0:00:01 > 0:00:02Hello. Now, in the current climate,
0:00:02 > 0:00:06it might be a little tricky to find your own piece of house heaven.
0:00:06 > 0:00:09Whether they're large or small, you know,
0:00:09 > 0:00:11auctions can be a great place to start.
0:00:11 > 0:00:15So, join us now as we follow three plucky buyers,
0:00:15 > 0:00:16buying their homes under the hammer.
0:00:41 > 0:00:44Well, if you've decided to take a gamble
0:00:44 > 0:00:46and place a bet on property developing,
0:00:46 > 0:00:48then you may want to buy at auction.
0:00:48 > 0:00:52Yes, the atmosphere is electric, the bidding is fast and furious.
0:00:52 > 0:00:54- It's not for the faint-hearted.- No.
0:00:54 > 0:00:57So here are the three properties that inspired the buyers
0:00:57 > 0:00:58on today's programme.
0:00:59 > 0:01:00'Judging by the new door,
0:01:00 > 0:01:05'you might think this Newcastle semi has been modernised inside.'
0:01:05 > 0:01:08However, that would be wrong because that's all that's been done!
0:01:09 > 0:01:11'If properties could talk, I wonder
0:01:11 > 0:01:15'what this house in Bristol would say about its current condition.'
0:01:15 > 0:01:19"Show me some love! I need attention! Please save me!"
0:01:19 > 0:01:22'And this one-bedroom flat in Stoke-on-Trent
0:01:22 > 0:01:25'may be a tad on the teeny size, but...'
0:01:25 > 0:01:28it makes the most of what it's got. And I like it.
0:01:31 > 0:01:34'All these properties were sold at auction.
0:01:34 > 0:01:36'We'll find out who bought them and what they paid for them
0:01:36 > 0:01:38'when they went under the hammer.'
0:01:45 > 0:01:47'Welcome to Newcastle, a city with
0:01:47 > 0:01:50'a proud industrial and architectural heritage,
0:01:50 > 0:01:56'not only on this grand a scale, but also on a more modest level, too.'
0:01:58 > 0:02:01Well, it's looking very positive so far.
0:02:01 > 0:02:03Nice area, lovely residential street,
0:02:03 > 0:02:06and a pretty attractive property from the outside.
0:02:06 > 0:02:101930s semi, three bedrooms at a guide price of 120,000 quid.
0:02:10 > 0:02:12Let's see how it's fared.
0:02:16 > 0:02:18'I'd say rather well, judging from the front.
0:02:18 > 0:02:22'This type of traditional semi-detached is often regarded
0:02:22 > 0:02:25'as rather too compact for present-day family living,
0:02:25 > 0:02:28'leading many residents to extend and expand.'
0:02:32 > 0:02:35Well, modern plastic door could give the impression
0:02:35 > 0:02:38that there's been a reasonable amount of modernisation
0:02:38 > 0:02:40happen to the property over all those years.
0:02:40 > 0:02:44However, that would be wrong cos that's all that's been done!
0:02:44 > 0:02:46And actually, it could be
0:02:46 > 0:02:49this place is all the better for it because into the front entrance here,
0:02:49 > 0:02:52and you're struck by this wood panelling.
0:02:52 > 0:02:56Now, your first thought might be, "Just get rid of it." I think that'll be a real shame.
0:02:56 > 0:02:58This is very back in fashion,
0:02:58 > 0:03:01and either strip this back to reveal whatever wood is underneath,
0:03:01 > 0:03:05or paint it with a modern eggshell-type paint.
0:03:05 > 0:03:09And that would be, I think, a really amazing entrance to the property.
0:03:09 > 0:03:12You've got your front sitting room area with the big bay window.
0:03:12 > 0:03:15We like that. A rear sitting room area there.
0:03:15 > 0:03:17Door leading out onto the rear garden there.
0:03:17 > 0:03:20It gets a bit strange as you come over to this side of the property there
0:03:20 > 0:03:23cos you've got this sort of tiny little room here.
0:03:23 > 0:03:25And on through to...
0:03:27 > 0:03:29HE LAUGHS
0:03:29 > 0:03:30..the kitchen!
0:03:30 > 0:03:32Now, believe it or not, again,
0:03:32 > 0:03:36these kind of units are very, very trendy at the moment.
0:03:36 > 0:03:39So, think about re-using those.
0:03:39 > 0:03:41As a room, though, I don't like it.
0:03:41 > 0:03:44Horrible, nasty polystyrene ceiling tiles.
0:03:44 > 0:03:46It's got masses amounts of damp going on.
0:03:46 > 0:03:50The floor feels really strange, and I doubt there's a damp-proof course here.
0:03:50 > 0:03:52So there needs to be some thought about how you're going to get
0:03:52 > 0:03:54a kitchen into the main part of the property.
0:03:54 > 0:03:56But I think you've got space to do it.
0:03:56 > 0:03:59And it's got a nice feeling to it, this place.
0:04:01 > 0:04:05'I'd be inclined to preserve the period details of this property.
0:04:05 > 0:04:09'The stained-glass bay window in the front reception room is particularly lovely.
0:04:09 > 0:04:14'So the right balance between renovation and modernisation needs to be struck.'
0:04:17 > 0:04:22'In the rear reception room, I do like the door leading to the back garden.
0:04:22 > 0:04:25'The floorboards could be sanded and varnished.
0:04:25 > 0:04:30'As for the wallpaper, the distinct design might not appeal to all tastes,
0:04:30 > 0:04:32'so I'd recommend something a bit more neutral.
0:04:32 > 0:04:34'But that's easily dealt with.'
0:04:36 > 0:04:37# The big rip-off
0:04:37 > 0:04:39# The big rip-off
0:04:39 > 0:04:43# Get ready, It's the great big rip-off... #
0:04:43 > 0:04:45Well, coming out into the rear of the garden
0:04:45 > 0:04:48and this whole feeling of just a house that is
0:04:48 > 0:04:51desperately in need of some tender loving care continues.
0:04:51 > 0:04:54It just needs some time and effort spent on it.
0:04:54 > 0:04:56But it would definitely be worth it.
0:04:56 > 0:05:00But what you have got is a half decent rear garden here,
0:05:00 > 0:05:03and something that definitely needs sorting out.
0:05:03 > 0:05:05Now, I'm not going to be a squirrel's best friend here
0:05:05 > 0:05:08because this tree has to go.
0:05:09 > 0:05:13# Come on out of that tree, Squirrel... #
0:05:15 > 0:05:18'The trees block the natural light
0:05:18 > 0:05:21'that should be brightening the interior of the house.
0:05:21 > 0:05:23'So it's time to get out the chainsaw.'
0:05:23 > 0:05:24SOUND OF CHAINSAW
0:05:24 > 0:05:26'Sorry, my furry friends!'
0:05:31 > 0:05:36Well, upstairs, and I don't know quite why I'm so taken with this place.
0:05:36 > 0:05:37But I am.
0:05:37 > 0:05:41I guess it's partly because some of the older houses I get to visit,
0:05:41 > 0:05:44you expect some of the original features to still be there,
0:05:44 > 0:05:45and they often are.
0:05:45 > 0:05:48But a house of this kind of age, 1930s,
0:05:48 > 0:05:52often they've had renovations done in their relatively short lifetime.
0:05:52 > 0:05:56And all the stuff from that era has gone. But not in this case.
0:05:56 > 0:05:58Things like the bathrooms with those tiles,
0:05:58 > 0:06:01they're probably going to be realistically ripped out.
0:06:01 > 0:06:03But they are of an era.
0:06:03 > 0:06:07Up here, you've got, you know, a decent amount of space.
0:06:07 > 0:06:10Separate loo and a bathroom, you know, the age-old debate.
0:06:10 > 0:06:14Do you actually keep those as two convert them into one?
0:06:14 > 0:06:16Really depends on what you're planning to use the house for.
0:06:16 > 0:06:19You've then got two good-sized double bedrooms
0:06:19 > 0:06:21and a slightly smaller bedroom.
0:06:21 > 0:06:23So lots of space.
0:06:23 > 0:06:24Few worrying things.
0:06:24 > 0:06:26Don't like that crack!
0:06:26 > 0:06:30And, in fact, this sort of whole back part of the house
0:06:30 > 0:06:33does seem to have a bit of a slope on it.
0:06:33 > 0:06:36So maybe it needs to be checked out for possible substances.
0:06:36 > 0:06:39But I am, for some reason,
0:06:39 > 0:06:41looking at this place with very rose-tinted spectacles.
0:06:41 > 0:06:45In fact, those kind of spectacles that kind of, like, go up slightly in the corners.
0:06:45 > 0:06:48You know, pink and blue kind of thing. You know what I mean?
0:06:48 > 0:06:50# Cos everything is beautiful
0:06:50 > 0:06:53# When you're looking through
0:06:53 > 0:06:57# Rose-coloured glasses
0:06:57 > 0:06:58# Take them off... #
0:06:58 > 0:07:02Well, it's time to remove those rose-tinted glasses,
0:07:02 > 0:07:04as far as this property is concerned.
0:07:04 > 0:07:07The cracks and sloping floors
0:07:07 > 0:07:11suggest there could be a serious issue with subsidence,
0:07:11 > 0:07:16which can be caused by trees planted too close to a house.
0:07:16 > 0:07:20Roots can grow into foundations and alter the water table.
0:07:20 > 0:07:24Time to hear a cry of, "Timber!"
0:07:26 > 0:07:29We asked a local estate agent for his opinion on this place,
0:07:29 > 0:07:33which had a guide price of £120,000.
0:07:33 > 0:07:39First, in relation to the property, traditional 1930s, pre-war,
0:07:39 > 0:07:41offering good family accommodation.
0:07:41 > 0:07:45In need of upgrading, but with some very good potential.
0:07:47 > 0:07:52How much could this property achieve on the sales market?
0:07:52 > 0:07:57Once renovated to a decent standard, we would expect to achieve a figure
0:07:57 > 0:08:02of approximately £220,000 to £230,000 in the current climate.
0:08:02 > 0:08:08Well, pick up this property for around the guide price of 120,000,
0:08:08 > 0:08:12and you could've bagged a bargain. What about rental?
0:08:12 > 0:08:16Once renovated, I'm confident this property would achieve
0:08:16 > 0:08:19a figure of approximately £800 per calendar month.
0:08:23 > 0:08:27Well, a bit of work to be done to sort this place out, but I reckon this house is a real find.
0:08:27 > 0:08:32Lovely location, nice proportions, just a good feel about this one.
0:08:32 > 0:08:35Let's see who agreed when it went under the hammer.
0:08:35 > 0:08:37Anyone want to give me 125 to start?
0:08:37 > 0:08:41125. We're up and going at 125.
0:08:41 > 0:08:44127-and-a-half. 127-and-a-half.
0:08:44 > 0:08:47130.
0:08:47 > 0:08:50132,500. It's 130,000.
0:08:50 > 0:08:54It's 130,000, 132-and-a-half. 135.
0:08:54 > 0:08:56135 bid.
0:08:56 > 0:08:59137,500.
0:08:59 > 0:09:05140. The gentleman sitting down at 137,500... 140, anywhere else?
0:09:05 > 0:09:11140 on the second row. 141. 142, 143...
0:09:11 > 0:09:15143 bid. 144, 145 on the telephone.
0:09:15 > 0:09:18146. 147?
0:09:21 > 0:09:23150,000 bid.
0:09:23 > 0:09:26155. 155?
0:09:26 > 0:09:28152. 152.
0:09:28 > 0:09:33Gentleman in the room at 154 bid. 156. 158?
0:09:33 > 0:09:37Gentleman in the room at £156,000... 158?
0:09:38 > 0:09:44We're in the room at £156,000. I'll take one. You have to be quick.
0:09:44 > 0:09:47I'm selling it once, 156, I'm selling for the second time.
0:09:47 > 0:09:50At £156,000...
0:09:51 > 0:09:57The man who made that successful bid of 156,000 was Andy.
0:10:01 > 0:10:07He lectures at the local university and has lived in the area for the past 30 years.
0:10:09 > 0:10:12- Andy, good to meet you.- Hi, and you. - Congratulations.- Thank you.
0:10:12 > 0:10:16- Tell me why you wanted to buy this place.- Well, I want to downsize.
0:10:16 > 0:10:18My daughter was living in London,
0:10:18 > 0:10:22and I want less space, but the advantages of being here.
0:10:22 > 0:10:26- Great. This is for you, then, is it? - Yeah.- Oh, brilliant.
0:10:26 > 0:10:31- So why this particular house? - Well, I wanted some outside space
0:10:31 > 0:10:34and I wanted a garage to use as a workshop.
0:10:34 > 0:10:40And it's got a good-sized garden at the back. I like gardening, so I wanted that.
0:10:40 > 0:10:43And enough room without being too big.
0:10:45 > 0:10:48If Andy plans on being green-fingered in the garden,
0:10:48 > 0:10:52does that mean the trees are for the chop?
0:10:52 > 0:10:55Now, at the back, there's that tree.
0:10:55 > 0:10:57There's two great, big fir trees.
0:10:57 > 0:11:00They're coming out straight away. The neighbours want them down.
0:11:00 > 0:11:02The first thing they said was, "What are you doing about the trees?"
0:11:02 > 0:11:05I said, "Pull them out." They said, "Hooray!"
0:11:05 > 0:11:08- So they all want them to go.- So what to do when you're not doing this?
0:11:08 > 0:11:14I work part-time in the local university. I teach a bit.
0:11:14 > 0:11:16- I'm really semi-retired now. - Teach what?
0:11:16 > 0:11:21- I teach... Filmmaking for drama students.- Oh, great!
0:11:21 > 0:11:27And production management for media students. I worked for the telly some years ago.
0:11:27 > 0:11:31- Oh, great, what did you do? - There was a kids' serial called Byker Grove which ran for years.
0:11:31 > 0:11:34- Byker Grove!- Yeah.- Legend.
0:11:34 > 0:11:37Yeah, it was my lifeline and my living for quite some time.
0:11:37 > 0:11:41- What did you do on Byker Grove? - I was production manager.- Wow! So that role was doing what?
0:11:41 > 0:11:47That means you kind of run the logistics of the ship and make sure
0:11:47 > 0:11:51that people do what they are supposed to do and don't misbehave.
0:11:51 > 0:11:57Sounds like great experience for project-managing a renovation.
0:11:57 > 0:12:02And if builders happen to give him the run-around, perhaps he'll be ready to rumble.
0:12:02 > 0:12:03# Let's get ready to rumble
0:12:03 > 0:12:06# Let's get ready to rumble
0:12:06 > 0:12:09# Get ready, get steady And rumble
0:12:09 > 0:12:12# Everybody rumble! Let's get ready to rumble... #
0:12:12 > 0:12:18Andy has a six-month timescale and a £60,000 budget for the renovation.
0:12:18 > 0:12:22So, tell me what you're going to do to sort it out.
0:12:22 > 0:12:26Well, there's obviously some structural issues here.
0:12:26 > 0:12:29All the floors tilt backwards a bit,
0:12:29 > 0:12:33probably about maybe a couple of inches lower at the back.
0:12:33 > 0:12:37And there's subsidence at the corner of the house,
0:12:37 > 0:12:40which has caused cracks that go all the way up.
0:12:40 > 0:12:42So, that's reasonably terrifying.
0:12:42 > 0:12:47Apart from that, it just means all the plumbing, all the wiring,
0:12:47 > 0:12:50all the decorating and a few bits of structural addition.
0:12:50 > 0:12:55But hopefully, he says, leading the question enormously,
0:12:55 > 0:12:58- you're going to leave some of the 1930s feel to it?- Yeah.
0:12:58 > 0:13:03We'll try and keep some of the glass, I might keep the panelling.
0:13:03 > 0:13:06- Oh, please, please, please, please! Oh, God!- It'll clean up.
0:13:06 > 0:13:10- I had a scratch at it, it's not bad. - I'm so happy you said that.- Yeah.
0:13:10 > 0:13:14- Congratulations.- Thank you.- Well done, I'm delighted the house has found you and you found it.- Yeah.
0:13:14 > 0:13:17- I look forward to seeing how you get on.- Thanks very much.
0:13:17 > 0:13:19# Watch us wreck the mic Psych! #
0:13:22 > 0:13:29Well, hopefully not too many dramas ahead for Andy when it comes to restoring this property.
0:13:29 > 0:13:31It's a good house and he's got some good ideas.
0:13:31 > 0:13:34You can see how he gets on later in the show.
0:13:37 > 0:13:45With its grand, imposing buildings, Bristol is a city steeped in history and tradition.
0:13:45 > 0:13:48But with the University of Bristol attracting students
0:13:48 > 0:13:51from all over the globe, it's far from fuddy-duddy.
0:13:55 > 0:13:57It retains a youthful outlook
0:13:57 > 0:14:01and continues to feature invigorating architecture.
0:14:04 > 0:14:09Today, I'm in the nearby suburban town of Longwell Green.
0:14:09 > 0:14:12Just a few minutes walk from all the shops,
0:14:12 > 0:14:17and I'm here to see today's auction lot. It's a semi-detached house in this quiet cul-de-sac,
0:14:17 > 0:14:23and it had a guide price of 100 to £110,000.
0:14:23 > 0:14:27A similar-sized property sold for £200,000 last year,
0:14:27 > 0:14:31and so, that guide price sounds worryingly low.
0:14:31 > 0:14:34Upon closer inspection,
0:14:34 > 0:14:39it's plain to see this property is in dire need of some TLC.
0:14:39 > 0:14:41If houses could talk, what would this one say?
0:14:41 > 0:14:46"Show me some love, I need attention. Please save me!"
0:14:46 > 0:14:48Yes, this one is certainly crying out for help,
0:14:48 > 0:14:52and I think it's time to see if I can assist.
0:14:52 > 0:14:56# Tender love and care
0:14:56 > 0:14:58# That's what I'll be givin'
0:14:58 > 0:15:01# Tender love and care... #
0:15:01 > 0:15:05Mm, the inside doesn't get any better, I'm afraid.
0:15:05 > 0:15:09It is in a bit of a mess. The flooring has been taken up,
0:15:09 > 0:15:11the plug sockets are even gone.
0:15:11 > 0:15:16These things can all be replaced, so I'm not overly concerned about that.
0:15:16 > 0:15:19Look at this - the room where the kitchen should be.
0:15:19 > 0:15:21Well, somebody has obviously ripped that out too,
0:15:21 > 0:15:26and that is much more of a concern because it could cause a problem when it comes to securing finance.
0:15:26 > 0:15:30Now, most mortgage lenders require a property to be habitable
0:15:30 > 0:15:32before they will secure a mortgage on them.
0:15:32 > 0:15:36A property without a kitchen isn't considered habitable, obviously.
0:15:36 > 0:15:39If you didn't know this before going to an auction,
0:15:39 > 0:15:43it could come as a nasty surprise later on down the line
0:15:43 > 0:15:46when your lender refuses to release the funds.
0:15:46 > 0:15:49A real case of buyer beware.
0:15:49 > 0:15:50# Daddy!
0:15:50 > 0:15:51# Daddy!
0:15:51 > 0:15:53# You better beware! #
0:15:57 > 0:16:01I do like the doors leading to the garden, although it's overgrown.
0:16:04 > 0:16:05Let's take a look upstairs.
0:16:08 > 0:16:13The bathroom continues the shabby-but-not-so-chic style,
0:16:13 > 0:16:16but the suite is contemporary and in good condition.
0:16:18 > 0:16:20It could be retained, saving some pennies.
0:16:20 > 0:16:24The two bedrooms are both a fair size, but I wonder -
0:16:24 > 0:16:26are two bedrooms too few?
0:16:31 > 0:16:34This is very much a family area, so, if I took this on,
0:16:34 > 0:16:37I'd be looking to add extra bedrooms somewhere.
0:16:37 > 0:16:42It's a sure-fire way of adding more value and making this place much, much more saleable.
0:16:42 > 0:16:45So, how would I go about doing that?
0:16:49 > 0:16:53How about creating an extension out here?
0:16:53 > 0:16:56Now, everything, as we know, is subject to planning.
0:16:56 > 0:17:00And if you are able to demolish this carport and build out,
0:17:00 > 0:17:03I think you could end up with a nice two-storey extension out here.
0:17:03 > 0:17:09Then, you could add as much as £45,000 to the end value.
0:17:09 > 0:17:14Sadly, nobody in the immediate area has extended to this level, but it's not to say it's impossible.
0:17:14 > 0:17:18I would make it my business to contact the local council
0:17:18 > 0:17:21and find out your chances of extending BEFORE going to auction.
0:17:25 > 0:17:28We invited the auctioneer who sold the property,
0:17:28 > 0:17:35which had a guide price between 100 and 110,000, to give us his opinion.
0:17:35 > 0:17:37There's multiple options for the new owner.
0:17:37 > 0:17:40I would say that keeping it as a slightly generous
0:17:40 > 0:17:43two-bedroomed house is the worst of them.
0:17:43 > 0:17:46You might be able to create three bedrooms internally,
0:17:46 > 0:17:49but it would be very small.
0:17:49 > 0:17:51The obvious easy answer is to push out that way
0:17:51 > 0:17:56and you'd get yourself two more bedrooms and a reception room,
0:17:56 > 0:18:00and perhaps an integral garage still altogether. That's the way to go.
0:18:00 > 0:18:06Once renovated, how much could this property achieve on the resale market
0:18:06 > 0:18:11in its hidden layout or with an extension?
0:18:11 > 0:18:17If the house was refurbed as an all-singing and all-dancing two-bedroomed version,
0:18:17 > 0:18:21I'd expect to see it on the open market at £167,500.
0:18:21 > 0:18:24And a four-bedroom version of the house,
0:18:24 > 0:18:28as nice as it could possibly be, would probably tiptoe over £200,000,
0:18:28 > 0:18:32and I'd be looking at £215,000 being the probable asking price.
0:18:34 > 0:18:36And a rental valuation?
0:18:36 > 0:18:42I'd expect it to be on the market at about £750 per calendar month.
0:18:42 > 0:18:44For a four-bedroomed version,
0:18:44 > 0:18:49I'd be looking towards £900 per calendar month, possibly not quite.
0:18:52 > 0:18:58You know, I think this is a great one to go for. There's the opportunity to add value, the chance to extend
0:18:58 > 0:19:01and add even more to the end sale price.
0:19:01 > 0:19:05But in its current state, I think this one is for the cash-rich only.
0:19:05 > 0:19:08Let's see who fancied this when it went under the hammer.
0:19:08 > 0:19:12I'm not going less than 100.
0:19:12 > 0:19:18Wey, we're off! 100, I got. 102, 105, 105...
0:19:18 > 0:19:22Committee decision. 8... 80... Not yet for single, sir, if you don't mind.
0:19:22 > 0:19:24It's going to be a moment or two.
0:19:24 > 0:19:28108, looking for 10. 110. 110...
0:19:28 > 0:19:32112, front row. 114 at the back. 114, I won't forget you, sir. 114.
0:19:32 > 0:19:35116, 118,
0:19:35 > 0:19:40120, 122, 124, 126,
0:19:40 > 0:19:43and there's a third face, 128. 130.
0:19:43 > 0:19:47And I'm coming down here to you if you'd like it, sir. 130. Shake of the head.
0:19:47 > 0:19:53130, 132... 132 is front row, as it were.
0:19:53 > 0:19:56144 on my left, or not?
0:19:56 > 0:20:02133, perhaps? 133? Cos 132 is here. 132, you're in.
0:20:02 > 0:20:07132, looking at the phones. 132. So, my last serious look back...
0:20:07 > 0:20:13132-and-a-half. 132, and a fresh face, relatively speaking. 132-and-a-half.
0:20:13 > 0:20:18133, I've got. You're in, first time. 133, second time.
0:20:18 > 0:20:24At 133, everyone else is out, sitting has got it, 133, and done.
0:20:25 > 0:20:29The hammer fell on a bid of £133,000 from JJ,
0:20:29 > 0:20:33who attended the auction with his wife Sukhinder.
0:20:36 > 0:20:40JJ currently manages a cash and carry but is due to retire soon.
0:20:40 > 0:20:44Having dabbled in property in the past,
0:20:44 > 0:20:48he's decided the time is right to resume developing.
0:20:48 > 0:20:50# Temporary
0:20:50 > 0:20:53# This cash and carry
0:20:53 > 0:20:55# I'm stepping up to indicate
0:20:55 > 0:20:58# The time has come to deviate. #
0:20:58 > 0:21:02JJ, congratulations. Tell me how you got to hear about this property.
0:21:02 > 0:21:07I had a look on the internet, actually. I always look at all the auctions and all that,
0:21:07 > 0:21:10so seen it at auction, came down...
0:21:10 > 0:21:13Only two days before the auction, I looked at it.
0:21:13 > 0:21:16And we decided to go for it and that was it.
0:21:16 > 0:21:19So we thought about having a bash at it.
0:21:19 > 0:21:22How far would you like to take the renovations? Because it is in a bit of a state.
0:21:22 > 0:21:27- It's not looking great at the moment. - Put a nice kitchen in there,
0:21:27 > 0:21:31do the garden up, put fencing up, and do the decorating.
0:21:31 > 0:21:35Change where the window is, put a door there. Where the door is, put a window.
0:21:35 > 0:21:40You think that should be a window and not a door, and that should be a door and not a window?
0:21:40 > 0:21:42- Yes.- Why do you think that?
0:21:42 > 0:21:46Because if you open this door, the door is there,
0:21:46 > 0:21:49as soon as you open the door, all the wind goes straight through,
0:21:49 > 0:21:51up the stairs, you lose heating in the house.
0:21:51 > 0:21:54Are you going to change that around? Will you put a window there?
0:21:54 > 0:21:56I think that's the wrong thing to do.
0:21:56 > 0:22:00In the summertime, there's nothing nicer than opening the doors out into the garden.
0:22:00 > 0:22:02You don't want to worry about getting things out the car!
0:22:02 > 0:22:05- We don't get a summer in this country.- Of course we do!
0:22:05 > 0:22:08Well, maybe not in Bristol, but where I come from, the sun shines.
0:22:08 > 0:22:11We're talking Bristol, not where you come from!
0:22:11 > 0:22:13# Trees
0:22:13 > 0:22:17# Swayin' in the summer breeze. #
0:22:17 > 0:22:22Well, on the door becoming a window and the window a door,
0:22:22 > 0:22:25JJ and I will have to agree to disagree.
0:22:25 > 0:22:29But are we of one mind when it comes to the two-storey extension?
0:22:31 > 0:22:34I think this house is crying out to be a family house.
0:22:34 > 0:22:36With two bedrooms, it's just not going to work.
0:22:36 > 0:22:39- No.- I think you need to add another two bedrooms to this property.
0:22:39 > 0:22:42- I've already got the plans done. - Really?- Yeah.
0:22:42 > 0:22:46Two-storey, with a garage and a utility room.
0:22:46 > 0:22:48Now, that is the one that gets me excited,
0:22:48 > 0:22:52because I think there's a huge amount of scope here to add value.
0:22:54 > 0:22:57JJ has given himself a superspeedy schedule of three months
0:22:57 > 0:23:00to get planning permission, build the extension,
0:23:00 > 0:23:03and renovate the property.
0:23:03 > 0:23:07He has a £40,000 budget, which, added to his purchase price,
0:23:07 > 0:23:13would give him a total outlay of £173,000 if he came in on budget.
0:23:15 > 0:23:19So how much does he believe this place would then be worth?
0:23:19 > 0:23:22So you're hoping to add a certain amount of value to this property.
0:23:22 > 0:23:24What would you like to market this property for,
0:23:24 > 0:23:26once you've done it up?
0:23:26 > 0:23:29Once we've done the extension, between £245,000, £275,000.
0:23:29 > 0:23:32- 245 to 275?- Yes.
0:23:32 > 0:23:36Now, you know, that's quite a difference, isn't it?
0:23:36 > 0:23:40Yes, but it depends on the market. The market fluctuates all the time.
0:23:40 > 0:23:41Sometimes you have a good market.
0:23:41 > 0:23:44House prices are not very stable at the moment.
0:23:44 > 0:23:47It'll be interesting coming back and seeing what you do.
0:23:47 > 0:23:50JJ, it's been a pleasure meeting you today.
0:23:50 > 0:23:51- Good luck with this project.- OK.
0:23:51 > 0:23:54- Lovely to meet you. Thank you.- Thank you.
0:23:55 > 0:24:00JJ is making the right decision by extending and adding bedrooms,
0:24:00 > 0:24:03but I think he's making the wrong decision by taking out the doors
0:24:03 > 0:24:07leading into the garden, and fitting a single door to the side.
0:24:07 > 0:24:11Big question is, will he obtain the planning permission
0:24:11 > 0:24:14for the extension, and will he pull in the big bucks for it?
0:24:14 > 0:24:17Join me later in the programme, and you can find out.
0:24:17 > 0:24:21Coming up: In Stoke-on-Trent, this flat may be fully functional,
0:24:21 > 0:24:24but it's rather lacking in style.
0:24:24 > 0:24:28A bit of time and effort spent in there could spruce it up.
0:24:28 > 0:24:31Back in Bristol, has JJ transformed this beat-up
0:24:31 > 0:24:34and broken-down house into a money-maker?
0:24:34 > 0:24:36Very rentable, very sellable.
0:24:36 > 0:24:38It's just about right.
0:24:39 > 0:24:43First, in Newcastle, has Andy brought his renovation in on budget?
0:24:43 > 0:24:48I suppose it wasn't so much a budget as a piece of supreme optimism!
0:24:55 > 0:24:59Let's go back to Newcastle, and the suburb of Gosforth,
0:24:59 > 0:25:03where I saw this 1930s three-bedroom semi-detached,
0:25:03 > 0:25:06which had a guide price of £120,000.
0:25:08 > 0:25:10The house still had original features,
0:25:10 > 0:25:12such as wood panelling in the hall,
0:25:12 > 0:25:17and a lovely stained glass bay window in the reception room.
0:25:17 > 0:25:20I was happy to hear that new owner Andy
0:25:20 > 0:25:23was as charmed by its character as I was.
0:25:25 > 0:25:28Hopefully, you're going to leave some of the 1930s feel to it?
0:25:28 > 0:25:32Yeah, I'll try and keep some of the glass.
0:25:32 > 0:25:34I might keep the panelling.
0:25:34 > 0:25:37- Oh, please!- I will keep the panelling initially.
0:25:37 > 0:25:39It'll clean up. I've had a scratch of it, it's not bad.
0:25:40 > 0:25:44Andy, who lectures on the subject of drama at the local university,
0:25:44 > 0:25:47paid £156,000 for the property at auction.
0:25:49 > 0:25:51He planned to make this house his new home.
0:25:51 > 0:25:54But despite the property's plus points,
0:25:54 > 0:25:57there were some serious structural issues.
0:25:57 > 0:26:01There was subsidence, which had caused sloping floors,
0:26:01 > 0:26:04but I was sure Andy wouldn't make a drama out of a crisis.
0:26:07 > 0:26:10Just under eight months later, we're back.
0:26:11 > 0:26:14And what can I spy?
0:26:14 > 0:26:16An extension.
0:26:16 > 0:26:17How exciting!
0:26:17 > 0:26:21But unfortunately, the original stained glass bay window has gone.
0:26:21 > 0:26:24Does this mean a modern make-over inside?
0:26:31 > 0:26:34Well, the wood panelling has been stripped, sanded and repaired,
0:26:34 > 0:26:37making a magnificent first impression.
0:26:38 > 0:26:42I liked the fact that the house had a lot of original features,
0:26:42 > 0:26:45like the glass and the panelling,
0:26:45 > 0:26:48and I wanted to keep as much of it as I could.
0:26:48 > 0:26:52But it quickly became apparent that it wasn't practical
0:26:52 > 0:26:55with the glazing to do that.
0:26:55 > 0:26:59Panelling in the hall and upstairs, I kept them.
0:26:59 > 0:27:03I went for a white finish, because I think it brings more light in.
0:27:05 > 0:27:08Andy's team of tradesmen have done a marvellous job
0:27:08 > 0:27:09under his ever watchful eye,
0:27:09 > 0:27:13making sure he gets his home exactly as he wants it.
0:27:14 > 0:27:18But the really big changes are at the rear of the property.
0:27:18 > 0:27:22Andy extended out into the back garden,
0:27:22 > 0:27:25combining the kitchen and rear reception room
0:27:25 > 0:27:28to create a marvellous open-plan living and kitchen area.
0:27:34 > 0:27:37The idea was to go from a '30s house, with small rooms,
0:27:37 > 0:27:41and kind of modest spaces,
0:27:41 > 0:27:44to a more modern version,
0:27:44 > 0:27:47with open living area,
0:27:47 > 0:27:49and also be open to the garden.
0:27:51 > 0:27:55Ah, the garden. Remember those gigantic trees?
0:27:55 > 0:27:57I'm pleased to say they've gone,
0:27:57 > 0:28:01and Andy's attempting something a touch more tranquil.
0:28:05 > 0:28:09Well, I saw this Japanese garden in the south of France,
0:28:09 > 0:28:12and it was gorgeous, the lovely sort of chunky deck,
0:28:12 > 0:28:15and little plants in gravel.
0:28:16 > 0:28:19I thought, "I want one of those."
0:28:19 > 0:28:20Well, so far I've got a sea of mud,
0:28:20 > 0:28:22but hey, it's a work in progress, you know.
0:28:25 > 0:28:28Andy may be in need of a peaceful place to relax
0:28:28 > 0:28:31after all the stresses and strains of this renovation.
0:28:33 > 0:28:35The extension proved to be a difficult build,
0:28:35 > 0:28:39requiring deeper than expected foundations.
0:28:39 > 0:28:42The original foundations for the house required underpinning,
0:28:42 > 0:28:46to ensure there were no more issues with subsidence.
0:28:46 > 0:28:50Let's take a look upstairs, at the new extension.
0:28:54 > 0:28:58Andy has created a new master bedroom,
0:28:58 > 0:29:00and tucked behind the partition wall
0:29:00 > 0:29:02is the entrance to an en suite shower room.
0:29:13 > 0:29:16Andy's also had a play with the layout of the other rooms.
0:29:16 > 0:29:20The smallest of the three is now a simply sumptuous
0:29:20 > 0:29:21and luxurious bathroom.
0:29:24 > 0:29:28# This kind of love is getting expensive
0:29:28 > 0:29:32# We know how to live, baby
0:29:32 > 0:29:36# We're luxurious like Egyptian cotton. #
0:29:37 > 0:29:41And what was the bathroom is now an open-plan office.
0:29:42 > 0:29:44Andy has spared no expense,
0:29:44 > 0:29:48fitting out his new home to his own high standards.
0:29:48 > 0:29:52So how has his £60,000 budget held out?
0:29:52 > 0:29:56I suppose it wasn't so much a budget,
0:29:56 > 0:29:58as a piece of supreme optimism!
0:29:58 > 0:30:04What had happened was that I had some difficulty finding a builder who would give a firm quote.
0:30:04 > 0:30:09Once I had that, I knew that 60,000 wasn't going to get anywhere,
0:30:09 > 0:30:16because the complete set of windows, complete central heating system, all-new plumbing, all-new wiring...
0:30:16 > 0:30:20So, at that point, I thought, "OK, that's 80,000, then."
0:30:20 > 0:30:25And that was 80,000. 80,000 came and 80,000 went.
0:30:25 > 0:30:29So I think it will probably end up something in excess of 90,000 by the time it's all finished.
0:30:29 > 0:30:33Andy estimates a total outlay, including the purchase price,
0:30:33 > 0:30:37of around £250,000.
0:30:37 > 0:30:42There is a great deal to admire about the renovation and restoration of this house,
0:30:42 > 0:30:44but what has he enjoyed most?
0:30:47 > 0:30:52The highlight for me is when you can actually see the kitchen and the lounge together,
0:30:52 > 0:30:56and you can sort of imagine living in this space.
0:30:56 > 0:31:00Also, the garden is a work in progress,
0:31:00 > 0:31:03but when the sun shines out the back, that's terrific as well.
0:31:09 > 0:31:12We invited two local estate agents to give us their opinion
0:31:12 > 0:31:15on Andy's new home.
0:31:15 > 0:31:19I think it's an excellent property, obviously been extended,
0:31:19 > 0:31:23refurbished, good-quality fixtures and fittings.
0:31:23 > 0:31:24Just an excellent family home.
0:31:24 > 0:31:27The property has been refurbished to a very good standard,
0:31:27 > 0:31:32creating a great family home in a very popular area.
0:31:32 > 0:31:38Andy expects his total spend here to be around £250,000.
0:31:38 > 0:31:44While it has undoubtedly been money well spent to create a wonderful new home for Andy,
0:31:44 > 0:31:48has it been money well spent as a financial investment?
0:31:48 > 0:31:53How much do the estate agents believe this property could achieve if sold?
0:31:55 > 0:32:00I think this property could achieve something in the region of £265,000.
0:32:00 > 0:32:04I would recommend an asking price in the region of £250,000.
0:32:04 > 0:32:09250 to 265? Well, that's probably what I spent in the end, you know.
0:32:09 > 0:32:13But, hey, I've got what I wanted and it's a great experience.
0:32:18 > 0:32:22And it appears Andy is pondering transferring
0:32:22 > 0:32:24his new property-developing skills onto another project.
0:32:27 > 0:32:32I'm going on holiday to France in a bit, and I did notice that the French estate agents are sending me
0:32:32 > 0:32:36all this stuff, and you can pick up some fantastic bargains in the southwest of France.
0:32:36 > 0:32:42You know, who knows? It might be Homes Under The Hammer en France!
0:32:42 > 0:32:47Well, perhaps I'd better start brushing up on the old French.
0:32:47 > 0:32:52Ah, mais oui. Mais oui, sacrebleu, mon cheri, vol-au-vent!
0:32:55 > 0:32:57# Daydream
0:32:57 > 0:32:59# I fell asleep amid the flowers
0:32:59 > 0:33:01# For a couple of hours
0:33:01 > 0:33:05# On a beautiful day... #
0:33:05 > 0:33:12This is Hanley Forest Park on the edge of Sneyd Green in northeast Stoke-on-Trent.
0:33:12 > 0:33:17It's certainly a lovely area now, that's for sure, but it hasn't always been like this.
0:33:17 > 0:33:22In the 1970s, it was converted from the remnants of the old mining industry,
0:33:22 > 0:33:25so this would have been slag heaps, old buildings, and general detritus.
0:33:25 > 0:33:31It's now a lovely recreational area for skateboarders, cyclists, walkers, whowever.
0:33:31 > 0:33:35Great news, cos the property I'm here to see is around the corner.
0:33:35 > 0:33:37It almost doesn't matter what the property's like.
0:33:37 > 0:33:42Who wouldn't want to live right on the edge of this fantastic park?
0:33:42 > 0:33:45No wonder it is won conservation awards.
0:33:45 > 0:33:48It's an oasis of tranquillity and beauty in the heart of Stoke.
0:33:48 > 0:33:52And right on your doorstep.
0:33:52 > 0:33:56Well, the property I'm here to see is on a relatively new development,
0:33:56 > 0:33:59and houses here don't come up that often.
0:33:59 > 0:34:04When you hear of a one-bedroom flat with a guide price of £39,000-plus,
0:34:04 > 0:34:07it's definitely worth investigating.
0:34:07 > 0:34:11You know what? From the outside, it looks pretty good.
0:34:11 > 0:34:16The flat is leasehold, but with a whopping 980 years left,
0:34:16 > 0:34:21there's no need to worry about renewing the lease just yet.
0:34:22 > 0:34:25Nice double-glazed entry door. Good to see.
0:34:25 > 0:34:28Property's probably 15 to 20 years old, so, hopefully,
0:34:28 > 0:34:31not going to find too much that needs to be done.
0:34:31 > 0:34:36Having said that, looks like it's got storage radiators,
0:34:36 > 0:34:39so factor in some money to redo the central heating
0:34:39 > 0:34:43and put in something possibly as an alternative to that.
0:34:43 > 0:34:45Bathroom, you know, nothing intrinsically wrong with it,
0:34:45 > 0:34:49but a bit of time and effort could really spruce it up.
0:34:49 > 0:34:52It's only one-bedroom, so, not masses of space,
0:34:52 > 0:34:56but it's fairly well proportioned. That's your one bedroom there.
0:34:56 > 0:35:00And then through into this sort of open plan living/kitchen area,
0:35:00 > 0:35:02which I think works really well.
0:35:02 > 0:35:06The kitchen, like the bathroom, you know, it hasn't been replaced
0:35:06 > 0:35:09since the property was built, I would hazard a guess.
0:35:09 > 0:35:15It needs a bit of updating, and that would really make a big difference.
0:35:15 > 0:35:17As it is, in terms of layout,
0:35:17 > 0:35:19the place hasn't got a huge square footage,
0:35:19 > 0:35:22but I think it makes the most of what it has got. And I like it.
0:35:22 > 0:35:26# Baby, I like it The way you move on the floor
0:35:26 > 0:35:30# Baby, I like it I-I-I like it... #
0:35:31 > 0:35:35The layout is not all there is to like about this ground floor flat.
0:35:37 > 0:35:42Well, there's no getting away from the fact the flat itself isn't exactly huge.
0:35:42 > 0:35:45But a fantastic bonus is that through a set of patio doors,
0:35:45 > 0:35:47you've got this area here.
0:35:47 > 0:35:52Bit of patio itself and then a small amount of garden,
0:35:52 > 0:35:54and you're right on the edge of some woodland.
0:35:54 > 0:35:59So, the basic result of this is that it means the flat itself doesn't feel claustrophobic.
0:35:59 > 0:36:01And actually, you've even got a bit of a view of the lake.
0:36:01 > 0:36:03Brilliant.
0:36:03 > 0:36:06A great outlook, providing you're tall enough!
0:36:06 > 0:36:08# I turn to stone
0:36:08 > 0:36:10# When you are gone
0:36:10 > 0:36:12# I turn to stone... #
0:36:12 > 0:36:15I bet there weren't many stony faces at the auction, though,
0:36:15 > 0:36:18with this flat guided at £39,000.
0:36:18 > 0:36:20To find out more about the potential here,
0:36:20 > 0:36:24we invited a local estate agent to come and take a look.
0:36:24 > 0:36:29Who does he think might be attracted to this one-bedroom flat?
0:36:29 > 0:36:35This property in this area would appeal to investors,
0:36:35 > 0:36:38particularly those who are looking for low-maintenance properties
0:36:38 > 0:36:39with a good rental return.
0:36:39 > 0:36:42Also, owner-occupiers or first-time buyers
0:36:42 > 0:36:46and an investor would have no problems in letting a property.
0:36:46 > 0:36:51A rental value for this type of property would be in the region of £400 per calendar month.
0:36:51 > 0:36:54So, an excellent bet for letting, then.
0:36:54 > 0:36:57And what could you expect if you decide to sell it on?
0:36:57 > 0:37:03Even with very basic refurbishment, lick of paint, new carpets,
0:37:03 > 0:37:07I would suggest the property would be worth in the region of £50,000.
0:37:07 > 0:37:10Well, it may not be the most glamorous of properties,
0:37:10 > 0:37:12but you certainly can't knock the location,
0:37:12 > 0:37:15and this little flat does exactly what it's supposed to do.
0:37:15 > 0:37:20It could be an ideal rental opportunity with very little money or effort required to sort it out,
0:37:20 > 0:37:24or just a real pleasant place to live. So, I think an excellent one to go for.
0:37:24 > 0:37:26Let's see who spotted it when it went under the hammer.
0:37:28 > 0:37:32Lot 42 - modern ground floor apartment, popular location,
0:37:32 > 0:37:35bedroom, bathroom, living room, kitchen, it's all there.
0:37:35 > 0:37:39What shall we say for lot 42? Can we start it at 30?
0:37:39 > 0:37:41Yeah, 30 bid. £30,000.
0:37:41 > 0:37:4531. £31,000. 32.
0:37:45 > 0:37:4832, 33, 34,
0:37:48 > 0:37:5335, 36, 37,
0:37:53 > 0:37:5638, 39...
0:37:56 > 0:37:58At 39,000, seated on the front row...
0:37:58 > 0:38:0040?
0:38:00 > 0:38:02500, he's saying. 39-and-a-half.
0:38:02 > 0:38:0640. 40. Another half?
0:38:07 > 0:38:12No? At £40,000 on the front row, then. Another 500 anywhere else?
0:38:12 > 0:38:16Bid's at 40,000 on the front row and I'm selling it...
0:38:16 > 0:38:2040,000 then for the first time, 40,000 for the second time,
0:38:20 > 0:38:25third and final time at £40,000... That's your lot, sir. Well done.
0:38:25 > 0:38:31The successful bidder, who paid £40,000 for the one-bedroom flat, was Rob. Thanks to his day job,
0:38:31 > 0:38:35he knows a thing or two about the property world.
0:38:35 > 0:38:38He's the business manager for a company which certifies
0:38:38 > 0:38:42the energy surveyors who provide those all-important energy
0:38:42 > 0:38:46performance certificates when you are selling or letting the property.
0:38:46 > 0:38:49# High energy
0:38:49 > 0:38:51# Your love is lifting me
0:38:51 > 0:38:53# Whoa-whoa... #
0:38:53 > 0:38:56- Rob, great to meet you.- And you, Martin.- Congratulations.- Thank you.
0:38:56 > 0:38:58Tell me why you wanted to buy this flat.
0:38:58 > 0:39:01Well, it was one I came to look at. It probably wasn't my first choice.
0:39:01 > 0:39:06I looked at three or four on the day and I only came to view this one
0:39:06 > 0:39:11because the chap who was doing the viewings was coming here next and I thought I'd follow him down.
0:39:11 > 0:39:14- Wow!- Pretty much, yeah. - And you ended up buying it.
0:39:14 > 0:39:18Yeah, I thought it was excellent. When I've come in to have a look at it, I was very pleased with it.
0:39:18 > 0:39:21Tell me little more about you, what do you do?
0:39:21 > 0:39:24- I'm a business manager for an energy rating company.- Right.
0:39:24 > 0:39:29I actually look after a team who look after the energy surveyors who look after commercial buildings.
0:39:29 > 0:39:35The energy rating of a property shows how efficient it is.
0:39:35 > 0:39:37Rob's ended up with a flat with only one bedroom to heat,
0:39:37 > 0:39:40instead of the two or three he'd initially been after.
0:39:40 > 0:39:43But he could still be getting a bit hot under the collar
0:39:43 > 0:39:46with the work he's planning.
0:39:46 > 0:39:49So, tell me why you wanted to buy this particular place.
0:39:49 > 0:39:51I think it was basically the location.
0:39:51 > 0:39:54You've seen the location outside. It's beside Hanley Forest Park.
0:39:54 > 0:39:58It's a lovely area, and obviously the price was right, so I decided I would buy the place.
0:39:58 > 0:40:00Although he works full-time,
0:40:00 > 0:40:05Rob's no stranger to property developing.
0:40:05 > 0:40:07He usually does one or two investment properties a year.
0:40:07 > 0:40:11So is the idea to do it up and sell it on, or to keep it and rent it out?
0:40:11 > 0:40:13Initially, it was to buy it up and sell it on.
0:40:13 > 0:40:16Having looked at it now and spoken to a couple of agents,
0:40:16 > 0:40:18one-bedroom flats are quite sought-after now.
0:40:18 > 0:40:21I've had one of the letting agents out to have a look at the place,
0:40:21 > 0:40:24and he's given me a guaranteed rental scheme as well.
0:40:24 > 0:40:27What he said is that they would become the landlord
0:40:27 > 0:40:31and would guarantee the rent for me for a period of 12 months.
0:40:31 > 0:40:36- So, if the tenant leaves or there's voids, you don't have to worry about that?- I don't... It doesn't, yeah.
0:40:36 > 0:40:39Clearly, that's going to come at a price. What kind of price does that come at?
0:40:39 > 0:40:44Erm, I think the rental guarantee was about £280 a month,
0:40:44 > 0:40:47so they're taking close on 30%.
0:40:47 > 0:40:51- Right. So, from 400...- To 280, yes. - To 280. So, quite a hit.
0:40:51 > 0:40:55Quite a hit, but no fees involved, so I don't pay any fees whatsoever.
0:40:55 > 0:41:00- OK.- And that's guaranteed, as I say, whether the place is empty or not.
0:41:00 > 0:41:03Well, I can see the appeal for Rob of getting a guaranteed income,
0:41:03 > 0:41:11although he'll have to pay about 30% of the gross rental income to the management company.
0:41:11 > 0:41:14But before anyone moves in, there's work to do.
0:41:14 > 0:41:16So, what kind of budget have you set aside?
0:41:16 > 0:41:18I don't think it needs that much leaning on it.
0:41:18 > 0:41:21I mean, I would spend no more... Probably 2-5,000.
0:41:21 > 0:41:23And what kind of went of time?
0:41:23 > 0:41:26Probably... I've got quite a lot on at the minute,
0:41:26 > 0:41:29so I'll be looking to do that within the next eight to ten weeks.
0:41:29 > 0:41:33Simply because it'll be weekends, it'll be time I've got spare.
0:41:33 > 0:41:37- Well, congratulations.- Thank you. - Good luck with it. Look forward to seeing how you get on.- Great.
0:41:39 > 0:41:41Well, it may not have been his first choice,
0:41:41 > 0:41:44but I think Rob has done really well with this place.
0:41:44 > 0:41:49The potential is to create something for not very much money that is going to create a reasonable yield.
0:41:49 > 0:41:52And certainly that guaranteed rental is something to consider.
0:41:52 > 0:41:55How will he get on? You can find out later in the show.
0:41:58 > 0:42:01The moment of reckoning has arrived.
0:42:01 > 0:42:07- Yes, have those property gambles paid off or have our buyers backed the wrong horse?- Let's find out.
0:42:09 > 0:42:13Welcome back to Bristol where, in the suburb of Longwell Green,
0:42:13 > 0:42:16I viewed this two-bedroom semi-detached,
0:42:16 > 0:42:21which had a guide price of between 100 and 110,000.
0:42:23 > 0:42:28Inside, it was beaten up and broken down, and in dire need of some TLC.
0:42:30 > 0:42:34And the man for that job was JJ.
0:42:34 > 0:42:37# Tender love and care
0:42:37 > 0:42:41# That's what I'll be givin'
0:42:41 > 0:42:43# Tender love and care... #
0:42:43 > 0:42:48He purchased the property for 133,000, and planned to do it up and sell it on.
0:42:48 > 0:42:53JJ managed a cash and carry, but intended to retire.
0:42:53 > 0:42:59Having dabbled in property developing in the past, he decided the time was right to return to it.
0:42:59 > 0:43:02Tell me how you got to hear about this property.
0:43:02 > 0:43:05I had a look on the internet, actually.
0:43:05 > 0:43:09I always look on all the auctions and all that. So, came down...
0:43:09 > 0:43:12Only two days before the auction, I looked at it.
0:43:12 > 0:43:15And we decided to go for it, and that was it, you know.
0:43:15 > 0:43:18So we thought about having a bash at it.
0:43:19 > 0:43:24So, will JJ's "bash at it" be the tender love and care this property required?
0:43:24 > 0:43:29And will he reap the cash AND CARRY on developing?
0:43:29 > 0:43:33Two months later, we're back to find out.
0:43:33 > 0:43:34# Whoa!
0:43:34 > 0:43:37# You've got to give a little love
0:43:37 > 0:43:38# Give a little love
0:43:38 > 0:43:41# Go on, just do it
0:43:41 > 0:43:44# You can't abuse it
0:43:44 > 0:43:48- # Give a little love! # - Well, the kitchen's looking good.
0:43:48 > 0:43:51Let's ask the man himself to talk us through it.
0:43:52 > 0:43:57We have replaced the kitchen and all the tiles, floor tiles,
0:43:57 > 0:44:03lightings, electricals, new plugs, completely done up.
0:44:03 > 0:44:06And that is where most of my money has gone.
0:44:06 > 0:44:07And it's money well spent,
0:44:07 > 0:44:13as an attractive kitchen is one of the main selling points of any house.
0:44:13 > 0:44:17I am also glad to see JJ has come to his senses
0:44:17 > 0:44:21and NOT bricked up the patio doors as he originally intended.
0:44:23 > 0:44:29The garden is now a place to sit and relax, rather than a rubbish tip.
0:44:29 > 0:44:34Let's see what he's been up to the sitting-room.
0:44:34 > 0:44:36# Give a little love!
0:44:37 > 0:44:40# Give a little love
0:44:40 > 0:44:42# Give a little love
0:44:42 > 0:44:44# Go on and do it... #
0:44:44 > 0:44:47Actually, we have replaced the banisters here.
0:44:47 > 0:44:50Completely new - bits were missing.
0:44:50 > 0:44:53Put in new lighting, redecorated it,
0:44:53 > 0:44:57and so we did quite a bit in this room, you know.
0:44:57 > 0:45:00Virtually did 101% work in here.
0:45:00 > 0:45:04Does the 101% effort continue upstairs?
0:45:07 > 0:45:11The two bedrooms are now smart and welcoming,
0:45:11 > 0:45:15having been redecorated and recarpeted throughout.
0:45:22 > 0:45:28JJ could've skimped in the bathroom and reused the existing suite.
0:45:29 > 0:45:32But, once again, he has invested wisely.
0:45:32 > 0:45:38As with the kitchen, a good bathroom is an important selling point and certainly adds value.
0:45:39 > 0:45:44One potential area of significant added value
0:45:44 > 0:45:46was to build an extension.
0:45:46 > 0:45:50JJ had plans drawn up and planning permission has been granted,
0:45:50 > 0:45:54but he's decided against carrying out the works himself.
0:45:54 > 0:45:57This area, actually, mostly houses are two-bedroomed houses.
0:45:57 > 0:46:00And mostly couples lives there.
0:46:00 > 0:46:06Or...now these days some families are moving in.
0:46:06 > 0:46:08So if somebody do want a bigger house,
0:46:08 > 0:46:10they don't have to go buy another one,
0:46:10 > 0:46:12they can just extend this one.
0:46:12 > 0:46:17Having planning permission approved may entice potential purchasers
0:46:17 > 0:46:20put off by the fact that there are only two bedrooms.
0:46:22 > 0:46:24JJ has done the work here, with help from friends in the trade
0:46:24 > 0:46:27and also his wife Sukinda.
0:46:27 > 0:46:31She's been in charge of choosing the kitchen and bathroom
0:46:31 > 0:46:33and the fixtures and fittings.
0:46:37 > 0:46:40I help my husband like Miss Mate. Like a builder.
0:46:40 > 0:46:44And I bring him food. Indian food.
0:46:44 > 0:46:48Make coffee. Help him to buy lights, kitchen, and the tiles.
0:46:48 > 0:46:51I help him all round. Everything he ask for, I bring him.
0:46:51 > 0:46:58They finished the renovation in eight weeks and spent £12,500 on it.
0:46:58 > 0:47:02Added to JJ's purchase price of £133,000,
0:47:02 > 0:47:07that means a total investment of £145,500.
0:47:08 > 0:47:11Now all he needs to do is sell it.
0:47:17 > 0:47:21We asked two local estate agents for their opinion of this property.
0:47:23 > 0:47:27The simple refurb is the best thing that he could have done.
0:47:27 > 0:47:30Very straightforward, very rentable, very sellable.
0:47:30 > 0:47:32It's...just about right.
0:47:34 > 0:47:36He's used all the correct colours.
0:47:36 > 0:47:40Obviously, magnolia walls making it nice, bright and cheerful.
0:47:40 > 0:47:41He's done a very good job of the kitchen -
0:47:41 > 0:47:45nice open plan feel to it, with the dining room directly off.
0:47:47 > 0:47:52Bearing in mind JJ's total investment of £145,500,
0:47:52 > 0:47:56how much do the estate agents believe this property could make if sold?
0:47:56 > 0:48:01The value of this house, currently, is around £170,000.
0:48:01 > 0:48:08I would suggest that he would market this property at £174,950
0:48:08 > 0:48:12to achieve a realistic value of £170,000.
0:48:14 > 0:48:17That valuation tallies with JJ's expectations
0:48:17 > 0:48:21and would mean a gross profit of £24,500.
0:48:25 > 0:48:28In the current economic climate, sales can be slow,
0:48:28 > 0:48:31so let's investigate rental.
0:48:31 > 0:48:34The rental market is really quite strong.
0:48:34 > 0:48:36This is a quite favoured part of Bristol.
0:48:36 > 0:48:41The rental demand would generate I think about £700 per calendar month.
0:48:41 > 0:48:46This is a very, very sought-after area for rental property.
0:48:46 > 0:48:49I would suggest a rental value of £700 per calendar month
0:48:49 > 0:48:53would be very, very achievable.
0:48:53 > 0:48:56Despite the good local rental market,
0:48:56 > 0:48:59JJ is determined to sell this semi,
0:48:59 > 0:49:02as he already has his eye on another investment opportunity.
0:49:08 > 0:49:12So, would JJ recommend other would-be developers to invest in property?
0:49:13 > 0:49:17It is well worth doing it.
0:49:17 > 0:49:21I mean, we had the money three months in the bank -
0:49:21 > 0:49:24I think we achieved about £150 interest on it.
0:49:25 > 0:49:29By doing this, in two months, we might make £15,000.
0:49:29 > 0:49:33Even maybe £10,000 is better than... a lot better than the bank.
0:49:33 > 0:49:35I encourage anybody to do it.
0:49:39 > 0:49:43Hanley Forest Park in Sneed Green, Stoke-on-Trent,
0:49:43 > 0:49:45has won several conservation awards.
0:49:47 > 0:49:48So, not surprisingly,
0:49:48 > 0:49:51properties neighbouring the park are always in demand.
0:49:53 > 0:49:55Early in the programme,
0:49:55 > 0:50:00Rob bought a one-bedroom, ground-floor flat in this property for £40,000.
0:50:00 > 0:50:04He's a full-time manager in a company providing support to energy surveyors.
0:50:04 > 0:50:07He's purchased other investment properties in the past
0:50:07 > 0:50:09which he's always sold,
0:50:09 > 0:50:12but he was in two minds about what to do with this flat.
0:50:14 > 0:50:17So is the idea to do it up and sell it on, or keep it and rent it out?
0:50:17 > 0:50:20Initially, it was to buy it and sell it on.
0:50:20 > 0:50:22Having looked at it and spoke to a couple of agents,
0:50:22 > 0:50:25one-bedroom flats are quite sought-after now,
0:50:25 > 0:50:28so we've already had one of the letting agents out
0:50:28 > 0:50:29to look at the place.
0:50:29 > 0:50:32And he's given me a guaranteed rental scheme, as well.
0:50:32 > 0:50:34He's said they would become the landlord,
0:50:34 > 0:50:38and they would guarantee the rent for me, for a period of 12 months.
0:50:38 > 0:50:41If Rob went with the rental guarantee scheme,
0:50:41 > 0:50:43he would get £280 per calendar month,
0:50:43 > 0:50:47although the flat could actually let for around £400 per calendar month.
0:50:47 > 0:50:50So, which letting route would he take?
0:50:50 > 0:50:53Or would he sell once he'd surveyed it some more?
0:50:57 > 0:51:0011 weeks later, we've returned to Sneed Green.
0:51:00 > 0:51:04Well, he's certainly given the flat an impressive refurbishment.
0:51:04 > 0:51:07Look at the bathroom! Everything is new.
0:51:14 > 0:51:16On the other side of the bathroom wall,
0:51:16 > 0:51:19Rob's put his energy into the kitchen.
0:51:23 > 0:51:27In the kitchen, I went for a good-quality fitted kitchen,
0:51:27 > 0:51:32keeping it nice and clean, and a smooth finish,
0:51:32 > 0:51:34because it is a very small space.
0:51:34 > 0:51:37And we've also contrasted it with grey tiles.
0:51:37 > 0:51:40I did that because I did a previous job with cream tiles
0:51:40 > 0:51:43and I threw a few of the cream into the grey
0:51:43 > 0:51:45and I think it works really well, actually.
0:51:45 > 0:51:48We also have the touch-control ceramic hob
0:51:48 > 0:51:51and fan-assisted oven, topped off with the modern extractor fan.
0:51:51 > 0:51:54So, all-in-all, it's a very usable kitchen
0:51:54 > 0:51:55with good-quality appliances.
0:51:55 > 0:51:59I really like what Rob has achieved
0:51:59 > 0:52:01in quite a cramped space.
0:52:01 > 0:52:06The chrome sockets reflect the quality of the finish.
0:52:06 > 0:52:08In the living room, he's replaced the fire
0:52:08 > 0:52:11and new carpet's been laid throughout.
0:52:14 > 0:52:15There's only one bedroom,
0:52:15 > 0:52:18so removing the wardrobe was a sensible move.
0:52:20 > 0:52:24The new door has moved the flat on from the 1990s as well.
0:52:24 > 0:52:26But I'm keen to discover if this level of finish
0:52:26 > 0:52:29is a clue to Rob's plans for the flat
0:52:29 > 0:52:31and how much he's spent.
0:52:31 > 0:52:33I wasn't sure, when I first bought this,
0:52:33 > 0:52:35whether to bring it to a reasonable or a good standard.
0:52:35 > 0:52:36To rent it out, or...
0:52:36 > 0:52:39So I set myself a budget of about £5,000.
0:52:39 > 0:52:43And I have actually spent just over 4,600, so I've come under budget.
0:52:43 > 0:52:47I think it is a really nice location,
0:52:47 > 0:52:49and speaking to estate agents,
0:52:49 > 0:52:52they did say that there's a number of people looking to downsize.
0:52:52 > 0:52:55So I did it to a standard that would suit pretty much anybody,
0:52:55 > 0:52:59but I think I'm making my mind up to sell it at the end.
0:52:59 > 0:53:02With the £40,000 he spent at auction,
0:53:02 > 0:53:09that £4,600 outlay takes Rob's total investment here to £44,600.
0:53:09 > 0:53:11That would have inevitably been more
0:53:11 > 0:53:14had he decided not to keep the storage heaters.
0:53:14 > 0:53:20But the flat's been replumbed and new carpets and blinds all add up.
0:53:20 > 0:53:21Remember, Rob works full-time
0:53:21 > 0:53:24and has been doing the work at weekends and in the evenings,
0:53:24 > 0:53:27so who else has been involved?
0:53:27 > 0:53:31My partner, Louise, did all the painting in here.
0:53:31 > 0:53:33So she came down with me at the weekends.
0:53:33 > 0:53:35She also did the garden.
0:53:36 > 0:53:40Out back, it's not just Louise's flowers that smarten up the garden.
0:53:40 > 0:53:43When I first looked at this, the patio was a bit grubby,
0:53:43 > 0:53:45it was overgrown, the fence was damaged.
0:53:45 > 0:53:48So all it's really taken is a couple of fence panels to repair
0:53:48 > 0:53:52and a power wash-off, and a tidy-up here,
0:53:52 > 0:53:54and it's looking an awful lot better.
0:53:54 > 0:53:57But it's been no laughing matter out here,
0:53:57 > 0:54:00because someone's been overseeing all the work.
0:54:00 > 0:54:05When we first came into the garden we'd a couple of little friends.
0:54:05 > 0:54:09One's there, and there's rabbits here pretending to be a chair.
0:54:09 > 0:54:13We had a laugh, but we thought, it's obviously someone's taste,
0:54:13 > 0:54:16if not ours, but we decided to leave them here.
0:54:16 > 0:54:18This little chap's project-managed the whole job
0:54:18 > 0:54:21right to the end, so we decided we'd leave him here.
0:54:21 > 0:54:23He's comfortable, so he's gonna stay.
0:54:23 > 0:54:26# Ha-ha-ha, he-he-he
0:54:26 > 0:54:31# I'm a laughing gnome and you can't catch me
0:54:31 > 0:54:32# Said the laughing gnome...#
0:54:32 > 0:54:35Well, there's no place like gnome!
0:54:36 > 0:54:39We invited two local estate agents to look at the flat
0:54:39 > 0:54:42and give us their thoughts on it.
0:54:42 > 0:54:44The standard of the spec is very good.
0:54:44 > 0:54:49It's good-quality contemporary fittings -
0:54:49 > 0:54:50particularly the kitchen and bathroom.
0:54:50 > 0:54:54I like that there's been little bits of attention to detail.
0:54:54 > 0:54:57The fire's better than you'd normally expect to find,
0:54:57 > 0:55:01the sockets are all chrome, which is not what you'd expect.
0:55:01 > 0:55:03They'd normally be a standard white.
0:55:03 > 0:55:06And the light fittings are of a better standard.
0:55:06 > 0:55:08If Rob can't get a buyer and decides to let it,
0:55:08 > 0:55:10how much income could the flat produce?
0:55:10 > 0:55:13I would anticipate a rental return
0:55:13 > 0:55:16in the region of £400 per calendar month.
0:55:16 > 0:55:20We'd look at a rental figure of £375 per calendar month.
0:55:20 > 0:55:23He might be tempted by a yield of over 10%?
0:55:25 > 0:55:28Yeah, that's pretty good. That's what I was expecting.
0:55:28 > 0:55:31Erm... I've had another agent around prior,
0:55:31 > 0:55:34so they confirmed about £400 a month.
0:55:34 > 0:55:35So that's just about right. Yeah, good.
0:55:35 > 0:55:38What about the resale figures?
0:55:38 > 0:55:44Will the flat be worth more than the £44,600 Rob's invested here?
0:55:44 > 0:55:48I would anticipate an asking price in the region of £60,000
0:55:48 > 0:55:51in the hope of achieving very close to this figure.
0:55:51 > 0:55:54We'd look to advertise the property at £60,000
0:55:54 > 0:55:57looking to achieve £55,000.
0:55:57 > 0:56:04So a potential gross profit of between £10,400 and £15,400
0:56:04 > 0:56:07before taxes and expenses. But Rob is disappointed!
0:56:07 > 0:56:10I suppose with the state of the market it's to be expected,
0:56:10 > 0:56:11but it's lower than I thought.
0:56:11 > 0:56:15It's about to go on the market slightly higher than that,
0:56:15 > 0:56:17so I'd expect to get slightly more than that.
0:56:18 > 0:56:21Having always sold his investment properties,
0:56:21 > 0:56:24I thought this might have been Rob's first buy-to-let.
0:56:24 > 0:56:29Oh, well. Maybe next time. So what are his plans?
0:56:29 > 0:56:32Look for another, and hopefully this time next year,
0:56:32 > 0:56:35I'll be in the same position again. Ready to sell another one.
0:56:37 > 0:56:42Well, whether you're an old-time property developer or a property novice,
0:56:42 > 0:56:45join us next time for more stories here on Homes Under the Hammer.
0:56:45 > 0:56:48- Yep, make sure you tune in then. Goodbye.- Goodbye for now.
0:56:50 > 0:56:53Subtitles by Red Bee Media Ltd