0:00:01 > 0:00:06- Welcome to the show.- Buying property can be a drawn-out process.
0:00:06 > 0:00:12But not if you buy at the auction. You could have the keys to your property in 28 days or less.
0:00:12 > 0:00:18So if you like to know where you are, it might be worth buying your home under the hammer.
0:00:43 > 0:00:49Well, buying at auction can be a bit of a gamble, but the key is to do your research first.
0:00:49 > 0:00:54So are our buyers today on a winning streak? Here's what they bought.
0:00:55 > 0:01:01We revisit a property in Hammersmith in London, which we last saw seven years ago
0:01:01 > 0:01:05when it was waiting for work to start on a loft conversion.
0:01:05 > 0:01:10In Kent, this site with planning permission looks perfect for an easy life.
0:01:10 > 0:01:14As building plots go, this is quite an uncomplicated one.
0:01:15 > 0:01:22And this ground-floor flat in Derby could solve all your storage needs and then some!
0:01:22 > 0:01:25You have got an absolute plethora of cupboards.
0:01:26 > 0:01:32All these properties have been sold at auction. We'll find out who bought them and what they paid
0:01:32 > 0:01:35when they went under the hammer.
0:01:38 > 0:01:43Time now for some time travel. We're heading back to 2005,
0:01:43 > 0:01:49the first time we looked at a property in Hammersmith, West London.
0:01:49 > 0:01:55On a day like today, by the Thames, you can understand why people love the idea of living in London.
0:01:55 > 0:02:01But my thoughts were that if you wanted somewhere by the river, you'd have to buy a new flat
0:02:01 > 0:02:09that's been built along the Thames, but apparently not. The thing that's up for auction is just down there.
0:02:09 > 0:02:12# Cos London is calling
0:02:12 > 0:02:15# I live by the river... #
0:02:15 > 0:02:19But before you get really excited about the river
0:02:19 > 0:02:23and the proximity to transport links, remember this is London.
0:02:23 > 0:02:28This isn't a snip. £330,000. Sounds like a lot of money to me.
0:02:28 > 0:02:31Let's take a look inside.
0:02:31 > 0:02:38'330 grand IS a lot of money for an auction property, however well positioned.
0:02:38 > 0:02:43'I think this needs to be in pretty decent condition to get any investor excited.
0:02:43 > 0:02:49'It doesn't look that big, but it does have three bedrooms, so perhaps it's bigger inside.'
0:02:50 > 0:02:56Well, your third of a million quid doesn't even get you somewhere in particularly good order.
0:02:56 > 0:03:02It's a hodge podge of rooms with various ones off corridors and staircases all over the place.
0:03:02 > 0:03:08In terms of the internal decor, well, I've got a couple of really interesting things to show you.
0:03:08 > 0:03:14First of all, how about this? Somebody obviously with a penchant for model boats.
0:03:14 > 0:03:18You could always put the boat out, but for DIY disasters, look.
0:03:18 > 0:03:22Fantastic. Ever seen packing tape used as a filler before?
0:03:22 > 0:03:28We love that. And how about this for a fitted cupboard? Excellent for snooker cues!
0:03:28 > 0:03:35Joking apart, it's a good-size space. You've got a rear sitting room and front one knocked through.
0:03:35 > 0:03:39It's looking good, but one negative is out the back.
0:03:39 > 0:03:46The good news is you've got a reasonable-sized garden, which is always a bonus.
0:03:46 > 0:03:50The bad news is... it's on the flight path.
0:03:51 > 0:03:57But the more or less constant rumble of flights in and out of Heathrow is something
0:03:57 > 0:04:03you probably get used to. And it's almost impossible to avoid around here.
0:04:03 > 0:04:07As for the property itself, there was a decent garden out back,
0:04:07 > 0:04:12but inside the small kitchen needed a total overhaul, as did the layout upstairs.
0:04:12 > 0:04:19There were three bedrooms on the first floor, but the bathroom and loo were accessed through a bedroom,
0:04:19 > 0:04:26which is never ideal. One option was to go up into the loft and create a fourth bedroom.
0:04:26 > 0:04:32The fact that other properties had already done this meant the precedent was set.
0:04:32 > 0:04:39There was plenty to do, but did this promising property fetch a sky-high price at auction?
0:04:40 > 0:04:44Right. Lot 32 now
0:04:44 > 0:04:50is a mid-terraced house near the Thames. It's a good lot.
0:04:50 > 0:04:52Where do you want to start?
0:04:52 > 0:04:57Three? OK, you're here and you've bid. 300,000 on my right, sitting.
0:04:57 > 0:05:03305 anywhere? 305. 310. 310. 315.
0:05:03 > 0:05:05320. 325.
0:05:05 > 0:05:08330.
0:05:08 > 0:05:10335. 340.
0:05:10 > 0:05:12345.
0:05:12 > 0:05:16350. 355?
0:05:17 > 0:05:19351? Try and help.
0:05:19 > 0:05:22No?
0:05:22 > 0:05:25351 over here. 351. 352?
0:05:27 > 0:05:32Right. You'll get it on your first bid. It's going at 351,000. Anyone else?
0:05:32 > 0:05:35352.
0:05:35 > 0:05:38353. 354.
0:05:38 > 0:05:41355. 356?
0:05:44 > 0:05:48It's with you. 355. It's going. Anyone else?
0:05:48 > 0:05:51First time... 356.
0:05:51 > 0:05:53357. 358.
0:05:53 > 0:05:57359. 360.
0:05:57 > 0:06:00361. 362?
0:06:02 > 0:06:04363?
0:06:04 > 0:06:06364?
0:06:08 > 0:06:11364. 365?
0:06:12 > 0:06:13366?
0:06:13 > 0:06:16365. Anyone else?
0:06:16 > 0:06:19365, first time. Second time.
0:06:19 > 0:06:24Third and last time at... 366. Nearly. 367.
0:06:24 > 0:06:26368?
0:06:26 > 0:06:29It's worth it. 368.
0:06:29 > 0:06:34367, first time. Second time. Third and last time. Have you all done?
0:06:35 > 0:06:39Sold. 367. Well done. Got there in the end.
0:06:39 > 0:06:44That successful bid of £367,000 was made by Richard,
0:06:44 > 0:06:48who works for a company organising property exhibitions.
0:06:48 > 0:06:54He bought the mid-terrace as a family home to live in with his wife and 15-month-old daughter.
0:06:54 > 0:06:57- So into your lounge. - Indeed, yes.
0:06:57 > 0:07:02- Does that sound a bit strange? - It does now. What have we done?
0:07:02 > 0:07:08But congratulations. Are you a bit concerned about what you've bought?
0:07:08 > 0:07:12We know we've got a big project ahead of us. We did know that,
0:07:12 > 0:07:18but now we're into the realisation of picking up the keys, it's all come to a head, really.
0:07:18 > 0:07:24You obviously had a look at it before. What made you think this was a good one to go for?
0:07:24 > 0:07:31Basically, there's a lot of space. It's three bedrooms, it's got great potential for the loft.
0:07:31 > 0:07:38With the garden outside, it's comparatively big. It's got all the fundamentals we wanted.
0:07:38 > 0:07:42As well as that, there's the park just outside there
0:07:42 > 0:07:49- and the river is about 100 yards away.- In a lot of ways, you bought the scrappiest house on the street.
0:07:49 > 0:07:56That was the intention. So we'll hopefully turn it into the nicest house on the street.
0:07:56 > 0:08:03'London prices are amazing. Richard's paid £367,000 for the worst house in the street,
0:08:03 > 0:08:10'not the best. So what are his plans to transform it from the runt of the litter
0:08:10 > 0:08:13'into the top dog?'
0:08:13 > 0:08:18With the ground floor, in the room we're in now, we'll put a kitchen in this part.
0:08:18 > 0:08:25- A kitchen in here?- In here, which is not what's normally done in traditional front rooms.
0:08:25 > 0:08:31However, what we've found is that with the kitchen in here, it frees up
0:08:31 > 0:08:36- the back part of the room to have a dining area. - That's thinking outside the box.
0:08:36 > 0:08:42Yeah, I think it's... I think it's something we're pretty sure will work,
0:08:42 > 0:08:49especially with my wife having a toddler around. She can be in the kitchen, the baby in this area.
0:08:49 > 0:08:55The traditional kitchens are very small, so you just don't have the room to do that.
0:08:55 > 0:09:00But using this area will give us that room.
0:09:00 > 0:09:04The other thing we intend to do is convert the loft.
0:09:04 > 0:09:08A lot of the other houses have had them converted.
0:09:08 > 0:09:14- Planning permission, touch wood, shouldn't be a problem. - Creating a four-bedroom house.
0:09:14 > 0:09:17- Indeed, yeah. - How much will the conversion be?
0:09:17 > 0:09:22- They're coming in at around £30,000-£35,000.- Really?- Yeah.
0:09:22 > 0:09:27- Not cheap, then.- They're not cheap. - Is that London prices? - London prices.
0:09:27 > 0:09:33That's probably because they know how much square footage they can add and, hence, its value.
0:09:33 > 0:09:39'London builders aren't daft, are they? £35,000 on a loft conversion.
0:09:39 > 0:09:45'In some areas you could do this entire renovation plus a loft conversion to a high standard
0:09:45 > 0:09:52'and still have 10,000 quid left. But then again, you wouldn't have the same level of value.'
0:09:52 > 0:09:54What about timescales and budgets?
0:09:54 > 0:09:58Total time, I'd say, three months. Three to four, perhaps.
0:09:58 > 0:10:01- By the time we move in.- And money?
0:10:01 > 0:10:07Money... We're probably going to be looking at the 60-70 mark,
0:10:07 > 0:10:12which will include doing the roof. It's important for us to get more space in the house.
0:10:12 > 0:10:19To do the loft conversion now is quite important. As we're ripping the place to bits,
0:10:19 > 0:10:24we might as well have all the mess and all the problems with the loft done and dusted.
0:10:24 > 0:10:28- So in three months' time, you'll be in.- Fingers crossed!
0:10:30 > 0:10:33Well, that was in July, 2005.
0:10:33 > 0:10:37When we went back, seven months later,
0:10:37 > 0:10:39Richard and his family had moved in
0:10:39 > 0:10:43and big changes had been made.
0:10:43 > 0:10:48He'd moved the kitchen into the old front room and it was looking great.
0:10:48 > 0:10:52I'd been dubious about the move, but it does look fabulous.
0:10:52 > 0:10:54It was time for me to eat my hat.
0:10:54 > 0:10:59We're very pleased with how the kitchen/dining area works.
0:10:59 > 0:11:04The whole purpose of that was so that we could watch TV
0:11:04 > 0:11:07whilst cooking food.
0:11:07 > 0:11:11Also my daughter can play in one area whilst we're in the other area.
0:11:13 > 0:11:19The former kitchen and the old back sitting room were knocked together and were being used as storage,
0:11:19 > 0:11:23but Richard had a great plan for that space.
0:11:23 > 0:11:29Where the kitchen used to be, that's created quite a nice large room,
0:11:29 > 0:11:34which opens out into the garden. That will be a sort of child-free zone,
0:11:34 > 0:11:39so dining room if needs be or perhaps even a second lounge.
0:11:42 > 0:11:48Up the stairs and Richard had rejigged the dodgy layout of this mid-terrace.
0:11:48 > 0:11:53The bathroom, as you've got it here, used to be at the back of the house.
0:11:53 > 0:11:56You had to walk through a bedroom to get into the bathroom.
0:11:56 > 0:12:02By bringing this forwards, all of the bedrooms can have access to this bathroom.
0:12:05 > 0:12:12The new layout meant three good-sized bedrooms on the first floor, but with scaffolding up
0:12:12 > 0:12:17the plan was to get cracking on the loft conversion.
0:12:17 > 0:12:25They'd achieved a lot in seven months. They'd been lucky to keep their daughter away from the noise
0:12:25 > 0:12:27of the work so far.
0:12:27 > 0:12:31We've renovated properties before and been able to live there,
0:12:31 > 0:12:36but we didn't have a little girl to oversee the project, if you like.
0:12:36 > 0:12:41Fortunately, my wife's parents live abroad,
0:12:41 > 0:12:48so my wife and child have been able to go out there whilst the major dirty, dusty work took place,
0:12:50 > 0:12:56There was no escaping the fact that Richard's original 3-4 month timescale had slipped,
0:12:56 > 0:13:02but he was confident that the loft conversion would come together swiftly and he'd stick to
0:13:02 > 0:13:04his planned £60,000-£70,000 budget.
0:13:04 > 0:13:12It will be great once it's finished, but we know we've got to go through that 2-3 month period of unrest
0:13:12 > 0:13:15before it is what we wanted.
0:13:15 > 0:13:19I think we have taken probably one of the worst houses in the street
0:13:19 > 0:13:23and by the time it's finished, it will be the best in the street.
0:13:23 > 0:13:30Keep watching and you can find out just how good the mid-terrace gets later in the show.
0:13:35 > 0:13:40# So I'd like to know where you got the notion
0:13:40 > 0:13:46# Rock the boat Don't rock the boat, baby Rock the boat... #
0:13:48 > 0:13:56Ahoy, me hearties, and welcome aboard as the good ship Hammer sets sail for Gravesend.
0:13:56 > 0:14:03In the 19th century, Gravesend became one of the first English resort towns.
0:14:03 > 0:14:08Tourists would literally come by boat from London to visit the local gardens and pier
0:14:08 > 0:14:11and enjoy the views of the river.
0:14:11 > 0:14:17These days you can catch a high-speed train to London on less than 30 minutes.
0:14:17 > 0:14:24Or you can pop over to nearby Ebbsfleet International and head to the continent.
0:14:24 > 0:14:31But why bother when there's plenty to see here in Gravesend on a beautiful day like today?
0:14:32 > 0:14:38Well, a 15-minute walk from Gravesend town centre and I'm here to see not a house,
0:14:38 > 0:14:41more of a development opportunity.
0:14:41 > 0:14:45It had a guide price at auction of £50,000-£60,000.
0:14:45 > 0:14:50Basically, it's a building plot, formerly part of somebody's garden.
0:14:50 > 0:14:54The good news is there's already full planning permission in place.
0:14:54 > 0:15:01The garages will be flattened and a detached two-bed house built. I'm going to have a nose around.
0:15:01 > 0:15:09Now shed aficionados might vote for keeping the garages, but this plot has so much more to offer.
0:15:10 > 0:15:16Once these garages have gone, it'll be a reasonably-sized, reasonably flat plot.
0:15:16 > 0:15:22It's actually 7.3 metres wide and 31 metres deep. There's road access to the front
0:15:22 > 0:15:28and being in this lovely residential area, all the main services are quite close at hand.
0:15:28 > 0:15:33As building plots go, this is quite an uncomplicated one.
0:15:35 > 0:15:40With that planning permission, a lot of the legwork has been done for you.
0:15:40 > 0:15:46The new owner would already be several steps closer to kicking back and taking it easy
0:15:46 > 0:15:48in a very pleasant little garden.
0:15:50 > 0:15:54So I've got the plans that have already been passed.
0:15:54 > 0:16:01Let's have a little look and see what we've got here. It's for a chalet-style bungalow.
0:16:01 > 0:16:07Now here we've got the ground floor and there's a living/dining area towards the back, which I love.
0:16:07 > 0:16:14And you can see here some really nice bi-fold doors that lead straight out onto this garden.
0:16:14 > 0:16:21That's really pretty. In the kitchen, I'd be inclined to take down that brick wall
0:16:21 > 0:16:25to make the most of that space. A nice, large bedroom to the front.
0:16:25 > 0:16:30Up the stairs into one big bedroom at the back and you've got a little study.
0:16:30 > 0:16:37So overall I'm sure you could make a few little internal tweaks without having to re-apply for permission.
0:16:37 > 0:16:41I really feel they've made the most of the space with these plans.
0:16:42 > 0:16:50As the plans stand, I think you could build a two-bed chalet bungalow here for around £100,000.
0:16:50 > 0:16:56This would mean that if you bought the land for £60,000, at the top end of the guide price,
0:16:56 > 0:17:00you'd be looking at investing around £160,000 here.
0:17:00 > 0:17:07We asked a local estate agent what she makes of the plot and the proposed plans for it.
0:17:09 > 0:17:15I don't think you could have built anything differently here because of the style of properties around
0:17:15 > 0:17:20and to maximise what you want, what they've drawn is perfect.
0:17:21 > 0:17:26What does she reckon a chalet bungalow would fetch on the resale market?
0:17:28 > 0:17:33We would expect to achieve around £200,000-£210,000.
0:17:33 > 0:17:36And on the rental market?
0:17:36 > 0:17:40A two-bedroom chalet bungalow would achieve
0:17:40 > 0:17:43around £850 per calendar month.
0:17:44 > 0:17:49It's hard to imagine this pretty garden and the garages will become a lovely home,
0:17:49 > 0:17:54but with planning permission in place, it shouldn't take too long.
0:17:54 > 0:17:59So who was tempted to do it themselves and build their own property?
0:17:59 > 0:18:02Let's find out who bid for this one.
0:18:03 > 0:18:05Lot 49 now.
0:18:05 > 0:18:12Land with planning permission for a detached house with two bedrooms. Start me with a £50,000 opener?
0:18:12 > 0:18:15£50,000 bid, can I say? At 50.
0:18:15 > 0:18:21And five, do I say? At 50 on the telephone. 55 on the other telephone.
0:18:21 > 0:18:24Up to 60. And five. 65.
0:18:24 > 0:18:2965. At 65 on Will's phone. No? Ben's out of it.
0:18:29 > 0:18:3165 on Will's phone.
0:18:31 > 0:18:35And 67. 67 I've got. Fill it up to 70.
0:18:35 > 0:18:39£70,000 now if you like. At... Yeah, 68 I'll take.
0:18:39 > 0:18:4468. And nine. At 69, bid in the room. Fill it up to 70?
0:18:44 > 0:18:48It's where I want it to be. 70,000. £70,000.
0:18:48 > 0:18:50And one? 71. And two?
0:18:50 > 0:18:5472. And three? 73. And four?
0:18:54 > 0:18:5674?
0:18:56 > 0:19:0174,000. And five, sir. 75. You know what you're paying for it.
0:19:01 > 0:19:03And six? 76?
0:19:03 > 0:19:0776? At 75,000... 76,000 I've got. 77 may I say?
0:19:07 > 0:19:1077, it's against you. And 8 now?
0:19:10 > 0:19:13At 78,000 can I say from you, Will?
0:19:13 > 0:19:18If not, 77,000 in the room for the first time... 78 in a fresh place.
0:19:18 > 0:19:2179, sir? 79 can I say...? And 80?
0:19:21 > 0:19:24At 80, it's against you. At 80, it's against you.
0:19:24 > 0:19:27£80,000 standing at the back in a fresh place.
0:19:27 > 0:19:3081 now if you like? 81 may I say?
0:19:30 > 0:19:3381 bid I've got. 82 may I say?
0:19:33 > 0:19:39At 81 then for the first time, 81 for the second time, third and final time...
0:19:39 > 0:19:4382 I've got. 83 now, sir? 83 I've got.
0:19:43 > 0:19:4584? 84 now do I say?
0:19:45 > 0:19:50At £83,000 then... 83 and a half I've got. 84.
0:19:50 > 0:19:53At 84. 84 and a half?
0:19:53 > 0:19:5584 and a half?
0:19:55 > 0:20:01At £84,000 bid then for the first time, £84,000 for the second time...
0:20:01 > 0:20:05Third and final time at £84,000, I'm selling, all done...
0:20:05 > 0:20:08Yours, sir. Well done. Very patient.
0:20:08 > 0:20:13'That successful bid of £84,000, £24,000 over the top guide price,
0:20:13 > 0:20:17'was placed by Cliff, a Gravesend local.
0:20:17 > 0:20:21'He bought the plot to build a house for himself and his partner Theresa.
0:20:21 > 0:20:26'But the big question is whether he's going to shake up those plans.'
0:20:27 > 0:20:31# Come on, pretty baby, let's move it and groove it
0:20:33 > 0:20:37# Well, shake, oh baby, shake, oh honey, please don't lose it
0:20:38 > 0:20:42# It's rhythm that gets into your heart and soul...#
0:20:44 > 0:20:46Cliff, lovely to meet you.
0:20:46 > 0:20:49- Good afternoon, Lucy. - On this fine, sunny day.
0:20:49 > 0:20:54- It feels like we're standing in somebody's garden, but what a pretty little spot this is!- It is.
0:20:54 > 0:21:00- Are you happy with this plot? - It's just right.- Why did you want to bid for this on auction day?
0:21:00 > 0:21:05I only saw it a week before the auction and I saw it advertised in a local agent.
0:21:05 > 0:21:08I picked up the catalogue, drove past and thought, "This is for me."
0:21:08 > 0:21:14- It tickled your fancy?- Yeah, I know Gravesend very well and I thought, "I've got to have a go at this."
0:21:14 > 0:21:19When you thought, "This is for me," have you ever built anything before?
0:21:19 > 0:21:22- Yeah, we run a building company. - So you are a builder?
0:21:22 > 0:21:26Yes, we work for a couple of developers, so we're used to it
0:21:26 > 0:21:31and I've also built a couple of properties for myself in the past, so we're used to doing it.
0:21:31 > 0:21:38And I saw the actual drawing. I didn't really like the house, but I knew that could be altered as such.
0:21:38 > 0:21:44Externally, I won't touch it, just the internal layout. I thought, "Go to the auction," which is what I did.
0:21:44 > 0:21:51'He maybe paid well over the guide price for the plot, but with his building experience and contacts,
0:21:51 > 0:21:55'Cliff is confident he can make the plot work for him
0:21:55 > 0:22:00'and that he and his team can fit the build in between other larger projects.'
0:22:00 > 0:22:04So, Cliff, this is for you. Is this a bit of a dream?
0:22:04 > 0:22:07Are you going to be building your dream property?
0:22:07 > 0:22:13I wouldn't say the dream property, but it will have four walls, you don't have to answer to anybody.
0:22:13 > 0:22:19If you want to turn the radio up, you can. You haven't got to put up with other people as such.
0:22:19 > 0:22:22At the moment, I live in a flat in town near the river.
0:22:22 > 0:22:28The flat and the views are fantastic, but unfortunately, there's another 40 residents in the block where I live,
0:22:28 > 0:22:31so I'm getting a bit cheesed off with that.
0:22:31 > 0:22:34You'll get yourself a nice detached house...
0:22:34 > 0:22:37- Detached, yes. - That you will build yourself.- Yes.
0:22:37 > 0:22:43- How much will you tweak those plans? - It's totally different to the planning application internally.
0:22:43 > 0:22:45- So why is that? - Because it has to suit.
0:22:45 > 0:22:49Unfortunately, it was really laid out for more of an elderly person.
0:22:49 > 0:22:53The bathroom was on the ground floor, there was a small bedroom there.
0:22:53 > 0:22:58Now we've pushed the bathroom upstairs and created a shower room on the ground floor.
0:22:58 > 0:23:03There's still a facility that you could shower on the ground floor and use the loo,
0:23:03 > 0:23:06but it's more of a house style now than a bungalow.
0:23:06 > 0:23:12You've got a lovely lounge that leads out to the garden and a kitchen the other side of the wall.
0:23:12 > 0:23:16We've moved that. The kitchen will be at the front in the bay window.
0:23:16 > 0:23:21You'll walk in the front door by this garage, left into your kitchen, staircase in front of you,
0:23:21 > 0:23:27turn right to a smaller bedroom in the middle, then into your lounge which opens out on to the garden.
0:23:27 > 0:23:32- Lovely. It will be beautiful. - It will be. The shed goes, but the trees will still be there.
0:23:32 > 0:23:36And a piece of green grass which will be nice to come home to.
0:23:36 > 0:23:41- Take my boots and socks off and sit on the grass.- When you've been building houses all day!
0:23:41 > 0:23:44And the rest of the boys. It's not just about me.
0:23:44 > 0:23:47- You'll bring them all back here for a cup of tea?- Yeah.
0:23:47 > 0:23:53I'll need the boys here to get this built because the developer we work for, I can't let him down,
0:23:53 > 0:23:56so it's all a part of the team, we all work together.
0:23:56 > 0:24:02How is it going to work if your actual job starts getting busy? Is this build going to suffer?
0:24:02 > 0:24:08No, it won't because, fortunately for us, we're just finishing three for our main client over in Epsom
0:24:08 > 0:24:12and, hopefully, starting in about eight weeks' time on another pair,
0:24:12 > 0:24:16so this will time right for us to come here, then we go over there.
0:24:16 > 0:24:20You're a builder. You know about "it should time right".
0:24:20 > 0:24:24- It should time right.- That's what worries me. It might not time right.
0:24:24 > 0:24:28You have to have some confidence. You have to get in and make a start
0:24:28 > 0:24:31and, hopefully, it comes out the right side of the line.
0:24:31 > 0:24:35- So you're feeling confident? - Very confident.- What's the budget?
0:24:35 > 0:24:37Hopefully, spend about £90,000.
0:24:37 > 0:24:41- You think you can build this perfect chalet-bungalow for 90 grand?- Yes.
0:24:41 > 0:24:46The only thing we've got at the moment is the services. Some prices came back on them.
0:24:46 > 0:24:52The electricity connection is at the other side of the road, so it's £3,000 just to bring it to here.
0:24:52 > 0:24:54- Really?- It's £3,000, yes.
0:24:54 > 0:24:57A few years ago, it wouldn't have been that,
0:24:57 > 0:25:04but politics and electric, gas and water companies, we won't talk about that, but yeah, yeah...
0:25:04 > 0:25:08- Will you be on site every day making things go smoothly?- Yeah.
0:25:08 > 0:25:14I only live just down the road. I'm working that way, but in the morning, we'll be here first thing,
0:25:14 > 0:25:20off somewhere else, then back here in the afternoon. The boys will get caught in the morning and afternoon!
0:25:20 > 0:25:25- Are you excited? - Yeah, it's good news.- Are you already imagining yourself living here?
0:25:25 > 0:25:29- I can see me sitting here with a cup of tea.- I can see that as well.
0:25:29 > 0:25:35- Cliff, it's been lovely meeting you and I can't wait to see the end result. Congratulations.- Thank you.
0:25:35 > 0:25:41A lot of people dream of building their own home and Cliff is about to make that dream a reality,
0:25:41 > 0:25:43but his business is building.
0:25:43 > 0:25:48If work picks up, will this personal project keep getting put on hold?
0:25:48 > 0:25:53Will he really be ready to move out of his flat and into his new home in just six months?
0:25:53 > 0:25:57You can find out how he gets on later on in the programme.
0:25:58 > 0:26:04'Coming up, this one-bedroom, ground floor flat in Derby has a very handy added bonus.'
0:26:04 > 0:26:07The flat comes with its own garage.
0:26:08 > 0:26:14'In Gravesend, Kent, Cliff's two-bed house on this development site gets a big thumbs-up.'
0:26:14 > 0:26:18Wow! He's done a fantastic job throughout the property.
0:26:19 > 0:26:24'But first, has Richard finally finished his renovation
0:26:24 > 0:26:28'of this three-bedroom mid-terrace in West London?'
0:26:31 > 0:26:35And so we head back to the London borough of Hammersmith
0:26:35 > 0:26:38and this three-bedroom mid-terrace.
0:26:38 > 0:26:43Richard had bought it as a family home in 2005
0:26:43 > 0:26:46for £367,000.
0:26:46 > 0:26:49When we returned for our second visit seven months later,
0:26:49 > 0:26:53Richard, his wife and their toddler daughter had moved in.
0:26:53 > 0:26:59They had created a great family kitchen and were about to start on the loft conversion.
0:26:59 > 0:27:02Richard had big aspirations for the mid-terrace.
0:27:02 > 0:27:07I think we have taken probably one of the worst houses in the street
0:27:07 > 0:27:11and by the time it's finished, it will be the best house in the street.
0:27:12 > 0:27:17Seven years after our first visit, we were itching to get back
0:27:17 > 0:27:22to see if Richard had finally created the ultimate Hammersmith palace.
0:27:23 > 0:27:26# I've been trying to do it right
0:27:26 > 0:27:29# I've been living a lonely life
0:27:29 > 0:27:32# I've been sleeping here instead
0:27:32 > 0:27:35# I've been sleeping in my bed
0:27:35 > 0:27:38# Sleeping in my bed...
0:27:46 > 0:27:48# I belong with you
0:27:48 > 0:27:50# You belong with me
0:27:50 > 0:27:53# In my sweet home
0:27:53 > 0:27:56# I belong with you, you belong with me
0:27:56 > 0:27:58# In my sweet home... #
0:28:04 > 0:28:07Wow, what a job they've done here!
0:28:07 > 0:28:11This is a perfect family home.
0:28:11 > 0:28:13That kitchen at the front is a triumph.
0:28:13 > 0:28:18The sitting room at the back is an oasis of calm.
0:28:19 > 0:28:22Up on the first floor there are three good-sized bedrooms
0:28:22 > 0:28:25and an attractive family bathroom.
0:28:27 > 0:28:33There's also now a lovely new staircase up to the long-awaited loft conversion.
0:28:39 > 0:28:42We've created a single loo in the room itself
0:28:42 > 0:28:46and also had a sort of open-plan bath in it as well.
0:28:46 > 0:28:52It's quite important for us to get a bath, rather than a shower, as we both prefer baths.
0:28:52 > 0:28:56The layout up here may not be to everyone's liking,
0:28:56 > 0:29:00but Richard and his wife used the room as their master bedroom
0:29:00 > 0:29:03before moving that back down to the first floor.
0:29:05 > 0:29:09In current economic climates, we've taken in a lodger.
0:29:09 > 0:29:13He stays with us for five days a week
0:29:13 > 0:29:17and he's living in the loft space which is self-contained,
0:29:17 > 0:29:19so we don't see much of him.
0:29:19 > 0:29:23As for the occupants of the bedrooms on the first floor,
0:29:23 > 0:29:29well, the house is not the only thing that's been growing since our last visit.
0:29:29 > 0:29:32The oldest daughter is now nine
0:29:32 > 0:29:38and two and a half years after the oldest was born, our second one turned up, so another girl.
0:29:38 > 0:29:40And she's now seven,
0:29:40 > 0:29:43so they've sort of grown with the house.
0:29:43 > 0:29:50The way we've laid it out means we've got a family room at the front of the house which includes the kitchen,
0:29:50 > 0:29:57which enables them to play, watch TV whilst we're in there eating or preparing food or whatever.
0:29:57 > 0:30:03It's a wonderful family space, but it's not the only one that the property enjoys.
0:30:03 > 0:30:10The garden has been transformed into a wonderful safe haven for Richard's girls.
0:30:10 > 0:30:15Particularly with the outside space, we wanted to put our own stamp on that.
0:30:15 > 0:30:19There's quite a nice Wendy house, cottage in the garden
0:30:19 > 0:30:21which the kids love to play in.
0:30:21 > 0:30:26We also were able to put in a watering system into the garden
0:30:26 > 0:30:29just when it's not a hosepipe ban,
0:30:29 > 0:30:32so we're able to do that whilst having a drink out there.
0:30:33 > 0:30:37The kids' rooms themselves are delightful,
0:30:37 > 0:30:42but the best bit of all is they've still got the same teddies they had seven years ago.
0:30:45 > 0:30:50# Me and my teddy bear
0:30:50 > 0:30:54# Have no worries, have no cares
0:30:54 > 0:30:58# Me and my teddy bear
0:30:58 > 0:31:03# Just play and play all day... #
0:31:03 > 0:31:08Oh, bless! But the big question is why has it all taken so long?
0:31:08 > 0:31:12Seven years to do a loft conversion? Surely not!
0:31:12 > 0:31:16Last time you were here, we'd got scaffolding up.
0:31:16 > 0:31:19We were waiting for the builder to start on that,
0:31:19 > 0:31:24so it probably took eight to ten weeks to get the structure done
0:31:24 > 0:31:29and then perhaps another couple of weeks to get the interior done.
0:31:29 > 0:31:35Because we did quite a bit of the touching up ourselves, that probably took another good couple of months,
0:31:35 > 0:31:40but as with any of these projects you're living in, there's not necessarily the time constraints
0:31:40 > 0:31:46because you're already in the house, so touching up was being done even a couple of weeks ago.
0:31:46 > 0:31:51In the seven years it's taken to add those finishing touches,
0:31:51 > 0:31:55work has started on a development of up-market flats nearby.
0:31:55 > 0:31:58That might give a boost to property prices locally,
0:31:58 > 0:32:02but how much has Richard's renovation ended up costing?
0:32:02 > 0:32:05The initial budget, yeah, 60 or 70.
0:32:05 > 0:32:09With the loft, yeah, probably another ten on top of that.
0:32:09 > 0:32:12I'd say we probably came in at 80, 85.
0:32:13 > 0:32:19A renovation cost of £85,000 on top of his purchase price of £367,000
0:32:19 > 0:32:23brings Richard's total outlay here
0:32:23 > 0:32:26to a cool £452,000.
0:32:26 > 0:32:28We asked two local property experts
0:32:28 > 0:32:33to look around the finished mid-terrace and give us their thoughts.
0:32:33 > 0:32:36It's a lovely family home and very nicely decorated.
0:32:36 > 0:32:41A bit different to your standard Victorian terraces in the layout,
0:32:41 > 0:32:46but the finish on it is fabulous and it would make a great family home for somebody.
0:32:46 > 0:32:51Quite a bit has happened in the seven years since we were last here -
0:32:51 > 0:32:55property market crash, double-dip recession, mortgage mayhem.
0:32:55 > 0:32:59What do the experts think the mid-terrace would sell for today?
0:32:59 > 0:33:05I believe this property would achieve a figure in the region of £985,000.
0:33:05 > 0:33:09I would put this property on the market at £1.15 million.
0:33:10 > 0:33:15Did he just say £1.15 million?
0:33:15 > 0:33:17He did, didn't he? Yes.
0:33:17 > 0:33:20£1.15 million!
0:33:20 > 0:33:22Well, obviously very pleased.
0:33:22 > 0:33:27I know that there's been a lot of movement in the area recently
0:33:27 > 0:33:32because of the development that's been taking place at the end of the road,
0:33:32 > 0:33:34so, yeah, pleasantly surprised.
0:33:34 > 0:33:41If Richard were to sell, the estate agents' valuations would give him a profit before tax and expenses
0:33:41 > 0:33:47of between £533,000 and £698,000.
0:33:47 > 0:33:50Not bad, even over seven years.
0:33:50 > 0:33:52What about rentals?
0:33:52 > 0:33:57I'd put a rental value on this of £3,250 per calendar month.
0:33:57 > 0:34:02I think this property would rent at around £3,460 per month.
0:34:02 > 0:34:08Those rental valuations would give Richard a very healthy yield of around 9%.
0:34:08 > 0:34:14So does he feel he's reached his goal? Is this now the best house on the street?
0:34:14 > 0:34:20It's continually moving on this street. There's a lot of people moving in, renovating properties.
0:34:20 > 0:34:25We've got a house we're very happy with. I don't think we'd want to live anywhere else.
0:34:30 > 0:34:34Chellaston, now a suburb to the south of Derby, has a long history
0:34:34 > 0:34:39and is sometimes cited as the birthplace of Robin Hood.
0:34:39 > 0:34:42Maybe it's not.
0:34:42 > 0:34:46But we do know that it's mentioned in the Domesday Book
0:34:46 > 0:34:50and in the 11th century was sold for three shillings.
0:34:50 > 0:34:55Property here costs just a little bit more these days, though it is still a thriving community
0:34:55 > 0:34:58with a variety of housing to suit all pockets.
0:34:58 > 0:35:00So what was on offer at the auction?
0:35:00 > 0:35:07On this fairly modern housing estate close to the centre of Chellaston with all its amenities and things
0:35:07 > 0:35:09was the property itself.
0:35:09 > 0:35:15£55,000-plus was the guide price for a one-bedroom ground floor flat.
0:35:15 > 0:35:19It looks pretty good from the outside. In we go.
0:35:20 > 0:35:22So what have we got?
0:35:23 > 0:35:28A little entrance area here and then a bedroom there.
0:35:28 > 0:35:33Bathroom there. Not a bad size, At least it's got a white suite. No bath, just a shower.
0:35:33 > 0:35:36Not to everyone's taste, but you know, hey-ho!
0:35:36 > 0:35:40Then into this really nice-sized living space.
0:35:40 > 0:35:43In fact, almost too big for the flat if you like,
0:35:43 > 0:35:49which begs the question - could you consider converting this into maybe a two-bedroom?
0:35:49 > 0:35:54I don't know. I like this feeling of open-plan. It's certainly not claustrophobic at all.
0:35:54 > 0:36:00Then through into the kitchen and, joy of joys, look at this, absolutely lovely.
0:36:00 > 0:36:03It's a bit dated, but you could live with these units.
0:36:03 > 0:36:08It may not be to everyone's taste, but if you're looking at renting this place out,
0:36:08 > 0:36:12possibly just tidy it up a little bit and off you go.
0:36:12 > 0:36:16So, all in all, I'm getting a really good feel about this place.
0:36:16 > 0:36:22# That tonight's gonna be a good, good night I got a feeling... #
0:36:22 > 0:36:30The building is unlikely to outlive its 999-year lease, but it appears to have been well maintained.
0:36:30 > 0:36:36With minimum expense and effort, it could equally make someone a fine home
0:36:36 > 0:36:38or a profit on rental or re-sale.
0:36:38 > 0:36:42Ideally, you could put a bath into the bathroom,
0:36:42 > 0:36:45but having that shower does make it feel more spacious.
0:36:45 > 0:36:49But oddly enough, even though it's just a one-bedroom flat,
0:36:49 > 0:36:53a shortage of space isn't exactly an issue here.
0:36:53 > 0:36:58One thing that is often lacking in flats is storage space, but not in this one.
0:36:58 > 0:37:02You have got an absolute plethora of cupboards -
0:37:02 > 0:37:04one here, another one there...
0:37:06 > 0:37:08..one in the lounge
0:37:08 > 0:37:11and finally, one in the bedroom.
0:37:11 > 0:37:17Of course, you've also got the ones in the kitchen. Talk about cupboard love!
0:37:17 > 0:37:22# I love you cos you're just a cupboard lo-o-ove... #
0:37:23 > 0:37:27It's just as well there's plenty of space inside
0:37:27 > 0:37:30as the flat doesn't have a garden.
0:37:30 > 0:37:34But the flat is set in this neatly landscaped and tidy area,
0:37:34 > 0:37:38though you might want to look into who's responsible for that
0:37:38 > 0:37:41and what your share of those costs would be.
0:37:41 > 0:37:45Another issue is parking which is often tricky with flats.
0:37:46 > 0:37:52But in this case, what we've got is the fact the flat comes with its own garage.
0:37:52 > 0:37:56The only trouble is, I don't know which one it is.
0:37:56 > 0:38:00It could be one of these or one of those.
0:38:00 > 0:38:06Once you find your garage, I reckon you'd be getting an attractive deal with this little lot.
0:38:06 > 0:38:12For a guide price of £55,000-plus, it's a good, compact and attractive flat
0:38:12 > 0:38:15which doesn't really need much done to it.
0:38:15 > 0:38:17Time to chat to a local property expert
0:38:17 > 0:38:21to hear his thoughts on the place and what it has to offer.
0:38:21 > 0:38:26I would say the pros of this flat, it's a quiet, cul-de-sac location,
0:38:26 > 0:38:31it has neutral decor, ideal for a first-time buyer, investment,
0:38:31 > 0:38:35easy to manage living accommodation. A good property.
0:38:35 > 0:38:40I agree. It would make a great investment, especially if you wanted to rent it out
0:38:40 > 0:38:43because it's pretty much ready to go,
0:38:43 > 0:38:47but what changes would be advisable if you hoped to sell the place on?
0:38:47 > 0:38:51I would perhaps look at maybe upgrading the kitchen,
0:38:51 > 0:38:55just a touch of paint and maybe some new carpets, but overall, it's fine.
0:38:55 > 0:38:59What could you expect if you made those little improvements?
0:38:59 > 0:39:06If the property was refurbished, a general upgrade, I would say in the region of £68,000 to £70,000.
0:39:06 > 0:39:08What if you wanted to let it?
0:39:09 > 0:39:16I would expect to achieve in the region of £325 to £350 per calendar month.
0:39:16 > 0:39:22Not many negatives to say about this one. It would make a great home or a good investment purchase.
0:39:22 > 0:39:26You might want to play around with the internals, certainly modernise,
0:39:26 > 0:39:31but apart from that, yeah, a great one to go for. Let's see who agreed when it went under the hammer.
0:39:35 > 0:39:37Lot number seven.
0:39:37 > 0:39:42It's a very well located, one-bedroomed, ground floor flat.
0:39:42 > 0:39:45I'll start the bidding at 58,000 on a proxy bid.
0:39:45 > 0:39:50At 58,000, the bid is with me. 59 is bid. 60,000.
0:39:50 > 0:39:5261. 62.
0:39:52 > 0:39:5463? 63.
0:39:54 > 0:39:5864. 65? 65.
0:39:58 > 0:40:04250. 65,250. I've got to go there because that's my limit. Now I've told you.
0:40:04 > 0:40:0965 and a half. At 65 and a half. 66 elsewhere?
0:40:09 > 0:40:1366 at the back. 66-5? 66-5.
0:40:13 > 0:40:1667? 67.
0:40:16 > 0:40:1967,000. It's worth one more.
0:40:19 > 0:40:2367,000 at the back of the room. 500 somewhere else?
0:40:23 > 0:40:26At 67... 500. 67-5.
0:40:26 > 0:40:3068? £67,500, we're selling...
0:40:30 > 0:40:33For the first time at 67 and a half... 68.
0:40:33 > 0:40:37At 68. 68-5?
0:40:37 > 0:40:41£68,000, it goes once. Twice.
0:40:41 > 0:40:45Third time... Sold right at the back at 68,000. Thank you.
0:40:45 > 0:40:50'That successful bidder was Marcus, a full-time professional footballer.
0:40:50 > 0:40:57'As Marcus was busy training, his dad Graham, a builder, met me at the flat.
0:40:57 > 0:41:02'Graham's been on the show before when he renovated this semi-detached house in Derby.
0:41:04 > 0:41:08'Graham and Marcus run a property development business together.
0:41:08 > 0:41:12'Marcus buys the properties and Graham does the renovations.'
0:41:12 > 0:41:15- Graham, good to see you again. - And you.
0:41:15 > 0:41:18So how has the last project gone?
0:41:18 > 0:41:23Very well. It was all finished off and it sold about three weeks ago. Just waiting to complete now.
0:41:23 > 0:41:29- So that went well?- It did go well. With the profit we made on the last two houses,
0:41:29 > 0:41:3390% of this one was bought with the profit margin of two houses before.
0:41:33 > 0:41:35Wow!
0:41:35 > 0:41:39We thought do that and do this as a let only for the time being.
0:41:39 > 0:41:44We did our figures and probably within five years we'll have half our money back
0:41:44 > 0:41:47and then probably move it on from there.
0:41:47 > 0:41:52- Why this particular house? - We just thought... We bought it blind. We never saw it before.
0:41:52 > 0:41:57So we took a risk on that, but as it turns out, it was a good risk.
0:41:57 > 0:42:00The area is very good. They seem to let very quickly.
0:42:00 > 0:42:04You get a good standard of tenant in this area,
0:42:04 > 0:42:09- so we thought, "Why not? Just see how it goes and go from there."- Right.
0:42:09 > 0:42:12'The aim is to keep the flat and rent it out
0:42:12 > 0:42:16'with Graham and his son going for a basic refurbishment and tidy up.
0:42:16 > 0:42:21'But it also appears that they've seen the potential of using the space here
0:42:21 > 0:42:24'and are planning to make it into a two-bedroom apartment.'
0:42:24 > 0:42:30Basically, take this stud wall out here, probably moving it half a metre into the kitchen,
0:42:30 > 0:42:32which is still a fairly good kitchen.
0:42:32 > 0:42:36It allows us to get a good-sized bedroom the other side of the wall,
0:42:36 > 0:42:40- so to make it into a two-bed instead of a one-bed.- Right.
0:42:40 > 0:42:44- That comes down to whether or not that's worthwhile financially?- Yeah.
0:42:44 > 0:42:49If it's not going to be financially worth it, we'll just leave it as it stands.
0:42:49 > 0:42:53- Right.- And maybe a new kitchen, but we don't know yet.
0:42:53 > 0:42:58- Then rent it out. Presumably, time is of the essence if you're looking to rent it out?- Yeah.
0:42:58 > 0:43:01Straight in, straight out kind of thing.
0:43:01 > 0:43:07- What sort of timescale?- If we're going to do it very basic, within a week and a half to two weeks.
0:43:07 > 0:43:09Wow! That quick?
0:43:09 > 0:43:14But if we were going to do the bedroom, probably three weeks, hopefully.
0:43:14 > 0:43:18What sort of budget, depending on what you decide to do?
0:43:18 > 0:43:24On this, very minimal. If we're going to let it, you don't really want to go overboard on the spend
0:43:24 > 0:43:28because you think you could have a good tenant and you don't.
0:43:28 > 0:43:33Something that's nice they can ruin very quick, so probably minimal cost.
0:43:33 > 0:43:39- Probably 2,000 if we don't do the kitchen. If we do the kitchen, it will probably be about four.- Right.
0:43:39 > 0:43:41'Those figures are perfectly doable,
0:43:41 > 0:43:47'especially as, with Graham's building experience, he'll do most of the renovation himself.
0:43:47 > 0:43:51'That's apart from when qualified electricians are needed.
0:43:51 > 0:43:57'The team have already got several properties under their belt and seem to have a good thing going.
0:43:57 > 0:44:00'Marcus provides the finances while Dad does the hard graft.'
0:44:00 > 0:44:05- Does he get involved at all in the renovations?- Yes and no.
0:44:05 > 0:44:11I think he'd like to do more than he does, but his job is to more finance it and stuff like that
0:44:11 > 0:44:14and find the properties and my job is to do the dirty bit.
0:44:14 > 0:44:18- But it works for you? - It works, yeah.- And then what next?
0:44:18 > 0:44:22- Back to the auctions?- Back to the auctions to buy another property
0:44:22 > 0:44:26to renovate and sell on again, get some more money back in.
0:44:26 > 0:44:32- And keep the cycle going?- Yeah. - Congratulations. Good luck. Maybe we'll see you in a few more months.
0:44:32 > 0:44:35Hopefully.
0:44:35 > 0:44:42Well, the professional builder and professional footballer, father and son combination seems to work well
0:44:42 > 0:44:46and their strategy is certainly one that in the long term will pay off.
0:44:46 > 0:44:52How will they get on with this flat? Bit of work to do, a few decisions, one bedroom, two bedroom.
0:44:52 > 0:44:54Find out what happens later in the show.
0:44:57 > 0:45:02Martin, the weeks have now turned into months and we're dying to see the properties.
0:45:02 > 0:45:06- Will things have turned out as we hoped or not?- Let's find out.
0:45:08 > 0:45:14Back now to Gravesend, Kent, and this site with planning permission and a splendid selection of sheds.
0:45:16 > 0:45:19It was bought in an auction for £84,000 by Cliff
0:45:19 > 0:45:23who was going to build on it and then move in.
0:45:24 > 0:45:29The plot came with planning permission and detailed drawings for a two-bed house,
0:45:29 > 0:45:33but Cliff's intention was to make changes to the internal layout.
0:45:33 > 0:45:37The kitchen will be at the front of the property in the bay window.
0:45:37 > 0:45:42You'll walk in the front door by this garage, turn left into your kitchen,
0:45:42 > 0:45:47staircase in front of you, then turn right into a smaller bedroom in the middle,
0:45:47 > 0:45:50then into your lounge which opens out on to the garden.
0:45:51 > 0:45:58Cliff was planning to spend 90,000 and six months on the build, fitting it around other projects.
0:45:58 > 0:46:0312 months after our first visit, we're back to see how he's got on.
0:46:03 > 0:46:06# And you're making...
0:46:08 > 0:46:10# Something out of nothing
0:46:12 > 0:46:14# Maybe
0:46:14 > 0:46:17# I'm in love
0:46:18 > 0:46:21# Yeah, you're making
0:46:23 > 0:46:27# Something out of nothing
0:46:27 > 0:46:31# Maybe I've...
0:46:31 > 0:46:33# I've fallen in love... #
0:46:33 > 0:46:40It may have taken Cliff and his team twice as long as planned, but it's definitely been worth the wait.
0:46:40 > 0:46:44What a transformation from 12 months ago!
0:46:44 > 0:46:49We've been working here since then. Not constantly because we're working on other sites.
0:46:49 > 0:46:55But we're nearly finished, some carpets to go down, the drive to be tarmacked, and that's about it,
0:46:55 > 0:46:58so looking forward to moving in soon.
0:46:58 > 0:47:02This will make a lovely home for Cliff and his partner Theresa.
0:47:02 > 0:47:05The changes to the layout downstairs work really well.
0:47:05 > 0:47:08The picture window in the sitting room is fantastic.
0:47:08 > 0:47:13The study-cum-bedroom and downstairs shower room work really well.
0:47:13 > 0:47:17And as for the kitchen, well, what's not to like?
0:47:18 > 0:47:21Yes, as you can see, we've gone for a gloss white finish
0:47:21 > 0:47:24and melamine worktops.
0:47:24 > 0:47:28Appliances obviously on the bank that we've got here on the left -
0:47:28 > 0:47:31two cookers, a fridge-freezer tucked in there.
0:47:31 > 0:47:35We introduced a bulkhead all around the kitchen on three sides,
0:47:35 > 0:47:40so we don't have that ugly gap above the tops of the wall units which is a dust trap as well.
0:47:40 > 0:47:46We've got a washing machine and a dishwasher here and the five-ring gas hob and the extract fan there
0:47:46 > 0:47:48which is externally ducted as well.
0:47:48 > 0:47:53It's not a recirculating one, so we won't get nasty smells hanging around the kitchen.
0:47:53 > 0:47:59We'll have a table and chairs beneath the bay window. It's lovely when the sun's out. It beams in the window.
0:47:59 > 0:48:02The high-end finish extends upstairs
0:48:02 > 0:48:09where there's a really lovely bathroom and two good-sized bedrooms with pretty groovy wallpaper.
0:48:12 > 0:48:14# Daydream
0:48:14 > 0:48:17# I fell asleep amid the flowers
0:48:17 > 0:48:20# For a couple of hours
0:48:20 > 0:48:24# On a beautiful day... #
0:48:26 > 0:48:29Cliff has finished the place off beautifully,
0:48:29 > 0:48:34so I, for one, can forgive him for taking a bit longer than originally planned.
0:48:34 > 0:48:40Well, the timescale was going to be about six months to carry out the works.
0:48:40 > 0:48:43We're now in a 12-month period from start to finish.
0:48:43 > 0:48:49In some ways, that's good because it gives you a chance to think about things more, get the materials right
0:48:49 > 0:48:51and the paint and the wallpaper,
0:48:51 > 0:48:56whereas you would have been pushed to make the decision more in a six-month period.
0:48:56 > 0:49:00It's taken us 12 months, but it's worked out quite well.
0:49:00 > 0:49:06It's worked out very well, Cliff, but how have things gone on the budget front?
0:49:06 > 0:49:08Initially, I was thinking about £90,000.
0:49:08 > 0:49:15The service companies, once we bought the property, we went out for quotes and they were quite expensive,
0:49:15 > 0:49:17more than I actually budgeted for,
0:49:17 > 0:49:22so with regards to the high spec of the materials that we've used here and the fitments,
0:49:22 > 0:49:25we've ended up spending about £120,000.
0:49:26 > 0:49:32A £120,000 build cost on top of his purchase price of £84,000
0:49:32 > 0:49:37brings Cliff's total outlay here to £204,000.
0:49:37 > 0:49:41We asked two local property experts for their thoughts.
0:49:41 > 0:49:45First up, the estate agent who saw the plot first time around.
0:49:45 > 0:49:48My first thought about this property is "wow"!
0:49:48 > 0:49:51He's done a fantastic job throughout the property.
0:49:51 > 0:49:53From the outside, it looks very impressive,
0:49:53 > 0:49:56but when you come inside, it gets better.
0:49:56 > 0:50:00I don't think there's anything to fault on the design of the interior.
0:50:00 > 0:50:04The layout, the size, everything has been thought through thoroughly.
0:50:04 > 0:50:06This kitchen is just superb.
0:50:06 > 0:50:11Every woman's dream. The storage space, two ovens...
0:50:11 > 0:50:13Marvellous.
0:50:13 > 0:50:16A ringing endorsement there from the experts.
0:50:18 > 0:50:21Cliff has built this to live in with his partner,
0:50:21 > 0:50:24but if he wanted to, what might it let for?
0:50:24 > 0:50:27If we were to put this property on the market for rental,
0:50:27 > 0:50:31I would expect to achieve £950 to £1,000 per calendar month.
0:50:31 > 0:50:36I think it would achieve at least £1,200 per calendar month.
0:50:36 > 0:50:43Those rental valuations would give Cliff a yield of between around 5.5 and 7%,
0:50:43 > 0:50:47but bearing in mind his total investment of 204,000,
0:50:47 > 0:50:51what do they think the property might fetch if sold on?
0:50:51 > 0:50:59I would expect it to achieve anywhere between £250,000 and £275,000.
0:50:59 > 0:51:06I'd expect the property to achieve at least £285,000 to £290,000.
0:51:06 > 0:51:10It sounds very good, doesn't it? Yeah, it's good, very good.
0:51:10 > 0:51:13At worst, I thought 240, 245.
0:51:14 > 0:51:20Those re-sale valuations would give Cliff a profit, before tax and expenses,
0:51:20 > 0:51:23of between £46,000 and £86,000,
0:51:23 > 0:51:28but he's here for the long haul and very happy he should be too.
0:51:28 > 0:51:31# Congratulations
0:51:31 > 0:51:34# And jubilations
0:51:34 > 0:51:40# I want the world to know I'm happy as can be-e-e... #
0:51:47 > 0:51:52Earlier, we were in Chellaston in Derby where we saw a one-bedroom flat.
0:51:52 > 0:51:57It was not only in ship-shape condition, but came with its own garage.
0:51:57 > 0:52:04Professional footballer Marcus and his father Graham bought it at auction for £68,000.
0:52:04 > 0:52:08They run a small property developing business. We'd met Graham before
0:52:08 > 0:52:12when the duo renovated this semi-detached house in Derby.
0:52:12 > 0:52:16With the profit from the sale of that, they'd bought this flat.
0:52:16 > 0:52:19This time, it was not to renovate and sell on, but to let.
0:52:19 > 0:52:26They had taken a gamble as they hadn't viewed it before the auction, but luck was on their side.
0:52:26 > 0:52:30As the flat was in good condition, it just needed a basic refurbishment,
0:52:30 > 0:52:34although Graham had plans to create another bedroom.
0:52:34 > 0:52:40Basically, take this stud wall out here, probably moving it half a metre into the kitchen,
0:52:40 > 0:52:42still making a fairly good kitchen.
0:52:42 > 0:52:47It allows us to get a good-sized bedroom the other side of the wall,
0:52:47 > 0:52:50so to make it into a two-bed, instead of a one-bed.
0:52:50 > 0:52:54That comes down to whether or not it's financially worthwhile?
0:52:54 > 0:53:00If it's not going to be financially worth it, there's no point. We'll just leave it as it stands.
0:53:00 > 0:53:04I personally preferred keeping the space as it was,
0:53:04 > 0:53:07but they felt the extra room could be a rental generator.
0:53:07 > 0:53:13As it was, Graham anticipated a basic refurbishment taking two weeks on a budget of £2,000,
0:53:13 > 0:53:19or with a new bedroom added, taking three weeks and costing £4,000.
0:53:20 > 0:53:25We returned a month later to see if it was a one-bed or two.
0:53:25 > 0:53:29It looks like Graham has opted for that basic refurbishment.
0:53:29 > 0:53:32There's a fresh lick of paint in the hall,
0:53:32 > 0:53:35the same in the bathroom...
0:53:36 > 0:53:38..and again in the bedroom.
0:53:40 > 0:53:43The tiny kitchen now has new appliances.
0:53:44 > 0:53:47That just leaves the spacious living room
0:53:47 > 0:53:49and, well, it's still a living room.
0:53:50 > 0:53:55Graham explains why leaving it like this was really a no-brainer.
0:53:55 > 0:54:01As you can see, this room is near enough the same as it was the day we took over the property.
0:54:01 > 0:54:05We did think about removing this wall to turn it into a two-bed property,
0:54:05 > 0:54:11but because the tenants wanted it as it stood, we decided to leave it to make minimal work
0:54:11 > 0:54:14and just a quick coat of paint - job done.
0:54:14 > 0:54:17I'm glad the living room has retained its space,
0:54:17 > 0:54:21but also that Graham and Marcus have already got a tenant lined up.
0:54:21 > 0:54:26On the day of the filming the first time, a tenant wanted the property there and then,
0:54:26 > 0:54:29so it was not worth putting the money into it
0:54:29 > 0:54:33because we were going to get the rental we wanted for no work.
0:54:33 > 0:54:38Apart from the appliances, a new light fitting has been installed in the kitchen
0:54:38 > 0:54:41at the request of the new tenant and that's it.
0:54:41 > 0:54:45A no-nonsense, no-frills, pain-free, cosmetic refurbishment.
0:54:45 > 0:54:50For a first rental project for Graham, it couldn't have been easier.
0:54:50 > 0:54:52We don't normally touch rentals.
0:54:52 > 0:54:57We normally buy properties in bad condition to renovate and sell on at a healthy profit.
0:54:57 > 0:55:01We bought this one solely with the profit we made on the last two.
0:55:01 > 0:55:06This is a classic case of "if it ain't broke, don't fix it" which suited Graham just fine.
0:55:06 > 0:55:10So how much did he spend here? Unless I'm very much mistaken,
0:55:10 > 0:55:15I can't imagine this minimal makeover put too much strain on that £2,000 budget.
0:55:15 > 0:55:19With all the appliances and the new kitchen light, about £850.
0:55:19 > 0:55:27With their purchase price of 68,000, that would bring the outlay on this flat to just under 69,000,
0:55:27 > 0:55:31so no pressure on the budget then or on Graham's timescale.
0:55:31 > 0:55:37The schedule went very quick on this as I thought it would do anyway, regardless if we did the wall or not.
0:55:37 > 0:55:40I did all the work as I do on all the properties
0:55:40 > 0:55:44and this one to decorate through took four days from start to finish.
0:55:44 > 0:55:47I wish everything could be that easy.
0:55:47 > 0:55:50But have they done enough to get the best
0:55:50 > 0:55:53out of their £69,000 investment?
0:55:53 > 0:55:57Time to hear the thoughts of two local property experts.
0:55:57 > 0:56:00First, the estate agent who viewed the flat before.
0:56:01 > 0:56:03I think he's made a good improvement
0:56:03 > 0:56:05on the cosmetic side
0:56:05 > 0:56:10because from my previous visit, there wasn't much that needed doing.
0:56:10 > 0:56:15As a rental proposition, this is an ideal property. It's the right size and area.
0:56:15 > 0:56:17It's finished in the right way.
0:56:17 > 0:56:21For a rental return, the owner has done exactly what he needs to do.
0:56:21 > 0:56:24Any more wouldn't be worthwhile financially.
0:56:24 > 0:56:28The estate agents reckon the changes are just right for the property,
0:56:28 > 0:56:33so with the tenant moving in soon, have the team got the right rental returns here?
0:56:33 > 0:56:37If I was to place this property on the open rental market,
0:56:37 > 0:56:41I would suggest a figure of £350 per calendar month.
0:56:41 > 0:56:44This ought to let nicely at £395 per month.
0:56:44 > 0:56:47We are letting it for 420 a month,
0:56:47 > 0:56:50so it's...good news.
0:56:50 > 0:56:56With that rental income, they will be getting an annual yield of just over 7%.
0:56:56 > 0:57:00That's pretty good going, but should they decide to sell,
0:57:00 > 0:57:04how much profit could they make from their £69,000 investment?
0:57:04 > 0:57:07If I was to place this property on the open market,
0:57:07 > 0:57:12I would suggest an asking price of £69,950, offers around.
0:57:12 > 0:57:16With a view to sale, we ought to be asking £70,000.
0:57:16 > 0:57:20That's nearly bang on what we paid for it. I think it was 69.
0:57:20 > 0:57:25The climate's not that good at the moment, so when it picks up, it will go beyond that, hopefully.
0:57:25 > 0:57:28But we're not looking to sell it for ten years.
0:57:28 > 0:57:33I reckon they made the right decision about using this place as a long-term rental,
0:57:33 > 0:57:38but they did buy the property without seeing it before the auction
0:57:38 > 0:57:41and are very aware it could have all gone wrong.
0:57:41 > 0:57:43It's a gamble at the end of the day.
0:57:43 > 0:57:46You either take the gamble and it pays off
0:57:46 > 0:57:51or you could be stuck with a property for months and not have a tenant,
0:57:51 > 0:57:56but we was lucky and so I hope the luck stays with us.
0:57:56 > 0:58:01It's worked out this time, but I absolutely do not recommend buying blind.
0:58:01 > 0:58:05So what's in store now for this father and son team?
0:58:05 > 0:58:09We'll be looking for another house this month at the auctions to sell on,
0:58:09 > 0:58:13so happy days, hopefully, again.
0:58:15 > 0:58:18That's it for today's show. Join us next time.
0:58:18 > 0:58:22- We hope we've inspired you on Homes Under The Hammer. - Bye for now.- Goodbye.
0:58:44 > 0:58:46Subtitles by Red Bee Media Ltd