0:00:02 > 0:00:05Hello! Whether a seasoned property developer or a first-time buyer,
0:00:05 > 0:00:06you'll want value for money.
0:00:06 > 0:00:10And that can be quite difficult in a fluctuating property market,
0:00:10 > 0:00:13which is why more and more people are heading to the auctions
0:00:13 > 0:00:14to buy their home under the hammer.
0:00:40 > 0:00:44Sometimes you know you've bought a bargain and sometimes, well,
0:00:44 > 0:00:45you're just not quite sure.
0:00:45 > 0:00:48Well, one way to find out is to test the market.
0:00:48 > 0:00:52So, did the buyers on today's show bag themselves a goodie?
0:00:52 > 0:00:53Here's what they bought.
0:00:54 > 0:00:59We return to a house in Stoke that we first saw in March 2010
0:00:59 > 0:01:00when it had a serious problem.
0:01:00 > 0:01:03It's bad! It's really bad.
0:01:04 > 0:01:10In London, one simple solution can solve this cramped studio flat.
0:01:10 > 0:01:14I'm just wondering whether it would be worth taking out this wall.
0:01:14 > 0:01:17And the wide-open spaces of the beautiful Lake District
0:01:17 > 0:01:20can be seen from this place in Arlecdon,
0:01:20 > 0:01:24but this property actually only has this little bit of concrete.
0:01:25 > 0:01:28All these properties have been sold at auction.
0:01:28 > 0:01:32We'll find out who bought them and what they paid for them when they went under the hammer.
0:01:32 > 0:01:34That's your property, sir.
0:01:38 > 0:01:41We're in the Trentham area of Stoke-on-Trent to return to
0:01:41 > 0:01:45a property I first visited in March 2010,
0:01:45 > 0:01:47but it wasn't in this peaceful spot.
0:01:47 > 0:01:48Oh, no.
0:01:48 > 0:01:52It was located right on this very busy road.
0:01:52 > 0:01:57It was a spacious three-storey five-bed period mid townhouse
0:01:57 > 0:02:00that was guided at 125,000.
0:02:00 > 0:02:04Accessed from round the back, it had lain empty for four years
0:02:04 > 0:02:07and was in a very bad way with boarded-up windows
0:02:07 > 0:02:10and a neglected, messed-up garden.
0:02:10 > 0:02:13I'll be honest - I didn't have high hopes for the inside.
0:02:13 > 0:02:17What have we got? Well, there's a little rear area which would be
0:02:17 > 0:02:19a very nice utility room.
0:02:19 > 0:02:23And then through into what was originally the kitchen, I'm sure.
0:02:23 > 0:02:26But straightaway...you don't need to be a
0:02:26 > 0:02:30rocket scientist to figure out it's a house that'll need a bit of work.
0:02:30 > 0:02:33Nice-sized room, though.
0:02:33 > 0:02:36So, through to what was, I imagine, the dining room,
0:02:36 > 0:02:40bearing in mind we're working sort of back to front with this house at the moment.
0:02:40 > 0:02:41But, again, not a bad-sized room,
0:02:41 > 0:02:46although starting to see signs of some really serious dilapidation.
0:02:46 > 0:02:49The ceiling's come down and those beams
0:02:49 > 0:02:51and floorboards look to be rotted.
0:02:51 > 0:02:53So, (a) take care when you're looking upstairs,
0:02:53 > 0:02:56but (b) I think that's going to take a bit of sorting out.
0:02:56 > 0:02:59But then through to the front of the property - big entrance hall here.
0:02:59 > 0:03:01I love this about this age of houses.
0:03:01 > 0:03:03They actually bothered creating a space.
0:03:03 > 0:03:06It gives a real sort of focal point to the house.
0:03:06 > 0:03:10You've got an under-stairs cupboard, really massive lounge area there,
0:03:10 > 0:03:13another sort of sitting room area at the back.
0:03:13 > 0:03:17It's lovely, and there are fantastic features to be uncovered, but...
0:03:18 > 0:03:22I think there's work to be done, he says, understating somewhat.
0:03:22 > 0:03:27You'd expect a bit of wear and tear in a house built over 100 years ago,
0:03:27 > 0:03:30but just maybe not quite this much.
0:03:30 > 0:03:33Well, upstairs onto the first floor,
0:03:33 > 0:03:35and lots more really lovely open areas.
0:03:35 > 0:03:37I really like the layout of the house,
0:03:37 > 0:03:41but the more I look, the more I just see the complete...
0:03:41 > 0:03:43HE SIGHS
0:03:43 > 0:03:47..terrifyingly bad state that this place is in.
0:03:47 > 0:03:52I mean, every single wall you look at, every floor that you look at,
0:03:52 > 0:03:54every ceiling, seems to have a problem,
0:03:54 > 0:03:58nowhere more so than on this wall in this particular bedroom.
0:03:58 > 0:04:01As you can see, there's this massive crack that goes
0:04:01 > 0:04:05all the way down to the corner, all the way up to the other corner.
0:04:05 > 0:04:07You can almost get your finger in there.
0:04:07 > 0:04:12It seems like this main internal wall in the property is sinking.
0:04:12 > 0:04:15I haven't come across that before.
0:04:15 > 0:04:19You'd need to get a structural engineer in.
0:04:19 > 0:04:23It's bad! It's really bad.
0:04:23 > 0:04:27In fact, the drawbacks here are too numerous to list -
0:04:27 > 0:04:31cracks, damp and many structural issues throughout.
0:04:31 > 0:04:38# Where did all the life go?
0:04:38 > 0:04:42# I don't know
0:04:42 > 0:04:45# I don't know... #
0:04:45 > 0:04:50In total, there are three double-sized bedrooms on this floor,
0:04:50 > 0:04:52all with problems.
0:04:52 > 0:04:58And in the loft, two large bedrooms - again, not looking very good.
0:04:58 > 0:05:01Back on the middle floor, there's a loo plus a bathroom,
0:05:01 > 0:05:05which might just be the best-looking room in the house,
0:05:05 > 0:05:08and I do say that with my tongue firmly in my cheek.
0:05:10 > 0:05:14Well, it would be very easy to fall for the charms of this place.
0:05:14 > 0:05:17The room sizes, the location, the canal,
0:05:17 > 0:05:19just the general feel of the property.
0:05:19 > 0:05:23However, do not underestimate the amount of work
0:05:23 > 0:05:25it's going to take to sort this place out.
0:05:25 > 0:05:30It has got some serious structural problems.
0:05:30 > 0:05:31Still, it was 125 grand.
0:05:31 > 0:05:34I'm sure somebody fancied the challenge
0:05:34 > 0:05:36when it went under the hammer.
0:05:38 > 0:05:42Lot 32, we move to the Trentham area of Stoke-on-Trent.
0:05:42 > 0:05:44115 to start, then.
0:05:44 > 0:05:48115. At £115,000.
0:05:48 > 0:05:50120? 120.
0:05:50 > 0:05:52At 120. 125?
0:05:54 > 0:05:56At £120,000...
0:05:56 > 0:05:58121 anywhere?
0:05:58 > 0:06:00At 120...
0:06:00 > 0:06:03121 back in. At 121? 122?
0:06:03 > 0:06:05At 122... 123.
0:06:05 > 0:06:08123. 124?
0:06:08 > 0:06:10124.
0:06:10 > 0:06:12125? 125.
0:06:14 > 0:06:18At £125,000, then, for the first time...
0:06:18 > 0:06:23At £125,000 for the second time...
0:06:23 > 0:06:27Third and final time, at £125,000...
0:06:27 > 0:06:30You've bought it. Well done, sir.
0:06:30 > 0:06:33With his successful bid of 125,000,
0:06:33 > 0:06:37the brave man who's taken on this huge project is Sohail.
0:06:37 > 0:06:40He plans to renovate and restore the house
0:06:40 > 0:06:42with the aim of selling it on,
0:06:42 > 0:06:44but where to start on it?
0:06:44 > 0:06:47I met him there to find out more.
0:06:48 > 0:06:51- Sohail, good to meet you.- Good to meet you, Martin.- Congratulations.
0:06:51 > 0:06:53Thank you very much.
0:06:53 > 0:06:57- Wow! You've taken on a bit of a project here, haven't you? - I certainly have.
0:06:57 > 0:07:01- Why did you want to buy the house? - Well, it's basically the character it's got.
0:07:01 > 0:07:05Although it needs a lot of work, it has some problems to it,
0:07:05 > 0:07:08but nothing that couldn't be put right,
0:07:08 > 0:07:10and basically restored to its former glory.
0:07:10 > 0:07:13Right. So have you done anything like this before?
0:07:13 > 0:07:16Yeah, I've done a few things, but not to this extent.
0:07:16 > 0:07:19Not sort of, you know, from absolute scratch.
0:07:19 > 0:07:23So is this your main line of work, property developing?
0:07:23 > 0:07:25Well, no. This is basically a sideline that I have.
0:07:25 > 0:07:29- What do you do when not doing this? - Well, I go fly planes.- Fly planes?
0:07:29 > 0:07:33- That's right.- What, for fun or what? - I'm a pilot.- A proper pilot?
0:07:33 > 0:07:36Yes. I'm an airline pilot and this is my job, basically.
0:07:36 > 0:07:38# Come fly with me
0:07:38 > 0:07:43# Let's fly, let's fly away... #
0:07:43 > 0:07:47From flying planes to renovating old properties,
0:07:47 > 0:07:51Sohail likes to diversify and he's certainly ambitious.
0:07:51 > 0:07:55But has this high-flyer still got his feet on the ground?
0:07:55 > 0:07:58So let's go on to what you're going to do to sort this place out.
0:07:58 > 0:08:02Let's start with the biggest issue - the major cracking on the internal walls.
0:08:02 > 0:08:05What do you know about that and what will you do to sort it out?
0:08:05 > 0:08:09The major cracking that has been caused to the property is subsidence,
0:08:09 > 0:08:11so we had the structural engineer in here
0:08:11 > 0:08:14and he actually drilled a few holes around the foundations
0:08:14 > 0:08:17of the property and tested the soil underneath.
0:08:17 > 0:08:21What he recommended is that we need to reinforce the middle of the property,
0:08:21 > 0:08:27because the right-hand side is sound and the left-hand side is sound.
0:08:27 > 0:08:31It's just the middle of the property is actually a little bit of
0:08:31 > 0:08:34loose gravel or soil that is actually under the foundation.
0:08:34 > 0:08:36So he's going to reinforce that.
0:08:36 > 0:08:37So, like underpinning?
0:08:37 > 0:08:41It is an underpinning, and that will cure the problem, basically.
0:08:41 > 0:08:46Sohail certainly has a major job on his hands here because it doesn't end there.
0:08:46 > 0:08:49A damaged roof is causing a major part of the damp problem,
0:08:49 > 0:08:52so a new roof is to be installed and then inside,
0:08:52 > 0:08:58the whole house will have to be stripped to the bone and renovated from scratch.
0:08:58 > 0:09:00It's going to be a costly exercise.
0:09:00 > 0:09:03All in all, we've got a budget for it of £100,000...
0:09:03 > 0:09:05- Oh, wow!- ..to put it right.
0:09:05 > 0:09:11- And I think we can do that.- Yeah, that's healthy, yes.- Realistic, yes.
0:09:11 > 0:09:14You must be doing this for more than the money.
0:09:14 > 0:09:17There's probably easier ways to make money, aren't there?
0:09:17 > 0:09:20Yes, of course, but I mean, it's passion, really.
0:09:20 > 0:09:25It's getting something like this and developing it,
0:09:25 > 0:09:27and changing it to something so beautiful.
0:09:27 > 0:09:30So that is a sense of achievement.
0:09:31 > 0:09:35Sohail was hoping to achieve that good feeling with the help of
0:09:35 > 0:09:39his longtime friend and builder, Peter, and, with other contractors,
0:09:39 > 0:09:43he hoped to have this house restored to glory in around ten to 12 months.
0:09:47 > 0:09:48But that was back in 2010
0:09:48 > 0:09:52and, when we first returned 15 months later,
0:09:52 > 0:09:54the renovation wasn't complete,
0:09:54 > 0:09:57although significant changes had taken place.
0:09:57 > 0:09:59There was a new roof and windows,
0:09:59 > 0:10:02and the whole house had been underpinned
0:10:02 > 0:10:04to make it structurally sound.
0:10:04 > 0:10:07Internal walls that had been affected by subsidence
0:10:07 > 0:10:10had been rebuilt and, overall,
0:10:10 > 0:10:13the building was looking in a much healthier state.
0:10:21 > 0:10:23With new flooring and plasterwork,
0:10:23 > 0:10:25the rooms are all starting to take shape,
0:10:25 > 0:10:28whilst retaining their character.
0:10:31 > 0:10:33And, beneath the eaves,
0:10:33 > 0:10:38space had been opened up to create cupboards in the top two bedrooms.
0:10:38 > 0:10:41But Sohail's pride and joy was the attic area.
0:10:41 > 0:10:44While we were actually putting the roof on,
0:10:44 > 0:10:46we discovered this massive area and the loft in there,
0:10:46 > 0:10:49so we actually created this opening in here.
0:10:49 > 0:10:52As we come in, there's this massive place which
0:10:52 > 0:10:55we thought we'd create a new beautiful bathroom.
0:10:55 > 0:11:00We installed the window which has given us a lot of nice light,
0:11:00 > 0:11:04and we kept the beams as original, and obviously we changed it into
0:11:04 > 0:11:09a lovely bathroom so people can have a bath in here looking at the stars.
0:11:09 > 0:11:12# All the stars are coming out tonight
0:11:12 > 0:11:15# They're lighting up the sky tonight
0:11:15 > 0:11:18# For you
0:11:18 > 0:11:22# For you... #
0:11:22 > 0:11:26Sohail and his builder Pete had definitely broken the back here,
0:11:26 > 0:11:30but there was still plenty of work to be done.
0:11:30 > 0:11:33Join us later in the show to see how, ten months later,
0:11:33 > 0:11:37Sohail has completely transformed this elegant townhouse.
0:11:39 > 0:11:44I'm in north London today in a place called Stoke Newington
0:11:44 > 0:11:46and this is Church Street.
0:11:46 > 0:11:49It's a mecca of second-hand bookshops, galleries,
0:11:49 > 0:11:52independent designer outlets, and lovely little restaurants.
0:11:52 > 0:11:56And I am finding it very hard to resist the temptation to shop!
0:11:56 > 0:11:58But there is property to view,
0:11:58 > 0:12:01so a slice of organic carrot cake, vintage dresses
0:12:01 > 0:12:05and abstract paintings are just going to have to wait.
0:12:05 > 0:12:08# You are my one temptation
0:12:08 > 0:12:15# You give me the thrill that I'm addicted to... #
0:12:15 > 0:12:19If you tire of shopping here, there's a myriad of bus services
0:12:19 > 0:12:23to whisk you into the city, but the fastest way - take the train.
0:12:23 > 0:12:26From here, you can get to Liverpool Street station
0:12:26 > 0:12:29in the heart of London in just 16 minutes.
0:12:29 > 0:12:33A short walk from Church Street and I'm here to see a studio flat
0:12:33 > 0:12:36in this impressive three-storey Victorian building.
0:12:36 > 0:12:38Now, it's on the first floor
0:12:38 > 0:12:42and it went to auction with an £80,000 guide price.
0:12:42 > 0:12:47Now, I know that might sound like a huge amount of money for a studio flat
0:12:47 > 0:12:52but, honestly, in this area, square footage is pricey.
0:12:52 > 0:12:59The last one-bedroom flat to sell on this road achieved over £245,000,
0:12:59 > 0:13:02so that gives you an idea of how much property is worth
0:13:02 > 0:13:04in this part of north London.
0:13:04 > 0:13:10Put in that context, that £80,000 guide price seems very good value indeed,
0:13:10 > 0:13:13so let's see what you get for that.
0:13:14 > 0:13:18Well, it's such a nice surprise to not have bikes stacked up
0:13:18 > 0:13:22against the wall, months and months of mail, lots of mess.
0:13:22 > 0:13:25You know, my pet hate is messy communal parts.
0:13:25 > 0:13:27But, so far, so good.
0:13:27 > 0:13:32You've even got some lovely original features thrown in. A good start.
0:13:32 > 0:13:36First impressions are good but this flat is tucked away at the
0:13:36 > 0:13:41back of the building, so I hope I haven't got my hopes up too soon.
0:13:41 > 0:13:48# First impressions are misleading... #
0:13:51 > 0:13:55Well, it's certainly what you would expect of a studio flat -
0:13:55 > 0:13:57not much space.
0:13:57 > 0:14:01You have got a separate bathroom, you've also got a separate kitchen.
0:14:01 > 0:14:04They both need updating, that's for sure.
0:14:04 > 0:14:08Now, I'm just wondering whether it would be worth taking out
0:14:08 > 0:14:12this wall so that you could have one large open-plan area,
0:14:12 > 0:14:15because at the moment I just think it's all too cramped
0:14:15 > 0:14:17and all too boxed in.
0:14:17 > 0:14:22Now, you have actually got 23 square metres here to play with,
0:14:22 > 0:14:25but it looks even smaller with all this furniture strewn.
0:14:25 > 0:14:30Now, I know that all this will be cleared before the new owner
0:14:30 > 0:14:33gets the keys but it's a lesson to all auction-goers -
0:14:33 > 0:14:38check with the auction house and find out who is responsible for all of this.
0:14:38 > 0:14:42They will be able to tell you if the furniture comes with the flat or not.
0:14:42 > 0:14:46Now, it may be an added bonus, or it could be an extra headache
0:14:46 > 0:14:49and leave you with a serious clear-out operation.
0:14:49 > 0:14:55# My head aches
0:14:55 > 0:15:00# My head aches... #
0:15:00 > 0:15:03But, fortunately, the good news here is that, in this case,
0:15:03 > 0:15:06the contents of the house will be cleared out.
0:15:06 > 0:15:09Then the new owner can see exactly what they've bought.
0:15:09 > 0:15:14There's a garden temptingly visible from the bedroom window,
0:15:14 > 0:15:17but it's not a shared garden, so no outside space with this lot,
0:15:17 > 0:15:20unless you count this little bonus nearby.
0:15:20 > 0:15:23If it all gets a little cramped in the flat,
0:15:23 > 0:15:28you've got the wonderful Clissold Park right on your doorstep.
0:15:28 > 0:15:35So, a big green space close by, but there's no denying it's a tiny flat.
0:15:35 > 0:15:37Even so, I reckon this would do well
0:15:37 > 0:15:40if done up to a high standard as a buy-to-let.
0:15:40 > 0:15:44Time to get a second opinion from a local estate agent.
0:15:44 > 0:15:48What does she think of this studio flat guided at £80,000
0:15:48 > 0:15:49and the area it's in?
0:15:49 > 0:15:54It's very small...but, you know, it has potential
0:15:54 > 0:15:56and it's in the right post code,
0:15:56 > 0:15:58so, yeah, definitely got potential.
0:15:58 > 0:16:00Sounds encouraging.
0:16:00 > 0:16:05I'm getting all the right vibes that you can add value here.
0:16:05 > 0:16:08It could be a nice little earner, rental-wise, for starters.
0:16:08 > 0:16:10Per calendar month,
0:16:10 > 0:16:14you are probably looking at somewhere in between £850 and £900.
0:16:14 > 0:16:18If it was bought for close to the guide price,
0:16:18 > 0:16:19that is music to my ears,
0:16:19 > 0:16:23but what about its value on the resale market once renovated?
0:16:23 > 0:16:27Resale on this property would probably be anything in between
0:16:27 > 0:16:30£165,000 and £175,000.
0:16:30 > 0:16:36It is certainly a compact studio but it's in a fantastic location,
0:16:36 > 0:16:38and that is key to any successful buy.
0:16:38 > 0:16:43If I took this on, I know what I would do - renovate and rent it out.
0:16:43 > 0:16:46Let's see who wanted this one when it went under the hammer.
0:16:46 > 0:16:49So, studio flat, Stoke Newington.
0:16:49 > 0:16:52I don't know, 70 for five?
0:16:52 > 0:16:55It's cheap at that. 75 down here.
0:16:55 > 0:16:5880. 85.
0:16:58 > 0:16:5990, sir?
0:16:59 > 0:17:0190, new spot. 90.
0:17:01 > 0:17:0395?
0:17:03 > 0:17:04100,000?
0:17:04 > 0:17:06105?
0:17:06 > 0:17:08101? OK, 101.
0:17:08 > 0:17:10102?
0:17:10 > 0:17:14103? 104? 105?
0:17:14 > 0:17:16105 anywhere?
0:17:16 > 0:17:18If not, 104, first time...
0:17:18 > 0:17:20Sec... 105 in the aisle.
0:17:20 > 0:17:22106?
0:17:22 > 0:17:23107?
0:17:23 > 0:17:28Bidding for this small studio flat guided at £80,000 proved popular
0:17:28 > 0:17:30and the price rose rapidly.
0:17:30 > 0:17:35We rejoin the action at a whopping £127,000.
0:17:35 > 0:17:38127? 128?
0:17:38 > 0:17:40129?
0:17:40 > 0:17:41130?
0:17:41 > 0:17:44131?
0:17:44 > 0:17:47130, first time...
0:17:47 > 0:17:50Second time... Third and last time - have you all done?
0:17:50 > 0:17:53- BANGS GAVEL - Sold. 130, madam. Well done.
0:17:53 > 0:17:58So, not put off by stiff competition was fashion designer Debbie.
0:17:58 > 0:18:03# But I'm always true to you, darlin', in my fashion
0:18:03 > 0:18:05# Yes, I am!
0:18:05 > 0:18:10# I'm always true to you, darlin', in my way... #
0:18:10 > 0:18:15Debbie paid £50,000 over the guide price, getting the studio flat
0:18:15 > 0:18:19for 130,000, as a joint investment with her brother.
0:18:19 > 0:18:23Debbie's a self-confessed property obsessive,
0:18:23 > 0:18:25with big designs on this little place.
0:18:25 > 0:18:27It's all a bit tight in there,
0:18:27 > 0:18:31so we slipped off to a local pub to warm ourselves by the fireside.
0:18:31 > 0:18:35- Debbie, it's lovely to meet you today. Congratulations!- Thank you.
0:18:35 > 0:18:39- But you nearly got the flat for £104,000, didn't you? - I know, I was so upset.
0:18:39 > 0:18:42I really, really... I was sitting there, fingers clenched,
0:18:42 > 0:18:44just thinking I was going to get it for 104,
0:18:44 > 0:18:47and then at the third time, someone came in, yeah.
0:18:47 > 0:18:51- And you ended up paying 130. - Yeah, just a bit over budget.
0:18:51 > 0:18:52My limit was 120.
0:18:52 > 0:18:55So, what is your plan? Do you intend to keep it or sell it on?
0:18:55 > 0:18:59The plan is hopefully to sell it on, but if I need to live in there a short while,
0:18:59 > 0:19:02we'll keep it for a bit or we'll rent it out for a bit,
0:19:02 > 0:19:04but in the long run, it's to sell it on.
0:19:04 > 0:19:07This will be Debbie's fifth property development.
0:19:07 > 0:19:10She's currently working on her third and fourth,
0:19:10 > 0:19:14so has her hands full juggling all three at the moment.
0:19:14 > 0:19:17Luckily for her, this is the smallest project of the trio,
0:19:17 > 0:19:19so she's not overly daunted.
0:19:19 > 0:19:22So what are you going to do to the interior space?
0:19:22 > 0:19:23What are you going to do to improve it?
0:19:23 > 0:19:27Taking out two of the internal walls cos they're not structural walls
0:19:27 > 0:19:30and we're reconfiguring them, so we're setting them further back.
0:19:30 > 0:19:33So where there's currently the kitchen will be the bedroom,
0:19:33 > 0:19:36and where is currently the bedroom will be a kind of living/kitchen room area.
0:19:36 > 0:19:41Have you thought about just taking the wall down from the kitchen and having one big open space?
0:19:41 > 0:19:44We had, but because I'd lived in a studio before that was a quite similar size,
0:19:44 > 0:19:48the way they'd done it, I really liked how you still had that separate sleeping area,
0:19:48 > 0:19:52so you could still sit in your living room and you've got somewhere to eat,
0:19:52 > 0:19:55and then somewhere separate to go on an evening when you go to bed.
0:19:55 > 0:19:58And if you do have guests, you've still got privacy.
0:19:58 > 0:20:00Yeah, I don't think you could fit a guest in there, to be honest!
0:20:00 > 0:20:03- What, is nobody ever going to visit you?- No.
0:20:03 > 0:20:07# Owner of a lonely heart (Much better than a)
0:20:07 > 0:20:11# Owner of a lonely heart... #
0:20:11 > 0:20:14Well, whether it's Debbie who lives here or not,
0:20:14 > 0:20:17let's hope the future resident enjoys their own company,
0:20:17 > 0:20:19because she's probably right -
0:20:19 > 0:20:22there's not a lot of room for visitors.
0:20:22 > 0:20:26I really do like Debbie's plans for changing the layout and, even before the auction,
0:20:26 > 0:20:32she'd made sure her solicitor contacted the freeholder of the flat to get permission to do the work.
0:20:32 > 0:20:33This girl sure knows her onions!
0:20:33 > 0:20:37But what standard of finish is she aiming for here?
0:20:37 > 0:20:40How much is she and her brother planning to spend?
0:20:40 > 0:20:43Our budget is ten to 15. I'm hoping to keep it nearer to the ten,
0:20:43 > 0:20:45but we'll see, cos I don't want to go really cheap.
0:20:45 > 0:20:48I want to do it quite high-spec, especially for the area,
0:20:48 > 0:20:51Stoke Newington, I think that's what people would expect around here.
0:20:51 > 0:20:53So what do you do?
0:20:53 > 0:20:56I work in fashion, for an online retailer as a fashion designer,
0:20:56 > 0:20:59so I design quite a lot of my own clothes. So it's just a great...
0:20:59 > 0:21:03It's kind of a natural progression to do the interiors as well,
0:21:03 > 0:21:04so I really enjoy doing that, too.
0:21:04 > 0:21:07So why property development for you?
0:21:07 > 0:21:09It makes more money than the day job, to be honest!
0:21:09 > 0:21:12- True.- Yeah, and I do really enjoy it.
0:21:12 > 0:21:15It is, like I say, that natural progression from fashion.
0:21:15 > 0:21:18I just love getting my hands dirty and it's a good form of exercise,
0:21:18 > 0:21:21which I love doing, the painting and the decorating.
0:21:21 > 0:21:23So be really honest to me now.
0:21:23 > 0:21:27What do you enjoy most, fashion or property?
0:21:27 > 0:21:30- Honestly, property.- Really? - Yeah, I do.
0:21:30 > 0:21:33So what are you doing? You need to do this full-time.
0:21:33 > 0:21:36I know, that is the plan in a couple of years. Don't tell my boss!
0:21:36 > 0:21:39In a couple of years' time, this is definitely what I'd rather do.
0:21:39 > 0:21:43Debbie's got her future as a property developer mapped out,
0:21:43 > 0:21:45but if we are to chart their progress here,
0:21:45 > 0:21:47we need to know when we can return.
0:21:47 > 0:21:51How long do you think it will take to get the flat as you want it?
0:21:51 > 0:21:53Well, my brother's told me it will take four weeks.
0:21:53 > 0:21:54I say six to eight,
0:21:54 > 0:21:57so we're going for between four to six weeks. We'll see.
0:21:59 > 0:22:02Four to six weeks, a budget of up to 15,000 and a high-spec finish,
0:22:02 > 0:22:06but how will this fashion designer dress up this property?
0:22:06 > 0:22:09What's hot this season, interior-design-wise?
0:22:10 > 0:22:11Quite minimal.
0:22:11 > 0:22:15I think there'll be a lot of walnut, white walls, high-spec kitchen.
0:22:15 > 0:22:19I'm looking at doing converging doors in the bathroom so the bathroom
0:22:19 > 0:22:22kind of opens up to the rest of the flat, lots of glass in there.
0:22:22 > 0:22:25Have you ever done anything so high-spec before?
0:22:25 > 0:22:28Yeah, my last house that I lived in, I did that quite high-spec
0:22:28 > 0:22:31and I sold that last year, so I'll be taking some of the elements
0:22:31 > 0:22:34that I used in that one and putting it into this smaller space.
0:22:34 > 0:22:36I can't wait to see what you do.
0:22:36 > 0:22:38I can't wait to see what materials you use.
0:22:38 > 0:22:41- Lovely meeting you today, Debbie. - Thank you.- Good luck.- Thanks, Lucy.
0:22:41 > 0:22:43How will Debbie get on with this?
0:22:43 > 0:22:46Will we come back to a stylish super pad?
0:22:46 > 0:22:49Even with her talents, will she be able to make it look bigger
0:22:49 > 0:22:51and build in some profit?
0:22:51 > 0:22:55You can find out how she gets on later in the programme.
0:22:56 > 0:22:59Coming up, this thin-looking property in Cumbria
0:22:59 > 0:23:00has a trick up its sleeve.
0:23:00 > 0:23:03What seems like a fairly small property from the front...
0:23:03 > 0:23:06Well, what a surprise when you get inside!
0:23:06 > 0:23:10In London, there was one drawback to renovating this small studio flat.
0:23:10 > 0:23:14We didn't realise with the plasterer, electrician and plumber all in
0:23:14 > 0:23:17at the same time, that they wouldn't actually be able to fit in.
0:23:17 > 0:23:21But, first, how did Sohail find that two-year renovation?
0:23:21 > 0:23:25A lot of effort, and it was very, very hard sometimes.
0:23:29 > 0:23:31Earlier in the programme,
0:23:31 > 0:23:34we returned to the Trentham area of Stoke-on-Trent
0:23:34 > 0:23:39to a spacious five-bedroom house we first saw back in 2010.
0:23:40 > 0:23:47Unfortunately, it was one of those properties that scares and excites at the same time.
0:23:47 > 0:23:51It would be a brave person who would ever want to take this on.
0:23:51 > 0:23:56Airline pilot and sometime property developer Sohail
0:23:56 > 0:23:58bought it for £125,000.
0:23:58 > 0:24:02He planned to invest a further £100,000
0:24:02 > 0:24:04in restoring the house to its former glory.
0:24:04 > 0:24:08You must be doing this for more than the money.
0:24:08 > 0:24:10Because there's probably easier ways to make money, aren't there?
0:24:10 > 0:24:14Yes, of course, but I mean, it's passion, really.
0:24:14 > 0:24:19It's getting something like this and changing it to something so beautiful.
0:24:19 > 0:24:21So that is a sense of achievement.
0:24:21 > 0:24:24And when we first returned 15 months later,
0:24:24 > 0:24:26it looks like that
0:24:26 > 0:24:29sense of achievement would have to wait as Sohail was still renovating.
0:24:30 > 0:24:36# You leave me halfway to paradise
0:24:38 > 0:24:44# So near, yet so far away... #
0:24:48 > 0:24:51Finally, more than two years after we first met Sohail,
0:24:51 > 0:24:52we're back again.
0:24:52 > 0:24:55I can't wait to see if he's fulfilled his mission
0:24:55 > 0:24:58and restored the grandeur to this beautiful old house.
0:25:01 > 0:25:04Well, the outside looks stunning.
0:25:05 > 0:25:10With rendered walls, new windows and loads of character,
0:25:10 > 0:25:11but just step inside.
0:25:35 > 0:25:37And that's just the ground floor.
0:25:37 > 0:25:40But while it looks stunning, had Sohail got his sense of achievement?
0:25:45 > 0:25:47Mixed emotions, really,
0:25:47 > 0:25:52but, yeah, I'm very happy it's actually over, it's finished.
0:25:52 > 0:25:56It's taken a lot of work and a lot of effort,
0:25:56 > 0:25:59and it was very, very hard sometimes.
0:26:02 > 0:26:06And you can see more of that hard work on the middle floor,
0:26:06 > 0:26:11where the three large bedrooms are now stylish, light and spacious.
0:26:15 > 0:26:20The bathroom also fits the bill now - a good size and contemporary.
0:26:24 > 0:26:28Up that lovely staircase to the new attic space with its skylight,
0:26:28 > 0:26:32ideal for stargazing, and a new gorgeous bathroom suite -
0:26:32 > 0:26:34modern but with charm and character.
0:26:36 > 0:26:41Finally, the two good-size attic rooms to end what has been
0:26:41 > 0:26:44a grand tour of a grand house.
0:26:48 > 0:26:52Most of the work has been done by contractors and overseen
0:26:52 > 0:26:57by Sohail's builder friend Peter, and the renovation is top-notch.
0:26:57 > 0:27:00The structural issues addressed included everything
0:27:00 > 0:27:04from underpinning the central walls and fixing the leaky roof,
0:27:04 > 0:27:09to bringing out the character details that make this house so special.
0:27:09 > 0:27:14It's actually the feeling of preserving this fantastic feature.
0:27:14 > 0:27:17These features don't come like that any more.
0:27:17 > 0:27:19You don't find them in every house.
0:27:19 > 0:27:24It's a great opportunity to be able to work with these features and preserve them and keep them.
0:27:24 > 0:27:26It means a lot for us as well.
0:27:26 > 0:27:32# Love lift us up where we belong
0:27:32 > 0:27:36# Where the eagles cry
0:27:36 > 0:27:40# On a mountain high
0:27:40 > 0:27:45# Love lift us up where we belong... #
0:27:45 > 0:27:49And that's a rather fitting song for pilot Sohail.
0:27:49 > 0:27:52But there's something that doesn't sit well with this house,
0:27:52 > 0:27:55and it's the noise from that busy road outside.
0:27:55 > 0:27:58These windows are absolutely special.
0:27:58 > 0:28:03As you know, we had, originally, wooden windows all over the house.
0:28:03 > 0:28:07Those ones here we wanted to preserve and, at the same time,
0:28:07 > 0:28:09we wanted to put double-glazing
0:28:09 > 0:28:12to actually protect the property from the noise,
0:28:12 > 0:28:17cos you open the window and it's absolutely so noisy.
0:28:17 > 0:28:21And as you can see, it's a lot better.
0:28:21 > 0:28:27And by doing that, we had to put a UPVC frame within the original wooden frame
0:28:27 > 0:28:30and fix them, and dress them as they are.
0:28:30 > 0:28:34As you can see, it's a great job, and it definitely does the job.
0:28:34 > 0:28:39The new double-glazed units certainly help with the look of the front.
0:28:39 > 0:28:41And the rear looks just as good.
0:28:41 > 0:28:44Sohail has even added a garden.
0:28:46 > 0:28:49But it wasn't easy getting the finished product.
0:28:49 > 0:28:52The first seven months of the renovation were devoted to
0:28:52 > 0:28:55the underpinning and putting on a new roof.
0:28:55 > 0:29:00But there were further delays to Sohail due to illness and workmanship he wasn't happy with,
0:29:00 > 0:29:04which pushed the timescale to just over two years.
0:29:04 > 0:29:07I think it's just taken a little bit longer than I thought it would.
0:29:07 > 0:29:10That's what disappointed me a little bit.
0:29:10 > 0:29:13But instead of rushing through something,
0:29:13 > 0:29:15we've taken our time and we did a fantastic job out of it.
0:29:17 > 0:29:22As yet, Sohail is undecided whether to sell this property or let it
0:29:22 > 0:29:25but, bearing in mind the original purchase price of 125,000,
0:29:25 > 0:29:28how much did he finally spend on the renovation?
0:29:28 > 0:29:33Originally, we thought we'd spend over 100,000 on it
0:29:33 > 0:29:39but, as it stands, it's around 94,400 or something.
0:29:43 > 0:29:47That would take his total outlay on the house to just under 220,000.
0:29:47 > 0:29:50So it's time to ask two local estate agents
0:29:50 > 0:29:55if they're as impressed with the renovation as I am.
0:29:55 > 0:29:59Overall, the final renovation of this property is excellent.
0:29:59 > 0:30:02The standard of workmanship is spot-on.
0:30:02 > 0:30:06They have kept the original features
0:30:06 > 0:30:11but installed up-to-date conveniences, if you like.
0:30:11 > 0:30:13It's clear the owners have spent a lot on this,
0:30:13 > 0:30:16stripping it back to bare brick and renovating it from tip to toe.
0:30:16 > 0:30:17I think they've done a good job.
0:30:17 > 0:30:21The retention of all the fireplaces throughout the property
0:30:21 > 0:30:25does mean that the rooms are a lot more inviting and it keeps it in character.
0:30:25 > 0:30:27The estate agents like the property,
0:30:27 > 0:30:30but reckon its location next to a busy road could be a drawback.
0:30:30 > 0:30:34So what sort of resale figure could Sohail achieve,
0:30:34 > 0:30:38bearing in mind his total spend of just under 220,000?
0:30:38 > 0:30:45I would advise an asking price on this property at £225,000.
0:30:45 > 0:30:49I would put this property on the market at £225,000.
0:30:49 > 0:30:51I don't think so.
0:30:51 > 0:30:56I think it's quite short from what the value of the house is.
0:30:56 > 0:30:59After just over two years' work on the house,
0:30:59 > 0:31:03those possible returns would yield Sohail very little profit.
0:31:03 > 0:31:06Are the rental returns more encouraging?
0:31:06 > 0:31:11I would suggest a figure of £1,200 per calendar month.
0:31:11 > 0:31:15I would put this property on the market for £1,000 per calendar month.
0:31:15 > 0:31:18Those figures could give Sohail an annual rental yield
0:31:18 > 0:31:21of between five and a half and six and a half per cent,
0:31:21 > 0:31:22which is pretty healthy.
0:31:22 > 0:31:27But he believes he can achieve a higher figure of £1,400 per calendar month,
0:31:27 > 0:31:30giving him a seven and a half per cent yield.
0:31:30 > 0:31:34I think Sohail is going to settle for letting it.
0:31:34 > 0:31:37Yeah, I think we'll rent it for a good amount of time
0:31:37 > 0:31:40and then we'll sell it eventually.
0:31:40 > 0:31:45It's been a real labour of love and a long road to reaping those rewards,
0:31:45 > 0:31:47but Sohail hasn't just kept the faith.
0:31:47 > 0:31:50He's up for doing it all over again.
0:31:50 > 0:31:53When I find an opportunity, I will jump on it.
0:31:53 > 0:31:59Whether it was houses or any other structures around that need renovating,
0:31:59 > 0:32:01then I will jump on that.
0:32:01 > 0:32:03Meanwhile, I'll continue flying.
0:32:15 > 0:32:19Well, today, I'm in the western part of the Lake District,
0:32:19 > 0:32:23close to Ennerdale Water, and what a stunning spot it is, too.
0:32:23 > 0:32:26Popular with walkers and holidaymakers and, well,
0:32:26 > 0:32:28what a fantastic place to live.
0:32:28 > 0:32:33There's convenient, cos the property that was up for auction is just by here.
0:32:35 > 0:32:37Arlecdon is a small former mining village
0:32:37 > 0:32:40about five miles from Whitehaven.
0:32:40 > 0:32:43There are rather limited local amenities,
0:32:43 > 0:32:46but it's desirable for holiday lets
0:32:46 > 0:32:48as it's so close to the Lake District.
0:32:48 > 0:32:54Well, the village is made up primarily of just a couple of streets of terraced houses,
0:32:54 > 0:32:57and it's one of those that was up for auction.
0:32:57 > 0:33:00Two bedrooms, two reception rooms, woofy dogs - let's a look.
0:33:02 > 0:33:07This two-bed terrace had a guide price of £35-£45,000,
0:33:07 > 0:33:11but this busy road might put some potential buyers off.
0:33:11 > 0:33:15Let's hope those windows are double-glazed.
0:33:15 > 0:33:20# Take me home down country roads... #
0:33:20 > 0:33:24Well, at least you've got a double-glazed door to keep away
0:33:24 > 0:33:27the noise from the road and straight into the lounge.
0:33:27 > 0:33:29Good news - it doesn't actually smell damp.
0:33:29 > 0:33:31It looks in reasonable condition
0:33:31 > 0:33:34but it could do with a bit of a coat of paint and a redecoration
0:33:34 > 0:33:38but, apart from that, it's pretty altogether.
0:33:38 > 0:33:40Steep stairs up to your bedrooms but lots and lots of
0:33:40 > 0:33:43storage space right underneath there,
0:33:43 > 0:33:46which gives this rear living room area a really nice feel.
0:33:46 > 0:33:50And then the property just keeps on going back and back and back!
0:33:50 > 0:33:54A galley-style kitchen - again, it could do with a bit of tidying up
0:33:54 > 0:33:58and replacement, but it's a good-sized space.
0:33:58 > 0:34:01Toilet and bathroom on the end there, which isn't ideal.
0:34:01 > 0:34:04Obviously, you'd prefer it upstairs but, overall,
0:34:04 > 0:34:07what seems like a fairly small property from the front...
0:34:07 > 0:34:10Well, what a surprise when you get inside!
0:34:10 > 0:34:12"DOCTOR WHO" THEME TUNE
0:34:13 > 0:34:16Yes, it's definitely got that Tardis feel,
0:34:16 > 0:34:20being much more spacious inside than it looks from outside.
0:34:20 > 0:34:22And, whilst it's tired and dated,
0:34:22 > 0:34:26there's really nothing major to do here.
0:34:26 > 0:34:29As a rental or, better still, a holiday let,
0:34:29 > 0:34:32you could save yourself a lot of money and bother
0:34:32 > 0:34:34by leaving the bathroom where it is.
0:34:34 > 0:34:37Upstairs, there are two good-sized double bedrooms
0:34:37 > 0:34:40and the back one has a huge plus point.
0:34:40 > 0:34:42Well, upstairs, you've got
0:34:42 > 0:34:45these really nice, big windows which open out fully,
0:34:45 > 0:34:49which means you can truly appreciate the lovely views out the back.
0:34:49 > 0:34:55# The view from the top
0:34:55 > 0:35:01# Can be oh so very lovely... #
0:35:01 > 0:35:05This lovely view would be much appreciated in that back garden,
0:35:05 > 0:35:09an asset to have in a beautiful rural property like this.
0:35:09 > 0:35:11So, at the rear of the property,
0:35:11 > 0:35:16you've got these lovely open fields and this really nice garden.
0:35:16 > 0:35:19And...here's where the woofing was coming from. Hello.
0:35:19 > 0:35:21DOG BARKS
0:35:21 > 0:35:22Yeah, exactly.
0:35:22 > 0:35:25It's kennels - that's a bit strange.
0:35:25 > 0:35:28Well, maybe it isn't because, actually,
0:35:28 > 0:35:31that garden isn't owned by this property.
0:35:31 > 0:35:34It's owned by the next-door neighbour.
0:35:34 > 0:35:38This property actually only has this little bit of concrete just here.
0:35:41 > 0:35:42Oh, dear.
0:35:42 > 0:35:45# Oh, dear
0:35:45 > 0:35:46# Oh, dear... #
0:35:46 > 0:35:49It seems strange not to have more outdoor space,
0:35:49 > 0:35:54especially considering the great views of the countryside out back,
0:35:54 > 0:35:56and the size of the property.
0:35:56 > 0:35:59So I wonder what the prospects are for this canine cottage.
0:36:00 > 0:36:02With a guide price of 35 to 45,000,
0:36:02 > 0:36:05we asked the auctioneer who sold it
0:36:05 > 0:36:08for his opinion on this two-bed terrace.
0:36:09 > 0:36:12All of these properties had a garden at one time,
0:36:12 > 0:36:16but they've been sold on to the neighbours over the years.
0:36:16 > 0:36:20Some people would want a garden, some people don't want garden.
0:36:20 > 0:36:23This particular one doesn't have one, so it would suit
0:36:23 > 0:36:27the young professional, the holiday home, or the buy-to-let market.
0:36:29 > 0:36:32And what about the noisy neighbours?
0:36:32 > 0:36:35Well, the current neighbours have dogs,
0:36:35 > 0:36:38which could be looked upon as a plus or a minus.
0:36:38 > 0:36:41The plus is you're very unlikely to get burglars.
0:36:41 > 0:36:44The minus might be you wake up early.
0:36:44 > 0:36:47Well, that's looking on the bright side.
0:36:47 > 0:36:50There is always a positive but, with that in mind,
0:36:50 > 0:36:53how much does he think it would fetch as a rental?
0:36:53 > 0:36:58Once this property was refurbished, it would probably achieve,
0:36:58 > 0:37:01in the rental market, £395 per calendar month.
0:37:01 > 0:37:03If it was to be turned into a holiday home,
0:37:03 > 0:37:07you may get up to £400 a week in the peak periods.
0:37:09 > 0:37:12So, as a holiday let, it could be quite lucrative
0:37:12 > 0:37:17and perhaps make the lack of back garden less of an issue here.
0:37:17 > 0:37:20But, out of interest, what could it achieve if sold on?
0:37:20 > 0:37:22Once this property was fully renovated,
0:37:22 > 0:37:27pristine showroom condition, it would probably achieve £65-£70,000.
0:37:29 > 0:37:31Well, it's a nice enough house
0:37:31 > 0:37:34and you certainly can't knock the view over the hills there,
0:37:34 > 0:37:37but this busy road might just put me off.
0:37:37 > 0:37:40Let's see who wasn't put off when it went under the hammer.
0:37:44 > 0:37:46Lovely location, this.
0:37:46 > 0:37:48Two-bedroom terraced property,
0:37:48 > 0:37:51situated in a popular, rural location.
0:37:51 > 0:37:52Start me off at 40.
0:37:52 > 0:37:5430?
0:37:54 > 0:37:56Not going lower.
0:37:56 > 0:37:5825, then.
0:37:58 > 0:38:0125, I've got, back of the room.
0:38:01 > 0:38:03At £25,000...
0:38:04 > 0:38:0626, it's a bid now. 27?
0:38:06 > 0:38:0927, I've got. 28, I've got here, seated.
0:38:09 > 0:38:1229, 30,
0:38:12 > 0:38:14one, two, three.
0:38:14 > 0:38:1633 and a half, 34.
0:38:16 > 0:38:1935, 36?
0:38:19 > 0:38:21Shake of the head.
0:38:21 > 0:38:24It's with you at 35. You've been with me all the way.
0:38:24 > 0:38:26At £35,000, I'm selling this.
0:38:26 > 0:38:27Don't lose it.
0:38:27 > 0:38:30At £35,000, first time...
0:38:30 > 0:38:32At £35,000, second time...
0:38:32 > 0:38:35Third and final time, then...
0:38:35 > 0:38:36All done. Selling away.
0:38:36 > 0:38:38Sold to the rear. Well done.
0:38:39 > 0:38:41That successful bid of £35,000
0:38:41 > 0:38:48was made by retired police officer Joe and his wife Carolyn, who's a crime scene investigator.
0:38:48 > 0:38:52I met Joe back at this Cumbrian hideaway to find out
0:38:52 > 0:38:56if the couple had detected a great little investment here.
0:38:56 > 0:39:00- Joe, really good to meet you. - And you.- Congratulations.- Thank you.
0:39:00 > 0:39:02Tell me why you wanted to buy the house.
0:39:02 > 0:39:04- Erm, well, it's your fault, really.- Oh.
0:39:04 > 0:39:07Yeah, because if the wife hadn't seen this programme on television
0:39:07 > 0:39:10a couple of year ago and started watching it regularly,
0:39:10 > 0:39:12we wouldn't be here today.
0:39:12 > 0:39:15- We inspired you, then? - Well, I wouldn't say inspired ME.
0:39:15 > 0:39:16You inspired my wife.
0:39:16 > 0:39:20So do I detect a certain, erm,
0:39:20 > 0:39:24unwilling party to this whole thing about your demeanour?
0:39:24 > 0:39:26To start with, yes. I'm into it now.
0:39:26 > 0:39:28So why this house, particularly?
0:39:28 > 0:39:31It's fairly central for the Lake District.
0:39:31 > 0:39:34We didn't want anything on the coast.
0:39:34 > 0:39:38It's a nice little village and it was a reasonable priced property.
0:39:38 > 0:39:41And what have you bought it for, what are you going to do with it?
0:39:41 > 0:39:44- As a holiday let.- Oh!
0:39:44 > 0:39:47Have you got any experience in holiday lets or anything like that?
0:39:47 > 0:39:50- Nothing at all.- OK. - We're both starting from scratch.
0:39:50 > 0:39:54- OK.- We're being advised by friends, so we'll just take their advice
0:39:54 > 0:39:55and see what happens.
0:39:55 > 0:39:59Right. And the demand for that kind of thing around here...?
0:39:59 > 0:40:01There's a good demand for it.
0:40:01 > 0:40:05Any friends that we've talked to have got similar houses.
0:40:05 > 0:40:09- They're let most of the year. - Really?- Yeah.
0:40:09 > 0:40:11- What, year-round?- Year-round.
0:40:11 > 0:40:15# Holiday
0:40:15 > 0:40:17# Celebrate... #
0:40:17 > 0:40:19With two double bedrooms
0:40:19 > 0:40:23and even the possibility of a sofa bed in the rear living area,
0:40:23 > 0:40:27you could get up to six people holidaying in this house at a time.
0:40:27 > 0:40:31Joe will need to factor in the cost of furnishing and maintaining it,
0:40:31 > 0:40:35as well as the business side of holiday lets, which can be a lot of work.
0:40:35 > 0:40:39But first things first. What are the renovation plans?
0:40:39 > 0:40:43Strip it to start with, get the wallpaper off, see what the walls are like.
0:40:43 > 0:40:48They look fairly sound. Take the kitchen out, put a new kitchen in.
0:40:48 > 0:40:50We're thinking about blocking the back door up
0:40:50 > 0:40:54and putting the back door further this way to make a bigger bathroom,
0:40:54 > 0:40:57put a bigger bathroom suite in, a shower.
0:40:57 > 0:41:02All the windows are double-glazed so they just need cleaning up.
0:41:02 > 0:41:07Joe also plans to install wooden flooring in the front and back living areas,
0:41:07 > 0:41:10new carpets upstairs in both bedrooms and a new front door.
0:41:12 > 0:41:15He will be working on the property full-time
0:41:15 > 0:41:16with help from his eldest son,
0:41:16 > 0:41:21and will contract in plumbers and electricians as needed.
0:41:21 > 0:41:24What Joe's timescale and budget for the work?
0:41:24 > 0:41:26We think about four to six month.
0:41:26 > 0:41:29We should have its back broken by then.
0:41:29 > 0:41:32Right. And the cost, the budget you've got set aside?
0:41:32 > 0:41:34Up to about £6,000.
0:41:34 > 0:41:39Well, £6,000 might be a little tight for what he's got planned here,
0:41:39 > 0:41:42but Joe has sussed out whether or not the neighbour's dogs
0:41:42 > 0:41:45are likely to turn into a pet hate for holidaying tenants.
0:41:45 > 0:41:49Once they get used to people, they're no problem at all.
0:41:49 > 0:41:51I've just been talking to the lad next door.
0:41:51 > 0:41:56He says, "Once they get used to you, after a couple of hours, "they're no problem at all."
0:41:56 > 0:41:59But at least it tells you when there's anybody knocking about,
0:41:59 > 0:42:00which can't be a bad thing.
0:42:00 > 0:42:03And the fact that you haven't got a garden...
0:42:03 > 0:42:04No, there's nothing at the back.
0:42:04 > 0:42:07Doesn't matter if it's a holiday let, I suppose.
0:42:07 > 0:42:10- It doesn't matter at all, no. - Congratulations. Good luck with it.
0:42:10 > 0:42:12- Thank you very much.- I look forward to seeing how you get on.- OK.
0:42:14 > 0:42:19Well, Joe may well be a reluctant entry into the property rental market
0:42:19 > 0:42:24but, actually, I think he's come to a really good solution for the use of this place,
0:42:24 > 0:42:30which means that the problems of the dogs and the lack of outdoor space don't really matter.
0:42:30 > 0:42:33A holiday let, but don't underestimate the amount of effort
0:42:33 > 0:42:35it takes to successfully run a holiday let.
0:42:35 > 0:42:40There's lots of work to be done to sort this place out before they get their first visitors.
0:42:40 > 0:42:43You can find out how they get on later in the show.
0:42:46 > 0:42:49Well, those plans and ideas seemed so good at the time.
0:42:49 > 0:42:54But now the months have gone by, have those dreams become a reality?
0:42:54 > 0:42:55Hmm, let's find out.
0:43:01 > 0:43:04We head back to Stoke Newington, north London,
0:43:04 > 0:43:08where earlier we met Debbie, a fashion designer.
0:43:08 > 0:43:10She bought the flat at auction for 130,000
0:43:10 > 0:43:13as a joint investment with her brother.
0:43:13 > 0:43:16The exterior promised much,
0:43:16 > 0:43:21but in fashionable Stoke Newington, this is what 130,000 buys you.
0:43:21 > 0:43:25In fact, I should have added the word "studio" in front of "flat"
0:43:25 > 0:43:28but Debbie, who describes herself as obsessed with properties,
0:43:28 > 0:43:31had a big vision for this small property.
0:43:31 > 0:43:35She planned to change the layout to make the most of this space.
0:43:35 > 0:43:38Where is currently the kitchen is going to be the bedroom,
0:43:38 > 0:43:41where is currently the bedroom will be a kind of living/kitchen room area.
0:43:41 > 0:43:45You've got somewhere to eat and somewhere separate to go on an evening when you go to bed.
0:43:45 > 0:43:47If you do have guests, you've still got privacy.
0:43:47 > 0:43:50Yeah, I don't think you could fit a guest in there, to be honest!
0:43:50 > 0:43:53- What, is nobody ever going to visit you?- No.
0:43:56 > 0:43:59Well, let's hope that's not true because, two months later,
0:43:59 > 0:44:03we return to visit Debbie to see if her fashion designing skills
0:44:03 > 0:44:06had indeed fashioned something out of this cramped space.
0:44:06 > 0:44:08And I reckon the results
0:44:08 > 0:44:11are definitely worthy of a property catwalk.
0:44:34 > 0:44:38Well, the fashion police can turn those sirens off because Debbie
0:44:38 > 0:44:41has created a stunning little number -
0:44:41 > 0:44:43compact, contemporary and stylish.
0:44:46 > 0:44:51Debbie is on hand to talk us through the big changes here.
0:44:54 > 0:44:57So, originally this was the bathroom but the door was here,
0:44:57 > 0:45:00so we've kept the bathroom in the same place,
0:45:00 > 0:45:02but we've put in the converging pocket doors.
0:45:02 > 0:45:07So you can open or close them just to have extra room into the bathroom.
0:45:07 > 0:45:09This used to be the kitchen.
0:45:09 > 0:45:12There used to be a long corridor with a door going into the kitchen.
0:45:12 > 0:45:15We've now changed that and removed the entire corridor
0:45:15 > 0:45:17and put a built-in wardrobe here.
0:45:17 > 0:45:20Then there was a door at the far end that used to be a small studio room,
0:45:20 > 0:45:23so that now the open plan kind of living/kitchen area.
0:45:23 > 0:45:26I think it works much better now cos it's much more open plan.
0:45:28 > 0:45:30It's a clever transformation from its former self,
0:45:30 > 0:45:34with integrated wardrobes and appliances stowed neatly away,
0:45:34 > 0:45:38a place for everything and everything in its place.
0:45:38 > 0:45:42But Debbie did have moments of doubt as to whether this would all work.
0:45:42 > 0:45:46At one point, we took all the walls down - my brother took all the walls himself -
0:45:46 > 0:45:49and it was a bit scary because you could just see it as one room.
0:45:49 > 0:45:53We were a bit worried then that we wouldn't fit everything in because it was so small.
0:45:53 > 0:45:56I mean, it was smaller than an average living room,
0:45:56 > 0:46:01but once we started putting the walls back in, there was room to fit everything.
0:46:01 > 0:46:06That was a relief but there were other problems which Debbie and her brother didn't anticipate.
0:46:06 > 0:46:09We didn't realise until we started getting people in,
0:46:09 > 0:46:12when we had the plasterer, electrician and plumber in at the same time,
0:46:12 > 0:46:13that they wouldn't be able to fit in.
0:46:13 > 0:46:17Also, because the floor had been up, and all the pipeworks were getting changed,
0:46:17 > 0:46:21it wasn't till then you realised you could only fit one person in that the same time.
0:46:21 > 0:46:25# It's a small world after all
0:46:26 > 0:46:30# It's a small, small world... #
0:46:30 > 0:46:34Tradesmen rewired, replumbed and replastered the flat.
0:46:34 > 0:46:38That left the pair to get on with the fun part - creating a new property.
0:46:38 > 0:46:42Myself and my brother have been doing most of the work ourselves,
0:46:42 > 0:46:45so we've been here every day on an evening and at weekends as well.
0:46:45 > 0:46:49My brother fitted most of the kitchen, I did all the painting.
0:46:49 > 0:46:52We've done most things together and designed all the interior ourselves.
0:46:52 > 0:46:54We've been here quite a lot.
0:46:55 > 0:46:58Debbie's fashion background is easy to see,
0:46:58 > 0:47:01judging by the gorgeous styling, colour and tones used here.
0:47:01 > 0:47:06It may be a small flat, but did this modern feel come at the price?
0:47:06 > 0:47:10We've spent £12,000 on the budget, so originally we said ten to 15,
0:47:10 > 0:47:13so we've come in under the 15, which is really good.
0:47:15 > 0:47:18Add that to her £130,000 purchase price
0:47:18 > 0:47:22and the total outlay is 142,000.
0:47:22 > 0:47:25So, with a lot of work and money spent on the place,
0:47:25 > 0:47:27what's the plan now?
0:47:27 > 0:47:30The plan was originally to possibly move in but I think,
0:47:30 > 0:47:32because the finish is how it is now,
0:47:32 > 0:47:35we'd like to keep it that way, and as soon as you move in,
0:47:35 > 0:47:38things start to get a bit ruined, so we just want to sell it now.
0:47:40 > 0:47:43Time to hear what two local estate agents think
0:47:43 > 0:47:45of Debbie's £142,000 investment.
0:47:47 > 0:47:49Well, having seen the property before,
0:47:49 > 0:47:51coming back today, I'm absolutely amazed.
0:47:51 > 0:47:53They've done a really, really good job.
0:47:53 > 0:47:55I think it's just opened it up.
0:47:55 > 0:47:58I think what they've done with it, in terms of the interior, the decor,
0:47:58 > 0:48:00I think it works really, really well.
0:48:00 > 0:48:03My first impressions are the quality of the finish -
0:48:03 > 0:48:05it's been done to a very nice standard,
0:48:05 > 0:48:09and that somewhat compensates for the space.
0:48:10 > 0:48:14What do they think the property could fetch if sold on,
0:48:14 > 0:48:17bearing in mind Debbie's total spend of £142,000?
0:48:20 > 0:48:24I would expect the property to achieve about £150,000,
0:48:24 > 0:48:27which is the threshold for stamp duty.
0:48:27 > 0:48:32I would probably put this on for around about 180,000,
0:48:32 > 0:48:34possibly £185,000.
0:48:34 > 0:48:36One valuation is quite low but the other, I think,
0:48:36 > 0:48:40is what we were hoping for, so if we can make that amount of money on it,
0:48:40 > 0:48:41that's great for two months' work.
0:48:41 > 0:48:46The agents' estimates mean Debbie's potential pre-tax profit
0:48:46 > 0:48:50would be from eight up to £43,000.
0:48:50 > 0:48:54The key is that stamp duty threshold of 150,000.
0:48:54 > 0:48:57But, should she fail to shift the flat,
0:48:57 > 0:49:00the agents reckon the rentals could range from
0:49:00 > 0:49:02750 to 850 per calendar month,
0:49:02 > 0:49:06meaning an annual rental yield of around six to seven per cent.
0:49:12 > 0:49:16But those returns and that quick turnaround haven't
0:49:16 > 0:49:20given Debbie any grand ideas about her next project.
0:49:20 > 0:49:22I think we'll try and take on another one like this,
0:49:22 > 0:49:25another small studio, cos in the amount of time it takes to do,
0:49:25 > 0:49:27the work stacks up quite well on the profit side.
0:49:27 > 0:49:29So, come on, Debbie.
0:49:29 > 0:49:34After this little renovation, is your heart in fashion or property?
0:49:34 > 0:49:35Still property.
0:49:37 > 0:49:42Since filming, Debbie's happily accepted an offer on the flat
0:49:42 > 0:49:45of 182,000, which is great news.
0:49:50 > 0:49:52Earlier, we were in Arlecdon
0:49:52 > 0:49:56on the west side of the beautiful Lake District.
0:49:56 > 0:50:00Here, Joe had purchased this two-bed terrace property at the
0:50:00 > 0:50:05auction for £35,000 after a little cajoling from his wife Carolyn.
0:50:05 > 0:50:09She got the idea from none other than Homes Under The hammer.
0:50:09 > 0:50:12- We inspired you, then. - Well, I wouldn't say inspired ME.
0:50:12 > 0:50:13You inspired my wife.
0:50:13 > 0:50:16So do I detect a certain, erm,
0:50:16 > 0:50:20unwilling party to this whole thing about your demeanour?
0:50:20 > 0:50:23To start with, yes. Yeah. I'm into it now.
0:50:23 > 0:50:26Well, let's hope that Joe stuck to his words
0:50:26 > 0:50:28when the hard graft started.
0:50:28 > 0:50:33He and Carolyn planned to turn it into a holiday let in four to six months.
0:50:33 > 0:50:36Well, we returned just over seven months later to see
0:50:36 > 0:50:38if it's all been a bit of a breeze.
0:50:56 > 0:50:58Wow, what a difference!
0:50:58 > 0:51:02Joe has definitely listened to this property's SOS call.
0:51:03 > 0:51:05The house has had a complete overall,
0:51:05 > 0:51:09with all the rooms either skimmed or stripped right back to bare brick,
0:51:09 > 0:51:13replastered, redecorated and refloored throughout.
0:51:14 > 0:51:18As a holiday let, it really is a home from home -
0:51:18 > 0:51:20comfortable, clean and fresh.
0:51:20 > 0:51:23Joe's pride and joy is the kitchen.
0:51:25 > 0:51:27Well, this is our new kitchen.
0:51:27 > 0:51:31We got the ceiling lowered so we could have down lights.
0:51:31 > 0:51:35The wall behind us - there was two walls - we got them knocked out.
0:51:35 > 0:51:38That was the main concern - the bathroom and the two walls.
0:51:38 > 0:51:42The bathroom is a lot larger than what it was.
0:51:42 > 0:51:47The breakfast bar is so we didn't have to have
0:51:47 > 0:51:49any table or chairs in the dining room.
0:51:49 > 0:51:52We put up a breakfast bar here and that was it.
0:51:52 > 0:51:53We just love it completely.
0:51:56 > 0:51:59Upstairs, the two bedrooms have also been stripped back
0:51:59 > 0:52:03and brought right up-to-date with bold feature wallpaper
0:52:03 > 0:52:06and colour-coordinated fixtures, fittings and furnishings.
0:52:08 > 0:52:12And, to get upstairs, well, a new staircase has been built.
0:52:12 > 0:52:17It's still to be finished off with glass panels at the side and a wooden handrail,
0:52:17 > 0:52:20but it's not what Joe originally had in mind.
0:52:20 > 0:52:23We wanted to put a circular staircase in the corner but,
0:52:23 > 0:52:28because of the beam up above, we were restricted with height and width,
0:52:28 > 0:52:33so we opted... The next thing was to get an open-plan staircase
0:52:33 > 0:52:36to make it lighter underneath the stairs.
0:52:36 > 0:52:39After that, we decided we'd replace the fireplace.
0:52:39 > 0:52:43We got a marble back and base, and that's it.
0:52:43 > 0:52:45We're very pleased with it.
0:52:45 > 0:52:48And so he should be. He's made the most out of the space
0:52:48 > 0:52:51and created a practical but comfortable holiday rental,
0:52:51 > 0:52:54with some lovely personal touches.
0:52:57 > 0:53:01It's partly because Joe and Carolyn plan to stay here themselves sometimes,
0:53:01 > 0:53:02but this has all come at a cost.
0:53:02 > 0:53:08The original renovation budget was 6,000 but they've spent 15,000,
0:53:08 > 0:53:11though Joe's got no regrets.
0:53:11 > 0:53:13Oh, definitely been worth it.
0:53:13 > 0:53:15When you look around the house now, it's so homely.
0:53:15 > 0:53:20We went slightly over budget but we wanted it as we would like it.
0:53:20 > 0:53:24If we go on holiday, we would like somewhere like this.
0:53:24 > 0:53:27Even though they did go over their budget by £9,000,
0:53:27 > 0:53:30that's not to say they weren't thrifty.
0:53:30 > 0:53:34My wife was scouring the weekend local paper,
0:53:34 > 0:53:39and dragging me out at night-time to eye the pieces of furniture up.
0:53:39 > 0:53:45And then it was put the trailer on the van and go next day and pick the pieces up.
0:53:45 > 0:53:48So that was really quite cheap.
0:53:48 > 0:53:51Hmm, he said she dragged him to the auction, too,
0:53:51 > 0:53:54and look how that turned out!
0:53:54 > 0:53:57I think he may secretly enjoy the things his wife drags him to!
0:53:57 > 0:53:58Joe?
0:53:58 > 0:53:59No.
0:54:01 > 0:54:04Definitely not. I'm not giving in to that.
0:54:04 > 0:54:09Whatever you say, this was the first renovation that Joe and Carolyn have done.
0:54:09 > 0:54:12They managed to do it within their six-month timescale.
0:54:12 > 0:54:15They spent as much time here as possible so, hopefully,
0:54:15 > 0:54:18their hard work was worth it.
0:54:18 > 0:54:21When you see the actual finished product,
0:54:21 > 0:54:23it's been well worth it, but at times,
0:54:23 > 0:54:28the dark nights and the cold nights, you're thinking, "What I doing here?
0:54:28 > 0:54:30"Am I going to do this again?"
0:54:30 > 0:54:36Well, I happen to know that they already have their eye on another property that's up for auction.
0:54:36 > 0:54:40But, before that, we invited two local property experts
0:54:40 > 0:54:41to this holiday pad.
0:54:41 > 0:54:45The property cost £35,000 and Joe and Carolyn spent
0:54:45 > 0:54:51a further £15,000 on the renovation, taking the total to £50,000.
0:54:51 > 0:54:54Let's find out if it's been a good investment.
0:54:54 > 0:54:58I think this property's in a really good condition now.
0:54:58 > 0:55:01They've improved almost every part of the property
0:55:01 > 0:55:04and what they've done, they've done really well.
0:55:04 > 0:55:06I think it's a very, very nice finish
0:55:06 > 0:55:08and I think it'll be very popular.
0:55:09 > 0:55:11I think it's very nice.
0:55:11 > 0:55:15I'm very impressed with the standard of fittings that have been
0:55:15 > 0:55:17put in place and I also like the way that
0:55:17 > 0:55:21they've utilised space in the modernisation process as well.
0:55:21 > 0:55:23According to our research,
0:55:23 > 0:55:27a holiday let like this around here can fetch from around
0:55:27 > 0:55:32£230 per week in low season to just over £480 a week in peak season.
0:55:32 > 0:55:37The couple hope to achieve a healthy average throughout the year
0:55:37 > 0:55:40of around £350 per week if they're very lucky.
0:55:40 > 0:55:44After all this work to turn it into a holiday home,
0:55:44 > 0:55:47could they be a tiny bit tempted to sell,
0:55:47 > 0:55:49remembering the total spend of £50,000?
0:55:49 > 0:55:53Let's find out what it's worth on the resale market.
0:55:53 > 0:55:56I think if this property was exposed to the sales market,
0:55:56 > 0:55:59he would achieve a figure in the region of £70,000.
0:55:59 > 0:56:03Somewhere in the region of £75,000.
0:56:03 > 0:56:04I'm amazed.
0:56:04 > 0:56:08Not that it makes any difference to us cos we're not going to sell it.
0:56:08 > 0:56:13We bought it as a project for a holiday let
0:56:13 > 0:56:17and I'm quite surprised at the price, the valuation.
0:56:17 > 0:56:18Pleasantly surprised.
0:56:18 > 0:56:22Well, we all love nice surprises on this show!
0:56:22 > 0:56:27There's a potential pre-tax profit of £20-£25,000,
0:56:27 > 0:56:30but they're not tempted to sell and no wonder.
0:56:30 > 0:56:34And one last thing to ask Joe before we go -
0:56:34 > 0:56:37did the pooches next door cause them any problems?
0:56:38 > 0:56:42All the dogs are on speaking terms with us, so there was no bother.
0:56:42 > 0:56:45Give them a biscuit and they went quiet.
0:56:45 > 0:56:47We're on first-name terms with them!
0:56:50 > 0:56:51Well, that's it for now.
0:56:51 > 0:56:54Did we inspire you or put you off trying it for yourself?
0:56:54 > 0:56:57Join us next time for more Homes Under The Hammer.
0:56:57 > 0:56:59- See you then.- Goodbye.- Goodbye.
0:57:17 > 0:57:21Subtitles by Red Bee Media Ltd