Episode 2 Homes Under the Hammer


Episode 2

Similar Content

Browse content similar to Episode 2. Check below for episodes and series from the same categories and more!

Transcript


LineFromTo

More and more people are buying property,

0:00:010:00:03

not just as a place to live, but as an investment.

0:00:030:00:07

It's a great way to save for the future

0:00:070:00:09

but you have to make sure you buy at the right price first.

0:00:090:00:13

One way to do that is to buy your next home under the hammer.

0:00:130:00:17

The three properties on today's show are all very different.

0:00:420:00:45

The three owners will all be hoping for the same thing to make some money.

0:00:450:00:50

Let's see what they bought.

0:00:500:00:51

It's three years since we last visited this property in Ripon

0:00:520:00:56

but the progress had been slow.

0:00:560:00:58

Stay with us to find out how it finally turned out.

0:00:580:01:02

In southwest London,

0:01:020:01:04

the guide price of this maisonette seems too good to be true.

0:01:040:01:07

There's definitely something wrong with it. The question is, what?

0:01:070:01:12

There's a lot of work needed to bring this cracking house in Derbyshire up-to-date.

0:01:120:01:18

Before you start any of that,

0:01:180:01:19

you've got to check that the house is actually structurally OK.

0:01:190:01:23

All of these properties went to auction.

0:01:250:01:27

We'll find out who bought them and what they paid for them

0:01:270:01:30

when they went under the hammer.

0:01:300:01:32

We're returning to a property we first showed you in August 2009.

0:01:360:01:41

It was in the beautiful city of Ripon in North Yorkshire,

0:01:410:01:44

founded over 1,300 years ago.

0:01:440:01:47

Some buildings have stood here since the 7th century.

0:01:470:01:51

I'm here to see another historic property, this one built in 1750.

0:01:510:01:56

It's a part commercial, part residential unit

0:01:560:01:59

with a double frontage onto this road.

0:01:590:02:01

The first thing I'm noticing is that it is on one of the main routes into the centre of Ripon

0:02:010:02:06

and it's right by this set of traffic lights which could explain the £50,000 guide price.

0:02:060:02:13

Let's take a look inside.

0:02:130:02:15

This roadside position is definitely a big negative.

0:02:150:02:20

With narrow streets and pavements, the house seems to shake and rattle

0:02:200:02:24

every time large vehicles pass by.

0:02:240:02:26

It's hard to imagine this as a shop really, apart from the fact

0:02:280:02:31

you have these huge great windows looking onto the street.

0:02:310:02:35

Given this is listed, that could be a good thing or a bad thing

0:02:350:02:38

because one of the things the planners would not want you to do is change the windows.

0:02:380:02:44

If this was going to be a residential place,

0:02:440:02:46

windows like that looking onto the main road might not be ideal.

0:02:460:02:50

But at the moment, throwing lots of natural light in here which we really like.

0:02:500:02:54

Original features you have the fireplace there,

0:02:540:02:56

through to a second front room.

0:02:560:02:58

Again, not ideal that the room is right on that road,

0:02:580:03:01

right by the set of traffic lights.

0:03:010:03:04

Not really brilliant.

0:03:040:03:06

Of course there's nothing you can do about the proximity of the road.

0:03:060:03:11

Owing to its listed status,

0:03:110:03:12

UPVC double glazing would be out of the question.

0:03:120:03:15

Replica windows will have to be made.

0:03:150:03:18

Is there anything else that should make buyers hesitate to buy this?

0:03:180:03:22

None of the door frames are standard height.

0:03:220:03:25

I think if you're a tall person, you would be banging your head

0:03:250:03:28

quite regularly, but it does give a certain sense of charm.

0:03:280:03:30

As does things like this, the floor.

0:03:300:03:34

Yorkshire stone, absolutely beautiful.

0:03:340:03:37

The only issue is, it doesn't have a damp-proof course,

0:03:370:03:39

I would guess, and it would be expensive to do something about that.

0:03:390:03:42

Maybe take it up, which would be a real shame, but that is the only way

0:03:420:03:45

you're going to get that important damp-proof course in.

0:03:450:03:48

This, I imagine, at some stage was the kitchen.

0:03:480:03:50

At the moment, it's pretty much like the rest of the house,

0:03:500:03:54

a bit higgledy-piggledy. The window is out onto a small courtyard.

0:03:540:03:58

It is the natural place for the kitchen in the house to be.

0:03:580:04:03

But there's a lot of work before you get to that stage.

0:04:030:04:06

So, there's flooring to be sorted, along with damp proofing.

0:04:060:04:11

The walls need to be skimmed and plastered.

0:04:110:04:15

The ceiling has seen better days

0:04:150:04:16

and there's probably wood treatment to be done, too, and that's just downstairs.

0:04:160:04:20

Upstairs, my guess is that this was the flat associated with the shop downstairs.

0:04:200:04:25

You've got a little room there, a bedroom there,

0:04:250:04:29

stairs up to the attic room.

0:04:290:04:30

A living room area there and through to, judging by the fact there's a sink,

0:04:300:04:36

I'm guessing this was where the kitchen was.

0:04:360:04:39

As you can see, it's extremely basic and it gets worse

0:04:390:04:41

because there's also a door that leads into the bathroom.

0:04:410:04:45

So not ideal whatsoever.

0:04:450:04:48

However, what this property does offer is options.

0:04:480:04:52

You can keep the unit downstairs as a commercial unit,

0:04:520:04:56

you could convert upstairs into a much better presented flat,

0:04:560:04:59

you could convert downstairs to a flat.

0:04:590:05:02

But don't forget this is a listed buildings so all those things

0:05:020:05:05

would not only have to have building regulations approval, planning permission,

0:05:050:05:09

it will also need listed buildings approval

0:05:090:05:11

so there's a lot of hoops to jump through.

0:05:110:05:14

But there's a lot of property here

0:05:140:05:16

when you bear in mind it was guided at just £50,000.

0:05:160:05:20

In addition to the first floor,

0:05:200:05:22

there's also an attic space which could be converted.

0:05:220:05:25

That would take a lot of work.

0:05:250:05:27

I'm not sure why there are concrete floors here.

0:05:270:05:30

They definitely need to go.

0:05:300:05:31

With the large bathroom, if you converted this into living accommodation

0:05:310:05:36

and move the kitchen downstairs,

0:05:360:05:38

you could comfortably make a four bed house with bags of character.

0:05:380:05:43

Well, an interesting property for sure,

0:05:430:05:47

but not one for the faint-hearted or inexperienced.

0:05:470:05:51

This place could swallow money up like there's no tomorrow.

0:05:510:05:54

One thing is for certain, because of the complications of the commercial unit,

0:05:540:05:58

the fact it's listed, it's well worth getting a solicitor

0:05:580:06:02

to check with the legal pack before you buy.

0:06:020:06:04

Let's see who went for it when it went to the auction.

0:06:040:06:07

OK, moving on, we come to Ripon now.

0:06:120:06:14

We're skirting around North Yorkshire a bit, aren't we?

0:06:140:06:16

Two-storey with a very, very useful attic.

0:06:160:06:21

Somebody give me £40,000 for it? 40 bid straight away, thank you.

0:06:210:06:24

At £40,000. Two at the back, 42,000. 44 with you.

0:06:240:06:27

44, 46, may I now?

0:06:270:06:28

At 46, will you make it 49?

0:06:280:06:31

48 bid, I'll take nine. A new bidder.

0:06:310:06:35

49 against you, sir. 50 is now bid against you.

0:06:350:06:40

51, 52, may I now? At 52.

0:06:400:06:44

53, 54, will you?

0:06:440:06:46

55, 56 is it now?

0:06:460:06:50

57, may I? 58, will you now?

0:06:500:06:54

58 bid. 59, may I? 60,000. 61? 62?

0:06:540:06:58

63? Will you make it four? 64, 65 is bid.

0:06:580:07:06

66,500.

0:07:060:07:11

67. 67,500.

0:07:110:07:15

67,500. 68, may I now? 68 is bid.

0:07:150:07:20

Nine, may I?

0:07:200:07:22

£68,500, the gentleman standing.

0:07:220:07:26

All out seated at £68,500. All done?

0:07:260:07:30

It is yours, sir, thank you very much. The price is £68,500.

0:07:320:07:36

So for £68,500, the new owners of the grade two listed corner shop in Ripon are Giles and Claire.

0:07:360:07:45

I met them back at the property to hear about their plans.

0:07:450:07:48

Giles, Claire, congratulations!

0:07:500:07:53

-Thank you.

-A big property?

-A big property for the price, yes.

0:07:530:07:58

Absolutely for the price. Why did you want to buy it?

0:07:580:08:02

Well, it was really to get on the market in the UK first of all.

0:08:020:08:08

-This is the first property that we own.

-You talk about in the UK?

0:08:080:08:12

We have a property in the French Alps.

0:08:120:08:14

-Wow!

-It was just something that we've got as a base here as well.

0:08:140:08:19

-How come you have a property in the French Alps?

-We run a business there.

0:08:190:08:24

-We run a catered chalet.

-Great. Whereabouts?

-La Plagne.

0:08:240:08:29

Giles and Claire met in the French Alps.

0:08:290:08:31

They had always dreamt of running a chalet in France

0:08:310:08:34

and achieved that in 2004.

0:08:340:08:37

But with that work being very seasonal,

0:08:370:08:39

they decided they needed another project and an investment

0:08:390:08:43

in the UK which they could work on for part of the year.

0:08:430:08:46

With family and friends in the local area,

0:08:490:08:52

Ripon seemed the ideal spot,

0:08:520:08:54

but boy, what a project they've taken on.

0:08:540:08:58

What sort of experience have you got?

0:08:580:09:00

I can paint! I'm a painter and decorator.

0:09:000:09:04

-Oh, are you?

-And Giles is a plasterer.

0:09:040:09:07

-I'm a general builder by trade but plastering is my skill.

-Great.

0:09:070:09:12

So that will keep me busy.

0:09:120:09:15

I had this image that you were going to say, I'm excellent at snowboarding

0:09:150:09:18

and you were going to say, I can do fantastic parallel turns!

0:09:180:09:21

You can plaster and you can paint and decorate? That's brilliant.

0:09:210:09:25

-Can you both ski?

-Yes, we can ski quite well.

-How well?

0:09:250:09:30

-I represented England.

-Oh, that well, then?

0:09:300:09:37

You represented England in what?

0:09:370:09:39

-In the slalom.

-Did you?

0:09:390:09:42

Well, I think Giles's plastering skills

0:09:420:09:45

and Claire's decorating ability might be more useful here.

0:09:450:09:49

It's going to be an uphill struggle to turn this property around.

0:09:490:09:52

What are you going to do to the place?

0:09:520:09:54

We're going to have the kitchen downstairs, of course.

0:09:540:09:57

The shopfront will be the living area, lounge.

0:09:570:10:01

Then upstairs, three or four double bedrooms

0:10:010:10:06

and going into the attic then,

0:10:060:10:09

we will renovate that as well into maybe office space or bedroom.

0:10:090:10:14

How much have you planned to spend?

0:10:140:10:17

Erm, probably 20, 25. A lot of the work...

0:10:170:10:21

It's going to be self-built.

0:10:210:10:22

It's going to be done between us

0:10:220:10:25

and family and a few friends, so hopefully we can keep it quite low.

0:10:250:10:29

Giles and Claire's plans to convert the old shop and flat

0:10:310:10:34

into one large house sounded very impressive.

0:10:340:10:37

When we went back after 14 months to see the results...

0:10:370:10:42

Well, the outside was a big improvement,

0:10:440:10:47

with snowy white rendered walls and a new black front door.

0:10:470:10:52

While inside?

0:10:550:10:56

Well, on the face of it it's not quite so impressive,

0:10:560:11:00

but as with any assault on a mountain, the key to success is preparation.

0:11:000:11:05

As you can see, one of the major changes was opening up this wall,

0:11:060:11:11

and then the other change was we had to take up the old floor.

0:11:110:11:17

We took out about five tons of rubble.

0:11:170:11:21

DPC'd and insulated it and put the Indian slate down

0:11:210:11:24

and now it's just waiting to be plastered and finished.

0:11:240:11:28

So, in fact, the amount of work done here is deceptive.

0:11:280:11:32

They've made structural changes, rewired,

0:11:320:11:34

replumbed and damp-proofed throughout.

0:11:340:11:37

By moving the kitchen downstairs, they've altered the layout

0:11:370:11:40

so there are now four bedrooms upstairs,

0:11:400:11:42

but owing to the grade two listing there were some things they couldn't change.

0:11:420:11:47

With the windows, we decided to make them good ourselves

0:11:470:11:50

cos they were going to be too expensive

0:11:500:11:52

if we got brand-new ones, and then we got somebody to help us

0:11:520:11:56

to re-weight them and re-cord them and they've come up pretty good.

0:11:560:12:02

Giles and Claire tackled other jobs.

0:12:020:12:04

They'd stripped out the bathroom

0:12:040:12:06

and removed the concrete from the attic floor.

0:12:060:12:09

But they did have a chalet business to run.

0:12:090:12:13

That meant they were only able to spend four or five months

0:12:130:12:15

working on the house at this stage.

0:12:150:12:18

They'd employed a specialist team to lay the floor

0:12:180:12:21

but the rest of the work was done with help from family and friends.

0:12:210:12:24

Claire's dad actually dropped in to lend the electrician a hand.

0:12:240:12:29

But unfortunately my father fell through the floorboards

0:12:290:12:33

in the bathroom, but he was OK.

0:12:330:12:35

He didn't actually end up in the kitchen!

0:12:350:12:39

# We're falling

0:12:390:12:41

# Through a hole. #

0:12:410:12:42

But with all that help from friends and family,

0:12:420:12:45

at least their budget hadn't gone through the roof.

0:12:450:12:47

I think, at the moment, we're up to £11,000.

0:12:490:12:53

I would like to say that we won't go over 25,000.

0:12:540:12:58

As the ski season approached, the two were ready to down tools

0:12:580:13:02

and up sticks, or rather ski poles, and head for France.

0:13:020:13:07

# You know the nearer your destination

0:13:070:13:09

# The more you're slip-slidin' away. #

0:13:090:13:12

You can find out later in the programme whether Giles and Claire

0:13:120:13:16

finally reached the peak of this challenge almost three years

0:13:160:13:20

after they bought the property.

0:13:200:13:22

Brixton and surrounding areas such as Tulse Hill are busy and bustling.

0:13:270:13:32

# We're gonna rock down to Electric Avenue. #

0:13:320:13:37

With a multicultural creative vibe,

0:13:370:13:40

in recent years, this part of southwest London has become trendy

0:13:400:13:44

so it's no surprise that demand around here is strong.

0:13:440:13:48

The property I'm here to see is not in the vibrant beating heart

0:13:480:13:53

of Brixton but much nearer Tulse Hill.

0:13:530:13:56

It's an area probably due a price rise in the coming years,

0:13:560:14:00

which still doesn't explain the guide price

0:14:000:14:03

of this two-bedroom garden maisonette.

0:14:030:14:06

150,000? There's definitely something wrong with it.

0:14:060:14:10

The question is, what?

0:14:100:14:13

# It was too good to be true. #

0:14:130:14:17

I know that sounds a substantial sum

0:14:170:14:19

but two beds regularly go for about £250,000 around here.

0:14:190:14:24

Trains get you into London Bridge in just 17 minutes so it's not like

0:14:250:14:29

you're out in the sticks and you have the outside space to the side.

0:14:290:14:34

Admittedly you have to share the path with the other maisonettes

0:14:340:14:37

so it's not all private, but you do have your own entrance

0:14:370:14:40

and that's what makes it a maisonette rather than a flat.

0:14:400:14:44

Hmm. That guide price makes me wonder

0:14:440:14:46

if some things really are too good to be true.

0:14:460:14:49

# It was too good to be true. #

0:14:490:14:52

Well, what a marvellous space.

0:14:530:14:56

You know, I always go on about a nice hallway.

0:14:560:14:58

I love to have natural light coming through,

0:14:580:15:01

so you've got a window there,

0:15:010:15:02

lovely big window in the kitchen, the kitchen will need replacing.

0:15:020:15:06

It's not looking terribly good. So will the bathroom. Green! Got to go.

0:15:060:15:11

You've got a nice big bedroom there, a second bedroom there,

0:15:110:15:14

and into the sitting room. This really is a great space.

0:15:140:15:18

You've got a fire, a little fireplace there.

0:15:180:15:21

I'm not sure about all the mouldings everywhere.

0:15:210:15:24

I think they might have to go.

0:15:240:15:25

And I also think you might need to look at these windows,

0:15:250:15:28

possibly replace them, all the leaded lights come away.

0:15:280:15:31

They're single-glazed. They probably do need changing.

0:15:310:15:34

But you can see there is a great space here to put your sofa there,

0:15:340:15:38

one here, the TV.

0:15:380:15:39

I don't know, I think this flat just works.

0:15:390:15:43

But why the guide price of just 150,000?

0:15:430:15:47

OK, the kitchen isn't massive, but you could possibly take some space

0:15:470:15:51

from the corner cupboard that houses the boiler.

0:15:510:15:54

There are signs of a possible leak on the ceiling.

0:15:560:16:00

And in the main bedroom, there's a whopping hole in the ceiling

0:16:000:16:03

where there's obviously been a major leak.

0:16:030:16:06

That will need investigating,

0:16:060:16:08

but surely there must be another explanation for this reasonable guide price.

0:16:080:16:12

Now, I'm not saying you can't find a bargain at auction. Far from it.

0:16:120:16:17

But this property is guided at £100,000 less than it's worth.

0:16:170:16:21

A lucky find? Uh-uh.

0:16:210:16:24

This maisonette has issues galore.

0:16:240:16:27

First, an absentee freeholder.

0:16:270:16:30

The lease isn't short at 114 years so that is a blessing,

0:16:300:16:34

but an absentee freeholder means no-one will be collecting

0:16:340:16:38

the service charge, probably maintaining the building,

0:16:380:16:41

organising the insurance,

0:16:410:16:43

and mortgage lenders, they will hate it.

0:16:430:16:46

# I'm telling you baby You and my landlord's got to go. #

0:16:460:16:52

And with mortgages still a struggle to obtain in many cases,

0:16:520:16:56

taking on a property that will be hard to finance is risky indeed.

0:16:560:17:00

At the front of the property, I've spotted a crack

0:17:010:17:04

between the ground floor and first floor windows.

0:17:040:17:07

I'd want to get that professionally checked out in case it's a serious

0:17:070:17:11

structural problem that could have affected the guide price as well.

0:17:110:17:14

We invited a local estate agent to come and have a look

0:17:160:17:19

at the maisonette. What are his first impressions?

0:17:190:17:22

It's a good-sized property. There's a lot of potential.

0:17:220:17:25

It would appeal to an investor.

0:17:250:17:27

It needs a lot of work to be done.

0:17:270:17:29

But it's a nice, decent-sized property in a good location.

0:17:290:17:32

Assuming there are no major structural problems,

0:17:320:17:34

how much could the maisonette be worth after a full makeover?

0:17:340:17:38

The property's probably worth around 250,000,

0:17:380:17:41

but with the right care and attention, you'd be looking at

0:17:410:17:44

270, 280,000.

0:17:440:17:46

And the income potential for a buy-to-let investor?

0:17:460:17:49

With regards to rental,

0:17:490:17:50

you'd probably be looking to achieve around 1,300 per calendar month.

0:17:500:17:54

This maisonette could go one of two ways.

0:17:540:17:57

It can make somebody a fortune or it could suck up your money

0:17:570:18:01

and still be unmortgageable.

0:18:010:18:04

Let's find out who thought they could make it work at the auction.

0:18:040:18:07

Lot 124.

0:18:070:18:11

Nice two-bedroom maisonette, this, with its own garden.

0:18:110:18:14

I've seen this one myself. Looking for 150,000 anywhere.

0:18:140:18:18

Yep, 150.

0:18:180:18:20

OK 150. 155 anywhere?

0:18:200:18:22

155. 160?

0:18:230:18:25

Yep. 160. 165?

0:18:250:18:28

170?

0:18:290:18:31

No?

0:18:310:18:33

166?

0:18:330:18:34

OK. 166. 167. 168?

0:18:340:18:38

169. 170?

0:18:380:18:41

No? Bids on my right. £169,000.

0:18:440:18:46

Looking for 170,000 anywhere else?

0:18:460:18:49

If not 169,000 for the first, 169,000 for the second,

0:18:490:18:55

and 169,000 for the third and final time. All done.

0:18:550:18:59

Sold, 169,000. Well-bought.

0:18:590:19:02

That successful bidder who paid 169,000 was Shafiq.

0:19:020:19:07

He's originally from Algeria, but moved to the UK to study accountancy.

0:19:080:19:12

He now lives in Clapham Junction

0:19:120:19:14

and owns an Italian restaurant in nearby Battersea.

0:19:140:19:18

This was his first auction purchase,

0:19:180:19:20

although he does own another buy-to-let property.

0:19:200:19:23

I met up with him back at the maisonette to find out his plans.

0:19:230:19:27

-Shafiq, congratulations.

-Thank you.

0:19:270:19:29

-You must be really pleased.

-Yes, I am. Yeah.

0:19:290:19:31

Did you feel you got yourself a bargain on auction day?

0:19:310:19:34

I think, yes. Yes.

0:19:340:19:36

Even if it went a lot over the guide price

0:19:360:19:39

but I think it's still a bargain.

0:19:390:19:41

-Did you view this flat prior to auction?

-Oh, yes.

0:19:410:19:44

I did a lot of research. We read all the legal documents.

0:19:440:19:48

I even sent it to my solicitor just to look at it beforehand.

0:19:480:19:52

I brought the builders in here on the viewing day,

0:19:520:19:56

so I did all the research before.

0:19:560:19:58

Something that might have put you off is the absentee freeholder.

0:19:580:20:01

How do you feel about that?

0:20:010:20:03

Before I bought the flat I know about it.

0:20:030:20:04

Did it bother you buying this property knowing that?

0:20:040:20:07

It's quite a daunting thing.

0:20:070:20:09

It is because you've got two things,

0:20:090:20:12

which are a bad thing and a good thing.

0:20:120:20:14

The bad thing is if you've got any problems with the roof,

0:20:140:20:17

with the structure, you have to get on with the neighbours downstairs.

0:20:170:20:21

You have to sort it out yourself. That is something quite worrying.

0:20:210:20:24

So what's the good thing?

0:20:240:20:26

The good is in about two years' time if they stay absent,

0:20:260:20:30

you can apply to Lambeth Council, you can show them that

0:20:300:20:34

you sent letters, you tried to get in contact with them.

0:20:340:20:38

If not, you have to go to court, and quite a long process.

0:20:380:20:43

And you can then buy the freehold?

0:20:430:20:44

You can buy the freehold from Lambeth Council.

0:20:440:20:46

I don't know if I buy the whole freehold or if they give us

0:20:460:20:49

just a share of the freehold.

0:20:490:20:51

It's something to see in two years' time.

0:20:510:20:53

I don't want to worry about that.

0:20:530:20:55

I want to get this flat ready and worry about that in two years' time.

0:20:550:20:59

So what are your immediate plans?

0:20:590:21:01

When I first came to see the property, I wanted to buy it,

0:21:010:21:04

do it up and resell it straight away.

0:21:040:21:06

For the moment, I'll probably move in or get it rented ASAP,

0:21:060:21:10

and sell it in about two or three years' time.

0:21:100:21:13

So you don't know if you'll move in yourself

0:21:130:21:15

or you're going to let it?

0:21:150:21:17

I don't know really because I live in Clapham Junction at the moment.

0:21:170:21:21

I like it. I like the design of it. It feels quite homey.

0:21:210:21:25

So, we'll see.

0:21:250:21:26

It depends on how well you do it, doesn't it!

0:21:260:21:29

Probably, yes.

0:21:290:21:30

# You've got the love You've got the love. #

0:21:300:21:33

Falling in love with a property during the renovations.

0:21:330:21:37

It's not unheard of and Shafiq's right - this is a great flat -

0:21:370:21:40

and he's not uncovered any structural issues.

0:21:400:21:44

The mortgage company asked for a full survey because of the crack

0:21:440:21:47

at the front, but it came back with a clean bill of health,

0:21:470:21:50

and despite the absent freeholder, he managed to secure finance

0:21:500:21:53

from his bank, so what does he intend doing here?

0:21:530:21:57

I'll probably take off every single thing what you see in here,

0:21:570:22:00

double glazing, everything, get a new kitchen, new bathroom.

0:22:000:22:04

Every single thing will be brand-new.

0:22:040:22:06

Even if it will be for a tenant or myself,

0:22:060:22:08

I will do it the same standard.

0:22:080:22:10

Are you going to make any changes to the outside?

0:22:100:22:12

It's something to think about as well.

0:22:120:22:14

We'll probably get the consent of the council to do a carport

0:22:140:22:19

in there, and we'll just clean it up, do a bit of grass.

0:22:190:22:23

So ultimately you'll be able to drive almost up to your front door?

0:22:230:22:27

Drop the curb and have a nice driveway?

0:22:270:22:30

Correct. Yes. That's what we want to do.

0:22:300:22:33

The lack of the freeholder could prove to be a sticking point.

0:22:330:22:37

Shafiq has spotted the potential to go up into the loft one day as well

0:22:370:22:41

to add an extra bedroom, so the issue will have to be sorted out by then.

0:22:410:22:46

In the meantime, what budget has he set?

0:22:460:22:49

The whole flat, I've got a budget of £10,000.

0:22:490:22:53

-Yeah.

-£10,000?

-Yeah.

0:22:530:22:55

Are you going to do a lot of the work yourself?

0:22:550:22:57

No, I won't be doing anything here.

0:22:570:22:59

So that's for materials, the kitchen, bathroom and labourers?

0:22:590:23:03

-Yeah.

-And one more thing?

0:23:030:23:06

What is that?

0:23:060:23:08

Before, they had a tank on the loft. They had a leak.

0:23:080:23:12

We thought that was a leak on the roof.

0:23:120:23:14

We came a second time with a builder, we've gone up to the loft

0:23:140:23:17

and it was definitely the tank that was leaking.

0:23:170:23:20

That will be replaced, new ceiling.

0:23:200:23:22

All within your £10,000 budget?

0:23:220:23:25

Hopefully. I'm quite positive today!

0:23:250:23:27

Shafiq, good luck.

0:23:270:23:29

You've got a long road ahead of you and I will be interested to see

0:23:290:23:33

if you stick to that budget.

0:23:330:23:34

Hopefully I will do that.

0:23:340:23:36

-Well done.

-Thank you very much.

0:23:360:23:38

Shafiq's ten grand budget is optimistic!

0:23:380:23:42

I think he'll go over that,

0:23:420:23:44

especially if he decides to move in himself.

0:23:440:23:46

You can find out how it all goes

0:23:460:23:48

and if he's found the freeholder later on in the programme.

0:23:480:23:52

Coming up, this house in Heanor, Derbyshire is no joker.

0:23:530:23:57

Upstairs and the house plays its trump card.

0:23:570:24:00

A bit of a surprise in store.

0:24:000:24:02

We go back to southwest London, where Shafiq's bigging it up.

0:24:030:24:07

I think it looks nice and airy and bigger, I think.

0:24:090:24:12

But first, we're returning to Ripon to see how this property

0:24:140:24:18

we first featured three years ago turned out.

0:24:180:24:21

Back now to Ripon in North Yorkshire,

0:24:270:24:29

where earlier in the programme,

0:24:290:24:31

we showed you how in August 2009, this grade two listed former shop

0:24:310:24:36

with living accommodation above was bought for 68,500 by Giles,

0:24:360:24:42

a former slalom skier for England, and his wife Claire.

0:24:420:24:46

The couple live in the French Alps and rent out a ski chalet.

0:24:480:24:53

Claire's a painter and decorator and Giles is a qualified plasterer.

0:24:530:24:57

With the help of family and friends, they planned to convert the property

0:24:570:25:01

into a house.

0:25:010:25:02

So what exactly are you going to do to the place?

0:25:020:25:05

We're going to have the kitchen downstairs, of course.

0:25:050:25:08

The shop front will be living area, lounge,

0:25:080:25:12

and then upstairs, three, four double bedrooms and of course

0:25:120:25:17

going into the attic, then we'll just renovate that as well

0:25:170:25:21

into maybe office space/bedroom.

0:25:210:25:25

When we first went back in October 2010, they'd rewired and replumbed

0:25:260:25:31

the property.

0:25:310:25:33

They'd also made some structural changes, opening up the ground floor

0:25:330:25:37

in preparation for a new kitchen.

0:25:370:25:40

They'd also had to dig up tons of rubble

0:25:400:25:43

and the stone floor to get the damp course installed,

0:25:430:25:47

but there was still a lot of work to do and the property was

0:25:470:25:50

obviously going to need more time and money.

0:25:500:25:53

I think at the moment we're up to £11,000.

0:25:530:25:57

I'd like to say that we won't go over 25,000.

0:25:590:26:02

It's now two years later and a whole three years since the couple began.

0:26:050:26:10

The property is looking superb.

0:26:110:26:14

Just look at what Giles and Claire have achieved

0:26:190:26:22

at the top of the house.

0:26:220:26:23

In that once derelict attic...

0:26:250:26:28

..this is now a lovely master bedroom.

0:26:290:26:32

With its own en-suite facility.

0:26:340:26:35

Down on the middle floor, there are three further bedrooms.

0:26:380:26:41

The one at the back has its own sumptuous en-suite.

0:26:450:26:49

Originally there was only the one bathroom when we bought the property

0:26:530:26:58

that was an en-suite into the bedroom,

0:26:580:27:01

and then there was an empty room where we've actually turned it

0:27:010:27:06

into the house bathroom.

0:27:060:27:07

It means the house now has three bathrooms and four bedrooms.

0:27:090:27:14

On the ground floor,

0:27:170:27:18

the kitchen has been equipped to a very high standard.

0:27:180:27:22

It's an unusually shaped room but it feels so spacious.

0:27:220:27:27

The flow between all the rooms down here works really well.

0:27:270:27:31

So, what did it take to transform this place?

0:27:310:27:34

The major things are plastering throughout, of course decorating,

0:27:340:27:39

central heating systems, and upstairs in the attic here,

0:27:390:27:43

replastering, new ceilings and revealing all the beams,

0:27:430:27:46

which is a nice feature.

0:27:460:27:48

Which my mum and dad did while we were working in France.

0:27:480:27:52

They came and stripped everything for us.

0:27:520:27:54

So many people, our family and friends, have put a lot of time

0:27:540:27:58

-into this with us, haven't they?

-Yeah.

0:27:580:28:00

We couldn't have done it without them.

0:28:000:28:02

At the rear of the property, Giles and Claire have added steps

0:28:050:28:08

down to the patio area, which is the only outside space.

0:28:080:28:12

The couple have been careful to keep the character of this grade two

0:28:130:28:17

listed property as much as possible.

0:28:170:28:19

We wanted to have these features cos it is an old property.

0:28:210:28:24

It was built in the 1700s.

0:28:240:28:26

And especially cos it is old, we've tried to keep the character,

0:28:260:28:31

cos it is so olde-worlde.

0:28:310:28:33

How lovely to see that the original staircase banisters

0:28:330:28:37

were retained.

0:28:370:28:38

So was that a big refurbishment job?

0:28:380:28:40

Well actually, it was in quite good condition.

0:28:400:28:43

There was no broken spindles.

0:28:430:28:46

Just really sanded them down and painted them.

0:28:460:28:50

Slalom skier Giles had intended to replaster the property himself,

0:28:500:28:55

but last year needed knee surgery so had to employ a plasterer instead.

0:28:550:29:00

What effect did that have on their £25,000 budget?

0:29:000:29:04

We actually spent in all,

0:29:040:29:06

putting in the few extras we've got to finish,

0:29:060:29:10

it's about 32,500.

0:29:100:29:13

With the 68,500 they paid at auction,

0:29:130:29:15

it takes their total investment to £101,000.

0:29:150:29:19

Apart from letting out their ski chalet in France,

0:29:190:29:23

Giles and Claire work together as decorators,

0:29:230:29:25

so they're obviously a good team.

0:29:250:29:27

We seem to bounce off each other and get ideas and things like that,

0:29:280:29:33

which, we're very lucky really, aren't we?

0:29:330:29:35

Don't get us wrong, we do argue, but the majority of the time,

0:29:350:29:40

I think cos we enjoy the same things, we just get on with it and do it.

0:29:400:29:46

The downstairs loo, the family bathroom and the attic en-suite

0:29:470:29:52

need finishing off, and then the house will be ready to sell

0:29:520:29:55

or possibly rent out.

0:29:550:29:57

We invited two property experts to come and give their opinions

0:29:580:30:02

on all the hard work done here.

0:30:020:30:04

It's a nice conversion. Bright and airy. Rooms are a good size.

0:30:040:30:08

Four very nice bedrooms.

0:30:080:30:10

It should provide to be a fantastic family home.

0:30:100:30:13

My overall impression of the property is that it's finished

0:30:130:30:16

to a very high standard.

0:30:160:30:17

I think that the accommodation is really a great size.

0:30:170:30:21

If you buy a property of this type, it's vital that you retain

0:30:210:30:25

some of the character features, and that's what they've done

0:30:250:30:28

to a very good standard.

0:30:280:30:30

If Giles and Claire are tempted to let the property whilst

0:30:310:30:34

they're back in France, how much rental income could it generate?

0:30:340:30:39

The rental market in this area is very good.

0:30:390:30:41

You'd be looking at a figure in the region of £1,000 per calendar month.

0:30:410:30:45

The property would achieve £950 per calendar month on the rental market.

0:30:450:30:51

So a rental yield over 11%,

0:30:510:30:54

but how much could Giles and Claire sell it for?

0:30:540:30:57

More than the £101,000 they've invested here?

0:30:570:31:00

I would value the property at £215,000.

0:31:020:31:06

It is slightly less than similar size properties because of the lack

0:31:060:31:11

of parking and proximity to the road.

0:31:110:31:13

If I were to put this property on the market at the present time,

0:31:130:31:16

I would be looking to ask for a figure in the region of £250,000.

0:31:160:31:20

After three years and a lot of hard work, that's a potential profit

0:31:200:31:25

of 114 to £149,000 before tax and expenses,

0:31:250:31:31

but it seems this house isn't going to be for sale any time soon.

0:31:310:31:36

I think to begin with we're going to rent it cos we're going back

0:31:360:31:40

to France, and hopefully eventually we'll live in it.

0:31:400:31:44

Yeah, absolutely. Benefit from all the hard work we've put into it.

0:31:440:31:48

Yes, yeah. It'll be nice to live in it.

0:31:480:31:51

Today I'm in Heanor in Derbyshire, a small hilltop market town

0:31:550:32:00

in the southern region of the Pennines.

0:32:000:32:02

It's about ten miles from Nottingham and Derby,

0:32:020:32:05

so both these East Midlands cities are within easy reach.

0:32:050:32:10

Not far from the market square is the property I'm here to see.

0:32:100:32:13

No surprises it's a terrace.

0:32:130:32:15

The guide price was £50,000 plus, but actually before I even go in,

0:32:150:32:20

look at the outside, look at the bricks.

0:32:200:32:22

They really are giving a clue to some potential problems

0:32:220:32:27

to say the least.

0:32:270:32:28

They've been replaced in various places,

0:32:280:32:31

they're all out of line.

0:32:310:32:32

They should be nice, straight joints all, like, parallel. They're not.

0:32:320:32:37

That could be quite serious.

0:32:370:32:39

The word in my mind is of course "subsidence".

0:32:390:32:44

# We've got to patch it up baby Before we fall apart at the seams. #

0:32:450:32:48

Whether this house has been patched up successfully remains to be seen.

0:32:480:32:53

The roof looks fairly new and there are some lovely features,

0:32:530:32:56

but the guttering looks like it needs more than a patch-up job.

0:32:560:32:59

# We can patch it up baby

0:32:590:33:03

# We can patch it up baby. #

0:33:030:33:05

Well, in through the front door.

0:33:060:33:09

You don't have to go too far before you see some signs inside as well.

0:33:090:33:14

Look at that door frame.

0:33:140:33:16

See how it's all off at a strange angle at the top.

0:33:160:33:18

The big question is, is it historical or not?

0:33:180:33:21

The only way to do that is to monitor it

0:33:210:33:23

with special devices that monitor movement.

0:33:230:33:26

My guess is that it is historical so we'll try

0:33:260:33:28

and brush over that for now.

0:33:280:33:30

Front sitting room here.

0:33:300:33:32

That is a fire breast without a fire so I'd like to get that sorted.

0:33:320:33:36

Stairs, really useful under-stairs cupboard.

0:33:360:33:39

That could almost be a little study or maybe a downstairs loo.

0:33:390:33:43

Rear sitting room. You've got a fire in here.

0:33:430:33:45

Very old, very dated. But it is what it is.

0:33:450:33:49

Traditionally the house would have ended at this point,

0:33:490:33:52

but somebody has done what a lot of people do and built an extension on.

0:33:520:33:55

This is where the kitchen is, and through the kitchen to

0:33:550:33:58

the bathroom - a very traditional layout.

0:33:580:34:01

The kitchen itself is not a bad size.

0:34:010:34:03

Clearly needs complete refurbishment.

0:34:030:34:06

But this is all superficial. Before you start any of that,

0:34:060:34:09

you've got to check that the house is structurally OK.

0:34:090:34:12

Before I spent any money on this house, I'd want to be reassured

0:34:120:34:16

by an expert that it's not going to fall down.

0:34:160:34:19

# I'm falling

0:34:190:34:21

# Falling down. #

0:34:230:34:27

But that small matter aside,

0:34:270:34:29

there is work to do to this terrace to bring it up to scratch.

0:34:290:34:33

The bathroom needs a total refit and the kitchen is a galley shape.

0:34:330:34:37

I guess you'd have to work with that unless you went the whole way

0:34:370:34:41

and extended out into the side return.

0:34:410:34:44

On the plus side, there's that new roof,

0:34:440:34:46

new windows and central heating.

0:34:460:34:48

So it's beginning to look as though there are some positive points

0:34:480:34:52

to this place.

0:34:520:34:53

Upstairs, the house plays its trump card.

0:34:530:34:56

A bit of a surprise in store.

0:34:560:34:58

Double bedroom there, single bedroom there,

0:34:580:35:01

but then we've got this, which I know is not exactly that surprising,

0:35:010:35:05

it's basically a landing, but in this kind of property

0:35:050:35:08

I wouldn't have expected it and it gives a lovely open feel

0:35:080:35:12

to the centre of the house - and there's more.

0:35:120:35:15

It's the third bedroom and it's a really nice size.

0:35:150:35:20

A cupboard here containing a boiler, that looks terribly old and dated.

0:35:200:35:25

So you'll probably need to factor in a replacement of that at some point.

0:35:250:35:29

But if you can just sort out whether or not that subsidence is really

0:35:290:35:32

an issue, then you've got the makings of a really nice house here.

0:35:320:35:36

This was clearly a much loved home

0:35:360:35:39

and hasn't changed hands much over the years.

0:35:390:35:42

This means there are some features remaining which do lend it charm.

0:35:420:35:46

The floorboards could sand up very nicely

0:35:460:35:48

and the original doors could be lovely if restored.

0:35:480:35:52

However, there are some remnants of the past that have to go.

0:35:530:35:57

Polystyrene tiles.

0:35:570:35:59

Not only are they rather ugly, they can sometimes present

0:35:590:36:02

a fire risk.

0:36:020:36:04

Out to the rear of the property, and you can see this extension

0:36:040:36:07

that the kitchen and the bathroom have been built in.

0:36:070:36:10

It's quite large although I question what state of repair it's in.

0:36:100:36:15

Simple things, like the guttering here is coming off

0:36:150:36:19

and this rendering on the outside could be leading to a few

0:36:190:36:23

damp issues, but a real positive thing out here - this garden.

0:36:230:36:26

It goes all the way back to that lilac tree in the distance.

0:36:260:36:29

A really nice sized space and not something you would have expected.

0:36:290:36:33

The challenge here is to bring this house up to date

0:36:340:36:37

and keep some of its more charming features.

0:36:370:36:40

We invited the auctioneer who sold it to come

0:36:420:36:44

and give his opinion on its potential.

0:36:440:36:47

This is a larger terraced house than you would probably normally find.

0:36:470:36:51

It's in quite good condition.

0:36:510:36:52

We've got new windows, a modern central heating system.

0:36:520:36:55

We've got a new roof covering on it already.

0:36:550:36:57

So we're looking at internals really.

0:36:570:37:00

It's decorating, taking out old fireplaces,

0:37:000:37:02

a lot of superficial stuff.

0:37:020:37:03

Given the generous proportions here, what does he think

0:37:030:37:06

the house could be worth once renovated?

0:37:060:37:09

I think once renovated on the current market, you could probably

0:37:090:37:12

enhance its value up to about £90,000.

0:37:120:37:16

This would have a rental value of about £450-£475 a calendar month.

0:37:160:37:22

From a few initial concerns, this house has redeemed itself,

0:37:220:37:26

and I think it could make quite a good investment.

0:37:260:37:29

But you'd definitely need to have it checked out by somebody

0:37:290:37:31

who knows what they're talking about.

0:37:310:37:33

Let's see who went for it when it went under their hammer.

0:37:330:37:36

Lot 37.

0:37:360:37:38

It's a three-bedroom terraced house with a new roof covering,

0:37:380:37:41

gas central heating,

0:37:410:37:43

double glazed, probably a tad old-fashioned inside

0:37:430:37:46

but doesn't need loads of money to upgrade and renovate it.

0:37:460:37:49

Guide is 50 plus. 48 to start me.

0:37:490:37:52

48. 45?

0:37:520:37:53

45,000. Thank you.

0:37:530:37:55

At 45,000, opening bid.

0:37:550:37:58

45, 46? 46. 47?

0:37:580:38:01

48 is bid. 49.

0:38:010:38:04

'There was a lot of interest on auction day.

0:38:040:38:06

'We rejoin the bidding at £60,000.'

0:38:060:38:08

At 60. 60,000.

0:38:080:38:11

60,500?

0:38:110:38:12

60,500.

0:38:140:38:15

61? 61.

0:38:150:38:17

61? It's hard work, isn't it?

0:38:170:38:20

61,500. You want to be here!

0:38:200:38:23

62? 62.

0:38:230:38:25

500. 63.

0:38:250:38:28

500.

0:38:280:38:29

It's always better with a smile on your face.

0:38:290:38:31

63,500. 64.

0:38:310:38:34

64,500.

0:38:340:38:35

65.

0:38:350:38:37

Throw the towel in?

0:38:370:38:39

At 65,000. Once, twice, third time.

0:38:390:38:44

It's yours, sir. Well-fought. 65,000.

0:38:440:38:46

That successful bid of 65,000 was made by Bob, who was at the auction

0:38:460:38:50

with his daughter, Harriet.

0:38:500:38:52

They live locally and Harriet works in a jeweller's shop,

0:38:520:38:54

while Bob's a chiropodist.

0:38:540:38:56

# Tonight I gotta cut loose Footloose

0:38:560:39:00

# Kick off your Sunday shoes. #

0:39:000:39:02

To discover if they plan to RING the changes or TOE the line

0:39:040:39:08

with this house, I met them both back at their new purchase.

0:39:080:39:12

Bob, Harriet, great to meet you both. Congratulations.

0:39:130:39:16

Thank you.

0:39:160:39:18

Tell me why you wanted to buy this place.

0:39:180:39:20

Harriet's saved up a little bit of money from work.

0:39:200:39:23

She still lives at home. So she wants to buy some property.

0:39:230:39:26

-She's not quite sure whether she wants to move out yet or not.

-OK.

0:39:260:39:30

So we thought we'd buy a property together,

0:39:300:39:32

-modernise it and see how she felt.

-Right.

0:39:320:39:35

You're currently living at home.

0:39:350:39:37

Any temptation to maybe do this up and live here?

0:39:370:39:40

No, I thought about it to start off with

0:39:400:39:43

but it's a good idea to do it up and sell it on, really.

0:39:430:39:47

What do you do when you're not doing this?

0:39:470:39:49

I'm a private chiropodist.

0:39:490:39:51

Great! What do you do?

0:39:510:39:52

I work in a jewellery shop part-time

0:39:520:39:55

so I've got plenty of time in my spare time.

0:39:550:39:58

Why did you choose this particular house?

0:39:580:40:00

It's very close to where we live. We live about five minutes away.

0:40:000:40:04

I can ride up on the bike. We wanted one fairly close.

0:40:040:40:07

I'll do most of the work myself and Harriet will do some decorating.

0:40:070:40:12

An ideal location, even if this is a major job to take on.

0:40:120:40:17

# Oh Harriet

0:40:190:40:21

# Why did I say I would do this for Harriet?

0:40:210:40:25

# Harriet. #

0:40:250:40:27

Well, Bob seems more than happy to do this for 21-year-old Harriet.

0:40:280:40:32

He may spend his days toiling over toes, but he does already have

0:40:320:40:36

a foothold in DIY skills!

0:40:360:40:38

He's renovated his own family home, including plumbing, and converting

0:40:380:40:42

a garage into living space. So I'm keen to find out

0:40:420:40:45

what he and his daughter Harriet

0:40:450:40:47

plan to do with this investment property.

0:40:470:40:49

We're going to put in a new kitchen.

0:40:490:40:52

We're probably going to put the bathroom upstairs

0:40:520:40:55

-and possibly leave the one downstairs as well.

-At the expense of a bedroom?

0:40:550:40:58

-No.

-So how are you going to achieve that?

0:40:580:41:01

Well, the master bedroom above where we are now is quite large.

0:41:010:41:04

And we think we can get a reasonably sized bathroom by dividing that up.

0:41:040:41:08

There is a way to do it by using the landing as a bathroom, but we'd have

0:41:080:41:12

to bring the stairs up from in here and lose a bit of the living area.

0:41:120:41:16

Although there are two living rooms, so that is a possibility.

0:41:160:41:19

But that would be more expensive.

0:41:190:41:21

It sounds like Bob has thought this through, which is great.

0:41:210:41:24

However, installing a bathroom involves a great deal

0:41:240:41:27

of construction and pipe work.

0:41:270:41:29

Even if Bob does that himself, it could eat into any profit.

0:41:290:41:33

What's the budget for the work?

0:41:340:41:36

-I think I'd be able to do most of it for about five.

-Right.

0:41:360:41:38

-If I do it myself.

-Are you going to get involved, Harriet?

0:41:380:41:40

Yes, I'm going to be doing some of the decorating.

0:41:400:41:43

We're going to do it quite plain, really, aren't we? Light colours.

0:41:430:41:46

And are you going to be doing it on a daily basis?

0:41:460:41:49

I'm available two or three days a week and Harriet...

0:41:490:41:53

Yeah, a couple of days off a week.

0:41:530:41:55

-So we'll manage between us.

-So with that in mind, what's the timescale?

0:41:550:41:59

-We think six months should do it.

-OK. Well, listen, congratulations.

0:41:590:42:03

-Thank you.

-Good luck with it.

-Thanks very much, Martin.

0:42:030:42:05

I look forward to seeing how you get on.

0:42:050:42:08

Well, I was going to say, chiropodist Bob and daughter Harriet

0:42:090:42:13

dipping a TOE into the world of property investment!

0:42:130:42:16

But I decided it was a bit CORN-y!

0:42:160:42:19

HE WINCES

0:42:190:42:20

How will they get on?

0:42:200:42:22

You can find out later in the show!

0:42:220:42:24

Doing up property can be time-consuming and very expensive.

0:42:270:42:31

So have our new owners managed to stick to their timescales and budgets?

0:42:310:42:36

Let's find out.

0:42:360:42:37

# We're gonna rock down to Electric Avenue... #

0:42:370:42:42

Brixton in southwest London is a sought-after area

0:42:420:42:45

and property prices reflect that.

0:42:450:42:48

Neighbouring Tulse Hill is slightly more affordable.

0:42:480:42:52

Even so, two-bed flats regularly achieve over £200,000.

0:42:520:42:55

So when this two-bedroom first floor maisonette with a garden

0:42:550:42:59

in Tulse Hill went to auction, guided at £150,000,

0:42:590:43:04

well, it seemed a bargain.

0:43:040:43:07

But the property had an absentee freeholder and a crack

0:43:070:43:10

on the front wall that could explain that relatively low guide price.

0:43:100:43:14

Shafiq, who lives in Clapham Junction,

0:43:150:43:17

and owns a restaurant, bought it for £169,000.

0:43:170:43:22

His mortgage company had asked for a full survey

0:43:220:43:24

because of the crack at the front.

0:43:240:43:26

But it came back with a satisfactory report.

0:43:260:43:30

He also got finance, despite the freeholder issues.

0:43:300:43:33

But he wasn't sure what he wanted to do with the place.

0:43:330:43:37

When I first came to see the property it was a buy to resell.

0:43:370:43:41

For the moment, I'll probably move in or get it rented ASAP.

0:43:410:43:45

And sell in about two or three years' time.

0:43:450:43:48

So you don't know if you're going to move in yourself,

0:43:480:43:50

-or you're going to let it?

-I don't know, really.

0:43:500:43:53

I live in Clapham Junction at the moment.

0:43:530:43:55

I like it, you know, I like the design of it. It feels quite homey.

0:43:550:43:59

-So, we'll see.

-It depends on how well you do it, doesn't it?!

0:43:590:44:03

Probably, yes!

0:44:030:44:05

I thought he'd set a pretty tight budget of 10,000 to change

0:44:050:44:08

the bathroom and kitchen and sort the major leak

0:44:080:44:11

that had brought down the ceiling in the bedroom.

0:44:110:44:14

So, there was plenty to do.

0:44:140:44:16

Six weeks later,

0:44:170:44:19

we've come back to find out what Shafiq's team have achieved.

0:44:190:44:22

From the front, you can see the windows have been replaced.

0:44:240:44:27

And inside, it looks like this maisonette has certainly had

0:44:290:44:32

some money spent on it.

0:44:320:44:34

The absentee freeholder hasn't been tracked down.

0:44:370:44:40

They don't know what they're missing!

0:44:400:44:42

Originally, we wanted to put two units in here.

0:44:440:44:47

But we found out that was too much so we kept it quite nice and tidy

0:44:470:44:51

and simple. We put tiles around.

0:44:510:44:53

They originally were all black tiles, but we did two lines of white.

0:44:530:44:57

I love the worktop, which is proper wood.

0:44:570:44:59

We've got a breakfast bar in here.

0:44:590:45:01

All the appliances, the washing machine and dishwasher,

0:45:010:45:05

which are all in here. The boiler is all covered up.

0:45:050:45:08

Originally, we had a door here, but I think it looks nice and airy

0:45:080:45:13

and bigger, I think.

0:45:130:45:14

Opting for the tried and trusted

0:45:160:45:18

neutral colour scheme has again come up trumps here.

0:45:180:45:21

And losing that faux-Victoriana in the living room was a good move!

0:45:230:45:27

Shafiq's had new windows installed throughout the maisonette.

0:45:300:45:34

I wonder if his builder hit any problems with that

0:45:340:45:36

crack on the front wall?

0:45:360:45:38

Not really. I mean, the front cracks, it wasn't a major problem.

0:45:380:45:43

The people downstairs, when they did the double glazing,

0:45:430:45:46

they didn't change the beam on the top of the double glazing.

0:45:460:45:51

So that's why it dropped a little bit. But it's all been fixed now.

0:45:510:45:55

It's all wind and water-tight on the outside,

0:45:550:45:58

but the real downpour had been on the inside here.

0:45:580:46:01

# You can put me away for a rainy day

0:46:010:46:04

# But the clouds just burst on you! #

0:46:040:46:08

The leak that had caused the ceiling to come down has been resolved.

0:46:080:46:11

The leaks, really, they were caused by the tank upstairs.

0:46:130:46:17

This is a very old system that they used to use.

0:46:170:46:19

But now we are connected in directly to the mains water.

0:46:190:46:22

Shafiq's choice of wood flooring and oatmeal carpets is good and opting

0:46:240:46:28

for stylish sockets and switches always improves the overall look.

0:46:280:46:33

Come on, Shafiq, I want to know, did you do this place up

0:46:330:46:36

to this level with an eye on it for yourself?

0:46:360:46:39

Well, the plan is now, certainly, is I will be moving in.

0:46:390:46:42

I like the finish of it, so I fell in love with this.

0:46:420:46:46

I will definitely be moving in.

0:46:460:46:49

Knowing he was going to move in,

0:46:490:46:51

Shafiq upped the spec of the bathroom and kitchen.

0:46:510:46:54

Outside, a shed is about to go up

0:46:560:46:58

and a parking place has been prepared.

0:46:580:47:00

So, he'll have off-street parking.

0:47:000:47:02

Opting to move in has certainly made an impact on Shafiq's choices.

0:47:040:47:08

But what I'm really itching to know is, what happened

0:47:080:47:11

to that £10,000 budget, which I thought was a tad on the optimistic side?

0:47:110:47:17

And that was when it wasn't even a personal project!

0:47:170:47:20

Originally, we wanted to spend about £10,000.

0:47:210:47:23

But that wasn't including the garden, it didn't include the double glazing.

0:47:230:47:27

Now we are about £18,000 spent. But that's absolutely everything.

0:47:270:47:32

With the £169,000 he paid at auction,

0:47:320:47:35

that takes the total investment here to £187,000.

0:47:350:47:40

Time to hear what two local estate agents think of the finished

0:47:400:47:44

maisonette and its potential for selling or letting.

0:47:440:47:47

It's very nicely done. As you walk in you get a nice feel for it.

0:47:470:47:51

It's a very modern, contemporary finish.

0:47:510:47:53

You've got nice hardwood floors, you've got a nice, modern,

0:47:530:47:55

high-gloss white kitchen

0:47:550:47:57

and all those modern things that people like at the moment.

0:47:570:47:59

He's brought it right up to that spec, which is great.

0:47:590:48:02

My first impressions of the property are that it's a very bright,

0:48:020:48:04

good space.

0:48:040:48:06

The kitchen is of a contemporary style with white fitted units,

0:48:060:48:09

which is complemented by the oak wood flooring

0:48:090:48:12

and the integrated appliances.

0:48:120:48:14

The bathroom is very, very contemporary. Very, very modern.

0:48:140:48:17

Very nicely done. Somebody obviously likes their interior design!

0:48:170:48:21

Definitely! That's why he's moving in!

0:48:210:48:24

But how much rent could the property generate

0:48:240:48:27

if Shafiq had decided to let it?

0:48:270:48:30

If the property was to be rented, I believe the property

0:48:300:48:33

would be worth in the region of £1,200 per calendar month.

0:48:330:48:36

If I was looking to rent this property,

0:48:360:48:38

I think rental-wise, where it is located,

0:48:380:48:40

it will achieve somewhere around the £1,400 per calendar month mark.

0:48:400:48:44

Goodness! Shafiq might have second thoughts!

0:48:440:48:47

That's a potential rental yield of between about seven and nine percent.

0:48:470:48:52

I think 1,400 is a little bit high.

0:48:520:48:55

1,200, I think you would achieve something in the middle.

0:48:550:48:59

In a couple of years,

0:48:590:49:00

if the absentee freeholder hasn't been tracked down,

0:49:000:49:03

Shafiq might be able to obtain all or part of the freehold himself.

0:49:030:49:07

But with the freeholder still missing,

0:49:070:49:09

how much could the maisonette now be worth?

0:49:090:49:12

More than the £187,000 he invested here?

0:49:120:49:16

Once the absentee freehold situation has been dealt with,

0:49:160:49:19

I believe the property would be worth £250,000.

0:49:190:49:22

If I was putting this up for sale,

0:49:220:49:24

I would expect to achieve somewhere between £235,000 and £250,000.

0:49:240:49:30

Limited only because of the stamp duty.

0:49:300:49:32

So a potential profit of £48,000-£63,000,

0:49:320:49:37

before tax and expenses.

0:49:370:49:39

After just six weeks work, that's pretty impressive!

0:49:390:49:43

What does Shafiq think of that?

0:49:430:49:45

250, I would be happy with it.

0:49:450:49:46

But for now, as I said, I'll keep it for a year or two,

0:49:460:49:49

I'll be living in it here.

0:49:490:49:50

And in a year or two, we'll see what the valuation will be.

0:49:500:49:53

Back now to the hilltop market town of Heanor in Derbyshire.

0:49:570:50:01

Earlier in the programme,

0:50:010:50:02

local chiropodist Bob had bought this three-bedroom

0:50:020:50:05

mid-terrace with some additional investment from his daughter,

0:50:050:50:08

Harriet, who works in a jeweller's shop.

0:50:080:50:10

I was concerned about the cracks in the uneven brickwork

0:50:120:50:15

and hoped they were just cosmetic, not structural.

0:50:150:50:19

It had a classic terraced house layout with the bathroom

0:50:200:50:24

downstairs behind the kitchen.

0:50:240:50:26

But Bob had a plan.

0:50:260:50:28

We are probably going to put the bathroom upstairs

0:50:280:50:30

and possibly leave the one downstairs as well.

0:50:300:50:33

So how are you going to achieve that?

0:50:330:50:35

Well, the master bedroom is quite large and we think we can get

0:50:350:50:38

a reasonably sized bathroom by dividing that up a little bit.

0:50:380:50:41

Are you going to get involved, Harriet?

0:50:410:50:42

Yes, I'm going to be doing some of the decorating.

0:50:420:50:45

They weren't sure whether to sell or let the house.

0:50:450:50:49

Six months on, bang on their timescale, we've come back.

0:50:490:50:53

The uneven brickwork has been straightened

0:50:540:50:56

and the place has been painted and the guttering fixed.

0:50:560:50:59

Inside, just look at the kitchen!

0:51:020:51:05

What a stunning change!

0:51:070:51:08

Galley style, as I'd hoped for, with units

0:51:090:51:12

and appliances down both sides.

0:51:120:51:14

It looks so much bigger with those white tiles.

0:51:140:51:18

Behind the kitchen, the bathroom has remained as well.

0:51:200:51:24

With a bath instead of the shower and tasteful new tiles.

0:51:250:51:29

But now it's not the only bathroom in the house.

0:51:300:51:34

One of the major decisions we had to take in renovating this house

0:51:340:51:37

was what to do about the bathrooms.

0:51:370:51:39

So we decided to take the trouble and expense to create this shower room.

0:51:390:51:44

We've taken a small area off the main bedroom, but it's a small corner,

0:51:440:51:48

and we managed to fit all the utilities into there.

0:51:480:51:51

We managed to create this shower room for only £1,250 out of the total

0:51:510:51:55

budget of £6,500. So I think it was worthwhile in the end.

0:51:550:52:00

It takes their total investment here to £71,500.

0:52:000:52:04

Although Bob's sacrificed space from the front bedroom,

0:52:060:52:09

I reckon you could just about squeeze in a double bed.

0:52:090:52:12

And there are still two other bedrooms.

0:52:140:52:17

Harriet's neutral colours are working well.

0:52:190:52:21

Downstairs, laminate flooring links the two reception rooms.

0:52:230:52:27

Losing the fireplace from the former dining room was a good call.

0:52:290:52:34

I'm very pleased with the result. A lot of hard work went into it.

0:52:340:52:37

So now that it's finished, I'm very happy.

0:52:370:52:40

OK, can't resist it!

0:52:400:52:42

Bob's been the builder! But what role did Harriet play?

0:52:420:52:46

I did more of the decorating, stripping the wallpaper,

0:52:460:52:50

-painting, and then you did...

-Everything else!

-Yes!

0:52:500:52:55

And they gained some more accommodation downstairs, as well.

0:52:550:52:59

There was a little pantry downstairs with the gas

0:52:590:53:02

and electricity meters in there.

0:53:020:53:04

We out gutted that out and made it into a little study or computer room.

0:53:040:53:08

Bob had the property re-plastered throughout.

0:53:100:53:13

Fortunately, there were no damp issues,

0:53:130:53:16

as it had been properly damp-proofed some time ago.

0:53:160:53:19

What about my concerns about possible subsidence?

0:53:190:53:22

The house had moved, but as the building control inspector says,

0:53:230:53:27

every house in Heanor has moved at some point because of the mining.

0:53:270:53:30

There is no movement at all now. The house is fine.

0:53:300:53:33

There are no structural issues.

0:53:330:53:35

The little bit at the front, above the front door,

0:53:350:53:38

was just an old bodged job and that's perfectly straight now.

0:53:380:53:40

So no structural issues.

0:53:400:53:43

Out the back looks so much smarter

0:53:430:53:45

now that the kitchen extension wall has been painted

0:53:450:53:48

and the old cobbles removed.

0:53:480:53:50

Bob's an expert DIYer. He rewired the house himself

0:53:500:53:54

and then got a qualified electrician to check and certify the work.

0:53:540:53:59

Now the work's all finished, have they decided on its future?

0:53:590:54:03

Is it going to be an investment, or are there other possibilities?

0:54:030:54:06

Depending on the valuations, depending on whether we decide

0:54:060:54:09

to sell it or rent it, or there is a possibility that I could move in.

0:54:090:54:14

To discover if the house is now worth more than the £71,500 invested

0:54:150:54:20

here, we invited two property experts to come and look around.

0:54:200:54:23

What does the auctioneer who sold it and viewed it originally think now?

0:54:230:54:29

You know, when you come into a place where you saw it as it was

0:54:290:54:32

and then you see it transformed, you think, wow, it's clean,

0:54:320:54:35

it's tidy, it's well-fitted. And yes, I'm impressed.

0:54:350:54:39

My overall impression of the property is they've done

0:54:390:54:41

a very good job. It's modern, contemporary,

0:54:410:54:45

and the fact that the garden's been finished as well, which is great.

0:54:450:54:48

I think the introduction of a toilet

0:54:480:54:50

and shower room upstairs is actually a very good move.

0:54:500:54:52

For some buyers, they might say, well,

0:54:520:54:55

I'd rather have had a nice-sized double bedroom.

0:54:550:54:58

But other people might say, actually, it doesn't really

0:54:580:55:01

bother me, I'm quite happy because it has got the upstairs facility.

0:55:010:55:04

It's great there's a shower room in there,

0:55:040:55:06

but unfortunately the space is less than it was.

0:55:060:55:10

And that might cause people to look at it and think,

0:55:100:55:13

do I get a double bed in there, do I not get a double bed in there?

0:55:130:55:16

I wonder if the rental valuations will convince Bob

0:55:160:55:19

and Harriet to get a tenant in here?

0:55:190:55:21

On the rental market, I would expect this property

0:55:210:55:24

to achieve between £450 and £475 per calendar month.

0:55:240:55:29

It's at least £450 per calendar month.

0:55:290:55:31

I think you actually might get £475 for it.

0:55:310:55:35

So, a yield of 7.5 percent if they decide to let.

0:55:350:55:39

What about selling it?

0:55:390:55:40

Could it get more than the £71,500 they have invested here?

0:55:400:55:44

I would market this property between £85,000 and £90,000,

0:55:440:55:48

hoping to achieve around the sort of £87-£88,000 mark.

0:55:480:55:53

I think this property would go on the market at a price

0:55:530:55:56

of between £90,000 and £95,000.

0:55:560:55:59

I would expect to achieve £90,000 for it.

0:55:590:56:02

A gross profit range of between £13,500 and £23,500 then,

0:56:030:56:08

based on that very top estimate of 95,000.

0:56:080:56:12

Those profits don't take into account tax and expenses, of course.

0:56:120:56:16

So now Bob and Harriet know the figures, what's their verdict?

0:56:160:56:20

I think we should try and put it for sale first

0:56:210:56:25

and then see what happens. If not, consider me moving in.

0:56:250:56:29

Harriet invested some of her own savings in the property and

0:56:290:56:32

will get a corresponding percentage of any profit if they sell.

0:56:320:56:36

I wonder if it could be the start of a family developing business?

0:56:360:56:40

Well, we might do it again! If we can find something suitable,

0:56:400:56:43

we'd definitely consider doing another one.

0:56:430:56:47

-Painter and decorator!

-Yes!

-Handyman! Sorted.

0:56:470:56:51

We'll have more interesting properties for you to see

0:56:530:56:55

next time.

0:56:550:56:56

So make sure you join us then for more Homes Under The Hammer.

0:56:560:56:59

-Goodbye.

-Goodbye.

0:56:590:57:01

Subtitles by Red Bee Media Ltd

0:57:080:57:10

Download Subtitles

SRT

ASS