0:00:02 > 0:00:07Hello. You never know what you'll find in a property auction catalogue.
0:00:07 > 0:00:11It could be a tiny terrace, a super semi or a monster of a mansion.
0:00:11 > 0:00:16You'll find them all when you go to the auctions.
0:00:41 > 0:00:45Visiting a property before you buy it is an absolute must.
0:00:45 > 0:00:49It is the only way of really knowing what you are getting.
0:00:49 > 0:00:55It's advisable to get a survey done because you never know what old plaster is hiding.
0:00:55 > 0:00:57So what have we got for you today?
0:00:58 > 0:01:02In Derby, double doors make me definitely undecided.
0:01:02 > 0:01:04Two ways in?
0:01:05 > 0:01:08Take your pick, really.
0:01:08 > 0:01:13In Dartford, Kent, this lean-to is certainly a room without a view.
0:01:13 > 0:01:17Get rid of this. It's just a pane of glass, then the neighbour's wall.
0:01:18 > 0:01:23And a case of "If it ain't broke, don't fix it" in County Durham.
0:01:23 > 0:01:28Which all leads to the conclusion that there really isn't a lot to do.
0:01:29 > 0:01:35All these properties have been sold at auction. We'll find out who bought them and what they paid
0:01:35 > 0:01:38when they went under the hammer.
0:01:46 > 0:01:53No, we're not here for a derby, but we are here to look at a property IN Derby.
0:01:53 > 0:02:00This East Midlands city beautifully combines the old with the new and is host to bustling markets.
0:02:00 > 0:02:03I wonder if today's lot will offer a bargain.
0:02:03 > 0:02:09Well, I've come just a couple of miles outside Derby to this popular residential estate
0:02:09 > 0:02:16and a house that went to auction at a guide price of £68,000 plus. Three-bedroom semi-detached.
0:02:16 > 0:02:21It benefits from the corner plot, so you've got this quite extraordinary garden.
0:02:21 > 0:02:25The house itself, well, two ways in.
0:02:26 > 0:02:30Take your pick, really.
0:02:31 > 0:02:38A bit confusing, that, but once you are inside this little entrance vestibule,
0:02:38 > 0:02:42into the kitchen. Now it's an interesting shape.
0:02:42 > 0:02:48It's very strange to have that odd angle there. It doesn't look to be in too bad condition.
0:02:48 > 0:02:52I'm being a bit generous there. I'd replace that if you could.
0:02:52 > 0:02:58An understairs cupboard and then through to what should be the main entrance, but is currently not.
0:02:58 > 0:03:04Out through this door, you've got your entrance porch. Clearly isn't used as the main entrance any more.
0:03:04 > 0:03:10Not quite sure why. You might want to think about reinstating that. That's the natural place.
0:03:10 > 0:03:16Stairs up to your bedrooms there and then through into a really nice-sized lounge.
0:03:16 > 0:03:21I mean... At some stage, my guess is, this has been knocked through,
0:03:21 > 0:03:28but it creates this wonderful space. So that side not so good, this side, big tick.
0:03:31 > 0:03:34# Tick my box! #
0:03:34 > 0:03:41But I don't just tick the box for anything and it's a big red cross for the conservatory.
0:03:41 > 0:03:45It's not doing anything for me or the property.
0:03:45 > 0:03:49I think this lean-to should get the big heave-ho.
0:03:54 > 0:03:59So what's on offer up the stairs? Oh, that's quite nice.
0:03:59 > 0:04:03A bit of a landing area here which gives an open feel.
0:04:03 > 0:04:08Bathroom and loo there. That needs a bit of work, for sure.
0:04:08 > 0:04:14Then you've got three bedrooms - small one, good-sized double and a reasonable double here.
0:04:14 > 0:04:20That's not so brilliant. It was all looking so good and then you come up to this rear bedroom
0:04:20 > 0:04:24and there's obviously been a bit of water ingress.
0:04:24 > 0:04:31My guess is you wouldn't have to poke around too much with the roof to discover a small leak.
0:04:31 > 0:04:38That's led to that. I don't think it's too major as long as it hasn't gone into the joists.
0:04:38 > 0:04:43All in all, this is not a major job. And that's good.
0:04:43 > 0:04:48'Whilst I don't really think it's good that they've swapped the main door,
0:04:48 > 0:04:53'this one I entered through attaches to a brick storage room
0:04:53 > 0:04:56'and a covered walkway to the back garden.'
0:04:56 > 0:04:58Inside's quite neat and tidy.
0:04:58 > 0:05:04Step outside into the rear of it and it is - whoa! - a bit of a surprise.
0:05:04 > 0:05:08You've got quite a few outbuildings, some sheds,
0:05:08 > 0:05:14a few greenhouses. I mean, just... Yeah. If you like your sheds, this is perfect.
0:05:14 > 0:05:21And then you've got this conservatory area here and this quite extraordinary garden.
0:05:21 > 0:05:28This was obviously someone's pride and joy and in such a small garden as this it's incredible.
0:05:28 > 0:05:35Whether it's to everyone's taste is another matter, but I guess it's down to whoever's bought it.
0:05:35 > 0:05:38'Low maintenance this isn't, but I love it.
0:05:38 > 0:05:42'However, while keen gardeners might welcome the chance,
0:05:42 > 0:05:48'it might be that if it was for a young family, it might be wise to fill in that little pond for safety.
0:05:48 > 0:05:54'I do think some of the outbuildings might have to join the same skip as the lean-to.
0:05:54 > 0:06:02'That would allow space to play or sit in the sun. The back has more privacy than the front garden.
0:06:04 > 0:06:11'The house had a guide price of £68,000 plus. We invited the auctioneer round and asked
0:06:11 > 0:06:13'how this compared locally.'
0:06:13 > 0:06:19It's a typical ex-local authority house. Three-bed, semi-detached.
0:06:19 > 0:06:25Interestingly, there are several build types on the estate.
0:06:25 > 0:06:28Some are pre-fabricated, some brick.
0:06:28 > 0:06:32This one is brick, so it comes to the top of the tree, really.
0:06:33 > 0:06:38Solid, well-constructed, immediately post-war
0:06:38 > 0:06:42and it probably just wants a bit of a refit, but it's fine.
0:06:42 > 0:06:49'Once renovated, the experts think the house could sell for between £100,000 and £110,000,
0:06:49 > 0:06:53'but what could it earn on the rental market?'
0:06:53 > 0:07:01From a rental point of view, once renovated and upgraded, it would be in the region of £525 per month.
0:07:02 > 0:07:08Well, for someone who loves their gardens, this property is an absolute delight.
0:07:08 > 0:07:14Once you go inside, too, I think it's a good one to go for. Let's see who agreed.
0:07:17 > 0:07:20A three-bedroom, semi-detached house,
0:07:20 > 0:07:23requires some upgrading and improvement.
0:07:23 > 0:07:28Start me where you will. Who's got 65,000 to move it on?
0:07:28 > 0:07:3365? 65 I have, thank you. At 65,000 and well worth it.
0:07:33 > 0:07:3566 I've got. 67.
0:07:35 > 0:07:3968. 69.
0:07:39 > 0:07:4170,000. 71.
0:07:41 > 0:07:4672? Don't stop yet. You've not bought it. £71,000. 72?
0:07:46 > 0:07:5172. 73. 73. It's worth another shot.
0:07:51 > 0:07:5574. 75. 76. 77.
0:07:55 > 0:07:5877 is the bid. 78?
0:07:58 > 0:08:01No? 77,000.
0:08:01 > 0:08:05500 tempt you? At £77,000 once.
0:08:05 > 0:08:1077,000 twice. Third and last opportunity. All done?
0:08:10 > 0:08:13Sold at 77. It's yours, sir.
0:08:13 > 0:08:19That very calm and collected bidder who picked up this property for £77,000 is Steve.
0:08:19 > 0:08:23He and his young family have just returned from living abroad.
0:08:23 > 0:08:27I met him back at his new pad to find out more.
0:08:27 > 0:08:32- Steve, good to meet you.- And you. - Congratulations.- Thank you.
0:08:32 > 0:08:38- Interesting little property. - Yeah. It's going to be a fair bit of work, mainly outside,
0:08:38 > 0:08:42- but I'm looking forward to it. - So tell me why you wanted to buy it.
0:08:42 > 0:08:46This is a bit of a new career for me, hopefully.
0:08:46 > 0:08:50I've been living in Prague for the past year, with my wife.
0:08:50 > 0:08:54She's just given birth about nine months ago. We've got a new son.
0:08:54 > 0:08:59- Congratulations.- Thanks, yeah. So basically moving back to England
0:08:59 > 0:09:06- and looking for a way to make some money and this is it. - Great. What was Prague like?
0:09:06 > 0:09:12Lovely, yeah. My wife's Czech, so that was one of the reasons we moved out there.
0:09:12 > 0:09:19She wanted to give birth over there to be close to her family and friends. It all worked out well.
0:09:19 > 0:09:24I learned a bit of the language, got to know the place a bit better.
0:09:24 > 0:09:27Wow. What prompted the move back?
0:09:27 > 0:09:31Well, it was only ever really intended to be temporary.
0:09:31 > 0:09:37I'd had a business that I'd sold prior to leaving to Prague.
0:09:37 > 0:09:41Part of the move was to have the baby over there,
0:09:41 > 0:09:45the other part was to recover from the stress of the business.
0:09:45 > 0:09:50And we'd always planned to come back so, yeah, this is it.
0:09:50 > 0:09:58- So do you have somewhere to live? - Living with parents. We're buying a family home to live in.
0:09:58 > 0:10:04And so, hopefully, I'm looking to maybe get this finished before we move on to that place.
0:10:04 > 0:10:09Actually, that's in a worse state than this place!
0:10:10 > 0:10:14'Taking on two properties at once? Brave man!
0:10:14 > 0:10:20'Steve's previous business was in the betting industry. Hopefully, this won't be too much of a gamble.
0:10:20 > 0:10:25'He's never taken on a full refurbishment before, although he has done DIY
0:10:25 > 0:10:30'and has someone on hand to help here.'
0:10:32 > 0:10:36My mum, who's 64 now, she's excellent with tiling.
0:10:36 > 0:10:40- She's done about five bathrooms, all to a pretty good standard.- Wow!
0:10:40 > 0:10:46And she's just retired, so she's going to be very keen to come down and help me out.
0:10:46 > 0:10:49I won't be able to keep her away!
0:10:49 > 0:10:52You want to encourage her in!
0:10:52 > 0:10:57She's 64 now, so I don't want her to get involved too much,
0:10:57 > 0:11:03but hopefully I can learn some of the tiling skills and bathrooms and so on. It's good to have.
0:11:03 > 0:11:06So tell me what you're going to do.
0:11:06 > 0:11:13I'm going to start outside in because there's a huge amount of rockery
0:11:13 > 0:11:20and there must be half a dozen outbuildings. I'll clear the whole area. I've got a skip tomorrow.
0:11:20 > 0:11:25We'll get cracking on that, clear the whole thing out and see where we are.
0:11:25 > 0:11:31- The pond, all that's going? - Yeah, the pond's going. I've got to find a new home for the fish.
0:11:31 > 0:11:37The lady next door has her own pond, so I'm hoping she might rehouse them for me.
0:11:37 > 0:11:44- And the conservatory/greenhousey thing on the outside? - That's going to have to go.
0:11:44 > 0:11:50It takes up half that back garden and it's a bit ancient. We'll take that down with everything else.
0:11:50 > 0:11:54- How many skips have you got coming? - Well, I've got one large one.
0:11:54 > 0:12:00I don't imagine it'll be the only one. We'll fill it up and see.
0:12:00 > 0:12:04'It seems a shame that all the features in this garden are going,
0:12:04 > 0:12:08'but with Steve's aim to sell the house on as soon as possible,
0:12:08 > 0:12:12'low maintenance is the name of the game when it comes to gardens.
0:12:12 > 0:12:17'Once the outside is sorted, he can turn his attention to the inside.
0:12:17 > 0:12:23'He is planning a new kitchen and bathroom, plus redecoration throughout,
0:12:23 > 0:12:27'as well as new electrics and central heating. Not a short list.
0:12:27 > 0:12:33'And his maximum budget is £15,000. The plan is then to sell the property on,
0:12:33 > 0:12:38'but how long it will take is still not definite.'
0:12:41 > 0:12:43So what's the timescale?
0:12:43 > 0:12:47I'm sort of originally hoping 2-3 months,
0:12:47 > 0:12:53but we're in the process of buying a family home and that may have to take precedence over this,
0:12:53 > 0:13:00depending on when all of that goes through. So it could be that it ends up being a bit longer,
0:13:00 > 0:13:06maybe up to six months, but hopefully I'll be able to get cracking straight away, finish off this
0:13:06 > 0:13:12and then move on to the family home and start doing bits and bobs with that.
0:13:12 > 0:13:17- Great. Well, congratulations.- Thank you.- Good luck with it.- Cheers.
0:13:17 > 0:13:20- Enjoy being a dad and we'll see how you get on.- Thanks.
0:13:22 > 0:13:28So dramatic changes in store for the house, but even bigger changes for out here in the garden.
0:13:28 > 0:13:36It's going to be very different when we come back, but will Steve find somewhere to rehouse the fish?
0:13:36 > 0:13:39Find out later in the show.
0:13:41 > 0:13:48Dartford in Kent is all about connections - road links to London and the south east
0:13:48 > 0:13:54and around 40 minutes by train to Charing Cross. But this station has a different claim to fame.
0:13:54 > 0:14:00It was right here a teenage Mick Jagger bumped into Keith Richards and the rest is history.
0:14:00 > 0:14:05While we all know with property that you can't always get what you want,
0:14:05 > 0:14:09fingers crossed the house today is hot stuff.
0:14:09 > 0:14:11# Hot stuff! #
0:14:11 > 0:14:16The property I'm here to see is very close to those fabulous Dartford road links
0:14:16 > 0:14:20and just off a busy roundabout. An issue for some, not for others.
0:14:20 > 0:14:25And the house itself is a semi-detached three-bedroom home
0:14:25 > 0:14:29that had a guide price of £110,000-£120,000.
0:14:29 > 0:14:35'The house has off-street parking, which is essential. It looks like a classic 1940s semi
0:14:35 > 0:14:38'in need of some TLC.'
0:14:38 > 0:14:42Well, a really pleasant space to walk into.
0:14:42 > 0:14:48All the rooms go off this hallway and it feels really homely straight away.
0:14:48 > 0:14:53You've got a little room tucked away here, some storage space,
0:14:53 > 0:14:57a sitting room to the front which is a decent size.
0:14:57 > 0:15:01Second reception room - could be a dining room.
0:15:01 > 0:15:05A little loo tucked round here. And the kitchen.
0:15:05 > 0:15:12It's obviously dated like the rest of the house. Very '70s indeed, but I do like this L shape.
0:15:12 > 0:15:19You can imagine once this has been transformed to be clean and crisp, it will look fantastic. Great views.
0:15:19 > 0:15:26And through these rather weird sliding doors into a lean-to conservatory.
0:15:26 > 0:15:30It's not a solid structure. This is an outside wall.
0:15:30 > 0:15:34I think I'd be inclined to put something permanent here.
0:15:34 > 0:15:38You could then have the kitchen coming out to a nice breakfast room.
0:15:38 > 0:15:43Get rid of all this. That's just glass and then the neighbour's wall.
0:15:43 > 0:15:50But I'm not sure what I'd do in that area. Incorporate it as part of the kitchen space or brick it up?
0:15:50 > 0:15:56It depends what sort of family you are and how big you like your open spaces.
0:15:56 > 0:16:01Some nice big French doors leading out to the garden and you could have a really nice family home.
0:16:01 > 0:16:07Just imagine - bi-fold doors opening out to this lovely garden on a warm summer's day
0:16:07 > 0:16:12with the kids playing hide and seek around this hidden garden.
0:16:12 > 0:16:20# There's a secret garden she has... #
0:16:20 > 0:16:26But while the ground floor rooms are generously sized, upstairs is not.
0:16:26 > 0:16:34There are just two bedrooms with a far from blooming bathroom in the middle. All rather disappointing.
0:16:34 > 0:16:38So you've got two bedrooms and a bathroom.
0:16:38 > 0:16:42That little box room downstairs must be the third bedroom then.
0:16:42 > 0:16:46I'd like to see a third bedroom upstairs. Is that a possibility?
0:16:46 > 0:16:51Yes, I think it is. This bathroom is just an extension on the roof.
0:16:51 > 0:16:58I looked outside and you could extend either side of this to make one big, long extension.
0:16:58 > 0:17:03You may not need to do that, but the opportunity is there.
0:17:03 > 0:17:08That little ground floor room - it's a bit optimistic to describe it as a bedroom.
0:17:08 > 0:17:12I'm not sure you'd get a double bed in.
0:17:12 > 0:17:16Extend upstairs, however, as the neighbours have,
0:17:16 > 0:17:23and you could have three proper bedrooms, but it's only worth it if you're planning on living here.
0:17:23 > 0:17:27Apart from the lack of space, there are also some damp issues.
0:17:27 > 0:17:34But, in general, for that £110,000-£120,000 guide price,
0:17:34 > 0:17:36it's a solid-looking house.
0:17:37 > 0:17:42Time to ask a local property expert what she thinks of it.
0:17:42 > 0:17:47My first impression is a lot larger inside than it looks from outside.
0:17:47 > 0:17:54It does look very tired and there is a considerable amount of work to do, but it will be worth doing.
0:17:54 > 0:18:00Will the place benefit from extending to create that new third bedroom?
0:18:00 > 0:18:05I think it will be worth it. The ground-floor bedroom is small
0:18:05 > 0:18:11and the bathroom is quite big. It may be a case of reducing the size of the bathroom for a bigger bedroom.
0:18:11 > 0:18:16How would the figures stack up with a straightforward renovation?
0:18:16 > 0:18:22I think the resale value would be in the region of £220,000-£230,000.
0:18:23 > 0:18:28If you added another bedroom upstairs, you could increase the value by £15,000.
0:18:28 > 0:18:33If whoever bought this got it near the guide price of £110,000-£120,000
0:18:33 > 0:18:37even with renovation costs it seems a promising investment.
0:18:37 > 0:18:43If an investor bought this as a buy-to-let, what kind of rental returns might they expect?
0:18:43 > 0:18:49The rental value for this property I would put at £800-£850 per calendar month.
0:18:49 > 0:18:55If you added in an extra bedroom, you could probably ask for another £50 per month.
0:18:55 > 0:19:00This is a straightforward, easy-peasy property in a good area
0:19:00 > 0:19:05with scope for an extension if somebody fancies. I wonder who that was.
0:19:09 > 0:19:12Lot 12 we go to now.
0:19:12 > 0:19:18Start me where you will on that one. 120? Top of the guide price. 120?
0:19:18 > 0:19:24110, then? Start me where you will. 110. 112. 115. And 18.
0:19:24 > 0:19:30118. 120. And two. 122. 124. 126. 128.
0:19:30 > 0:19:33And 30. And two. 32. 32.
0:19:33 > 0:19:3734. 36. 38.
0:19:37 > 0:19:41- And 40.- There were several keen bidders trying to purchase this lot.
0:19:41 > 0:19:45We rejoin the auction when the bidding's reached £160,000.
0:19:45 > 0:19:48160. And two. 162.
0:19:48 > 0:19:54162. 164. 166. 170, can I say? 170.
0:19:54 > 0:19:57170 I'm bid. 175 now.
0:19:57 > 0:20:01175. 180 I've got. He wants it. 180.
0:20:01 > 0:20:03185. 185.
0:20:03 > 0:20:05190. 190. Yes?
0:20:05 > 0:20:09190. And five. 195?
0:20:09 > 0:20:11Two I'll take. 192.
0:20:11 > 0:20:13195? 195.
0:20:13 > 0:20:19197? It's against you, ladies. It's in the front row at 195.
0:20:19 > 0:20:23For the first time at 195. Second time at 195.
0:20:23 > 0:20:27Third and final time at £195,000. In the front row. All done?
0:20:27 > 0:20:30Well done, sir. 195.
0:20:30 > 0:20:37Those successful bidders were Terry and Dolores, there with their son Ian and granddaughter Kelsey.
0:20:37 > 0:20:43Terry and Dolores are in the property development game, but they're not exactly local.
0:20:43 > 0:20:50I'm here to discover why they've exchanged sunny Spain where they live for a dreary day in Dartford.
0:20:50 > 0:20:56Terry and Dolores, congratulations. Why did you want to buy this house?
0:20:56 > 0:21:00Our granddaughter lives three minutes' walk from this very house
0:21:00 > 0:21:08and her school is five minutes' walk. We don't see much of her in Spain, so we thought we'd buy a house
0:21:08 > 0:21:12and the rest of the family are in the area. What is going to happen now
0:21:12 > 0:21:18is our sons will look after the house and when we come back from Spain - not very often - we'll stay here
0:21:18 > 0:21:24- and she can come and see us. - How is it working out for you two living in Spain and here?
0:21:24 > 0:21:26It works out fantastic.
0:21:26 > 0:21:33For the years that we have lived in Spain, we can still run our business from over there.
0:21:33 > 0:21:39It's wonderful. We have our two sons here if we have any problems and they do the troubleshooting.
0:21:39 > 0:21:46But we run it all from Spain. We're still keeping busy, buying the odd property here and there,
0:21:46 > 0:21:49both overseas and in the UK.
0:21:49 > 0:21:57- So you're retired property developers?- We didn't go to Spain to develop. We went to live and retire.
0:21:57 > 0:22:03But what actually happened was the first villa, it started off as a three-bed,
0:22:03 > 0:22:09but now I've turned it into six doubles - five bathrooms, two kitchens,
0:22:09 > 0:22:12a garage, terraces. That was our first house.
0:22:12 > 0:22:15- And swimming pool? - And a swimming pool!
0:22:15 > 0:22:19# Twistin' by the pool We're twistin' by the pool
0:22:19 > 0:22:25# We're twistin' by the pool Twistin', twistin' by the pool... #
0:22:26 > 0:22:30Well, I reckon Terry didn't need his arm twisted to start again.
0:22:30 > 0:22:38Once a developer, always a developer. He clearly has the bug. What are his plans for this place?
0:22:38 > 0:22:44We've discussed it, but we only arrived yesterday and only came into the house for the first time.
0:22:44 > 0:22:48But our eldest son viewed the property on our behalf
0:22:48 > 0:22:53and said it's got a bit of damp, but we can do it.
0:22:53 > 0:22:58So that was that. Obviously, new kitchen, new bathroom.
0:22:58 > 0:23:03I want to put a shower room downstairs, conservatory gone, brick up, flat roof.
0:23:03 > 0:23:08New patio doors, new windows, rewire.
0:23:08 > 0:23:10Total refurb. Total.
0:23:10 > 0:23:13- I might keep the carpets.- Stop it!
0:23:13 > 0:23:16I like your style!
0:23:16 > 0:23:22Aha! Well, I hope he IS joking! The pair have around £25,000 for the work
0:23:22 > 0:23:28and have given themselves three months to get it done. That should be ample with Terry's contacts.
0:23:28 > 0:23:33That small downstairs room will be a bedroom for their granddaughter.
0:23:33 > 0:23:37But have they considered extending upstairs?
0:23:37 > 0:23:42I've thought about it, but it won't put any value on the house. That's my opinion.
0:23:42 > 0:23:47- I think it's big enough anyway. - Perfect for what you need it for.
0:23:47 > 0:23:51My next question: how are you going to work this area here?
0:23:51 > 0:23:58You're going to sort of have a nice kitchen space there. Will you have a wall here? Keep it open-plan?
0:23:58 > 0:24:04I'll put an RSJ between the kitchen and the conservatory, knock the wall down each side,
0:24:04 > 0:24:07this is coming out, an archway here.
0:24:07 > 0:24:11- So it will be kitchen, conservatory, dining room.- So lots of flow.
0:24:11 > 0:24:17A really nice big, open space looking out onto your garden, then a cosy sitting room.
0:24:17 > 0:24:23With natural light coming in as much as possible so that it's nice and bright.
0:24:23 > 0:24:30When it's all finished, hopefully it will be good, light colours that reflect everything.
0:24:30 > 0:24:34Does this excite you two? Is this really what you want to be doing?
0:24:34 > 0:24:41- Yes.- Or might you want to stay in Spain and let your son do most of the work?
0:24:41 > 0:24:45No, I want to be here and oversee it.
0:24:45 > 0:24:49This is what I enjoy doing. This is what we're retired from,
0:24:49 > 0:24:55- but we now have a portfolio in Spain. I'm like you. I can't stop. - I know!- I wish I had your job!
0:24:55 > 0:25:02I have got the best job. So it's obvious that Terry's passion is property. What's yours?
0:25:02 > 0:25:07My passion is also property, but I do love my sport.
0:25:07 > 0:25:11And, in particular, golf. I do enjoy my golf very much,
0:25:11 > 0:25:16so when Terry's doing the property, usually I'm out on the golf course.
0:25:16 > 0:25:21- In Spain or in England?- Both! - Really? How long have you played?
0:25:21 > 0:25:28- Since 1981.- Is she good? - She IS good. She was lady captain at Sidcup and I always say it's luck,
0:25:28 > 0:25:31- but she's had three holes in one. - Wow!
0:25:31 > 0:25:35Congratulations. I can't wait to see what you do in the three months.
0:25:35 > 0:25:40- Thank you. Our pleasure. - We'll be back to check up! - Thanks, Lucy.
0:25:40 > 0:25:44So price-wise I'm not quite sure this place is a hole in one,
0:25:44 > 0:25:48but it is a fabulous part-time home for Terry and Dolores.
0:25:48 > 0:25:54I can't wait to see how it's transformed. Join us later in the show to see for yourselves.
0:25:54 > 0:26:01Coming up: in County Durham I find myself weighing up the options for this semi-detached property.
0:26:04 > 0:26:11Back in Dartford, Kent, how have Terry and Dolores approached their house renovation?
0:26:11 > 0:26:15- Thrown a lot of money at it and a lot of labour!- Yes!
0:26:15 > 0:26:21But first, in Derby, Steve has some useful advice.
0:26:21 > 0:26:24Don't take on too much in one go!
0:26:26 > 0:26:33We're back in Derby now to catch up with Steve. He purchased this three-bed semi for £77,000.
0:26:33 > 0:26:40Whilst the inside looked like it needed a fairly standard renovation, outside was different.
0:26:40 > 0:26:47This was a house with two front doors, too many outbuildings to count and a very ornate garden.
0:26:47 > 0:26:52If these challenges weren't enough, Steve had some more in store.
0:26:52 > 0:26:58We're living with parents at the moment. We're in the process of buying a family home to live in.
0:26:58 > 0:27:05So hopefully I'm looking to maybe get this finished before we move on to that place.
0:27:05 > 0:27:08- That's in a worse state than this. - Right.
0:27:08 > 0:27:15That's right. Two house renovations at once. With his family home, his new career in property
0:27:15 > 0:27:20and a maximum timescale of just six months, the stakes were high.
0:27:20 > 0:27:23Well, one year later, we're back.
0:27:31 > 0:27:38The outside couldn't look more different. The greenery has gone and been replaced by hard landscaping.
0:27:38 > 0:27:46It gives a much more direct route to the one front door instead of two. Very sensible.
0:27:46 > 0:27:52While I'm intrigued to see inside, it was the outside that presented the biggest challenge.
0:27:52 > 0:27:56So let's have a peek over the fence first.
0:28:00 > 0:28:05Crikey! Well, it's certainly a whole lot less cluttered
0:28:05 > 0:28:11and there's no doubting it's low maintenance. It's certainly practical, but less attractive.
0:28:11 > 0:28:16Where I'm standing now was probably inside one of the outbuildings.
0:28:16 > 0:28:22This entire area was really covered with sheds and greenhouses and various other things.
0:28:22 > 0:28:29This entire area was cleared. This side sloped away to the road. I've built a wall around the outside,
0:28:29 > 0:28:35levelled it all off, put some turf down and created a nice family garden, hopefully.
0:28:35 > 0:28:41He's certainly worked hard out here. So let's see how the inside is shaping up.
0:28:54 > 0:28:59Some great changes. Blocking up the second entrance allowed Steve
0:28:59 > 0:29:05to make the whole downstairs a bright, light, open-plan living room, dining area and kitchen.
0:29:05 > 0:29:11Whilst doing this project, he learnt to plaster and put those skills to use throughout.
0:29:11 > 0:29:16Also on hand, and a dab hand at tiling, was Steve's mum Margaret.
0:29:16 > 0:29:21She'd encouraged him from day one of this project.
0:29:23 > 0:29:30I went to the auction with Steve. We've both got a passion for auctions and property,
0:29:30 > 0:29:36so I went along, got sucked in and felt obliged to help him out.
0:29:36 > 0:29:41Because I always do tiling, I tiled the bathroom and kitchen.
0:29:43 > 0:29:48His mother's been working her magic. She's done a tremendous job and so has Steve.
0:29:48 > 0:29:55It has taken a year, but he's had to contend with renovating his family home, a bout of illness
0:29:55 > 0:30:02and the great British weather, which of course impacted on all that outside work.
0:30:02 > 0:30:08The unknown was the landscaping project. It was far too much to take on for me on my own.
0:30:08 > 0:30:12I didn't even have a labourer to help me out.
0:30:12 > 0:30:16Just a hell of a lot of hard work. If I was advising anybody,
0:30:16 > 0:30:21I'd say for a first project, stick to what you know you're capable of
0:30:21 > 0:30:25and don't take on too much in one go, really.
0:30:25 > 0:30:31I take my hat off to him. He's had a tricky time on this renovation, but he's still smiling.
0:30:31 > 0:30:36He hopes to take the lessons he's learned onto his next project and forge ahead
0:30:36 > 0:30:40as a property developer. So will his mum help next time?
0:30:43 > 0:30:49I don't know. I kept saying no. I just retired last year and this has been more like a hobby.
0:30:49 > 0:30:55The last time I put the last tile on the kitchen, I said, "I'm absolutely fed up with tiling,"
0:30:55 > 0:31:00so I'm saying no, but who knows? Never say never.
0:31:00 > 0:31:03Famous last words, Margaret.
0:31:03 > 0:31:09Steve planned to spend £10,000 on the work, but that's been pushed to £18,000.
0:31:09 > 0:31:15The additional outlay mostly went on the garden, but something did come out of the garden, too.
0:31:15 > 0:31:21There were some scrap metal merchants who came by and one took the fish
0:31:21 > 0:31:26and said it was for his dad's new pond. So they've gone to a good new home.
0:31:26 > 0:31:32Well, before I give in to temptation to make any fishy gags,
0:31:32 > 0:31:36let's find out what two local property experts make of this place.
0:31:36 > 0:31:40First up, the auctioneer who sold it.
0:31:40 > 0:31:45The change has been fairly dramatic and very pleasing, really.
0:31:45 > 0:31:49They've put a lot of imagination into it, done the right things,
0:31:49 > 0:31:53even changing the position of the footpath up to the front door.
0:31:53 > 0:32:00Logical, but would you have thought about doing it? Well, they have. So hats off to them.
0:32:00 > 0:32:05First thoughts are that it's a very appealing house from the outside.
0:32:05 > 0:32:10As you get inside, it doesn't fail to live up to its expectations.
0:32:10 > 0:32:14Talking of expectations, Steve bought this to sell on.
0:32:14 > 0:32:20He's overspent, mainly because of the landscaping work, so his outlay is now £18,000.
0:32:20 > 0:32:26Add that to his purchase price and he's invested a total of £95,000.
0:32:26 > 0:32:30So do the experts think he will make any profit?
0:32:30 > 0:32:36If this house went on the market, I think a sensible asking price would be about £120,000.
0:32:36 > 0:32:41I would market the property at a maximum of £125,000.
0:32:41 > 0:32:47That sounds about right. It's slightly more than we originally hoped for, but with the extra work
0:32:47 > 0:32:52on the landscaping, it's nice to know we've got that money back at least
0:32:52 > 0:32:58and it's on the market for 125. Hopefully we can achieve something close to that figure.
0:32:58 > 0:33:04If Steve does achieve £125,000 that would make his pre-tax profit a very well-earned £30,000,
0:33:04 > 0:33:07minus the usual tax and expenses.
0:33:09 > 0:33:15So after all that hard work outdoors, is he glad to get back indoors?
0:33:15 > 0:33:21Unfortunately, I've got my own garden that's just ready for seeding at the moment.
0:33:21 > 0:33:25So I've got to go from one to the other, unfortunately.
0:33:25 > 0:33:32It's nice to work outside. That was one of the attractions, especially when the weather's nice,
0:33:32 > 0:33:39but not so nice when it's covered in snow and minus two. That's probably more to the point, I think.
0:33:45 > 0:33:48Today I'm in County Durham
0:33:48 > 0:33:52and this is the village of Shotton Colliery.
0:33:52 > 0:33:57# Working in a coal mine going down, down, down
0:33:57 > 0:33:59# Working in a coal mine... #
0:33:59 > 0:34:07The village really came into its own in the 1840s when a coal mine was sunk locally.
0:34:07 > 0:34:13The mine's long gone, but the village remains. The property I'm here to see is this.
0:34:13 > 0:34:17Three-bedroom, semi-detached at a guide price of £39,950.
0:34:17 > 0:34:21Looks pretty solid from outside. Let's take a look inside.
0:34:21 > 0:34:27'Now, for your information, I am not leading you up the neighbour's garden path.'
0:34:27 > 0:34:30# She told me to walk this way
0:34:30 > 0:34:34# Talk this way Just gimme a kiss... #
0:34:34 > 0:34:42'It appears that access is shared between the two properties. I'd get my solicitor to doublecheck that.
0:34:44 > 0:34:47'The front garden looks pleasant enough. So far, so good.'
0:34:50 > 0:34:57I just noticed it looks like it's got a relatively recent electrical consumer unit, which is good news.
0:34:57 > 0:35:04So hopefully no rewire required. And in terms of the layout, pretty much what you might expect.
0:35:04 > 0:35:08Through the door, a little entrance area and stairs to your bedrooms,
0:35:08 > 0:35:13then into this main living room. It's a nice size. A gas-ish fire.
0:35:13 > 0:35:17Gas effect. You know what I mean.
0:35:17 > 0:35:23Probably replace that. It's a little bit dated. Then through this equally dated archway
0:35:23 > 0:35:28into the kitchen. Again, it's got a nice feel to it. A sort of open-plan feel
0:35:28 > 0:35:34with that archway through to the lounge there. A few negative points.
0:35:34 > 0:35:38This is the bathroom, the only one. Then over there is the loo.
0:35:38 > 0:35:44So they're off the kitchen. That's an unusual layout and certainly not ideal.
0:35:44 > 0:35:51It may be expected round here, but obviously in an ideal world you'd want to move it upstairs.
0:35:51 > 0:35:54Let's see if we can do that.
0:35:54 > 0:35:57# I'll lead you upstairs
0:35:58 > 0:36:02# Leading you up now... #
0:36:08 > 0:36:15Well, the good news is there is a room that you could potentially put a bathroom in,
0:36:15 > 0:36:21but the bad news is you would lose a bedroom. Given that the toilet and bathroom downstairs
0:36:21 > 0:36:27are not in bad nick and the rent, as a result of losing that bedroom, would be lower,
0:36:27 > 0:36:31I guess it comes down to that old thing of what are you buying for?
0:36:31 > 0:36:37If you rent it out, does it matter? If you're going to live here, does it bother you?
0:36:37 > 0:36:42Which all leads to the conclusion that there isn't a lot to do here.
0:36:42 > 0:36:47# I love you just the way you are... #
0:36:54 > 0:36:58I don't like the bathroom downstairs, but for a buy to let,
0:36:58 > 0:37:05moving it upstairs might not make any sense financially. It has central heating, double glazing,
0:37:05 > 0:37:10three bedrooms and large garden, so it's good to go for rental.
0:37:10 > 0:37:17But what does a local property expert make of this place and its guide price of £39,950?
0:37:17 > 0:37:22First impressions of the property are quite good, actually.
0:37:22 > 0:37:27It's in quite good order, especially for the rental market. Kitchen's nice, bathroom's OK.
0:37:27 > 0:37:32It's a little bit dated, but for rental purposes it'd be quite good.
0:37:32 > 0:37:37What could this property earn if it were put up for rental?
0:37:37 > 0:37:43The rental market is quite strong overall because the mortgage market is still quite fraught.
0:37:43 > 0:37:48If you placed it on the rental market, I'd expect £475 per calendar month.
0:37:48 > 0:37:51What about the resale market?
0:37:51 > 0:37:58With some minor improvements, neutralise it slightly, I would expect to achieve around £60,000.
0:37:59 > 0:38:06Well, there you go. It just goes to show it's not just the doer-uppers that come to the auctions.
0:38:06 > 0:38:11Nothing wrong with this place. Let's see who fancied it.
0:38:12 > 0:38:18Lot number 92. A well-maintained, three-bed, semi-detached property.
0:38:18 > 0:38:24It comes with gas central heating. It's got double glazing, refitted kitchen and bathroom.
0:38:24 > 0:38:30We've got this advertised with a price guide of £39,950 plus. Can I ask for 40,000?
0:38:31 > 0:38:3340,000 anywhere?
0:38:33 > 0:38:37How about 38? Without 38, I'm going to withdraw.
0:38:37 > 0:38:4038,000? Any bid at 38?
0:38:41 > 0:38:4338,000.
0:38:43 > 0:38:47Sorry. £38,000. Second row at 38,000.
0:38:47 > 0:38:5039 anywhere else? £38,000.
0:38:50 > 0:38:5239?
0:38:52 > 0:38:5639,000 anywhere else? The lady has bid at 39.
0:38:56 > 0:38:5840. 41?
0:38:58 > 0:39:0142. 43.
0:39:01 > 0:39:0344. 45.
0:39:03 > 0:39:0646. 47. 48.
0:39:06 > 0:39:0949. 50. 51?
0:39:09 > 0:39:1250,000 on the second row. 51?
0:39:12 > 0:39:18Gentleman's bid, second row, of £50,000. Do I have 51 anywhere else?
0:39:18 > 0:39:22I'll take 500 if it will help. I'm selling at £50,000.
0:39:22 > 0:39:26500? I'm going once at 50.
0:39:26 > 0:39:30It's your last chance. Second time at £50,000.
0:39:30 > 0:39:34Sold to the gentleman in the second row at £50,000.
0:39:37 > 0:39:43That successful bid of £50,000 came from Glyn, who used to be a joiner.
0:39:43 > 0:39:49Something tells me he won't be calling on those skills on this one. Or will he?
0:39:52 > 0:39:56- Glyn, good to meet you.- Thank you. - Congratulations.
0:39:56 > 0:40:01- Tell me why you wanted this place. - I bought it as a rental property.
0:40:01 > 0:40:05- I'm looking to expand into this area.- Right.
0:40:05 > 0:40:11- It sounds like something you've done before.- Yeah, I've been investing since 2002.- How's it gone?
0:40:11 > 0:40:13Good, yeah.
0:40:13 > 0:40:18- On the whole very good. I'm still actively purchasing.- Right.
0:40:18 > 0:40:22So how have you weathered the storm of the last ten years?
0:40:22 > 0:40:27It's been fine. We've been able to keep on adding to the portfolio
0:40:27 > 0:40:31and also now buy for other investors as well.
0:40:31 > 0:40:36- How many properties have you ended up with?- We have 65.- Oh, wow.
0:40:36 > 0:40:41Great. It's going OK? Tenant problems or not?
0:40:41 > 0:40:46Some, but on the whole we wouldn't keep on adding if it wasn't working.
0:40:46 > 0:40:52We manage and do all the refurb and maintenance ourselves through a building company I have.
0:40:52 > 0:40:59Word of mouth gets a lot of tenants as well. Families recommend friends and family.
0:40:59 > 0:41:03'Sounds like Glyn has got this property lark pretty much sorted.
0:41:03 > 0:41:07'As well as his own extensive portfolio,
0:41:07 > 0:41:12'he sources, manages and maintains properties for other investors,
0:41:12 > 0:41:17'so even if there's not much to do here, he will be keeping busy.'
0:41:17 > 0:41:22# We spend all our time running for our lives
0:41:22 > 0:41:28# Going nowhere It's really something Getting busy doing nothing... #
0:41:30 > 0:41:35So was this property bought for you or for an investor?
0:41:35 > 0:41:39It's for an investor who lives down south. I've bought it for them.
0:41:39 > 0:41:43They haven't seen it. I went on their behalf.
0:41:43 > 0:41:50- Is that much pressure on your shoulders?- I wouldn't buy a house for them I wouldn't buy for us.
0:41:50 > 0:41:54And I wouldn't put a tenant in that I wouldn't put in one of ours.
0:41:54 > 0:42:00The first tenant who wants it, I wouldn't automatically take them just to say I've got it rented out.
0:42:00 > 0:42:03How do you check the tenants?
0:42:03 > 0:42:10We do referencing on them. If they've rented, we get references from previous landlords as well.
0:42:10 > 0:42:17- So what's the plan for this one? - We won't be doing very much at all. The electrics will be checked.
0:42:17 > 0:42:23Get a certificate. Gas, the same. Do some bits of pieces, make over the garden,
0:42:23 > 0:42:27just to tidy it up really. And rent it out as soon as possible.
0:42:27 > 0:42:32- Inside, any changes at all? - Probably not. Very little. - Not even a lick of paint?
0:42:32 > 0:42:40- I find quite often tenants like to do it themselves, their own touch, to make it home for themselves.- Right.
0:42:40 > 0:42:46- So how soon will it be rented out? - Probably within two or three weeks of being purchased.
0:42:46 > 0:42:48Do you have any budget at all?
0:42:48 > 0:42:55- Em, no, not really.- Zero budget? And with a timescale of 2-3 weeks you're not going to do anything.
0:42:55 > 0:43:00- How often does it work out like that?- Quite often. Tenant demand is really strong.
0:43:00 > 0:43:05We get calls all the time from people looking for properties.
0:43:05 > 0:43:11- And they're happy to move in in any state and do it up? - No, if it needs things doing,
0:43:11 > 0:43:15it's got to be safe, we'll do these things and full refurbishments.
0:43:15 > 0:43:20But the bathroom's fairly new and the kitchen doesn't need anything.
0:43:20 > 0:43:27- It just depends on what it's like when we buy it.- And for you, then, what does the future hold?
0:43:27 > 0:43:34- More properties, yeah. And continue to build and buy and manage for other people.- Great.
0:43:34 > 0:43:41- It sounds pretty straightforward. Congratulations.- Thank you. - We look forward to seeing it.
0:43:41 > 0:43:48Well, there you go. Another property to add to Glyn's management portfolio.
0:43:48 > 0:43:54I know this property doesn't need a lot of work doing, but I expected maybe a coat of paint.
0:43:54 > 0:43:58But why not give the incoming tenant the chance to personalise it?
0:43:58 > 0:44:02How will he get on? Well, it's not going to be too hard!
0:44:02 > 0:44:05Find out later in the show.
0:44:08 > 0:44:12There are often tears and stress where buying property is concerned.
0:44:12 > 0:44:19- So have today's properties turned out to be living nightmares or had happy endings?- Let's find out.
0:44:19 > 0:44:26It was Dartford in Kent where I saw this three-bedroom, semi-detached house. I say three bedrooms,
0:44:26 > 0:44:31but only two were upstairs. The third was more suited to being a study.
0:44:31 > 0:44:36And with ageing decor, signs of damp and damaged plasterwork,
0:44:36 > 0:44:40this house had certainly seen better days.
0:44:40 > 0:44:47But with a good-sized garden and quite a decent amount of space, there was plenty of scope
0:44:47 > 0:44:53to turn it into a pleasant place to live. Or, in the case of property developers Dolores and Terry,
0:44:53 > 0:44:55a home from home.
0:44:55 > 0:45:02- Why did you want to buy this house? - Our granddaughter lives three minutes' walk from this house
0:45:02 > 0:45:07and her school is five minutes' walk. We don't see much of her in Spain,
0:45:07 > 0:45:12so we thought we'd buy a house here and the family are in the area.
0:45:12 > 0:45:16What is going to happen now is our sons will look after the house
0:45:16 > 0:45:22and when we come back from Spain - not very often - we will stay here and she can come and see us.
0:45:23 > 0:45:27They paid £190,000 at auction for the house.
0:45:28 > 0:45:34With their budget of £25,000, they were ready to swap sun and sangria for three months
0:45:34 > 0:45:39to prepare their new Dartford dwelling. Now, 12 weeks later,
0:45:39 > 0:45:41we're back.
0:45:45 > 0:45:50The sun may not be shining, but the house is a whole lot brighter.
0:45:50 > 0:45:54It's been re-rendered, it's got new double glazing
0:45:54 > 0:45:59and the garage has been replaced with a more substantial brick one.
0:45:59 > 0:46:06And with the garden landscaped and tidied up, it looks more like a place you'd want to come home to.
0:46:09 > 0:46:12Basically, we gutted the place from top to bottom,
0:46:12 > 0:46:17replastered, took down ceilings, renewed the ceilings. Everything.
0:46:17 > 0:46:22This house, from the inside, is like a new house.
0:46:24 > 0:46:29So that great, new, crisp exterior now has an interior to match.
0:46:29 > 0:46:35A warm, inviting front reception room and a homely downstairs bedroom.
0:46:36 > 0:46:42While at the back of the house there's a light, airy dining room
0:46:42 > 0:46:46leading to a rebuilt extension room with patio doors onto the garden.
0:46:46 > 0:46:51And remember that somewhat dated kitchen?
0:46:51 > 0:46:55Well, now there's a fully-fitted kitchen with all mod cons.
0:46:59 > 0:47:04By blocking up the other kitchen door and utilising the cloakroom,
0:47:04 > 0:47:09they've created enough space for a downstairs shower room. Not bad.
0:47:09 > 0:47:11What about upstairs?
0:47:11 > 0:47:17The changes we've made to this floor are this used to be a passageway
0:47:17 > 0:47:23which led to the family bathroom, shall we say? But now I've turned it into an en suite
0:47:23 > 0:47:29and not a family bathroom. We've created another bath area downstairs for the rest of the house.
0:47:29 > 0:47:34This is my favourite room. I'm really, really pleased with it.
0:47:34 > 0:47:41This is going to be Terry and Dolores' UK pad, so the layout was planned with that in mind.
0:47:41 > 0:47:48They made the master bedroom en suite, while the second upstairs bedroom is perfect as a guest room.
0:47:48 > 0:47:54All the changes were done in just ten weeks. How on earth did they manage that?
0:47:54 > 0:47:59- We've thrown a lot of money at it and a lot of labour!- Yes!
0:48:00 > 0:48:07- And a lot of hard work.- Hard work. - And a great team. We've had a really, really first class team.
0:48:07 > 0:48:13The plan was to stay in the UK during the renovation work, keeping an eye on it and getting involved,
0:48:13 > 0:48:19but with the weather being not exactly fabulous, were they tempted to sneak back to Spain?
0:48:19 > 0:48:26- We've stayed the whole ten weeks. - It's better to be here onsite when so much work has to be done.
0:48:26 > 0:48:32If we had gone back to Spain, things might not have turned out as well as they have.
0:48:32 > 0:48:34So we're pleased that we stayed.
0:48:36 > 0:48:41Staying in the UK has paid off as far as the timescale is concerned,
0:48:41 > 0:48:46but did it also help them keep to their £25,000 proposed budget?
0:48:48 > 0:48:51Basically, we are £31,000 over budget
0:48:51 > 0:48:54so...that's life.
0:48:54 > 0:49:00I might add that I didn't do this as a project to make money. I done it as a home.
0:49:00 > 0:49:06Even so, that's quite an overspend and takes their renovation costs to £56,000.
0:49:06 > 0:49:14They bought the house for £195,000, so their total outlay is £251,000 before other expenses.
0:49:14 > 0:49:21Are they likely to get much return on their Dartford dwelling? What do two local estate agents think?
0:49:21 > 0:49:26From the outside, it hit me how nice it looks, compared to before.
0:49:26 > 0:49:31The changes they've made, particularly the shower room, are very good.
0:49:31 > 0:49:36Having that extension room built in is much more user-friendly.
0:49:36 > 0:49:42The property has been refurbished to a good standard throughout. I particularly like the kitchen.
0:49:42 > 0:49:48The choice of units is nice, being contemporary, which a lot of people are looking for.
0:49:49 > 0:49:54It's undoubtedly an impressive change and the house looks great,
0:49:54 > 0:50:01but having been slightly indulgent with the budget, will they see any return on their £251,000 outlay?
0:50:02 > 0:50:07The property would resell for £230,000-£245,000.
0:50:07 > 0:50:13If we were to market the property, we would suggest a marketing price of £235,000.
0:50:13 > 0:50:19Those valuations would potentially see a £7,000-£21,000 loss in the current market.
0:50:19 > 0:50:22What do they think of that?
0:50:22 > 0:50:26We're not too disappointed. It would have been nice if it was higher,
0:50:26 > 0:50:31but it's going to be our home and for the family's use,
0:50:31 > 0:50:34so it's neither here nor there.
0:50:34 > 0:50:38Yes, their plan is just to keep it as a UK bolthole.
0:50:38 > 0:50:43But if they did decide to let it, what kind of returns might they see?
0:50:43 > 0:50:49I think this property would rent for between £950 and £995 per calendar month.
0:50:49 > 0:50:55If we were to rent the property, we would suggest an asking price of £1,000 per calendar month.
0:50:57 > 0:51:02Rent of around £950 per calendar month would see an annual yield of around 4%,
0:51:02 > 0:51:05which is OK.
0:51:05 > 0:51:11But having spent three months back in not so balmy Britain, are they now tempted to stay?
0:51:14 > 0:51:19- We'll be going back to Spain. - Definitely.- Yes.- We love the weather.
0:51:19 > 0:51:24Yeah. It's been so cold here. We are looking forward to going home
0:51:24 > 0:51:30- and getting stuck in to all the chores we have to get back to. - And the new projects.- Yes.
0:51:33 > 0:51:38Let's get set to return to the village of Shotton Colliery in County Durham
0:51:38 > 0:51:44where I viewed this three-bedroom semi. It had a guide price of £39,950
0:51:44 > 0:51:50and was in a prime rental area. From the outside, all looked in good order.
0:51:50 > 0:51:55The windows were double-glazed and there were no issues with the roof.
0:51:55 > 0:51:59What about inside? Well, that was all right, too.
0:52:04 > 0:52:10The decoration was dated, but the kitchen was in fair shape. All it needed was sprucing up.
0:52:10 > 0:52:17The bathroom was downstairs, but moving it and losing a bedroom would have negatively affected
0:52:17 > 0:52:19the sale value and rental income.
0:52:19 > 0:52:24Which all leads to the conclusion that there isn't a lot to do.
0:52:24 > 0:52:30In complete agreement with me was Glyn, an experienced developer with an extensive portfolio,
0:52:30 > 0:52:33who bought the property for a client for £50,000.
0:52:33 > 0:52:39- Inside, any changes at all? - Probably not. Very little.
0:52:39 > 0:52:46- Not even a lick of paint?- No. Tenants like to do it themselves and put their own touch on it.
0:52:46 > 0:52:49Right. Easy peasy, then.
0:52:52 > 0:52:57We're back after just two months to find out if it was indeed easy.
0:52:59 > 0:53:02# Yeah, ooh...
0:53:02 > 0:53:05# That's why I'm easy
0:53:09 > 0:53:15# It's why I'm easy...
0:53:16 > 0:53:23# I'm easy like Sunday mo-o-orning... #
0:53:25 > 0:53:30This semi has been tidied up and let out. In less than a month,
0:53:30 > 0:53:35Glyn had a tenant in place and this investment property earning.
0:53:35 > 0:53:37We advertised it
0:53:37 > 0:53:43and we've now got a tenant. He's moving his things in. So we're happy.
0:53:47 > 0:53:53Apart from clearing out a little clutter, what exactly has Glyn done?
0:53:53 > 0:53:58We've had a gas check done, we've had the electrical certificate done.
0:53:59 > 0:54:06I had to move one base unit across because an oven wouldn't fit in the gap that was left in-between.
0:54:06 > 0:54:09Just a quick tidy in the garden outside.
0:54:09 > 0:54:13# So far, so pleased
0:54:13 > 0:54:18# I like the way you touch I like the way you tease... #
0:54:18 > 0:54:26Glyn has every right to be pleased. The total spend is only a few hundred pounds above £50,000.
0:54:26 > 0:54:30With the property already let, it's proving to be a shrewd purchase.
0:54:30 > 0:54:36He clearly has a winning formula, not only running his own successful portfolio,
0:54:36 > 0:54:43but spreading his expertise by helping others. He will have further involvement as a manager.
0:54:43 > 0:54:51His investors must be very happy with this apparently trouble- and stress-free investment
0:54:51 > 0:54:53and it was a quick turnaround.
0:54:54 > 0:54:57Investors are very happy.
0:54:57 > 0:55:03Now that we've got it rented out, they're getting a return on their investment.
0:55:03 > 0:55:10And the investor is my brother and his wife. They live down south. They haven't seen the property.
0:55:10 > 0:55:13One day they will get to see it!
0:55:13 > 0:55:16Or maybe they'll just watch the show.
0:55:19 > 0:55:25We invited two local estate agents to give us their opinions on this property.
0:55:25 > 0:55:31As expected, there hasn't been a great deal of money spent on it.
0:55:31 > 0:55:37The lesson for any potential purchaser is that you can buy it, put a tenant in
0:55:37 > 0:55:40or maybe sell it, and make some money.
0:55:40 > 0:55:46It's a typical example of being able to purchase a property, not spend any money
0:55:46 > 0:55:50and place it on the lettings market for a profit straight away.
0:55:50 > 0:55:56Despite investing around £50,400 on the property, Glyn's investors are in this for the long term
0:55:56 > 0:56:02and have no intention of placing it on the market. But if they did, what might its sale value be?
0:56:05 > 0:56:10If I was to place this on the market I would recommend an asking price of £60,000.
0:56:10 > 0:56:16If I placed it on the market, I'd be looking at £55,000 or, at a push, £59,950 for the house.
0:56:16 > 0:56:19He'd get takers pretty quickly.
0:56:19 > 0:56:26Those figures, if achieved, would give Glyn's investor a pre-tax profit of £5,000-£9,500,
0:56:26 > 0:56:30minus the usual expenses. The semi is being rented out.
0:56:30 > 0:56:36Let's find out how much the estate agents believe it's worth and if Glyn is achieving value?
0:56:39 > 0:56:45The rental market is buoyant. With that in mind, I'd recommend a rental valuation
0:56:45 > 0:56:48of £450-£500 per calendar month.
0:56:48 > 0:56:52In terms of rental value, I'd suggest £495 per calendar month.
0:56:52 > 0:56:54Over to you, Glyn.
0:56:55 > 0:56:59We've actually rented this out for £470 a month.
0:57:02 > 0:57:09Glyn's investors are getting a very healthy rental yield of just over 11%.
0:57:09 > 0:57:13Well done to them and, of course, to Glyn for spotting a bargain.
0:57:13 > 0:57:19I'm sure they must all be very happy with the outcome.
0:57:19 > 0:57:25Very pleased. It's given the investor a great rate of return on their investment, so good.
0:57:26 > 0:57:31This property is a prime example of the fact that not all renovations
0:57:31 > 0:57:37need involve ripping out kitchen units and knocking down walls to turn a profit.
0:57:37 > 0:57:41Sometimes it is, as Glyn makes it look...
0:57:41 > 0:57:49# Easy like Sunday morning... #
0:57:53 > 0:57:59That's all for today. We'll have more stories from the auction rooms for you next time.
0:57:59 > 0:58:03- So join us then for more homes under the hammer.- Goodbye.- Goodbye.
0:58:24 > 0:58:27Subtitles by Red Bee Media Ltd