0:00:02 > 0:00:04Despite all the doom and gloom in the news,
0:00:04 > 0:00:08the property market can still be a tempting place to put your money.
0:00:08 > 0:00:12But it is vital to do your research.
0:00:12 > 0:00:17But, by buying under the hammer, you can get yourself a bargain.
0:00:42 > 0:00:44If you like variety and good value,
0:00:44 > 0:00:47then and auction house may be just for you.
0:00:47 > 0:00:51Here are the properties that lured our buyers on today's programme.
0:00:52 > 0:00:55When we first saw this delightful Devon property,
0:00:55 > 0:00:58it had been abandoned mid-renovation.
0:00:58 > 0:01:01We returned to see how it finally turned out.
0:01:02 > 0:01:07And in Donnington, Shropshire, there's a house that dazzles me.
0:01:07 > 0:01:11Let's just say the canary yellow has not gone unnoticed with the textured wallpaper.
0:01:12 > 0:01:17In the village of Brandon near Durham, I find a semi, which just keeps on giving.
0:01:17 > 0:01:22If this was just it, it'd be OK. But there's more.
0:01:25 > 0:01:29The properties were sold at auctions. We'll find out who bought them and what they paid
0:01:29 > 0:01:31when they went under the hammer.
0:01:31 > 0:01:32Sold.
0:01:35 > 0:01:40We're going to revisit a property I fell in love with in Devon.
0:01:40 > 0:01:44It's been a year since I was last in the cute village of Crediton,
0:01:44 > 0:01:50where I was smitten by this characterful place, which had been stripped back
0:01:50 > 0:01:51to its bare bones.
0:01:54 > 0:01:57Hmm...
0:01:57 > 0:01:58Pretty bad.
0:01:58 > 0:02:01Gosh! Well, um...
0:02:01 > 0:02:07It's not what I expected. This is not your usual mid-terrace, that's for sure.
0:02:07 > 0:02:11Look at these floorboards and look at these beams.
0:02:11 > 0:02:17Woah! That is oak. It looks like it's had woodworm in its time.
0:02:17 > 0:02:22But how much character can a small place possibly have?
0:02:22 > 0:02:24Let's try and describe this.
0:02:24 > 0:02:26It's obviously got solid stone walls,
0:02:26 > 0:02:29judging by the depth of that reveal there.
0:02:29 > 0:02:32You've got this front area here with a wooden floor.
0:02:32 > 0:02:35Probably a cellar underneath there.
0:02:35 > 0:02:39Then this amazingly characterful bit of step
0:02:39 > 0:02:44leading to the rear of the property, where you've got this, sort of, I don't know,
0:02:44 > 0:02:50amazing wood-burning cooker. More beams set into the plaster.
0:02:50 > 0:02:52Ah...
0:02:52 > 0:02:54Wow!
0:02:54 > 0:02:56# Speechless
0:02:56 > 0:02:57# Speechless
0:02:57 > 0:03:00# That's how you make me feel #
0:03:00 > 0:03:04It does feel like you're stepping back in time here.
0:03:04 > 0:03:08There's no central heating and just the dirt floor at the back.
0:03:08 > 0:03:11And, at the moment, it feels quite dark and cramped.
0:03:11 > 0:03:17What surprised me upstairs is that there seems to be more space than there is downstairs.
0:03:17 > 0:03:22You've got a fairly decent-size loo and bathroom.
0:03:22 > 0:03:26A little set of stairs, which leads up to an attic area up there.
0:03:26 > 0:03:30And this is your one bedroom. But the fact that, obviously,
0:03:30 > 0:03:34someone stripped away the ceiling in here, it gives it a real feeling
0:03:34 > 0:03:37- I never thought I'd use this word - of space.
0:03:37 > 0:03:44What would I do? Straightaway, I'm thinking maybe create an open-plan
0:03:44 > 0:03:48mezzanine floor, galleried perhaps, looking down
0:03:48 > 0:03:54on to this area. Create an extra bedroom there but not separated out.
0:03:54 > 0:03:58You've got yourself one heck of a charming property here, really.
0:03:58 > 0:04:02Yes, lots of work. Yes, it's grade-two listed,
0:04:02 > 0:04:04so you'll have to get approval for things.
0:04:04 > 0:04:08But worth it? Oh, I think so.
0:04:08 > 0:04:12On second thoughts, I don't think there's enough ceiling height
0:04:12 > 0:04:14to make the attic space a proper second bedroom.
0:04:14 > 0:04:18The attic stairs are too steep to meet building regulations.
0:04:18 > 0:04:21You'd need to put a window in the roof
0:04:21 > 0:04:25and the listed buildings office might not be happy with that.
0:04:25 > 0:04:28At the rear of the property, the challenge is...
0:04:28 > 0:04:30Well, they don't get any less, to be honest.
0:04:30 > 0:04:37This is the rear door of the house. That little window, that's it. The rest of the stuff
0:04:37 > 0:04:43in this courtyard is other people's property. It's a shared courtyard, so you have access out the back.
0:04:43 > 0:04:49But when it comes to things like party walls, doing renovation works and not upsetting the neighbours,
0:04:49 > 0:04:55when it comes to just defining, when it comes to being a solicitor,
0:04:55 > 0:04:59who owns what, it's a nightmare.
0:04:59 > 0:05:03# You're welcome to my nightmare, yeah #
0:05:03 > 0:05:08Many calculations to make and lots to do to this listed
0:05:08 > 0:05:13freehold house. With no kitchen in place, it may not be mortgageable either.
0:05:13 > 0:05:17But what's a nightmare for one person could be a dream investment for another.
0:05:17 > 0:05:21Especially at that relatively low guide price of 55 to 65,000.
0:05:23 > 0:05:26Well, let's be realistic about this.
0:05:26 > 0:05:30The fact that it's fallen to pieces inside will cause you problems.
0:05:30 > 0:05:33The fact it's grade-two listed will cause you problems.
0:05:33 > 0:05:36The fact that there's no space for a skip will cause you problems.
0:05:36 > 0:05:38But I don't care. I love it.
0:05:38 > 0:05:42I'm sure somebody fell in love with it when it went under the hammer.
0:05:42 > 0:05:48A charming mid-terrace, grade-two listed house. Guide price is 55-60.
0:05:48 > 0:05:51To start at 50,000 would be very nice.
0:05:51 > 0:05:55Straightaway at 50. And 1. 50,000.
0:05:55 > 0:05:58And 51. And 52.
0:05:58 > 0:06:01And 52,000. And 53.
0:06:01 > 0:06:0553. And 54. 54. And 55.
0:06:05 > 0:06:0856. 56,000. 57.
0:06:08 > 0:06:1057. 58.
0:06:10 > 0:06:1458,000. 59 now. Take a half if it helps you.
0:06:14 > 0:06:17Yeah, 58 and a half. 59 now.
0:06:17 > 0:06:21£59,000. 60 for knockout.
0:06:21 > 0:06:24It's with you at £59,000. Any advance on 59.
0:06:24 > 0:06:27Are we sure we're all done
0:06:27 > 0:06:30at £59,000? Are we quite sure we're all done?
0:06:30 > 0:06:34It's sold to you. £59,000.
0:06:34 > 0:06:36# You bought it
0:06:36 > 0:06:38# You bought it #
0:06:38 > 0:06:43That final bid of 59,000 came from Devon-based Charlotte.
0:06:43 > 0:06:45She works part-time in a primary school
0:06:45 > 0:06:48and is mother to George and Lily.
0:06:48 > 0:06:53While the kids play, I found out more about her plans for this, her first property investment.
0:06:55 > 0:06:57- Charlotte.- Hi. - Congratulations.
0:06:57 > 0:07:00- Thank you.- Wow! Well, it's not your average house, is it?
0:07:00 > 0:07:04No, no. I wasn't expecting to buy it but I'm glad I have.
0:07:04 > 0:07:09- You weren't expecting to buy it? - I'd never been to an auction, I went to see what happened.
0:07:09 > 0:07:12But the bidding carried on, whizzed up
0:07:12 > 0:07:17and then came to a point and stopped just under my limit.
0:07:17 > 0:07:22- Oh.- So I put my hand up knowing that if anyone else bid that was me out and nobody did.
0:07:22 > 0:07:25Well, that is how it works at auction.
0:07:25 > 0:07:29If you put your hand up, you've got to be prepared for the fact that you might buy it.
0:07:29 > 0:07:34Charlotte had viewed it before the auction but was more interested in another property.
0:07:34 > 0:07:38However, the low guide price for this one proved just too tempting.
0:07:38 > 0:07:41So, have you done anything like this before?
0:07:41 > 0:07:45Not on my own. I have done up an old farmhouse before.
0:07:45 > 0:07:50Um... And my parents have been in property renovation for a while.
0:07:50 > 0:07:52This is your first renovation project really.
0:07:52 > 0:07:54- Yes.- And your first auction purchase?- Yes.
0:07:54 > 0:07:57The expression "in at the deep end" springs to mind.
0:07:57 > 0:08:03A little bit. At least I don't have any ripping out to do, it's all done for me.
0:08:03 > 0:08:06- Blank canvas. - Looking on the bright side.
0:08:06 > 0:08:11Um, so tell me what you're going to do with it. How are you going to sort it out?
0:08:11 > 0:08:16I'm not doing any major works in there. I want to leave everything, the layout, as it is.
0:08:16 > 0:08:20Obviously, put a ceiling back in the bedroom. Just board that out
0:08:20 > 0:08:24because there is a second staircase going up to the attic. It would be an attic room
0:08:24 > 0:08:29- not an official second bedroom. - But you will open up the attic room?- Yes.- OK.
0:08:29 > 0:08:31New kitchen, obviously.
0:08:31 > 0:08:34Where? Where's it going to go?
0:08:34 > 0:08:39The kitchen we'll fit in at the front. Already worked out, we can squeeze everything in.
0:08:41 > 0:08:46Charlotte has a budget of up to £20,000 including legal fees.
0:08:46 > 0:08:49And a practical timescale of six months.
0:08:49 > 0:08:54She plans to do as much of the work herself as possible, bringing in tradespeople for the skilled jobs.
0:08:54 > 0:08:58She's also got two willing helpers in her children,
0:08:58 > 0:09:00George and Lily, as I discovered.
0:09:00 > 0:09:03- Tell me what you're going to do. - We are going to do quite a lot.
0:09:03 > 0:09:07We get to use a lot of tools and stuff, which will be quite fun.
0:09:07 > 0:09:09Lily, what are you going to do?
0:09:09 > 0:09:15I might help with putting slate in the living room floor.
0:09:15 > 0:09:18She'll probably do a lot of painting because girls are better at that.
0:09:18 > 0:09:22Well, that was back in October 2011.
0:09:22 > 0:09:26When we first returned nine months later,
0:09:26 > 0:09:30things hadn't moved at quite the pace Charlotte had planned.
0:09:33 > 0:09:36It's progressed slower than I hoped it would.
0:09:36 > 0:09:39But it has been a big learning curve.
0:09:39 > 0:09:42But I'm pleased now I'm getting to a stage where, every day I spend here,
0:09:42 > 0:09:47I can see a difference at the end of it. So I'm on the final bit.
0:09:50 > 0:09:55Charlotte is slowly but surely bringing this cottage back to life.
0:09:56 > 0:09:58I've been doing an awful lot of work myself.
0:09:58 > 0:10:03I've had electricians, plumbers and a plasterer in.
0:10:03 > 0:10:07But beyond that, all the work I've done has been me.
0:10:07 > 0:10:11# She's a hard-working woman
0:10:11 > 0:10:14# If you only knew
0:10:16 > 0:10:20This had been no quick lick of paint makeover.
0:10:20 > 0:10:23It's been a lot of hard graft.
0:10:25 > 0:10:27Trying to put the ceiling joists in,
0:10:27 > 0:10:30just me by myself, it would have been quite a quick job
0:10:30 > 0:10:33if I'd had somebody holding the other end of the timbers.
0:10:33 > 0:10:36But working on my own it has taken a lot longer.
0:10:37 > 0:10:39# She's a hard-working woman
0:10:39 > 0:10:42# If you only knew #
0:10:44 > 0:10:47This is the room probably with the biggest change
0:10:47 > 0:10:50because, if you recall, there was no ceiling in here.
0:10:50 > 0:10:54So you ere looking up to the underside of the slate tiles.
0:10:54 > 0:10:57So putting the ceiling in,
0:10:57 > 0:10:59stripping all the wallpaper off, redecorating.
0:10:59 > 0:11:03Really pleased with the size of the room now it's all cleared out.
0:11:03 > 0:11:06Just need a carpet down and this one's nearly finished.
0:11:07 > 0:11:10Ever the optimist, Charlotte had already bought
0:11:10 > 0:11:13the fixtures and fittings for her kitchen and bathroom.
0:11:13 > 0:11:18But as she slowly worked her way through this period feature-rich house,
0:11:18 > 0:11:21the bathroom and kitchen caused her the biggest delays.
0:11:21 > 0:11:24There was hardly a right angle in the house.
0:11:24 > 0:11:27And these areas were no different.
0:11:28 > 0:11:33But Charlotte did have some specialist help with the wonky walls.
0:11:33 > 0:11:37George and Lily haven't been here as much as they originally hoped.
0:11:37 > 0:11:41But they did come down on Saturday and paint the bathroom wall.
0:11:41 > 0:11:44So they have done their bit now.
0:11:44 > 0:11:47And a very nice job they made of it too.
0:11:49 > 0:11:53Charlotte had spent around £10,000 of her £20,000 budget
0:11:53 > 0:11:55to get the house to this stage.
0:11:55 > 0:11:59She was well on the way to finishing it and moving on to the next one
0:11:59 > 0:12:04in her bid to fund a new home for herself and her two children.
0:12:04 > 0:12:08Join us later in the show, when we see if she finally turned this
0:12:08 > 0:12:12quirky little house into a place someone would be proud to call home.
0:12:20 > 0:12:22This is Telford in Shropshire.
0:12:22 > 0:12:27It's a modern town with shiny new developments and a population that's ever growing.
0:12:27 > 0:12:29But perhaps my favourite thing about Telford,
0:12:29 > 0:12:31apart from the glorious countryside,
0:12:31 > 0:12:34is the fact that the average house price around here
0:12:34 > 0:12:37is £80,000 under the national average.
0:12:39 > 0:12:43The property I am here to see is, in fact, in Donnington.
0:12:43 > 0:12:48A former coalmining town surrounded by lovely countryside.
0:12:48 > 0:12:51Also, home to an MOD base and there's plenty of local shops.
0:12:51 > 0:12:54The house itself has got three bedrooms.
0:12:54 > 0:12:58It has a guide price of just £50,000.
0:12:58 > 0:13:01There's already a lot to like about this place.
0:13:01 > 0:13:03It's tucked down a quiet cul-de-sac.
0:13:03 > 0:13:06There's a pleasant bit of green open space
0:13:06 > 0:13:08with plenty of trees to look out on
0:13:08 > 0:13:11and a decent-sized front garden
0:13:11 > 0:13:15that could be made more attractive once tidied and flowers planted.
0:13:15 > 0:13:19I'm certainly feeling positive vibes walk into this house.
0:13:19 > 0:13:22The lounge is much bigger than I expected.
0:13:22 > 0:13:25A lovely space. You could fit sofas in there and a family TV.
0:13:25 > 0:13:29There's central heating, which is a really good sign.
0:13:29 > 0:13:35Let's just say the canary yellow has not gone unnoticed with the textured wallpaper.
0:13:35 > 0:13:38It does give the hallway quite a sort of closed-in feeling.
0:13:38 > 0:13:42And you've got a second reception room towards the back of the property.
0:13:42 > 0:13:48I really like this space. It would be wonderful to have a great big family table here.
0:13:48 > 0:13:51And the kitchen is just here.
0:13:51 > 0:13:53So you've got a couple of options.
0:13:53 > 0:13:55You could knock this down.
0:13:55 > 0:13:57Or if you don't want to take down the kitchen wall,
0:13:57 > 0:14:00it's not like you have to walk far to put the food on the table,
0:14:00 > 0:14:04you could widen this doorway to have a bigger opening
0:14:04 > 0:14:07so you've got an easy walk through.
0:14:07 > 0:14:10Also, what I'm spying is a couple of storage sheds.
0:14:10 > 0:14:14Again, great for families. You can get all the kids' bikes,
0:14:14 > 0:14:18all the junk that a family brings. They are really good to have.
0:14:18 > 0:14:21All in all, you get a lot for your money with this house.
0:14:21 > 0:14:24Don't forget, the guide price - 50 grand.
0:14:24 > 0:14:27# We've already said...
0:14:27 > 0:14:30Colourful it may be but I'd treat this house as a blank canvas.
0:14:30 > 0:14:32# ..goodbye
0:14:32 > 0:14:37Who knows what's lurking underneath the textured wallpaper and tatty carpets.
0:14:37 > 0:14:42# Since you've got to go, oh you'd better go now
0:14:42 > 0:14:48You will need a new kitchen and that downstairs loo will need a total refit if it's to stay.
0:14:49 > 0:14:51Upstairs, there are three bedrooms. At the front,
0:14:51 > 0:14:55there's one single and a decent-size double.
0:14:55 > 0:14:58While at the back, there's a large double bedroom and a bathroom
0:14:58 > 0:15:01so green but I doubt anyone would be envious of it.
0:15:01 > 0:15:07All in all, it's in need of some serious redecoration and rewiring.
0:15:09 > 0:15:13To the rear of the house, as well as the sheds,
0:15:13 > 0:15:18the back garden to be is a good size even if it is a bit tired.
0:15:18 > 0:15:22# Since you've got to go, oh you'd better go now #
0:15:22 > 0:15:25So, who is this property going to appeal to?
0:15:25 > 0:15:29Well, young families moving up from a flat maybe.
0:15:29 > 0:15:34But my money is on rental investors who'll be more than tempted
0:15:34 > 0:15:39by the potential £550 per month that this place could generate,
0:15:39 > 0:15:45which adds up to an 11% return on your cash. Appealing indeed.
0:15:45 > 0:15:51The area around Telford nearly always delivers fabulous rental yields.
0:15:51 > 0:15:53So I hope this property is no exception.
0:15:53 > 0:15:57I've allowed £10,000 spend in my calculations for the rental return.
0:15:57 > 0:16:01Which should be just about doable considering the heating's already there.
0:16:05 > 0:16:10We asked a local estate agent what he though of this Donnington number
0:16:10 > 0:16:12guided at offers over 50,000.
0:16:14 > 0:16:20First impression of the property is that it's a good-size three-bedroom family home.
0:16:20 > 0:16:22This would be good for resale or rental
0:16:22 > 0:16:26because the rental yields can be good on these properties.
0:16:26 > 0:16:29Get it on the rental market and it would rent very quickly.
0:16:29 > 0:16:34Once the house is refurbished, what could it attract on the rental market?
0:16:34 > 0:16:39If this was to go on the rental market, I would recommend £550 per calendar month.
0:16:39 > 0:16:44We're clearly in agreement on that rental figure of £550 per calendar month.
0:16:44 > 0:16:50But what could it get if refurbished and sold on the open market?
0:16:50 > 0:16:54If this was to go on the sales market, I would suggest an asking price of £90,000.
0:16:54 > 0:16:58There's a bit of instant profit here for sure.
0:16:58 > 0:17:04But with that rental yield, I think this Donnington home is definitely a keeper.
0:17:04 > 0:17:07Let's see who bought it and what they thought at the auction.
0:17:07 > 0:17:10Lot 83. Back to Telford.
0:17:10 > 0:17:13Three-bedroom end townhouse requiring modernisation.
0:17:13 > 0:17:1535 can I say to start?
0:17:15 > 0:17:1735 bid, right in the middle.
0:17:17 > 0:17:1940. At 40,000.
0:17:19 > 0:17:2145 standing.
0:17:21 > 0:17:23OK. 50. Lady's bid. Now 50.
0:17:23 > 0:17:2655.
0:17:26 > 0:17:31£60,000. Shaking his head. Lady's bid. £60,000.
0:17:31 > 0:17:3461, I'll go now. 61 on the phone.
0:17:34 > 0:17:3862.
0:17:38 > 0:17:4063 it will cost you on the phone.
0:17:42 > 0:17:44Yeah, 63.
0:17:44 > 0:17:4664.
0:17:46 > 0:17:48Out. 64. Bid's in the room.
0:17:48 > 0:17:51£64,000. 65, anywhere else?
0:17:51 > 0:17:53At £64,000.
0:17:53 > 0:17:58Are we all done? At £64,000 for the first time.
0:17:58 > 0:18:01At £64,000 for the second time.
0:18:01 > 0:18:04Third and final time, 64,000.
0:18:04 > 0:18:05Yours, madam, well done.
0:18:05 > 0:18:11A successful bid of 64,000, £14,000 over the guide price,
0:18:11 > 0:18:16was made by hairdresser Julia and painter and decorator husband Gary.
0:18:16 > 0:18:18# Make me a picture
0:18:18 > 0:18:21# Paint me a scene #
0:18:21 > 0:18:26They bought this property as a buy-to-let. I met them back there to find out more.
0:18:26 > 0:18:28Gary and Julia, congratulations.
0:18:28 > 0:18:33- Thank you very much.- You must be pleased you got this on auction day. - Very, very pleased.
0:18:33 > 0:18:36- Was this your first auction? - No, it wasn't.
0:18:36 > 0:18:38We weren't successful at the first auction.
0:18:38 > 0:18:43So we decided we'd make a game plan, we looked at four properties round the area.
0:18:43 > 0:18:46- The first one went. - Yeah.- We were outbid.
0:18:46 > 0:18:49This was the house we preferred and fortunately we got it.
0:18:49 > 0:18:52So this was the house you wanted?
0:18:52 > 0:18:57- This was the house we wanted. - Sometimes, it's not good to win a house in your first auction.
0:18:57 > 0:19:01- It's good to sit through it and watch how it works.- It's exciting.
0:19:01 > 0:19:04We've never done it before. It's quite nerve-racking bidding.
0:19:04 > 0:19:08- I was bidding, I was like, "Ooh!" - On the first, we thought we'd got a property.
0:19:08 > 0:19:12Then, at the last minute, somebody else bid and then it goes on.
0:19:12 > 0:19:15- We couldn't.- We had to shut off. I was like, "Julia, stop! Stop!"
0:19:15 > 0:19:19- That's it, no more.- Did you both come on the viewing for this?
0:19:19 > 0:19:21- No, we didn't. - No.
0:19:21 > 0:19:23You didn't? You just looked from outside?
0:19:23 > 0:19:26Yeah, we looked outside. I know the area, I know the houses.
0:19:26 > 0:19:31We had a look at the other houses around to get an idea of what sort of thing we're getting.
0:19:31 > 0:19:35Our daughter said, Imogen and Amelia, a gentleman walked out
0:19:35 > 0:19:38from the neighbourhood, Imogen said, "He's got a Jack Russell."
0:19:38 > 0:19:43- The dog clinched the deal for your daughters. It was. Imogen said, - "It's definitely the one."
0:19:43 > 0:19:48# Move over old dog cos a new dog is moving in #
0:19:48 > 0:19:52If only all property decisions were as easily made.
0:19:52 > 0:19:58But the neighbour's pooch is no substitute for looking around a potential purchase, Gary and Julia.
0:19:58 > 0:20:02Still, having now seen inside, what are they planning to do?
0:20:02 > 0:20:05Well, Gary's a decorator by trade.
0:20:05 > 0:20:08Strip all the walls off, probably cross line them,
0:20:08 > 0:20:11paint them in a neutral colour all the way through.
0:20:11 > 0:20:16Julia, are you going to help out? Are you going to be Gary's glamorous assistant?
0:20:16 > 0:20:19- I can paint too.- Can you? - Yes, I'm good with a roller.- Good.
0:20:19 > 0:20:23Are you going to be on board? I know you've got two daughters.
0:20:23 > 0:20:28- They'll help as well.- They will be too?- They'll be rolling as well. Yes, they'll be involved.
0:20:28 > 0:20:32What about the rest of the house? It needs carpeting, a new kitchen and bathroom.
0:20:32 > 0:20:35We've got plans for that. I've got various friends that will help me.
0:20:35 > 0:20:39We deal with different trades.
0:20:39 > 0:20:43Lots of friends and family to help out. What about alterations?
0:20:43 > 0:20:47I'm looking at the kitchen. Normally, I'd walk in and say,
0:20:47 > 0:20:49"Let's get that wall down, let's open the space up."
0:20:49 > 0:20:52But here I thought you could widen the doorway.
0:20:52 > 0:20:56Maybe it wouldn't be for everybody, opening it up and taking the wall down.
0:20:56 > 0:20:59- What is your preferred option? - I'd like to take the wall down.
0:20:59 > 0:21:04As a mum, you like to have an open kitchen living area, really.
0:21:04 > 0:21:06I know I'm not going to be living here
0:21:06 > 0:21:10- but that's what I would like. - It would really work for families.
0:21:10 > 0:21:13- It would, yeah.- So you're involved in the two rooms together.
0:21:13 > 0:21:16- Who's going to do that? - I'll sort that out.
0:21:16 > 0:21:20Why are you doing this? What is your game plan for the future?
0:21:20 > 0:21:23As my 11-year-old daughter said, this is her pension.
0:21:23 > 0:21:28- She said that? - She said that to my dad.
0:21:28 > 0:21:31- Is that what you're doing this for? - Well, long term, yeah.
0:21:31 > 0:21:35We're self-employed and pensions aren't worth a lot nowadays.
0:21:35 > 0:21:39This is a way of saving money for the future.
0:21:39 > 0:21:45- What do you do?- I'm a hairdresser. - Are you going to have spare time to help your husband?
0:21:45 > 0:21:47I'll be here in the evenings and at weekends, yeah.
0:21:47 > 0:21:52What about the budget? You'll be doing most of the work. How much will you need to spend?
0:21:52 > 0:21:57Carpets around about the £2,000, possibly £2,500 mark.
0:21:57 > 0:22:00Redecoration, £2,000 to £2,500.
0:22:00 > 0:22:05Kitchen, not sure yet. We're not sure how far we want to go with it.
0:22:05 > 0:22:09What's your overall budget? Come on. How much have you got to spend?
0:22:09 > 0:22:14Overall budget, we're probably looking at 6 or £7,000.
0:22:14 > 0:22:16- Really? - Yep. So...
0:22:16 > 0:22:20- It could be variable.- Depends. - It depends on the kitchen.
0:22:20 > 0:22:25I'm able to do a lot of the work, which is going to cut down a massive amount of expense.
0:22:25 > 0:22:29- If you can get this whole house done for 6 too £7,000, I'll eat my hat. - We'll be doing all right.
0:22:29 > 0:22:33- We're not making any promises. - I would have said at least £10,000.
0:22:33 > 0:22:36- It's quite a big space. - It's a lot of space.
0:22:36 > 0:22:40The bedrooms, the toilet out the back, a bit of work needs doing.
0:22:40 > 0:22:45- A few areas you need to concentrate on.- Yes, yes, I totally agree.
0:22:45 > 0:22:48How long until we can come back and have a look at it?
0:22:48 > 0:22:52- Probably six weeks, we're trying to gauge it on about six weeks.- Yeah.
0:22:52 > 0:22:55Do you really think six weeks and six grand?
0:22:55 > 0:22:58- Yes, seven grand. - Oh, you're going up now.
0:22:58 > 0:23:01- No, no. - Six weeks to six to seven grand.
0:23:01 > 0:23:03Six to seven grand, yes.
0:23:03 > 0:23:08Six weeks, that's having a guideline to set sail on, really.
0:23:08 > 0:23:11We'll see how it goes once we start.
0:23:11 > 0:23:15Obviously, what we're going to uncover, various things like that.
0:23:15 > 0:23:19- I'm looking forward to seeing this. Good luck.- Thank you. - Lovely meeting you.
0:23:19 > 0:23:22Well done, Gary. Julia, thank you.
0:23:22 > 0:23:266 to 7,000 for the whole house?
0:23:26 > 0:23:29I think that might be just a tad optimistic.
0:23:29 > 0:23:34Still, get the kids working on their own pension pot and they might just pull it in under ten grand.
0:23:34 > 0:23:38You can find out if they do later on in the programme.
0:23:39 > 0:23:42Coming up, in the village of Brandon in County Durham,
0:23:42 > 0:23:45it's a loft conversion I presume.
0:23:45 > 0:23:48So definitely worth exploring.
0:23:49 > 0:23:53In Donnington near Telford, property developers seem to get younger.
0:23:53 > 0:23:55We had to put the dustsheets down.
0:23:55 > 0:23:59Then we had to tip paint into the bucket.
0:24:00 > 0:24:05But first, we return to Devon to see if Charlotte can bear to leave the house now it's finally finished.
0:24:05 > 0:24:09I've fallen in love with this house over the time that I've owned it.
0:24:12 > 0:24:16It's been a full 12 months since we first visited Crediton in Devon
0:24:16 > 0:24:20where one of the hardest-working mum's in town is almost
0:24:20 > 0:24:25single-handedly bringing a charming but dilapidated house back to life.
0:24:25 > 0:24:30Charlotte had to fit the renovation in around bringing up her two children.
0:24:30 > 0:24:35She'd bought the one-bedroom property for just 59,000
0:24:35 > 0:24:38and had a decent budget of 20,000 to fix it up.
0:24:38 > 0:24:44She hoped to refurbish within six months and sell to help her on her way
0:24:44 > 0:24:48towards buying a brand-new home for her own family.
0:24:48 > 0:24:53The tiny house was ripe for renovation but that didn't mean it would be a simple task.
0:24:53 > 0:24:56Upstairs, there were rooms without ceilings
0:24:56 > 0:24:59and just nods towards the idea of a bathroom.
0:24:59 > 0:25:03The only way this budget was going to work was if Charlotte rolled up
0:25:03 > 0:25:08her sleeves and did as much as she could herself. But let's just say
0:25:08 > 0:25:11this wasn't the fastest way to renovate this place.
0:25:11 > 0:25:15The first time we came back, she'd put up ceilings and learned how to tile.
0:25:15 > 0:25:19She'd brought in an expert to rewire and replumb.
0:25:19 > 0:25:21But it was far from complete.
0:25:21 > 0:25:24It's progressed slower than I hoped it would.
0:25:24 > 0:25:26But it has been a big learning curve.
0:25:26 > 0:25:29But I'm pleased now that I'm getting to a stage where,
0:25:29 > 0:25:33ever day I spend here, I can see a difference at the end of it.
0:25:33 > 0:25:37It's been a year since we first visited the grade-two listed house in Devon.
0:25:37 > 0:25:42Time to find out if its rustic charm has been recreated from the rubble.
0:25:42 > 0:25:46# You're going to make me, make me love you
0:25:46 > 0:25:48# Nothing at all nothing that I do
0:25:48 > 0:25:51# Promise I made, promise I made
0:25:51 > 0:25:53# Started to fade, started to fade, fade
0:25:53 > 0:25:58Inside, at last, this cute place has somewhere to bake a cream tea.
0:25:58 > 0:26:01# Promise I made, promise I made #
0:26:01 > 0:26:03The biggest change has got to be in the kitchen.
0:26:03 > 0:26:06I've got the units, appliances in,
0:26:06 > 0:26:10the worktop has all been cut in, the breakfast bar.
0:26:10 > 0:26:14The flooring throughout has now all been nearly completed.
0:26:14 > 0:26:16The tiling in the living room.
0:26:16 > 0:26:22There was a ramshackle porch on the rear of the property,
0:26:22 > 0:26:26which my father and I dismantled and rebuilt one weekend.
0:26:26 > 0:26:30The hardest job was taking the old porch down.
0:26:30 > 0:26:35The roof of the porch was actually about seven layers thick of different materials.
0:26:35 > 0:26:41And the walls were made out of old doors,
0:26:41 > 0:26:46which were screwed together. The rear porch has been repaired.
0:26:46 > 0:26:49A lovely new stable door at the back.
0:26:49 > 0:26:54And the attic now has also been boarded out
0:26:54 > 0:26:56to make it a more usable storage space.
0:26:56 > 0:27:02Making the most of every inch of space in a small house is essential.
0:27:02 > 0:27:08It's a great idea to shift the boiler up here and add heated
0:27:08 > 0:27:10storage space as well.
0:27:10 > 0:27:14Upstairs, the bathroom has been transformed from hovel to heaven.
0:27:15 > 0:27:20But it should be obvious by now that, as it's a characterful house,
0:27:20 > 0:27:25that means not much can be bought off the peg to fit.
0:27:25 > 0:27:27Being an old property,
0:27:27 > 0:27:31it's been a challenge to get the kitchen to fit
0:27:31 > 0:27:34because none of the walls are square or straight in the house.
0:27:34 > 0:27:39But I had a very helpful chap come in and cut some to the units down to fit back into the corners.
0:27:39 > 0:27:42Lovely oak worktops,
0:27:42 > 0:27:46which have been fitted in beautifully with the breakfast bar
0:27:46 > 0:27:49over the old stone wall into the sitting room.
0:27:49 > 0:27:53I'm really pleased with the way the kitchen has come together.
0:27:53 > 0:27:58In general, the quirky nature of the walls and floors, and the property in general,
0:27:58 > 0:28:04has meant this wasn't the fast turnaround refurbishment Charlotte had dreamt of.
0:28:04 > 0:28:08The project has taken a lot longer than I originally projected.
0:28:08 > 0:28:11I was hoping to have it completed within six months.
0:28:11 > 0:28:14I think that was extremely ambitious working on my own.
0:28:14 > 0:28:18It's always been easy to stay at home and think,
0:28:18 > 0:28:23"Why do I want to go to that dank, dark, dirty house and work all day?"
0:28:23 > 0:28:29But the whole aim of it was to purchase this property,
0:28:29 > 0:28:32complete it, sell it and repeat the process
0:28:32 > 0:28:35so that I can buy a property for myself and my children to live in.
0:28:35 > 0:28:38And that's been my motivation to keep at it.
0:28:38 > 0:28:41And the love of the little house, of course.
0:28:41 > 0:28:47Charlotte bought this one-bedroom mid-terrace for £59,000.
0:28:47 > 0:28:49And spent £20,00 refurbishing it.
0:28:49 > 0:28:55Bringing her total outlay to £79,000 before tax and expenses.
0:28:55 > 0:28:57It's time to hear whether two local property experts
0:28:57 > 0:29:01share her love of this quaint little place.
0:29:01 > 0:29:05It's a very attractive cottage and it's been nicely renovated.
0:29:05 > 0:29:07The cottage is quite small.
0:29:07 > 0:29:10There's a limit to the number of people interested in buying it.
0:29:10 > 0:29:12It will appeal to first-time buyers.
0:29:12 > 0:29:15There's little on the market in this price range and it has beautiful
0:29:15 > 0:29:18character and features and such charm.
0:29:18 > 0:29:22It's rare to find a property that still boasts all its characterful features.
0:29:22 > 0:29:25They're encased with partitions and plasterboarding.
0:29:25 > 0:29:28To find a gem like this is very rare.
0:29:28 > 0:29:30I love what the lady as done to the living area.
0:29:30 > 0:29:34It's a feature. She's exposed the shelving and cupboard units
0:29:34 > 0:29:38to make a wonderful space, not forgetting the range area.
0:29:38 > 0:29:44This house, packed with period features, has certainly worked its charm on theses state agents.
0:29:44 > 0:29:47But will their enthusiasm turn into profit for Charlotte?
0:29:47 > 0:29:50What do they reckon the rental value might be?
0:29:51 > 0:29:55If it came on to the renal market, which is strong in Crediton,
0:29:55 > 0:29:58I would expect to achieve about £550 per calendar month.
0:29:58 > 0:30:04On the rental market, you could achieve somewhere in the region of £500 to £550 per calendar month.
0:30:04 > 0:30:07That's a good return on my investment.
0:30:07 > 0:30:10But I'm not really interested in renting it.
0:30:10 > 0:30:17I'd rather release the capital that I have invested in the property and reinvest it
0:30:17 > 0:30:22- in the next project. - Better find out what the experts think it might sell for then.
0:30:22 > 0:30:26If I put it on the market, I'd put it on for £109,000
0:30:26 > 0:30:29with a view to achieving between 100 and £105,000.
0:30:29 > 0:30:33If it was put on the market, you could achieve in the region of £100,000.
0:30:33 > 0:30:38That would make Charlotte a profit of between 21 and £26,000
0:30:38 > 0:30:40before tax and expenses.
0:30:40 > 0:30:43I'm pleased with the valuations.
0:30:43 > 0:30:45It still leaves me in profit.
0:30:45 > 0:30:49But I was hoping, perhaps, for just a fraction more than that.
0:30:51 > 0:30:54This was a very demanding choice for a first development.
0:30:54 > 0:30:59But this is no ordinary property, so fingers crossed that its considerable charms
0:30:59 > 0:31:03work on the next owner as well as they obviously have on Charlotte.
0:31:03 > 0:31:08I've fallen in love with this house over the time that I've owned it.
0:31:08 > 0:31:11And I would love to live here myself.
0:31:11 > 0:31:17But with two children and three large dogs, it's just not practical.
0:31:17 > 0:31:23So I will find, eventually, my larger version of this house that we can all fit in comfortably.
0:31:28 > 0:31:33This is Durham in north-east England on the banks of the river Wear.
0:31:33 > 0:31:39It's a city famous for its cathedral and castle, both designated World Heritage sites.
0:31:39 > 0:31:44And there's been a university here since 1832.
0:31:44 > 0:31:49Just three miles from the centre of Durham is the commuter village of Brandon.
0:31:49 > 0:31:52The good news is there are great road and rail links.
0:31:52 > 0:31:56And prices are less than in the centre of the city.
0:31:56 > 0:32:00For instance, a two-bedroom semi-detached, looks all right,
0:32:00 > 0:32:04had a guide price 49,950 quid.
0:32:04 > 0:32:07The property certainly has a large front garden
0:32:07 > 0:32:11and the added bonus of modern double-glazed windows.
0:32:13 > 0:32:16Well, I have visited so many properties in my time
0:32:16 > 0:32:22but it's rare I see an architectural feature that I haven't done before.
0:32:22 > 0:32:27But these brick columns, they certainly do it.
0:32:27 > 0:32:29Wow!
0:32:29 > 0:32:32Let's see what else is in store.
0:32:32 > 0:32:36Through the main front door into this little hallway area.
0:32:36 > 0:32:39You've got the stairs curling round up to the bedrooms.
0:32:39 > 0:32:42The front sitting room is a decent size and then through
0:32:42 > 0:32:48into the kitchen. This is in need of time and money spent on it.
0:32:48 > 0:32:51It's not a bad-size space but, if this was just it,
0:32:51 > 0:32:55it would be OK. But there's more.
0:32:55 > 0:32:58# More, more, more
0:32:58 > 0:33:00# How do you like it? How do you like it? #
0:33:00 > 0:33:05Just off the kitchen is this rather oddly shaped utility area.
0:33:05 > 0:33:07This place is ripe for conversion.
0:33:07 > 0:33:11It's just bare brick at the moment but you could easily incorporate
0:33:11 > 0:33:14this area into the kitchen making a large kitchen diner.
0:33:14 > 0:33:18Or use it as another room, maybe even a third bedroom.
0:33:18 > 0:33:21And that's not the only bonus in this property.
0:33:21 > 0:33:23Out through these large sliding doors
0:33:23 > 0:33:28into what would have originally been the garden and is now this area here.
0:33:28 > 0:33:32Historically, you might call it an orangery, it doesn't have any oranges
0:33:32 > 0:33:36and it isn't in that Victorian style. So we'll call it a sun room.
0:33:36 > 0:33:41But it does give a really nice extra bit of semi-outdoor space.
0:33:41 > 0:33:44So, yeah, great.
0:33:45 > 0:33:47At the rear of the property,
0:33:47 > 0:33:54you do get a feeling of quite what an interesting design this house is.
0:33:54 > 0:33:58Look at the highly and steeply banked roof line.
0:33:58 > 0:34:01At the back here, this great big extension,
0:34:01 > 0:34:05including this little ramp down to the garden.
0:34:05 > 0:34:07The garden's not a bad-size space.
0:34:07 > 0:34:10It is really interesting but it doesn't quite work.
0:34:10 > 0:34:14It's almost like you want to keep the exterior, rip out the middle bits,
0:34:14 > 0:34:17and put it all back together again properly.
0:34:17 > 0:34:22But, you know, in terms of space, great, can't fault it.
0:34:25 > 0:34:28Upstairs, the space on offer is rather more limited.
0:34:28 > 0:34:33There are only two bedrooms up here but they're both doubles
0:34:33 > 0:34:36and in pretty good condition.
0:34:36 > 0:34:39There's also a family bathroom and the suite is pretty new.
0:34:39 > 0:34:43You could possibly even keep that. But there is potential to add
0:34:43 > 0:34:46even more square footage.
0:34:46 > 0:34:50So, does that incredibly steeply pitched roof
0:34:50 > 0:34:53throw up any interesting opportunities?
0:34:53 > 0:34:56Well, take a look. Yes, it most definitely does.
0:34:56 > 0:35:00It would be a real shame to leave this as it is.
0:35:00 > 0:35:04This central space is pretty much clear for you.
0:35:04 > 0:35:07Normally you'd have joists, purlins and all sorts of things going on.
0:35:07 > 0:35:11But that's fantastic, so definitely worth exploring.
0:35:11 > 0:35:14Not a Christmas decoration in sight.
0:35:14 > 0:35:18# Just stop torturing and tell me what you're going to do
0:35:18 > 0:35:22# What are you going to do?
0:35:24 > 0:35:27I'm getting quite excited about how the space in this house,
0:35:27 > 0:35:29guided at £49,950,
0:35:29 > 0:35:31could be reworked.
0:35:31 > 0:35:37We asked a local estate agent to tell us how he thought the place could be improved.
0:35:37 > 0:35:41It's a good-size property begging for an extension downstairs in the utility area.
0:35:41 > 0:35:44You could incorporate the sun room more into the property
0:35:44 > 0:35:47and possibly extend the kitchen out into that area.
0:35:47 > 0:35:50Or more likely, given the orientation of the garden,
0:35:50 > 0:35:52leave it as an attractive heat trap for family use.
0:35:52 > 0:35:56# I thought you were going to tell me what you're going to do
0:35:56 > 0:35:59Even more possibilities for this flexi house.
0:35:59 > 0:36:05But will the extra effort to make use of the space be rewarded with extra value?
0:36:05 > 0:36:10If it was renovated and improved with a small conversion downstairs, you're probably looking
0:36:10 > 0:36:13somewhere in the region of about 85 to £90,000.
0:36:13 > 0:36:15What about rental estimates?
0:36:15 > 0:36:20A rental figure, once converted, you'd be looking somewhere in the region of
0:36:20 > 0:36:22475 per calendar month.
0:36:22 > 0:36:25What if you went all out and added more square footage?
0:36:25 > 0:36:30If you were to do a first-floor extension and convert the downstairs area,
0:36:30 > 0:36:33you might be able to hit somewhere just over the £100,000 mark.
0:36:33 > 0:36:36It would certainly enhance the rental slightly.
0:36:36 > 0:36:41There is a ceiling price for the area, probably just over the £500 per calendar month mark.
0:36:44 > 0:36:49Well, absolutely loads you could do with this place.
0:36:49 > 0:36:53And for that incredibly low guide price, I think you can't go wrong.
0:36:53 > 0:36:56Let's see who agreed when it went under the hammer.
0:36:56 > 0:37:00Lot number 38. Available with immediate vacant possession.
0:37:00 > 0:37:04We've got this advertised with a price of 49,950-plus.
0:37:04 > 0:37:07They want to sell. Do I dare ask for 50?
0:37:07 > 0:37:10No bid at 50.
0:37:10 > 0:37:12How about 37 and a half?
0:37:12 > 0:37:16I'll come down to 37 and a half to have bid anywhere. 37 and a half.
0:37:16 > 0:37:23Nobody? At £37,500? One bid at 37 and a half on the front.
0:37:23 > 0:37:26It's your last chance, guys, because I'm going to sell.
0:37:26 > 0:37:28Going once at 37 and a half.
0:37:28 > 0:37:31Going for the second time.
0:37:31 > 0:37:33At 37,500.
0:37:34 > 0:37:37- Sold.- Wow! That was one of the fastest auctions ever.
0:37:37 > 0:37:41The property was sold on its maiden bid for £37,500
0:37:41 > 0:37:45to former music producer Crichton.
0:37:45 > 0:37:48# Talk about pop music, talk about #
0:37:48 > 0:37:51Crichton has two companies developing and managing property.
0:37:51 > 0:37:56Although he's a regular auction-goer, he almost missed his chance to buy this one.
0:37:56 > 0:37:58Crichton, good to see you.
0:37:58 > 0:38:02- How was the auction on this one? - Interesting auction.- In what way?
0:38:02 > 0:38:08I found out about the house the morning I arrived back from my summer vacation.
0:38:08 > 0:38:11- Oh.- I was left text messages and emails.
0:38:11 > 0:38:15I landed at Gatwick, switched on my phones and there were messages
0:38:15 > 0:38:19from the auction house and from estate agents saying you need to go and have a look at this.
0:38:19 > 0:38:23So I spoke to the auctioneer. I was at Gatwick at 6.
0:38:23 > 0:38:26I had a look at this at 2 o'clock in the afternoon.
0:38:26 > 0:38:28Went to the auction and it was done.
0:38:28 > 0:38:31- When was the auction?- That night. - That night?- Yeah.
0:38:31 > 0:38:34- Talk about back in at the deep end. - It worked out quite well.
0:38:34 > 0:38:38- Were you happy with what you paid? - Yes, I was quite pleased.
0:38:38 > 0:38:41If I'd paid 2,500 less, I'm a Scotsman, I'd be more pleased.
0:38:41 > 0:38:44But I was quite happy.
0:38:44 > 0:38:46So, why this house?
0:38:46 > 0:38:50We've done four or five projects in and around Durham already.
0:38:50 > 0:38:53We tend to focus on the villages on the west side of Durham.
0:38:53 > 0:38:56Those are quite nice little commuter villages.
0:38:56 > 0:39:00But the value out here is great and you've got a 15-minute bus ride into Durham.
0:39:00 > 0:39:03The property will rent all-day long, I hope.
0:39:03 > 0:39:07Crichton was a music business executive when he lived in America
0:39:07 > 0:39:10and dabbled in properly there. However,
0:39:10 > 0:39:14a move back to the UK prompted a complete change in career.
0:39:14 > 0:39:18He now runs two family firms with relatives who are silent partners.
0:39:18 > 0:39:22He seems happy to have exchanged pop stars for property.
0:39:22 > 0:39:25In general then, are property worlds being OK for you?
0:39:25 > 0:39:28Obviously, interesting times still.
0:39:28 > 0:39:30We've got a specific model and we follow it.
0:39:30 > 0:39:34Picking decent properties and decent commuter areas
0:39:34 > 0:39:41and keeping it for ourselves or selling them to possibly other investors building their portfolios.
0:39:41 > 0:39:43How big is the portfolio now? What does this take it to?
0:39:43 > 0:39:46This one's been pre-sold to another investor.
0:39:46 > 0:39:50- Pre-sold? Is that right? - We sold it about three days ago.
0:39:50 > 0:39:53It's now a case of getting the work done.
0:39:53 > 0:39:57And he can go ahead and sort his mortgage out.
0:39:57 > 0:39:58- Great. - Job done.
0:39:58 > 0:40:04That's fast work. Sold to another investor in just three days.
0:40:04 > 0:40:06But what's the plan now?
0:40:06 > 0:40:11It's quite adaptable. It's a bit like a TARDIS. If you look at it from the outside,
0:40:11 > 0:40:15it's a small cottage. But we can make it a lot bigger without doing too much to it
0:40:15 > 0:40:19and without planning permission. Make it much more flexible.
0:40:19 > 0:40:21Tell me what you are going to do to it.
0:40:21 > 0:40:23We're going to get rid of this boiler.
0:40:23 > 0:40:26- We'll have the heating in by the end of next week.- Right.
0:40:26 > 0:40:29We'll redo the kitchen and the bathroom.
0:40:29 > 0:40:32Both are reasonable. We've already had somebody wanting to rent it.
0:40:32 > 0:40:36It's not what we like to do. We like to refurbish the properties.
0:40:36 > 0:40:42There is a room out the other side of the kitchen, the brick walls in there are non-supporting walls.
0:40:42 > 0:40:47- They'll be gone by tomorrow.- Really? - That will leave a 12 by 10 bedroom.
0:40:47 > 0:40:51We've now got a three-bedroom house as opposed to a two-bedroom cottage.
0:40:51 > 0:40:53And it's a big useful room.
0:40:53 > 0:40:56- One downstairs bedroom. - Yeah.
0:40:56 > 0:41:00In terms of the kitchen, not increasing the size of the kitchen?
0:41:00 > 0:41:03Not at all. We looked at ways of opening the kitchen out
0:41:03 > 0:41:08into the extension but that would have made it difficult to structure the kitchen.
0:41:08 > 0:41:14So we're going to leave it and redo it and rebuild a new kitchen back into the existing space.
0:41:14 > 0:41:16What's the timescale for sorting it out?
0:41:16 > 0:41:19Clearly, you've got people jumping at the bit.
0:41:19 > 0:41:22No reason why this can't be done in six weeks maximum.
0:41:22 > 0:41:24What kind of cost?
0:41:24 > 0:41:26- Great question. Um... - Thank you.
0:41:26 > 0:41:29I can't see why we would spend more than ten doing it.
0:41:29 > 0:41:31- OK. - I just can't see it.
0:41:31 > 0:41:37Crichton doesn't seem in the least fazed at having a deadline for a client.
0:41:37 > 0:41:40His experience, built up over the last six years,
0:41:40 > 0:41:43means his business models are flexible and have survived
0:41:43 > 0:41:45the financial challenge of harder to raise mortgages.
0:41:45 > 0:41:50To keep up the cash flow, he sells on around two of the three properties he buys.
0:41:50 > 0:41:53It seems that the pace is relentless.
0:41:53 > 0:41:55What's after this?
0:41:55 > 0:41:59We start another project tomorrow in another village the other side of Durham
0:41:59 > 0:42:02- That's a nice one. - Wow!
0:42:02 > 0:42:07And there's two other properties I'm waiting to see if my offer's been accepted.
0:42:07 > 0:42:10- Right.- I saw a couple this morning, one of which I really want.
0:42:10 > 0:42:14- I haven't got it yet.- Could you get a few more in by the end of the day?
0:42:14 > 0:42:17We have a target to keep a number in the pipeline.
0:42:17 > 0:42:20- As one falls out, we like to get one in.- Wow!
0:42:20 > 0:42:23- That's how it works. - Well, listen, congratulations.
0:42:23 > 0:42:27- Thank you.- Good luck. We look forward to see how you get on with this one.- Thanks very much.
0:42:27 > 0:42:34So Crichton hopefully turning this one to a quick profit.
0:42:34 > 0:42:37Just what you need. His plans are very interesting.
0:42:37 > 0:42:42I can't wait to see how it looks when we return later in the show.
0:42:44 > 0:42:46Well, time has simply flown by.
0:42:46 > 0:42:50How have our buyers got on with their properties?
0:42:50 > 0:42:53Let's go back and check out what's been happening.
0:42:55 > 0:42:58We're back in the glorious countryside of Shropshire
0:42:58 > 0:43:02just a few miles from Telford in the town of Donnington.
0:43:04 > 0:43:07Painter-decorator Gary and his hairdresser wife Julia
0:43:07 > 0:43:12bought this three-bedroom semi as their very first auction purchase.
0:43:12 > 0:43:16The end house was a dazzler, calling it colourful would be an understatement.
0:43:16 > 0:43:19But the bright walls didn't distract me from noticing
0:43:19 > 0:43:23the mould, the damp, the dodgy wiring and the general decay.
0:43:23 > 0:43:30However, since Gary was a painter and decorator, this house didn't seem to give him the blues at all.
0:43:30 > 0:43:34What's your overall budget? Come on. How much have you got to spend?
0:43:34 > 0:43:39Overall budget, we're probably looking at 6 or £7,000.
0:43:39 > 0:43:40- Really? - Yeah.
0:43:40 > 0:43:46I wasn't totally convinced that this could be refurbished for such a small budget.
0:43:46 > 0:43:49Especially since they seem to share my enthusiasm
0:43:49 > 0:43:53for knocking down the wall between the kitchen and dining room.
0:43:53 > 0:44:00I'd like to take the wall down. As a mum, you like to have that open kitchen living area, really.
0:44:00 > 0:44:03I know I'm not going to be living here but that's what I would like.
0:44:03 > 0:44:08Gary and Julia bought the three-bedroom house for £64,000
0:44:08 > 0:44:14and aim to do the work in an optimistic six weeks armed with that optimistic budget.
0:44:14 > 0:44:21So we're back right on the dot of six weeks later to meet them along with their daughters
0:44:21 > 0:44:26Amelia and Imogen. Have they transformed this rainbow house into a pension pot of gold?
0:44:26 > 0:44:29# Ain't no stopping us now
0:44:29 > 0:44:31# We're on the move #
0:44:31 > 0:44:35The house with the blues and the greens and the yellows is no more.
0:44:35 > 0:44:40Downstairs, the dark mouldy dining room is a bright welcoming space.
0:44:40 > 0:44:43And the kitchen is light and fresh too.
0:44:43 > 0:44:46- It's been...- A bit of a rollercoaster.- To say the least.
0:44:46 > 0:44:51- Done very quickly. - We turned it around quite quickly, haven't we? Which was good.
0:44:51 > 0:44:54Well, I actually would have liked to have taken that wall out.
0:44:54 > 0:44:57But, on talking to our builder friends,
0:44:57 > 0:45:01they said we'd make a lot of extra work for ourselves.
0:45:01 > 0:45:04So we decided to leave it as it is.
0:45:04 > 0:45:07I think it looks absolutely fine just the way it is.
0:45:07 > 0:45:11Sounds like these first-time developers are making the right decisions
0:45:11 > 0:45:13by not letting personal taste get in the way
0:45:13 > 0:45:15of development profit.
0:45:15 > 0:45:18But this was a house they didn't view before buying.
0:45:18 > 0:45:23Were there any unwelcome surprises lurking under the wallpaper and carpets?
0:45:23 > 0:45:29We stripped all the wallpaper off and there were three or four levels of wallpaper on there,
0:45:29 > 0:45:31which was disguising dry lining.
0:45:31 > 0:45:36Dry lining is like a cardboard instead of a normal plasterboard.
0:45:36 > 0:45:38So we've reskimmed the whole of the place.
0:45:38 > 0:45:41We've replastered it right the way throughout,
0:45:41 > 0:45:43which gave us a little bit more work.
0:45:43 > 0:45:47Well, a lot more work than what we were generally expecting.
0:45:47 > 0:45:51But, as you can see, it's come out really good now.
0:45:52 > 0:45:59Upstairs, the formerly vibrant green bathroom is now a clean fresh and welcoming space.
0:46:01 > 0:46:06The two double and one single bedrooms are also neutral and inviting.
0:46:10 > 0:46:15As well as calling in help from friends, the family haven't exactly been sitting around either.
0:46:17 > 0:46:20We had to put the dustsheets down.
0:46:20 > 0:46:25Then we had to tip the paint into the bucket. And...
0:46:25 > 0:46:29We used paint brushes to go around the edges.
0:46:29 > 0:46:31Then we used rollers to go on the main walls.
0:46:33 > 0:46:40Basically, my father told me that Imogen said that this was her pension fund,
0:46:40 > 0:46:43which we thought was highly amusing.
0:46:43 > 0:46:49But, you know, it is a pension pot for us and also, hopefully, in years to come, for the girls.
0:46:49 > 0:46:52Perhaps a family business they can carry on as well.
0:46:52 > 0:46:55They just like being involved as a whole family.
0:46:55 > 0:46:59That's what we're about. We tend to do everything together.
0:46:59 > 0:47:02We planned the purchase of the house with them.
0:47:02 > 0:47:06And they're here at the finish as well. Yeah.
0:47:06 > 0:47:08They enjoy it.
0:47:08 > 0:47:11The success of Gary and Julia's, sorry, Imogen's pension plan
0:47:11 > 0:47:17is important to the family. I was worried that their 6 to £7,000 budget was not going to be enough.
0:47:17 > 0:47:23We've kept it cheap. We've had some really good friends helping us out.
0:47:23 > 0:47:28We've had some really good deals off various different companies.
0:47:28 > 0:47:33The total budget of doing the job came to £5,700.
0:47:33 > 0:47:39That's including the labour. Not including my hours or Julia's hours that we spent here.
0:47:39 > 0:47:42But that's where we've saved a lot of money.
0:47:42 > 0:47:48I take my hat off to them. This is a lot of refurbishment done on a very tight budget.
0:47:48 > 0:47:50I had my doubts but they pulled it off.
0:47:50 > 0:47:53Gary and Julia bought the house for 64,000.
0:47:53 > 0:47:57And have spent £5,700 on renovations.
0:47:57 > 0:48:04Bringing their total outlay to £69,700 before tax and expenses.
0:48:04 > 0:48:09We invited two local property experts to hear what they thought about the couple's hard work.
0:48:09 > 0:48:13What did the estate agent who saw it before make of it now?
0:48:13 > 0:48:16The refurbishment has been concentrated on the important areas.
0:48:16 > 0:48:20It's been neutrally decorated throughout. New flooring throughout.
0:48:20 > 0:48:25The bathroom and kitchen have been replaced, which were important areas to concentrate on.
0:48:25 > 0:48:29The standard of finish is very good. The kitchen and bathroom are good.
0:48:29 > 0:48:34They're both inoffensive. The decor and carpeting are very good.
0:48:34 > 0:48:38The market it's geared up for is a first-time buyer or investor.
0:48:38 > 0:48:41And it would appeal equally to both sets of people.
0:48:41 > 0:48:45On to the bigger question now. What could it sell for?
0:48:46 > 0:48:48If this was to go on the open market,
0:48:48 > 0:48:51I would suggest an asking price of £95,000.
0:48:53 > 0:48:55I'd value this property at £80,000.
0:48:55 > 0:49:00I'd like to value it at more but there is a lot of choice for this kind of house in the area,
0:49:00 > 0:49:04which does keep the prices down slightly.
0:49:04 > 0:49:09Based on those figures, they'd make a profit of between £10,300
0:49:09 > 0:49:13and £25,300 before taxes and expenses.
0:49:13 > 0:49:18- Bit of a variation, wasn't there? - Yeah.- So, yeah. That's good.
0:49:18 > 0:49:21So that's good. But it's going to be a long-term
0:49:21 > 0:49:24- investment, isn't it? - We're not thinking of selling it.
0:49:24 > 0:49:30Better find out what rental valuation these two local estate agents would suggest.
0:49:30 > 0:49:37If this was to go on the rental market, I would suggest an asking price of £575 per calendar month.
0:49:37 > 0:49:39The rental market is very buoyant in Telford.
0:49:39 > 0:49:44I would value the property for rent at £575 per calendar month.
0:49:44 > 0:49:47We're renting it out for 550, it's being rented out for.
0:49:47 > 0:49:52So, yeah, that's what we originally got a guideline price of, didn't we?
0:49:52 > 0:49:55Yes. We could have possibly rented it out ten times,
0:49:55 > 0:49:58the amount of people that approached us when we bought it.
0:49:58 > 0:50:04We're happy with the people who are moving in. Nice family. Yeah. So, well pleased.
0:50:04 > 0:50:08What does the future hold for this hard-working couple?
0:50:08 > 0:50:13- Auctions next week, isn't it?- Back to the auctions.- Here we go again.
0:50:15 > 0:50:20We're back on the outskirts of Durham in the commuter village of Brandon
0:50:20 > 0:50:24to find out how ex-music industry maestro Crichton
0:50:24 > 0:50:28got on with the red-brick house with almost too many possibilities.
0:50:28 > 0:50:33The two-bedroom semi was a riot of red brick with pillars in the porch
0:50:33 > 0:50:35and loads of potentially usable space.
0:50:35 > 0:50:37In the roof, there was a loft.
0:50:37 > 0:50:42Downstairs off the kitchen, there was a utility room ripe for conversion.
0:50:42 > 0:50:45The question was, what to convert the spaces to?
0:50:46 > 0:50:49It's adaptable. It's a bit like a TARDIS.
0:50:49 > 0:50:51If you look at it from the outside, it's a small cottage.
0:50:51 > 0:50:54We can make it a lot bigger.
0:50:54 > 0:50:56Crichton doesn't hang around.
0:50:56 > 0:51:01He'd found a buyer before he even started the refurbishment. So time was of the essence.
0:51:01 > 0:51:08He paid £37,500 for it and planned to turn it around in a maximum of six weeks with a budget of 10,000.
0:51:10 > 0:51:14Well, we've come back just over seven weeks later to see if Crichton
0:51:14 > 0:51:18has managed to do a quick fix on this flexi house.
0:51:18 > 0:51:21# If you're looking for fast love
0:51:21 > 0:51:26# Fast love in your eyes
0:51:26 > 0:51:27# It's more than enough
0:51:27 > 0:51:30# Had some bad love
0:51:30 > 0:51:35# Some fast love is all that I've got
0:51:35 > 0:51:38# On my mind
0:51:38 > 0:51:40# Ooh, ooh, baby baby #
0:51:40 > 0:51:45I'm very pleased. We said it would take six weeks and it came in within six weeks.
0:51:45 > 0:51:49Originally, we were going to create the additional room on the ground floor.
0:51:49 > 0:51:52But what we changed is the access to that room.
0:51:52 > 0:51:55The original access was through the kitchen.
0:51:55 > 0:52:00So we decided to block that kitchen up and knock a new access through from the sun lounge.
0:52:00 > 0:52:03The actual bedroom is made up of wasted spaces.
0:52:03 > 0:52:06None of the walls in there were supporting walls.
0:52:06 > 0:52:12So we removed all of those walls and created a 12-foot-square bedroom with a little study area.
0:52:12 > 0:52:18Turning a two-bedroom property into a three-bedroom one is a very smart move.
0:52:18 > 0:52:23And the improvement to the front of the property is a nice little bonus.
0:52:23 > 0:52:25How many porches does a house need anyway?
0:52:25 > 0:52:29Porch at the front, it went in a skip.
0:52:29 > 0:52:33We didn't know what function it served. It was two-feet deep.
0:52:33 > 0:52:37We just ripped it all out, exposed the front of the house.
0:52:37 > 0:52:40Then completely repainted the front.
0:52:40 > 0:52:43As far as I'm concerned, it looks 100 times better.
0:52:44 > 0:52:49Upstairs, in the master bedroom, the old bright colour scheme has been toned down.
0:52:49 > 0:52:55Now both upstairs bedrooms are bright and inviting.
0:52:55 > 0:52:57When we started the property,
0:52:57 > 0:53:02we decided right from the beginning, new bathroom.
0:53:02 > 0:53:04The electrics were redone with a consumer board.
0:53:04 > 0:53:09There's a new heating system with a combi boiler and new radiators.
0:53:09 > 0:53:12It's been fully decorated inside and out.
0:53:12 > 0:53:15New carpets. Project complete.
0:53:15 > 0:53:19Crichton's enlarged the space without having to get planning permission.
0:53:19 > 0:53:22So no extension in that attic.
0:53:22 > 0:53:25But is there anything he regrets?
0:53:25 > 0:53:29There's always little snags. If there was going to be one area I'd moan about
0:53:29 > 0:53:33it's my decision not to turf around the back and put grass seed.
0:53:33 > 0:53:38The weather in the north, within about a week we'd had two real
0:53:38 > 0:53:43cold frosts and it just stopped the grass growing virtually immediately.
0:53:43 > 0:53:45We'd like to keep the property in our portfolio.
0:53:45 > 0:53:50However, we made a commitment to an investor at the start, it's now going trough the conveyancing.
0:53:50 > 0:53:55Then we'll find a tenant and we'll manage the tenancy on her behalf.
0:53:55 > 0:53:59The deal may be done with the investor but it's time to find out
0:53:59 > 0:54:03if the numbers add up to a fast buck as well as a fast turnaround.
0:54:03 > 0:54:06Crichton bought the house for 37,500
0:54:06 > 0:54:09and spent 11,000 on the refurbishment.
0:54:09 > 0:54:15Bringing his total investment to £48,500 before tax and expenses.
0:54:16 > 0:54:20What do two local estate agents think of the work done here?
0:54:20 > 0:54:24I think that the property has been done to a reasonable standard.
0:54:24 > 0:54:26It should appeal to first-time buyers.
0:54:26 > 0:54:30The addition of a third bedroom should make it appeal to families.
0:54:30 > 0:54:35I feel the refurbishment of the property has been done to a reasonable standard.
0:54:35 > 0:54:38I feel in areas it could have been finished better.
0:54:38 > 0:54:41But adding the third bedroom has added a lot to the property.
0:54:41 > 0:54:46That third bedroom was definitely a good idea.
0:54:46 > 0:54:49So what do the estate agents think the place is now worth?
0:54:49 > 0:54:54In its refurbished condition, I think this property would achieve £80,000.
0:54:54 > 0:54:57Had the property been finished to a higher standard,
0:54:57 > 0:55:00this would have added a few thousand pounds to its sale price.
0:55:00 > 0:55:03If I was to put the property on the market today,
0:55:03 > 0:55:06I would advise an asking price of £90,000
0:55:06 > 0:55:09to achieve between 80 and £85,000.
0:55:09 > 0:55:14Based on those figures, that would mean a profit for Crichton
0:55:14 > 0:55:16of between 31,500 and £36,500
0:55:16 > 0:55:19before tax and expenses.
0:55:19 > 0:55:24We carry out our own valuations using a local valuer.
0:55:24 > 0:55:27So those figures are pretty close.
0:55:27 > 0:55:31We have accepted an offer on the property of £85,000. So we're quite happy.
0:55:31 > 0:55:36Remember, Crichton will find tenants and manage the property on behalf of the buyer.
0:55:36 > 0:55:39What could it attract on the rental market?
0:55:39 > 0:55:46I feel this property would achieve £400 to £425 per calendar month.
0:55:46 > 0:55:51If the property was to go on the rental market, I'd expect it to go to a young couple or small family.
0:55:51 > 0:55:56And should achieve between £425 and £450 per calendar month.
0:55:56 > 0:55:59I think they're quite good. They're representative of the area.
0:55:59 > 0:56:05However, we've put a third bedroom on, we've got a conservatory a lot of other properties don't have.
0:56:05 > 0:56:10And we've got new everything. We've achieved a higher rental on that of 500 a month.
0:56:10 > 0:56:12Which we're quite happy about.
0:56:12 > 0:56:16# What you're going to do #
0:56:16 > 0:56:20What does the future hold for Crichton and his property partners?
0:56:20 > 0:56:24This project's been the easiest one of all we've done.
0:56:24 > 0:56:27And that's to do with the way we got the property.
0:56:27 > 0:56:31The condition the existing property was in.
0:56:31 > 0:56:33We like Brandon as a village.
0:56:33 > 0:56:36If we can get more property in Brandon, we'd snap them up.
0:56:39 > 0:56:43Whether it's a bungalow, a mansion or a piece of land,
0:56:43 > 0:56:46we'll be here to see what happens to it next time on Homes Under The Hammer.
0:56:46 > 0:56:49- So make sure you join us then. - Goodbye.- Goodbye.
0:56:51 > 0:56:53Subtitles by Red Bee Media Ltd