42:02 > 0:42:05- Right.- But I'm not, so... - So, it's to be rented, is it?- Yeah.
0:42:05 > 0:42:07- Yeah, it's just to rent. - And upstairs?
0:42:07 > 0:42:12- New bathroom and just redecorate. - So, who gets to do the work?
0:42:12 > 0:42:17I've got to local people that...I've got lined up.
0:42:17 > 0:42:19And me and my sister will do some as well.
0:42:19 > 0:42:22- Right, what bits do you get involved in?- Well, she can strip this off!
0:42:22 > 0:42:25Oh, great, give her the woodchip! Well, that's great!
0:42:25 > 0:42:28- You love your sister, obviously! - Yeah!- What's the, sort of, budget?
0:42:28 > 0:42:31I would like to do it for ten, but I don't think I will.
0:42:31 > 0:42:35- Up to 15.- Right, and that doesn't include doing the gable end
0:42:35 > 0:42:40- if you have to do something there? - Erm...we'll wait and see.
0:42:40 > 0:42:42- And kind of timescale? - Erm, two-and-a-half months.
0:42:42 > 0:42:44- Well, listen, congratulations, well done.- Thank you.
0:42:44 > 0:42:47- I look forward to seeing how you get on.- Thank you.
0:42:47 > 0:42:54Well, Sheila obviously has incredible family ties with this place, what a great story.
0:42:54 > 0:42:56And with the brother digging next door,
0:42:56 > 0:42:58hopefully, the problems with the gable end will be sorted,
0:42:58 > 0:43:00as will those in the roof.
0:43:00 > 0:43:04Will she manage to serve up a tidy profit on this one
0:43:04 > 0:43:07as well as those meals at the auctions?
0:43:07 > 0:43:09You can find out later in the show.
0:43:12 > 0:43:14Renovating can be a time-consuming undertaking.
0:43:14 > 0:43:18Yes, especially if things don't quite go to plan.
0:43:18 > 0:43:21Let's see if our buyers' dreams have turned into reality.
0:43:23 > 0:43:26Back now to Faversham, in Kent,
0:43:26 > 0:43:29to check on progress at this three-bed semi.
0:43:29 > 0:43:33Part-time property developer and full-time stay at home dad Giles
0:43:33 > 0:43:37bought it at auction for 231,000.
0:43:37 > 0:43:39When he wasn't looking after his two kids,
0:43:39 > 0:43:41Giles's plan was to extend the property,
0:43:41 > 0:43:44turning it into a five-bedroom family home
0:43:44 > 0:43:48and he wasn't going to shy away from rolling up his sleeves either!
0:43:48 > 0:43:52You know, a lot of renovation and building work is muscle and grunt
0:43:52 > 0:43:55and, you know, if you can do that yourself
0:43:55 > 0:43:57you can keep your costs down and hopefully,
0:43:57 > 0:43:59you know, make a bit of profit at the end of it.
0:43:59 > 0:44:02- "Muscle and grunt"? I love it. I've never heard of that before.- No skill!
0:44:02 > 0:44:06That's how I'm going to think of you now, Giles, with the, "muscle and grunt"!
0:44:06 > 0:44:11Giles had a budget of 60,000 and an eight to nine-month timescale.
0:44:11 > 0:44:15I really couldn't wait to see the fruits of all that, "muscle and grunt".
0:44:15 > 0:44:18So, nine-and-a-half months after our first visit
0:44:18 > 0:44:20we're back to reveal all.
0:44:20 > 0:44:26# Give me all your loving All your hugs and kisses too
0:44:29 > 0:44:34# Give me all your loving Don't let up until we're through. #
0:44:36 > 0:44:38Well, there's still a bit to do
0:44:38 > 0:44:43but Giles reckons that within two or three weeks he'll have the whole place shining like a new pin.
0:44:43 > 0:44:46It's clear to see, however, that he's well on the way
0:44:46 > 0:44:50to turning a rather tired semi into a belter of a family home.
0:44:51 > 0:44:55We have, erm, extended the property extensively
0:44:55 > 0:44:59so we are now five bedrooms, two bathrooms, two reception rooms.
0:44:59 > 0:45:03Erm, we've updated the original part of the house
0:45:03 > 0:45:06and, yeah, really pleased with what we've done so far.
0:45:07 > 0:45:10The crowning glory has to be the new dining kitchen,
0:45:10 > 0:45:14which is a BIG improvement on the old kitchen and loo that were here before.
0:45:16 > 0:45:18Well, this space was originally the kitchen.
0:45:18 > 0:45:21Erm, obviously, quite a small kitchen at that stage.
0:45:21 > 0:45:27What we've done is taken out a wall to create a much larger kitchen.
0:45:27 > 0:45:29Then here was originally the outside of the house
0:45:29 > 0:45:31and we've taken this wall out as well,
0:45:31 > 0:45:34and I think what we've created is a really nice kitchen diner,
0:45:34 > 0:45:39come family room, that, hopefully, will really be the heart of the home.
0:45:41 > 0:45:44Apart from the ground works, bricklaying, plumbing and electrics,
0:45:44 > 0:45:48for the most part, Giles has been working here on his own.
0:45:48 > 0:45:52Were there any significant problems along the way?
0:45:52 > 0:45:55The only really, you know, difficult part of the job that we found
0:45:55 > 0:45:57was a drain that we had to move.
0:45:57 > 0:46:00That ended up being pretty deep down in the ground
0:46:00 > 0:46:04and so by the time we'd dug it out and then to re-fill the hole up with concrete,
0:46:04 > 0:46:10that did cause us to overrun a little bit on the budget for the ground works.
0:46:10 > 0:46:14But, actually, apart from that, we've had no real major issues.
0:46:18 > 0:46:22Giles hopes to bring the build in just a month or so behind schedule,
0:46:22 > 0:46:25which isn't bad considering how much he's done here.
0:46:25 > 0:46:28But how has he fared on the budget front?
0:46:28 > 0:46:30The original budget was 60,000.
0:46:30 > 0:46:33We've gone over that by a little bit
0:46:33 > 0:46:36but, maybe, only something like 10, 15,000
0:46:36 > 0:46:40but, actually, a lot of that will go on the finish at the end.
0:46:40 > 0:46:45Things like granite worktops that we're going to put in, and carpet,
0:46:45 > 0:46:48and, you know, the finishes around the property.
0:46:49 > 0:46:52And how did it go with juggling a house build
0:46:52 > 0:46:56as well as looking after two kids while his wife, Rachel, was working as a doctor?
0:46:56 > 0:46:58It worked out really well because, you know,
0:46:58 > 0:47:01it's hard work doing project like this and, actually,
0:47:01 > 0:47:03having the natural break at the end of the day
0:47:03 > 0:47:05to go and pick the children up
0:47:05 > 0:47:07has actually meant that I have, sort of, got out and got home,
0:47:07 > 0:47:10and had time to, sort of, think about something else.
0:47:10 > 0:47:13Because, actually, if you are trying to do this day in day out
0:47:13 > 0:47:18there is a, sort of, physical limit, really, on how much you can do.
0:47:18 > 0:47:19So, actually picking up the children
0:47:19 > 0:47:24and having come back to earth with a bit of a bump at the end of each day has been great.
0:47:27 > 0:47:32And the really welcome news is that Giles has already had a good offer on the property.
0:47:32 > 0:47:34Somebody knocked on the door
0:47:34 > 0:47:36and told me that they used to live in the house opposite
0:47:36 > 0:47:39and, you know, could they come in and have a look around.
0:47:39 > 0:47:42And the gentleman said that, you know, this property,
0:47:42 > 0:47:45you know, thinks it's exactly what his daughter's looking for,
0:47:45 > 0:47:48so he brought her back the next day, she loved it
0:47:48 > 0:47:50and it's snowballed from there, really.
0:47:50 > 0:47:53And they've made an offer and, you know, we've accepted it.
0:47:53 > 0:47:55So, it's been great, really.
0:47:57 > 0:48:00So, given his purchase price of 231,000,
0:48:00 > 0:48:04plus the 75,000, or so, that he'll have spent on the renovations,
0:48:04 > 0:48:10Giles's total outlay on the project is around 306,000.
0:48:10 > 0:48:13We asked to local estate agents for their views
0:48:13 > 0:48:14on this transformed house.
0:48:16 > 0:48:20I'm amazed that this house, how this has been extended, it works so well.
0:48:20 > 0:48:22There's a lot of additional space been added.
0:48:22 > 0:48:25Absolutely fantastic house. There's a lot of accommodation space here.
0:48:25 > 0:48:27A very good family home.
0:48:28 > 0:48:31The estate agents agreed that the house could rent out
0:48:31 > 0:48:35for between £1,200 and £1,300 per calendar month,
0:48:35 > 0:48:36a yield of nearly five percent.
0:48:37 > 0:48:41But Giles has already accepted an offer to purchase the property
0:48:41 > 0:48:45but what should it fetch on the resale market?
0:48:45 > 0:48:50I could sell this property in the market for £380-£400,000.
0:48:50 > 0:48:54This would sell, now, for a figure towards 400,000.
0:48:54 > 0:48:57Probably £385-£400,000.
0:48:57 > 0:49:00Yeah, no, really pleased with those valuations.
0:49:00 > 0:49:03Obviously, you know, we have accepted an offer on the house
0:49:03 > 0:49:06and, er, those are broadly in line with the offer we've accepted.
0:49:06 > 0:49:08So, yeah, really pleased.
0:49:08 > 0:49:13And, in fact, Giles has just accepted an offer for £400,000.
0:49:13 > 0:49:15So, if the sale goes ahead,
0:49:15 > 0:49:19he'll be in line for a pre-tax profit of £94,000
0:49:19 > 0:49:21minus the usual selling expenses.
0:49:21 > 0:49:25That really is a great reward for all his heroic efforts
0:49:25 > 0:49:27but where does he go from here? To another auction?
0:49:27 > 0:49:30I would definitely go back to auction, yes.
0:49:30 > 0:49:33In fact, as soon as we, hopefully, get the proceeds from the sale
0:49:33 > 0:49:36we'll be back at the auction looking for an appropriate property.
0:49:41 > 0:49:45Back, now, to the busy market town of Wigton, in Cumbria.
0:49:45 > 0:49:47It was here that, earlier, we met Sheila,
0:49:47 > 0:49:50who'd bought this lovely three-bed townhouse for £58,000.
0:49:51 > 0:49:53She is a native of Wigton,
0:49:53 > 0:49:55runs a restaurant in the local cattle market,
0:49:55 > 0:49:57is married to a local butcher
0:49:57 > 0:50:00and knows the street and house really well.
0:50:00 > 0:50:02I used to live next door.
0:50:02 > 0:50:05- Next door?!- Me parents owned the house next door...- Right.
0:50:05 > 0:50:07..and they built a butcher's shop in the garden.
0:50:07 > 0:50:10- So, how long did the shop operate for?- For many years.
0:50:10 > 0:50:13- When did it stop?- Well, me dad died and me brother took it over
0:50:13 > 0:50:15and he closed it about four year ago,
0:50:15 > 0:50:19and sold the site to me other brother, who is a builder.
0:50:19 > 0:50:21Well, I suppose it is good to keep it in the family!
0:50:21 > 0:50:26The house itself needed some work to fulfil its potential
0:50:26 > 0:50:30but the real worries here were two shortened purlins in the loft,
0:50:30 > 0:50:35that could result in roof damage, and a crack in the end gable wall.
0:50:35 > 0:50:38So, was Sheila's budget of £10-£15,000
0:50:38 > 0:50:40and a two-and-a-half month timescale
0:50:40 > 0:50:43going to be enough to deal with these problems?
0:50:43 > 0:50:46So, bearing in mind Sheila's involvement in the meat trade,
0:50:46 > 0:50:50it would surely be fair to say that three-and-a-half months later
0:50:50 > 0:50:52we returned to have a BUTCHERS at her renovation!
0:50:55 > 0:50:57Outside, the walls have had a fresh lick of paint
0:50:57 > 0:51:02and while the windows were already double glazed and didn't need replacing,
0:51:02 > 0:51:04there is a new front door.
0:51:04 > 0:51:06And, next door, it looks like Sheila's brother
0:51:06 > 0:51:10has finally started work on the new townhouses.
0:51:11 > 0:51:17Inside, the living room is now fresh and newly decorated in neutral colours -
0:51:17 > 0:51:18perfect for the rental market.
0:51:20 > 0:51:24While the kitchen has been revamped along the same decorative lines.
0:51:24 > 0:51:28The reception room has also been done in a similar style.
0:51:30 > 0:51:33And, yes, those carpets HAVE gone!
0:51:33 > 0:51:36But there was more to this ground floor renovation
0:51:36 > 0:51:38than just cosmetic work.
0:51:38 > 0:51:43So, in this room I've completely stripped it back to the bare brick.
0:51:43 > 0:51:45There was quite a lot of damp problem.
0:51:45 > 0:51:50It's been dampcoursed and then the outside walls have been tanked.
0:51:50 > 0:51:52Completely re-plastered.
0:51:52 > 0:51:56New flooring, new woodwork, new doors,
0:51:56 > 0:51:57new lighting, new fire.
0:51:57 > 0:51:59Behind me there was a cupboard -
0:51:59 > 0:52:01we've stripped that out and put a new one in,
0:52:01 > 0:52:04just to cover the electric meters.
0:52:04 > 0:52:07Everything is smart, fresh and inviting.
0:52:09 > 0:52:10The same goes for upstairs,
0:52:10 > 0:52:14where Sheila has continued the look in the three good-sized bedrooms.
0:52:16 > 0:52:18And that bathroom...
0:52:18 > 0:52:21Well, that's had a total revamp as well
0:52:21 > 0:52:24and is now the perfect place to relax and pamper yourself.
0:52:26 > 0:52:29Throughout the house, Sheila, as a butcher's daughter,
0:52:29 > 0:52:32has stripped everything back to the bone and re-plastered throughout,
0:52:32 > 0:52:35adding new wiring and central heating.
0:52:35 > 0:52:39But what about those problems that lurked unseen?
0:52:39 > 0:52:42Yeah, there was a big crack in the gable end
0:52:42 > 0:52:44but once the houses are built next door
0:52:44 > 0:52:48it's going to be within two inch, so it's going to be enclosed then
0:52:48 > 0:52:52but the builder decided if we had it tanked -
0:52:52 > 0:52:54once you tanked all the outside walls nothing can get in.
0:52:54 > 0:52:57So, really, even though the crack is still on the gable end
0:52:57 > 0:52:59nothing to get inside because it's sealed.
0:52:59 > 0:53:02And it's guaranteed 30 years as well.
0:53:02 > 0:53:05And remember those problem purlins in the loft?
0:53:05 > 0:53:08Well, Sheila has followed the structural engineer's recommendation
0:53:08 > 0:53:12and had them strengthened with steel supports.
0:53:12 > 0:53:15So, that's one less thing for her to worry about.
0:53:15 > 0:53:17But the damp-proofing of the house
0:53:17 > 0:53:20has meant a small problem arising in the kitchen.
0:53:20 > 0:53:22Erm, it's been a complete revamp.
0:53:22 > 0:53:25New kitchen, cooker, sink.
0:53:25 > 0:53:27We did have a bit of a problem -
0:53:27 > 0:53:30the wall unit they had we couldn't put on
0:53:30 > 0:53:33because you can't drill into tanked walls.
0:53:33 > 0:53:36Sheila hopes to be letting this place out soon,
0:53:36 > 0:53:38once a minor job in the kitchen is sorted out
0:53:38 > 0:53:42and the garden at the back has been tidied up and made presentable.
0:53:42 > 0:53:44And, as with everything else on this project,
0:53:44 > 0:53:46she'll leave those jobs to the builders.
0:53:46 > 0:53:50Sheila is only recently retired from running the restaurant
0:53:50 > 0:53:53so wasn't able to be hands-on with this project
0:53:53 > 0:53:56but that doesn't mean she didn't enjoy the process.
0:53:56 > 0:54:00Just seeing it come together at the end.
0:54:00 > 0:54:03Yeah, the workers have really, really worked hard.
0:54:03 > 0:54:04Especially this last fortnight.
0:54:04 > 0:54:09The extra work on the damp-proofing knocked Sheila's schedule on
0:54:09 > 0:54:12from two-and-a-half to three-and-a-half months
0:54:12 > 0:54:17but did all that extra work mean that the budget also took a knock?
0:54:17 > 0:54:20Originally, the budget was between ten to 15
0:54:20 > 0:54:23but that was wishful thinking.
0:54:23 > 0:54:24It's gone quite a bit over.
0:54:24 > 0:54:28I think it'll be you roundabout 22 by the time I get everything in.
0:54:28 > 0:54:32The reason it's cost a lot more is all the extra building work.
0:54:32 > 0:54:35The damp-proofing and the tanking.
0:54:35 > 0:54:40But I didn't mind because I know I bought the house reasonable price
0:54:40 > 0:54:43and I think it still, it'll still pay off.
0:54:44 > 0:54:45It was a windy day,
0:54:45 > 0:54:49so we asked to local estate agents if they would be...
0:54:49 > 0:54:53- THEY LAUGH - ..blown away by this property!
0:54:54 > 0:54:57Remember, Sheila has spent £22,000 on the renovation.
0:54:57 > 0:55:01Add that to her purchase price of 58,000
0:55:01 > 0:55:03and the total outlay is now £80,000.
0:55:03 > 0:55:06What do the estate agents make of this property?
0:55:06 > 0:55:10I think they've done an excellent job with the improvements they've made to the property.
0:55:10 > 0:55:13I like the size of the rooms, I like the finish,
0:55:13 > 0:55:17I like the bathroom suite, it's been done to a very good standard
0:55:17 > 0:55:20and I love the central location of the property.
0:55:20 > 0:55:23I think the property has been finished to a good standard,
0:55:23 > 0:55:28it has three good-sized bedrooms, I like the finishes on the bathroom
0:55:28 > 0:55:30and the kitchen are very modern and clean.
0:55:31 > 0:55:34I think they've improved the property to a good standard.
0:55:34 > 0:55:37Decoration is really finished off well
0:55:37 > 0:55:40and it will appeal to a few people.
0:55:40 > 0:55:42So, it's a thumbs up from the estate agents
0:55:42 > 0:55:45but with plans to let the property out,
0:55:45 > 0:55:49how do the possible rental incomes sound?
0:55:49 > 0:55:51In this current market, I believe this property could achieve
0:55:51 > 0:55:55between £475 and £500 per calendar month.
0:55:55 > 0:55:57To let out this property
0:55:57 > 0:56:01I could see it being a rental income of £450 per calendar month.
0:56:01 > 0:56:04Yeah, that sounds about right. Yeah, that's what I thought.
0:56:05 > 0:56:09Those rental figures could give Sheila a healthy annual yield
0:56:09 > 0:56:11of around seven to around seven-and-a-half percent
0:56:11 > 0:56:14and if she ever decides to cash in the house,
0:56:14 > 0:56:17the estate agents value the property at between 95-100,000,
0:56:17 > 0:56:24giving Sheila possible pre-tax profit of £15-20,000.
0:56:28 > 0:56:31But, for now, Sheila's planning to take things easy
0:56:31 > 0:56:32and enjoy her retirement
0:56:32 > 0:56:37though she doesn't entirely rule out going for another property soon.
0:56:38 > 0:56:42I would do the auction again, yes. Maybe in the future.
0:56:42 > 0:56:46Because I plan to have a bit more free time to myself,
0:56:46 > 0:56:48which I've never had for a long time.
0:56:51 > 0:56:55Well, that's it for today's show but join us next time for more tales
0:56:55 > 0:56:57from the front line of property developing.
0:56:57 > 0:56:59We look forward to seeing you then.
0:56:59 > 0:57:00- Goodbye.- Goodbye.
0:57:20 > 0:57:24Subtitles by Red Bee Media Ltd