0:00:02 > 0:00:03Hello, welcome to the show.
0:00:03 > 0:00:06Now, buying a property, be it a home or an investment,
0:00:06 > 0:00:09could possibly be the most expensive thing you ever buy.
0:00:09 > 0:00:11So with thousands of pounds involved,
0:00:11 > 0:00:14you really should try and get the best value for money.
0:00:14 > 0:00:15And where can you do that?
0:00:15 > 0:00:18Well, maybe by heading down to your local auction.
0:00:43 > 0:00:47Now, anyone can attend an auction, and anyone can bid.
0:00:47 > 0:00:50You've just got to be certain that you can afford
0:00:50 > 0:00:51to pay for what you bid for.
0:00:51 > 0:00:55So let's see what today's bidders decided to buy at auction.
0:00:57 > 0:01:01In Congleton, Cheshire, the wooden beams aren't quite what they seem.
0:01:01 > 0:01:05Are they wood? That's some kind of faux wood.
0:01:06 > 0:01:09In London, there's more than meets the eye to this developer.
0:01:09 > 0:01:11He's also a property solicitor.
0:01:11 > 0:01:15I used to see a lot of clients make a bob or two on the property game.
0:01:17 > 0:01:20And what could be hiding in this mysterious building
0:01:20 > 0:01:21in West Glamorgan?
0:01:21 > 0:01:23Can you guess what it is?
0:01:23 > 0:01:27It's actually the former ambulance station.
0:01:27 > 0:01:30All of these properties have been sold at auction.
0:01:30 > 0:01:33We'll find out who bought them, and what they paid for them
0:01:33 > 0:01:35when they went under the hammer.
0:01:35 > 0:01:36- HE BANGS GAVEL - Sold, 291.
0:01:39 > 0:01:42Congleton, in Cheshire, has a strange link
0:01:42 > 0:01:44with a very unexpected animal, the bear.
0:01:44 > 0:01:48Unfortunately, though, this isn't a cuddly bear story.
0:01:48 > 0:01:52Nowadays, bear-baiting in the UK would be unthinkable,
0:01:52 > 0:01:56but this blood sport once brought in huge crowds.
0:01:56 > 0:01:59Congleton became notorious in the 1620s when money saved
0:01:59 > 0:02:04to buy a Bible for the town was used instead to buy a bigger bear.
0:02:04 > 0:02:07Hence its peculiar nickname, Beartown.
0:02:07 > 0:02:10There are still a few bears in town, but thankfully, better treated.
0:02:17 > 0:02:21Well, being only 30 minutes from Manchester by train,
0:02:21 > 0:02:25a lot of people move to Congleton for the quieter life.
0:02:25 > 0:02:27If that's what you're looking for,
0:02:27 > 0:02:31the property I'm here to see really won't suit. This is it.
0:02:31 > 0:02:34Two bedrooms. £40,000 was the guide price.
0:02:34 > 0:02:37But before we go in, I've got to show you this.
0:02:37 > 0:02:40The reason it's so bad if you're looking for peace and quiet
0:02:40 > 0:02:42is because not only is it on a main road,
0:02:42 > 0:02:44it's right by these traffic lights.
0:02:44 > 0:02:47So you don't get the constant vroom-vroom of the cars,
0:02:47 > 0:02:50and the lorries, and whatever else, you get them stopping
0:02:50 > 0:02:54at the lights and starting their engines up, and... Argh! Nightmare.
0:02:54 > 0:02:55OK, that's the bad bit.
0:02:55 > 0:02:58Let's find out what it's got to offer.
0:02:59 > 0:03:01Oh...
0:03:01 > 0:03:03HE LAUGHS
0:03:03 > 0:03:06That's not ideal, is it?
0:03:06 > 0:03:10Um, yeah, the electric cupboard, just there, behind the door,
0:03:10 > 0:03:12to a point that you...
0:03:12 > 0:03:14Well, no, not ideal. So...
0:03:14 > 0:03:18After that slightly startling start, what have we got?
0:03:18 > 0:03:22Lots of stuff on the walls, that's for sure. But a little corridor.
0:03:22 > 0:03:24Front living room there.
0:03:24 > 0:03:28Apart from the fact that it's got two sides facing the roads,
0:03:28 > 0:03:32so you do get so much noise, It's not a bad sized space.
0:03:32 > 0:03:36It's certainly got character, with those beam-y things going on.
0:03:36 > 0:03:39Another beam here, so watch your head on that.
0:03:39 > 0:03:40Through to a rear sitting room.
0:03:40 > 0:03:44And straight away, one thing that I really like about the place,
0:03:44 > 0:03:47it's got character. I mean, look at this for a fireplace.
0:03:47 > 0:03:51Whatever you think of it, it's not boring, is it?
0:03:51 > 0:03:54And actually, I think if you got rid of this top bit maybe,
0:03:54 > 0:03:57made that smooth, painted that perhaps a different colour,
0:03:57 > 0:04:00that would be a really interesting feature.
0:04:00 > 0:04:02But things like the staircase returns here.
0:04:02 > 0:04:05I'm not sure if that needs a bit of investigating.
0:04:05 > 0:04:07But there's lots of wood going on.
0:04:07 > 0:04:09Um...
0:04:09 > 0:04:11Hm... I say wood.
0:04:13 > 0:04:17On closer inspection, that isn't, is it?
0:04:17 > 0:04:22That's some kind of concrete-y, fibreglass-y,
0:04:22 > 0:04:25plaster-y faux wood -
0:04:25 > 0:04:27the sort of thing you have in theme parks
0:04:27 > 0:04:30where it looks like boulders and stuff.
0:04:30 > 0:04:33But somebody's gone to a lot of trouble to put it on. Hm.
0:04:33 > 0:04:37Anyway. Through there, to this area here, there's the kitchen.
0:04:37 > 0:04:39Through to the bathroom.
0:04:39 > 0:04:42I mean, for that 40,000 quid...
0:04:42 > 0:04:45I know it's got a few quirky things about it, but...
0:04:45 > 0:04:47It's not a bad house, is it?
0:04:47 > 0:04:49Not bad at all.
0:04:49 > 0:04:53Headroom is at a premium, but removing the "wooden" beams..
0:04:53 > 0:04:55- HE CLEARS THROAT - ..may help with that.
0:04:55 > 0:04:58Having a bathroom downstairs isn't ideal either,
0:04:58 > 0:05:01but is standard in these types of houses.
0:05:01 > 0:05:06But those really steep stairs, well, they ring alarm bells.
0:05:09 > 0:05:12Well, top of the stairs, and a real safety issue,
0:05:12 > 0:05:14a potential disaster waiting to happen here.
0:05:14 > 0:05:17Because look what you've got. Fair enough, top of the stairs,
0:05:17 > 0:05:20bit of a landing area going into that bedroom.
0:05:20 > 0:05:23But nothing here apart from this tiny little area here,
0:05:23 > 0:05:26when you come out of this bedroom here.
0:05:26 > 0:05:28So the danger of basically stepping off there
0:05:28 > 0:05:30and falling down the stairs is huge.
0:05:30 > 0:05:31That wants to be sorted,
0:05:31 > 0:05:34especially if you're looking at renting this place out.
0:05:34 > 0:05:37I think you'd be legally obliged to do that.
0:05:37 > 0:05:40Maybe you could create some kind of a landing area by taking down
0:05:40 > 0:05:43a bit of that wall, sneaking a bit of room out of that bedroom.
0:05:43 > 0:05:46It could certainly cope with that. But, for me, that is
0:05:46 > 0:05:49one of the big priorities.
0:05:49 > 0:05:52This is the sort of thing that would never pass
0:05:52 > 0:05:55current building regulations, and if you were to rent this out,
0:05:55 > 0:05:59you'd have an obligation to make this house safe for your tenant.
0:05:59 > 0:06:03Aside from that issue, there are two good-sized bedrooms up here.
0:06:03 > 0:06:07But, shiver me timbers, more of those beams.
0:06:07 > 0:06:09The rooms are nice and bright,
0:06:09 > 0:06:12but I think I would want to get rid of these leaded windows and get
0:06:12 > 0:06:16some double, maybe even triple glazing to keep the noise out.
0:06:18 > 0:06:22The floor definitely has a slope, so a structural survey is a must.
0:06:23 > 0:06:26Let's head outside to see if that's on the straight,
0:06:26 > 0:06:28but hopefully not narrow.
0:06:30 > 0:06:34Well, if you're looking for a house with lots of outside space,
0:06:34 > 0:06:36you need to look somewhere else.
0:06:36 > 0:06:40Because literally all you have got is that little bit of courtyard.
0:06:40 > 0:06:44That bit there actually belongs to the next door neighbours.
0:06:44 > 0:06:46Now, ffftt...it's not ideal.
0:06:46 > 0:06:49But trying to find a plus point here, if you were looking to rent
0:06:49 > 0:06:52this place out, tenants generally don't like large gardens,
0:06:52 > 0:06:54something they have to look after, at least.
0:06:54 > 0:06:56What you've got here is space for your bins,
0:06:56 > 0:07:00maybe somewhere you could put your bikes. So that's a positive.
0:07:07 > 0:07:09Perhaps a local estate agent might like to borrow
0:07:09 > 0:07:13my rose-tinted spectacles. What does he reckon about this property,
0:07:13 > 0:07:16guided at £40,000?
0:07:17 > 0:07:20The property is in need of a full scheme of refurbishment.
0:07:20 > 0:07:22I also think there are some structural issues
0:07:22 > 0:07:25to the left-hand side of the property.
0:07:25 > 0:07:29In the second bedroom, the floor runs out to the side elevation wall,
0:07:29 > 0:07:31and it has quite a large slope.
0:07:31 > 0:07:34Makes you feel like you've had a few too many glasses of wine.
0:07:34 > 0:07:36Well, I think we can agree that it will be a while
0:07:36 > 0:07:39before anyone sits back with a glass of wine here.
0:07:39 > 0:07:42There is a lot of work to do. Would it be worth it?
0:07:43 > 0:07:47You're probably looking to achieve somewhere in the region
0:07:47 > 0:07:49between £75,000 to £80,000.
0:07:49 > 0:07:52If the property was placed onto the rental market, I would expect
0:07:52 > 0:07:56to achieve somewhere in the region of £400 to £450 per calendar month.
0:07:57 > 0:08:00Well, it's certainly a house with lots of character.
0:08:00 > 0:08:02Some would call it quirky.
0:08:02 > 0:08:06Not an ideal location, but remember that guide price, £40,000.
0:08:06 > 0:08:09I actually think it's a really good one to go for.
0:08:09 > 0:08:12Let's see who agreed when it went under the hammer.
0:08:12 > 0:08:14It's a two-bedroomed
0:08:14 > 0:08:15end terrace house.
0:08:15 > 0:08:19I have a proxy bid on this of £28,000.
0:08:19 > 0:08:23Bid with me at £28,000. Looking for 30 in the room.
0:08:23 > 0:08:28£30,000 in the room. £30,000. 31 with me.
0:08:28 > 0:08:3032, 33 with me.
0:08:30 > 0:08:3334, at 34 I'm out.
0:08:33 > 0:08:38At £34,000. 34,500,
0:08:38 > 0:08:4035, 35...500?
0:08:42 > 0:08:47No? At 35,000, right in the middle at £35,000.
0:08:47 > 0:08:51Right at the back now, 35,500.
0:08:51 > 0:08:5336.
0:08:53 > 0:08:5636. 36,500...
0:08:56 > 0:08:5837? No?
0:08:58 > 0:09:02At 36,000, by the light. At £36,500,
0:09:02 > 0:09:0337, anywhere else?
0:09:05 > 0:09:08If not, 36,500 once,
0:09:08 > 0:09:1036,500 twice,
0:09:10 > 0:09:13and final time, 36,500...
0:09:13 > 0:09:15- HE BANGS GAVEL - Your lot. Well done.
0:09:17 > 0:09:21Julia made that successful bid of £36,500,
0:09:21 > 0:09:24that's £3,500 below the guide price.
0:09:24 > 0:09:27Julia and her husband Mike are relative novices
0:09:27 > 0:09:30when it comes to property development,
0:09:30 > 0:09:33with two previous developments their only experience.
0:09:33 > 0:09:36However, they're keen to get going with their latest purchase.
0:09:36 > 0:09:39And I met full-time mum Julia back at the property
0:09:39 > 0:09:41to find out their plans.
0:09:41 > 0:09:45- Julia, great to meet you. - And you.- Congratulations.- Thank you.
0:09:45 > 0:09:47- What an interesting little place this is.- Mm.
0:09:47 > 0:09:50Tell me why you wanted to buy it.
0:09:50 > 0:09:53Mainly the price. It was the right price.
0:09:53 > 0:09:55And I know this area a little bit,
0:09:55 > 0:10:00so I knew that the price was a good price for this area, really.
0:10:00 > 0:10:02And why do you think it was that price?
0:10:04 > 0:10:07Probably because it needs quite a bit of work doing to it.
0:10:07 > 0:10:09And it's got a bathroom downstairs,
0:10:09 > 0:10:12which doesn't appeal to everybody, so yeah. It kept it low.
0:10:12 > 0:10:14And the slope-y floor bit?
0:10:14 > 0:10:17Yeah, I guess the slope-y floor might have something to do with it...
0:10:17 > 0:10:18SHE LAUGHS
0:10:18 > 0:10:21- And the slightly weird interior decor, perhaps?- Yes.
0:10:21 > 0:10:23It needs...yes, a bit of work, doesn't it?
0:10:23 > 0:10:26What are you planning to do to it?
0:10:26 > 0:10:30Most things, really. It needs the damp sorting out.
0:10:30 > 0:10:33It needs re-plastering. It needs rewiring.
0:10:33 > 0:10:38It's got no central heating. The upstairs floor needs sorting out.
0:10:38 > 0:10:41- New windows.- And kitchen? - Kitchen and bathroom, yeah, yeah.
0:10:41 > 0:10:45All that needs ripping out and starting again.
0:10:45 > 0:10:49Julia's certainly made a great assessment to the tasks ahead,
0:10:49 > 0:10:52and, I'm delighted to say, has in her sights
0:10:52 > 0:10:56one of the main difficulties I can see about the house, that staircase.
0:10:56 > 0:11:00- So what are the plans for that? - I'm not quite sure.- Oh, OK.- Yeah.
0:11:00 > 0:11:02I'll need to get somebody in to have a look.
0:11:02 > 0:11:06But if we can try and rearrange it, maybe bring it further out this way
0:11:06 > 0:11:09so that we can get a proper landing at the top.
0:11:09 > 0:11:11And what about all this
0:11:11 > 0:11:16- wood/concrete/fibreglass/whatever it is?- Yeah.
0:11:16 > 0:11:18Needs to go, really, doesn't it?
0:11:18 > 0:11:21Well, somebody's gone to such a lot of trouble to put it in.
0:11:21 > 0:11:25- It's a shame to say yes. But...yes. - It does, it needs to go.
0:11:25 > 0:11:28I think it takes up a lot of space as well.
0:11:28 > 0:11:31- We'll get rid of that, open it up a bit.- It's not the biggest of houses.
0:11:31 > 0:11:33It's not small, but it's not massive.
0:11:33 > 0:11:35And it probably doesn't help
0:11:35 > 0:11:37- creating more feeling of space, does it?- That's right.
0:11:37 > 0:11:40We'll try and maximise on the space that we've got.
0:11:40 > 0:11:44The one big negative, if there are any, is the location. Good and bad.
0:11:44 > 0:11:48Good in terms of what it's close to, but right on this junction.
0:11:48 > 0:11:50And you can hear the traffic...
0:11:50 > 0:11:53- Yeah.- This isn't even peak time, is it?- No.
0:11:53 > 0:11:55You can't do anything about that, though,
0:11:55 > 0:11:58- apart from putting triple glazing.- New windows, yeah.
0:11:58 > 0:12:01I think we'll try and do the best we can with the windows.
0:12:01 > 0:12:03And, like you say, other than that...
0:12:03 > 0:12:06You know, I've lived on a busy road, and you get used to it.
0:12:06 > 0:12:08So I think, as a rental property,
0:12:08 > 0:12:10I don't think that will be too much of an issue.
0:12:10 > 0:12:13- And that's the plan, is it? To rent it out?- Yes. Yes, it is.
0:12:15 > 0:12:17Well, before Julia can look for any renters,
0:12:17 > 0:12:21she's got a long list of pretty big jobs to get done,
0:12:21 > 0:12:25although she does have a fairly healthy budget of around £23,000,
0:12:25 > 0:12:27and a timescale of three to four months,
0:12:27 > 0:12:32to get this dated and wonky house ready for the rental market.
0:12:33 > 0:12:38So how involved are you going to be with it?
0:12:38 > 0:12:41I will be here most days to make sure that everything's going
0:12:41 > 0:12:45- according to plan.- You'll be telling other people what to do?- Exactly.
0:12:45 > 0:12:47MARTIN LAUGHS Yes!
0:12:47 > 0:12:50I like to plan things, I like to do the shopping for the kitchen
0:12:50 > 0:12:52and the bathroom, and all that.
0:12:52 > 0:12:56But luckily, I've got a very good builder who knows a lot of people,
0:12:56 > 0:12:59and we've used people in the past for projects,
0:12:59 > 0:13:03so you know, hopefully I won't need to get hands-on at all.
0:13:03 > 0:13:05- Well, congratulations!- Thank you.
0:13:05 > 0:13:08- We'll look forward to seeing how you get on.- Thank you very much.
0:13:10 > 0:13:13So it looks like the fake wood is destined to go
0:13:13 > 0:13:16in Julia's renovation of this little property in Congleton.
0:13:16 > 0:13:20It's one of those ones that is going to be dramatically different
0:13:20 > 0:13:23when we return. Can't wait to see what it looks like.
0:13:23 > 0:13:26You can find out later in the show.
0:13:28 > 0:13:31And talking of dramatically different,
0:13:31 > 0:13:34it's hard to believe that Willesden, here in north London,
0:13:34 > 0:13:38was once a rural village with a population of less than 20,000.
0:13:38 > 0:13:42In the late 1800s, the population grew to 140,000
0:13:42 > 0:13:47in just 25 years, thanks to the arrival of the railway.
0:13:53 > 0:13:58The property I'm here to see today is part of these Victorian terraces,
0:13:58 > 0:14:01probably built around the time of the railway station.
0:14:01 > 0:14:05Well, it's in here, it's on the first floor, it's a one-bedder
0:14:05 > 0:14:09and it has a guide price of £260,000 plus.
0:14:09 > 0:14:12Let's see what those good old Victorians built.
0:14:17 > 0:14:20First things first, in through the front door,
0:14:20 > 0:14:22and a flight of stairs to negotiate.
0:14:22 > 0:14:25I'm not going to let that put me off. Although the decor might.
0:14:25 > 0:14:27So a lot in this flat needs doing.
0:14:27 > 0:14:30But only decoration and carpets and painting.
0:14:30 > 0:14:34A lot of, sort of, egg yolk yellows everywhere, and oranges.
0:14:34 > 0:14:37Bathroom, and through to the back room,
0:14:37 > 0:14:41painted in a very interesting sorbet tangerine colour.
0:14:41 > 0:14:43But this is what I can't believe.
0:14:43 > 0:14:48Look how close you are to the tube station! Look!
0:14:48 > 0:14:50They literally are in your back garden.
0:14:50 > 0:14:52Now, let's do a sound test.
0:14:52 > 0:14:54TUBE TRAIN
0:14:54 > 0:14:57Doesn't make that much difference.
0:14:57 > 0:15:00So could it be a positive, could it be a negative? I'm not quite sure.
0:15:00 > 0:15:03It depends how quickly you need to get into town.
0:15:12 > 0:15:16For some, being that close to transport is a dream.
0:15:16 > 0:15:19And for others, it will send you off the rails.
0:15:19 > 0:15:23Getting this flat's decor back on track is something you CAN control.
0:15:23 > 0:15:25Oranges aren't the only colour.
0:15:28 > 0:15:30It's almost like this flat has got a pulse,
0:15:30 > 0:15:34because when the trains go, the flat just slightly moves.
0:15:34 > 0:15:37You've got the kitchen just here, which is a great size.
0:15:37 > 0:15:40There's a table in there, so you can sit down and eat.
0:15:40 > 0:15:43And through here, well, this is the front of the property.
0:15:43 > 0:15:46This is currently laid out as the bedroom.
0:15:46 > 0:15:49Now, I am thinking it would be served so much better
0:15:49 > 0:15:52as a living room, a cosy lounge.
0:15:52 > 0:15:55Why do you think this is the bedroom?
0:15:55 > 0:15:58Do you think it's too noisy at the back?
0:15:58 > 0:16:01If you slept at the back, you could hear the trains? What do you think?
0:16:01 > 0:16:04I don't know. I'm going to leave that one with you.
0:16:04 > 0:16:08But I think if this were mine, actually, I might swap it over.
0:16:09 > 0:16:12Let's see what a local estate agent makes of this flat,
0:16:12 > 0:16:14guided at £260,000.
0:16:23 > 0:16:25I think the property offers excellent potential.
0:16:25 > 0:16:29It's currently laid out as quite a spacious one-bedroom, but these days
0:16:29 > 0:16:32you could quite comfortably make it into a two-double-bedroom property.
0:16:32 > 0:16:35So he thinks converting the lounge into a second bedroom
0:16:35 > 0:16:39could be another option. How would that affect the values?
0:16:39 > 0:16:42So if you were to keep this property laid out as it is,
0:16:42 > 0:16:45but in good condition, you'd be looking at around £350,000 for sales,
0:16:45 > 0:16:48and you'd be looking at around £1,300 per calendar month
0:16:48 > 0:16:50for the lettings market.
0:16:50 > 0:16:53'If you were to convert this into a two-bedroom property, it would be
0:16:53 > 0:16:57'two-double-bedroom and you'd be looking at £400,000 for sales,
0:16:57 > 0:16:59'and you'd be looking at around £1,500 per calendar month
0:16:59 > 0:17:01'for the lettings market.'
0:17:01 > 0:17:05Well, this little flat over a few levels certainly has character
0:17:05 > 0:17:07and lots of exciting options.
0:17:07 > 0:17:11You could do a simple refurb, or you could think about a full overhaul.
0:17:11 > 0:17:14But is it too near to that train station,
0:17:14 > 0:17:16or will people absolutely love that?
0:17:16 > 0:17:20Let's see what happens when this property went under the hammer.
0:17:20 > 0:17:24One-bed, first-floor flat. 250.
0:17:24 > 0:17:26Thank you. 250.
0:17:26 > 0:17:28255, anywhere?
0:17:28 > 0:17:32We've got 250 standing up at the back. Anyone else? It's with you.
0:17:32 > 0:17:36Oh, 255, thought you had it. 260...
0:17:36 > 0:17:38Bidding started a little sluggish,
0:17:38 > 0:17:41but it soon became a nerve-jangling battle.
0:17:41 > 0:17:46We rejoin the bidding at 275,000.
0:17:46 > 0:17:48..275.
0:17:48 > 0:17:52276, 277, 278, 279,
0:17:52 > 0:17:56280, 281, 282,
0:17:56 > 0:18:00283, 284, 285, 286...
0:18:01 > 0:18:04Up a bit, might be... One more go? Yeah?
0:18:04 > 0:18:06286, 287...
0:18:08 > 0:18:11287, 288, 289,
0:18:11 > 0:18:13290...
0:18:13 > 0:18:17Must go one... 290. They're struggling a bit. 290? Well done.
0:18:17 > 0:18:18291?
0:18:20 > 0:18:23291? 291.
0:18:23 > 0:18:25I daren't ask you now. 292?
0:18:25 > 0:18:28But I've got to. 291. Have a think.
0:18:28 > 0:18:30292, elsewhere?
0:18:30 > 0:18:35We've got 291 standing up, first time, second time...
0:18:35 > 0:18:37Third and last time, if you're all done...
0:18:39 > 0:18:40Sold, 291.
0:18:40 > 0:18:42Raj was the successful bidder.
0:18:42 > 0:18:48He and his business partner finally purchasing the property for 291,000.
0:18:48 > 0:18:51And he's definitely in the know when it comes to property.
0:18:51 > 0:18:55Not only is Raj local, he has another ace up his sleeve.
0:18:55 > 0:18:59I met him to find out how he knows all the right steps.
0:19:03 > 0:19:06- Raj, congratulations.- Thank you very much indeed, thank you.
0:19:06 > 0:19:09- So here you have a one-bedroom flat...- That's right.
0:19:09 > 0:19:13..with a tube station right there. I mean, is that handy?
0:19:13 > 0:19:16- Is that going to put buyers off? - I think...
0:19:16 > 0:19:19It may put some buyers off, but the real charm of this property
0:19:19 > 0:19:22is actually the location of the station.
0:19:22 > 0:19:25It's about 10 minutes into central London, to get to Bond Street,
0:19:25 > 0:19:28and about 15, 20 minutes into Canary Wharf.
0:19:28 > 0:19:30So that is actually one of the charms,
0:19:30 > 0:19:32and the reason we chose this location.
0:19:32 > 0:19:34So tell me, what is your knowledge of property?
0:19:34 > 0:19:38Well, by profession I am actually a property solicitor, and that's
0:19:38 > 0:19:41what inspired me to try my dab hand at property developing.
0:19:41 > 0:19:45I used to see a lot of clients make a bob or two on the property game...
0:19:45 > 0:19:50LUCY LAUGHS ..so I always used to think, "I'm on the wrong end of the transaction."
0:19:50 > 0:19:52Then after lots of hard work and perseverance,
0:19:52 > 0:19:55- I got my first property about four, five years ago.- OK.
0:19:55 > 0:19:57And I've done a few projects myself.
0:19:57 > 0:19:59This one is together with my business partner,
0:19:59 > 0:20:01and I've done a handful with him as well.
0:20:01 > 0:20:04And of course you hope to make a bob or two yourself.
0:20:04 > 0:20:06We would hope so. We would hope so.
0:20:06 > 0:20:10We know the market around this area, so we know what prices would fetch.
0:20:10 > 0:20:12- OK.- But we can sit out the market as well.
0:20:12 > 0:20:14If the resale value isn't favourable,
0:20:14 > 0:20:17we will definitely leave it to rent out, and ride the highs and lows
0:20:17 > 0:20:19of the property markets for the next years to come.
0:20:19 > 0:20:22OK, talking like a true professional.
0:20:22 > 0:20:25So what advantage do you have over somebody else that may just
0:20:25 > 0:20:28- go to a property auction? - I think I knew the legalities of it.
0:20:28 > 0:20:30I know on your show, Martin and yourself
0:20:30 > 0:20:33are always telling people to look at the legal packs.
0:20:33 > 0:20:36So whenever the legal packs are there, for any property myself
0:20:36 > 0:20:38and my partner are interested in,
0:20:38 > 0:20:40I scrutinise it with a fine tooth comb,
0:20:40 > 0:20:43make sure there are no hidden extras or special conditions
0:20:43 > 0:20:46- which could be overly onerous. - Absolutely.
0:20:46 > 0:20:49- That is the one thing Martin and I always preach on about.- Absolutely.
0:20:49 > 0:20:52It's so important, because you can get little loopholes,
0:20:52 > 0:20:55covenants, all sorts of stuff that creep up in a legal pack.
0:21:00 > 0:21:04See, it's not just Martin and I that swear by the legal pack.
0:21:04 > 0:21:08And Raj is ready to rewrite the rules of this flat's layout.
0:21:08 > 0:21:11So what we're looking to do is, we're looking to reconfigure the property.
0:21:11 > 0:21:13At the moment it's a one bedroom,
0:21:13 > 0:21:16so what we're going to be doing is taking the wall down
0:21:16 > 0:21:19between the current bedroom and the actual kitchen,
0:21:19 > 0:21:23and relocating the kitchen into an open plan area.
0:21:23 > 0:21:26And the front bedroom will actually become the open plan living area
0:21:26 > 0:21:28with the kitchen combined.
0:21:28 > 0:21:32So you're looking at creating a lounge-kitchen area, one space?
0:21:32 > 0:21:35- That's right.- And making that tiny little bit left over...- Yes.
0:21:35 > 0:21:37..a bedroom?
0:21:37 > 0:21:40- It CAN work. It has worked on previous projects!- Oh, Raj!
0:21:40 > 0:21:41It can actually work.
0:21:41 > 0:21:44That is going to be a shoe box, but I know we're in London
0:21:44 > 0:21:47and we are literally a stone's throw from the tube.
0:21:47 > 0:21:50But that is going to be a very small room, in all honesty.
0:21:50 > 0:21:53Come on, this is your game. How much value can you add by doing that?
0:21:53 > 0:21:55We would hope a little bit.
0:21:55 > 0:21:58We've spoken to a few agents, and knowing from some of the projects
0:21:58 > 0:22:01we've done in the past as well... You're right, we are in London.
0:22:01 > 0:22:05Even that small second bedroom where you can just about squeeze
0:22:05 > 0:22:08that second bedroom in, it does actually make it worth doing.
0:22:08 > 0:22:11So when you're looking at the property particulars,
0:22:11 > 0:22:13you're like, "Ooh, this is a two-bedder!" Yeah.
0:22:13 > 0:22:16So you think that is going to be an advantage to anybody else
0:22:16 > 0:22:19- looking to sell a one bed? - I think most certainly.
0:22:19 > 0:22:21And from a rental point of view as well.
0:22:21 > 0:22:23If it was a young professional who's perhaps working in town,
0:22:23 > 0:22:27they've got that second bedroom, a guest stay over, or so forth.
0:22:27 > 0:22:29We definitely think it will give us that edge.
0:22:38 > 0:22:41So rather than just make the lounge a second bedroom,
0:22:41 > 0:22:45Raj wants to knock down a wall and extend the current master bedroom
0:22:45 > 0:22:47to use some of the kitchen area.
0:22:47 > 0:22:50Whatever's left of the kitchen can be a bedroom - a tiny bedroom.
0:22:50 > 0:22:55It's all very well me banging on about the size of that room,
0:22:55 > 0:22:58but this is London. Could Raj be right?
0:22:58 > 0:23:01His tangerine dream might give you nightmares
0:23:01 > 0:23:04- if you live anywhere else. London?- 'E- knows his stuff.
0:23:04 > 0:23:08He's given himself two-and-a-half months to sort this flat out,
0:23:08 > 0:23:10so what's his budget to tackle this?
0:23:11 > 0:23:14So come on, how much are you going to spend here?
0:23:14 > 0:23:17We've got a budget of between £15,000 to £20,000.
0:23:17 > 0:23:19I think, from previous experience, that's a fair estimate,
0:23:19 > 0:23:22but obviously we always have a contingency.
0:23:22 > 0:23:26- You never know, something... - Ooh, you are so sensible!
0:23:26 > 0:23:29If there's any man that's going to do it right, it's going to be you!
0:23:29 > 0:23:31Checklist Raj. I really hope so, Lisa.
0:23:31 > 0:23:34Are you that strict, are you that stringent with everything you do?
0:23:34 > 0:23:38- It's got to be by the book?- I think sometimes, but sometimes I get lazy.
0:23:38 > 0:23:39I know there can be delays,
0:23:39 > 0:23:42and sometimes builders don't turn up, materials are not available,
0:23:42 > 0:23:45and sometimes I can't be bothered to get out of bed as well!
0:23:45 > 0:23:47And I bet that bugs you like crazy,
0:23:47 > 0:23:49- because I know that you like everything just so.- Yeah.
0:23:49 > 0:23:51I just hope you do end up making a bob or two.
0:23:51 > 0:23:54- Thank you very much indeed. - That's what it's all about for you.
0:23:54 > 0:23:56- Absolutely.- Well done, congratulations.
0:23:56 > 0:23:58Thank you, Lisa. Thank you so much.
0:23:58 > 0:24:02So property solicitor turned property developer Raj
0:24:02 > 0:24:05has his latest property for his portfolio.
0:24:05 > 0:24:07And if it all goes to plan,
0:24:07 > 0:24:11then he is potentially looking at a nice, tidy profit.
0:24:11 > 0:24:15But does he really think bedroom number two is worthwhile?
0:24:15 > 0:24:19Taking that wall down? Is it really going to add that much value?
0:24:19 > 0:24:23You can find out if Raj does make his bob or two
0:24:23 > 0:24:24later on in the programme.
0:24:26 > 0:24:30There's big plans to sort out this ambulance station's ills.
0:24:30 > 0:24:32There's going to be an extension,
0:24:32 > 0:24:35and eventually there will be a swimming pool out on the side.
0:24:38 > 0:24:41And has our property solicitor caught the development bug?
0:24:41 > 0:24:44We'll definitely be hitting the auction room again,
0:24:44 > 0:24:46and hope to buy sooner rather than later.
0:24:49 > 0:24:53Time to return now to our two-bedroom end-terraced house
0:24:53 > 0:24:55with a guide price of £40,000
0:24:55 > 0:24:59situated in the Cheshire town of Congleton.
0:24:59 > 0:25:03# Do-do-do Come on and do the conga
0:25:03 > 0:25:07# Do-do-do It's conga night for sure... #
0:25:07 > 0:25:10No, no, Congle-TON.
0:25:10 > 0:25:13Oh, nevermind... The house had some...
0:25:13 > 0:25:18let's say, eccentricities, including some dangerous-looking stairs,
0:25:18 > 0:25:21a slope on the first floor,
0:25:21 > 0:25:24and fake wood everywhere.
0:25:24 > 0:25:26It wasn't without its charms, though.
0:25:26 > 0:25:29Straightaway, one thing that I really like about the place,
0:25:29 > 0:25:33it's got character. I mean, look at this for a fireplace.
0:25:33 > 0:25:36Whatever you think of it, it's not boring, is it?
0:25:37 > 0:25:40In spite of these quirks, I still thought it was a lot of house
0:25:40 > 0:25:43on offer for a guide price of 40,000.
0:25:43 > 0:25:47And it was even better value for Julia, the successful bidder,
0:25:47 > 0:25:50as she paid just £36,500 at the auction.
0:25:50 > 0:25:53She was looking to let out the property
0:25:53 > 0:25:54and knew what needed doing.
0:25:56 > 0:25:58And what about all this
0:25:58 > 0:26:03wood/concrete/fibreglass/whatever it is?
0:26:03 > 0:26:05Yeah, it needs to go, really, doesn't it?
0:26:05 > 0:26:09Well, somebody's gone to such a lot of trouble to put it in,
0:26:09 > 0:26:12it's a shame to say yes, but...yes.
0:26:14 > 0:26:18Six months have passed, and we've returned to Congleton to see
0:26:18 > 0:26:20if Julia's managed to turn this house
0:26:20 > 0:26:22from fake wood into really good.
0:26:45 > 0:26:48I think we can safely say Julia's dragged this oddity
0:26:48 > 0:26:51back into the 21st century.
0:26:51 > 0:26:52With new windows throughout,
0:26:52 > 0:26:55that traffic noise is much more tolerable,
0:26:55 > 0:26:58and those stairs aren't scaring me any more.
0:26:58 > 0:27:00Which is always nice.
0:27:00 > 0:27:04Julia's even put some wood back in. Real this time.
0:27:04 > 0:27:06The main things that we've changed
0:27:06 > 0:27:10since you were here last is the windows, we replaced.
0:27:10 > 0:27:14We've taken most of the walls back to brickwork and re-plastered, rewired.
0:27:15 > 0:27:20New kitchen, new bathroom, new floors upstairs. New flat roof.
0:27:21 > 0:27:23Most things that could be done, have been done.
0:27:25 > 0:27:27And the house looks all the better for it.
0:27:27 > 0:27:30It's not just been a redecoration either.
0:27:30 > 0:27:32Julia's also reconfigured some of the rooms
0:27:32 > 0:27:34to make better use of the space.
0:27:37 > 0:27:40OK, so this originally was the dining area.
0:27:40 > 0:27:44And it had quite a large fireplace in the corner, which we removed,
0:27:44 > 0:27:47which has opened it up nicely and given us quite a bit more space.
0:27:47 > 0:27:50So we decided to put the kitchen mainly in this bit.
0:27:50 > 0:27:52Previously it was just in the far side,
0:27:52 > 0:27:55which just wasn't enough space to get everything in, really.
0:27:55 > 0:27:58So this has allowed us to get all the modern appliances in.
0:27:58 > 0:28:01And we've taken a lot of the fake beams out as well,
0:28:01 > 0:28:04which has opened it up and brightened it as well.
0:28:04 > 0:28:07So it's a nice, light, airy space, which we're really pleased with.
0:28:08 > 0:28:11So farewell then, false, wooden beams.
0:28:11 > 0:28:14Gone to the great props store in the sky.
0:28:14 > 0:28:17And I don't want to be cruel, but I'm glad.
0:28:17 > 0:28:19The house looks so much more spacious.
0:28:19 > 0:28:21But it's not just cosmetic changes Julia's made.
0:28:21 > 0:28:24Along with new windows and a new flat roof, there was
0:28:24 > 0:28:27a sloping floor upstairs that needed sorting.
0:28:30 > 0:28:34OK, so in here originally, the floor was quite sloping,
0:28:34 > 0:28:37so we pulled up the floorboards and realised that the floor throughout
0:28:37 > 0:28:41upstairs was needing to be replaced, because the joists were quite rotten.
0:28:41 > 0:28:44So we've done that, and that's sorted the problem out.
0:28:44 > 0:28:47We also changed the position of the door, because originally
0:28:47 > 0:28:50the door was going out onto the staircase, which wasn't very safe.
0:28:50 > 0:28:53So we made a little landing by using some of the space
0:28:53 > 0:28:55from the main bedroom,
0:28:55 > 0:28:59which has worked a lot better. So that's great.
0:28:59 > 0:29:03No more wonky floor and dangerous staircase, just two solid bedrooms.
0:29:03 > 0:29:05But building work can be expensive,
0:29:05 > 0:29:09so I wonder how that ate into Julia's budget.
0:29:09 > 0:29:11She bought the property for £36,500,
0:29:11 > 0:29:14and had a budget of £23,000.
0:29:14 > 0:29:15How did she get on?
0:29:16 > 0:29:20It's safe to say that we've totally gone over that with everything.
0:29:20 > 0:29:24All the estimations were under, really.
0:29:24 > 0:29:28So we've probably come in at about 40,000 all in.
0:29:30 > 0:29:33Ouch. That's almost double her original budget.
0:29:33 > 0:29:35Those jobs clearly needed doing,
0:29:35 > 0:29:37but will Julia be able to get her money back?
0:29:37 > 0:29:40We've asked along two local property experts
0:29:40 > 0:29:41to get their opinion.
0:29:44 > 0:29:47Since my last visit to the property approximately six months ago,
0:29:47 > 0:29:51the owners have made some substantial changes, all in all creating
0:29:51 > 0:29:52a much lighter, neutral
0:29:52 > 0:29:55and more attractive property throughout.
0:29:55 > 0:29:58The key things buyers are looking for is a good level of finish.
0:29:58 > 0:30:01The kitchen is very impressive with this property,
0:30:01 > 0:30:04and certainly I would expect it to sell very well.
0:30:04 > 0:30:08I think removing certain features such as decorative beams
0:30:08 > 0:30:10has certainly opened the property up a lot,
0:30:10 > 0:30:13but we still have retained some of the period features,
0:30:13 > 0:30:17such as the fireplaces, the exposed timber flooring upstairs,
0:30:17 > 0:30:21which is paramount when selling a property of this character.
0:30:21 > 0:30:24Julia's changes are certainly getting a ringing endorsement.
0:30:24 > 0:30:28But she has now spent £76,500 on the property.
0:30:28 > 0:30:31How much do our experts think this two-bed terrace is now worth?
0:30:34 > 0:30:38If I was to place this property onto the resale market, I'd anticipate
0:30:38 > 0:30:41to achieve a price somewhere in the region of £80,000 to £85,000.
0:30:41 > 0:30:44In my opinion, I'd value this property at a figure
0:30:44 > 0:30:46of between £80,000 and £85,000.
0:30:46 > 0:30:50That top valuation would give Julia a potential profit
0:30:50 > 0:30:53of £8,500 before taxes and fees.
0:30:53 > 0:30:57But Julia always intended to rent, so how do those figures stack up?
0:30:59 > 0:31:02If I was to place his property onto the rental market, I'd hope
0:31:02 > 0:31:05to achieve somewhere in the region of £400 to £450 per calendar month.
0:31:05 > 0:31:08The rental market is particularly strong in this area.
0:31:08 > 0:31:12I would expect this to achieve a figure of £425 per calendar month.
0:31:12 > 0:31:14I think that's fine, yeah.
0:31:14 > 0:31:17I suppose 425 was the figure that I was thinking of,
0:31:17 > 0:31:19so we're about there, aren't we?
0:31:19 > 0:31:22So that's fine, yeah.
0:31:22 > 0:31:23Yes, we certainly are there.
0:31:23 > 0:31:28That would give her just over 6.5% yield. Pretty good.
0:31:28 > 0:31:31Even though, for Julia, it's not all about the money.
0:31:32 > 0:31:35I enjoy buying houses that are run down, and seeing the potential
0:31:35 > 0:31:39in them, and then seeing them turned round and improved.
0:31:39 > 0:31:42So definitely pleased that I went to the auction, and definitely
0:31:42 > 0:31:46pleased that I was the one that got this house. So, yeah.
0:31:53 > 0:31:58I'm in West Glamorgan in the beautiful Welsh valleys.
0:31:58 > 0:32:02Over £1 million has been spent on cycleways and paths
0:32:02 > 0:32:05to open up this region to the tourist trade.
0:32:05 > 0:32:08It's hoped that tourism will revive the fortunes of places
0:32:08 > 0:32:12like the village of Cymmer, where unemployment rates are quite high,
0:32:12 > 0:32:14and where local industries are few.
0:32:16 > 0:32:19Well, today I'm here to see something a little bit unusual.
0:32:19 > 0:32:20It's not a shop, it's not a garage,
0:32:20 > 0:32:26it's not commercial premises or a delivery depot. It's actually this.
0:32:26 > 0:32:28Can you guess what it is?
0:32:28 > 0:32:31I'll give you a moment...
0:32:31 > 0:32:35It's actually the former ambulance station.
0:32:37 > 0:32:39Yes, this little curiosity used to be the garage
0:32:39 > 0:32:41for the local ambulances.
0:32:41 > 0:32:45It's seen better days, with its boarded-up frontage
0:32:45 > 0:32:46and broken windows.
0:32:46 > 0:32:49But with a guide price of just £10,000,
0:32:49 > 0:32:51I think it's worth having a look inside.
0:32:54 > 0:32:58Well, the main part of the building, not surprisingly, is this area here,
0:32:58 > 0:33:02which is, I imagine, where the ambulances were actually stored.
0:33:02 > 0:33:07It's about eight metres deep by about seven metres wide,
0:33:07 > 0:33:11and a good space. Big, solid floor.
0:33:11 > 0:33:14And you've got these large sliding doors,
0:33:14 > 0:33:16which open up the whole of the front,
0:33:16 > 0:33:18which straightaway makes me think,
0:33:18 > 0:33:21great potential for somebody who needs that kind of access,
0:33:21 > 0:33:25which is maybe a builder's store, or a garage, or an MOT centre
0:33:25 > 0:33:30that really needs to be able to get in and out very easily. Yeah.
0:33:30 > 0:33:32Good start. Let's see what else there is.
0:33:43 > 0:33:46Taking the stairs up to the first floor,
0:33:46 > 0:33:49everything feels very institutional. But it's solid enough.
0:33:51 > 0:33:53Well, up here, a bit of a disappointment
0:33:53 > 0:33:56cos the space is only about half what it is downstairs.
0:33:56 > 0:33:59Primarily this little office area here,
0:33:59 > 0:34:03little kitchen and a washing area, shower, toilet, etc, there.
0:34:03 > 0:34:06So it's a shame it isn't as big as down there,
0:34:06 > 0:34:08but you could have predicted that.
0:34:08 > 0:34:11But in terms of maybe using this as some commercial opportunity,
0:34:11 > 0:34:15have your area downstairs that you use, this would be the office...
0:34:15 > 0:34:18Yeah, it's got exactly what you need. But maybe there's more.
0:34:20 > 0:34:22Of course there's more.
0:34:22 > 0:34:24Quite a bit more, in the form of this land
0:34:24 > 0:34:26at the side of the building.
0:34:26 > 0:34:30Ideal for developing, I hear you cry. Well, not quite.
0:34:31 > 0:34:35When it comes to the planning classification of this building,
0:34:35 > 0:34:37it's actually called sui generis,
0:34:37 > 0:34:40which is Latin for "of its own kind" or "unique".
0:34:40 > 0:34:42In other words, it's only got planning to be exactly
0:34:42 > 0:34:45what it is, which is an ambulance station.
0:34:54 > 0:34:58It has a guide of just £10,000, but I think it's going to take
0:34:58 > 0:35:01some blue-sky thinking to really make the most of this place.
0:35:01 > 0:35:04We asked the agent from the auction house which sold it
0:35:04 > 0:35:08whether or not there was any chance of turning this into an investment.
0:35:08 > 0:35:12I think a local builder or mechanic, or somebody looking
0:35:12 > 0:35:14to store materials,
0:35:14 > 0:35:17would probably pay £150 to £200 per calendar month.
0:35:19 > 0:35:23Well, at first glance, an interesting opportunity, this one.
0:35:23 > 0:35:25But once you delve a little bit deeper,
0:35:25 > 0:35:27the options do seem to be a little bit limited.
0:35:27 > 0:35:30I don't think it's financially viable to knock it down
0:35:30 > 0:35:31and build something its place.
0:35:31 > 0:35:35But if the right person needed this kind of space, well, you know,
0:35:35 > 0:35:37it could be absolutely spot-on for them.
0:35:37 > 0:35:41Let's find out who it was who decided to resuscitate
0:35:41 > 0:35:44this old ambulance station by going to the auction.
0:35:44 > 0:35:47This is on behalf of the Welsh Ambulance Services Trust.
0:35:47 > 0:35:49We've got a property bid here,
0:35:49 > 0:35:51ladies and gentlemen.
0:35:51 > 0:35:53I'm going to go straight into the reserve at 12,500.
0:35:53 > 0:35:5512,500 is bid. Any advance?
0:35:55 > 0:35:5713? Thank you. 13,000 is bid.
0:35:57 > 0:35:59Proxy's out, 13,500.
0:35:59 > 0:36:0213,500, 14, 14,500,
0:36:02 > 0:36:0414,500, 15. 15,500.
0:36:04 > 0:36:0716, 16,500, 17, 17...
0:36:07 > 0:36:10Right, 17 is on you, sir. At 17,000.
0:36:10 > 0:36:1417,000 is bid. Any advance? 17,500.
0:36:14 > 0:36:1818, 18,500, 19, 19,500, 20.
0:36:18 > 0:36:2420. 20,000 is bid. 20,500. 21, 21,500?
0:36:24 > 0:36:2821,500 seated here. 21,500 is bid.
0:36:28 > 0:36:3121,500, any advance on 21,500?
0:36:31 > 0:36:3322? Thank you. 22, half,
0:36:33 > 0:36:3522,500. Looking for 23, sir.
0:36:35 > 0:36:38I've got 22,500. 22,500, it is there,
0:36:38 > 0:36:41I'm going to sell it for 22,500 if I don't see anyone quickly.
0:36:41 > 0:36:4422,500, be quick... 22,500...
0:36:44 > 0:36:47- HE BANGS GAVEL - Yours, sir, 22,500.
0:36:47 > 0:36:51The cheerful bidder delighted at getting the former ambulance hall
0:36:51 > 0:36:53for £22,500 was Peter.
0:36:56 > 0:36:59Occupational health nurse Peter was at the auction
0:36:59 > 0:37:02with his son Simon, and as they live just a mile away
0:37:02 > 0:37:05from the ambulance station, we caught up with them to hear
0:37:05 > 0:37:09what made them so excited about this particular property.
0:37:11 > 0:37:14Peter, Simon, lovely to meet you both. Congratulations.
0:37:14 > 0:37:16Tell me why you wanted to buy this place.
0:37:16 > 0:37:19Basically, I want to turn it into a holiday let
0:37:19 > 0:37:24for the disabled downstairs, and able people upstairs.
0:37:24 > 0:37:29So a holiday let for disabled children, or disabled of all ages?
0:37:29 > 0:37:34- Anyone. Any age.- Oh, wow. So why do you want to do that particularly?
0:37:34 > 0:37:36Well, I'm a nurse.
0:37:36 > 0:37:42So I work with obviously all sorts of people,
0:37:42 > 0:37:45and I feel...
0:37:45 > 0:37:52there's a need for accommodation with disabled in mind in the area.
0:37:52 > 0:37:55Have you got much experience of this sort of thing?
0:37:55 > 0:37:57I've done up a couple of properties.
0:37:57 > 0:38:01At the moment we're doing at a property for Simon
0:38:01 > 0:38:04who bought a house at the previous auction.
0:38:04 > 0:38:08So we're coming to the end of that now. So it's payback time.
0:38:08 > 0:38:11And what's your involvement going to be, Simon?
0:38:11 > 0:38:14I've been an electrician for about five years,
0:38:14 > 0:38:18so I'm going to try and give my father a hand with the electrics.
0:38:18 > 0:38:19Oh, great.
0:38:19 > 0:38:22And what do you think of the idea of what he's planning in general?
0:38:22 > 0:38:23I think it's good.
0:38:23 > 0:38:27You get a lot of mountain bikers coming around,
0:38:27 > 0:38:29and I think it's a good idea.
0:38:32 > 0:38:35Wow, what an interesting idea. Catering to the holiday market
0:38:35 > 0:38:38and sports enthusiasts
0:38:38 > 0:38:41could really make the most of the pair's local knowledge.
0:38:41 > 0:38:44Peter intends that people paying for accommodation on the top level
0:38:44 > 0:38:48will help fund holidays for people with disabilities
0:38:48 > 0:38:51and underprivileged children on the lower level.
0:38:54 > 0:38:58Basically, what we are going to do is keep the garage space for when
0:38:58 > 0:39:01the disabled need to come in.
0:39:01 > 0:39:06They can drive straight into the building, entrance into the building.
0:39:06 > 0:39:11There's going to be bedrooms downstairs,
0:39:11 > 0:39:13an extension out to the side,
0:39:13 > 0:39:16so to create a big lounge and a kitchen area,
0:39:16 > 0:39:18and upstairs...
0:39:18 > 0:39:22I'm going to extend the footprint of the building upstairs
0:39:22 > 0:39:24to create accommodation upstairs.
0:39:24 > 0:39:29- Oh, wow. So quite an ambitious plan, then?- Yeah.
0:39:29 > 0:39:32- And eventually there'll be a swimming pool out on the side.- Oh, really?
0:39:32 > 0:39:36- MARTIN LAUGHS - Fantastic.
0:39:36 > 0:39:39Swimming pool eventually? My goodness.
0:39:39 > 0:39:41Peter really does have a vision.
0:39:41 > 0:39:44However, this is an ambitious project,
0:39:44 > 0:39:46so how much is it all going to cost?
0:39:47 > 0:39:51- Approximately about 50,000.- Right.
0:39:51 > 0:39:53And who's going to do the work?
0:39:53 > 0:39:57- Mainly myself.- Right. Well, with the help of your son, obviously?
0:39:57 > 0:40:00I'm going to be doing most of the electrics,
0:40:00 > 0:40:04and just helping my father with the labour as well.
0:40:04 > 0:40:08So is this designed to be a profit-making venture then?
0:40:08 > 0:40:12No, not really. It's just something for me to do
0:40:12 > 0:40:14coming up to my retirement.
0:40:14 > 0:40:17I've got about another four, five years before I retire.
0:40:19 > 0:40:22And this is my retirement project.
0:40:27 > 0:40:29Quite the retirement project!
0:40:29 > 0:40:32Peter is funding this retirement dream with the sale
0:40:32 > 0:40:36of his late mother's house, so this really is a project from the heart.
0:40:36 > 0:40:40But of course, its success all lies on getting planning permission,
0:40:40 > 0:40:43and Peter doesn't have that yet.
0:40:43 > 0:40:46Now, what are you going to do if they say you can't do this?
0:40:48 > 0:40:53We'll approach that...when it comes to that.
0:40:53 > 0:40:58Basically, I think the property will be sellable,
0:40:58 > 0:41:01if planning permission isn't granted anyway.
0:41:01 > 0:41:05Peter and his wife Jeanette are both nurses and work full-time.
0:41:05 > 0:41:09Their other son, Stephen, and daughter, Catherine, are students.
0:41:09 > 0:41:11All the children have promised to help.
0:41:11 > 0:41:14But it doesn't sound like they have much spare time.
0:41:14 > 0:41:18- What's the timescale? - It'll be at least a year.
0:41:18 > 0:41:20Obviously I'm in full-time employment
0:41:20 > 0:41:22so it won't be...
0:41:24 > 0:41:26I couldn't say six months.
0:41:26 > 0:41:29- Right.- It'll be at least a year.
0:41:29 > 0:41:32- So once you've done this, any plans for anything else?- No.
0:41:32 > 0:41:35My wife said this is it!
0:41:35 > 0:41:38Listen, congratulations. Good luck with it,
0:41:38 > 0:41:42- and I really do wish you the very best with the venture.- Right.
0:41:42 > 0:41:45Well, what a potentially lovely new life
0:41:45 > 0:41:48for this former ambulance station.
0:41:48 > 0:41:50But of course, it does depend on getting
0:41:50 > 0:41:52that all-important planning permission.
0:41:52 > 0:41:55Will Peter get it? You can find out later in the show.
0:41:59 > 0:42:02Martin, we have seen the work carried out on the first property,
0:42:02 > 0:42:05- but we've still got two more to go.- Yes.
0:42:05 > 0:42:09Did the developers manage to do what they hoped for and manage to stick
0:42:09 > 0:42:12to those all-important timescales and budgets?
0:42:12 > 0:42:15- Shall we find out?- Let's do it.
0:42:16 > 0:42:18Back to Willesden in north London.
0:42:18 > 0:42:20A place that was once a village,
0:42:20 > 0:42:22but was transformed to a bustling borough
0:42:22 > 0:42:24by the arrival of the railway.
0:42:24 > 0:42:26Unfortunately, the property I went to see
0:42:26 > 0:42:29was a little too close to the tracks.
0:42:40 > 0:42:44And with it also being a bit cramped, it might have ended up
0:42:44 > 0:42:47feeling like you were living inside a freight train.
0:42:47 > 0:42:48A sound test was needed.
0:42:48 > 0:42:50TUBE TRAIN
0:42:50 > 0:42:52Doesn't make that much difference.
0:42:52 > 0:42:56So could it be a positive, could it be a negative? I'm not quite sure.
0:42:56 > 0:42:59It depends how quickly you need to get into town.
0:42:59 > 0:43:01But jumping on the property train was Raj,
0:43:01 > 0:43:05a property solicitor who, along with his business partner,
0:43:05 > 0:43:09paid 291,000 for this one-bedroom flat.
0:43:09 > 0:43:12But he didn't want to keep it a one-bed for long.
0:43:13 > 0:43:17So what we're looking to do is, we're looking to reconfigure the property.
0:43:17 > 0:43:18At the moment it's a one-bedroom,
0:43:18 > 0:43:21so what we are going to be doing is taking the wall down
0:43:21 > 0:43:25between the current bedroom and the actual kitchen,
0:43:25 > 0:43:28and relocating the kitchen into an open plan area.
0:43:28 > 0:43:32And the front bedroom will actually become the open plan living area,
0:43:32 > 0:43:33with the kitchen combined.
0:43:33 > 0:43:36- Making that tiny little bit left over...- Yes.
0:43:36 > 0:43:40- ..a bedroom?- It can work. It has worked on previous projects.- Oh, Raj!
0:43:40 > 0:43:42It can actually work.
0:43:42 > 0:43:45With a £20,000 budget,
0:43:45 > 0:43:49and a two to two-and-a-half month timescale, Raj was very confident.
0:43:49 > 0:43:52So when we return five months later,
0:43:52 > 0:43:54has Raj found that extra space?
0:43:59 > 0:44:03That original bedroom is now a bright kitchen-cum-lounge.
0:44:03 > 0:44:05You know, so far I am surprised.
0:44:05 > 0:44:08This doesn't feel nearly as cramped as I thought it would.
0:44:11 > 0:44:14The original kitchen is now a second bedroom,
0:44:14 > 0:44:18and the boiler has been housed in a nice, sleek cabinet.
0:44:26 > 0:44:29The original bedroom still needs a bit of tidying up,
0:44:29 > 0:44:33but this reconfiguration and refurbishment is looking good,
0:44:33 > 0:44:36though maybe not the wow factor I was expecting.
0:44:36 > 0:44:39The room which we are currently standing in was actually
0:44:39 > 0:44:43the former kitchen. Now you can see it's become a second bedroom.
0:44:43 > 0:44:46I think that's worked very well. The back bedroom remains,
0:44:46 > 0:44:49but at that time there were pretty much dark colours on the wall,
0:44:49 > 0:44:52so we've used neutral colours throughout the flat.
0:44:52 > 0:44:53New flooring put down.
0:44:53 > 0:44:57The actual bath suite, we retained the actual one that was there before.
0:44:57 > 0:45:01We thought that was a good one but as you can see, it's had a good polish
0:45:01 > 0:45:02up, so we think it fits the bill.
0:45:04 > 0:45:07Raj changed his mind about knocking the wall down between
0:45:07 > 0:45:11what was the lounge and the kitchen to create an open living space.
0:45:11 > 0:45:13And I think that's a good use of the footprint,
0:45:13 > 0:45:15and the finish is impressive.
0:45:16 > 0:45:20What we've done here is, we've made an open plan living area.
0:45:20 > 0:45:23The initial plan was to take down the stud wall,
0:45:23 > 0:45:24and create a little bit more room.
0:45:24 > 0:45:28But what we've done is, we've put the kitchen on this side,
0:45:28 > 0:45:31along the window. Before doing that, we consulted a few agents,
0:45:31 > 0:45:34and they said that was the best way to go forward.
0:45:34 > 0:45:37Because that would give us a larger second bedroom, but still
0:45:37 > 0:45:41give us the contemporary open plan living with sufficient space.
0:45:41 > 0:45:44This has actually been the masterpiece of the whole project,
0:45:44 > 0:45:46and we're really happy with the result here.
0:45:46 > 0:45:49It's really been a success, I believe.
0:45:49 > 0:45:53So Raj hasn't undertaken a lot of the work he originally thought.
0:45:53 > 0:45:57Has not replacing the bathroom and keeping that wall saved his budget?
0:45:57 > 0:46:00We'd originally estimated budget of £15,000 to £20,000,
0:46:00 > 0:46:03but that, of course, involved the taking down of the stud wall
0:46:03 > 0:46:05and putting in RSJs and so forth.
0:46:05 > 0:46:09However, because we decided not to go ahead with that, the budget's
0:46:09 > 0:46:11actually come in significantly under.
0:46:11 > 0:46:13I think when everything's totally finished -
0:46:13 > 0:46:15there's a few snagging items to do -
0:46:15 > 0:46:17I think we will have looked at hitting probably
0:46:17 > 0:46:20about the £15,000 mark. So we're very, very happy with that.
0:46:22 > 0:46:25It's five months since we were last here, but Raj let a friend
0:46:25 > 0:46:29use the flat for two months, before spending three on doing the work.
0:46:29 > 0:46:34So only a slight expansion on his two-and-a-half-month timescale.
0:46:34 > 0:46:38And unfortunately, there is one final improvement Raj didn't do.
0:46:38 > 0:46:40He hasn't changed the windows.
0:46:40 > 0:46:42And I think that would have made this flat
0:46:42 > 0:46:46so much more attractive, if he decides to sell on.
0:46:46 > 0:46:50He might not be able to change the trains, but the sound...definitely.
0:46:56 > 0:46:58But there's only one way to know if Raj is on track
0:46:58 > 0:47:00for a potential profit,
0:47:00 > 0:47:04and that's to get a pass from two local estate agents.
0:47:04 > 0:47:06I don't feel the train line creates such a big problem.
0:47:06 > 0:47:10It really depends on the sort of tenant or buyer who the property
0:47:10 > 0:47:12is going to be aimed at.
0:47:12 > 0:47:15If you do have a young family with children, for example,
0:47:15 > 0:47:19they are going to have a bit of an issue with the noise at the back.
0:47:19 > 0:47:22If the property was on the other side of the road,
0:47:22 > 0:47:23it's going to be a lot quieter.
0:47:23 > 0:47:27It would create a higher sales and rental figure.
0:47:27 > 0:47:31But as I said, for the right people, it's not a huge issue.
0:47:31 > 0:47:34'The standard of finish is very nice. It's quite basic.
0:47:34 > 0:47:38'It doesn't have the highest of character to it,
0:47:38 > 0:47:40'but it's a blank canvas.'
0:47:40 > 0:47:43The property's a fairly good refurbishment throughout.
0:47:43 > 0:47:46It's a good conversion from one bedroom to two double bedrooms.
0:47:46 > 0:47:49Although the compromise is of the living space
0:47:49 > 0:47:52of being a living room-kitchen in one.
0:47:52 > 0:47:57Paying £291,000 at auction, and with a renovation spend of 15 grand,
0:47:57 > 0:48:01Raj's total spend is 306,000.
0:48:01 > 0:48:03So what is the flat worth now?
0:48:05 > 0:48:09I feel, in the current market, the correct price is £350,000.
0:48:09 > 0:48:13I think this property would sell for around £375,000.
0:48:13 > 0:48:16I feel the correct rental figure per calendar month
0:48:16 > 0:48:19is £1,400 in the current market.
0:48:19 > 0:48:24I feel this property would rent for around £1,300 to £1,350
0:48:24 > 0:48:26per calendar month.
0:48:26 > 0:48:28So taking those top values,
0:48:28 > 0:48:32a sale would give Raj a potential pre-tax profit of £69,000.
0:48:32 > 0:48:37And if he rented the flat, he could achieve just under a 5.5% yield.
0:48:37 > 0:48:41I'm very happy with those values. It's exactly what I'd expected.
0:48:41 > 0:48:45I think we will market the property at £375,000.
0:48:45 > 0:48:48And if we can get a resale figure between £350 to £375,
0:48:48 > 0:48:50we're more than likely to sell it on.
0:48:50 > 0:48:53Or, if not, we will put it onto the lettings market.
0:48:53 > 0:48:57But I'm happy to say with regard to figures, I was right, once again.
0:49:06 > 0:49:11Raj truly is Mr Right. But what can we expect from him next?
0:49:11 > 0:49:14And does the man with the plan have any advice for us?
0:49:14 > 0:49:17We'll definitely be hitting the auction room again.
0:49:17 > 0:49:21But I think a trick about buying at auctions is to be patient,
0:49:21 > 0:49:24and not to buy in haste and repent at leisure.
0:49:24 > 0:49:26So most certainly we'll be in the auction room again,
0:49:26 > 0:49:29and hope to buy sooner rather than later.
0:49:44 > 0:49:48Yes, it's time to return to the valleys and this building, a former
0:49:48 > 0:49:51ambulance station in the Welsh village of Cymmer, West Glamorgan.
0:49:51 > 0:49:54It had a guide price of £10,000,
0:49:54 > 0:49:57which seemed reasonable for a lot with a fair bit of land.
0:49:57 > 0:49:59But there was a problem.
0:49:59 > 0:50:02When it comes to the planning classification of this building,
0:50:02 > 0:50:04it's actually called sui generis,
0:50:04 > 0:50:08which is Latin for "of its own kind" or "unique".
0:50:08 > 0:50:11In other words, it's only got planning to be exactly what it is,
0:50:11 > 0:50:13which is an ambulance station.
0:50:13 > 0:50:15So what to do with it?
0:50:15 > 0:50:19The imaginative and laudable answer was supplied by Peter,
0:50:19 > 0:50:23who bought the property for £22,500.
0:50:23 > 0:50:27With a budget of £50,000, and help from his electrician son Simon,
0:50:27 > 0:50:29Peter, an occupational health nurse,
0:50:29 > 0:50:33saw this as a retirement project and hoped to develop this building
0:50:33 > 0:50:37into holiday accommodation for touring cyclists.
0:50:37 > 0:50:40And he planned that the ground floor would be developed
0:50:40 > 0:50:43specifically to accommodate people with disabilities
0:50:43 > 0:50:45and underprivileged children.
0:50:46 > 0:50:48Basically what we're going to do,
0:50:48 > 0:50:53there's going to be bedrooms downstairs,
0:50:53 > 0:50:55an extension out to the side,
0:50:55 > 0:50:58so to create a big lounge and a kitchen area.
0:50:58 > 0:51:02Now, what are you going to do if they say you can't do this?
0:51:03 > 0:51:07We'll approach that...when it comes to that.
0:51:08 > 0:51:12This was both an exciting and incredibly worthy project.
0:51:12 > 0:51:17But having paid £12,500 above the guide price, and having no planning
0:51:17 > 0:51:20in place, Peter and Simon were certainly taking a chance.
0:51:22 > 0:51:24Three years later,
0:51:24 > 0:51:28and we've come back to see what's become of Peter's dream project.
0:51:44 > 0:51:48Well, they took a chance, and it's obvious something's caused delays.
0:51:48 > 0:51:50Now, I bet you're thinking,
0:51:50 > 0:51:53"This is all down to the planning permission."
0:51:53 > 0:51:56Well, you'd be partly right.
0:51:56 > 0:51:59Most of the time it's been regarding the planning permission,
0:51:59 > 0:52:04but there was an issue with obtaining bat and reptile reports.
0:52:04 > 0:52:07There was one newt found on the property
0:52:07 > 0:52:10and we had to take precautions
0:52:10 > 0:52:15to remove newts and to observe that there wasn't any further,
0:52:15 > 0:52:20and also to put up a barrier to stop any coming in.
0:52:27 > 0:52:31Planning regulations often stipulate the protection of wildlife,
0:52:31 > 0:52:35like owls, bats, and in this case, newts.
0:52:35 > 0:52:38In Britain, the great crested newt is protected,
0:52:38 > 0:52:41so if you think you might have newts,
0:52:41 > 0:52:45you'll have to prepare yourself for some possible delays and expense.
0:52:45 > 0:52:48Yes, a little reminder that living in the countryside can bring
0:52:48 > 0:52:51beautiful views, but occasionally, unexpected problems.
0:52:51 > 0:52:54Newt protection and planning permission issues,
0:52:54 > 0:52:58as well as waiting for the sale of his mother's property,
0:52:58 > 0:53:01means it's been nearly three years since he started.
0:53:01 > 0:53:03But, thanks to his perseverance,
0:53:03 > 0:53:06Peter's dream can finally be realised
0:53:06 > 0:53:10as that particularly tricky planning permission has been granted.
0:53:10 > 0:53:13Basically, this is the plan,
0:53:13 > 0:53:16and the new extension
0:53:16 > 0:53:18is this section here,
0:53:18 > 0:53:20which is shown on the side.
0:53:20 > 0:53:23There's a doorway entry there, which would be catered for,
0:53:23 > 0:53:25the disabled, wheelchair-accessible.
0:53:25 > 0:53:29There's the front elevation of it, there's a pitched roof
0:53:29 > 0:53:32with three skylights going in the roof
0:53:32 > 0:53:34to create more light into the space.
0:53:34 > 0:53:38Basically, this is the ground floor of the apartment,
0:53:38 > 0:53:43and the majority of the work will involve this new extension here.
0:53:43 > 0:53:47This section, to create a lounge and kitchen facilities
0:53:47 > 0:53:50for the disabled unit.
0:53:50 > 0:53:53Peter will then divide the main garage section into five.
0:53:53 > 0:53:56Three bedrooms,
0:53:56 > 0:53:59a garage space-cum-store room,
0:53:59 > 0:54:01and the bathroom.
0:54:02 > 0:54:05Upstairs, he plans to extend too.
0:54:05 > 0:54:08Basically through this doorway is going to do the access to the
0:54:08 > 0:54:11new extension, where there's three bedrooms.
0:54:14 > 0:54:17That's on the first floor.
0:54:17 > 0:54:20So the building will effectively be split into two flats,
0:54:20 > 0:54:22each with three bedrooms, a bathroom and a kitchen,
0:54:22 > 0:54:27with the ground floor flat adapted for people with disabilities.
0:54:27 > 0:54:30There will also be a communal area in the ground floor extension,
0:54:30 > 0:54:32and, all being well,
0:54:32 > 0:54:36Peter plans on installing the property's own hydropool.
0:54:36 > 0:54:38It's a big project,
0:54:38 > 0:54:41and clearly one that Peter is having to be determined to see through.
0:54:43 > 0:54:48He still aiming to spend £50,000 on turning this into a great facility,
0:54:48 > 0:54:51but he'll have to do most of the work himself,
0:54:51 > 0:54:53with his family's help, to keep to that.
0:54:53 > 0:54:56He also, don't forget, has a full-time job.
0:54:56 > 0:55:00At the moment it looks as though his dream project will cost
0:55:00 > 0:55:02a total of £72,500.
0:55:02 > 0:55:04Is Peter on the right track?
0:55:05 > 0:55:09We asked two local estates agents to give us their thoughts
0:55:09 > 0:55:10on Peter's plan so far.
0:55:12 > 0:55:15'I think it's a very ambitious project for the area.
0:55:16 > 0:55:19'In this area, local businesses do struggle.'
0:55:19 > 0:55:22There isn't an awful lot happening in this village.
0:55:22 > 0:55:26Businesses don't seem to last long, because of the economy here.
0:55:26 > 0:55:30There is vast unemployment in these valleys, so it is very difficult.
0:55:30 > 0:55:33This is a very popular area for mountain biking.
0:55:33 > 0:55:36And they'll pay good money for good runs.
0:55:36 > 0:55:39Accommodation which is planned which is two three-bedroom flats,
0:55:39 > 0:55:43and one that will be completely geared for disabled users,
0:55:43 > 0:55:46I think that's going to carve quite a nice niche for him,
0:55:46 > 0:55:50and I think it will attract that type of mountain biker,
0:55:50 > 0:55:53in that market.
0:55:54 > 0:55:59So a good idea that fits a niche market. But in a difficult economy.
0:55:59 > 0:56:01Bit of a mixed bag there.
0:56:01 > 0:56:05Peter hopes to rent both flats as holiday lets
0:56:05 > 0:56:07for between £300 and £350 per week,
0:56:07 > 0:56:10maybe slightly higher in the peak season.
0:56:10 > 0:56:13And he hopes that the upper flat will generate enough income
0:56:13 > 0:56:16to subsidise lower rates for the lower flat,
0:56:16 > 0:56:19and use the void periods to accommodate families
0:56:19 > 0:56:20with low incomes.
0:56:20 > 0:56:24So this project, for him, isn't really about money.
0:56:24 > 0:56:28However, we have to ask, when fully finished and including the pool,
0:56:28 > 0:56:30what does the agent think a commercial enterprise
0:56:30 > 0:56:33based on Peter's plan could make?
0:56:35 > 0:56:37That's quite a difficult one,
0:56:37 > 0:56:41because there aren't a lot of commercial properties in this area,
0:56:41 > 0:56:45so I think you're probably looking at about 600 per calendar month.
0:56:46 > 0:56:49That would mean around a 10% yield.
0:56:49 > 0:56:52If, by some unfortunate circumstances,
0:56:52 > 0:56:54the local economy couldn't sustain the business,
0:56:54 > 0:56:58and assuming planning permission could be obtained, would Peter
0:56:58 > 0:57:01get his projected £72,500 investment back,
0:57:01 > 0:57:04if the building were to be turned into two residential flats?
0:57:08 > 0:57:11I think you would get anything between 375 and 400
0:57:11 > 0:57:14per calendar month, per unit.
0:57:14 > 0:57:17To change this into two three-bedroom,
0:57:17 > 0:57:20good-sized accommodation,
0:57:20 > 0:57:23you would probably market each unit
0:57:23 > 0:57:28for around about £35,000 to £40,000.
0:57:28 > 0:57:32I would put a vacant possession value on each flat
0:57:32 > 0:57:37of circa £40,000, if it's done to a high standard
0:57:37 > 0:57:40and to the standard that is intended in the planning permission.
0:57:40 > 0:57:42This is a dream project for Peter,
0:57:42 > 0:57:46but would he think about this, plan B?
0:57:46 > 0:57:48I may consider splitting it into two units
0:57:48 > 0:57:53if the business didn't take off. But basically, it's quite exciting.
0:57:53 > 0:57:58You know, I thrive on this sort of thing.
0:57:58 > 0:58:01And I'm just looking forward to getting into it.
0:58:03 > 0:58:05Well, that's it for today,
0:58:05 > 0:58:08but join us next time for some more auction action.
0:58:08 > 0:58:10- And stories of property developing. - Look forward to seeing you then.
0:58:10 > 0:58:12- Goodbye.- Goodbye.