0:00:02 > 0:00:05- Hello and welcome to the show. - Now, sometimes the property market
0:00:05 > 0:00:08is going well, other times, it's not doing too well.
0:00:08 > 0:00:10But whatever the situation,
0:00:10 > 0:00:14you've got to make sure you've bought yourself a wise investment.
0:00:14 > 0:00:17One way you could do that is to visit your local auction house.
0:00:17 > 0:00:19Buy a home under the hammer.
0:00:44 > 0:00:47It doesn't matter what kind of property you are looking for,
0:00:47 > 0:00:50you should be able to find it at the auctions.
0:00:50 > 0:00:54Here's how our buyers spent their money on today's programme.
0:00:55 > 0:00:58I visit a four-bed semi on the Cumbrian coast.
0:00:58 > 0:01:04The best thing by far is that out of every bedroom window you've got a view of the sea.
0:01:04 > 0:01:08This Kent cottage is setting my heart on fire.
0:01:08 > 0:01:10I absolutely love it.
0:01:10 > 0:01:15This chimney breast is what makes this room so special.
0:01:15 > 0:01:19And in Derby, this house has me hitting high notes
0:01:19 > 0:01:21country and western fans will recognise.
0:01:21 > 0:01:25HE SINGS
0:01:26 > 0:01:29All these properties were sold at auction.
0:01:29 > 0:01:32We'll find out who bought them and what they paid for them
0:01:32 > 0:01:34when they went under the hammer.
0:01:38 > 0:01:43This is Whitehaven, once the third largest port in the world.
0:01:43 > 0:01:47The grand Georgian buildings give us a glimpse of the port's opulent past
0:01:47 > 0:01:50as a major route for the coal and rum industries.
0:01:50 > 0:01:53So, what will today's property here be like?
0:01:55 > 0:02:01Today, I'm in the little village of Parton just outside Whitehaven in Cumbria.
0:02:01 > 0:02:08As you can see, there are some spectacular views out across the railway line to the sea.
0:02:08 > 0:02:12And bracing coastal walks and on a clear day,
0:02:12 > 0:02:16some beautiful sunsets across the Solway Firth.
0:02:20 > 0:02:23These Parton properties enjoy great views.
0:02:23 > 0:02:28The estate is well laid out on this spectacular spot.
0:02:28 > 0:02:33Who wouldn't enjoy commuting to work on this train route?
0:02:33 > 0:02:36Just a few minutes from Parton railway station with its links
0:02:36 > 0:02:38to Carlisle and other parts of Cumbria,
0:02:38 > 0:02:40here is the property I am here to see.
0:02:40 > 0:02:43It is a four-bedroom semi-detached.
0:02:43 > 0:02:49Guide price was £50,000-£60,000, which, for a house that's got a decent front and back garden,
0:02:49 > 0:02:53and looks in half-decent condition, isn't half bad.
0:02:53 > 0:02:57The rendering repairs need a bit of attention but the windows look OK.
0:02:57 > 0:02:59What's it like inside?
0:02:59 > 0:03:03OK, through the front door, stairs and two bedrooms
0:03:03 > 0:03:08and then into an absolutely enormous lounge.
0:03:08 > 0:03:12It's got two windows, a fireplace. Fantastic, what else is there?
0:03:14 > 0:03:20Downstairs loo, it would be great if it was an additional loo but unfortunately it's the only one.
0:03:20 > 0:03:24It is separate. You've got the bathroom there and the loo there.
0:03:24 > 0:03:27In an ideal world, you would want it upstairs.
0:03:27 > 0:03:31Through here to the kitchen and continuing the theme of an extremely large house,
0:03:31 > 0:03:33a good-sized kitchen.
0:03:33 > 0:03:36You might think of putting double doors out into the garden.
0:03:36 > 0:03:41You're going to have to replace the units.
0:03:41 > 0:03:44Loads of space. A really good feel to this one.
0:03:44 > 0:03:46# Cos it feels good
0:03:46 > 0:03:50# Having it real good for a while. #
0:03:50 > 0:03:53That guide price of £50,000-£60,000 makes me feel good too.
0:03:53 > 0:03:58The house doesn't appear to need much work, which is great news if you want to rent it out.
0:03:58 > 0:04:02That could mean a quick turnaround and a quicker return.
0:04:02 > 0:04:05Fingers crossed the story is the same upstairs.
0:04:08 > 0:04:11Up here, it's a shame you haven't got the bathroom and loo
0:04:11 > 0:04:14but what you have got are four good-sized bedrooms.
0:04:14 > 0:04:18One, two, three, four. Very simple layout,
0:04:18 > 0:04:21short corridor here and then all the bedrooms go off it.
0:04:21 > 0:04:27The best thing by far is that out of every bedroom window
0:04:27 > 0:04:31you have got a view of the sea.
0:04:38 > 0:04:43Time to look outside the property to see if that's looking as promising.
0:04:43 > 0:04:48One thing to look out for with any kind of property that is covered in rendering
0:04:48 > 0:04:50is what condition that is in.
0:04:50 > 0:04:54A good way to tell is if you hit it, listen to this.
0:04:54 > 0:04:57That sounds hollow and it has blown out underneath there.
0:04:57 > 0:05:01There are signs of cracking in various places.
0:05:01 > 0:05:03That needs to be investigated. Bit of a down side.
0:05:03 > 0:05:08The good news is that as well as the front garden, you have got this little area at the back.
0:05:08 > 0:05:12The property sits on a pretty decent size plot.
0:05:12 > 0:05:15Pebbledash or roughcast was designed to be better
0:05:15 > 0:05:18at facing the elements than a flat surface.
0:05:18 > 0:05:22But here, it has taken a bit of a battering over the years.
0:05:22 > 0:05:27So, you need to factor in some funds for its repair.
0:05:27 > 0:05:30We invited a local estate agent to give us
0:05:30 > 0:05:34her opinion on this four-bedroomed house.
0:05:34 > 0:05:38If this was my property, I would try and put the bathroom upstairs.
0:05:38 > 0:05:40You'd still have three good-sized bedrooms.
0:05:40 > 0:05:45Make your bathroom as it is now into an utility
0:05:45 > 0:05:51and keep the downstairs toilet and possibly build a conservatory out on the back.
0:05:51 > 0:05:55That would make a lot of sense but means a lot of added cost.
0:05:55 > 0:05:59If the house was just given a refurbishment,
0:05:59 > 0:06:00what could it sell on for?
0:06:00 > 0:06:07Once renovated, I think the property is probably going to achieve £115,000- £120,000.
0:06:07 > 0:06:13What could be the potential valuation if the bathroom was moved and a conservatory added?
0:06:13 > 0:06:18You are probably talking of a total value of about £130,000.
0:06:18 > 0:06:24You would have to subtract your build costs from that £10,000 increase in valuation.
0:06:24 > 0:06:27How much could you let for in its current layout?
0:06:27 > 0:06:29In the rental market,
0:06:29 > 0:06:33you would probably be getting about £450 to £475 per calendar month.
0:06:33 > 0:06:36And as a three-bedroom with an upstairs bathroom?
0:06:36 > 0:06:41For rental, you're probably talking about £500 per calendar month.
0:06:41 > 0:06:46A bit of work to be done to sort this one out, particularly on the rendering.
0:06:46 > 0:06:49What you have got here is a lot of property for the money.
0:06:49 > 0:06:52Let's see who fancied it when it went under the hammer.
0:06:52 > 0:06:56A semi-detached house located close to Whitehaven,
0:06:56 > 0:06:59large lounge and a dining kitchen,
0:06:59 > 0:07:02ground floor bathroom and separate WC.
0:07:02 > 0:07:04£50,000-£60,000 guide.
0:07:04 > 0:07:08Start me at 50 someone. We are in at 50.
0:07:08 > 0:07:12At £50,000 I'm bid. Taking once, 51 I've got.
0:07:12 > 0:07:1752. At 52, I am bid. £52,000.
0:07:17 > 0:07:21£52,500, 53. 53, I've got, and a half.
0:07:21 > 0:07:27At £53,500. 54. Shaking the head.
0:07:27 > 0:07:31It is with you at £53,500. 54 anyone?
0:07:31 > 0:07:35At 54, 54.5. 55, shaking the head. 55.
0:07:35 > 0:07:3955 I have got. And a half. You are out.
0:07:39 > 0:07:44It's with you again at 55. At 55 I am bid.
0:07:44 > 0:07:49At 55, we are in the market at £55,000.
0:07:49 > 0:07:55First time then, let's force it. Second time, £55,000 all done, all out.
0:07:55 > 0:08:00Selling away. You sir, thank you.
0:08:00 > 0:08:05That successful bid of £55,000 was made by nuclear power plant worker Tony
0:08:05 > 0:08:09and his wife Lisa, who's a catering assistant.
0:08:09 > 0:08:14They bought it for themselves so they can move out of their current rented accommodation nearby.
0:08:14 > 0:08:19They plan to live here while they build their dream home.
0:08:19 > 0:08:24- Tony, great to meet you. - Nice to meet you.- Congratulations.
0:08:24 > 0:08:28- Thank you.- Big house.- Yes, it is.
0:08:28 > 0:08:31We were surprised when we first walked in and saw it.
0:08:31 > 0:08:36- Why did you want to buy it? - About 21 months ago, we bought a plot of land
0:08:36 > 0:08:39about four miles down the coast.
0:08:39 > 0:08:43We are having a bit of trouble with planning so we are in rented accommodation.
0:08:43 > 0:08:48We thought, we'll buy something that's going to be our own until we get sorted
0:08:48 > 0:08:51because it's dead money we're spending.
0:08:51 > 0:08:55We thought we'd buy somewhere, do it up and at the end, we'll sell it.
0:08:55 > 0:08:56What's the sticking point?
0:08:56 > 0:09:01They said size, over dominating, doesn't match the surrounding dwellings.
0:09:01 > 0:09:05Hopefully, the plans are in now, we've been waiting six weeks.
0:09:05 > 0:09:09Hopefully, we should hear and we can get on with that.
0:09:12 > 0:09:18Tony, Lisa and their two children plan to make this their temporary home.
0:09:18 > 0:09:23What makes this place an ideal stopgap until their new house is built?
0:09:23 > 0:09:27It doesn't need a lot doing to it and just a bit more room.
0:09:27 > 0:09:33We've got things in storage as well so we can take one of the bedrooms for a storage room.
0:09:33 > 0:09:37Just save money because we are shelling out money.
0:09:37 > 0:09:41- What are the plans for it? - New windows, new kitchen.
0:09:41 > 0:09:45Knock the toilet and the bathroom together, just cosmetic really.
0:09:45 > 0:09:48- Any plans to move that upstairs? - No, we are going to leave it as a four-bed.
0:09:48 > 0:09:52We think it's a better selling point. We thought about it
0:09:52 > 0:09:55and then we thought, no, we'll leave it as it is.
0:09:58 > 0:10:02This house presents an interesting dilemma for Tony.
0:10:02 > 0:10:04He'll obviously want to make it comfortable for his family to
0:10:04 > 0:10:08live in, but as the plan is to move into their new home once it's
0:10:08 > 0:10:13built, he doesn't want to invest too much time or money on this one.
0:10:13 > 0:10:16But there are some things outside he can't leave alone.
0:10:16 > 0:10:20One issue I noticed was that some of the rendering looks like it's blown a bit.
0:10:20 > 0:10:23Yes, it has. On the back and the side.
0:10:23 > 0:10:24The gable end.
0:10:24 > 0:10:28The bank sent the surveyor out and they drilled holes in the wall.
0:10:28 > 0:10:32They said the wall ties are showing signs of deterioration.
0:10:32 > 0:10:39- The wall ties?- Yes. So we're getting them fixed. Chip all the dash off.
0:10:39 > 0:10:41We'll take these two windows off,
0:10:41 > 0:10:44put one big bay window in the front to give it a lift and a freshen up.
0:10:44 > 0:10:49- What's the budget?- About £15,000. - And the timescale for doing it?
0:10:49 > 0:10:53- Eight weeks. Hopefully. - Who's going to do the work?
0:10:53 > 0:10:55I'll just get contractors in to do it.
0:10:55 > 0:10:57- Get on with it and get the family in here.- Yeah.
0:10:57 > 0:11:02We'll do the stripping. The kids will want to have a go with the scrapers.
0:11:02 > 0:11:05We'll try to get it done as fast as poss.
0:11:05 > 0:11:08- Congratulations.- Thanks very much. - Good luck with it.- Thank you.
0:11:08 > 0:11:11- I look forward to seeing how you get on.- Spot on.
0:11:12 > 0:11:16It may only be a temporary home until he gets the planning
0:11:16 > 0:11:18permission sorted on his other property.
0:11:18 > 0:11:21I think Tony's got himself a really good house here
0:11:21 > 0:11:27and he's set himself a realistic budget to sort out those issues including the wall ties.
0:11:27 > 0:11:31How will he and his family get on? You can find out later in the show.
0:11:36 > 0:11:40This is Faversham in Kent and if you're after a sense of history,
0:11:40 > 0:11:42you've certainly come to the right place.
0:11:45 > 0:11:48It's a town that's ram-packed with medieval buildings.
0:11:48 > 0:11:52Even the most historical towns have to embrace change
0:11:52 > 0:11:57and the new high-speed rail link has certainly put Faversham on the map.
0:11:57 > 0:12:01From here, London is just an hour away so it's perfect
0:12:01 > 0:12:02if you need to commute.
0:12:04 > 0:12:08Yes, the rail link has made the daily commute less of a chore.
0:12:08 > 0:12:10That's assuming you have a commute, of course.
0:12:10 > 0:12:12If you're lucky enough to work in the town,
0:12:12 > 0:12:16you can just stay put and enjoy all that Faversham has to offer.
0:12:21 > 0:12:23A short walk from the town and the train station and I'm here to see
0:12:23 > 0:12:28a property that was on the market with a local agent for £160,000.
0:12:29 > 0:12:35It went to auction for a much lower price - just £110-120,000
0:12:35 > 0:12:39and that sets alarm bells ringing in my head.
0:12:39 > 0:12:42What's the reason for the significant price drop?
0:12:42 > 0:12:46There's only one way to find out and it's down this little lane here.
0:12:48 > 0:12:50Look at this. It's all so pretty.
0:12:50 > 0:12:53Something that might put the potential buyer off is that
0:12:53 > 0:12:58there's a property there which means that this area is shared access.
0:12:58 > 0:13:02Look at the house. You can just imagine roses around the door.
0:13:02 > 0:13:03It's so pretty.
0:13:04 > 0:13:07The last house that sold on the road right beside the cottage
0:13:07 > 0:13:11achieved a whopping £325,000.
0:13:11 > 0:13:14That gives you some idea of the calibre of the properties
0:13:14 > 0:13:15in the immediate area.
0:13:16 > 0:13:19OK, so it's not the largest cottage in the world,
0:13:19 > 0:13:23but it's got a wonderful feeling as soon as you step inside.
0:13:23 > 0:13:26A little snug kitchen over there which needs a rethink.
0:13:26 > 0:13:31New units, some stairs going up and you've got this reception room here.
0:13:31 > 0:13:34Some might think you walk straight into the fireplace
0:13:34 > 0:13:36but I absolutely love it.
0:13:36 > 0:13:39This chimney breast is what makes this room so special.
0:13:39 > 0:13:42You can imagine it in the winter time all snug
0:13:42 > 0:13:44and a lovely fire blazing.
0:13:44 > 0:13:47You would need to think about redecorating. It's a bit grim.
0:13:47 > 0:13:50It could do with a pick-me-up in here, some fresh carpet,
0:13:50 > 0:13:52but I really like it in here.
0:13:52 > 0:13:54I'm going to go upstairs and explore.
0:13:56 > 0:13:58I can't say I'm completely head-over-heels with
0:13:58 > 0:14:02the current layout but I can't see any way round it.
0:14:02 > 0:14:05Personally I couldn't bear to take out this lovely old fireplace.
0:14:05 > 0:14:09It would make this room open plan but as things stand,
0:14:09 > 0:14:11I think this is the heart of the home.
0:14:11 > 0:14:15So for me, it has to stay. I like the cute staircase.
0:14:15 > 0:14:18I even like the rope though it's not especially safe.
0:14:18 > 0:14:21At least the layout upstairs is pretty standard
0:14:21 > 0:14:24though it may be a tad bijou.
0:14:24 > 0:14:28The two bedrooms are sweet and at least the bathroom is upstairs.
0:14:28 > 0:14:31I'm already wondering if there's room for expansion.
0:14:31 > 0:14:35This cottage, it's not listed, which is great news.
0:14:35 > 0:14:40Someone can come in here and get started.
0:14:40 > 0:14:43Well, no. I'm afraid not.
0:14:43 > 0:14:45The property sits in a conservation area.
0:14:45 > 0:14:49That will have implications for the new owner.
0:14:49 > 0:14:54With a few exceptions, no building or part of a building can be
0:14:54 > 0:14:58demolished or removed without conservation area consent from the council.
0:14:58 > 0:15:01There are a host of other things you can't do.
0:15:01 > 0:15:04I would say it's better to be safe than sorry -
0:15:04 > 0:15:09make sure you check with your local authority before staring any work.
0:15:09 > 0:15:12# A cottage, small is all I'm after
0:15:12 > 0:15:16# Not one that's spacious and wide
0:15:16 > 0:15:18# Give me the simple life... #
0:15:20 > 0:15:24Even if you wanted to do something that seems relatively simple,
0:15:24 > 0:15:28like double-glazing these sash windows, you'll need permission.
0:15:28 > 0:15:30So not such a simple life.
0:15:30 > 0:15:34And just when you thought things couldn't be more complicated...
0:15:34 > 0:15:36Parking is at a premium in this town.
0:15:36 > 0:15:39Unfortunately this cottage doesn't come with any.
0:15:39 > 0:15:42The double yellow lines on the road make it impossible to park
0:15:42 > 0:15:44outside the house.
0:15:44 > 0:15:47I think this will put some buyers off.
0:15:47 > 0:15:52If you do own a car, the nearest spot is right the way round there.
0:15:52 > 0:15:55Or you can park round there for just half an hour.
0:15:56 > 0:15:59Getting shopping or buggies in there might be a real
0:15:59 > 0:16:02challenge which might put families off.
0:16:02 > 0:16:04This small cottage is very appealing
0:16:04 > 0:16:08but not without its problems.
0:16:08 > 0:16:11We asked a local property expert for his thoughts on this place
0:16:11 > 0:16:16guided at between 110 and £120,000.
0:16:16 > 0:16:19This town is popular with commuters cos you've got a good
0:16:19 > 0:16:22access into London and this is a sweet traditional Kentish
0:16:22 > 0:16:26cottage in a great location and it works really well
0:16:26 > 0:16:28but it needs some renovation and refreshment.
0:16:28 > 0:16:31It needs replacement and updating of the kitchen
0:16:31 > 0:16:34and bathroom and redecoration.
0:16:34 > 0:16:37Time to find out what those rental and resale values might be.
0:16:39 > 0:16:43This property when renovated will sell for probably £185,000.
0:16:43 > 0:16:45This property will let very well
0:16:45 > 0:16:49and will achieve certainly £600 per calendar month.
0:16:49 > 0:16:53Parking is the only issue that may take the shine off this little cottage.
0:16:53 > 0:16:58It won't suit everybody, but let me tell you, I love it and there's
0:16:58 > 0:17:02the potential to add value and that's what it's all about.
0:17:02 > 0:17:04Let's find out who fancied this at the auction.
0:17:06 > 0:17:11Let's go to lot 29. Pretty little cottage, this one.
0:17:11 > 0:17:17Can I see £110,000 to start? Give me 100 to get on the way.
0:17:17 > 0:17:21£100,000 only sitting down, right-hand side.
0:17:21 > 0:17:23I should think so too. I've got 100.
0:17:23 > 0:17:29I'm looking for 102 and four and six.
0:17:29 > 0:17:34At six and eight. 110 in a fresh place.
0:17:34 > 0:17:41112, 114, 116. At 18. At 20.
0:17:41 > 0:17:46At £118,000 I've got. Is that 19?
0:17:46 > 0:17:50120, and one. Going in ones now.
0:17:50 > 0:17:56121 may I see? We're down to the ones. Let's keep going on it.
0:17:56 > 0:18:00For the first time at £120,000. Either of you coming back in again?
0:18:00 > 0:18:02Second time at £120,000.
0:18:02 > 0:18:06Third and final time. You sure you're all done at £120,000?
0:18:06 > 0:18:09Well done. You've bought yourself a lovely cottage.
0:18:09 > 0:18:13The successful bid was made by father and daughter Robin and Caroline.
0:18:17 > 0:18:21Robin's a retired economist and his daughter Caroline's a manager
0:18:21 > 0:18:23and a fashion retailer.
0:18:23 > 0:18:25I went to the property to meet them
0:18:25 > 0:18:28and find out what they had planned for the place.
0:18:29 > 0:18:33Caroline and Robin. Lovely to meet you. I love this cottage.
0:18:33 > 0:18:37- What made you want to buy this at auction?- We like Faversham.
0:18:37 > 0:18:40I just moved to Faversham about a year ago.
0:18:40 > 0:18:44My other daughter lives only 100 yards down the road
0:18:44 > 0:18:49in a listed house so we're attached and we like it a lot.
0:18:49 > 0:18:54Is this something that you've been meaning to do? Is it for yourself?
0:18:54 > 0:18:56Why did you want to buy this, Caroline?
0:18:56 > 0:19:00Just cos it's so cute and sweet and it's in the heart of town
0:19:00 > 0:19:04but it has got a little bit of outside space.
0:19:04 > 0:19:08It's close to family so on lots of levels, it works.
0:19:08 > 0:19:10Who have you bought this for?
0:19:10 > 0:19:13Ultimately, it's going to be for Caroline, but in the meantime,
0:19:13 > 0:19:16because she's not working in this area
0:19:16 > 0:19:19and she lives quite a long way away in Eastbourne,
0:19:19 > 0:19:21it'll be rented out.
0:19:21 > 0:19:24If they achieve a top rent of £600 per calendar month, it'll be a nice
0:19:24 > 0:19:30earner for them until Caroline decides to relocate to Faversham.
0:19:30 > 0:19:35- Who spotted this cottage? - I did.- How did you come about that?
0:19:35 > 0:19:38Initially, Caroline tracked it
0:19:38 > 0:19:43but when it was for sale for £160,000 with an agent in town.
0:19:43 > 0:19:48You only told me about it when it came up for auction.
0:19:48 > 0:19:51How marvellous is that? That this property was
0:19:51 > 0:19:56for sale for 160 grand and the guide price was so much lower
0:19:56 > 0:19:58and you ended up paying £120,000 for it!
0:19:58 > 0:20:00Do you feel quite lucky about that?
0:20:00 > 0:20:05Really lucky. We didn't know on the day what it would go for.
0:20:05 > 0:20:08We set a maximum of about 125.
0:20:08 > 0:20:11So, 125 is your top limit?
0:20:11 > 0:20:12Well...
0:20:12 > 0:20:15- Or do you think you might have squeezed a bit more?- You never know.
0:20:15 > 0:20:19- So, you probably would have paid a little bit more?- Possibly, yes.
0:20:19 > 0:20:21Luckily for them, they weren't put in that predicament,
0:20:21 > 0:20:24and picked this place up for a song.
0:20:24 > 0:20:26And the reason for that price drop?
0:20:26 > 0:20:29Well, as the house is non-standard construction,
0:20:29 > 0:20:33half brick, with a timber-frame upper storey,
0:20:33 > 0:20:36it's that bit more difficult to get a mortgage on it,
0:20:36 > 0:20:40so the market for the house, and therefore the price, diminishes,
0:20:40 > 0:20:43which worked in Caroline and Robin's favour.
0:20:43 > 0:20:45What are their plans?
0:20:45 > 0:20:49Well, we've got a lot of ideas, but we have to follow them through.
0:20:49 > 0:20:52So, we could do very little, or we could do quite a lot,
0:20:52 > 0:20:55even as far as taking out the chimney and making this...
0:20:55 > 0:20:58Almost gutting the whole place and starting again.
0:20:58 > 0:21:00We'll need to talk to structural engineers,
0:21:00 > 0:21:01because, obviously, it is major work.
0:21:01 > 0:21:04But if we did, then we could probably have this
0:21:04 > 0:21:05as an open-plan downstairs.
0:21:05 > 0:21:09We could even possibly move the staircase to a different position,
0:21:09 > 0:21:11so we can maximise the space upstairs,
0:21:11 > 0:21:13and even move the bathroom upstairs,
0:21:13 > 0:21:15so we could make the bedrooms a bit bigger,
0:21:15 > 0:21:17because everything is quite small.
0:21:17 > 0:21:19Now, they're quite major alterations,
0:21:19 > 0:21:22and I know this house isn't listed, but it is in a conservation area,
0:21:22 > 0:21:24so there are certain permissions needed.
0:21:24 > 0:21:28- Have you looked into that? - Yes, yes, we know and...
0:21:28 > 0:21:30as my sister does live round the corner
0:21:30 > 0:21:32and she has a listed property...
0:21:32 > 0:21:36We certainly don't want to spoil any of the charm of it at all.
0:21:36 > 0:21:38We're very interested in conservation and preservation
0:21:38 > 0:21:41and making the most of any original features there are.
0:21:41 > 0:21:44It's not terribly exciting inside at the moment.
0:21:44 > 0:21:46I think it could be a lot more exciting.
0:21:46 > 0:21:50Robin has a £20,000 budget for a simple refurbishment.
0:21:50 > 0:21:53He expects this to take three to four months,
0:21:53 > 0:21:57unless, of course, he decides to start shifting rooms around.
0:21:57 > 0:22:00- What do you think the budget would be for that?- Nearer 40,000.
0:22:00 > 0:22:03- So, you know, that's quite a lot of money to spend here.- It is.
0:22:03 > 0:22:05But you did get it for 120,000.
0:22:05 > 0:22:08It would still be the same price that it had been advertised at,
0:22:08 > 0:22:10and it would be a perfect place to live.
0:22:10 > 0:22:12Is this something quite exciting for you,
0:22:12 > 0:22:15that you can get your teeth into, this project, at the moment?
0:22:15 > 0:22:17It's that, isn't it? It's a challenge, isn't it?
0:22:17 > 0:22:20And is it nice that your dad's been on hand to help you?
0:22:20 > 0:22:22Definitely. It'll be really nice for us to do it...
0:22:22 > 0:22:24Actually, she helps me.
0:22:24 > 0:22:29She's got a much better idea of visual space than I have.
0:22:29 > 0:22:33You know, she can visualise what can be done and put it on paper as well.
0:22:33 > 0:22:36Well, guys, it's been so exciting meeting you both today.
0:22:36 > 0:22:38I think you've got a lovely little home here.
0:22:38 > 0:22:40I can't wait to find out what you do.
0:22:40 > 0:22:43- Good luck with this. Thank you, Caroline.- Thank you.
0:22:43 > 0:22:44- Robin.- Thanks very much.
0:22:45 > 0:22:48This cottage is just so magical!
0:22:48 > 0:22:52I think that chimney stack makes this home so special.
0:22:52 > 0:22:55Imagine that crackling fire in the winter!
0:22:55 > 0:22:58Will it stay or will it go?
0:22:58 > 0:23:01You can join me later on in the programme
0:23:01 > 0:23:03to find out what Caroline and Robin decide.
0:23:06 > 0:23:10Coming up, this Derby two-bed needs dosh to save it from disaster.
0:23:10 > 0:23:14It's got to be done before it causes even more damage.
0:23:15 > 0:23:17At this cottage in Kent,
0:23:17 > 0:23:19did Caroline and Robin complete the work,
0:23:19 > 0:23:21or set their hopes too high?
0:23:21 > 0:23:24Haven't quite decided how we get up there yet...
0:23:27 > 0:23:28But first in Cumbria,
0:23:28 > 0:23:31did Tony's temporary home turn out to be trouble?
0:23:31 > 0:23:35It wasn't straightforward. The front of the building had to come out.
0:23:38 > 0:23:39Earlier in the programme,
0:23:39 > 0:23:43we were on the picturesque Cumbrian coast at Parton.
0:23:43 > 0:23:47Tony and his wife Lisa went to auction to buy a temporary family home.
0:23:47 > 0:23:49This was to be a stopgap,
0:23:49 > 0:23:53whilst the plans for their new-build home were being processed
0:23:53 > 0:23:55and the house constructed.
0:23:55 > 0:23:56Progress had been slow,
0:23:56 > 0:23:59so they decided to stop wasting money on rent.
0:23:59 > 0:24:02They paid £55,000 for this four-bedroom house,
0:24:02 > 0:24:06hoping just a few cosmetic changes would be enough.
0:24:06 > 0:24:10However, like many plans, it wasn't straightforward.
0:24:10 > 0:24:13The bank sent a surveyor out.
0:24:13 > 0:24:15They drilled holes in the wall, put cameras down,
0:24:15 > 0:24:18said the wall ties are showing signs of deterioration.
0:24:18 > 0:24:23- The wall ties?- Yes, so we're getting them fixed.
0:24:23 > 0:24:26We're going to maybe take a window out, these two windows out,
0:24:26 > 0:24:28put one big bay window in the front,
0:24:28 > 0:24:31just to give it a little bit of a lift and a freshen up.
0:24:31 > 0:24:32So, what's the budget?
0:24:32 > 0:24:34About 15,000.
0:24:35 > 0:24:38Well, it's now 17 weeks later and back in Parton,
0:24:38 > 0:24:41those two windows have become one.
0:24:42 > 0:24:45The door and upstairs windows have also been replaced.
0:24:48 > 0:24:51There's been a great change in the living room.
0:24:51 > 0:24:55Lisa's interior design skills have transformed the place...
0:24:58 > 0:25:00..with new internal doors and a log burner.
0:25:03 > 0:25:07And two have become one behind the living room.
0:25:07 > 0:25:10Tony's knocked the separate loo and bathroom into one,
0:25:10 > 0:25:13and installed a good quality, mid-range suite.
0:25:16 > 0:25:21And Lisa's styling is on show in a refitted kitchen as well.
0:25:21 > 0:25:25So, converting two into one in this house seems to have worked.
0:25:25 > 0:25:29When we first got the property, there were two windows in this wall.
0:25:29 > 0:25:32We decided to take them out and put a nice bow window here
0:25:32 > 0:25:34to maximise the view of the sea.
0:25:34 > 0:25:38It wasn't straightforward. The front of the building had to come out.
0:25:38 > 0:25:41We had to put supports through it to hold the front of the building,
0:25:41 > 0:25:42to stop it falling in.
0:25:42 > 0:25:44And there was a bit of a delay with the windows,
0:25:44 > 0:25:46but eventually, they got put in,
0:25:46 > 0:25:48and we're really pleased with the end product,
0:25:48 > 0:25:51and you can see what view we've got of the sea.
0:25:54 > 0:25:58Upstairs, the styling continues with three of the four bedrooms...
0:26:06 > 0:26:08..and the family plan to move in within a week.
0:26:11 > 0:26:16Bedroom four is currently being used as useful storage space.
0:26:16 > 0:26:19Remember, this is only a temporary home for the family,
0:26:19 > 0:26:22until they move to a new house they hope to build up the coast.
0:26:22 > 0:26:26We finally got planning permission for the new-build about a month ago,
0:26:26 > 0:26:31so, hopefully, we'll get things moving when we get moved in here.
0:26:31 > 0:26:37Tony decided to check out some of the things he'll be putting into his new-build in this house first.
0:26:39 > 0:26:41Yeah, we installed a wood-burning stove in here.
0:26:41 > 0:26:44It's like a trial run. We had a few issues with the flue.
0:26:44 > 0:26:47Building Control came out and we did what they wanted us to do,
0:26:47 > 0:26:49and, yeah, we're really pleased with it.
0:26:49 > 0:26:52Although he's only going to live here for about a year,
0:26:52 > 0:26:56Tony plans to add a patio and off-street parking to the front.
0:26:56 > 0:26:59# I just don't want to stop... #
0:26:59 > 0:27:01I hope he'll see a return on that money.
0:27:01 > 0:27:06He's already had the added expense of fixing the broken wall ties
0:27:06 > 0:27:09that the survey had highlighted.
0:27:09 > 0:27:12They drilled 180 holes, replaced them,
0:27:12 > 0:27:15which put time and expense onto the project.
0:27:15 > 0:27:17But it was something we couldn't avoid,
0:27:17 > 0:27:19as we needed a certificate at the end of it,
0:27:19 > 0:27:21because when we come to sell it on at the end,
0:27:21 > 0:27:24it's all guaranteed and everything.
0:27:24 > 0:27:26Tony has done a lot of the work himself,
0:27:26 > 0:27:28but who else has been involved?
0:27:28 > 0:27:31We've had local tradesmen in to do the bulk of the work,
0:27:31 > 0:27:35the dashing and the building work on the window and what have you.
0:27:35 > 0:27:36My friend Robert, he's a joiner,
0:27:36 > 0:27:39he put the doors on and the skirting boards...
0:27:39 > 0:27:41Family and friends have helped.
0:27:41 > 0:27:43My little boy, Owen, and my little girl, Linny May,
0:27:43 > 0:27:46they've helped take wallpaper off, tiles off,
0:27:46 > 0:27:49bag things up and wash things down and, yeah,
0:27:49 > 0:27:51we've all got stuck in and I really appreciate it.
0:27:51 > 0:27:54Everything here has been done to a very high standard,
0:27:54 > 0:27:57but there has been what could be regarded
0:27:57 > 0:27:59as a lot of unnecessary expense.
0:27:59 > 0:28:01This is only supposed to be temporary,
0:28:01 > 0:28:05so did they go overboard on what's meant to be a stopgap?
0:28:07 > 0:28:10We have gone over budget, just because of the spec,
0:28:10 > 0:28:12we've done it a little bit higher spec,
0:28:12 > 0:28:15but with the drive and the patio on the back,
0:28:15 > 0:28:18probably 25,000, we'll have spent on it all together.
0:28:19 > 0:28:22As Tony paid £55,000 at auction for the property,
0:28:22 > 0:28:26that would take his total investment here to £80,000.
0:28:29 > 0:28:32Time to see if it's been money well spent.
0:28:32 > 0:28:37We invited two local estate agents to come and give us their opinion on the place.
0:28:37 > 0:28:40I'm really impressed with the standard of refurbishment.
0:28:40 > 0:28:42It's obvious the owners have gone to every length
0:28:42 > 0:28:46to get this property right, and I think that really shows through.
0:28:46 > 0:28:48I really love the property, I love what the owners have done,
0:28:48 > 0:28:50the finish is superb...
0:28:50 > 0:28:53I particularly like the kitchen and the wood-burning stove.
0:28:53 > 0:28:57I think they just add that something extra-special to the property.
0:28:57 > 0:28:59Of particular note for me is the fact that
0:28:59 > 0:29:03the owners have removed a window on the front elevation,
0:29:03 > 0:29:07moved this into line with a view of the sea, which is a great idea.
0:29:07 > 0:29:09Costly, but I think the effect is good.
0:29:09 > 0:29:12But will that extra cost that Tony's incurred
0:29:12 > 0:29:15be rewarded when he and Lisa come to sell?
0:29:15 > 0:29:18And do the estate agents think it's worth more
0:29:18 > 0:29:20than the £80,000 they've invested?
0:29:20 > 0:29:23If I was going to put this property on the market to sell,
0:29:23 > 0:29:26I would aim for a figure between £90-£95,000.
0:29:27 > 0:29:32Bearing in mind the quality, I would value this house at £95,000.
0:29:32 > 0:29:36Based on that valuation range, there could be a gross profit here
0:29:36 > 0:29:40of between £10-£15,000 before taxes and expenses.
0:29:40 > 0:29:43I thought it would have been a bit more than that, to be honest.
0:29:43 > 0:29:46But, in the present climate,
0:29:46 > 0:29:48it's still OK.
0:29:48 > 0:29:50Yeah, we're still happy with that.
0:29:52 > 0:29:54Well, Tony didn't get his wish there,
0:29:54 > 0:29:58but maybe rental valuations will cheer him up.
0:29:58 > 0:30:02The rental market for a property of this size within this area
0:30:02 > 0:30:03is extremely good.
0:30:03 > 0:30:05I expect there to be very high demand,
0:30:05 > 0:30:10leaving us with a rental figure of about £500 per calendar month.
0:30:10 > 0:30:11With a property of this standard,
0:30:11 > 0:30:15I would aim for a rental figure of around £525 per calendar month.
0:30:16 > 0:30:18Based on Tony's current investment,
0:30:18 > 0:30:23those rental incomes would generate a yield of 7.5%.
0:30:23 > 0:30:25Oh, that's...that's good to know, yeah.
0:30:25 > 0:30:27But, at the end of the day,
0:30:27 > 0:30:29I think we are going to go more to the selling,
0:30:29 > 0:30:32rather than the rent out, but we'll see.
0:30:32 > 0:30:34We'll be here for 12 months yet, and next year,
0:30:34 > 0:30:38we'll start on the new-build, I hope, and...start again.
0:30:42 > 0:30:46I'm in Derby, in the heart of the East Midlands, a growing city
0:30:46 > 0:30:50with an estimated 1,200 people taking up residence each year.
0:30:50 > 0:30:54That means investment opportunities for the intrepid auction-goer.
0:30:54 > 0:30:56Alvaston is a popular suburb,
0:30:56 > 0:30:58three miles south-east of the city centre,
0:30:58 > 0:31:02where buy-to-let developers, or even first-time buyers,
0:31:02 > 0:31:03might want to take a look.
0:31:07 > 0:31:11I know it's cheesy, but, whenever I come to this part of Derby,
0:31:11 > 0:31:16I can't get a particular Glen Campbell song out of my head.
0:31:16 > 0:31:18MUSIC: "Galveston" by Glen Campbell
0:31:18 > 0:31:21# Alvaston, oh, Alvaston... #
0:31:21 > 0:31:23HE CHUCKLES
0:31:25 > 0:31:27I told you it was cheesy!
0:31:27 > 0:31:29Anyway, this is the property I'm here to see.
0:31:29 > 0:31:33It's a two-bedroom terrace, at a guide price of £54,000.
0:31:33 > 0:31:35# It's Galveston... #
0:31:35 > 0:31:39Anyway, the house. Well, this is kind of interesting.
0:31:39 > 0:31:41A stud partition wall the moment you come through the front door.
0:31:41 > 0:31:43Somebody has created this corridor.
0:31:43 > 0:31:47Now, that is unusual for this kind of property and...I don't like it.
0:31:47 > 0:31:49What is the point of that corridor? It does absolutely nothing.
0:31:49 > 0:31:51Take it down, open that.
0:31:51 > 0:31:54Maybe keep this bit of it, to create a bit of a porch area,
0:31:54 > 0:31:57but apart from that, no. Silly.
0:31:57 > 0:32:01It's just made the already poky room...well, pokier.
0:32:01 > 0:32:06My nose tells me there's some damp and, yep, there it is.
0:32:06 > 0:32:08Through into the rear of the property...
0:32:08 > 0:32:11I mean, it is a fairly standard layout.
0:32:11 > 0:32:14So, I'm looking for things which vary in these properties.
0:32:14 > 0:32:16The position of the bathroom, where the kitchen is,
0:32:16 > 0:32:18whether it's got open fires...
0:32:18 > 0:32:20Now, it's obviously had a fire at some point,
0:32:20 > 0:32:23that's at least been bricked up properly with a breather brick,
0:32:23 > 0:32:26so you don't get damp in that chimney breast, which is good.
0:32:26 > 0:32:27The room doesn't seem too bad,
0:32:27 > 0:32:30although I did notice a bit of damp in that corner there.
0:32:30 > 0:32:33Through on into the kitchen.
0:32:33 > 0:32:36Nice surprise, it looks like this has been renewed at some point.
0:32:36 > 0:32:39You could almost use this as it is, although, I think, again,
0:32:39 > 0:32:42it would benefit from a bit of tarting up.
0:32:42 > 0:32:45Out into a rear courtyard, you've got double glazing...
0:32:45 > 0:32:47For this kind of property, so far, so good.
0:32:47 > 0:32:49# Have you heard the news?
0:32:49 > 0:32:52# Have you heard what's hit the headlines?
0:32:52 > 0:32:54# The whole world knows that I'm in love with you... #
0:32:54 > 0:32:56Since the rear garden is such a good size,
0:32:56 > 0:33:00there's obviously space here to build out, and add a bigger kitchen.
0:33:00 > 0:33:03Hold the front page, this place looks great value.
0:33:03 > 0:33:05Time for an inspection upstairs.
0:33:07 > 0:33:10Here there's a very tired old bathroom...
0:33:12 > 0:33:15..and a pair of decent sized double bedrooms.
0:33:17 > 0:33:18That's the good news.
0:33:18 > 0:33:22The bad news is they've all got serious signs of damp.
0:33:22 > 0:33:24Nowhere more so than this front bedroom here.
0:33:24 > 0:33:26This is the chimney breast,
0:33:26 > 0:33:30and as you can see up on the ceiling there,
0:33:30 > 0:33:32serious signs of problems.
0:33:32 > 0:33:35Now, feeling it...
0:33:35 > 0:33:38Yes, it does feel, still, quite damp.
0:33:38 > 0:33:42It doesn't...look to me like a problem that's gone away,
0:33:42 > 0:33:44and it's a classic thing.
0:33:44 > 0:33:49Probably the flashing around the chimney stack has become loose,
0:33:49 > 0:33:51or whatever, at some point,
0:33:51 > 0:33:54and water has just obviously leaked in there, straight down.
0:33:54 > 0:33:58Who knows what damage it's caused to the joists in this floor as well.
0:33:58 > 0:34:00So...umm...
0:34:00 > 0:34:02Not expensive to sort out,
0:34:02 > 0:34:06but it's got to be done before it causes even more damage.
0:34:06 > 0:34:10# Drip, drop, drip, drop
0:34:10 > 0:34:13# Drip, drop, drip...
0:34:13 > 0:34:16# It's raining so hard
0:34:16 > 0:34:21# Looks like it's gonna rain all night... #
0:34:21 > 0:34:24Like I said, what I'm checking for in these properties
0:34:24 > 0:34:27is whether there's anything interesting about the layout.
0:34:27 > 0:34:29And there is.
0:34:31 > 0:34:35Well, a bit of a bonus for the property is it does have a cellar.
0:34:35 > 0:34:37Now, at the moment, the head height isn't that brilliant.
0:34:37 > 0:34:40One thing you might consider is actually digging down
0:34:40 > 0:34:41to create a usable space.
0:34:41 > 0:34:43But if a house has got a cellar,
0:34:43 > 0:34:46it's a really good opportunity to explore a bit more
0:34:46 > 0:34:48in terms of if there are any significant problems.
0:34:48 > 0:34:51And given the fact there's lots of damp upstairs,
0:34:51 > 0:34:53I'm a bit concerned about down here.
0:34:53 > 0:34:56It smells a bit damp, which has got me a bit concerned.
0:34:56 > 0:34:59Somebody's taken off some of the plasterboard
0:34:59 > 0:35:02from underneath these joists here, which is good.
0:35:02 > 0:35:05It enables me to see the fact that some new joists have been put in.
0:35:05 > 0:35:08Why was that, I wonder?
0:35:08 > 0:35:12A classic thing is dampness at the end of the joists,
0:35:12 > 0:35:13where they go into the wall.
0:35:13 > 0:35:17If there is damp there, the joists basically rot off at the end
0:35:17 > 0:35:21and, theoretically, the whole floor could...could collapse.
0:35:21 > 0:35:23So, I'm going to check the end of the joists.
0:35:23 > 0:35:27Yeah, and sure enough, you can see the end of that joist's
0:35:27 > 0:35:30completed rotted off where it went into the wall.
0:35:30 > 0:35:31On the left-hand side,
0:35:31 > 0:35:34you can see that a new joist has been put in.
0:35:34 > 0:35:37That's good news. But what's NOT good news
0:35:37 > 0:35:40is the intrinsic problem that caused it in the first place,
0:35:40 > 0:35:44a little bit of that nasty little thing called dry rot.
0:35:44 > 0:35:45So, the problem is...
0:35:45 > 0:35:49the actual root cause of the problems wasn't sorted out
0:35:49 > 0:35:51when they did the remedial work.
0:35:51 > 0:35:54# I've got some good news and some bad news... #
0:35:54 > 0:35:57You can't ignore it because dry rot's a fungus
0:35:57 > 0:36:01that travels through all building materials, not just timber.
0:36:01 > 0:36:05This, like the damp upstairs and the plasterwork falling off the walls,
0:36:05 > 0:36:06needs to be addressed pronto.
0:36:08 > 0:36:11Still, there is a lot of house for the money here.
0:36:11 > 0:36:15Two bedrooms for £54,000, even with a lot of damp and fungus,
0:36:15 > 0:36:17is not to be sniffed at.
0:36:17 > 0:36:20We asked a local property expert for his thoughts.
0:36:22 > 0:36:26Good points - somebody has taken the time and the expense
0:36:26 > 0:36:28to install PVC double glazing.
0:36:28 > 0:36:30It does have gas central heating,
0:36:30 > 0:36:32therefore saving some cost for the purchaser.
0:36:32 > 0:36:35I would say the possible downsides of this property
0:36:35 > 0:36:37are that there is potentially issues with the roof.
0:36:37 > 0:36:39It does appear that there has been water ingress
0:36:39 > 0:36:41into ceilings on the first floor
0:36:41 > 0:36:44and I would certainly say that the timbers within the cellar
0:36:44 > 0:36:47and the ground floor certainly need further investigation,
0:36:47 > 0:36:51as it does appear that there could be evidence of dry rot.
0:36:51 > 0:36:53If you were going to do this place up,
0:36:53 > 0:36:55what could you expect to sell it for?
0:36:57 > 0:36:59If this property, as it currently stands,
0:36:59 > 0:37:02were offered back to the resale market in a good condition,
0:37:02 > 0:37:05it would have a value in the region of £90,000.
0:37:05 > 0:37:07What about letting it?
0:37:07 > 0:37:11It would rent for somewhere in the region of £450 per calendar month.
0:37:12 > 0:37:15Well, a decent enough little property,
0:37:15 > 0:37:18but not without its problems, mainly the dry rot and the damp.
0:37:18 > 0:37:22But get those sorted and done professionally,
0:37:22 > 0:37:26and this could be a good home or a nice little rental earner.
0:37:26 > 0:37:28Let's see who fancied it when it went under the hammer.
0:37:31 > 0:37:33Lot number six is in Alvaston.
0:37:33 > 0:37:35Good investment property, ladies and gentlemen.
0:37:35 > 0:37:38May I say 55,000 to start it? 54.
0:37:38 > 0:37:42Who's got £50,000 to move it on? 50.
0:37:42 > 0:37:4550,000, thank you, at £50,000, the opening bid.
0:37:45 > 0:37:4751, I'm looking for.
0:37:47 > 0:37:48Thank you, 51.
0:37:48 > 0:37:5252, 53, 54.
0:37:52 > 0:37:5554, 55, 56.
0:37:55 > 0:37:5756, 57.
0:37:57 > 0:38:0057, 58 on the phone.
0:38:00 > 0:38:03At 58, 59. 59,000.
0:38:03 > 0:38:0560? 59 and a half.
0:38:05 > 0:38:0860,000. Bids in the room.
0:38:08 > 0:38:1060 and a half. 60 and a half.
0:38:10 > 0:38:1561. At 61? £61,000.
0:38:15 > 0:38:18500. 61,5.
0:38:18 > 0:38:2162, thank you. 62,000.
0:38:21 > 0:38:24And a half again?
0:38:24 > 0:38:26At £62,000.
0:38:26 > 0:38:28500 somewhere else. 62,5.
0:38:28 > 0:38:3063.
0:38:30 > 0:38:32At £63,000.
0:38:32 > 0:38:34500 somewhere?
0:38:34 > 0:38:38We are going to sell it at £63,000 for the first time,
0:38:38 > 0:38:41second time, third and last opportunity.
0:38:41 > 0:38:43It's down at 63,000, thank you.
0:38:43 > 0:38:46The successful bidder was, in fact, none of those bidders.
0:38:46 > 0:38:48It was Daneesh, who works as a postman in Derby.
0:38:54 > 0:38:56He was too busy to go to the auction himself
0:38:56 > 0:38:59so he sent along a proxy to bid on his behalf.
0:38:59 > 0:39:02He already has two investment properties that he rents out
0:39:02 > 0:39:05and was looking for a third one to do up and sell on.
0:39:06 > 0:39:10- Daneesh, great to meet you. Congratulations.- Thank you.
0:39:10 > 0:39:12Tell me why you wanted to buy this place.
0:39:12 > 0:39:14- Actually, I didn't want to buy this place.- You didn't?- No.
0:39:14 > 0:39:17I was at work so I sent my father to the auction for me
0:39:17 > 0:39:21and I think he liked the look of this more than the other three.
0:39:21 > 0:39:23- Whose money was it?- Mine.
0:39:23 > 0:39:27- Right. So, you specifically said three other properties.- Yeah.
0:39:27 > 0:39:30And he came back with a completely different one.
0:39:30 > 0:39:31- So, you hadn't seen it?- No.
0:39:31 > 0:39:33- You hadn't read the legal pack about it?- No.
0:39:33 > 0:39:34- Hadn't been inside?- No.
0:39:34 > 0:39:36- Didn't know what it looked like?- No.
0:39:36 > 0:39:38- Didn't even know where it was?- No.
0:39:41 > 0:39:45So, what did you say when your dad came in?
0:39:45 > 0:39:48He said, "I've got you a house that you wanted."
0:39:48 > 0:39:51Well, he didn't say wanted but I assumed it was one of the three
0:39:51 > 0:39:53so I came home with a bottle of champagne, thinking,
0:39:53 > 0:39:55"Yeah, let's celebrate."
0:39:55 > 0:39:58And he actually said, "No, it's not one of them three, it's this one."
0:39:58 > 0:40:01And he showed me the picture.
0:40:01 > 0:40:04Right. What was his thinking?
0:40:04 > 0:40:06I don't know. I don't know.
0:40:06 > 0:40:11I think he just thought this looked like a better property to have.
0:40:11 > 0:40:14- Are you still talking to him?- Yeah.
0:40:14 > 0:40:16Just.
0:40:16 > 0:40:19Well, that's just as well because this house is nothing like
0:40:19 > 0:40:24the three options Daneesh had spotted in the auction catalogue.
0:40:24 > 0:40:26Were they similar? Are we talking about...?
0:40:26 > 0:40:29No, all three houses were slightly different on views.
0:40:29 > 0:40:34One was semi-detached, one was detached and this one just...
0:40:34 > 0:40:38So, one was a semi-detached, one was a detached. What was the other one?
0:40:38 > 0:40:40I can't remember off the top of my head.
0:40:40 > 0:40:41A bungalow or a castle?
0:40:41 > 0:40:46- Semi-detached or detached and he came back with a terraced.- Yeah.
0:40:46 > 0:40:49- So it wasn't even in the ballpark. - No, it wasn't. No.
0:40:49 > 0:40:51When was the first time you saw it?
0:40:53 > 0:40:56Last week. A week ago.
0:40:56 > 0:41:00- Right...- After we had bought it and I got the keys after 21 days.
0:41:00 > 0:41:05- What did you think when you walked through the door?- Wowsers.
0:41:05 > 0:41:07Wowsers in a good way or wowsers in a bad way?
0:41:07 > 0:41:09Yeah, in a sort of good and bad way.
0:41:09 > 0:41:12I don't know, it was just a bit of a shock because I thought,
0:41:12 > 0:41:14"It does need a little bit of work."
0:41:19 > 0:41:22Well, a bit of work is certainly one way of putting it.
0:41:22 > 0:41:26There are plenty of problems to tackle in this terrace
0:41:26 > 0:41:28but Daneesh is starting in the right place.
0:41:30 > 0:41:32I need the roof checking first before anything
0:41:32 > 0:41:35so I'm going to have the roof checked then I'm going to have someone
0:41:35 > 0:41:38- look downstairs and check the beams and stuff.- Right.
0:41:38 > 0:41:39Then see where we go from there
0:41:39 > 0:41:42and then start inside with the decorating.
0:41:42 > 0:41:45So, how much are you going to be able to do yourself, do you think?
0:41:45 > 0:41:47I'm just going to bring in a team.
0:41:47 > 0:41:50A team of lads who know what they're doing
0:41:50 > 0:41:53- and just get it in and get it back out.- That's the plan, to resell it?
0:41:53 > 0:41:56It's either resell or put it on rent, just to see what I can make,
0:41:56 > 0:42:00if it's going to be better for long-term or short-term investment.
0:42:00 > 0:42:03OK. What is the sort of budget you have got for doing the work?
0:42:03 > 0:42:05About five.
0:42:05 > 0:42:07Until I take wallpaper off and stuff,
0:42:07 > 0:42:09I don't really know but I've got a budget of eight.
0:42:09 > 0:42:11Obviously, I would like to spend less.
0:42:11 > 0:42:13I guess it depends what the roof's like
0:42:13 > 0:42:17- and it depends on the mess in the cellar.- Yes.- All the dry rot.
0:42:17 > 0:42:19What about timescale?
0:42:19 > 0:42:23- Approximately anywhere from 4 to 6 weeks.- Right.
0:42:23 > 0:42:25Is your dad going to come and do the labouring here for free?
0:42:25 > 0:42:28He'll make the tea.
0:42:28 > 0:42:30Well, listen, it's good to see you're still smiling.
0:42:30 > 0:42:33- Congratulations.- Thank you very much.- Good luck with it.
0:42:33 > 0:42:35I look forward to seeing how you get on.
0:42:37 > 0:42:41A bit of a non-standard introduction to this property for Daneesh.
0:42:41 > 0:42:44Didn't have a clue he was going to buy it.
0:42:44 > 0:42:48In fact, his dad just surprised him. Well, there you go.
0:42:48 > 0:42:52It's a great story. He seems to be ready to take it on.
0:42:52 > 0:42:55Hopefully, the challenges of the dry rot
0:42:55 > 0:42:58and the damp won't prove to be too huge.
0:42:58 > 0:43:01You can find out how he does get on later in the show.
0:43:05 > 0:43:09Time has passed, budgets have been spent, sometimes blown,
0:43:09 > 0:43:13but the big million-dollar question is has all been worth it?
0:43:13 > 0:43:15Yes, have our buyers been busy
0:43:15 > 0:43:18or have they let the grass grow under their feet?
0:43:18 > 0:43:20Let's go back and find out.
0:43:21 > 0:43:23We are back in the Faversham in Kent
0:43:23 > 0:43:27to find out how father and daughter team Robin and Caroline
0:43:27 > 0:43:31got on with this timber-clad cottage they bought at auction.
0:43:31 > 0:43:33Inside it had a living room and a kitchen area
0:43:33 > 0:43:37squeezed around a characterful but substantial fireplace.
0:43:37 > 0:43:40The big question in this small cottage was
0:43:40 > 0:43:42should it stay or should it go?
0:43:44 > 0:43:46So, we could do very little or we could do quite a lot,
0:43:46 > 0:43:49even as far as taking out the chimney
0:43:49 > 0:43:52and almost cutting the whole place and starting again.
0:43:53 > 0:43:56Upstairs, there was one decent double bedroom
0:43:56 > 0:43:58and a smallish single.
0:43:58 > 0:44:01Both needed new carpets and redecoration.
0:44:01 > 0:44:04The bathroom was shoehorned in between the bedrooms
0:44:04 > 0:44:07and was a windowless, characterless kind of place.
0:44:07 > 0:44:09Clearly, retired economist Robin
0:44:09 > 0:44:13and shop manager Caroline had more decisions to make.
0:44:13 > 0:44:16We could even possibly move the staircase to a different position
0:44:16 > 0:44:18so we can maximise the space upstairs
0:44:18 > 0:44:20and even move the bathroom
0:44:20 > 0:44:22so we can make the bedrooms a bit bigger
0:44:22 > 0:44:24cos everything is quite small.
0:44:24 > 0:44:28Robin and Caroline paid £120,000 for the house at auction and
0:44:28 > 0:44:33the renovation budget was anything between £20,000 and £40,000.
0:44:33 > 0:44:35The timescale was four to five months.
0:44:40 > 0:44:42We have come back 11 months later to see
0:44:42 > 0:44:46if they have turned this titchy cottage into a beautiful home.
0:44:57 > 0:45:00Outside, they still have some work to do.
0:45:00 > 0:45:02The new wood panelling needs to be painted
0:45:02 > 0:45:05and the garden is still to be finished but they have added
0:45:05 > 0:45:09a porch and, much more importantly, an extra window.
0:45:09 > 0:45:12And that's not all.
0:45:12 > 0:45:14Yep, it's cheerio to the chimney.
0:45:16 > 0:45:18Oh, I loved that fireplace
0:45:18 > 0:45:21but I suppose I can see why they opted to remove it.
0:45:24 > 0:45:27So, we originally took out the chimney breast
0:45:27 > 0:45:29and we gutted all the walls.
0:45:29 > 0:45:34We have put in a much bigger and a much better kitchen
0:45:34 > 0:45:37with built-in dishwasher, washing machine, fridge.
0:45:37 > 0:45:42So, it's a lovely, simple shaker kitchen with a solid oak worktop.
0:45:42 > 0:45:46We are really pleased with it. I think it works really well.
0:45:46 > 0:45:50The ground floor is now open, spacious and light.
0:45:50 > 0:45:55But taking the decision to remove the central fireplace was tough.
0:45:55 > 0:45:58The chimney wasn't in very good condition
0:45:58 > 0:46:00and the builders told us it might be cheaper,
0:46:00 > 0:46:03rather than trying to restore it, would be taking it down
0:46:03 > 0:46:07and rebuilding it and then, you know, what was the point?
0:46:07 > 0:46:10At that stage, we decided it was better to remove it.
0:46:14 > 0:46:18Upstairs, the internal bathroom now has a brand-new window
0:46:18 > 0:46:19and that's not all.
0:46:23 > 0:46:28When we acquired the cottage, there were two bedrooms but there
0:46:28 > 0:46:33was a bathroom in this corner so this bedroom was very small.
0:46:33 > 0:46:37We are very pleased that we removed the chimney breast to allow us
0:46:37 > 0:46:42to move the bathroom. Caroline made a good job with the bathroom design.
0:46:42 > 0:46:47We have also put in this vaulted ceiling and an attic,
0:46:47 > 0:46:51if you call it an attic, that goes to the other end of the house.
0:46:51 > 0:46:53So there's a lot of storage space.
0:46:53 > 0:46:56Haven't quite decided how we get up there yet.
0:46:57 > 0:47:01That's an ingenious use of potentially dead space.
0:47:01 > 0:47:02In the other double bedroom,
0:47:02 > 0:47:06removing the built-in wardrobes has also freed up more space.
0:47:06 > 0:47:10Robin has taken great care to make sure this old cottage is
0:47:10 > 0:47:15going to be snug and cosy without its great, big fireplace.
0:47:15 > 0:47:18The cottage didn't have any insulation before.
0:47:18 > 0:47:21Now it is very thoroughly insulated
0:47:21 > 0:47:24so that did tend to reduce the size of the cottage
0:47:24 > 0:47:30but it was more than made good by the removal of the chimney.
0:47:30 > 0:47:33But this was a family and development so, come on,
0:47:33 > 0:47:36tell us all, how did they get on working together?
0:47:37 > 0:47:41I've chosen quite a few of the colours and the tiles
0:47:41 > 0:47:44and the bathroom fittings and things like that.
0:47:44 > 0:47:49Caroline's very good at design and visualising the use of space
0:47:49 > 0:47:51and so, no, I think it worked very well.
0:47:51 > 0:47:55Doing such a thorough makeover has had an impact on both
0:47:55 > 0:47:57the timescale and their budget.
0:47:57 > 0:48:00It's taken 10 months to get to this stage,
0:48:00 > 0:48:03not the four to five they had originally estimated.
0:48:03 > 0:48:07Robin's gone over even his top estimate of 40,000,
0:48:07 > 0:48:10having now spent £45,000.
0:48:10 > 0:48:14So, added to the auction price of 120,000, this little cottage
0:48:14 > 0:48:18has cost £165,000 so far.
0:48:18 > 0:48:21It's time to find out if two local property experts
0:48:21 > 0:48:23will think it was worth it.
0:48:23 > 0:48:26Absolutely lovely. We've got a very, very nice, charming property here.
0:48:26 > 0:48:27Double fronted.
0:48:27 > 0:48:29Come inside the property
0:48:29 > 0:48:31and the owners have done a fantastic conversion inside
0:48:31 > 0:48:34and really opened up some living space on the ground floor.
0:48:34 > 0:48:36With a property of this age, buyers would
0:48:36 > 0:48:40initially be looking for a period features such as a fireplace, etc.
0:48:40 > 0:48:42But it doesn't have one and the general surround
0:48:42 > 0:48:46and finish is adequate that buyers will accept that.
0:48:46 > 0:48:49What do the estate agents reckon the property is worth now?
0:48:49 > 0:48:51With regards to a valuation,
0:48:51 > 0:48:53once they have finished the works outside,
0:48:53 > 0:48:56I'd expect the property to achieve in the region of £175,000.
0:48:56 > 0:48:59The residential market value of this property, in my opinion,
0:48:59 > 0:49:04would be somewhere between £175,000 and £185,000.
0:49:04 > 0:49:08Those valuations would give Robin a profit of between 10 and 20,000
0:49:08 > 0:49:11before costs and expenses.
0:49:11 > 0:49:14That wasn't the reason for us doing the work
0:49:14 > 0:49:17but I'm very pleased it is increasing its value.
0:49:17 > 0:49:20Robin bought the cottage for Caroline to live in
0:49:20 > 0:49:23when she returns to Faversham in a few years.
0:49:23 > 0:49:26So, what about rental value in the meantime?
0:49:26 > 0:49:28The market for rental is very, very busy at the moment.
0:49:28 > 0:49:31You'll be looking at £750 per calendar month
0:49:31 > 0:49:32for a property like this.
0:49:32 > 0:49:34There is a strong demand for rental properties,
0:49:34 > 0:49:37particularly two-bedroom places right in the heart of Faversham
0:49:37 > 0:49:40and I'd expect them to achieve £700 per calendar month.
0:49:40 > 0:49:44I think that's really good. That sort of what we suspected.
0:49:44 > 0:49:47Yes. That's good.
0:49:48 > 0:49:51A rental yield, then, of around 5.5%.
0:49:51 > 0:49:54So, what's next for the family developers?
0:49:55 > 0:49:57Doing a lot of work to my own house
0:49:57 > 0:50:01so there's going to be an equal amount of work on that, I think.
0:50:01 > 0:50:04So that will, I'm sure, keep us fully employed.
0:50:04 > 0:50:09We'll certainly need a little bit of time to get over doing this one.
0:50:09 > 0:50:12And I'm sure I'll be helping Dad out with his.
0:50:16 > 0:50:18We are back in Alvaston to see
0:50:18 > 0:50:22if Daneesh was sabotaged or saved by his dad's auction purchase.
0:50:22 > 0:50:24Postman Daneesh was too busy to go along
0:50:24 > 0:50:28so sent his father as a proxy, who bought none of the properties
0:50:28 > 0:50:32Daneesh has researched and plumped for one sight unseen.
0:50:32 > 0:50:33- So, you hadn't seen it?- No.
0:50:33 > 0:50:36- You hadn't read the legal pack about it?- No.
0:50:36 > 0:50:37- Hadn't been inside?- No.
0:50:37 > 0:50:39- Didn't know what it looked like?- No.
0:50:39 > 0:50:41- Didn't even know where it was?- No.
0:50:41 > 0:50:44Fortunately, he kept his sense of humour as the two-bedroomed
0:50:44 > 0:50:48end of terrace did turn out to be full of opportunities.
0:50:50 > 0:50:53That's opportunities to spend, spend, spend.
0:50:53 > 0:50:55The bad news was that there was dry rot,
0:50:55 > 0:50:58wet rot and plaster falling off the walls.
0:50:58 > 0:51:01Some of the good news included new double glazing and central heating,
0:51:01 > 0:51:05a huge back garden and a kitchen in decent condition.
0:51:05 > 0:51:08More good news was that Dad was forgiven.
0:51:08 > 0:51:11- Are you still talking to him? - Yeah.
0:51:11 > 0:51:12Just.
0:51:15 > 0:51:18Daneesh hoped to complete the renovation of the terrace
0:51:18 > 0:51:19in six to eight weeks.
0:51:19 > 0:51:22The house cost £63,000 at auction
0:51:22 > 0:51:26and he had a budget of between £5,000 and £8,000 to do it all.
0:51:29 > 0:51:31We have come back six weeks later to see
0:51:31 > 0:51:35if it is a case of family feud or father knows best.
0:51:35 > 0:51:37MUSIC: "No Regrets" by ROBBIE WILLIAMS
0:51:37 > 0:51:38# No regrets
0:51:41 > 0:51:43# They don't work
0:51:46 > 0:51:48# No regrets, now
0:51:51 > 0:51:53# They only hurt. #
0:51:53 > 0:51:58Outside still needs a little work but inside it's a different matter.
0:51:58 > 0:52:01I've just painted it with some neutral colours and,
0:52:01 > 0:52:02if you can remember,
0:52:02 > 0:52:05there was a massive hole there from a water leak that we
0:52:05 > 0:52:08had from the roof and it was just because the chimneys had little
0:52:08 > 0:52:11leaks coming through so that's what caused the damage.
0:52:11 > 0:52:14A roofer came in and just did that.
0:52:14 > 0:52:17Plasterwork needed to come off all walls and just redo both
0:52:17 > 0:52:23bedrooms and redone the ceiling and put new, fresh carpets in.
0:52:23 > 0:52:26I'm actually quite happy with the work that's been done
0:52:26 > 0:52:28and it does look fresh.
0:52:30 > 0:52:33It might be fresh and clean up here now but, at the opposite level
0:52:33 > 0:52:38of the house, something horrible had been living in the cellar - dry rot.
0:52:38 > 0:52:40I just called in a specialist and, basically,
0:52:40 > 0:52:44they just treated the dry rot and then painted the cellar out.
0:52:45 > 0:52:49Daneesh very sensibly assembled a team of professionals to deal
0:52:49 > 0:52:53with all those tricky dry rot problems throughout.
0:52:53 > 0:52:56I had some builders come in, a decorator, obviously a roofer
0:52:56 > 0:52:58and a specialist for the dry rot.
0:52:58 > 0:53:01Every other day I was here, pushing them.
0:53:01 > 0:53:03Come on, work faster.
0:53:03 > 0:53:06Well, Daneesh's management technique seems to have worked.
0:53:06 > 0:53:09The bathroom was not in the same state as the bedrooms
0:53:09 > 0:53:11but it did require a complete refit.
0:53:17 > 0:53:20Downstairs, the front sitting room has been spruced up.
0:53:20 > 0:53:22The damp patches have been dismissed.
0:53:24 > 0:53:28And the rear sitting room is also now ready and welcoming.
0:53:31 > 0:53:34There was no need to replace the kitchen but it's been painted
0:53:34 > 0:53:37and given a thorough scrub and polish.
0:53:37 > 0:53:38For a first-time developer,
0:53:38 > 0:53:42Daneesh has certainly kept a tight rein on his spending.
0:53:42 > 0:53:45He's replaced fixtures and fittings only where he needs to
0:53:45 > 0:53:47and has kept as much as he can.
0:53:47 > 0:53:48Good for him.
0:53:48 > 0:53:50So, did Dad know best after all?
0:53:50 > 0:53:53The only other person that's really been on my back has been my dad
0:53:53 > 0:53:55so it's been fantastic otherwise.
0:53:55 > 0:53:57Cos if I didn't have him for moral support,
0:53:57 > 0:53:59I think I would have crumbled a little bit.
0:53:59 > 0:54:01I think it was quite a good purchase actually.
0:54:01 > 0:54:04It's worked out better than I thought it would.
0:54:04 > 0:54:07From roof to cellar, this relative newcomer to property
0:54:07 > 0:54:11developing has reclaimed this terrace from its mouldy, old past.
0:54:11 > 0:54:15Daneesh bought it for £63,000 and has spent only £4,000
0:54:15 > 0:54:20on the refurbishment, bringing his total outlay to £67,000.
0:54:23 > 0:54:25We asked the auctioneer who sold the property
0:54:25 > 0:54:29and a local estate agent for their opinions.
0:54:29 > 0:54:32When you come back to a place and it's been treated,
0:54:32 > 0:54:34it always looks clean and fresh and tidy.
0:54:34 > 0:54:39A lot of it is cosmetic work so it's fresh paintwork
0:54:39 > 0:54:42and I don't think there's probably been a lot of money spent.
0:54:42 > 0:54:45First impressions are it's a basic property
0:54:45 > 0:54:47with a basic renovation
0:54:47 > 0:54:50that will let or sell fairly easily.
0:54:52 > 0:54:54This look, the simple, clean,
0:54:54 > 0:54:58easy-to-move-into look is perfect for the market.
0:54:58 > 0:55:01No extra fuss needed for today's purchaser or renter.
0:55:01 > 0:55:05It's just straightforward, ready to move straight into.
0:55:05 > 0:55:08Now to that all-important valuation.
0:55:08 > 0:55:11What do they think Daneesh could expect to sell the house for?
0:55:11 > 0:55:13It's an average property
0:55:13 > 0:55:17so we are looking at an average price of around £80-£85,000.
0:55:17 > 0:55:21If time was not of the essence then your asking price might be
0:55:21 > 0:55:23just short of £90,000,
0:55:23 > 0:55:28in the expectation that you'd achieve £85,000 or more.
0:55:28 > 0:55:30Those valuations would give Daneesh a profit
0:55:30 > 0:55:36of between £13,000 and £23,000 before costs and expenses.
0:55:36 > 0:55:39It's a good profit line so I'm happy with that.
0:55:39 > 0:55:42I can wait. I don't mind waiting on this and then selling,
0:55:42 > 0:55:44so we'll see what happens.
0:55:44 > 0:55:47But what about that all-important rental market?
0:55:47 > 0:55:51What do the experts think the property could attract for that?
0:55:51 > 0:55:55Rent should achieve around £425 per calendar month
0:55:55 > 0:55:57and it should rent very easily.
0:55:57 > 0:56:00This area, actually, is quite good for the rented market and,
0:56:00 > 0:56:03with the quality of house like this, I think it would rent well.
0:56:03 > 0:56:07I'd expect the rental value to be about £450 per calendar month.
0:56:07 > 0:56:11At those rents, Daneesh would achieve around an 8% yield.
0:56:11 > 0:56:14What does he think of that?
0:56:14 > 0:56:15Fantastic.
0:56:15 > 0:56:17I think it's generous.
0:56:18 > 0:56:20So it's better than what I thought.
0:56:26 > 0:56:30Finally, will he trust his father to represent him at auctions in
0:56:30 > 0:56:35the future after such a successful, if surprising, first development?
0:56:35 > 0:56:36At another auction,
0:56:36 > 0:56:40I'd probably send my father with someone or I'd probably go with him.
0:56:40 > 0:56:42I'm not going to send him on his own.
0:56:44 > 0:56:48Whether you're a seasoned professional or a property novice,
0:56:48 > 0:56:50there are always lessons to be learned.
0:56:50 > 0:56:53So, join us next time for more auction action
0:56:53 > 0:56:54here on Homes Under The Hammer.
0:56:54 > 0:56:57- We'll see you then. - Goodbye.- Goodbye.
0:56:58 > 0:57:02Subtitles by Red Bee Media Ltd