0:00:01 > 0:00:02Hello and welcome to the show.
0:00:02 > 0:00:05Now, whether you're buying a property as a home or an investment,
0:00:05 > 0:00:08you want to make sure you've chosen wisely.
0:00:08 > 0:00:09It can be difficult to find
0:00:09 > 0:00:12but what you're looking for is value for money.
0:00:12 > 0:00:16One place you can possibly find that is at a property auction.
0:00:41 > 0:00:44From rundown flats to gorgeous, sprawling mansions,
0:00:44 > 0:00:47there are all sorts of properties on offer at auction.
0:00:47 > 0:00:50So what's got our buyers reaching for their cheque books
0:00:50 > 0:00:52on today's show?
0:00:53 > 0:00:56'I'm at this four-bedroom farmhouse in Kent
0:00:56 > 0:00:59'which is giving me plenty to chew over.'
0:00:59 > 0:01:02I think it's pretty special, don't you?
0:01:03 > 0:01:07'And I need to reach a verdict on this three-bed semi in Derby,
0:01:07 > 0:01:08'but...'
0:01:08 > 0:01:11In terms of it being a dry space, jury's out.
0:01:13 > 0:01:16'Here in Blyth, there's a three-bedroom mid-terrace property
0:01:16 > 0:01:19'with some solid original features.
0:01:19 > 0:01:21'And some not-so-solid.'
0:01:22 > 0:01:23Hmm.
0:01:25 > 0:01:27'All these properties have been sold at auction.
0:01:27 > 0:01:29'We'll find out who bought them, and for how much,
0:01:29 > 0:01:32'when they went under the hammer.'
0:01:32 > 0:01:33Gentleman standing.
0:01:36 > 0:01:38'This is Folkestone on the South Kent coast.
0:01:38 > 0:01:42'The town's central cultural quarter is looking lovely
0:01:42 > 0:01:44'and full of boutiques and cafes.
0:01:44 > 0:01:48'The seafront is as pretty as ever, and Folkestone is starting to
0:01:48 > 0:01:51'attract the DFLs, the "down from Londons,"
0:01:51 > 0:01:55'either for a day trip or a full-on relocation.'
0:01:55 > 0:01:58Just outside Folkestone and down this driveway
0:01:58 > 0:02:00is the lot I'm here to see.
0:02:00 > 0:02:03And, no, it's not a piece of land.
0:02:03 > 0:02:05Well, it is land.
0:02:05 > 0:02:06It's over 10 acres, in fact.
0:02:06 > 0:02:09But with that you get a four-bedroomed house,
0:02:09 > 0:02:16stables, barns, a clubhouse - a whole equestrian centre, in fact!
0:02:16 > 0:02:20And all for the guide price of £460,000.
0:02:21 > 0:02:24'Better get a canter on. Plenty to see.
0:02:24 > 0:02:26'Let's start with the house first.
0:02:26 > 0:02:30'An attractive, red brick property with plenty of parking
0:02:30 > 0:02:32'and a nice bit of garden to the side.
0:02:32 > 0:02:33'Ah, who am I kidding?
0:02:33 > 0:02:36'I don't think having room for the car or somewhere for the table
0:02:36 > 0:02:39'and chairs is going to be an issue, do you?'
0:02:39 > 0:02:44Well, entering this property is like walking through a window.
0:02:44 > 0:02:47First things first, if I were to own this,
0:02:47 > 0:02:49I would get rid of all the windows and doors
0:02:49 > 0:02:52and replace it with something much more in keeping with
0:02:52 > 0:02:57the building because look what's on the inside. It's stunning.
0:02:57 > 0:03:00You've got these lovely period beams,
0:03:00 > 0:03:04an inglenook fireplace with a beautiful grate at the back.
0:03:04 > 0:03:06I mean, this must be a couple of hundred years old.
0:03:06 > 0:03:10It's absolutely gorgeous and could be so homely.
0:03:11 > 0:03:16The back of the property has got a completely different feel to it.
0:03:16 > 0:03:18Much more modern, it's obviously an extension.
0:03:18 > 0:03:22There are no gorgeous features but something that I have to show you.
0:03:22 > 0:03:27Look at the size of this window! That is an opening! Wow!
0:03:27 > 0:03:29I mean, look at that!
0:03:29 > 0:03:33So, straightaway, you want to think about restructuring this room.
0:03:33 > 0:03:36Now, come through here and look at this kitchen.
0:03:36 > 0:03:38I'm getting a little bit excited cos I'm thinking,
0:03:38 > 0:03:41"What about knocking through this wall?"
0:03:41 > 0:03:45Again you've got another great big window area with fantastic views.
0:03:45 > 0:03:48You could perhaps have lovely bi-folding doors going
0:03:48 > 0:03:51all the way across, having a much bigger kitchen.
0:03:51 > 0:03:52Now that has got me excited.
0:03:54 > 0:03:58'Just off the kitchen is the old lobby and another lovely feature.
0:04:02 > 0:04:05'Upstairs there's a very dingy and dated bathroom
0:04:05 > 0:04:08'but there's four double bedrooms.
0:04:08 > 0:04:12'It's a lot of work, but, my, this is spacious accommodation.'
0:04:14 > 0:04:16# Came across a place in the middle of nowhere
0:04:16 > 0:04:18# With a big black horse and a cherry tree
0:04:18 > 0:04:21# Woo-hoo! #
0:04:21 > 0:04:24'Next to the house are some very dilapidated stables which
0:04:24 > 0:04:28'look to be in need of some serious structural attention.
0:04:30 > 0:04:34'Next to those is the outdoor arena, filled with a sort of textured
0:04:34 > 0:04:36'rubbered flooring to cushion the horses' hooves.
0:04:36 > 0:04:39'That wouldn't have been cheap to build although it pales into
0:04:39 > 0:04:43'insignificance when you check out the monster indoor arena opposite.'
0:04:47 > 0:04:50Just look at this space!
0:04:50 > 0:04:54This is in fact an international sized arena, and it's more than just
0:04:54 > 0:04:58somewhere for horse-mad kids to trot around at the weekend.
0:04:58 > 0:05:00This is a competition-sized structure
0:05:00 > 0:05:03and as big as it gets in horsey terms.
0:05:03 > 0:05:06And it's a considerable investment.
0:05:06 > 0:05:09You can't just throw up a barn and hope for the best.
0:05:09 > 0:05:11To build something like this
0:05:11 > 0:05:14you're probably looking in excess of 100 grand.
0:05:16 > 0:05:21'This is one expensive, super-large shed, probably with its own
0:05:21 > 0:05:25'special flooring, extra fine sand and carefully levelled floor.
0:05:25 > 0:05:28'Not to mention the bar and clubhouse on the side.
0:05:29 > 0:05:33'The more I see of this place, the more I'm staggered by its scale.'
0:05:35 > 0:05:39'Around the back of the indoor arena you have a large tarmaced area
0:05:39 > 0:05:42'and further land which belongs to the lot
0:05:42 > 0:05:44'but which the neighbours have access to.
0:05:45 > 0:05:50'And opposite the main house, you have student accommodation,
0:05:50 > 0:05:53'with five dorms and living quarters.
0:05:53 > 0:05:54'And then there's more.
0:05:54 > 0:05:56'Yes! More stables!'
0:05:58 > 0:06:00Are there enough horse owners around here
0:06:00 > 0:06:03to offer a viable livery service?
0:06:03 > 0:06:04Oh, I don't know.
0:06:04 > 0:06:08But would this property have to be a commercial enterprise?
0:06:08 > 0:06:11I think the value and the appeal here lies in the combination
0:06:11 > 0:06:16of the house and the fact you can keep your horses by your back door.
0:06:16 > 0:06:20That's many people's dream - to just pop out before work
0:06:20 > 0:06:21and again in the evening.
0:06:21 > 0:06:24No travelling, loads of time to ride,
0:06:24 > 0:06:25and just look after your animals.
0:06:25 > 0:06:27Perfect!
0:06:27 > 0:06:31For that reason, I think it's pretty special, don't you?
0:06:34 > 0:06:38OK, it all needs some work, but if you wanted to get this place up
0:06:38 > 0:06:42and running as a business again, all the component parts are there.
0:06:43 > 0:06:46Oh, and a potentially lovely home to live in as well.
0:06:48 > 0:06:50We asked a local estate agent along
0:06:50 > 0:06:52to see if he could make sense of it all.
0:06:55 > 0:06:58My first impressions of the centre is that it needs a lot of work.
0:06:58 > 0:07:02When estate agents say TLC, this is TLC with a capital T.
0:07:02 > 0:07:04But it's a got a lot of potential.
0:07:04 > 0:07:07What might excite people about this particular place is that
0:07:07 > 0:07:11it has potential to be re-established as an equestrian centre,
0:07:11 > 0:07:14it's got potential, perhaps, as a smallholding,
0:07:14 > 0:07:18convert it as an adventure centre for young people, youth.
0:07:18 > 0:07:21There are so many ideas for somebody who's got vision.
0:07:21 > 0:07:25The house is large but it needs a lot of renovation internally
0:07:25 > 0:07:27and probably some structural assessment
0:07:27 > 0:07:29from the external point of view,
0:07:29 > 0:07:32but, again, it's got potential, and with money spent on it,
0:07:32 > 0:07:33it'll be a lovely home.
0:07:33 > 0:07:37In terms of the size of this property, it's a big project.
0:07:37 > 0:07:40It's a very big project and not many people would take it on.
0:07:40 > 0:07:41The value in this property will depend
0:07:41 > 0:07:43on what the owner's going to do with it,
0:07:43 > 0:07:45but certainly the house itself has got potential
0:07:45 > 0:07:48to double in value from where it stands now.
0:07:48 > 0:07:50The rest of the land and the buildings around -
0:07:50 > 0:07:53some need to be pulled down, some need to be renovated,
0:07:53 > 0:07:56others have got potential as accommodation
0:07:56 > 0:07:58in some various forms and guises.
0:07:58 > 0:08:01I think the value of the house as it stands now,
0:08:01 > 0:08:04with a small amount of garden with it,
0:08:04 > 0:08:06is in the region of about £200,000,
0:08:06 > 0:08:09but if money was spent on it to modernise it,
0:08:09 > 0:08:12and quite a bit needs to be done, you'll easily double that.
0:08:12 > 0:08:16If one were to separate the land from the house,
0:08:16 > 0:08:19I think the land could be worth £300,000-400,000 on its own
0:08:19 > 0:08:22with the buildings that are existing on it
0:08:22 > 0:08:25and in a better state of order than some of them are.
0:08:26 > 0:08:29This is an extremely interesting proposition.
0:08:29 > 0:08:33You could reopen this place as a business, stable your own horses,
0:08:33 > 0:08:37run a small livery or just keep some livestock.
0:08:37 > 0:08:39It's some people's dream.
0:08:39 > 0:08:41Let's see who that person was at the auction.
0:08:46 > 0:08:50A massive potential - there's 20 stables, a soft-track arena.
0:08:50 > 0:08:54We've got a guide of 460-plus. Is anyone going to come in at 460?
0:08:54 > 0:08:58450? Trying to get a deal - £450,000.
0:08:58 > 0:08:59I'm not going below 450.
0:08:59 > 0:09:02If you're not here to pay 450, you don't want to buy it.
0:09:02 > 0:09:05450, I'm looking to buy. 450 I have.
0:09:05 > 0:09:08And 60, now, I'm looking for. 460, do I say?
0:09:08 > 0:09:11At £450,000. I'll take 5 if it'll help.
0:09:11 > 0:09:15At 455. 455, and 60 now, if you like.
0:09:15 > 0:09:17460, may I say?
0:09:17 > 0:09:19At £455,000, I've got.
0:09:19 > 0:09:21460, I'm looking for.
0:09:21 > 0:09:25We all done at £455,000. Do I see another 5?
0:09:25 > 0:09:26460, I'm bid.
0:09:26 > 0:09:29465 now do I say from either of you two?
0:09:29 > 0:09:31465, do I say?
0:09:31 > 0:09:35At £460,000, I have and 5 I'm looking for.
0:09:35 > 0:09:40Lots of property here. It's going to be sold at £460,000.
0:09:40 > 0:09:43£460,000, I will sell for the first time.
0:09:43 > 0:09:47£460,000 for the second time.
0:09:47 > 0:09:50Third and final time. If we're all done at £460,000...
0:09:52 > 0:09:56Sold on my right for 460. F812. Thank you.
0:09:56 > 0:10:00The successful bidders buying the equestrian centre
0:10:00 > 0:10:03for bang on the guide price of 460,000
0:10:03 > 0:10:07are cardiac nurse Shirley and her partner, Colin, who's a courier.
0:10:07 > 0:10:11I hope they're keen on the outdoors, because there's plenty of it here!
0:10:11 > 0:10:14I met them back at the house to find out their plans.
0:10:14 > 0:10:17- Lovely to meet you today. - Hello.- Wow!
0:10:17 > 0:10:20I was going to ask you, "Why have you bought this at auction?"
0:10:20 > 0:10:24But what I want to know is what you want to do with it.
0:10:24 > 0:10:28Just make it our home. It's not going to be a business as it was years ago.
0:10:28 > 0:10:31We're just going to make it a residential home for our own use.
0:10:31 > 0:10:33So you've bought it for yourselves to live in?
0:10:33 > 0:10:35Tell me you love horses.
0:10:35 > 0:10:38- We've got three... - Yes! Thank goodness!
0:10:38 > 0:10:41Could you tell she had fallen for this property
0:10:41 > 0:10:43way before you even went to the auction?
0:10:43 > 0:10:45It ticked all the boxes.
0:10:45 > 0:10:47When we both had a look at the time,
0:10:47 > 0:10:50we thought we might be taking on too much.
0:10:50 > 0:10:54Then we sat down and just thought, "Yeah, we could make this work."
0:10:54 > 0:10:56I looked at it structurally
0:10:56 > 0:10:59and Shirley looked more at the equestrian side.
0:10:59 > 0:11:01So, Shirley, tell me about the animals.
0:11:01 > 0:11:03I've got a smallholding.
0:11:03 > 0:11:06We've got three horses that I ride with my daughter
0:11:06 > 0:11:09and she competes and we show them,
0:11:09 > 0:11:13and I've also got 22 sheep, cos I've got lambs at the moment,
0:11:13 > 0:11:16so I've got plenty of little lawnmowers to bring and tidy up.
0:11:17 > 0:11:19Well, there's plenty of sheep food here
0:11:19 > 0:11:22and Shirley does intend to create even more pasture
0:11:22 > 0:11:25from the land behind the indoor arena,
0:11:25 > 0:11:27which at the moment is rather wasted.
0:11:27 > 0:11:29So what about all the other buildings?
0:11:29 > 0:11:32The green metal barn out there, that's going.
0:11:32 > 0:11:36That's going to be taken down and that area will go back to pasture.
0:11:36 > 0:11:38We're not going to do liveries or anything like that.
0:11:38 > 0:11:40We don't want to run a business from here,
0:11:40 > 0:11:41which is what it did previously.
0:11:41 > 0:11:44The student accommodation's staying.
0:11:44 > 0:11:47Just tidy up the outside and just empty it out inside.
0:11:47 > 0:11:52- The indoor school, I've got visions of what I'd like that to look.- Go on!
0:11:52 > 0:11:56No, I just wanted it painted and kick boards put round so it's tidy.
0:11:56 > 0:11:59It is rather large - one end will probably have the tractor
0:11:59 > 0:12:03and the bailing stuff in the end of it, just so they're in the dry.
0:12:03 > 0:12:06Let's talk about this property now, because I know this is your domain
0:12:06 > 0:12:08and this is what you're in charge of,
0:12:08 > 0:12:11so tell me - what are you going to do to improve it?
0:12:11 > 0:12:16Well, out here, we're going to be taking the chimney breast out.
0:12:16 > 0:12:21We're going to completely open the kitchen area.
0:12:21 > 0:12:23I'm going to have an island kitchen
0:12:23 > 0:12:29and an old farmhouse-type table extending into the dining room here.
0:12:29 > 0:12:32- Wow.- And at the end, up that end,
0:12:32 > 0:12:34we're going to have an office for both of us.
0:12:34 > 0:12:38Colin and Shirley have set aside a healthy renovation budget
0:12:38 > 0:12:39of £100,000.
0:12:39 > 0:12:44This couple are certainly taking the plunge in more ways than one.
0:12:44 > 0:12:47Shirley proposed to me on Valentine's Day this year.
0:12:48 > 0:12:53- Oh, I'm filling up!- We're getting married in Vegas in October.
0:12:53 > 0:12:54- Yeah.- After how many years?
0:12:54 > 0:12:58- 29 years.- 29 years of being engaged?
0:12:58 > 0:13:00Yeah, we don't like rushing into anything!
0:13:00 > 0:13:02So you've bought this, you've got this project,
0:13:02 > 0:13:03a wedding on the cards.
0:13:03 > 0:13:07- This is going to be quite an incredible year for you two.- Yeah.
0:13:07 > 0:13:08It already has been.
0:13:10 > 0:13:13Things are happening that sometimes we just say to ourselves,
0:13:13 > 0:13:15"We can't believe our luck",
0:13:15 > 0:13:20- the way things have panned out so far.- I am so excited for you.
0:13:20 > 0:13:21Good luck!
0:13:21 > 0:13:24- We will just be really excited to see how it all turns out.- Thank you.
0:13:24 > 0:13:26Lovely to meet you.
0:13:26 > 0:13:27- Thank you.- Thank you.
0:13:29 > 0:13:33So Colin and nurse Shirley are going to resuscitate this place
0:13:33 > 0:13:38and make it a wonderful home for them and the horses.
0:13:38 > 0:13:41It's a huge job to take on, but what an opportunity!
0:13:41 > 0:13:44A bit of a project of a lifetime.
0:13:44 > 0:13:46Find out how it goes later in the show.
0:13:50 > 0:13:53And from Colin and Shirley's glitzy Vegas wedding
0:13:53 > 0:13:56to the site of more traditional nuptials -
0:13:56 > 0:13:59the medieval church, Our Lady of the Virgin,
0:13:59 > 0:14:03a focal point in Chaddesden near Derby.
0:14:03 > 0:14:07Once a village, its old ties to local landowners the Wilmots
0:14:07 > 0:14:08can still be seen.
0:14:09 > 0:14:12Today, it's a popular suburb of Derby city,
0:14:12 > 0:14:14with good local amenities
0:14:14 > 0:14:17and transport links into the city itself.
0:14:17 > 0:14:20So a good place to live or invest in.
0:14:21 > 0:14:22The property I'm here to see,
0:14:22 > 0:14:25situated in a nice residential part of Chaddesden,
0:14:25 > 0:14:31it's a three-bedroom semi-detached. The guide price was £59,000-plus.
0:14:31 > 0:14:35It's on this corner plot, which is good news. Doesn't look too bad.
0:14:35 > 0:14:36Let's take a look inside.
0:14:38 > 0:14:40So what's on offer?
0:14:40 > 0:14:43A fairly standard layout - through the front door,
0:14:43 > 0:14:45stairs up to your bedrooms then through into your lounge.
0:14:45 > 0:14:47A really big surprise, cos it's absolutely huge.
0:14:47 > 0:14:50That's fantastic. What isn't so good is here
0:14:50 > 0:14:53in this bay. Lots and lots of damp.
0:14:53 > 0:14:57Look at the way the wallpaper's coming off, there.
0:14:57 > 0:15:00Maybe the roof of that has basically failed,
0:15:00 > 0:15:02or possibly problems round the window.
0:15:02 > 0:15:04That doesn't look too good either.
0:15:04 > 0:15:07Moving on from that, we do like the size of this room.
0:15:07 > 0:15:08Absolutely fantastic,
0:15:08 > 0:15:11although it does get a bit darker as you come towards this end.
0:15:11 > 0:15:12But what do you think's in here?
0:15:13 > 0:15:15Hmm? Hmm? Hmm?
0:15:16 > 0:15:18You're wrong, it was a bathroom.
0:15:18 > 0:15:20You wouldn't have expected that, would you?
0:15:20 > 0:15:26Not ideal at all, although I think, judging by a few other clues,
0:15:26 > 0:15:28there's been a few modifications to this house over the years,
0:15:28 > 0:15:31because you come out here into what is obviously an extension
0:15:31 > 0:15:33and this is where your kitchen is.
0:15:33 > 0:15:35How do I know it's an extension?
0:15:35 > 0:15:39Cos that's obviously the original exterior window.
0:15:39 > 0:15:41But in terms of a space, fantastic.
0:15:42 > 0:15:46In terms of it being a dry space -
0:15:46 > 0:15:48jury's out.
0:15:48 > 0:15:50MUSIC: "Trouble" by Shampoo
0:15:54 > 0:15:55In fact, the extent of the damp
0:15:55 > 0:15:58and mould in here makes this kitchen totally unusable.
0:15:58 > 0:16:00Maybe a look outside will shed a little light
0:16:00 > 0:16:02on why things are so bad.
0:16:02 > 0:16:04At the back of the property, the garden's not a bad size,
0:16:04 > 0:16:09but I'm here really to look at the roof on this kitchen extension,
0:16:09 > 0:16:12because, obviously, there's a lot of problems inside.
0:16:12 > 0:16:16It's a flat roof, notoriously bad for leaking
0:16:16 > 0:16:18if they're not well maintained.
0:16:18 > 0:16:20You are going to have to set aside
0:16:20 > 0:16:23some of your budget to sort that out, really.
0:16:23 > 0:16:26But in terms of space, yeah, it's all right.
0:16:29 > 0:16:32I'd definitely get someone to check the extension,
0:16:32 > 0:16:35with its flat roof and uPVC cladding.
0:16:35 > 0:16:38I reckon it would be much better replaced with a lovely,
0:16:38 > 0:16:41modern space that would be more family-friendly
0:16:41 > 0:16:44and would open out onto this long garden.
0:16:44 > 0:16:48You could have ample indoor and outdoor space,
0:16:48 > 0:16:51but a dry space would be a really good start.
0:16:52 > 0:16:56Another troubling aspect is that misplaced bathroom.
0:16:56 > 0:16:58It's not ideal, is it?
0:16:58 > 0:17:01Who wants a loo in the middle of the living room?
0:17:01 > 0:17:07MUSIC: "I Smell Trouble" by Ike And Tina Turner
0:17:07 > 0:17:11So upstairs here, a very standard layout - small boxroom there,
0:17:11 > 0:17:13which could actually be the bathroom,
0:17:13 > 0:17:15as opposed to where it is right now,
0:17:15 > 0:17:18although you'd lose a bedroom, so you'd have to weight that up.
0:17:18 > 0:17:21Second bedroom there and then a good-sized bedroom at the front,
0:17:21 > 0:17:24but once again, look at that front wall.
0:17:25 > 0:17:27So much damp in this property.
0:17:27 > 0:17:30Now, some of that could have been caused by the fact that
0:17:30 > 0:17:33it looks to me that it hasn't been lived in for quite a while,
0:17:33 > 0:17:36and you will naturally get that kind of condensating damp,
0:17:36 > 0:17:38but it could be more serious,
0:17:38 > 0:17:41so it's another reason why you really need to get this property
0:17:41 > 0:17:45looked over by somebody who knows what they're talking about.
0:17:46 > 0:17:48So it's time to call in a local expert,
0:17:48 > 0:17:51in this case the auctioneer who sold the property.
0:17:51 > 0:17:54The guide price was 59 grand-plus.
0:17:54 > 0:17:57The options here, really, I think are two-fold.
0:17:57 > 0:18:00It depends who buys it and want they want to do with it, ultimately.
0:18:00 > 0:18:04The big thing about this house is its non-traditional construction.
0:18:04 > 0:18:05In the expert's opinion,
0:18:05 > 0:18:09this could be non-standard or non-traditional construction,
0:18:09 > 0:18:12terms which are generally used for houses made from concrete blocks,
0:18:12 > 0:18:16for instance, which could be tricky or impossible to get a mortgage on.
0:18:16 > 0:18:21My assumption is that it will get renovated to a modest standard
0:18:21 > 0:18:23and it will then get rented out.
0:18:23 > 0:18:26I think that's likely to happen.
0:18:26 > 0:18:29If you were to target the owner-occupier market,
0:18:29 > 0:18:35so, for example, you're pointing it at first-time buyers,
0:18:35 > 0:18:39clearly, mortgageability is an important aspect of that.
0:18:39 > 0:18:40It's not always easy to tell
0:18:40 > 0:18:44if a house is non-standard or traditional construction,
0:18:44 > 0:18:48particularly if there's a covering to the fabric of the building,
0:18:48 > 0:18:51so I would always recommend getting a survey done,
0:18:51 > 0:18:54especially if you're relying on a mortgage.
0:18:54 > 0:18:56He mentioned a modest renovation.
0:18:56 > 0:18:57If that was carried out,
0:18:57 > 0:19:01what does he think the property could fetch on the resale market?
0:19:02 > 0:19:07I would say once improved, this property's probably not going
0:19:07 > 0:19:11to have a value of much over £80,000-£85,000.
0:19:11 > 0:19:13That's simply a reflection of the fact
0:19:13 > 0:19:15that it's not traditional construction
0:19:15 > 0:19:17and it would be difficult to mortgage.
0:19:17 > 0:19:21What kind of returns could this house give an investor?
0:19:21 > 0:19:23From a rental point of view, this would rent out very well,
0:19:23 > 0:19:24once improved.
0:19:24 > 0:19:29Rental value I think would be £550-£575 a calendar month.
0:19:31 > 0:19:33Well, a few potential problems on this one, but nothing that
0:19:33 > 0:19:39a good professional couldn't advise you on before you buy.
0:19:39 > 0:19:41Still, it could be a good one to go for,
0:19:41 > 0:19:43especially given that guide price.
0:19:43 > 0:19:45Let's see who agreed when it went under the hammer.
0:19:50 > 0:19:53Lot number 10, a centrally-heated, double-glazed, three-bedroom,
0:19:53 > 0:19:55semi-detached house. It's freehold.
0:19:55 > 0:19:59It's got scope for a bit of internal refurbishment.
0:19:59 > 0:20:01Start me on this one. Lots of potential to it.
0:20:02 > 0:20:0659-plus is the guide. Start me at 60, it's good value at that.
0:20:06 > 0:20:0760,000?
0:20:07 > 0:20:0958, then, to put it into the bidding.
0:20:09 > 0:20:1258, thank you very much. 59's bid here.
0:20:12 > 0:20:15At 59. 60 for you, sir? 60 is bid.
0:20:15 > 0:20:1761.
0:20:17 > 0:20:20At 61,000. 62?
0:20:20 > 0:20:2361 I have seated. 62, quickly.
0:20:23 > 0:20:26At £61,000, all done.
0:20:26 > 0:20:2862.
0:20:28 > 0:20:30At 62,000. 63.
0:20:30 > 0:20:3264.
0:20:32 > 0:20:3464,000. 65?
0:20:34 > 0:20:35Either of you?
0:20:35 > 0:20:3864,000 right ahead of me. It's in the market, we're going to sell.
0:20:38 > 0:20:4065.
0:20:40 > 0:20:4166.
0:20:41 > 0:20:43500?
0:20:43 > 0:20:45£65,000, a new bidder.
0:20:45 > 0:20:47Once.
0:20:47 > 0:20:48Twice. Third opportunity.
0:20:50 > 0:20:52Sold at 65,000. Thank you.
0:20:52 > 0:20:56Well, the successful bidders taking their chances on that semi
0:20:56 > 0:20:59in Chaddesden were Nicola and her partner, Ian.
0:20:59 > 0:21:02Ian was away working abroad when we came along,
0:21:02 > 0:21:06so it was Nicola who met me back at the house to tell me more.
0:21:06 > 0:21:08- Nicola, great to me.- And you.
0:21:08 > 0:21:10- Congratulations. - Thank you very much.
0:21:10 > 0:21:12So, what's the story behind you buying this place, then?
0:21:13 > 0:21:17- Well, we've been building property abroad.- Right.
0:21:17 > 0:21:19We've built a couple of blocks, me and my partner,
0:21:19 > 0:21:23- and I came over here to the UK to have my daughter.- Right.
0:21:23 > 0:21:27So with the help of Mummy and Daddy, we thought we'd give it a go.
0:21:27 > 0:21:29Fantastic. So where were you building?
0:21:29 > 0:21:31- In Malta.- Malta!- Yes.
0:21:31 > 0:21:34Wow, pretty place.
0:21:34 > 0:21:36Very nice, yeah. Nice weather.
0:21:36 > 0:21:39- Different building, completely different to what it is here.- Right.
0:21:39 > 0:21:41So this is going to be a first time.
0:21:41 > 0:21:44So you were actually starting from scratch on the properties in Malta?
0:21:44 > 0:21:47- Building from the ground up?- Yes.
0:21:47 > 0:21:51My first project was, I bought a little shop.
0:21:51 > 0:21:53It was completely trashed.
0:21:53 > 0:21:55This place is a palace compared to the shop I bought
0:21:55 > 0:21:57and I did that up and opened it up as a business.
0:21:57 > 0:21:59- In Malta?- Yes. - What led you to Malta?
0:21:59 > 0:22:03- I just went over there for a little holiday, as you do.- Right.
0:22:03 > 0:22:05- Yeah, and stayed over.- For how long?
0:22:05 > 0:22:0820 years, nearly. MARTIN LAUGHS
0:22:08 > 0:22:10So how long was the holiday?
0:22:10 > 0:22:12- Originally, a few months.- Oh, OK.
0:22:12 > 0:22:15A few months turned into a few more and then you get settled, don't you?
0:22:15 > 0:22:19- What brought you back here? To have your daughter?- Yeah.
0:22:19 > 0:22:21I was missing it a lot. I'd been away for a long time.
0:22:21 > 0:22:23I was quite settled over there,
0:22:23 > 0:22:25but the whole prospect of not having
0:22:25 > 0:22:28- your close family around you...- Right.
0:22:28 > 0:22:31- Mummy and Daddy round the corner.- Right.
0:22:31 > 0:22:35So I came back to have my daughter and we thought we'd give it a go.
0:22:38 > 0:22:42They read the legal pack and had the cash ready to buy.
0:22:42 > 0:22:45Builder Ian had viewed the property, but Nicola hadn't.
0:22:47 > 0:22:50I wasn't completely shocked, to be honest.
0:22:50 > 0:22:54I didn't expect it to be all lovely and shiny with the price we paid.
0:22:54 > 0:22:59- The layout's a bit strange. - The layout is definitely weird.
0:22:59 > 0:23:02But you can't, as you say, criticise the space.
0:23:02 > 0:23:04There is actually a lot of room, isn't there?
0:23:04 > 0:23:07I think it's got really nice prospects - nice and bright,
0:23:07 > 0:23:09it's got a nice, big room here.
0:23:09 > 0:23:10I think we can do something with it.
0:23:10 > 0:23:12And what about the timescales for doing it?
0:23:12 > 0:23:14Right, we've got...
0:23:14 > 0:23:18I believe we've got about seven weeks.
0:23:18 > 0:23:22- Oh.- Then we need to go back over to Malta to do some work.- Right.
0:23:22 > 0:23:26So it's either going to come together or it's not
0:23:26 > 0:23:27and it's going to have to be put back again
0:23:27 > 0:23:30for another month and a half.
0:23:30 > 0:23:32Which, again, is going to have to affect our decision
0:23:32 > 0:23:34on rental or selling.
0:23:34 > 0:23:36It's not only their return to Malta,
0:23:36 > 0:23:39but also the possible non-standard construction of the house
0:23:39 > 0:23:42that could affect their decision to rent or sell,
0:23:42 > 0:23:46so for the time being, everything's hanging in the balance.
0:23:46 > 0:23:49- Listen, congratulations. Good luck with it.- Thanks very much.
0:23:49 > 0:23:51- Looking forward to seeing how you get on.- Yeah.
0:23:54 > 0:23:57Well, Nicola certainly seems to be aware of some of the more
0:23:57 > 0:24:00obvious problems with the property. Lots of things to decide.
0:24:00 > 0:24:03You can find out what she does in the end later in the show.
0:24:05 > 0:24:09Coming up, I'm all at sea in the costal town of Blyth...
0:24:09 > 0:24:11It's a bit of a conundrum.
0:24:14 > 0:24:16..and we'll go back to the semi in Derby
0:24:16 > 0:24:18to check on the finishing touches.
0:24:18 > 0:24:21Yes, the pink toilet seat. I love the pink toilet seat.
0:24:25 > 0:24:29Earlier, we also visited the south coast, near Folkestone,
0:24:29 > 0:24:33where a four-bedroom farmhouse with a ten-acre equestrian centre
0:24:33 > 0:24:35thrown in went under the hammer.
0:24:35 > 0:24:39This large lot sold at the guide price of £460,000
0:24:39 > 0:24:43to courier Colin and cardiac nurse Shirley.
0:24:43 > 0:24:47But they didn't only have this grand project on their minds...
0:24:47 > 0:24:50Shirley proposed to me on Valentine's Day this year.
0:24:51 > 0:24:54- Oh, I'm filling up! - We're getting married in Vegas.
0:24:54 > 0:24:56After how many years?
0:24:56 > 0:24:59- 29 years.- 29 years of being engaged?
0:24:59 > 0:25:01Yeah, we don't like rushing into anything.
0:25:01 > 0:25:04# Viva Las Vegas... #
0:25:04 > 0:25:08So after finally tying the knot in Vegas,
0:25:08 > 0:25:11we are back seven months later to see if the newly weds
0:25:11 > 0:25:14have taken it just a slowly renovating their new home.
0:25:14 > 0:25:17I'm pleased to say they've got even more to celebrate.
0:25:17 > 0:25:19MUSIC: "Wow" by Kylie Minogue
0:25:19 > 0:25:21A beautiful new home...
0:25:21 > 0:25:23# Wow, wow, wow, wow... #
0:25:23 > 0:25:25..with a fabulous new kitchen dining space...
0:25:25 > 0:25:27# Wow, wow, wow, wow... #
0:25:29 > 0:25:30..and if you liked that,
0:25:30 > 0:25:33wait till you see what they've done with the front room.
0:25:34 > 0:25:36It looks fantastic.
0:25:36 > 0:25:39All the windows and doors have been replaced throughout,
0:25:39 > 0:25:42as the wiring has, the plumbing and, of course,
0:25:42 > 0:25:44everything has just been redecorated.
0:25:44 > 0:25:47Just take a look, though, at the new bathroom upstairs.
0:25:47 > 0:25:50# Wow, wow, wow, wow
0:25:50 > 0:25:53# You got it, wow, wow, wow, wow... #
0:25:56 > 0:25:59Upstairs is transformed.
0:25:59 > 0:26:01Made the bathroom bigger, took the little toilet out
0:26:01 > 0:26:03and made that our en-suite off of our room.
0:26:03 > 0:26:07We've now got the dressing room, which isn't quite finished yet.
0:26:07 > 0:26:10Then just decorated the other bedrooms
0:26:10 > 0:26:12once the new windows were in.
0:26:13 > 0:26:18It really is a top job throughout. Stylish finish with a homely feel.
0:26:19 > 0:26:20And downstairs,
0:26:20 > 0:26:23they've also managed to give the office space a new lease of life.
0:26:25 > 0:26:28But it's the kitchen diner that really catches your eye.
0:26:28 > 0:26:29Let's find out more.
0:26:30 > 0:26:33OK, so the first thing we wanted to do
0:26:33 > 0:26:35was to bring these two rooms together.
0:26:36 > 0:26:40We took down this wall, which had the fireplaces
0:26:40 > 0:26:45and doing so, we now ended up with a big, large kitchen with my island
0:26:45 > 0:26:48and also, that gave us a large dining room.
0:26:48 > 0:26:51Because we've got a big family,
0:26:51 > 0:26:54they now all come down and we all enjoy ourselves.
0:26:54 > 0:26:56# Wow, wow, wow, wow... #
0:26:59 > 0:27:01They've certainly been enjoying themselves.
0:27:01 > 0:27:05With the fixtures and fittings here, they all look great quality.
0:27:05 > 0:27:08That also means they must probably be quite expensive,
0:27:08 > 0:27:10so how's the budget looking?
0:27:10 > 0:27:15Shirley's kept a book on all the expenditures from day one,
0:27:15 > 0:27:18and she surprised me the other day, telling me that I was...
0:27:18 > 0:27:22It's about 52,000 we've spent,
0:27:22 > 0:27:26which is good, cos we've still got budget to sort the outside out.
0:27:26 > 0:27:30But, yeah, without the furniture and stuff that we've bought,
0:27:30 > 0:27:34it's about 52 on the decorating and work that's been done inside.
0:27:35 > 0:27:38I'm pleased. Well below budget.
0:27:38 > 0:27:40I'm happy.
0:27:40 > 0:27:43Yes, so far, so good, but it certainly seems
0:27:43 > 0:27:47that the rest of the budget and lots of energy will be needed outside.
0:27:47 > 0:27:53We have a very old render on this property and over the years
0:27:53 > 0:27:57it's become detached from the main brickwork in places
0:27:57 > 0:27:59and, of course, when you get bad weather
0:27:59 > 0:28:01and the rain gets behind it,
0:28:01 > 0:28:04you can then get a little bit of dampness retention
0:28:04 > 0:28:05into the brickwork.
0:28:07 > 0:28:09We now know that that's all got to come down yet,
0:28:09 > 0:28:13and that's all going to be replaced.
0:28:13 > 0:28:14Bit more expense.
0:28:14 > 0:28:17We've got permission to demolish the green pole barn.
0:28:17 > 0:28:20We've done a lot inside taking that to bits.
0:28:21 > 0:28:23But it's just a long, tedious job,
0:28:23 > 0:28:26because you're tidying up as you go along.
0:28:26 > 0:28:29This area's still a bit of a mess, as you can see,
0:28:29 > 0:28:31but there was a Portakabin just over there
0:28:31 > 0:28:34and then there was a mobile home there and a lorry back,
0:28:34 > 0:28:37and we sort of broke everything down,
0:28:37 > 0:28:41what we couldn't burn went in a skip and we burned what we could burn
0:28:41 > 0:28:44and the rest of the scrap metal, I've taken up the local metal yard
0:28:44 > 0:28:46and cashed it in.
0:28:46 > 0:28:49That equates to about £2,000, which we were really happy with,
0:28:49 > 0:28:52cos we've put that back in the budget and it's helped to pay
0:28:52 > 0:28:54for some of the work that's been done on the house.
0:28:55 > 0:28:58The drive to save money hasn't stopped there.
0:28:58 > 0:29:03The huge indoor arena included a bar and a cafe.
0:29:05 > 0:29:08We've taken the pub that was in the indoor school -
0:29:08 > 0:29:13we've smashed that out and we've also taken the cafeteria out,
0:29:13 > 0:29:16because it was really mucky and I was worried about vermin.
0:29:16 > 0:29:21Also, the main thing was the business rates class it as a pub
0:29:21 > 0:29:23and a cafeteria, so it had to go.
0:29:23 > 0:29:25The indoor school is no more.
0:29:25 > 0:29:27It's now a barn, used for storage
0:29:27 > 0:29:30and that's where the sheep will lamb come the spring.
0:29:33 > 0:29:37Shirley always intended to use the stables to house her horses,
0:29:37 > 0:29:40and here they are, all settled in.
0:29:40 > 0:29:42Meet Neo and Bobby.
0:29:42 > 0:29:46As for the flock of sheep, well, here's Rambo the ram,
0:29:46 > 0:29:48the advance party,
0:29:48 > 0:29:51the rest to follow when a fence is built.
0:29:51 > 0:29:55I love having the inglenook fire in the front room. It's so cosy.
0:29:55 > 0:29:58I go in their to study and within ten minutes I'm fast asleep,
0:29:58 > 0:29:59cos it's so snug.
0:30:00 > 0:30:04- I think for you it's the kitchen, isn't it?- Kitchen and shower.
0:30:04 > 0:30:05THEY CHUCKLE
0:30:05 > 0:30:08To be up here so long...
0:30:09 > 0:30:11..doing all the work,
0:30:11 > 0:30:14some of it very mucky, dirty,
0:30:14 > 0:30:17when the showers were finished and I turned it on,
0:30:17 > 0:30:19it was a wonderful feeling.
0:30:22 > 0:30:25Ah, the joys of a renovation almost done.
0:30:27 > 0:30:30There might still be a lot of jobs to do on this huge property,
0:30:30 > 0:30:33but this pair seem pretty happy.
0:30:34 > 0:30:36Well, this is home.
0:30:36 > 0:30:38He reckons he'll be buried in the garden, somewhere,
0:30:38 > 0:30:39so he's got to pick his plot.
0:30:41 > 0:30:46It's just home and we'll get outside straight as we go along,
0:30:46 > 0:30:48there's no rush.
0:30:48 > 0:30:51I love the fact this is not a project for profit.
0:30:51 > 0:30:55All the work here is about making a home, but we can still have a nosy
0:30:55 > 0:30:59to see if Shirley and Colin have spent their £512,000 wisely.
0:30:59 > 0:31:02A lot of work's been done on this property.
0:31:02 > 0:31:03It's really nicely presented,
0:31:03 > 0:31:05it's been made into a lovely home.
0:31:05 > 0:31:09I think it's a lovely house, it's got a nice character to it,
0:31:09 > 0:31:10nice, warm feeling.
0:31:10 > 0:31:15I particularly like the oak door frames and the architraves,
0:31:15 > 0:31:17the doors themselves that they put in.
0:31:17 > 0:31:21They put in a lot of attention into making sure everything goes together.
0:31:21 > 0:31:26So what about that £512,000 investment?
0:31:26 > 0:31:29When the property's finished and there's not a lot to do,
0:31:29 > 0:31:33this property's going to be worth in the region of £400,000.
0:31:33 > 0:31:36But there's a lot more here than just the house.
0:31:36 > 0:31:39How would all the land add to that value.
0:31:39 > 0:31:45I think that you could probably add another £250,000 to £300,000 on top.
0:31:45 > 0:31:47If this the house and all that, I think
0:31:47 > 0:31:51it's just under 11 acres, came onto the open market,
0:31:51 > 0:31:53I would suggest marketing it
0:31:53 > 0:31:56at somewhere around the region of £750,000.
0:31:56 > 0:32:01I think in its present state outside, I suppose that's quite fair.
0:32:01 > 0:32:03Obviously, I would expect that to improve substantially
0:32:03 > 0:32:06once we've got the outside how we want it.
0:32:06 > 0:32:11That's a possible profit of between £138,000 and £238,000.
0:32:11 > 0:32:15Those figures are not including all the taxes, like the £13,000
0:32:15 > 0:32:20on stamp duty they had to pay or the £2,000 they got back from scrap.
0:32:20 > 0:32:22Are they interested in the figures?
0:32:22 > 0:32:26It's home, so I don't care how much it's worth, to be honest.
0:32:30 > 0:32:33So will someone be making their new home here
0:32:33 > 0:32:36in the port town of Blyth on the coast of Northumberland?
0:32:38 > 0:32:41After a long spell of hard economic times,
0:32:41 > 0:32:44Blyth is now enjoying major regeneration
0:32:44 > 0:32:46with an abundance of new homes on offer
0:32:46 > 0:32:47and no wonder -
0:32:47 > 0:32:51just take a look at this stunning, long stretch of golden beach...
0:32:53 > 0:32:57MUSIC: "Seaside" by The Ordinary Boys
0:33:04 > 0:33:07..just one aspect of the town that's been cleaned up
0:33:07 > 0:33:09and transformed in recent years,
0:33:09 > 0:33:13thanks to a multimillion pound investment by local businesses
0:33:13 > 0:33:14and the local authority.
0:33:15 > 0:33:19Well, one of the top tips for property investing
0:33:19 > 0:33:24is to buy in areas where somebody else is ploughing in lots of money
0:33:24 > 0:33:27rejuvenating the infrastructure.
0:33:27 > 0:33:29Regenerating, rejuvenating, rebuilding,
0:33:29 > 0:33:32all that kind of stuff is good news,
0:33:32 > 0:33:34which you can ride off the back of.
0:33:34 > 0:33:37That could certainly be the case here in Blyth,
0:33:37 > 0:33:40and I'm looking at a three-bedroom house
0:33:40 > 0:33:42which had a guide price of £35,000-plus.
0:33:42 > 0:33:44Got to be worth a look.
0:33:47 > 0:33:49For that amount of money, you're probably not expecting much,
0:33:49 > 0:33:52but you're in for a surprise.
0:33:52 > 0:33:57Nice little entrance area there and then into the hallway
0:33:57 > 0:33:58and really good feel.
0:33:58 > 0:34:04Lots of little details which say that this was a house in its day
0:34:04 > 0:34:07that was actually pretty smart.
0:34:07 > 0:34:10So hallway here, upstairs three bedrooms,
0:34:10 > 0:34:12into the front living room.
0:34:12 > 0:34:13Pretty nice-sized space.
0:34:13 > 0:34:15Immediately drawn to the fire.
0:34:17 > 0:34:19Probably want to strip that back, open it up,
0:34:19 > 0:34:22give some real focus to the room.
0:34:22 > 0:34:26But lots of light, bit of noise from the road out there,
0:34:26 > 0:34:29so double... No, it's only got single glazing at the moment.
0:34:29 > 0:34:31That's good news,
0:34:31 > 0:34:33cos double glazing would definitely cut down on the noise.
0:34:33 > 0:34:35Through this...
0:34:36 > 0:34:38Hmm.
0:34:38 > 0:34:43..cardboard construction archway into the rear living room...
0:34:43 > 0:34:45I love that.
0:34:47 > 0:34:48It's straight out of Blue Peter -
0:34:48 > 0:34:50"I know, let's make an archway, children.
0:34:50 > 0:34:53"Sticky back plastic and bits of cardboard..."
0:34:53 > 0:34:57Anyway, carrying on through to the kitchen,
0:34:57 > 0:35:02which leaves a little bit to be desired, as you can see.
0:35:02 > 0:35:03It's not a big space.
0:35:03 > 0:35:07The way it's laid out at the moment with these units doesn't work
0:35:07 > 0:35:09particularly well, so a bit of thought in here.
0:35:09 > 0:35:12Even think about maybe moving the kitchen that way,
0:35:12 > 0:35:15putting it in that rear room there to make a lovely kitchen
0:35:15 > 0:35:20open-plan living area and having this as a utility room.
0:35:20 > 0:35:22But think about that guide price.
0:35:24 > 0:35:27It's good for the money, isn't it?
0:35:28 > 0:35:31And get it near the guide price of 35 grand
0:35:31 > 0:35:34and your initial outlay would be low
0:35:34 > 0:35:36and down here, there's not too much to spend.
0:35:37 > 0:35:42MUSIC: "For The Love Of Money" by The O'Jays
0:35:42 > 0:35:44The room size is generous,
0:35:44 > 0:35:50the high ceiling, cornicing and original spindles a delight to see.
0:35:50 > 0:35:52Add some double glazing and a real fire
0:35:52 > 0:35:54and down here could be simply lovely.
0:35:55 > 0:36:00Out back, there is need for a bit of a tidy up, but this compact space
0:36:00 > 0:36:05could make a pleasant patio, and remember that lovely beach nearby.
0:36:05 > 0:36:09But that broken window is drawing me back indoors.
0:36:09 > 0:36:13So, upstairs, and...
0:36:13 > 0:36:16Hmm, that's not good, is it? Uh-oh.
0:36:17 > 0:36:20Looks like a bit of unfortunate vandalism.
0:36:20 > 0:36:22That's going to have to be replaced.
0:36:22 > 0:36:24Having said that, the windows in general are a bit shot,
0:36:24 > 0:36:26so double glazing required.
0:36:26 > 0:36:28But lots of space again upstairs.
0:36:28 > 0:36:30I love the extra space on the landing here,
0:36:30 > 0:36:32big enough for a wardrobe,
0:36:32 > 0:36:35but one thing I have noticed going on round the house -
0:36:35 > 0:36:37lots and lots of air fresheners all over the place.
0:36:37 > 0:36:40Now, you might think that's quite nice,
0:36:40 > 0:36:42but I think that's a little bit suspicious.
0:36:42 > 0:36:44Why are there so many air fresheners?
0:36:44 > 0:36:48Possibly a bit of damp they're trying to cover up the smell of.
0:36:48 > 0:36:51Well, who knows, but up here on the landing, access to the loft
0:36:51 > 0:36:54and another thing you should check, if you possibly can,
0:36:54 > 0:36:56is up into the loft space
0:36:56 > 0:36:58and you do not want to see that -
0:36:58 > 0:37:03daylight, and also notice that the underside of the slates
0:37:03 > 0:37:05doesn't have any felt on it.
0:37:05 > 0:37:08That's not good, so a bit of roofing work might be required,
0:37:08 > 0:37:10but two bedrooms - a smaller one there
0:37:10 > 0:37:12and a good-sized double at the front,
0:37:12 > 0:37:16and then through to your rear double and it's a really nice size again
0:37:16 > 0:37:20and it gets better through here into the bathroom,
0:37:20 > 0:37:22which is in half-decent nick.
0:37:22 > 0:37:25Now the good news is you've got a lovely en suite.
0:37:25 > 0:37:29The bad news is it's the only bathroom in the property
0:37:29 > 0:37:34and accessing it through one of the bedrooms is not going to be ideal
0:37:34 > 0:37:37and having had a quick glance around at the layout up here,
0:37:37 > 0:37:41I don't know really where else the bathroom could go,
0:37:41 > 0:37:43so a bit of a conundrum.
0:37:43 > 0:37:47I suppose you could make a corridor through this room
0:37:47 > 0:37:48to access the bathroom,
0:37:48 > 0:37:51but it would turn this into a property with one double
0:37:51 > 0:37:55and two single bedrooms, which isn't the most market-friendly option.
0:37:57 > 0:38:01And although it's possible the loft space could be made into a bedroom -
0:38:01 > 0:38:03we can't get up there today -
0:38:03 > 0:38:07you'd need to keep the ceiling price for the area front of mind,
0:38:07 > 0:38:09as all these changes cost big bucks.
0:38:13 > 0:38:16The guide price for this house was £35,000.
0:38:16 > 0:38:20It's time to talk figures and floor plans with a local property expert.
0:38:22 > 0:38:25The property at the moment stands in a good position
0:38:25 > 0:38:27with the layout of the kitchen-dining room area
0:38:27 > 0:38:28and the living room.
0:38:28 > 0:38:31The first-floor layout I don't think is suitable at the moment.
0:38:31 > 0:38:34Moving the bathroom into one of the bedrooms would certainly create
0:38:34 > 0:38:35a much better layout,
0:38:35 > 0:38:38but it would also change the value of the property.
0:38:38 > 0:38:40So if the layout was left as is
0:38:40 > 0:38:43but the property renovated throughout,
0:38:43 > 0:38:45how much could it then sell for?
0:38:45 > 0:38:49In the current market conditions, I would look to say the resale value
0:38:49 > 0:38:52of this property would be between £60,000-£65,000,
0:38:52 > 0:38:54if it was done to an exceptional standard.
0:38:56 > 0:39:00He suggested this would dip to between 50,000 and 55,000
0:39:00 > 0:39:05if the bathroom were moved into the smaller of the current bedrooms.
0:39:05 > 0:39:08This may be a better property to invest in long term,
0:39:08 > 0:39:10which begs the question,
0:39:10 > 0:39:14how would the two scenarios play out on the rental market?
0:39:14 > 0:39:16For the property as a three-bedroomed,
0:39:16 > 0:39:21you would look to achieve about £400-450 per calendar month.
0:39:22 > 0:39:25As a possible two-bed with reformatting the upstairs layout,
0:39:25 > 0:39:28I would say 350-375 per calendar month.
0:39:30 > 0:39:31Well, it's a lot of house for the money,
0:39:31 > 0:39:35and keep your costs relatively low on the renovation,
0:39:35 > 0:39:38and you would end up with a cracking little house
0:39:38 > 0:39:41that could deliver you a fantastic rental yield
0:39:41 > 0:39:43or be a lovely place to live.
0:39:43 > 0:39:46Let's see who bought it when it went under the hammer.
0:39:50 > 0:39:52Good size, mid-terrace.
0:39:52 > 0:39:53Do I have 35 anywhere?
0:39:53 > 0:39:5635,000.
0:39:56 > 0:39:57How about 33?
0:39:59 > 0:40:01No bids at 33,000?
0:40:01 > 0:40:03I'll go as low as 31.
0:40:03 > 0:40:07I have to feed my kids tonight. 31,000, anyone?
0:40:07 > 0:40:1031,000 bid. Gentleman standing at 31,000.
0:40:10 > 0:40:1232. Sorry, hold your hand up. 32,000 bid.
0:40:12 > 0:40:1433. 33 bid.
0:40:14 > 0:40:1634?
0:40:16 > 0:40:1734 bid. 35?
0:40:17 > 0:40:1935 bid. 36.
0:40:20 > 0:40:2236 sitting down.
0:40:22 > 0:40:2337.
0:40:23 > 0:40:2538. 39.
0:40:25 > 0:40:2740. 41.
0:40:27 > 0:40:2842.
0:40:28 > 0:40:32Gentleman's bid at 41,000 standing. I'll take 500. 41 and a half.
0:40:32 > 0:40:35No? Gentleman standing at £41,000.
0:40:35 > 0:40:38Do I have 41 and a half anywhere else?
0:40:38 > 0:40:41I'm here and I'm selling at 41,000. 500?
0:40:41 > 0:40:45No? I'm selling once at 41,000.
0:40:45 > 0:40:49I'm selling for the second time at £41,000.
0:40:49 > 0:40:51Gentleman standing at 41,000.
0:40:51 > 0:40:56The hammer fell at £41,000 for Andrew, who hails from Durham,
0:40:56 > 0:40:58some 50 minutes away from his new purchase.
0:40:58 > 0:41:00Andrew's an assistant engineer
0:41:00 > 0:41:03for the county council's highways department.
0:41:03 > 0:41:06MUSIC: "Stand And Deliver" by Adam And The Ants
0:41:10 > 0:41:14This is his second investment property and he went to the auction
0:41:14 > 0:41:18with chum Jamie, who will also be helping with the renovation work.
0:41:18 > 0:41:22But how did Andrew find his first auction experience?
0:41:22 > 0:41:25- Andrew, good to meet you. - Good to meet you too, Martin.
0:41:25 > 0:41:26- Congratulations.- Thank you.
0:41:26 > 0:41:28Tell me why you wanted to buy the house.
0:41:28 > 0:41:30Well, if I'm honest, when I was at the auction,
0:41:30 > 0:41:32I was actually looking for another property.
0:41:32 > 0:41:35- Oh.- Which was actually withdrawn when I got that far.- Ah.
0:41:35 > 0:41:39So I had a bit of a panic on, thinking, "I've come all this way,
0:41:39 > 0:41:42"I'm looking to invest in something. What can I do?"
0:41:42 > 0:41:44Fortunately, we had a look through the catalogue.
0:41:44 > 0:41:47This property stood out because it's in Blyth,
0:41:47 > 0:41:49an area that my friend, Jamie, is familiar with,
0:41:49 > 0:41:52and he was with me at the time and I said, "What do you think?"
0:41:52 > 0:41:55We managed to phone his dad and he looked it up on the internet
0:41:55 > 0:41:57and was able to give us some good feedback and said,
0:41:57 > 0:42:01"If you can get it for the right price, go for it," so we did.
0:42:01 > 0:42:03Let me just get the timescale of this right -
0:42:03 > 0:42:06Jamie, your friend, phoned his dad when?
0:42:06 > 0:42:09While we were sitting waiting for the auction to begin.
0:42:09 > 0:42:11- So had you seen the property beforehand?- No.
0:42:11 > 0:42:13Had you read the legal pack?
0:42:13 > 0:42:15Yes, we did. We were advised to do that.
0:42:15 > 0:42:19We spoke to the solicitors that were there who I then went on
0:42:19 > 0:42:23- and employed to do the legal work for me for the purchase.- Ah, OK.
0:42:23 > 0:42:26- So it worked out all right. - Yeah, it worked out in the end.
0:42:26 > 0:42:28Bit "fly by the seat of your pants-y", isn't it?
0:42:28 > 0:42:30Just a little bit, but, you know...
0:42:32 > 0:42:35What's life if you don't take a risk now and again?
0:42:35 > 0:42:36But to keep any further risks low,
0:42:36 > 0:42:41Andrew wants to bring this project in for £50,000,
0:42:41 > 0:42:44making his budget for the work 9,000.
0:42:44 > 0:42:48So it's unlikely he'll be able to factor in moving the bathroom.
0:42:48 > 0:42:50As well as property renovating
0:42:50 > 0:42:52and working full-time as an engineer,
0:42:52 > 0:42:54Andrew's a motorbike enthusiast.
0:42:54 > 0:42:58He has seven of them and renovates classic cars.
0:43:01 > 0:43:02With Andrew's hands full,
0:43:02 > 0:43:06Jamie's going to be on hand to oversee the work here and take on
0:43:06 > 0:43:10a lot of the minor jobs while bringing experts in for the rest.
0:43:10 > 0:43:13With a three to four-month timescale,
0:43:13 > 0:43:15where are they going to start?
0:43:15 > 0:43:18The first job we need to do is address the windows and doors,
0:43:18 > 0:43:19cos they're a bit of a nightmare.
0:43:19 > 0:43:22On top of that, we're probably going to decorate throughout.
0:43:22 > 0:43:25New carpet, the kitchen needs updating, so put a new kitchen in
0:43:25 > 0:43:27and just give it a good lick of paint
0:43:27 > 0:43:30and hopefully see a good result at the end.
0:43:30 > 0:43:32And some of the more structural things,
0:43:32 > 0:43:34like the roof and things like that?
0:43:34 > 0:43:36The roof, we're going to get somebody in to have a look at
0:43:36 > 0:43:39and get a quote for how much it's going to cost to possibly repair
0:43:39 > 0:43:40- or, if needs be, replace.- Ooh.
0:43:40 > 0:43:44Ooh, yes. So hopefully it's not going to be too much, as we have a...
0:43:44 > 0:43:46Not a tight budget but we have a budget
0:43:46 > 0:43:48that I want to try and stick to if I possibly can.
0:43:48 > 0:43:51- Listen, congratulations. Good luck with it.- Excellent.
0:43:51 > 0:43:53- We look forward to seeing how it turns out.- Thanks a lot.
0:43:54 > 0:43:58Well, buying a property that you've seen for the first time
0:43:58 > 0:44:01at the auction and only via the auction catalogue
0:44:01 > 0:44:03is not to be recommended,
0:44:03 > 0:44:06but at least Andrew did read the legal pack
0:44:06 > 0:44:10and, it seems, with his friend Jamie's help,
0:44:10 > 0:44:14he's all revved up and ready to go to sort this place out.
0:44:14 > 0:44:16You can find out how he gets on later in the show.
0:44:20 > 0:44:21Well, the clock has been ticking
0:44:21 > 0:44:24and work should be well under way on those properties.
0:44:24 > 0:44:27Have the piles of bricks, the bags of cement gone?
0:44:27 > 0:44:30Has the paint even dried on the walls?
0:44:30 > 0:44:31Time to go back and find out.
0:44:34 > 0:44:37We've returned to Chaddesden in Derby.
0:44:37 > 0:44:39This popular residential area
0:44:39 > 0:44:43houses a three-bedroom semi-detached in need of some TLC.
0:44:45 > 0:44:48The first thing I noticed was the odd living room layout.
0:44:50 > 0:44:52But what do you think's in here?
0:44:52 > 0:44:55Hmm? Hmm? Hmm? Hmm?
0:44:55 > 0:44:57You're wrong, it was a bathroom.
0:44:58 > 0:45:00Sold at 65,000. Thank you.
0:45:00 > 0:45:03..to Ian and Nicola who had returned from Malta,
0:45:03 > 0:45:06where they already had been developing new builds.
0:45:06 > 0:45:10Nicola and Ian certainly had their work cut out with this house -
0:45:10 > 0:45:13the kitchen was riddled with damp, thanks to a flat roof,
0:45:13 > 0:45:16and it wasn't much better upstairs,
0:45:16 > 0:45:19and they had, thanks to a planned trip to Malta,
0:45:19 > 0:45:22only seven weeks to turn it around.
0:45:22 > 0:45:24Well, seven MONTHS later,
0:45:24 > 0:45:28Nicola has returned from her home in Malta to review progress.
0:45:28 > 0:45:32Well, since we bought the property, we started gutting it.
0:45:38 > 0:45:41Then we went away - we went away for about two-and-a-half months,
0:45:41 > 0:45:43so basically, the whole of summer.
0:45:43 > 0:45:45We sort of left it be after gutting it,
0:45:45 > 0:45:50then when we returned, em...yeah, we started back on it again.
0:45:54 > 0:45:57Main jobs we've had to do, starting with the roof, the water,
0:45:57 > 0:46:01cos there was - as you saw - plenty of damp everywhere.
0:46:01 > 0:46:04We had some builders in and we had some people to have a look at it
0:46:04 > 0:46:09and it seemed that there were was some - is it pointing? - on the roof.
0:46:09 > 0:46:12The kitchen was absolutely horrendous, wasn't it?
0:46:12 > 0:46:14It was all damp and we've had a whole new roof
0:46:14 > 0:46:17and we've insulated all the kitchen.
0:46:18 > 0:46:22We ripped the bathroom out completely and had a new bathroom.
0:46:27 > 0:46:30I love the pink toilet seat. I originally bought it for myself.
0:46:30 > 0:46:31My daughter loved it as well.
0:46:31 > 0:46:34Didn't go too well with the other half,
0:46:34 > 0:46:37so...it's ended up here for someone else to appreciate.
0:46:37 > 0:46:40It would appear that Ian and Nicola's plans
0:46:40 > 0:46:44for a developing future in the UK has been a flash in the pan.
0:46:46 > 0:46:50With the job only half done, have they had a change of heart?
0:46:50 > 0:46:55Yeah, then we came to a stage where we had an opportunity abroad,
0:46:55 > 0:46:58so we then had to make a decision whether we were going to finish it,
0:46:58 > 0:47:00as we originally planned, and sell it,
0:47:00 > 0:47:04or perhaps put it back in auction for a quick sale.
0:47:04 > 0:47:07So we've gone for the quick sale.
0:47:07 > 0:47:14# Well, I guess you must have had a change of heart. #
0:47:14 > 0:47:16I've had to make some decisions on where to stop
0:47:16 > 0:47:19and we took some advice, obviously, from the auctioneer
0:47:19 > 0:47:21at what would improve the cost and what wouldn't
0:47:21 > 0:47:23and where we could stop on that.
0:47:23 > 0:47:26So...yeah, the whole outside was painted and the cladding.
0:47:26 > 0:47:28We decided to leave it there.
0:47:28 > 0:47:31Nicola hopes flipping it back to the auction
0:47:31 > 0:47:34could realise a sale price of £80,000.
0:47:34 > 0:47:38We've spent around three, maybe three-and-a-half so far.
0:47:38 > 0:47:42Em...I know I had a bigger budget in my mind,
0:47:42 > 0:47:46but I think I would have to spend quite a bit more to finish it,
0:47:46 > 0:47:48so, bearing in mind we've not finished it,
0:47:48 > 0:47:50we've spent about 3,500, quite happy with that.
0:47:50 > 0:47:53Em...it might be just a little bit more,
0:47:53 > 0:47:57cos I've still got to finish off with the painting and things, so maybe a little bit more.
0:47:57 > 0:48:00But, yeah - we'll probably finish around 3,500.
0:48:02 > 0:48:04Well, this is very unusual.
0:48:04 > 0:48:06What will two local property experts think
0:48:06 > 0:48:08of this part-finished project?
0:48:10 > 0:48:12There's still an awful lot to do
0:48:12 > 0:48:17to make it presentable for resale, or even for rent.
0:48:17 > 0:48:21I sort of sense that we're in-between -
0:48:21 > 0:48:22something's being done,
0:48:22 > 0:48:25but there's a lot of things that haven't been done, somehow.
0:48:25 > 0:48:28I mean, there's good reason for that, I'm sure,
0:48:28 > 0:48:31but it would appear to me that there's very little been achieved,
0:48:31 > 0:48:34other than probably some plastering, decorating
0:48:34 > 0:48:37and a new bathroom, of course, but that's about as far as it goes.
0:48:37 > 0:48:38There is a question mark
0:48:38 > 0:48:42over whether or not the house is of standard construction.
0:48:42 > 0:48:46There is a whole host of definitions of "non-standard" -
0:48:46 > 0:48:50in this case, Nicola has discovered her house is made of brick,
0:48:50 > 0:48:52but still hasn't had a survey.
0:48:52 > 0:48:54If the house is non-standard,
0:48:54 > 0:48:57it could be more difficult to get a mortgage.
0:48:57 > 0:48:59If it is standard, all is well.
0:48:59 > 0:49:01Obviously, all of this has an effect on the valuation,
0:49:01 > 0:49:04so what if it is standard construction?
0:49:04 > 0:49:07Taking into consideration the work to be done,
0:49:07 > 0:49:10if this was completely finished, I would expect a sale price
0:49:10 > 0:49:13of around £110,000-£115,000.
0:49:13 > 0:49:15And if it's non-standard?
0:49:15 > 0:49:19I think it wouldn't have a value in excess of £95,000.
0:49:19 > 0:49:23And that's simply because the market has been narrowed down
0:49:23 > 0:49:26by the fact that it's difficult to mortgage.
0:49:26 > 0:49:29It all goes to show, it's very, very important
0:49:29 > 0:49:33to get a surveyor to tell you what's what.
0:49:33 > 0:49:36OK, there is still tonnes to do to this property
0:49:36 > 0:49:40and Nicola and Ian hope to sell it on for £80,000,
0:49:40 > 0:49:44which would give them a profit of over £11,000,
0:49:44 > 0:49:46minus taxes and expenses.
0:49:46 > 0:49:49Question is, if they do manage to flip it at auction,
0:49:49 > 0:49:52will the next investor see a profit here?
0:49:52 > 0:49:54If they bought it for the £80,000
0:49:54 > 0:49:58and did a modest refurbishment for, say, £10,000,
0:49:58 > 0:50:01then on those valuations, there could be a possible loss.
0:50:01 > 0:50:03Sounds quite risky.
0:50:03 > 0:50:07Would an investment to produce rental income work, though?
0:50:07 > 0:50:08Every property is rentable -
0:50:08 > 0:50:11you've just got to get the price right.
0:50:11 > 0:50:17I would suggest a rental price of between £475 and £495pcm.
0:50:17 > 0:50:20For the rental market, clearly, you've got to finish it off,
0:50:20 > 0:50:24you've got to put in a working kitchen and make it presentable.
0:50:24 > 0:50:27Assuming that to be the case, it would have a rental value
0:50:27 > 0:50:31of between £475 and £500pcm.
0:50:31 > 0:50:35Well, that's better. On the same assumptions of spend,
0:50:35 > 0:50:37this could generate a yield of just over 6% -
0:50:37 > 0:50:39respectable enough,
0:50:39 > 0:50:43as is Nicola and Ian's possible profit of £11,500,
0:50:43 > 0:50:46minus taxes and expenses, of course.
0:50:48 > 0:50:51We'll finish this place off, we'll pop it auction.
0:50:51 > 0:50:54If it sells, very good - we'll say goodbye to this,
0:50:54 > 0:50:59hopefully start a new project abroad, if not, maybe something here.
0:51:04 > 0:51:07Earlier, I was in the lovely port town of Blythe in Northumberland.
0:51:07 > 0:51:12Just a stone's throw from its gorgeous, long stretch of beach,
0:51:12 > 0:51:14in one of its residential streets,
0:51:14 > 0:51:16is this three-bedroomed terrace,
0:51:16 > 0:51:20which mostly just needed some care and attention.
0:51:20 > 0:51:23Enter Andrew, a full-time engineer from Durham,
0:51:23 > 0:51:25who was at the auction with his friend Jamie,
0:51:25 > 0:51:28who was going to help him with the work.
0:51:28 > 0:51:31And while he got a pat on the back for reading the legal pack,
0:51:31 > 0:51:33he did commit another auction no-no
0:51:33 > 0:51:36by purchasing a property he'd never viewed.
0:51:39 > 0:51:40When I was at the auction,
0:51:40 > 0:51:42- I was actually looking for another property...- Ooh.
0:51:42 > 0:51:45- ..which was actually withdrawn when I got that far.- Ah.
0:51:45 > 0:51:48So had a bit of a panic on, thinking "I've come all this way.
0:51:48 > 0:51:51"I'm looking to invest in something - what can I do?"
0:51:51 > 0:51:54- So, had you seen the property beforehand?- No.
0:51:54 > 0:51:57A bit fly-by-the-seat-of-your-pants, innit?
0:51:57 > 0:51:59Just a little bit, but you know...
0:51:59 > 0:52:00MARTIN LAUGHS
0:52:00 > 0:52:03What's life if you don't take a risk now and again?
0:52:03 > 0:52:06Andrew might not mind taking a risk,
0:52:06 > 0:52:09but he also had his friend Jamie to help with the work.
0:52:09 > 0:52:11Four months after I first met Andrew,
0:52:11 > 0:52:13let's see what they've done.
0:52:38 > 0:52:41There's still some bits and pieces to clean up and finish off,
0:52:41 > 0:52:43but down here is looking a lot better,
0:52:43 > 0:52:45and much less "Blue Peter."
0:52:46 > 0:52:48The original features have been maintained,
0:52:48 > 0:52:50which I always love to see.
0:52:50 > 0:52:53The main problem with this property, though,
0:52:53 > 0:52:57was that there was only one bathroom and it was accessed via a bedroom.
0:52:57 > 0:52:59Has that seen any changes?
0:53:01 > 0:53:03Well, if you remember, this was the en-suite bathroom
0:53:03 > 0:53:06that also doubled as a family bathroom.
0:53:06 > 0:53:09The only way to access it, of course, was through the master bedroom.
0:53:09 > 0:53:11Obviously needs to be finished off, but in our developments,
0:53:11 > 0:53:12it's all changed now.
0:53:12 > 0:53:14# Ch-ch-ch-changes
0:53:14 > 0:53:17# Turn and face the strains
0:53:17 > 0:53:19# Ch-ch-changes... #
0:53:19 > 0:53:21And here we have the newly created bedroom,
0:53:21 > 0:53:24within the master bedroom, being created with two stud walls,
0:53:24 > 0:53:26giving shared access to the bathroom,
0:53:26 > 0:53:29so any family that comes here has a definite three-bedroom property
0:53:29 > 0:53:31and everyone has access to the bathroom
0:53:31 > 0:53:34and I am very pleased with the end result.
0:53:34 > 0:53:36And I can see why -
0:53:36 > 0:53:40I wasn't sure about sacrificing the space to make a corridor,
0:53:40 > 0:53:42but on balance, this is a good solution
0:53:42 > 0:53:44to the bathroom conundrum.
0:53:44 > 0:53:49So, how did that £9,000 budget cope with all these changes?
0:53:50 > 0:53:51The £9,000 budget, I believe,
0:53:51 > 0:53:55was probably a little bit conservative, if I'm honest.
0:53:55 > 0:54:00A few expenses I was hoping would be cheaper weren't, such as the kitchen,
0:54:00 > 0:54:04and the end of the day, I have actually spent £11,800.
0:54:04 > 0:54:06So I've gone nearly 30% over budget.
0:54:06 > 0:54:08I'm still impressed - for that money,
0:54:08 > 0:54:12he's installed new doors, double-glazing, the roof...
0:54:12 > 0:54:17Remember we could see daylight peeping through the last time?
0:54:17 > 0:54:22# To my surprise
0:54:24 > 0:54:28# And my daylight... #
0:54:28 > 0:54:33And the property has been plastered, painted and carpeted,
0:54:33 > 0:54:36although it wasn't Andrew who was hands-on,
0:54:36 > 0:54:38getting this place turned around.
0:54:38 > 0:54:40Since you were last here, the decision had been
0:54:40 > 0:54:43that I was going to do some of the work to help Jamie,
0:54:43 > 0:54:45but as it's turned out, due to my commitments,
0:54:45 > 0:54:49I've done, if I'm honest, nothing.
0:54:49 > 0:54:51All the work has been done and managed by Jamie
0:54:51 > 0:54:56cos he's been able to do all the work and I've been able to just sit back, relax and let him get on with it.
0:54:56 > 0:54:58Nice work if you can get it!
0:54:58 > 0:55:01But Andrew did call in the experts to fix the roof,
0:55:01 > 0:55:03install the windows and doors
0:55:03 > 0:55:06and do the plastering and carpets.
0:55:06 > 0:55:08It really was a lot of work to get done
0:55:08 > 0:55:10in what's only gone slightly over
0:55:10 > 0:55:13Andrew's original three to four-month timescale.
0:55:13 > 0:55:18Has he learned any valuable lessons, doing up his first auction property?
0:55:20 > 0:55:23One of the things I have learned, when I go into doing my next project,
0:55:23 > 0:55:28is to maybe have a stock of parts and screws and bits and pieces,
0:55:28 > 0:55:30cos the one thing Jamie's complained about
0:55:30 > 0:55:32is the number of times he's had to go backwards and forwards
0:55:32 > 0:55:34to various shops to get the bits and pieces we need.
0:55:34 > 0:55:37It'd be much better if we had a stock of our own parts
0:55:37 > 0:55:40in the back of the truck so we can just work straight from there.
0:55:41 > 0:55:45Sounds like he's already thinking ahead to his next renovation.
0:55:45 > 0:55:48First, though, we've invited two local property experts
0:55:48 > 0:55:50to have a look at the house,
0:55:50 > 0:55:52starting with the one who viewed it
0:55:52 > 0:55:54when we were here previously.
0:55:55 > 0:55:58Since I was last at the property, it has improved significantly,
0:55:58 > 0:56:01with restoration work to the kitchen.
0:56:01 > 0:56:04The bedroom has been moved to accommodate a bathroom, now,
0:56:04 > 0:56:06so we're keeping it to a three-bed,
0:56:06 > 0:56:09which I feel will be appealing to a first-time buyer market.
0:56:09 > 0:56:11It's a lovely, bright property.
0:56:11 > 0:56:14It's a blank canvas for a first-time buyer.
0:56:14 > 0:56:19Lovely, light carpets, light walls, modern kitchen and bathroom.
0:56:19 > 0:56:22Well-designed and it'll be a very popular house.
0:56:23 > 0:56:24So, they both seem impressed
0:56:24 > 0:56:27with what's been done here to improve the property,
0:56:27 > 0:56:30but how would the finances fare?
0:56:30 > 0:56:33Remember, Andrew's total spend on the purchase and the work
0:56:33 > 0:56:36is £52,800.
0:56:36 > 0:56:39What could he charge if he puts it on the rental market?
0:56:42 > 0:56:45In the rental market, I would look to rent this property
0:56:45 > 0:56:49for around £475pcm, or close to that mark.
0:56:49 > 0:56:51I would love to achieve, on this property,
0:56:51 > 0:56:55a rental value of £475pcm.
0:56:55 > 0:56:57I was expecting £350-£400,
0:56:57 > 0:57:01but to hear it's 475, that's a big improvement.
0:57:01 > 0:57:05Andrew did exactly the right thing in keeping those three bedrooms
0:57:05 > 0:57:09and it would give him a great yield of nearly 11%.
0:57:09 > 0:57:12But Andrew is only going to look into renting
0:57:12 > 0:57:14if he can't sell the property.
0:57:14 > 0:57:18Let's find out what the agents would market it for, sale-wise.
0:57:18 > 0:57:21If this property was to be put onto the open market,
0:57:21 > 0:57:25I would look to put it on to achieve between £60,000 and £65,000.
0:57:25 > 0:57:26I would be confident to achieve
0:57:26 > 0:57:30between £65,000-£70,000 for this property.
0:57:30 > 0:57:33The bottom valuation of 60 would mean a respectable profit
0:57:33 > 0:57:35of just over £7,000,
0:57:35 > 0:57:40while that top valuation of 70,000 could give him 17 grand,
0:57:40 > 0:57:43all minus the usual fees and taxes, of course.
0:57:43 > 0:57:45Wow! That's really good.
0:57:45 > 0:57:47That's round about the ballpark I was hoping for,
0:57:47 > 0:57:50cos it gives me a nice, comfortable profit margin
0:57:50 > 0:57:53which means I can move on to my next project.
0:57:55 > 0:57:56Well, that's it for today.
0:57:56 > 0:57:59Join us next time, when we meet more brave auction buyers
0:57:59 > 0:58:01trying to make a bit of money on property
0:58:01 > 0:58:04or possibly just trying to find a place to live.
0:58:04 > 0:58:05- We'll see you next time. - Goodbye.- Bye.