0:00:02 > 0:00:04Hello, now people get involved in buying property
0:00:04 > 0:00:06for all sorts of different reasons,
0:00:06 > 0:00:10either as a place to live in or work in, or to rent out or sell.
0:00:10 > 0:00:13But the main concern is getting value for money.
0:00:13 > 0:00:15Now, how do you go about doing that?
0:00:15 > 0:00:18Well, maybe buying your next home under the hammer.
0:00:42 > 0:00:46Now, you do need to do your homework before you buy at auction.
0:00:46 > 0:00:49But once that's done, you could get yourself a real bargain.
0:00:49 > 0:00:52So here are the potential money-spinners that went
0:00:52 > 0:00:54under the hammer on today's show.
0:00:55 > 0:01:00This purchase in Deal, Kent, proved a big surprise for our buyer.
0:01:00 > 0:01:04And when I got it, I couldn't believe it.
0:01:04 > 0:01:05While in Derby,
0:01:05 > 0:01:09the best reason I've heard yet for getting into the property game.
0:01:10 > 0:01:14It's made me feel young again, something to get up for.
0:01:16 > 0:01:18These properties have been sold at auction.
0:01:18 > 0:01:21We'll find out who bought them and what they paid for them
0:01:21 > 0:01:22when they went under the hammer.
0:01:22 > 0:01:23Sold.
0:01:36 > 0:01:40# It's a done deal... #
0:01:41 > 0:01:44This is Deal in Kent, just eight miles from Dover
0:01:44 > 0:01:48and the south coast. And what a beautiful spot it is, too.
0:01:48 > 0:01:54Miles of beach, a castle, narrow, winding shopping streets,
0:01:54 > 0:01:55just lovely.
0:01:55 > 0:01:58And I reckon, if you are after traditional seaside charm
0:01:58 > 0:02:03with a boutiquey vibe, then Deal is your destination.
0:02:07 > 0:02:11You can walk from the beach to the property I'm here to see
0:02:11 > 0:02:13in under a minute.
0:02:13 > 0:02:15Which is amazing! And the property
0:02:15 > 0:02:17itself, well, it is a three-bedroom maisonette,
0:02:17 > 0:02:21and it had a guide price of £85,000.
0:02:24 > 0:02:26This maisonette is on the first
0:02:26 > 0:02:29and second floor of this bay-fronted period property.
0:02:36 > 0:02:41First things first, this place feels huge. It is huge! Wow!
0:02:41 > 0:02:45It's incredibly dated. Look, there is woodchip wallpaper for days.
0:02:45 > 0:02:48This will take you for ever to get off but it will be a worthwhile job.
0:02:48 > 0:02:52The kitchen towards the back, again, that will need to be ripped out.
0:02:52 > 0:02:54You have got a little bathroom through here.
0:02:54 > 0:02:58I'm just wondering whether you have got any nice spindles here.
0:02:58 > 0:03:02So far, all the character has been stripped out of this place.
0:03:02 > 0:03:04Nice big room, you could have it as a bedroom, living room,
0:03:04 > 0:03:06not quite sure what you would do with it.
0:03:06 > 0:03:09You have the stairs leading to the upper floor and wow,
0:03:09 > 0:03:10look at this room!
0:03:10 > 0:03:14At the front of the property it's really sunny and bright
0:03:14 > 0:03:17and on a day like today, it really is fantastic.
0:03:17 > 0:03:18It would be great for entertaining.
0:03:18 > 0:03:22Look at this amazing bay window, although on closer inspection,
0:03:22 > 0:03:25you might want to get that refurbished.
0:03:25 > 0:03:29Check that out, a seaside view, marvellous.
0:03:29 > 0:03:32I think this property has lots of potential
0:03:32 > 0:03:35if this floor is anything to go by.
0:03:35 > 0:03:37So what about upstairs?
0:03:37 > 0:03:40Not a bad master bedroom. Again, needs a bit of work.
0:03:40 > 0:03:45It gets worse as you go on. The blue room through here is very eaved.
0:03:45 > 0:03:47Lots of wallpaper falling on the floor
0:03:47 > 0:03:50so I would want to inspect the roof space.
0:03:50 > 0:03:52And the beigey room, well, very small.
0:03:52 > 0:03:55So you do have three bedrooms but they all need work,
0:03:55 > 0:03:59so whoever takes this on better have their cheque-book handy.
0:04:01 > 0:04:03The property is in a great location,
0:04:03 > 0:04:07so you wouldn't miss the absence of a garden.
0:04:07 > 0:04:11I think there's a lot going for it at that guide price of 85,000.
0:04:13 > 0:04:15Did a local estate agent agree?
0:04:15 > 0:04:19What value would he put on this after a refurbishment?
0:04:20 > 0:04:23With a decent refurbishment and updating,
0:04:23 > 0:04:28I would estimate a value between 150 and £160,000.
0:04:28 > 0:04:30Wow!
0:04:30 > 0:04:33So if you were able to get it at anything like the guide price,
0:04:33 > 0:04:36there could be a significant profit to be made,
0:04:36 > 0:04:38even after refurbishment costs.
0:04:38 > 0:04:41Would it be a good buy-to-let investment?
0:04:41 > 0:04:43Could it achieve a decent rental?
0:04:43 > 0:04:49I would anticipate in the region of £650 per calendar month.
0:04:51 > 0:04:54On a sunny day, it is so easy to get carried away
0:04:54 > 0:04:57and just fall in love with a property by the seaside.
0:04:57 > 0:05:01But in this instance, it makes sound business sense, too.
0:05:01 > 0:05:04Let's see who else fell for this one at the auction.
0:05:08 > 0:05:11Good-looking property. It is a large maisonette.
0:05:11 > 0:05:13Three bedrooms, needs some improvement.
0:05:13 > 0:05:17But close to the seafront and good for the town centre as well.
0:05:17 > 0:05:19I guess we would like to start at £85,000.
0:05:19 > 0:05:22Where'd you want to start me? Ever the optimist.
0:05:22 > 0:05:23Where are you going to start me?
0:05:23 > 0:05:2785, I've got, straight in, £85,000, to the lady at the back.
0:05:27 > 0:05:30At 85,000, at 85. Now 90. At 90.
0:05:30 > 0:05:33I've got the bid of £85,000 from the lady
0:05:33 > 0:05:36sitting at the back on the aisle, at £85,000 I've got, then.
0:05:36 > 0:05:40Maiden bidder. £85,000 sitting at the back for the first time.
0:05:40 > 0:05:45If there's no other bids? It would be a good buy at £85,000 or 88.
0:05:45 > 0:05:52- Second time at 85...- 86.- 86,000, you heard his voice. £86,000. 87 now?
0:05:52 > 0:05:55At 87. And eight. 88.
0:05:55 > 0:05:58At 89,000, I'm waiting.
0:05:58 > 0:06:03At £88,000, standing then by the entrance. 89, it's against you.
0:06:03 > 0:06:08If you're done, for the first time at £88,000? She's not, 89. Make it 90?
0:06:08 > 0:06:13At £89,000, it is back with you, then, for the first time,
0:06:13 > 0:06:16second time at £89,000...
0:06:16 > 0:06:21Third and final time at 89,000, sold. £89,000.
0:06:21 > 0:06:25And the bidder with the red hat on is Mary.
0:06:28 > 0:06:31# Show me Mary
0:06:31 > 0:06:33# How does it go?
0:06:33 > 0:06:35# Show me Mary
0:06:35 > 0:06:39# Show me Mary...#
0:06:39 > 0:06:43Mary is a retired housekeeper from London, where she currently lives
0:06:43 > 0:06:48in a rental property and she has bought this maisonette for £89,000.
0:06:48 > 0:06:52That's only 4,000 over the guide price.
0:06:52 > 0:06:55Well, I said this was a business opportunity.
0:06:55 > 0:06:59I wanted to find out from Mary if that is what made her come to Deal.
0:06:59 > 0:07:03- Mary, congratulations.- Thank you. - You got a deal here.
0:07:03 > 0:07:07I mean, it is amazing that this was not that much over the guide price.
0:07:07 > 0:07:10- No.- Was it just a lucky streak, do you think, on the day?
0:07:10 > 0:07:12I think so.
0:07:12 > 0:07:16I mean, when I looked at this place, I fell in love with it straightaway.
0:07:16 > 0:07:19To be honest, I didn't think I'd get it.
0:07:19 > 0:07:22I said, "Oh, no, there'll be so many people after it, it's hopeless."
0:07:22 > 0:07:25And when I got it I couldn't believe it!
0:07:25 > 0:07:29Mary got started by selling her own home in Forest Gate,
0:07:29 > 0:07:35London, which she originally bought in 1977 for £9,000. Blimey!
0:07:35 > 0:07:40As we speak, Mary owns and rents six properties in different
0:07:40 > 0:07:44parts of Kent, so what are her plans for number seven?
0:07:44 > 0:07:46I would probably let it out.
0:07:46 > 0:07:49Eventually, I'll sell it but I will let it out first,
0:07:49 > 0:07:52maybe move in to it.
0:07:52 > 0:07:55Have you got a vision in your mind of what this place is going
0:07:55 > 0:07:58- to look like?- Oh, yes. It will be a lovely new kitchen,
0:07:58 > 0:08:02a new shower, new carpets.
0:08:02 > 0:08:05What sort of budget have you put aside for a job like this?
0:08:05 > 0:08:08- Maybe 10 to 15,000.- Really?
0:08:08 > 0:08:12Mary plans to finance the project through the rentals
0:08:12 > 0:08:15she collects from her other properties.
0:08:15 > 0:08:18She has estimated a timeframe of just two months to complete
0:08:18 > 0:08:19the work.
0:08:19 > 0:08:23You don't seem fazed by any of this or stressed at all.
0:08:23 > 0:08:26No, no, I just love property.
0:08:26 > 0:08:28Mary, congratulations, good luck with this project.
0:08:28 > 0:08:30Thank you very much.
0:08:32 > 0:08:36Well, Mary has got a cracking deal here in Deal, and I'm sure
0:08:36 > 0:08:40with her experience, she will get it sorted out in no time at all.
0:08:40 > 0:08:44You can find out how it goes later in the show.
0:08:50 > 0:08:53Derby, with a population of just under a quarter of a million,
0:08:53 > 0:08:55is a thriving city.
0:08:59 > 0:09:01With a history of local manufacturing,
0:09:01 > 0:09:04it has been key since the Industrial Revolution.
0:09:07 > 0:09:11The property I am here to see is just a mile-and-a-half south
0:09:11 > 0:09:13of the city centre.
0:09:13 > 0:09:18A two-bedroomed, ex-local authority property which, according to the
0:09:18 > 0:09:23auction catalogue, requires a scheme of renovation and improvement.
0:09:23 > 0:09:27That could explain the relatively low guide price of £30,000 plus.
0:09:30 > 0:09:32Now, of course, renovation
0:09:32 > 0:09:36and improvement can mean a whole lot of different things to
0:09:36 > 0:09:39a whole lot of different people, from a quick lick of paint to
0:09:39 > 0:09:42knocking down walls and taking out fireplaces.
0:09:42 > 0:09:45First thing I'd say is strip the floorboards back. I like those.
0:09:45 > 0:09:47That would be beautiful.
0:09:47 > 0:09:50Um, you're going to have to do something with the roof,
0:09:50 > 0:09:51but the layout is quite nice.
0:09:51 > 0:09:54Basically, large living room here and then through to the kitchen.
0:09:54 > 0:09:58You could contemplate taking out this wall here to create
0:09:58 > 0:10:02a real nice, open-plan living space, which would be quite pleasant.
0:10:02 > 0:10:05The kitchen itself, whatever you do, is going
0:10:05 > 0:10:07to need total refurbishment.
0:10:07 > 0:10:12Um, uh-oh! As will the electrics, by the look of it.
0:10:12 > 0:10:14Of course, that's something you need to be looking at
0:10:14 > 0:10:16when you come to see a property.
0:10:16 > 0:10:18Look to find where the electric board is.
0:10:18 > 0:10:20Old, cartridge-type fuses with a bit of fuse wire in them,
0:10:20 > 0:10:24that indicates the whole thing is going to have to be ripped out and replaced.
0:10:24 > 0:10:28But, doing the renovation, you'll probably want to do that anyway.
0:10:28 > 0:10:30At least you'll know the house is then sorted.
0:10:30 > 0:10:34One thing I don't notice down here is a loo, which is good news,
0:10:34 > 0:10:38because it means it's upstairs. Fantastic.
0:10:47 > 0:10:50And, yes indeed, there it is - complete with a fine example
0:10:50 > 0:10:53of that great bathroom favourite, an avocado suite.
0:10:53 > 0:10:57So, a completely new refit is needed here, I think,
0:10:57 > 0:10:59to bring it up to modern standards.
0:11:02 > 0:11:04The bedrooms are both a good size,
0:11:04 > 0:11:07although when you have installed your new central heating,
0:11:07 > 0:11:11you could get rid of that hot water tank and make this room even bigger.
0:11:12 > 0:11:15And the garden has space in spades.
0:11:15 > 0:11:18The only slight issue is, only half of it's yours.
0:11:18 > 0:11:21At the moment, it's very sort of communal.
0:11:21 > 0:11:24Either you think about keeping it like this,
0:11:24 > 0:11:27if you get on with the neighbours, or you put a fence in here.
0:11:27 > 0:11:30Other than that, it needs a bit of tidying up.
0:11:30 > 0:11:34Useful little old air raid shelter there, which you can store stuff in.
0:11:34 > 0:11:38But what I'm much more interested in is this.
0:11:38 > 0:11:41It's basically access to an outside loo. At the moment,
0:11:41 > 0:11:44you can't actually get in there because it's full of stuff.
0:11:44 > 0:11:47Now, much as I love outdoor loos, I think that space
0:11:47 > 0:11:50could be much better utilised in the kitchen.
0:11:50 > 0:11:53So, basically, knock down that internal wall,
0:11:53 > 0:11:55open up the kitchen, that'd be great.
0:11:55 > 0:11:58Other than that, just a few hours with a Strimmer
0:11:58 > 0:12:00and a hedge trimmer and you'd be well set.
0:12:03 > 0:12:08Let's find out what a local property expert thinks about this house.
0:12:08 > 0:12:11The big question is, with a guide price of £30,000, is it worth
0:12:11 > 0:12:16spending a lot on refurbishing this house for sale or rental?
0:12:16 > 0:12:21Once renovated, this would have a value, in this location,
0:12:21 > 0:12:25of probably no more than about £75,000.
0:12:25 > 0:12:28In terms of rental value,
0:12:28 > 0:12:32you would rent this out all day long at £475 a calendar month.
0:12:32 > 0:12:36Hmm! Well, a bit of renovation required indeed with this one but,
0:12:36 > 0:12:38intrinsically, a good house.
0:12:38 > 0:12:42So, let's see who fancied it when it went under the hammer.
0:12:46 > 0:12:48Lot number one is in the Cavendish area of the city.
0:12:48 > 0:12:51It's a two-bedroomed town house.
0:12:51 > 0:12:55Would somebody like to start me at 25,000? 25,000 for it.
0:12:55 > 0:12:59Who's got 20 to start me? Thank you, sir. £20,000 is the opening bid.
0:12:59 > 0:13:0021 somewhere?
0:13:00 > 0:13:0321 I've got at the back. 22 is bid.
0:13:03 > 0:13:0823, 24, 24, 25, the lady has bid.
0:13:08 > 0:13:1026,000, 27 is bid.
0:13:10 > 0:13:1228 I've got.
0:13:12 > 0:13:16£29,000. 30 is bid here.
0:13:16 > 0:13:17At 30,000... 31...
0:13:17 > 0:13:20'Plenty of interest for this one, then,
0:13:20 > 0:13:24'and bidding continued at a fair old pace in £1,000 increments
0:13:24 > 0:13:29'until it reached £46,000, which is where we rejoin it.'
0:13:29 > 0:13:31£46,000, I'll take five...
0:13:31 > 0:13:3346,500, 47,
0:13:33 > 0:13:3647,500, 48,
0:13:36 > 0:13:3948,500, 49,000,
0:13:39 > 0:13:4249,500, 50,000...
0:13:44 > 0:13:47£50,000... 500, 51 is bid.
0:13:47 > 0:13:50£51,000, 500 elsewhere?
0:13:50 > 0:13:55At 51,000, it goes for the first time, for the second time...
0:13:55 > 0:13:57500, 52.
0:13:57 > 0:14:00At 52,000... At five again?
0:14:00 > 0:14:05500, 53, 53,000.
0:14:07 > 0:14:13Definite? £53,000, going once, going twice, third time...
0:14:14 > 0:14:17Yours, sir, well done. 53,000, thank you.
0:14:17 > 0:14:20Well, that was a frantic auction, but the man who got it
0:14:20 > 0:14:23when the gavel finally fell was retired civil engineer, Pat.
0:14:27 > 0:14:29Pat retired four years ago
0:14:29 > 0:14:33and he bought this property with an eye to enhancing his pension.
0:14:33 > 0:14:36He came to meet me back at the house with his eldest son,
0:14:36 > 0:14:39also called Pat.
0:14:39 > 0:14:42- Pat, Pat...- Yeah. - ..great to meet you both.
0:14:43 > 0:14:45Tell me why you wanted to buy this place.
0:14:45 > 0:14:47I was bored out of me face sitting at home,
0:14:47 > 0:14:50because I retired two or three years ago,
0:14:50 > 0:14:55and I bought a caravan in Skegness, I've still got it
0:14:55 > 0:14:59and I'm still bored, so I thought I'd go and buy a house and do it up.
0:14:59 > 0:15:02Right, so the money side of things didn't come into it?
0:15:02 > 0:15:05- The money side, I obviously do want a profit.- Right.
0:15:05 > 0:15:08I haven't done it to lose, but if I break even, I'd be still happy.
0:15:08 > 0:15:11Right. And what's your involvement going to be?
0:15:11 > 0:15:15He's going to replaster, rewire, plumb radiators,
0:15:15 > 0:15:17- and then they're getting the blokes in to redecorate...- Right.
0:15:17 > 0:15:19..skirting boards and everything like that.
0:15:19 > 0:15:23- So whose house is it going to be? - My dad's. It's yours?- Mm-hmm. - Fantastic.
0:15:23 > 0:15:25With a view to renting it out, or selling it on?
0:15:25 > 0:15:29No. If it's successful, I'll want to sell it straightaway.
0:15:29 > 0:15:31I'm going to put it on the market for two months,
0:15:31 > 0:15:33and if it doesn't sell, it's going back to the auction.
0:15:33 > 0:15:36- Right.- With a reserve on.
0:15:36 > 0:15:40Buying a house because you're bored is something I've heard before.
0:15:40 > 0:15:42But their devil-may-care attitude about being happy
0:15:42 > 0:15:46if he breaks even is definitely a new one on me!
0:15:46 > 0:15:48What do you think about what your dad's up to?
0:15:48 > 0:15:53If it makes a profit, he's done a fantastic job. If you're losing money, he's an idiot.
0:15:54 > 0:15:59But can't you convince him to, like, take a bit more of a leisurely life, kind of thing?
0:15:59 > 0:16:02He's a young 69-year-old.
0:16:02 > 0:16:05But surely there are less stressful ways of keeping busy.
0:16:05 > 0:16:08What about, like, hobbies like golf or... You know?
0:16:08 > 0:16:10- I don't want to be playing golf.- No?
0:16:10 > 0:16:13It's not my sort of hobby, no, definitely not.
0:16:13 > 0:16:16Tell me what you're going to do to the place.
0:16:16 > 0:16:20New windows, new doors externally, all new doors internally,
0:16:20 > 0:16:22architrave, skirting board, kitchen, central heating...
0:16:22 > 0:16:25- New radiators, central heating. - It's all been ordered now.
0:16:25 > 0:16:28And as for the open-plan situation out the back,
0:16:28 > 0:16:32there are plans to put up a fence.
0:16:32 > 0:16:35And who's going to begin the work, then? Are you going to be...?
0:16:35 > 0:16:37- I've got contractors in. - I'll be here as well.
0:16:37 > 0:16:39Are you going to get your hands dirty a bit?
0:16:39 > 0:16:41Oh, without a shadow of a doubt.
0:16:41 > 0:16:44I can decorate and paint and I can do quite a few things.
0:16:44 > 0:16:48And in terms of internal layout changes, any plans for that?
0:16:48 > 0:16:51Just the kitchen. We're knocking a couple of walls down on the far side
0:16:51 > 0:16:53- and one wall where there's an outside loo.- Right.
0:16:53 > 0:16:54We're knocking that down.
0:16:54 > 0:16:57What amount of money are you going to spend on it, do you think?
0:16:57 > 0:17:01- I'd say... - No more than 12.- Definitely...
0:17:01 > 0:17:03- No more than 12,000. - No, no more than 12,000, no.
0:17:03 > 0:17:06- A timescale?- Three months. - Three months.
0:17:06 > 0:17:09So, all in all, excited about taking it on?
0:17:09 > 0:17:10Yeah, I'm...
0:17:10 > 0:17:14It's made me feel young again.
0:17:14 > 0:17:18- It's made me feel something to get up for.- Good, well, congratulations.
0:17:18 > 0:17:21- Lovely to meet you both. - It's nice to meet you as well.
0:17:21 > 0:17:24- Good luck with it, look forward to seeing how you get on. - Nice to see you as well, like.
0:17:26 > 0:17:30Well, the two Pats certainly seem to have got it off pat
0:17:30 > 0:17:32when it comes to doing the renovation.
0:17:32 > 0:17:35Will it be pats on the back at the end of it all?
0:17:35 > 0:17:37Well, you can find out later in the show.
0:17:40 > 0:17:44Well, it has been quite a few months since we last saw those properties.
0:17:44 > 0:17:46Do they look any different?
0:17:46 > 0:17:48Has all that time and money been well spent?
0:17:48 > 0:17:50Let's go back and find out.
0:17:53 > 0:17:56What could be better than to be beside the seaside in a light
0:17:56 > 0:17:59and airy place with a sea view?
0:18:00 > 0:18:02Well, that's what we found
0:18:02 > 0:18:05when, earlier, in the coastal town of Deal in Kent,
0:18:05 > 0:18:08we saw this three-bed maisonette that was just seconds away
0:18:08 > 0:18:12from the seafront and with a sea view from its bay window.
0:18:12 > 0:18:16The first floor definitely had a touch of charm about it.
0:18:16 > 0:18:19Unfortunately, the top floor was more "ugh".
0:18:19 > 0:18:25It was bought at auction for 89,000 by Mary, a retired
0:18:25 > 0:18:30housekeeper from London who was surprised to land the property.
0:18:30 > 0:18:34Mary had 10,000 to 15,000 to spend on what she hoped
0:18:34 > 0:18:36would be a two-month renovation job.
0:18:36 > 0:18:41But it was eight months later we caught up with Mary to find out
0:18:41 > 0:18:45if her place in Deal was now ideal.
0:18:49 > 0:18:52The front room, with that lovely, big bay window,
0:18:52 > 0:18:56is certainly looking good. And to help the place feel more homely,
0:18:56 > 0:18:59Mary's placed some items of furniture that certainly add
0:18:59 > 0:19:02a touch of class to the surroundings.
0:19:02 > 0:19:05Next door, the second reception room has been redecorated with
0:19:05 > 0:19:07brand-new carpet.
0:19:09 > 0:19:13At the rear of the maisonette, the old shower room has been
0:19:13 > 0:19:16replaced with brand-new units and new wall and floor tiles.
0:19:16 > 0:19:19But it's the kitchen that has had the major overhaul.
0:19:19 > 0:19:22With contemporary new units and tasteful tiling, it was,
0:19:22 > 0:19:27for Mary, the most crucial aspect to renovating this maisonette.
0:19:27 > 0:19:30When I saw it, it was in a terrible state.
0:19:30 > 0:19:33It must have been about 40, 50 years old.
0:19:33 > 0:19:36I knew it was a complete write-off. It was horrible, and the windows...!
0:19:36 > 0:19:42But I was determined it was going to get done. And it did in the end.
0:19:44 > 0:19:48Upstairs, the three bedrooms have been redecorated, all in soft,
0:19:48 > 0:19:51neutral colours that can look good when bathed in sunlight.
0:19:51 > 0:19:54So the maisonette makeover is now complete.
0:19:54 > 0:19:58The electrics were up to scratch, so no rewiring was necessary.
0:19:58 > 0:20:02But several walls needed replastering, and some still had on
0:20:02 > 0:20:07that dreaded woodchip wallpaper for Mary's builder to contend with.
0:20:07 > 0:20:11The horrible woodchip, it all had to come off.
0:20:11 > 0:20:13And I even came back once and watched him.
0:20:13 > 0:20:17And what a job they have to do to get it all together!
0:20:17 > 0:20:20Ooh, I wouldn't like to do it, I tell you.
0:20:20 > 0:20:23Neither would I, Mary, neither would I!
0:20:23 > 0:20:26Stripping woodchip wallpaper is one of the worst jobs
0:20:26 > 0:20:31when renovating and, more importantly, it's so time-consuming.
0:20:31 > 0:20:34But surely that didn't account for the six-month overrun?
0:20:34 > 0:20:38I had to get permission to get the place done as it was a leasehold.
0:20:38 > 0:20:42And, unfortunately, it took about two months to go through.
0:20:42 > 0:20:48I was nearly giving up, but I got the permission in the end.
0:20:48 > 0:20:52And Mary's verdict on the final result?
0:20:52 > 0:20:57I am really delighted with the place now. I think it's fantastic.
0:21:00 > 0:21:02And to get that pleased look from Mary,
0:21:02 > 0:21:04it took more than she expected,
0:21:04 > 0:21:10with her original budget of 10,000-15,000 pushed to £17,000.
0:21:10 > 0:21:12With her purchase price of 89,000,
0:21:12 > 0:21:17that would take her total spend to £106,000.
0:21:17 > 0:21:20And while overspending on the budget is no-one's cup of tea,
0:21:20 > 0:21:24the location here certainly makes up for any downsides.
0:21:24 > 0:21:27Oh, it's the coast. I've got a thing about the coast.
0:21:27 > 0:21:30I've always liked water. I just love...
0:21:30 > 0:21:33I mean, I'm born under Pisces, the fish, if you believe in it,
0:21:33 > 0:21:36but I've always had a thing with water, you know.
0:21:38 > 0:21:41Mary is really pleased with the maisonette
0:21:41 > 0:21:43and she's keeping her options open.
0:21:43 > 0:21:45A smart move in a very uncertain market.
0:21:45 > 0:21:49What do two local estate agents make of her investment?
0:21:49 > 0:21:52I think if this property were let now in the current market,
0:21:52 > 0:21:57it would have a rental value of about £650 per calendar month.
0:21:57 > 0:22:03I would recommend a rental value in the region of £650 to £675
0:22:03 > 0:22:05per calendar month.
0:22:05 > 0:22:10If I can get even 650, 680, that would be good.
0:22:11 > 0:22:14If either those valuations could be met,
0:22:14 > 0:22:19then Mary would get a healthy annual yield of around 7.5%.
0:22:19 > 0:22:22But having spent £106,000 on the maisonette,
0:22:22 > 0:22:25what sort of resale value could Mary achieve?
0:22:25 > 0:22:27I think the value of selling this one now is going to be
0:22:27 > 0:22:31something in the order of £140,000 to £145,000.
0:22:31 > 0:22:37I would consider a market value for this property in the region of £150,000.
0:22:37 > 0:22:40If Mary could get either of those figures,
0:22:40 > 0:22:45then she could stand to make a pre-tax profit of 34,000-44,000.
0:22:45 > 0:22:48Oh, that's not bad. Not bad at all.
0:22:50 > 0:22:54So it's another successful addition for Mary's portfolio,
0:22:54 > 0:22:59but even now, she's got no intention of putting her feet up and relaxing.
0:22:59 > 0:23:04I'm selling the property, then I'm going to use the money to
0:23:04 > 0:23:08buy another property at auction and see if I can get that done up.
0:23:08 > 0:23:12See what I can make out of it. I mean, any...
0:23:12 > 0:23:17Even 15, 20 grand is OK without killing yourself, isn't it?
0:23:23 > 0:23:26We're returning to Derby and this two-bedroomed
0:23:26 > 0:23:30mid-terrace which was bought at auction
0:23:30 > 0:23:34for £53,000.
0:23:34 > 0:23:38Pat senior, together with his elder son, Pat,
0:23:38 > 0:23:42planned to renovate the property with a budget of £12,000.
0:23:48 > 0:23:51We came back after just two months to see
0:23:51 > 0:23:54how they'd got on.
0:24:14 > 0:24:17In here, as you can see, there's a big transformation.
0:24:17 > 0:24:21There was a big brick wall there which we knocked down.
0:24:21 > 0:24:24There was a wall across here which was a brick cupboard which
0:24:24 > 0:24:26we knocked down.
0:24:26 > 0:24:29Got everything back to the bare brick and re-boarded and re-plastered,
0:24:29 > 0:24:33and fitted a new kitchen, which I think worked out pretty well.
0:24:33 > 0:24:36So, that outside loo we couldn't even get into has been
0:24:36 > 0:24:40incorporated to help make this a bigger, brighter kitchen.
0:24:45 > 0:24:49Upstairs, too, they've given each room a complete overhaul.
0:25:05 > 0:25:07I done the whole thing, tiled it,
0:25:07 > 0:25:11new bath and new toilet and new sink. Tiled the floor.
0:25:11 > 0:25:15Decorated it. I done the whole thing. I'm very pleased with it.
0:25:15 > 0:25:19The central heating has been refitted throughout the house,
0:25:19 > 0:25:22freeing up space in the second bedroom where the old water
0:25:22 > 0:25:25tank and immersion heater were.
0:25:28 > 0:25:32We painted all the paintwork and obviously the new windows and everything.
0:25:32 > 0:25:35Done all the garden. Moved the shed.
0:25:35 > 0:25:37- The air raid shelter is still there, actually.- Yeah.
0:25:41 > 0:25:45And Pat has also erected a fence between his property and next-door's.
0:25:46 > 0:25:49So how did the budget pan out?
0:25:49 > 0:25:52The original budget, I said I wouldn't go over 12,000
0:25:52 > 0:25:55but it's got to about 14, I think.
0:25:55 > 0:25:57It went to 14,200, but it takes what it takes.
0:25:57 > 0:26:00And I'm still delighted with it anyway.
0:26:00 > 0:26:03- Still a bit of profit in there. - Yeah.
0:26:03 > 0:26:08Pat's total spend is £67,000 and although he said he'd be
0:26:08 > 0:26:14happy to break even, his son thinks there's a bit more profit in it.
0:26:14 > 0:26:17Would two local estate agents agree?
0:26:17 > 0:26:20We invited two along to ask their thoughts.
0:26:21 > 0:26:24The house looks really tidy, really smart now,
0:26:24 > 0:26:26it's like a brand-new house inside.
0:26:26 > 0:26:29It has everything done to it, new heating, new windows, new doors,
0:26:29 > 0:26:33new timber work, re-plastered. It's like a brand-new house.
0:26:33 > 0:26:34It's a really good job.
0:26:34 > 0:26:37It's done to a fairly good standard.
0:26:37 > 0:26:39It's not the best, but it will certainly do.
0:26:39 > 0:26:42Nice and clean so, yeah, looks good.
0:26:44 > 0:26:47Let's see if they can agree on what it would be worth
0:26:47 > 0:26:49if Pat chose to sell it.
0:26:49 > 0:26:51I think if we were to put this property up for sale,
0:26:51 > 0:26:55I'd be looking at achieving around about £80,000.
0:26:57 > 0:27:00I think we would put the property on the market at £79,950.
0:27:00 > 0:27:04I've already been quoted 85 to 90.
0:27:04 > 0:27:06Well, that didn't impress Pat much.
0:27:06 > 0:27:10Let's see if they fare better with their rental appraisals.
0:27:10 > 0:27:12If we were to rent this property out, I think
0:27:12 > 0:27:15£450 per calendar month would be achievable.
0:27:15 > 0:27:18I think this property would rent at £450 per calendar month.
0:27:18 > 0:27:20It would never be rented anyway.
0:27:20 > 0:27:23- It's not bad that, is it? - No, it ain't.
0:27:23 > 0:27:26Pat's been clear all along that he bought his house with
0:27:26 > 0:27:29the intention of fixing it up and selling it.
0:27:29 > 0:27:31With that auction price of 53,000,
0:27:31 > 0:27:35plus the £14,200 renovation costs,
0:27:35 > 0:27:39even if they sold at the estate agent's valuation of £80,000,
0:27:39 > 0:27:43it's a profit of around £13,000 minus taxes and expenses.
0:27:43 > 0:27:47So, how has the whole experience been for the two Pats?
0:27:47 > 0:27:50It's the same as father and son working anywhere.
0:27:50 > 0:27:54You have your fallouts, but we still get on all right
0:27:54 > 0:27:57and we still walked out the house every night happy enough.
0:27:57 > 0:28:01We come happy enough and then we started.
0:28:04 > 0:28:08Well, Lucy and I hope you enjoyed watching Homes Under The Hammer
0:28:08 > 0:28:10and we'll have lots more stories for you next time.
0:28:10 > 0:28:12Yes, join us then for some more hot properties and maybe
0:28:12 > 0:28:16- some not so hot properties. Goodbye.- Goodbye.