0:00:02 > 0:00:03Hello, welcome to the show.
0:00:03 > 0:00:07Now, buying a property, be it a home or an investment,
0:00:07 > 0:00:09could possibly be the most expensive thing you ever buy.
0:00:09 > 0:00:12So, with thousands of pounds involved,
0:00:12 > 0:00:14you really should try and get the best value for money.
0:00:14 > 0:00:15Where can you do that?
0:00:15 > 0:00:18Well, maybe by heading down to your local auction.
0:00:44 > 0:00:47Congleton in Cheshire has a strange link with
0:00:47 > 0:00:49a very unexpected animal, the bear.
0:00:49 > 0:00:52Unfortunately, though, this isn't a cuddly bear story.
0:00:52 > 0:00:57Nowadays, bear baiting in the UK would be unthinkable.
0:00:57 > 0:01:00But this blood sport once brought in huge crowds.
0:01:00 > 0:01:04Congleton became notorious in the 1620s, when money saved to
0:01:04 > 0:01:08buy a Bible for the town was used instead to buy a bigger bear.
0:01:08 > 0:01:12Hence its peculiar nickname, "Beartown".
0:01:12 > 0:01:16There are still a few bears in town, but thankfully, better treated.
0:01:16 > 0:01:20# I want to give you a bear hug. #
0:01:22 > 0:01:26Well, being only 30 minutes from Manchester by train,
0:01:26 > 0:01:30a lot of people move to Congleton for the quieter life.
0:01:30 > 0:01:32Well, if that is what you are looking for,
0:01:32 > 0:01:35the property I am here to see really won't suit. This is it.
0:01:35 > 0:01:39Two bedrooms, £40,000 was the guide price.
0:01:39 > 0:01:42But before we go in, I've got to show you this. The reason it's SO
0:01:42 > 0:01:45bad if you're looking for peace and quiet, is because not only is
0:01:45 > 0:01:48it on a main road, it's right by these traffic lights.
0:01:48 > 0:01:52So you don't get the constant vroom-vroom of the cars,
0:01:52 > 0:01:55and the lorries and whatever else, you get them stopping at the
0:01:55 > 0:01:58lights and starting their engines up and... Argh! Nightmare.
0:01:58 > 0:02:00OK. That's the bad bit.
0:02:00 > 0:02:02Let's find out what it's got to offer.
0:02:04 > 0:02:06Ooh...
0:02:06 > 0:02:08HE SNORTS
0:02:08 > 0:02:10That's not ideal, is it?
0:02:10 > 0:02:15Um... Yeah, the electric cupboard, just there, behind the door.
0:02:15 > 0:02:18To a point that you've... Well, no, not ideal.
0:02:18 > 0:02:23So, after that slightly startling start, what have we got?
0:02:23 > 0:02:25Lots of stuff on the walls, that's for sure.
0:02:25 > 0:02:29But, a little corridor, front living room there.
0:02:29 > 0:02:31It's not a bad-sized space,
0:02:31 > 0:02:35and certainly lots of character, with those beamy things going on.
0:02:35 > 0:02:37Another beam here for... Watch your head on that.
0:02:37 > 0:02:42Through to a rear sitting room, there's lots of wood going on.
0:02:42 > 0:02:43Um...
0:02:43 > 0:02:45Hmmm.
0:02:45 > 0:02:48- I say "wood"... - HE CHUCKLES
0:02:48 > 0:02:51Closer inspection... That isn't, is it?
0:02:51 > 0:02:59That's some kind of concrete-y, fibreglass-y, plaster-y faux wood.
0:02:59 > 0:03:02The sort of thing you have in theme parks,
0:03:02 > 0:03:03when it looks like boulders and stuff.
0:03:03 > 0:03:07But somebody's gone to a lot of trouble to put it on. Hmmm.
0:03:07 > 0:03:11Anyway, through there to this area here, this is the kitchen,
0:03:11 > 0:03:13through to the bathroom.
0:03:13 > 0:03:17I mean, for 40,000 quid, I know it's got a few quirky
0:03:17 > 0:03:20things about it, but it's not a bad house, is it?
0:03:28 > 0:03:31Well, top of the stairs and a real safety issue,
0:03:31 > 0:03:33a potential disaster waiting to happen, here.
0:03:33 > 0:03:35Because look what you've got.
0:03:35 > 0:03:36Fair enough, top of the stairs,
0:03:36 > 0:03:39bit of a landing area, going into that bedroom.
0:03:39 > 0:03:42But nothing here apart from this tiny little area here,
0:03:42 > 0:03:45when you come out of this bedroom here.
0:03:45 > 0:03:47So the danger of basically stepping off there
0:03:47 > 0:03:49and falling down the stairs is huge.
0:03:54 > 0:03:58Aside from that issue, there are two good-sized bedrooms up here.
0:03:58 > 0:04:02But shiver me timbers, more of those beams.
0:04:02 > 0:04:04The rooms are nice and bright,
0:04:04 > 0:04:08but I think I would want to get rid of these leaded windows and get
0:04:08 > 0:04:10some double, maybe even triple glazing,
0:04:10 > 0:04:11to keep the noise out.
0:04:13 > 0:04:18The floor definitely has a slope, so a structural survey is a must.
0:04:18 > 0:04:20Let us head outside to see
0:04:20 > 0:04:23if that's on the straight, but hopefully not narrow.
0:04:25 > 0:04:29Well, if you're looking for a house with lots of outside space,
0:04:29 > 0:04:33you need to look somewhere else, because literally, all you have got
0:04:33 > 0:04:36is that little bit of courtyard.
0:04:36 > 0:04:39That bit there actually belongs to the next-door neighbours.
0:04:39 > 0:04:43Now, it's not ideal, but I'm trying to find a plus point here...
0:04:43 > 0:04:46If you were looking to rent this place out, tenants generally
0:04:46 > 0:04:49don't like large gardens, something they have to look after, at least.
0:04:49 > 0:04:52So what you've got here is space for your bins,
0:04:52 > 0:04:55maybe somewhere you can put your bikes. So that's a positive.
0:04:55 > 0:04:59# Cos I'm Mr Brightside. #
0:05:02 > 0:05:07Perhaps a local estate agent might like to borrow my rose-tinted spectacles.
0:05:07 > 0:05:13What does he reckon about this property, guided at £40,000?
0:05:13 > 0:05:16You're probably looking to achieve somewhere in the region
0:05:16 > 0:05:18between £75-£80,000.
0:05:18 > 0:05:21If the property was placed on the rental market, I would expect to
0:05:21 > 0:05:26achieve somewhere in the region of £400-£450 per calendar month.
0:05:27 > 0:05:30Well, it's certainly a house with lots of character.
0:05:30 > 0:05:32Some would call it quirky.
0:05:32 > 0:05:37Not an ideal location, but remember that guide price, £40,000.
0:05:37 > 0:05:39I actually think it's a really good one to go for.
0:05:39 > 0:05:42Let's see who agreed, when it went under the hammer.
0:05:42 > 0:05:44It's a two-bedroomed, end-terraced house.
0:05:44 > 0:05:48I have a proxy bid on this of £28,000.
0:05:48 > 0:05:51So bid with me at £28,000.
0:05:51 > 0:05:5830 in the room. £30,000 in the room. At £30,000. 31 with me. 32.
0:05:58 > 0:06:0233 with me. 34. At 34, I am out.
0:06:02 > 0:06:07At £34,000. 34,500, 35, 35.
0:06:09 > 0:06:10Another 500?
0:06:12 > 0:06:16No? At 35,000, right in the middle, at £35,000.
0:06:16 > 0:06:19Right at the back now, 35,500.
0:06:20 > 0:06:2536. 36. 36,500.
0:06:25 > 0:06:3137. No? At 36,500 now, by the light, £36,500.
0:06:31 > 0:06:3337 anywhere else?
0:06:34 > 0:06:39If not, 36,500 once, 36,500 twice,
0:06:39 > 0:06:42third and final time, 36,500...
0:06:42 > 0:06:44- GAVEL BANGS - Your house, well done.
0:06:46 > 0:06:51Julia made that successful bid of £36,500.
0:06:51 > 0:06:54That's £3,500 below the guide price.
0:06:54 > 0:06:57Julia and her husband Mike are relative novices
0:06:57 > 0:06:59when it comes to property development,
0:06:59 > 0:07:02with two previous developments their only experience.
0:07:02 > 0:07:05However, they're keen to get going with their latest purchase,
0:07:05 > 0:07:08and I met full-time mum, Julia, back at the property
0:07:08 > 0:07:10to find out their plans.
0:07:10 > 0:07:14- Julia, great to meet you.- And you. - Congratulations!- Thank you.
0:07:14 > 0:07:17- What an interesting little place this is.- Mmm.
0:07:17 > 0:07:19Tell me why you wanted to buy it.
0:07:19 > 0:07:20Mainly the price.
0:07:20 > 0:07:22It was the right price.
0:07:22 > 0:07:25And I know this area a little bit,
0:07:25 > 0:07:29so I knew that the price was a good price for this area, really.
0:07:29 > 0:07:31What are you planning to do to it?
0:07:31 > 0:07:36Most things really, it needs the damp sorting out.
0:07:36 > 0:07:39It needs replastering, it needs rewiring,
0:07:39 > 0:07:42it's got no central heating, new windows.
0:07:42 > 0:07:44- And kitchen...- Kitchen, bathroom, yeah, yeah.
0:07:44 > 0:07:47All that needs ripping out and starting again.
0:07:47 > 0:07:51Julia's certainly made a great assessment of the tasks ahead,
0:07:51 > 0:07:54and I'm delighted to say, has in her sights one of the main
0:07:54 > 0:07:56difficulties I can see about the house.
0:07:56 > 0:07:58That staircase.
0:08:00 > 0:08:02I'll need to get somebody in and have a look.
0:08:02 > 0:08:05But if we can try and rearrange it, maybe bring it further out this
0:08:05 > 0:08:08way, so that we can get a proper landing at the top.
0:08:08 > 0:08:12- And what about all of this...wood, whatever it is?- Yeah.
0:08:12 > 0:08:14It needs to go, really, doesn't it?
0:08:14 > 0:08:18Well...somebody's gone to such a lot of trouble to put it in.
0:08:18 > 0:08:22- It's a shame to say, "Yes", but...yes!- It does, it needs to go.
0:08:22 > 0:08:24- I think it takes up a lot of space, as well.- Yeah.
0:08:24 > 0:08:26Get rid of that, open it up a bit.
0:08:26 > 0:08:29The one big negative, if there are any, is the location.
0:08:29 > 0:08:32Good and bad, good in terms of what it's close to,
0:08:32 > 0:08:36- but right on this junction, you can hear the traffic, it's...- Yeah.
0:08:36 > 0:08:39- This isn't even peak time, is it? - No.
0:08:39 > 0:08:43- Can't do anything about that though, apart from put in triple glazing. - New windows, yeah.
0:08:43 > 0:08:45I think we'll try and do the best we can with the windows.
0:08:45 > 0:08:48And, like you say, other than that... I think, you know,
0:08:48 > 0:08:51I've lived on a busy road, and you get used to it.
0:08:51 > 0:08:53So I think, as a rental property,
0:08:53 > 0:08:55I don't think that will be too much of an issue.
0:08:55 > 0:08:59- And that's the plan, is it? To rent it out?- Yes. Yeah, it is.
0:08:59 > 0:09:02Well, before Julia can look for any renters,
0:09:02 > 0:09:05she's got a long list of pretty big jobs to get done.
0:09:05 > 0:09:09Although she does have a fairly healthy budget of around £23,000,
0:09:09 > 0:09:13and a timescale of three to four months to get this dated
0:09:13 > 0:09:18and wonky house ready for the rental market.
0:09:18 > 0:09:22So, how involved are you going to be with it?
0:09:22 > 0:09:26I will be here most days, to make sure that everything's going
0:09:26 > 0:09:30- according to plan.- Telling other people what to do?- Exactly.
0:09:30 > 0:09:33- HE LAUGHS - Yes.- Well, congratulations. - Thank you.
0:09:33 > 0:09:37- I look forward to seeing how you get on.- Thank you, very much.
0:09:39 > 0:09:43So it looks like the fake wood is destined to go, in Julia's
0:09:43 > 0:09:46renovation of this little property in Congleton.
0:09:46 > 0:09:49It's one of those ones that is going to be dramatically
0:09:49 > 0:09:50different when we return.
0:09:50 > 0:09:52Can't wait to see what it looks like.
0:09:52 > 0:09:54You can find out, later in the show.
0:09:57 > 0:09:59And talking of dramatically different,
0:09:59 > 0:10:02it's hard to believe that Willesden, here in north London,
0:10:02 > 0:10:06was once a rural village with a population of less than 20,000.
0:10:06 > 0:10:11In the late 1800s, the population grew to 140,000
0:10:11 > 0:10:15in just 25 years, thanks to the arrival of the railway.
0:10:15 > 0:10:22# Guess I will spend my life in railway stations. #
0:10:22 > 0:10:27The property I'm here to see today is part of these Victorian terraces,
0:10:27 > 0:10:30probably built around the time of the railway station.
0:10:30 > 0:10:33Well, it's in here, it's on the first floor, it's a one-bedder
0:10:33 > 0:10:38and it has a guide price of £260,000-plus.
0:10:38 > 0:10:41Let's see what those good old Victorians built.
0:10:45 > 0:10:48First things first, in through the front door
0:10:48 > 0:10:50and a flight of stairs to negotiate.
0:10:50 > 0:10:54Now, I'm not going to let that put me off, although the decor might.
0:10:54 > 0:10:56So a lot in this flat needs doing.
0:10:56 > 0:10:59But only decoration and carpets and painting,
0:10:59 > 0:11:03lots of egg-yolk yellows everywhere, and oranges.
0:11:03 > 0:11:06Bathroom and through to the backroom,
0:11:06 > 0:11:10painted in a very interesting sorbet tangerine colour.
0:11:10 > 0:11:12But this is what I can't believe.
0:11:12 > 0:11:16Look how close you are to the tube station! Look!
0:11:16 > 0:11:19They literally are in your back garden.
0:11:19 > 0:11:21Now, let's do a sound test.
0:11:21 > 0:11:23FAINT SOUND OF TUBE TRAIN
0:11:23 > 0:11:25(Doesn't make that much difference!)
0:11:25 > 0:11:28So, could it be a positive, could it be a negative? I'm not quite sure.
0:11:28 > 0:11:31It depends how quickly you need to get into town.
0:11:31 > 0:11:35# If it makes you happy
0:11:36 > 0:11:40# It can't be that bad. #
0:11:41 > 0:11:43It's almost like this flat has got a pulse.
0:11:43 > 0:11:48Because, when the trains go, the flat just slightly moves.
0:11:48 > 0:11:51You've got the kitchen just here, which is a great size.
0:11:51 > 0:11:53There's a table in there, so you can sit down and eat,
0:11:53 > 0:11:56and through here, well, this is the front of the property.
0:11:56 > 0:12:00This is currently laid out as the bedroom.
0:12:00 > 0:12:03Now, I am thinking it would be served so much better
0:12:03 > 0:12:06as a living room, a cosy lounge...
0:12:06 > 0:12:08Why do you think this is the bedroom?
0:12:08 > 0:12:11Do you think it's too noisy at the back?
0:12:11 > 0:12:14If you slept at the back, you could hear the trains? What do you think?
0:12:14 > 0:12:17I don't know, I'm going to leave that one with you.
0:12:17 > 0:12:20But I think if this were mine, actually, I might swap it over.
0:12:23 > 0:12:25Let's see what a local estate agent makes of this flat,
0:12:25 > 0:12:27guided at 260,000.
0:12:28 > 0:12:31- # People all over the world- Everybody
0:12:31 > 0:12:33- #- Join hands- Love train
0:12:33 > 0:12:36# Start a love train, love train. #
0:12:36 > 0:12:39So, if you were to keep this property laid out as it is,
0:12:39 > 0:12:40but in good condition,
0:12:40 > 0:12:43you'd be looking at around £350,000 for sales and you'd be looking
0:12:43 > 0:12:47at around £1,300 per calendar month for the lettings market.
0:12:47 > 0:12:49If you were to convert this into a two-bedroom property, it'd be
0:12:49 > 0:12:53two double bedrooms, and you'd be looking at £400,000 for sales.
0:12:53 > 0:12:56And you'd be looking at around £1,500 per calendar month
0:12:56 > 0:12:58for the lettings market.
0:12:58 > 0:13:01Well, this little flat over a few levels certainly has character
0:13:01 > 0:13:03and lots of exciting options.
0:13:03 > 0:13:06You could do a simple refurb, or you could think about
0:13:06 > 0:13:10a complete overhaul. But is it too near to that train station?
0:13:10 > 0:13:13Or will people absolutely love that?
0:13:13 > 0:13:17Let's see what happens when this property went under the hammer.
0:13:17 > 0:13:19A one-bed, first-floor flat.
0:13:19 > 0:13:22250. Thank you, 250.
0:13:22 > 0:13:24255 anywhere?
0:13:24 > 0:13:28We've got 250, standing up at the back. Anyone else?
0:13:28 > 0:13:33It is with you... Ah. 255, thought you had it. 260.
0:13:33 > 0:13:35'Bidding started a little sluggish,
0:13:35 > 0:13:38'but it soon became a nerve-jangling battle.
0:13:38 > 0:13:42'We rejoin the bidding at 275,000.'
0:13:42 > 0:13:45275.
0:13:45 > 0:13:51276, 277, 278, 279, 280, 281,
0:13:51 > 0:13:55282, 283, 284, 285,
0:13:55 > 0:14:01286... It might be...? One more go, yeah?
0:14:01 > 0:14:03286, 287?
0:14:04 > 0:14:09287, 288, 289, 290...
0:14:09 > 0:14:13Must go one... 290... They are struggling a bit.
0:14:13 > 0:14:15290, well done. 291.
0:14:16 > 0:14:19291? 291.
0:14:19 > 0:14:22Daren't ask him now! 292, right, I got two!
0:14:22 > 0:14:25291, have a think.
0:14:25 > 0:14:27292, elsewhere?
0:14:27 > 0:14:29Got 291 standing up.
0:14:29 > 0:14:33First time, second time, third and last time, if you're all done...
0:14:35 > 0:14:37Sold, 291.
0:14:37 > 0:14:39Raj was the successful bidder.
0:14:39 > 0:14:44He and his business partner finally purchasing the property for 291,000.
0:14:44 > 0:14:47And he's definitely in the know when it comes to property.
0:14:47 > 0:14:52Not only is Raj local, he has another ace up his sleeve.
0:14:52 > 0:14:55I met him to find out how he knows all the right steps.
0:14:56 > 0:15:00# He's Mr Know-It-All... #
0:15:00 > 0:15:03- Raj, congratulations. - Thank you very much indeed.
0:15:03 > 0:15:06- So, here you have a one-bedroom flat...- That's right. That's right.
0:15:06 > 0:15:09- ..with a tube station...- Mm-hmm. - ..right there. I mean, is that handy?
0:15:09 > 0:15:12Is that going to put buyers off? What do you think?
0:15:12 > 0:15:14I think... It may put some buyers off
0:15:14 > 0:15:16but the real charm of this property
0:15:16 > 0:15:18is actually the location of the station.
0:15:18 > 0:15:21It's about ten minutes into central London to get to Bond Street
0:15:21 > 0:15:25and about 15-20 minutes into Canary Wharf, so that is actually
0:15:25 > 0:15:28one of the charms and the reason we actually chose this location.
0:15:28 > 0:15:30So, tell me, what is your knowledge of property?
0:15:30 > 0:15:33Well, by profession I am actually a property solicitor
0:15:33 > 0:15:35and that's what actually inspired me
0:15:35 > 0:15:38to actually try a bit of dab hand at property developing.
0:15:38 > 0:15:42I used to see a lot of clients make a bob or two on the property game
0:15:42 > 0:15:44after lots of hard work and perseverance.
0:15:44 > 0:15:47- I got my first property about four or five years ago...- OK.
0:15:47 > 0:15:50..and I've done a few projects myself and this one is together with
0:15:50 > 0:15:53my business partner and I've done a handful with him as well.
0:15:53 > 0:15:57So, what advantage do you have over somebody else
0:15:57 > 0:15:58that may just go to a property auction?
0:15:58 > 0:16:00I think I knew the legalities of it.
0:16:00 > 0:16:04I know, on your show, Martin and yourself are always telling people to look at the legal packs,
0:16:04 > 0:16:07so whenever the legal packs are there for any property
0:16:07 > 0:16:09myself or my business partner are interested in,
0:16:09 > 0:16:10I scrutinise it with a fine tooth comb,
0:16:10 > 0:16:14make sure there's no sort of hidden extras or hidden muckies
0:16:14 > 0:16:16or special conditions which could be overly onerous.
0:16:16 > 0:16:18# We laid down the law
0:16:18 > 0:16:21# So what you need me for...? #
0:16:21 > 0:16:25See, it's not just Martin and I that swear by the legal pack
0:16:25 > 0:16:28and Raj is ready to rewrite the laws of this flat's layout.
0:16:29 > 0:16:33So, what we're looking to do is we're looking to reconfigure the property.
0:16:33 > 0:16:34At the moment, it's a one-bedroom
0:16:34 > 0:16:36so what we are going to be doing is taking the wall down
0:16:36 > 0:16:40between the current bedroom and the actual kitchen
0:16:40 > 0:16:44and relocating the kitchen into an open-plan area,
0:16:44 > 0:16:47and the front bedroom will actually become the open-plan living area
0:16:47 > 0:16:49with the kitchen combined.
0:16:49 > 0:16:53So, you're looking at creating a lounge/kitchen area, one space?
0:16:53 > 0:16:57- That's right.- And making that tiny little bit left over...- Yes. - ..a bedroom?
0:16:57 > 0:17:00- It can work. It has worked on previous projects...- Oh, Raj!
0:17:00 > 0:17:02It can actually work!
0:17:02 > 0:17:05That's going to be a shoebox but I know we're in London
0:17:05 > 0:17:07and we are literally a stone's throw from the tube
0:17:07 > 0:17:09but that is going to be a very small room.
0:17:09 > 0:17:11In all honesty, now, come on, this is your game,
0:17:11 > 0:17:13how much value can you add by doing that?
0:17:13 > 0:17:16We would hope a little bit.
0:17:16 > 0:17:19We've spoken to a few agents and knowing from some of the projects
0:17:19 > 0:17:22we've done in the past as well, you are right, we are in London.
0:17:22 > 0:17:26Even that small second bedroom where you can just about squeeze that second bedroom in,
0:17:26 > 0:17:30it does actually make it worth doing.
0:17:31 > 0:17:33Could Raj be right?
0:17:33 > 0:17:37His tangerine dream might give you nightmares if you live anywhere else.
0:17:37 > 0:17:39London? He knows his stuff.
0:17:39 > 0:17:43He's given himself two and a half months to sort this flat out.
0:17:43 > 0:17:48- So, come on, how much are you going to spend here?- We've got a budget of £15-20,000.
0:17:48 > 0:17:51I think from previous experience that's a fair estimate
0:17:51 > 0:17:53but obviously we always have a contingency.
0:17:53 > 0:17:57- You never know if something...you know...some uglies may crop... - Oh, you're so sensible.
0:17:57 > 0:18:00HE LAUGHS If there's any man that's going to do it right, it's going to be you!
0:18:00 > 0:18:02- Check this, Raj. - I really hope so, Lucy.
0:18:02 > 0:18:05Are you that strict? Are you that stringent with everything you do?
0:18:05 > 0:18:07It's got to be by the book?
0:18:07 > 0:18:09I think sometimes but sometimes I get lazy.
0:18:09 > 0:18:12I know there can be delays and sometimes builders don't turn up.
0:18:12 > 0:18:13Sometimes materials are not available
0:18:13 > 0:18:17- and sometimes I can't be bothered to get out of bed as well!- And I bet that bugs you like crazy
0:18:17 > 0:18:20- because I know that you like everything just so.- Yeah.
0:18:20 > 0:18:22Well, I just hope you do end up making a bob or two.
0:18:22 > 0:18:26- Thank you very much indeed.- Cos that's what it's all about for you. - Absolutely.- Well done.
0:18:26 > 0:18:29- Congratulations.- Thank you very much.- Thank you so much.
0:18:30 > 0:18:33So, property solicitor turned property developer Raj
0:18:33 > 0:18:36has his latest property for his portfolio,
0:18:36 > 0:18:38and if it all goes to plan,
0:18:38 > 0:18:42then he is potentially looking at a nice tidy profit.
0:18:42 > 0:18:46But, does he really think bedroom number two is worthwhile?
0:18:46 > 0:18:50Taking that wall down, is it really going to add that much value?
0:18:51 > 0:18:54You can find out if Raj does make his bob or two
0:18:54 > 0:18:55later on in the programme.
0:18:57 > 0:19:01There's big plans to sort out this ambulance station's ills.
0:19:01 > 0:19:03There's going to be an extension
0:19:03 > 0:19:06and eventually then be a swimming pool out on the site.
0:19:09 > 0:19:12And has our property solicitor caught the development bug?
0:19:12 > 0:19:15We'll definitely be hitting the auction room again.
0:19:15 > 0:19:17Hope to buy sooner rather than later.
0:19:20 > 0:19:24Time to return now to our two-bedroom end-terraced house
0:19:24 > 0:19:27with a guide price of £40,000,
0:19:27 > 0:19:29situated in the Cheshire town of Congleton.
0:19:31 > 0:19:34# Do, do, do, come on and do the conga
0:19:34 > 0:19:38# Do, do, do, it's conga night for sure... #
0:19:38 > 0:19:42No, no, no, no. Congle-TON.
0:19:42 > 0:19:43Oh, never mind.
0:19:45 > 0:19:49It was a lot of house on offer for a guide price of 40,000.
0:19:52 > 0:19:55And it was even better value for Julia, the successful bidder,
0:19:55 > 0:20:00as she paid just £36,500 at the auction.
0:20:00 > 0:20:03She was looking to let out the property and knew what needed doing.
0:20:07 > 0:20:11Six months have passed and we've returned to Congleton to see if
0:20:11 > 0:20:16Julia's managed to turn this house from fake wood into really good.
0:20:19 > 0:20:21# All the boys and the girls
0:20:21 > 0:20:23# They got it going on
0:20:23 > 0:20:25# And when the beat kicks in
0:20:25 > 0:20:27# You feel it in your bones
0:20:27 > 0:20:29# And when the basement cracks
0:20:29 > 0:20:31# And the needle drops
0:20:31 > 0:20:32# You can't turn back
0:20:32 > 0:20:34# And you just can't stop
0:20:34 > 0:20:37# All the boys and the girls... #
0:20:38 > 0:20:40I think we can safely say,
0:20:40 > 0:20:44Julia's dragged this oddity back into the 21st century.
0:20:44 > 0:20:48With new windows throughout, that traffic noise is much more tolerable
0:20:48 > 0:20:53and those stairs aren't scaring me any more which is always nice.
0:20:53 > 0:20:55Julia's even put some wood back in.
0:20:55 > 0:20:57Real this time.
0:20:57 > 0:21:01The main things that we've changed since you were here last
0:21:01 > 0:21:02is the windows were replaced.
0:21:02 > 0:21:05We've taken most of the walls back to brickwork
0:21:05 > 0:21:09and re-plastered, rewired. Erm...
0:21:09 > 0:21:13New kitchen, new bathroom, new floors upstairs, new flat roof.
0:21:14 > 0:21:16Most things that could be done have been done.
0:21:18 > 0:21:20And the house looks all the better for it.
0:21:20 > 0:21:23It's not just been a redecoration either.
0:21:23 > 0:21:25Julia's also reconfigured some of the rooms
0:21:25 > 0:21:27to make better use of the space.
0:21:30 > 0:21:33OK, so this originally was the dining area.
0:21:33 > 0:21:37It had quite a large fireplace in the corner which we removed
0:21:37 > 0:21:41which has opened it up nicely and given us quite a bit more space.
0:21:41 > 0:21:44So, we decided to put the kitchen mainly in this bit.
0:21:44 > 0:21:46Previously it was just in the far side which just wasn't enough
0:21:46 > 0:21:48space to get everything in, really.
0:21:48 > 0:21:52So it's a nice light, airy space which we are really pleased with.
0:21:52 > 0:21:54The house looks so much more spacious
0:21:54 > 0:21:57but it's not just cosmetic changes Julia's made.
0:21:57 > 0:22:00Along with new windows and a new flat roof,
0:22:00 > 0:22:03there was a sloping floor upstairs that needed sorting.
0:22:06 > 0:22:10OK, so in here, originally the floor was quite sloping
0:22:10 > 0:22:12so we pulled up the floorboards
0:22:12 > 0:22:14and realised that the floor throughout upstairs
0:22:14 > 0:22:17was needing to be replaced cos the joists were quite rotten.
0:22:17 > 0:22:20So we've done that and that's sorted the problem out.
0:22:20 > 0:22:22We also changed the position of the door
0:22:22 > 0:22:25because originally the door was going out onto the staircase,
0:22:25 > 0:22:26which wasn't very safe,
0:22:26 > 0:22:29so we made a little landing by using some of the space
0:22:29 > 0:22:32from the main bedroom, which has worked a lot better,
0:22:32 > 0:22:35so that's great.
0:22:35 > 0:22:39No more wonky floor and dangerous staircase, just two solid bedrooms.
0:22:39 > 0:22:41But building work can be expensive,
0:22:41 > 0:22:45so I wonder how that ate into Julia's budget.
0:22:45 > 0:22:50She bought the property for £36,500 and had a budget of 23,000.
0:22:50 > 0:22:51How did she get on?
0:22:53 > 0:22:56It's safe to say that we've totally gone over that with everything.
0:22:56 > 0:23:00All the estimations were under, really.
0:23:00 > 0:23:05So we've probably come in at about 40,000 all-in.
0:23:06 > 0:23:09Ouch. That's almost double her original budget.
0:23:09 > 0:23:11Those jobs clearly needed doing
0:23:11 > 0:23:14but will Julia be able to get her money back?
0:23:14 > 0:23:17We've asked along two local property experts to get their opinion.
0:23:19 > 0:23:22If I was to place this property on to the resale market
0:23:22 > 0:23:23I would anticipate
0:23:23 > 0:23:27to achieve a price somewhere in the region of £80,000 - £85,000.
0:23:27 > 0:23:30In my opinion, I would value this property at a figure
0:23:30 > 0:23:32of between £80,000 and £85,000.
0:23:33 > 0:23:36That top valuation would give Julia a potential profit
0:23:36 > 0:23:39of £8,500 before taxes and fees,
0:23:39 > 0:23:44but Julia always intended to rent, so how do those figures stack up?
0:23:45 > 0:23:47If I was to place this property on to the rental market,
0:23:47 > 0:23:49I would hope to achieve somewhere in the region
0:23:49 > 0:23:52of £400 - £450 per calendar month.
0:23:52 > 0:23:55The rental market is particularly strong in this area.
0:23:55 > 0:23:59I would expect this to achieve a figure of £425 per calendar month.
0:23:59 > 0:24:01I think that's fine, yeah.
0:24:01 > 0:24:04I suppose 425 was the figure that I was thinking of
0:24:04 > 0:24:07so we're about there, aren't we? So that's fine, yeah.
0:24:08 > 0:24:10Yes, we certainly are there.
0:24:10 > 0:24:13That would give her just over 6.5% yield.
0:24:13 > 0:24:17Pretty good, even though for Julia it's not all about the money.
0:24:19 > 0:24:21I enjoy buying houses that are run-down
0:24:21 > 0:24:23and seeing the potential in them
0:24:23 > 0:24:25and then seeing them turned round and improved.
0:24:25 > 0:24:28So definitely pleased that I went to the auction and definitely pleased
0:24:28 > 0:24:31that I was the one that got this house. So, yeah.
0:24:40 > 0:24:44I'm in West Glamorgan in the beautiful Welsh Valleys.
0:24:44 > 0:24:48Over one million pounds has been spent on cycleways and paths
0:24:48 > 0:24:51to open up this region to the tourist trade.
0:24:51 > 0:24:55It's hoped that tourism will revive the fortunes of places
0:24:55 > 0:24:58like the village of Cymmer, where unemployment rates are quite high
0:24:58 > 0:25:00and where local industries are few.
0:25:02 > 0:25:05Well, today I'm here to see something a little bit unusual.
0:25:05 > 0:25:09It's not a shop, it's not a garage, it's not a commercial premises
0:25:09 > 0:25:11or a delivery depot.
0:25:11 > 0:25:14It's actually this. Can you guess what it is?
0:25:15 > 0:25:19This little curiosity used to be the garage for the local ambulances.
0:25:19 > 0:25:22It's seen better days with its boarded-up frontage
0:25:22 > 0:25:24and broken windows.
0:25:24 > 0:25:27But with a guide price of just £10,000,
0:25:27 > 0:25:29I think it's worth having a look inside.
0:25:32 > 0:25:36Well, the main part of the building, not surprisingly, is this area here,
0:25:36 > 0:25:41which is, I imagine, where the ambulances were actually stored.
0:25:41 > 0:25:43And a good space.
0:25:43 > 0:25:47Big, solid floor and you've got these large sliding doors,
0:25:47 > 0:25:50which open up the whole of the front,
0:25:50 > 0:25:53which straight away makes me think great potential for somebody who
0:25:53 > 0:25:57needs that kind of access, such as maybe a builder's store
0:25:57 > 0:26:00or a garage or an MOT centre that really needs to be able
0:26:00 > 0:26:02to get in and out very easily.
0:26:02 > 0:26:05Yeah. Good start.
0:26:05 > 0:26:06Let's see what else there is.
0:26:06 > 0:26:09Taking the stairs up to the first floor,
0:26:09 > 0:26:12everything feels very institutional but it's solid enough.
0:26:14 > 0:26:16Well, up here, bit of a disappointment
0:26:16 > 0:26:17cos the space is only about half
0:26:17 > 0:26:21what it is downstairs, primarily this little office area here,
0:26:21 > 0:26:25little kitchen and a washing area, shower, toilet etc, there.
0:26:25 > 0:26:27But maybe there's more.
0:26:29 > 0:26:31Of course there's more.
0:26:31 > 0:26:35Quite a bit more in the form of this land at the side of the building.
0:26:35 > 0:26:37"Ideal for developing," I hear you cry!
0:26:37 > 0:26:41Well...not quite.
0:26:41 > 0:26:43When it comes to the planning classification of this building,
0:26:43 > 0:26:47it's actually called "sui generis", which is Latin for,
0:26:47 > 0:26:49"of its own kind" or "unique".
0:26:49 > 0:26:52In other words, it's only got planning to be exactly what it is,
0:26:52 > 0:26:54which is an ambulance station.
0:26:54 > 0:26:55# Mr Blue Sky
0:26:55 > 0:26:57# Please tell us why
0:26:57 > 0:27:01- # You had to hide away for so long - So long
0:27:01 > 0:27:03# Where did we go wrong? #
0:27:03 > 0:27:07It has a guide of just £10,000 but I think it's going to take
0:27:07 > 0:27:10some blue sky thinking to really make the most of this place.
0:27:10 > 0:27:13We asked the agent from the auction house which sold it
0:27:13 > 0:27:17whether or not there was any chance of turning this into an investment.
0:27:17 > 0:27:22I think a local builder or mechanic or somebody looking to store
0:27:22 > 0:27:27materials would probably pay £150 - £200 per calendar month.
0:27:29 > 0:27:32Well, at first glance an interesting opportunity, this one,
0:27:32 > 0:27:34but once you delve a little bit deeper,
0:27:34 > 0:27:36the options do seem to be a little bit limited.
0:27:36 > 0:27:40I don't think it's financially viable to knock it down and build something in its place
0:27:40 > 0:27:43but if the right person needed this kind of space,
0:27:43 > 0:27:47well, it could be absolutely spot-on for them.
0:27:47 > 0:27:50Let's find out who it was who decided to resuscitate
0:27:50 > 0:27:53this old ambulance station by going to the auction.
0:27:54 > 0:27:57This is on behalf of the Welsh Ambulance Services Trust.
0:27:57 > 0:27:59I've got a proxy bid here, ladies and gentlemen.
0:27:59 > 0:28:01I'm going to go straight in at the reserve at 12,500.
0:28:01 > 0:28:0412,500 is bid. Any advance?
0:28:04 > 0:28:0813, thank you. 13,000 is bid. Proxy's out. 13,500.
0:28:08 > 0:28:1113,500. 14, 14,500,
0:28:11 > 0:28:1314,500, 15, 15,500,
0:28:13 > 0:28:1516, 16,500,
0:28:15 > 0:28:1917, 17... Right, 17 is on you, sir. At 17,000.
0:28:19 > 0:28:2317,000 is bid. Any advance?
0:28:23 > 0:28:2517,500, 18, 18,500,
0:28:25 > 0:28:2819, 19,500, 20.
0:28:28 > 0:28:2920. 20,000 is bid.
0:28:29 > 0:28:3120,500, 21,
0:28:31 > 0:28:3521,500. 21,500 seated here.
0:28:35 > 0:28:3721,500 is bid.
0:28:37 > 0:28:4021,500. Any advance on 21,500?
0:28:40 > 0:28:4322, thank you. 22... Half.
0:28:43 > 0:28:4722,500. Looking for 23, sir. I've got 22,500. 22,500 it is then.
0:28:47 > 0:28:50I'm going to sell it at 22,500 if I don't see anyone quickly.
0:28:50 > 0:28:5422,500, be quick! 22,500...
0:28:54 > 0:28:56- GAVEL BANGS - Yours, sir, 22,500.
0:28:56 > 0:28:58The cheerful bidder delighted
0:28:58 > 0:29:03at getting the former ambulance hall for £22,500 was Peter.
0:29:05 > 0:29:10Occupational health nurse Peter was at the auction with his son, Simon.
0:29:10 > 0:29:12We caught up with them to hear what made them
0:29:12 > 0:29:16so excited about this particular property.
0:29:16 > 0:29:19Peter, Simon, lovely to meet you both. Congratulations.
0:29:19 > 0:29:21Tell me why you wanted to buy this place.
0:29:21 > 0:29:24Basically I want to turn it into a holiday let
0:29:24 > 0:29:29for the disabled downstairs and enabled people upstairs.
0:29:29 > 0:29:34So a holiday let for disabled children or disabled of all ages?
0:29:34 > 0:29:36- Anyone that needs it.- Oh, wow.
0:29:36 > 0:29:39So, why do you want to do that particularly?
0:29:39 > 0:29:45Well, I'm a nurse so I obviously work
0:29:45 > 0:29:50with all sorts of people and it's got a...
0:29:50 > 0:29:53I feel there's a need for accommodation
0:29:53 > 0:29:56with disabled in mind in the area.
0:29:56 > 0:30:00Basically, what we're going to do is keep a garage space
0:30:00 > 0:30:05for when the disabled come in. They can drive straight into the building.
0:30:05 > 0:30:09There's going to be bedrooms downstairs,
0:30:09 > 0:30:11an extension out to the side
0:30:11 > 0:30:14to create a big lounge and a kitchen area,
0:30:14 > 0:30:19and upstairs I'm going to extend the footprint of the building upstairs
0:30:19 > 0:30:22- to create accommodation upstairs. - Oh, wow.
0:30:23 > 0:30:25- So quite an ambitious plan then. - Yeah.
0:30:25 > 0:30:29And eventually there'll be a swimming pool out on the side.
0:30:29 > 0:30:32- Oh, really? - HE LAUGHS
0:30:32 > 0:30:33Fantastic.
0:30:33 > 0:30:36'Swimming pool eventually? My goodness.
0:30:36 > 0:30:38'Peter really does have a vision.
0:30:38 > 0:30:41'However, this is an ambitious project,
0:30:41 > 0:30:44'so how much is it all going to cost?'
0:30:44 > 0:30:47- Approximately about 50,000.- Right.
0:30:47 > 0:30:49And what's your involvement going to be, Simon?
0:30:49 > 0:30:51I've been an electrician for about five years,
0:30:51 > 0:30:56so I'm going to try and give my father a hand with the electrics.
0:30:56 > 0:31:00So, is this designed to be a profit-making venture then?
0:31:00 > 0:31:04No, not really. It's just something for me to do.
0:31:04 > 0:31:06I'm coming up to my retirement.
0:31:06 > 0:31:10I've got about another four or five years before I retire
0:31:10 > 0:31:14and this is my retirement project.
0:31:14 > 0:31:16What's the timescale?
0:31:16 > 0:31:18It will be at least a year.
0:31:18 > 0:31:21Obviously I am in full-time employment so it won't be...
0:31:24 > 0:31:28- I couldn't say six months.- Right. - It'll be at least a year.
0:31:28 > 0:31:32So, once you've done this then, any plans for anything else?
0:31:32 > 0:31:33No, my wife said this is it.
0:31:35 > 0:31:37Well, listen, congratulations.
0:31:37 > 0:31:39Good luck with it and I really do wish you all the best
0:31:39 > 0:31:41- with the venture.- Great.
0:31:41 > 0:31:45Well, what a potentially lovely new life
0:31:45 > 0:31:48for this former ambulance station, but of course
0:31:48 > 0:31:52it does depend on getting that all-important planning permission.
0:31:52 > 0:31:55Will Peter get it? You can find out later in the show.
0:32:00 > 0:32:04Back to Willesden in north London, a place that was once a village
0:32:04 > 0:32:06but was transformed to a bustling borough
0:32:06 > 0:32:08by the arrival of the railway.
0:32:08 > 0:32:11Unfortunately, the property I went to see
0:32:11 > 0:32:13was a little too close to the tracks.
0:32:15 > 0:32:18# Train roll on...
0:32:19 > 0:32:24# Outside my door... #
0:32:25 > 0:32:29But jumping on the property train was Raj, a property solicitor who,
0:32:29 > 0:32:33along with his business partner, paid 291,000
0:32:33 > 0:32:35for this one-bedroom flat.
0:32:35 > 0:32:38But he didn't want to keep it a one-bed for long.
0:32:40 > 0:32:43So, what we're looking to do is reconfigure the property.
0:32:43 > 0:32:46At the moment it's a one-bedroom, so what we're going to be doing
0:32:46 > 0:32:49is taking the wall down between the current bedroom
0:32:49 > 0:32:52and the actual kitchen, and relocating the kitchen
0:32:52 > 0:32:54into an open-plan area.
0:32:54 > 0:32:58- And making that TINY little bit left over...- Yes.- ..a bedroom?
0:32:58 > 0:33:01- It can work. It has worked on previous projects.- Oh, Raj!
0:33:01 > 0:33:04It can actually work.
0:33:04 > 0:33:08With a £20,000 budget and a two to two-and-a-half month timescale,
0:33:08 > 0:33:10Raj was very confident.
0:33:10 > 0:33:13So, when we return five months later,
0:33:13 > 0:33:15has Raj found that extra space?
0:33:20 > 0:33:24That original bedroom is now a bright kitchen-cum-lounge.
0:33:24 > 0:33:26You know, so far I am surprised.
0:33:26 > 0:33:30This doesn't feel nearly as cramped as I thought it would.
0:33:33 > 0:33:35The original kitchen is now a second bedroom
0:33:35 > 0:33:39and the boiler has been housed in a nice, sleek cabinet.
0:33:47 > 0:33:50The original bedroom still needs a bit of tidying up
0:33:50 > 0:33:54but this reconfiguration and refurbishment is looking good.
0:33:54 > 0:33:57The room which we're currently standing in was the former kitchen.
0:33:57 > 0:34:00Now you can see it's actually become a second bedroom
0:34:00 > 0:34:03and I think that's worked very well. The back bedroom remains
0:34:03 > 0:34:06but at that time there were pretty much dark colours on the wall
0:34:06 > 0:34:08so what we've done is we've used neutral colours throughout
0:34:08 > 0:34:11the flat, new flooring put down.
0:34:11 > 0:34:12The actual bath suite,
0:34:12 > 0:34:14we've retained the actual one which was there before.
0:34:14 > 0:34:16We thought that was a good one, but as you can see,
0:34:16 > 0:34:20it's had a good polish up so we think it fits the bill.
0:34:21 > 0:34:24Raj changed his mind about knocking the wall down
0:34:24 > 0:34:26between what was the lounge and the kitchen
0:34:26 > 0:34:30to create an open living space, and I think that's a good use
0:34:30 > 0:34:33of the footprint, and the finish is impressive.
0:34:36 > 0:34:39Raj hasn't undertaken a lot of the work he originally thought.
0:34:39 > 0:34:43Has not replacing the bathroom and keeping that wall saved his budget?
0:34:43 > 0:34:47We had initially estimated a budget of £15,000 - £20,000
0:34:47 > 0:34:50but that involved the taking down of the stud wall
0:34:50 > 0:34:52and putting in RSJs and so forth.
0:34:52 > 0:34:55However, because we decided not to go ahead with that,
0:34:55 > 0:34:57the budget's actually come in significantly under.
0:34:57 > 0:34:59I think when everything's totally finished, there's a few
0:34:59 > 0:35:03snagging items to do, I think we'll have looked at hitting
0:35:03 > 0:35:06probably about the £15,000 mark, so we're very, very happy with that.
0:35:08 > 0:35:10It's five months since we were last here
0:35:10 > 0:35:13but Raj let a friend use the flat for two months
0:35:13 > 0:35:17before spending three on doing the work, so only a slight expansion
0:35:17 > 0:35:20on his two and a half month timescale.
0:35:20 > 0:35:24And, unfortunately, there is one final improvement Raj didn't do.
0:35:24 > 0:35:27He hasn't changed the windows and I think that would have
0:35:27 > 0:35:32made this flat SO much more attractive if he decides to sell on.
0:35:32 > 0:35:35He might not be able to change the trains but the sound? Mm...
0:35:35 > 0:35:37Definitely!
0:35:37 > 0:35:40# Can't ignore the train... #
0:35:43 > 0:35:46But there's only one way to know if Raj is on track
0:35:46 > 0:35:48for a potential profit, and that's to get a pass
0:35:48 > 0:35:50from two local estate agents.
0:35:53 > 0:35:58Paying £291,000 at auction and with a renovation spend of 15 grand,
0:35:58 > 0:36:04Raj's total spend is 306,000. So, what is the flat worth now?
0:36:06 > 0:36:10I feel, in the current market, the correct price is £350,000.
0:36:10 > 0:36:14I think this property would sell for around £375,000.
0:36:14 > 0:36:18I feel the correct rental figure per calendar month
0:36:18 > 0:36:20is £1,400 in the current market.
0:36:20 > 0:36:25I feel this property would rent for around £1,300 - £1,350
0:36:25 > 0:36:27per calendar month.
0:36:27 > 0:36:29So, taking those top values,
0:36:29 > 0:36:34a sale would give Raj a potential pre-tax profit of £69,000
0:36:34 > 0:36:40and if he rented the flat he could achieve just under a 5.5% yield.
0:36:40 > 0:36:43I'm very happy with those values. It's exactly what I'd expected.
0:36:43 > 0:36:47I think we will market the property at £375,000 and if we can get
0:36:47 > 0:36:49a resale figure between 350 - 375,
0:36:49 > 0:36:52we're more than likely to sell it on.
0:36:52 > 0:36:55If not, we'll put it onto the lettings market.
0:36:55 > 0:36:57We'll definitely be hitting the auction room again
0:36:57 > 0:37:01but I think the trick about buying at auctions is to be patient
0:37:01 > 0:37:03and not to buy in haste and repent at leisure.
0:37:03 > 0:37:06So, most certainly we'll be in the auction room again
0:37:06 > 0:37:09and we hope to buy sooner rather than later.
0:37:17 > 0:37:21# Into the valley
0:37:21 > 0:37:23# Betrothed and divine... #
0:37:23 > 0:37:27Yes, it's time to return to the valleys and this building,
0:37:27 > 0:37:28a former ambulance station
0:37:28 > 0:37:31in the Welsh village of Cymmer, West Glamorgan.
0:37:31 > 0:37:34It had a guide price of £10,000,
0:37:34 > 0:37:38which seemed reasonable for a lot with a fair bit of land.
0:37:38 > 0:37:40So, what to do with it?
0:37:40 > 0:37:44The imaginative and laudable answer was supplied by Peter,
0:37:44 > 0:37:47who'd bought the property for £22,500.
0:37:47 > 0:37:52With a budget of £50,000 and help from his electrician son, Simon,
0:37:52 > 0:37:57Peter, an occupational health nurse, saw this as a retirement project
0:37:57 > 0:38:00and hoped to develop this building into holiday accommodation
0:38:00 > 0:38:02for touring cyclists.
0:38:02 > 0:38:06And he planned that the ground-floor would be developed specifically
0:38:06 > 0:38:08to accommodate people with disabilities
0:38:08 > 0:38:10and underprivileged children.
0:38:10 > 0:38:14Now, what are you going to do if they say, "You can't do this"?
0:38:15 > 0:38:20Uh... We'll approach that when it comes to that!
0:38:20 > 0:38:24This was both an exciting and incredibly worthy project
0:38:24 > 0:38:28but having paid £12,500 above the guide price,
0:38:28 > 0:38:30and having no planning in place,
0:38:30 > 0:38:33Peter and Simon were certainly taking a chance.
0:38:35 > 0:38:36Three years later,
0:38:36 > 0:38:41and we've come back to see what's become of Peter's dream project.
0:38:41 > 0:38:48# You are nearer than heaven
0:38:48 > 0:38:50# I get the feeling
0:38:50 > 0:38:56# I get nearer by the day... #
0:38:57 > 0:39:02Well, they took a chance and it's obvious something has caused delays.
0:39:02 > 0:39:05Most of the time it's been regarding the planning permission
0:39:05 > 0:39:10but there was an issue with obtaining bat and reptile reports.
0:39:10 > 0:39:14There was one newt found on the property
0:39:14 > 0:39:18and we had to take precautions then to remove newts
0:39:18 > 0:39:21and to observe that there wasn't any further,
0:39:21 > 0:39:25and also to put up a barrier to stop any coming in.
0:39:27 > 0:39:29Newt protection and planning permission issues,
0:39:29 > 0:39:32as well as waiting for the sale of his mother's property,
0:39:32 > 0:39:36means it's been nearly three years since he started,
0:39:36 > 0:39:38but thanks to his perseverance,
0:39:38 > 0:39:41Peter's dream can finally be realised
0:39:41 > 0:39:45as that particularly tricky planning permission has been granted.
0:39:45 > 0:39:50Basically, this is the ground floor of the apartment
0:39:50 > 0:39:54and the majority of the work will involve this new extension here
0:39:54 > 0:39:59in this section to create a lounge and kitchen facilities
0:39:59 > 0:40:01for the disabled unit.
0:40:01 > 0:40:05Peter will then divide the main garage section into five.
0:40:05 > 0:40:08Three bedrooms,
0:40:08 > 0:40:11a garage space-cum-storeroom
0:40:11 > 0:40:12and the bathroom.
0:40:14 > 0:40:17So, the building will effectively be split into two flats,
0:40:17 > 0:40:20each with three bedrooms, a bathroom and a kitchen,
0:40:20 > 0:40:24with the ground-floor flat adapted for people with disabilities.
0:40:24 > 0:40:28There will also be a communal area in the ground-floor extension
0:40:28 > 0:40:31and, all being well, Peter plans on installing
0:40:31 > 0:40:33the property's own hydro pool.
0:40:33 > 0:40:36At the moment, it looks as though his dream project will cost
0:40:36 > 0:40:39a total of £72,500.
0:40:39 > 0:40:41Is Peter on the right track?
0:40:43 > 0:40:46We asked two local estate agents to give us their thoughts
0:40:46 > 0:40:49on Peter's plans so far.
0:40:49 > 0:40:52In this area, local businesses do struggle.
0:40:52 > 0:40:54There isn't an awful lot happening in this village.
0:40:54 > 0:40:58Businesses don't seem to last long because of the economy here.
0:40:58 > 0:41:03There is vast unemployment in these valleys, so it is very difficult.
0:41:03 > 0:41:06This is a very popular area for mountain biking
0:41:06 > 0:41:09and they'll pay good money for good runs.
0:41:09 > 0:41:12Accommodation which is planned which is a three-bedroom flat
0:41:12 > 0:41:14and one that's going to be completely geared
0:41:14 > 0:41:17for disabled users, I think that's going to carve
0:41:17 > 0:41:20quite a nice niche for him and I think it will
0:41:20 > 0:41:25attract that type of mountain biker in that market.
0:41:28 > 0:41:31When fully finished and including a pool, what does the agent
0:41:31 > 0:41:35think a commercial enterprise based on Peter's plan could make?
0:41:38 > 0:41:39That's quite a difficult one
0:41:39 > 0:41:43because there aren't a lot of commercial properties in this area,
0:41:43 > 0:41:49so I think you'd probably be looking at about 600 per calendar month.
0:41:49 > 0:41:52That would mean around a 10% yield.
0:41:52 > 0:41:54If, by some unfortunate circumstances,
0:41:54 > 0:41:57the local economy couldn't sustain the business,
0:41:57 > 0:41:59and assuming planning permission could be obtained,
0:41:59 > 0:42:03would Peter get his projected £72,500 investment back
0:42:03 > 0:42:07if the building were to be turned into two residential flats?
0:42:10 > 0:42:14I think you would get anything between 375 and 400
0:42:14 > 0:42:16per calendar month per unit.
0:42:16 > 0:42:22To change this into a three-bedroom good-sized accommodation
0:42:22 > 0:42:26you would probably market each unit
0:42:26 > 0:42:30for around about £35,000 - £40,000.
0:42:30 > 0:42:34I would put a vacant possession value
0:42:34 > 0:42:38on each flat of circa £40,000
0:42:38 > 0:42:39if it's done to a high standard
0:42:39 > 0:42:42and to the standard that is intended in the planning permission.
0:42:42 > 0:42:45This is a dream project for Peter
0:42:45 > 0:42:48but would he think about this plan B?
0:42:48 > 0:42:53I may consider splitting it into two units if the business didn't take off
0:42:53 > 0:42:57but basically it's quite exciting.
0:42:57 > 0:42:59I thrive on this sort of thing
0:42:59 > 0:43:03and I'm just looking forward to getting into it.
0:43:06 > 0:43:08Well, that's it for today but join us next time
0:43:08 > 0:43:10for some more auction action.
0:43:10 > 0:43:12And stories of property developing.
0:43:12 > 0:43:14- Look forward to seeing you then. - Goodbye.- Goodbye.