0:00:02 > 0:00:05Hello. From young families making a start to retirees making a new start,
0:00:05 > 0:00:07all kinds of people getting into property.
0:00:07 > 0:00:10No matter who you are, you've got to make sure with your investment
0:00:10 > 0:00:12- that every single penny works for you.- Yes.
0:00:12 > 0:00:15So how do you ensure you're going to get the best possible deal?
0:00:15 > 0:00:19Well, one way might be to head down to your local property auction.
0:00:44 > 0:00:47The property market can give great returns,
0:00:47 > 0:00:49but you've got to make sure you buy wisely.
0:00:49 > 0:00:51So is that what today's buyers managed to do?
0:00:51 > 0:00:53Well, let's find out what they bought.
0:00:55 > 0:00:59First up in Folkestone, Kent, a staircase has me dreaming.
0:00:59 > 0:01:01I could imagine myself wafting down the stairs
0:01:01 > 0:01:04on a lovely evening, champagne in hand.
0:01:05 > 0:01:08Whilst in Leytonstone, there's a few steps too many for me.
0:01:10 > 0:01:12HE PANTS
0:01:12 > 0:01:14That is a lot of stairs.
0:01:15 > 0:01:19And in Fenton, Stoke-on-Trent, I could do with a stepladder
0:01:19 > 0:01:21to spot the problem here.
0:01:21 > 0:01:23My guess is it might be the roof! Uh!
0:01:23 > 0:01:25Unfortunately I can't quite see it.
0:01:25 > 0:01:28All these properties have been sold at auction.
0:01:28 > 0:01:31We'll find out who bought them and what they paid for them
0:01:31 > 0:01:33when they went under the hammer.
0:01:33 > 0:01:34Sold, 295.
0:01:40 > 0:01:44This is Folkestone in Kent. In the Edwardian era, Folkestone was
0:01:44 > 0:01:47a fashionable seaside resort, attracting royalty
0:01:47 > 0:01:51and members of high society to its hotels and seafront.
0:01:54 > 0:01:58These days the resort attracts a different kind of clientele.
0:01:58 > 0:02:01Londoners and others drawn by the comparatively reasonable
0:02:01 > 0:02:05house prices and the under one hour commute by train into the capital.
0:02:08 > 0:02:12We're just a short five-minute walk from Folkestone town centre
0:02:12 > 0:02:15on this lovely residential street.
0:02:15 > 0:02:18And the property I'm here to see, well,
0:02:18 > 0:02:23it's a rather nice-looking period, five-bedroomed semidetached house,
0:02:23 > 0:02:25and it went to auction with a guide price
0:02:25 > 0:02:28of £200-£205,000.
0:02:28 > 0:02:31Looks beautiful from here. I'm going to go in.
0:02:33 > 0:02:37Well, isn't it lovely to see a house like this left intact that
0:02:37 > 0:02:41hasn't been divided into flats? What a beautiful hallway.
0:02:41 > 0:02:42Wow!
0:02:42 > 0:02:47Fantastic reception room, big, lovely windows, high ceilings.
0:02:47 > 0:02:49I'm not sure about this little rail here.
0:02:49 > 0:02:52There must have been a curtain or something going across there.
0:02:52 > 0:02:55But this is spectacular.
0:02:55 > 0:02:57Oh! And the staircase.
0:02:57 > 0:03:00I could imagine myself wafting down the stairs on a lovely evening,
0:03:00 > 0:03:03champagne in hand. Anyway, less of that.
0:03:03 > 0:03:05But that is absolutely stunning.
0:03:05 > 0:03:10And this really is a corking family home. Look at it.
0:03:10 > 0:03:14You've got cornicing, no ceiling rose. But a great space.
0:03:14 > 0:03:17A wonderful fireplace. Look at this.
0:03:17 > 0:03:20Really exciting, there is so much you could do in here.
0:03:20 > 0:03:25And it just has a fantastic feeling of a family house.
0:03:26 > 0:03:29Be interesting to see what comes of this one.
0:03:29 > 0:03:34# It's a big ol' empty house
0:03:34 > 0:03:39# Where there used to be a home... #
0:03:39 > 0:03:42On the ground floor, you also get a large kitchen and a cellar.
0:03:42 > 0:03:45This property offers so much square footage,
0:03:45 > 0:03:49it really is a spacious family home.
0:03:49 > 0:03:53And that lovely staircase just keeps on going up two floors,
0:03:53 > 0:03:56with five bedrooms in total.
0:03:56 > 0:03:59So up on the first floor you've got three bedrooms,
0:03:59 > 0:04:02one at the back there, with a shower room and a bathroom.
0:04:04 > 0:04:07Also on this first floor, at the front of the house,
0:04:07 > 0:04:09there are two more bedrooms,
0:04:09 > 0:04:12the larger of which comes complete with en suite facilities.
0:04:12 > 0:04:14But there's a musty smell on the landing
0:04:14 > 0:04:17and I think I've tracked down the source.
0:04:19 > 0:04:22You only need to look at this wall. You can see from the top down,
0:04:22 > 0:04:24there are signs of damp.
0:04:24 > 0:04:28And down here, the skirting board, look - signs of dry rot.
0:04:28 > 0:04:31So the floorboards and the joist could also be affected.
0:04:31 > 0:04:34Now, it could be caused by poor guttering,
0:04:34 > 0:04:37possibly the bricks need repointing, but whatever the reason,
0:04:37 > 0:04:40it needs to be sorted - and sorted fast.
0:04:42 > 0:04:45The rest of the house appears to be in pretty good condition.
0:04:45 > 0:04:48The remaining two bedrooms are right at the top of the house,
0:04:48 > 0:04:50up in the eaves.
0:04:50 > 0:04:52Head height is a little bit restricted in places up there,
0:04:52 > 0:04:56but I think the rooms are large enough to compensate.
0:04:56 > 0:05:00However, I've spotted the view out back, which isn't exactly in
0:05:00 > 0:05:03keeping with a period property like this.
0:05:04 > 0:05:07I've been saying this is a lovely family home,
0:05:07 > 0:05:10but parking is on the street, and it is not great.
0:05:10 > 0:05:14It is quite busy out there, and this garden, well, it is not huge, is it?
0:05:14 > 0:05:19You've also got this enormous office block looming over you like...
0:05:19 > 0:05:21like a big bronze mirror.
0:05:21 > 0:05:24A real shame.
0:05:24 > 0:05:27The garden is smaller than you would expect for a house of this size,
0:05:27 > 0:05:30and the lack of parking, well, it may discourage the family market
0:05:30 > 0:05:33but it may not matter to commuters, so perhaps dividing
0:05:33 > 0:05:37the property into flats, well, that could be the answer.
0:05:37 > 0:05:41Though you might make more money selling or renting several flats.
0:05:41 > 0:05:43But remember, first off, you're going
0:05:43 > 0:05:46to need planning permission. Secondly, there are far
0:05:46 > 0:05:50greater costs involved compared to just refurbishing what's here.
0:05:50 > 0:05:53You've got to have those extra kitchens, those extra bathrooms,
0:05:53 > 0:05:57boilers, you've got sound and fire proofing to install and so on.
0:05:57 > 0:06:01So you've got to weigh up the costs versus the potential profit,
0:06:01 > 0:06:05and work out what really is the best option.
0:06:05 > 0:06:09We called in a local estate agent to find out what the property is
0:06:09 > 0:06:13worth either whole or divided into flats.
0:06:13 > 0:06:15Ideally, this is a big family home,
0:06:15 > 0:06:19five-bedroomed family home with numerous bathrooms and facilities.
0:06:19 > 0:06:20Lovely for that.
0:06:20 > 0:06:23But there isn't a lot of demand also for this sort of size of house,
0:06:23 > 0:06:26the size of family, without parking.
0:06:26 > 0:06:28It is only on-street parking.
0:06:28 > 0:06:32So one would have to look at the options of converting it into flats.
0:06:32 > 0:06:34Perhaps even a house of multiple occupation,
0:06:34 > 0:06:38but there are limitations in Folkestone for that.
0:06:38 > 0:06:41As I feared, this lovely, big old house could be split up to
0:06:41 > 0:06:46create multiple plots or even rent rooms out individually.
0:06:46 > 0:06:49However, an HMO doesn't sound likely,
0:06:49 > 0:06:52so how could flats be laid out?
0:06:52 > 0:06:55We'd obviously have the downstairs, which could be a large one-bed,
0:06:55 > 0:06:58possibly a two-bed, kitchen-bathroom.
0:06:58 > 0:07:02On the mezzanine floor, you've got a self-contained one-bedroom unit
0:07:02 > 0:07:03and then on the upper floors,
0:07:03 > 0:07:06possibly two more two-bedroomed flats.
0:07:06 > 0:07:09So one would need to work out positions for kitchens
0:07:09 > 0:07:13and bathrooms to be able to work out whether that would fit.
0:07:13 > 0:07:17The question is, to keep intact or divide and conquer?
0:07:17 > 0:07:20Which gives the best return on the investment?
0:07:20 > 0:07:23If this house was refurbished to a nice standard, it would
0:07:23 > 0:07:27be worth in the region of £240,000.
0:07:27 > 0:07:31And subject to plans and planning, what about the great divide?
0:07:31 > 0:07:34That would achieve the highest return for the owner,
0:07:34 > 0:07:39and I still think you would achieve in the region of £270-£280,000.
0:07:40 > 0:07:44But with a guide price of 200 to 205,000,
0:07:44 > 0:07:46that doesn't leave a great deal of room to fix the damp,
0:07:46 > 0:07:48manoeuvre through planning permission
0:07:48 > 0:07:51and install all those bathrooms and kitchens.
0:07:52 > 0:07:56I've got a soft spot for this house, I really do love it.
0:07:56 > 0:07:59But will it stay as one lovely big family home or will it be
0:07:59 > 0:08:02carved up and subdivided into flats?
0:08:02 > 0:08:05Well, the decision is down to who bought it.
0:08:05 > 0:08:08Let's head to auction and find out who bid for this one.
0:08:09 > 0:08:11We move now to lot 99.
0:08:11 > 0:08:13It is a five-bedroomed semidetached house,
0:08:13 > 0:08:15potential to convert to flats.
0:08:15 > 0:08:18That would, of course, be subject to all the necessary consent.
0:08:18 > 0:08:21Got a guide of 200, 205. Start me at 200.
0:08:23 > 0:08:24190, then.
0:08:25 > 0:08:29Or 180. 180. 180, I have, thank you very much.
0:08:29 > 0:08:33£180,000, I'm bid. 182, do I see?
0:08:33 > 0:08:35182. 185...
0:08:35 > 0:08:36After a sluggish start,
0:08:36 > 0:08:39bids climb back up near the bottom end of the guide price band.
0:08:39 > 0:08:43We rejoin the bidding at 196,000.
0:08:43 > 0:08:45And four is bid. And 196.
0:08:45 > 0:08:48And 198. And 200.
0:08:48 > 0:08:50At £200,000, I have.
0:08:50 > 0:08:52202, do I see?
0:08:52 > 0:08:55At £200,000, then, for the first time,
0:08:55 > 0:08:58gentleman in the check shirt, at 200,000.
0:08:58 > 0:09:01For the second time at 200,000.
0:09:01 > 0:09:04For the third and final time at 200,000, then,
0:09:04 > 0:09:06are you all done?
0:09:06 > 0:09:08Sold at 200,000.
0:09:08 > 0:09:09Thank you very much indeed.
0:09:10 > 0:09:15Partners Leslie and Nigel had the successful bid of 200,000,
0:09:15 > 0:09:17right at the bottom end of the guide price range.
0:09:19 > 0:09:22Nigel runs a building company and employs Leslie and Ashley,
0:09:22 > 0:09:25his property buyer.
0:09:25 > 0:09:27Back at the house, I met up with Leslie
0:09:27 > 0:09:29and Ashley to discuss the plans.
0:09:31 > 0:09:35Leslie and Ashley, lovely to meet you both today. Congratulations.
0:09:35 > 0:09:38Now, what was your involvement with this house prior to the auction?
0:09:38 > 0:09:41Well, I didn't do too much before the auction.
0:09:41 > 0:09:44Ashley did it with my partner, so they selected it.
0:09:44 > 0:09:46And I just bought it.
0:09:46 > 0:09:49So, Ashley, what is your involvement with this project?
0:09:49 > 0:09:53Well, I'm a construction buyer, so I'm looking at these places
0:09:53 > 0:09:55and thinking how much we can spend
0:09:55 > 0:09:57and get some bargains to do these places up.
0:09:57 > 0:10:00But this particular house was one of about six that we looked at
0:10:00 > 0:10:03in the area that were in the auction.
0:10:03 > 0:10:06It came up first, so...
0:10:06 > 0:10:09- we kind of had to go with it. - And you got it.
0:10:09 > 0:10:12- Yeah, we got it, yeah.- So what are you going to do with it?!
0:10:12 > 0:10:16- OK, well...- Are you going to keep it as a house or is it going to be flats?!
0:10:16 > 0:10:20- Well, I think we will probably keep it as a house.- Yes! Really?
0:10:20 > 0:10:23I'm not sure that if you spent all that money, got the planning,
0:10:23 > 0:10:25all that sort of stuff you'd have to go through,
0:10:25 > 0:10:29- whether it is worth the extra. - Who is going to be here? Your partner?- Yes.
0:10:29 > 0:10:32He is champing at the bit to get going, actually.
0:10:32 > 0:10:34- Is he really?- Yeah, yeah. He wants to be in here today.
0:10:34 > 0:10:36He is going to be here tomorrow.
0:10:36 > 0:10:39Let's start off by talking about the damp you've got here.
0:10:39 > 0:10:42That's...that's the biggest problem, the damp.
0:10:43 > 0:10:46I don't think... Structurally, I think it is fine apart from that.
0:10:46 > 0:10:48It is a sturdy house, definitely.
0:10:48 > 0:10:51It is just redecoration and
0:10:51 > 0:10:53kitchen and bathrooms.
0:10:53 > 0:10:56- Basically.- And how much do you think the damp is going to put you back,
0:10:56 > 0:10:58or cost you?
0:10:58 > 0:11:01Um. Well, we've barely scratched the surface of it at the moment,
0:11:01 > 0:11:04we don't know where it is coming from. You know, there's a fair idea,
0:11:04 > 0:11:08it is probably the gutters and the tiles hanging on the side. It is probably a problem with that.
0:11:10 > 0:11:13But I wouldn't expect it to set us back too much, really.
0:11:13 > 0:11:15How much involvement are you going to have in this, because
0:11:15 > 0:11:20- obviously you're going to be heavily involved in this building? - I'm designing the kitchen.
0:11:20 > 0:11:21SHE LAUGHS
0:11:21 > 0:11:24And, yeah, I'll say what colours and stuff like that.
0:11:24 > 0:11:26Any changes upstairs at all?
0:11:26 > 0:11:30So, on the first floor, there are two bathrooms which we are going
0:11:30 > 0:11:34to make into one bathroom and increase the size of the bedroom.
0:11:34 > 0:11:37And then...on the top floor,
0:11:37 > 0:11:39we're going to add a bathroom.
0:11:39 > 0:11:43At the moment there's just two bedrooms, and...
0:11:43 > 0:11:46The main bedroom on the first floor has a shower room,
0:11:46 > 0:11:50so we'll keep that. So the two bedrooms on the first floor,
0:11:50 > 0:11:53they will be serviced by the one bigger bathroom.
0:11:53 > 0:11:54OK.
0:11:56 > 0:11:59They haven't yet decided whether to rent this one or to sell it on,
0:11:59 > 0:12:02but they've given themselves a timescale of two to three months
0:12:02 > 0:12:05to complete all the renovations.
0:12:05 > 0:12:07So obviously you hold the purse strings.
0:12:07 > 0:12:10What sort of budget are you looking at with this house?
0:12:10 > 0:12:13It's got to be under about four...under about 50,000.
0:12:13 > 0:12:17Oh, you nearly said 40, then you went up a whole 10,000.
0:12:17 > 0:12:21Well, yes. 40 to 50,000, I think, because if I was to move in,
0:12:21 > 0:12:23I would be spending more, like, 100,000 on it.
0:12:23 > 0:12:26- But, you know, got to be realistic. - We've got to pitch it right
0:12:26 > 0:12:28so that we're not overspending on the kitchen.
0:12:28 > 0:12:33But we want prospective buyers to walk in and say, "Wow."
0:12:33 > 0:12:36Um...because the kitchen is going to sell the place in a house like this.
0:12:36 > 0:12:39So this really is ready to go for you guys.
0:12:39 > 0:12:41We'll probably get the guys in here tomorrow,
0:12:41 > 0:12:43carpets will be away, the kitchen will be away.
0:12:43 > 0:12:47We'll see what space we've got for the kitchen and then we'll crack on.
0:12:47 > 0:12:50Look, congratulations, and I'm glad you did so well at auction day.
0:12:50 > 0:12:53- I can't wait to see your kitchen. - Yes.
0:12:53 > 0:12:55And I'm hoping this will be a quick turnaround for you guys,
0:12:55 > 0:12:58and it will be interesting to see what it turns out like.
0:12:58 > 0:13:01- OK.- Lovely to meet both of you. - Thank you.- Thank you very much, take care.
0:13:01 > 0:13:02- Thank you.- Thank you.
0:13:04 > 0:13:07I am secretly glad that Leslie and Ashley are keeping
0:13:07 > 0:13:11this as one large family home rather than dividing it into flats.
0:13:11 > 0:13:15I think it will make such a lovely house for somebody.
0:13:15 > 0:13:20But will that kitchen have a wow factor and still be on budget?
0:13:20 > 0:13:23You can find out how they all get on later in the programme.
0:13:28 > 0:13:29Leytonstone, East London
0:13:29 > 0:13:33underwent a bit of a face-lift before the 2012 Olympic Games.
0:13:35 > 0:13:39It is a desirable, up-and-coming area with plenty of shops, amenities
0:13:39 > 0:13:43and good transport links and I am on the trail of a property today.
0:13:45 > 0:13:47Yes, it is off a busy main road
0:13:47 > 0:13:50but it is very, very close to the local amenities.
0:13:50 > 0:13:57It is a two-bed second-floor flat with a guide price of £175,000.
0:13:57 > 0:14:01Plus, now, if it is on the second floor, it is up there.
0:14:03 > 0:14:05Let's have a look.
0:14:05 > 0:14:08If you are considering buying a flat up steep or narrow stairs,
0:14:08 > 0:14:11it is always worth forewarning tradesmen and furniture removal
0:14:11 > 0:14:15companies in advance so there are no surprises when they get there.
0:14:15 > 0:14:19All I can say is, I've got to get back in that gym.
0:14:24 > 0:14:27That is a lot of stairs to a flat.
0:14:27 > 0:14:29I'm not really breathing that heavy
0:14:29 > 0:14:32but when you are carrying things, it might be a little bit too much.
0:14:32 > 0:14:34Anyway, what do we have? Hallway here.
0:14:34 > 0:14:37Back bedroom there, single bedroom,
0:14:37 > 0:14:39just at the back of the property here.
0:14:39 > 0:14:42Nice-sized bathroom in there, get that tidied up a little bit,
0:14:42 > 0:14:43just renew that.
0:14:43 > 0:14:46And the main bedroom through there which looks to be a decent size.
0:14:46 > 0:14:50I'll investigate that further. Into this big area here.
0:14:50 > 0:14:53Dining room, lounge, all-in-one here.
0:14:53 > 0:14:57Now, what is screaming out at me is... Oh, hold it a minute.
0:14:57 > 0:15:01Lime-green microwave. Make sure you get that option to keep
0:15:01 > 0:15:03if you want ,but I wouldn't.
0:15:03 > 0:15:05But what is screaming out at me is this wall here.
0:15:05 > 0:15:07You could actually take this wall down
0:15:07 > 0:15:11and have a nice big open-plan lounge, dining room and kitchen.
0:15:11 > 0:15:14The other option is, you could actually bring the wall down
0:15:14 > 0:15:17just to about so high and have a bit of a breakfast bar
0:15:17 > 0:15:21with stools underneath, a bit of a level sort of eating area there.
0:15:21 > 0:15:23So options are aplenty.
0:15:23 > 0:15:26My choice would be, get rid of this wall, open it up,
0:15:26 > 0:15:28be very pleasing on the eye.
0:15:28 > 0:15:30I'm going to investigate further the rest of this property.
0:15:34 > 0:15:38Through into the main bedroom. It seems to be a nice size,
0:15:38 > 0:15:41there is enough space in here for a double bed, as you can see.
0:15:41 > 0:15:44Doesn't seem like there is a lot in here that needs to be done
0:15:44 > 0:15:47but this built-in wardrobe has taken up a lot of space
0:15:47 > 0:15:50away from this wall so I'd be inclined to get rid of that
0:15:50 > 0:15:52and create a bit more floor space.
0:15:52 > 0:15:56But worryingly over here, there seems to be a bit of damp which is
0:15:56 > 0:15:58still sort of damp to the touch, as well.
0:15:58 > 0:16:01You would need to get a specialist to come and check this out
0:16:01 > 0:16:02and it could be costly.
0:16:03 > 0:16:06Apart from water, ingress can be down to how well
0:16:06 > 0:16:08the drainage is maintained.
0:16:08 > 0:16:10A check on the guttering is essential.
0:16:12 > 0:16:15# Raining in my heart. #
0:16:16 > 0:16:18So I decided to practise what I preach.
0:16:20 > 0:16:21So, out the back here,
0:16:21 > 0:16:24this is where the off-street parking is for the flat.
0:16:24 > 0:16:27Now I want to have a closer look to see if I can see anything
0:16:27 > 0:16:29of where that water would be coming in.
0:16:29 > 0:16:32If you look up there, you can see the different types of brick
0:16:32 > 0:16:34and there is no coping stone on the top of that wall,
0:16:34 > 0:16:36so that could be the cause of where the water is
0:16:36 > 0:16:39seeping into the property and causing that damp.
0:16:39 > 0:16:41I'd get it looked at.
0:16:41 > 0:16:44But now to hear what a local property expert thinks of this
0:16:44 > 0:16:48second-floor two-bed flat, guided at £175,000.
0:16:49 > 0:16:52# Things are looking up
0:16:52 > 0:16:55# I've been looking the landscape over. #
0:16:55 > 0:16:58The property as it is at the moment needs work.
0:16:58 > 0:17:04We will look probably to change the bathroom, completely change
0:17:04 > 0:17:09the kitchen and to fully refurbish it.
0:17:09 > 0:17:13The agent believes this property was built in the 1930s.
0:17:13 > 0:17:16How many face-lifts and refurbishments it has had
0:17:16 > 0:17:18since then is anybody's guess.
0:17:19 > 0:17:20But she can tell us what
0:17:20 > 0:17:25the flat's rental value could be after a modernisation.
0:17:25 > 0:17:27Once renovated, this property could rent out
0:17:27 > 0:17:33in between £1,050 per calendar month to £1,100 per calendar month.
0:17:33 > 0:17:37And if the refurbished property was put on the market for sale, what
0:17:37 > 0:17:43sort of improvement on the £175,000 plus guide price could be expected?
0:17:43 > 0:17:46Once renovated, this flat could resell at the value
0:17:46 > 0:17:53between £300,000-£310,000, being renovated to a high standard.
0:17:54 > 0:17:57At first glance, this flat doesn't seem to need a lot of work
0:17:57 > 0:18:00doing to it but there are a couple of issues.
0:18:00 > 0:18:01The damp you would have to get sorted
0:18:01 > 0:18:03and there are a lot of stairs.
0:18:03 > 0:18:05Let's see who was fit enough to take on the challenge
0:18:05 > 0:18:07when it went to auction.
0:18:07 > 0:18:10What shall we say, 140 for Leytonstone?
0:18:10 > 0:18:14140. 140. 140. 140.
0:18:14 > 0:18:16Yes, 140, thank you. 42 and a half?
0:18:16 > 0:18:20After a hesitant start, the bidding increases slowly but steadily.
0:18:20 > 0:18:22We rejoin at £150,000.
0:18:22 > 0:18:26150 here, third row. 52 and a half now.
0:18:26 > 0:18:2852 and a half. Thank you. 55.
0:18:29 > 0:18:3055. 57 and a half.
0:18:32 > 0:18:3457 and a half. 60.
0:18:34 > 0:18:3660. 62 and a half.
0:18:36 > 0:18:3762 and a half. 65.
0:18:39 > 0:18:4165. 67 and a half.
0:18:41 > 0:18:43No. 165 here.
0:18:43 > 0:18:46Somebody else wanting to come in? Lot 44.
0:18:47 > 0:18:50Third row at the back, against you at the back.
0:18:50 > 0:18:52Third row here at 165.
0:18:52 > 0:18:53First time.
0:18:54 > 0:18:56Might take a thousand.
0:18:56 > 0:18:57Second time.
0:18:59 > 0:19:01Third and final time. Bidding?
0:19:01 > 0:19:06At 165 then, it is going, all out, 165 for Lot 44, third row here.
0:19:06 > 0:19:07GAVEL BANGS
0:19:07 > 0:19:09Yours, sir. Thank you, well done.
0:19:09 > 0:19:14Ghazala and Fawad placed a final bid of £165,000 -
0:19:14 > 0:19:1610,000 under the guide price.
0:19:18 > 0:19:20They have two other properties including a shop that Fawad
0:19:20 > 0:19:22runs his business from.
0:19:23 > 0:19:25Ghazala is a student studying Community Services
0:19:25 > 0:19:28and I met them both at the top of those stairs.
0:19:30 > 0:19:32- Ghazala, nice to meet you. - Nice to meet you too.
0:19:32 > 0:19:33Fawad. Congratulations to you both.
0:19:33 > 0:19:37- Thank you very much.- Tell us about the auction, how was it?
0:19:37 > 0:19:39It was my first time at auction
0:19:39 > 0:19:42and it was amazing, and lots of people.
0:19:42 > 0:19:44- Was it good fun?- Yeah.
0:19:44 > 0:19:48- It was very good fun. Good business as well.- Of course.- Of course.
0:19:48 > 0:19:50You've got the property that you wanted,
0:19:50 > 0:19:52what do you intend to do with the property now?
0:19:52 > 0:19:56- We'll fit a new bathroom... - OK.- ..and a new kitchen.
0:19:56 > 0:20:00Um, we'll change the flooring... The carpet and put the flooring
0:20:00 > 0:20:03and we'll change the doors as well.
0:20:03 > 0:20:07OK. So who is the person that is going to be in charge?
0:20:07 > 0:20:09She!
0:20:09 > 0:20:12- She's the boss?- Yeah, she's the boss. - And what do you have?
0:20:12 > 0:20:14Do you have painters and decorators?
0:20:14 > 0:20:21- Er, yeah. Painters, plumber... - OK.- And decorators as well, yeah.
0:20:21 > 0:20:25- Do you know the guys? Regular people that you normally use?- Yes.
0:20:25 > 0:20:28What about family? Is there going to be any more family that get involved?
0:20:28 > 0:20:31- Any more family going to help you? - Yeah.
0:20:31 > 0:20:36- Yeah, my cousin help me and my son is helping me.- Good, good, good.
0:20:36 > 0:20:38And what about the budget?
0:20:38 > 0:20:41How much do you think you're going to have to spend to get it
0:20:41 > 0:20:42where you want it to be?
0:20:42 > 0:20:45It will be around £7,000-10,000.
0:20:45 > 0:20:49And your timescales? How long do you think that will take?
0:20:49 > 0:20:55- Four to six weeks.- That's good. - Yeah, yeah.- Now, this wall.
0:20:55 > 0:21:01Are you going to keep it as a separate kitchen or maybe bring it into one?
0:21:01 > 0:21:03It will be open-plan kitchen.
0:21:03 > 0:21:06- We will knock the hall wall out. - Mmm.
0:21:06 > 0:21:08And we will extend a big kitchen there
0:21:08 > 0:21:11and we will make one window in the wall.
0:21:11 > 0:21:14OK, window going on that wall, outside the property?
0:21:14 > 0:21:18- Outside, yeah, outside the property. - Bring some more light in.- Yeah.
0:21:18 > 0:21:21- Very good idea.- Yeah, we're going to make a hole in about there
0:21:21 > 0:21:26- so we can use as dual purpose as well.- Clever.- And modern.
0:21:26 > 0:21:30- More modern, exactly. Modernise the place.- Modernise the place.
0:21:30 > 0:21:32- And people like that now, don't they?- Yeah.
0:21:32 > 0:21:35And how are you going to deal with the damp?
0:21:35 > 0:21:37Cos there's a bit of damp and in the main bedroom.
0:21:37 > 0:21:40Um, we will check the external wall,
0:21:40 > 0:21:43maybe the water is coming from the external wall.
0:21:43 > 0:21:46And we will fix the problem with the damp first
0:21:46 > 0:21:49and then we can remove the paper, wallpaper.
0:21:49 > 0:21:51No, I agree and you're right to do so.
0:21:51 > 0:21:53Make sure you get all the problems sorted out first,
0:21:53 > 0:21:57otherwise you can start work on it and it just continues to come
0:21:57 > 0:22:01through, so get that done as soon as possible, without a doubt.
0:22:01 > 0:22:05- And there's a lot of stairs up to the property.- Mmm.- Mmm.
0:22:05 > 0:22:08How is that going to affect the builders?
0:22:08 > 0:22:13Oh, um, there's a window in the bedroom and we will use a chute.
0:22:13 > 0:22:14That's good idea.
0:22:14 > 0:22:17- They can have a chute straight from the bedroom window.- Yeah.
0:22:17 > 0:22:19- Into a skip?- Yeah. - Yeah, into the skip.
0:22:19 > 0:22:22- Is this your first property that you are buying together?- No.
0:22:22 > 0:22:25Actually, it is our third property but from the auction,
0:22:25 > 0:22:28- it is the first property. - First property in the auction.
0:22:28 > 0:22:31And would you go back to the auction? Would you do it again?
0:22:31 > 0:22:34- Yes, as soon as possible! - As soon as possible?- Yeah! Yeah.
0:22:34 > 0:22:38Now, what is it about the property developing that you like?
0:22:38 > 0:22:42Um, actually, it is my interest and my husband's interest.
0:22:42 > 0:22:44Like, we've got our own business
0:22:44 > 0:22:49and we want to increase our business into, like, property development.
0:22:49 > 0:22:53So at the moment, we've got quite a small house
0:22:53 > 0:22:56and we are looking for a big house for us.
0:22:56 > 0:23:00My family is quite big, so this is the only, I think,
0:23:00 > 0:23:03good and interesting way to go,
0:23:03 > 0:23:06like, into property and earn some money.
0:23:06 > 0:23:07- Achieving something.- Yes.
0:23:07 > 0:23:10So, what are you going to do when everything is finished
0:23:10 > 0:23:12and you've got it how you want it? Are you going to rent it,
0:23:12 > 0:23:16are you going to sell it or are you going to keep it?
0:23:16 > 0:23:21- Um...- If we achieve good price, maybe we sell it.
0:23:21 > 0:23:24- Otherwise, we will rent it. - Not quite sure yet?
0:23:24 > 0:23:28- Not quite sure yet, yeah. - Listen, Fawad, good luck.- Thank you.
0:23:28 > 0:23:32- I wish you all the best. Ghazala, well done.- Thank you.
0:23:32 > 0:23:33Keep him in check.
0:23:35 > 0:23:38What lovely people Ghazala and Fawad are.
0:23:38 > 0:23:41But there is a damp issue they would have to get to
0:23:41 > 0:23:44the bottom of and how much will that impinge on their budget?
0:23:44 > 0:23:48But it's a lovely story that they're doing this to have a bigger family home.
0:23:48 > 0:23:51Let's find out if they achieve it later in the programme.
0:23:53 > 0:23:54Still to come...
0:23:54 > 0:23:58In Fenton, Stoke-on-Trent, my advice is really rather simple.
0:23:58 > 0:24:01Sort that out, sort the damp out.
0:24:04 > 0:24:07And in Leytonstone, East London, we'll return to discover
0:24:07 > 0:24:10if that small flat at the top of those stairs hit the heights.
0:24:21 > 0:24:24Back now to Folkestone in Kent where previously
0:24:24 > 0:24:27I looked around this five-bedroom semidetached.
0:24:27 > 0:24:31This large family house had lots of period features,
0:24:31 > 0:24:34including this fabulous staircase.
0:24:34 > 0:24:36But this tired old house was not without its problems -
0:24:36 > 0:24:40rotting wood and damp being the main jobs to tackle.
0:24:41 > 0:24:45The house sold for £200,000 to Leslie at the auction with
0:24:45 > 0:24:51her partner Nigel and they also work together at Nigel's building company.
0:24:51 > 0:24:55A complete large house like this is somewhat of a rarity in these
0:24:55 > 0:24:59parts, as many similar to this have been converted into flats.
0:25:00 > 0:25:04I met Leslie and the company's construction buyer, Ashley,
0:25:04 > 0:25:06eager to find out what her plans were.
0:25:08 > 0:25:10- So, what are you going to do with it?- OK.
0:25:10 > 0:25:13- Are you going to keep it as a house, or is it going to be flats? - I... We...
0:25:13 > 0:25:16- Well, I think we'll probably keep it as a house.- Yes! Really?
0:25:16 > 0:25:19I'm not sure that if you spent all that money,
0:25:19 > 0:25:22got the planning, all that sort of stuff,
0:25:22 > 0:25:24whether it's worth the extra.
0:25:24 > 0:25:26Let's start off by talking about the damp you've got here.
0:25:26 > 0:25:29Yeah, that's the biggest problem, the damp.
0:25:29 > 0:25:31We've barely scratched the surface of it at the moment.
0:25:31 > 0:25:34We don't know where it's coming from but I wouldn't expect it to
0:25:34 > 0:25:35set us back too much, really.
0:25:35 > 0:25:37So obviously you hold the purse strings.
0:25:37 > 0:25:41What sort of budget are you looking at with this house?
0:25:41 > 0:25:44It's got to be under about four...under about £50,000.
0:25:44 > 0:25:48- Oh, you nearly said 40, then you went up a whole £10,000.- Well, yeah.
0:25:48 > 0:25:52£40,000-50,000, I think, because if I was to move in, I'd be
0:25:52 > 0:25:55spending more like £100,000 on it but, you know, good to be realistic.
0:25:55 > 0:25:58We've got to pitch it right so that we're not overspending on
0:25:58 > 0:26:04the kitchen but we want prospective buyers to walk in, and say, "Wow!"
0:26:04 > 0:26:07Well, we're back just over four months since our last visit
0:26:07 > 0:26:11and I need to know, has Leslie's kitchen now got the wow factor?
0:26:13 > 0:26:16# I need to know now, know now
0:26:16 > 0:26:18# Can you love me enough...? #
0:26:18 > 0:26:21Yes! I'm going to say it. Wow!
0:26:21 > 0:26:24# I need to know now, know now
0:26:24 > 0:26:26# Can you love me again...? #
0:26:30 > 0:26:33Lighter coloured tile flooring, glossy units
0:26:33 > 0:26:36and brighter paintwork make the most of the available light.
0:26:38 > 0:26:42High-end appliances complete the kitchen's look and functionality,
0:26:42 > 0:26:45which is also much improved by the generous breakfast bar.
0:26:50 > 0:26:53Wafting up my beautifully-restored staircase
0:26:53 > 0:26:57to the top floor, where there used to be two bedrooms.
0:26:59 > 0:27:00There's now one bedroom
0:27:00 > 0:27:04but it's right next to the former second bedroom, which functions
0:27:04 > 0:27:08as a dressing room/study with an en suite shower room.
0:27:11 > 0:27:13It sacrifices one of the five bedrooms
0:27:13 > 0:27:17but I think it's worth it and if you don't agree...
0:27:17 > 0:27:19# There's nothing I can't do... #
0:27:21 > 0:27:24Down two flights of stairs now to the first floor landing,
0:27:24 > 0:27:27where the front-of-house largest bedroom looked like this,
0:27:27 > 0:27:29with its small en suite.
0:27:35 > 0:27:38New units make the most of the available space.
0:27:44 > 0:27:48The second bedroom at the rear of the house has also had a face-lift.
0:27:54 > 0:27:55The small bathroom
0:27:55 > 0:27:58on this level sat next to the small separate toilet.
0:28:02 > 0:28:04The answer - combine them.
0:28:04 > 0:28:08Then there's room not only for a bath, but a shower too.
0:28:10 > 0:28:11Finally on this level,
0:28:11 > 0:28:15the smallest bedroom has benefited from a brighter colour scheme.
0:28:17 > 0:28:19Downstairs again,
0:28:19 > 0:28:23the rear reception wasn't helped by the dark carpet and retro lighting.
0:28:25 > 0:28:29Modern lights show off the cornice work and a neutral carpet and finish
0:28:29 > 0:28:33highlight the period fireplace, which I'm glad to see has remained.
0:28:37 > 0:28:40And the same can be said for its brother in the front room,
0:28:40 > 0:28:43which has also left its darker colour scheme in the past.
0:28:49 > 0:28:53Outside, there's been plenty of weeding done and a new lawn laid.
0:28:55 > 0:28:59Time to catch up with Leslie and Ashley. They must be shattered!
0:28:59 > 0:29:01We haven't actually been here that much, really.
0:29:01 > 0:29:04We just came along, picked the carpets, picked the colours,
0:29:04 > 0:29:08- gave a few instructions! - They're a great team, though.
0:29:08 > 0:29:11They've worked quite hard to get to where we are.
0:29:11 > 0:29:14Holidays interrupted the workflow, so the work's taken
0:29:14 > 0:29:19three and a half months, just over the original plan of two to three months.
0:29:19 > 0:29:21The main structural problem was the damp,
0:29:21 > 0:29:24which was sorted by replacing the faulty drainpipe.
0:29:24 > 0:29:30So, what about the original budget of £40,000-50,000?
0:29:30 > 0:29:34It's about 50-60, I reckon. It's a bit more we budgeted, but...
0:29:35 > 0:29:39I think, you know, with the carpets, and the kitchen -
0:29:39 > 0:29:44I picked quite nice appliances rather than cheap, cheap.
0:29:44 > 0:29:46No, we didn't go for the cheapest carpets either.
0:29:46 > 0:29:49We could have gone from a much cheaper carpet
0:29:49 > 0:29:53but I think it was worth spending um, spending the money,
0:29:53 > 0:29:57because you walk in the front door now and it's just, "Wow!" I think.
0:29:57 > 0:30:00Because the staircase is such a lovely feature,
0:30:00 > 0:30:03we wanted to make it stand out.
0:30:03 > 0:30:06The proof of the pudding will be in what we get for it, I think.
0:30:06 > 0:30:09That's going to be... And how easy it is to sell.
0:30:10 > 0:30:12Yes, that is the crucial question,
0:30:12 > 0:30:17as Leslie was never intending on living here or renting out.
0:30:17 > 0:30:20Two local estate agents should help answer that question.
0:30:20 > 0:30:23Leslie played £200,000 for the property at auction
0:30:23 > 0:30:27and a further - let's say - 50,000 renovating.
0:30:27 > 0:30:29So was it money well spent?
0:30:29 > 0:30:33First up, the agent who'd seen the property before the renovation.
0:30:33 > 0:30:36I think they've made wonderful changes to it.
0:30:36 > 0:30:38The quality of finish
0:30:38 > 0:30:41and the decoration that they've done is of a pretty high standard.
0:30:41 > 0:30:43I particularly like the kitchen.
0:30:43 > 0:30:46It's been done very well, looks very modern. It's very big.
0:30:46 > 0:30:47You could fit a table in there.
0:30:47 > 0:30:49Makes a good family kitchen.
0:30:49 > 0:30:53And what about going from a five-bed to a four-bedroom house?
0:30:53 > 0:30:54I like the top bedroom.
0:30:54 > 0:30:56I think the fact that they've made a dressing room
0:30:56 > 0:31:00and an en suite with it has enhanced that, made that a good living space
0:31:00 > 0:31:05upstairs, a good bedroom space and rest space, so yeah, good move.
0:31:05 > 0:31:08I think making the bedroom into a dressing room is a good idea.
0:31:08 > 0:31:10It doesn't really affect the price too much
0:31:10 > 0:31:13and it makes it a good property for sharers.
0:31:13 > 0:31:15Well, there's a turn up for the books.
0:31:15 > 0:31:19Now whilst we're on the subject of price, Leslie's total spend
0:31:19 > 0:31:22so far is around £255,000.
0:31:22 > 0:31:25So what's the property worth in today's condition?
0:31:25 > 0:31:29I would value this property at £275,000.
0:31:29 > 0:31:31If they're going to sell the property,
0:31:31 > 0:31:34I think they should sell it for around £280,000-290,000.
0:31:34 > 0:31:38Taking the average of 280,000 would make Leslie a potential profit
0:31:38 > 0:31:44of £25,000, minus the usual taxes and expenses.
0:31:44 > 0:31:48We're hoping for at least 300 on this.
0:31:48 > 0:31:52- And we're, I don't know, reasonably confident...- Yes.
0:31:52 > 0:31:55- ..that we'll get that. - Be interesting to see.
0:31:55 > 0:32:00One thing is for sure, this tired old house now has a new lease of life.
0:32:09 > 0:32:12Stoke-on-Trent is made up of six large towns and today,
0:32:12 > 0:32:17it's the turn of Fenton, home of Stoke City Football Club.
0:32:17 > 0:32:22And it also boasts this local nature reserve called Smith's Pool,
0:32:22 > 0:32:26a popular spot for joggers, nature lovers and anglers.
0:32:26 > 0:32:28It's known locally as the Lido.
0:32:30 > 0:32:34MUSIC: Lido Shuffle by Boz Scaggs
0:32:38 > 0:32:42So, what about somebody fishing for a property bargain?
0:32:42 > 0:32:46Well, joking aside, having recreational space like that water -
0:32:46 > 0:32:49fantastic thing to have around or in the environment
0:32:49 > 0:32:51of the property you're considering buying.
0:32:51 > 0:32:54Which was, in this instance, up for auction -
0:32:54 > 0:32:59a two-bedroomed classic mid-terrace, guide price at 60,000 quid.
0:32:59 > 0:33:01This is it. Let's have a look.
0:33:07 > 0:33:10Well, let's sincerely hope that any water is kept well
0:33:10 > 0:33:12and truly out of this property.
0:33:12 > 0:33:17And actually, walking through the front door and straight away,
0:33:17 > 0:33:20you get a really good first impression.
0:33:20 > 0:33:23Nicely decorated - carpet all clean, I mean -
0:33:23 > 0:33:28it's obviously a little bit dated but no smell of damp. Lovely.
0:33:28 > 0:33:30I mean, a very traditional design, as you might have expected.
0:33:30 > 0:33:35Front room there, rear room here. Ooh! Interesting fireplace design.
0:33:35 > 0:33:38Joking. I think they've taken the fireplace away.
0:33:38 > 0:33:39But stairs up to your bedrooms there,
0:33:39 > 0:33:43and then through into the kitchen. It's that classic layout.
0:33:43 > 0:33:46Probably a two-up, two-down which has been extended to provide a kitchen here.
0:33:46 > 0:33:49Er, what can I say about this?
0:33:49 > 0:33:53It needs modernisation, obviously, and then through there
0:33:53 > 0:33:57to your bathroom and loo. It's not upstairs.
0:33:57 > 0:34:01It's pretty much exactly where you'd expect it to be,
0:34:01 > 0:34:04at the back of the property there.
0:34:04 > 0:34:10On the way, yes, sort of a er, cylinder, hot water cylinder there.
0:34:10 > 0:34:11And that's it.
0:34:12 > 0:34:15Ah! Not quite. That's a damp patch.
0:34:16 > 0:34:19It's a very odd place for a damp patch.
0:34:19 > 0:34:23Could be coming from a pipe break in theory, I guess,
0:34:23 > 0:34:26but that definitely needs further investigation.
0:34:30 > 0:34:34From the back yard, you can see that these kitchen extensions
0:34:34 > 0:34:37are standard design for this type of terrace property
0:34:37 > 0:34:41but as to the source of that leak, I'm none the wiser.
0:34:41 > 0:34:46I guess it might be the roof. Unfortunately, I can't quite see it.
0:34:46 > 0:34:49Time for a visit upstairs where I should get a better view
0:34:49 > 0:34:51of the kitchen roof.
0:34:53 > 0:34:58So, upstairs, and as well as the two bedrooms, hopefully,
0:34:58 > 0:35:01a solution to that damp issue.
0:35:01 > 0:35:07And what I'm trying to look at here is that roof of the extension.
0:35:07 > 0:35:11Now, whenever you visit a property, try and use all of the windows
0:35:11 > 0:35:14or whatever to look out onto roof spaces, whatever you might be
0:35:14 > 0:35:17able to see, it's a really good way of doing a bit of exploration.
0:35:17 > 0:35:19You can check the gutters out, you can check the ridge.
0:35:19 > 0:35:21In this case, I'm looking at the tiles.
0:35:21 > 0:35:24There you go, it's not rocket science, is it?
0:35:24 > 0:35:27In the middle of the roof there, there is a loose tile
0:35:27 > 0:35:31and I reckon that's bang above where that damp patch downstairs is.
0:35:31 > 0:35:34Sort that out, sort the damp out.
0:35:38 > 0:35:43So, apart from that loose tile, everything else seems tickety-boo.
0:35:43 > 0:35:46The two double bedrooms need redecorating,
0:35:46 > 0:35:50but a definite bonus is the double glazing.
0:35:50 > 0:35:54Get the central heating system checked out, new bathroom, new kitchen
0:35:54 > 0:35:59and, hey presto, you've got yourself a smart little property.
0:35:59 > 0:36:02But that's just my opinion.
0:36:02 > 0:36:06To get another perspective, we asked an estate agent
0:36:06 > 0:36:10from the auction house that sold the property to have a look around.
0:36:10 > 0:36:14What's appealing about this property is its location.
0:36:14 > 0:36:15The street is very, very popular.
0:36:15 > 0:36:18You do have the railway lines right opposite,
0:36:18 > 0:36:22but the trains are very infrequent and very light.
0:36:22 > 0:36:25You've got the added advantage of having the park behind,
0:36:25 > 0:36:27with the lake.
0:36:27 > 0:36:31And there's no parking problems and you haven't got another
0:36:31 > 0:36:35row of houses looking directly at the property.
0:36:35 > 0:36:39If I owned this property, I would refurb it.
0:36:39 > 0:36:45Kitchen, bathroom, new carpets. Probably have the walls skimmed over.
0:36:45 > 0:36:49New decor, but that is literally all this property needs.
0:36:51 > 0:36:55With a guide price of just £60,000, what are the potential re-sale
0:36:55 > 0:37:00and rental values that could be achieved after renovation?
0:37:00 > 0:37:04This property should see figures in the region of
0:37:04 > 0:37:08£425-£430 per calendar month.
0:37:08 > 0:37:12When it comes to resale, an asking price on this property
0:37:12 > 0:37:15would be £90,000.
0:37:15 > 0:37:20So, let's make it simple. What is there not to like about this house?
0:37:20 > 0:37:23- Good location. - HE STAMMERS
0:37:23 > 0:37:24You don't need to do that much to it.
0:37:24 > 0:37:27Shift a few roof tiles to sort out that bit of damp.
0:37:27 > 0:37:29A great one to go for.
0:37:29 > 0:37:32Let's see who agreed when it went under the hammer.
0:37:36 > 0:37:38Unfortunately, on auction day,
0:37:38 > 0:37:42our cameras didn't catch the bidding on this lot.
0:37:42 > 0:37:45But the successful bidders were local couple Tony
0:37:45 > 0:37:49and Sylvie-Anne, who paid bang on that guide price of £60,000.
0:37:49 > 0:37:53I met up with them back at the house to find out about their plans.
0:37:53 > 0:37:57- Tony, Sylvie-Anne, great to meet you both.- And you.- Congratulations.
0:37:57 > 0:38:01- Thank you.- Good little house. Tell me why you wanted to buy it.
0:38:01 > 0:38:06I like the location of it. The street, plenty of parking.
0:38:06 > 0:38:09Nice little front. Yeah, it's in good condition.
0:38:09 > 0:38:11Doesn't need a lot of work.
0:38:11 > 0:38:15It's fairly clean and tidy, shouldn't take long to do up
0:38:15 > 0:38:17and put back on the market.
0:38:17 > 0:38:19So, is this a new venture for you,
0:38:19 > 0:38:22- or is this something you've done before?- I've done it once before.
0:38:22 > 0:38:25- A lot worse than this. - Right. Tell me.
0:38:25 > 0:38:29- As you open the front door, you could see the roof.- Really?
0:38:29 > 0:38:33- There was no floor. - A lot of work.- Wow.
0:38:33 > 0:38:36Was it very cheap or...?
0:38:36 > 0:38:39- Not really.- It wasn't that cheap.
0:38:39 > 0:38:43- No, but it wasn't through an auction, unfortunately.- Right.
0:38:43 > 0:38:47- But it was a good experience. - Looking back.- Yes.- Yes.
0:38:47 > 0:38:49How recently was that?
0:38:49 > 0:38:50- Two years ago.- Yes, two years ago.
0:38:50 > 0:38:54- And did you do that up and sell it on?- I'm renting it.- Renting, OK.
0:38:54 > 0:38:57So, what tempted you to go to the auction?
0:38:57 > 0:38:59I've been to a few auctions.
0:39:00 > 0:39:04I've seen property online that I generally go and have a look,
0:39:04 > 0:39:05see what it looks like,
0:39:05 > 0:39:09then have a viewing and then maybe go to the auction.
0:39:09 > 0:39:14- Right.- But the others, they went for too much money.
0:39:14 > 0:39:17- Right. You got this for a good price, didn't you?- Yeah.
0:39:17 > 0:39:19- I think so.- Definitely.
0:39:19 > 0:39:23So, Sylvie-Anne, what's your involvement in all this?
0:39:23 > 0:39:25- I'm the decor person. - Are you? Oh, great.
0:39:25 > 0:39:30So I'll probably be choosing the tiles, carpets, painting.
0:39:30 > 0:39:32I'm no good at that.
0:39:32 > 0:39:35So Tony does the hard work and I'll do the easy stuff.
0:39:35 > 0:39:38But definitely give a flavour
0:39:38 > 0:39:41- and you create the feel of the place, don't you?- Yes.
0:39:41 > 0:39:44Have you thought about how you're going to decorate this one?
0:39:44 > 0:39:48- It's quite pleasant as it is. - Probably just paint.
0:39:48 > 0:39:51Sort out the ceilings and bits and pieces that need doing
0:39:51 > 0:39:53and just paint over it.
0:39:53 > 0:39:54New carpets.
0:39:58 > 0:40:04# Let's put a new colour paint on this lonesome old town... #
0:40:06 > 0:40:08Tony and Sylvie-Anne plan to rent out this house
0:40:08 > 0:40:11and so painting over the existing paper
0:40:11 > 0:40:13seems like a very reasonable plan.
0:40:13 > 0:40:18Particularly since their budget is a fairly modest £5,000-7,000.
0:40:18 > 0:40:22With major purchases being a new bathroom and kitchen,
0:40:22 > 0:40:26they're keen to do as much of the work as possible by themselves.
0:40:26 > 0:40:30But will the small patch of damp I found earlier be a problem?
0:40:32 > 0:40:35Obviously an unusual bit of damp in the kitchen there.
0:40:35 > 0:40:38Have you sussed out where that's coming from?
0:40:38 > 0:40:41- A missing tile, isn't it?- Yes.- It is a missing tile, yes. Definitely.
0:40:41 > 0:40:44Something so simple. Which is good news, isn't it?
0:40:44 > 0:40:48You never know what you're going to get until you start work, really.
0:40:48 > 0:40:55- For sure.- Yeah.- Do you work?- Yes, TV aerials.- Oh, OK.- Satellite dishes.
0:40:55 > 0:40:59Right, OK. Brilliant. So you're up and down ladders all the time.
0:40:59 > 0:41:00I shall be up on the roof.
0:41:00 > 0:41:03Yes, you should be able to fix that roof no problem.
0:41:03 > 0:41:04Tiles, not a problem.
0:41:04 > 0:41:07You've probably got all the proper ladders and everything
0:41:07 > 0:41:12- and all the safety kit. - Yes, so it's all systems go.- Right.
0:41:12 > 0:41:16- What is the timescale? - No more than six months.- OK.
0:41:16 > 0:41:20So, obviously, the last project, a lot of hard work
0:41:20 > 0:41:22and this one comparatively easy.
0:41:22 > 0:41:25What did you learn from what you did last time?
0:41:25 > 0:41:28Ooh, you just have to get on with it, basically.
0:41:28 > 0:41:29If you hit problems,
0:41:29 > 0:41:34you've just got to work your way through or get someone in who can.
0:41:34 > 0:41:38- Get a man who can.- And there is no problem that's insurmountable.
0:41:38 > 0:41:41- It just costs money.- Yes, money.
0:41:41 > 0:41:45So, what did you think about Tony taking on the last project?
0:41:45 > 0:41:46I thought he was crazy.
0:41:46 > 0:41:51But I don't think this house will have the same...
0:41:51 > 0:41:53the same effort as the other one.
0:41:53 > 0:41:55You must have been a bit nervous, though,
0:41:55 > 0:41:59when he said, "You know what? I'm going to try it again!"
0:41:59 > 0:42:03- Just a bit. Just a bit. - How did you broach that one, then?
0:42:03 > 0:42:07- I said, "Oh, I've been to see a house."- Yes.- What did she say?
0:42:07 > 0:42:10- "You are joking?"- Sort of.
0:42:10 > 0:42:15And then it was like, let's go to the auction and...we just got it.
0:42:15 > 0:42:20And will how easy or otherwise this project turns out to be
0:42:20 > 0:42:23affect your decision processing in terms of whether you do any more?
0:42:23 > 0:42:28- Might consider one more. - Maybe.- Yes?- Maybe one more.
0:42:28 > 0:42:30Right.
0:42:30 > 0:42:33Unless you unearth some horrors, but I don't think you will.
0:42:33 > 0:42:37- Not here, not here.- I hope not.
0:42:37 > 0:42:40And Stoke, why Stoke?
0:42:40 > 0:42:45- Stoke is as good as anywhere.- I'm a great fan of Stoke. Absolutely.
0:42:45 > 0:42:49- Totally.- There's some good properties in Stoke.
0:42:49 > 0:42:55- It's not far away, either, is it? - No, we are only 10, 15 minutes away.
0:42:55 > 0:42:57Right, and that makes a big difference.
0:42:57 > 0:43:00When you are renting out, will you be managing the property?
0:43:00 > 0:43:06- Probably not.- Hand it over. - A lot of hassle.
0:43:06 > 0:43:09Right, so you'll pay a proportion...
0:43:09 > 0:43:11- Listen, congratulations. Good luck with it.- Thank you.
0:43:11 > 0:43:15- I look forward to seeing how you get on.- Thank you.
0:43:15 > 0:43:16Well, I'm glad that Tony wasn't
0:43:16 > 0:43:20so put off by his last property renovation experience that he
0:43:20 > 0:43:23missed this place, because I think he and Sylvie-Anne
0:43:23 > 0:43:26have got themselves a great house here and not too much work.
0:43:26 > 0:43:30In fact, being an installer of aerials, he's got all the equipment
0:43:30 > 0:43:33he needs to sort out the only major problem - that loose tile.
0:43:33 > 0:43:37How will he get on? You can find out later in the show.
0:43:41 > 0:43:44Doing up a property always seems to take longer than you'd think.
0:43:44 > 0:43:47Yes, did our buyers manage to do everything they'd planned?
0:43:47 > 0:43:49It's time to go back and find out.
0:43:53 > 0:43:55Back to East London now, in the desirable
0:43:55 > 0:43:58and up-and-coming area of Leytonstone.
0:43:58 > 0:44:02I looked around this two-bedroom second-floor flat that had
0:44:02 > 0:44:06a guide price of £175,000.
0:44:06 > 0:44:11It wasn't the biggest of flats, but I could definitely see potential.
0:44:11 > 0:44:13But what is screaming out at me is this wall here.
0:44:13 > 0:44:16You can actually take this wall down and have a nice big open-plan
0:44:16 > 0:44:19lounge, dining room and kitchen.
0:44:19 > 0:44:22The other option is you can actually bring the wall down just
0:44:22 > 0:44:25to about so high and have a bit of a breakfast bar with stools
0:44:25 > 0:44:29underneath, a bit of a level sort of eating area there.
0:44:29 > 0:44:31Options are aplenty.
0:44:31 > 0:44:34My choice would be get rid of this wall, open it up,
0:44:34 > 0:44:36be very pleasing on the eye.
0:44:36 > 0:44:40I'm going to investigate further the rest of this property.
0:44:40 > 0:44:43What I found was a flat in need of updating
0:44:43 > 0:44:47and one with a damp problem, thanks to some faulty guttering.
0:44:47 > 0:44:51But that didn't put bidders off as the flat proved
0:44:51 > 0:44:54popular on auction day.
0:44:54 > 0:44:57Yours, sir. Thank you, well done.
0:44:57 > 0:45:02Snapped up for £10,000 under the guide price of 165,000,
0:45:02 > 0:45:07the successful bidders were husband and wife Fawad and Ghazala.
0:45:07 > 0:45:10They already own two other properties
0:45:10 > 0:45:13and were keen to build up a property portfolio.
0:45:13 > 0:45:15Now, this wall.
0:45:15 > 0:45:19Are you going to keep it as a separate kitchen or maybe
0:45:19 > 0:45:24- bring it into one? - It will be open-plan kitchen.
0:45:24 > 0:45:26We will knock the whole wall out.
0:45:26 > 0:45:32We will extend the kitchen there and we will make one window in the wall.
0:45:32 > 0:45:34We will make an island.
0:45:34 > 0:45:38OK, window going on that wall, outside the property?
0:45:38 > 0:45:41- Yes, outside the property. - Bring some more light in.
0:45:43 > 0:45:47Fawad and Ghazala had hoped to rent the property out and have given
0:45:47 > 0:45:49themselves a four- to six-week timescale
0:45:49 > 0:45:52and a budget of between £7,000-10,000.
0:45:56 > 0:45:59Four months later, we've returned to Leytonstone to see
0:45:59 > 0:46:01if all has gone to plan.
0:46:10 > 0:46:11Nice.
0:46:11 > 0:46:15By getting rid of the old wall and extending into the hallway,
0:46:15 > 0:46:19they've not only created an open-plan kitchen/diner, but also increased
0:46:19 > 0:46:25the size of the once-pokey kitchen and made it modern and appealing.
0:46:25 > 0:46:29Is it me, or is that living room just that little bit smaller?
0:46:36 > 0:46:40Yes, by using the sizeable living room,
0:46:40 > 0:46:43they've been able to create an extra bedroom as Ghazala explains.
0:46:45 > 0:46:48This is a completely new room.
0:46:48 > 0:46:50It used to be a part of the living room.
0:46:50 > 0:46:55It is a double bedroom now. It is beautiful.
0:46:58 > 0:47:01Lovely to see someone so pleased with the work they've done,
0:47:01 > 0:47:05and remember, Fawad and Ghazala plan to rent this property,
0:47:05 > 0:47:08so adding a bedroom could be a smart move.
0:47:10 > 0:47:14The rest of the flat is looking so much better with the two
0:47:14 > 0:47:17pre-existing bedrooms looking refreshed.
0:47:19 > 0:47:23And the brand-new bathroom suite is something to be admired.
0:47:25 > 0:47:29So, with the flat looking transformed and far more rentable,
0:47:29 > 0:47:32it's time to hear how it's gone for Fawad and Ghazala,
0:47:32 > 0:47:35not to mention nine-year-old son, Yousef.
0:47:35 > 0:47:37But first, let's have a chat with Mum and Dad.
0:47:39 > 0:47:42I am pleased with the kitchen.
0:47:42 > 0:47:48In my point of view, it is beautiful and it is most expansive.
0:47:48 > 0:47:52The kitchen and bath are both specialist,
0:47:52 > 0:47:54the small bath as well is very nice.
0:47:54 > 0:47:58The couple sound delighted with what they've achieved here,
0:47:58 > 0:48:01and even though there was a change of plan,
0:48:01 > 0:48:05they did manage to stick to their four- to six-week time schedule.
0:48:05 > 0:48:10But I can't imagine their original budget of £10,000 has survived.
0:48:10 > 0:48:14We spent about around £23,000.
0:48:14 > 0:48:20Because we replaced the new windows, of course, we increase
0:48:20 > 0:48:27the one bedroom, and also in these days, things are more expensive.
0:48:27 > 0:48:29As well as those changes,
0:48:29 > 0:48:33they had to do some work to the roof to tackle the damp problem.
0:48:33 > 0:48:37And to keep costs down, Fawad managed the project himself, with family
0:48:37 > 0:48:41and friends helping and even Yousef being called into action.
0:48:41 > 0:48:46I cleared the rubbish and I put some in the recycling.
0:48:46 > 0:48:53And all the other rubbish, I put outside, so they could collect it.
0:48:53 > 0:48:57I like the kitchen and I like the bedrooms.
0:48:59 > 0:49:02So, with Yousef's stamp of approval,
0:49:02 > 0:49:06it's time to check the opinions of two local estate agents on this
0:49:06 > 0:49:10flat that has seen a total investment of £188,000.
0:49:11 > 0:49:13The changes are very good.
0:49:13 > 0:49:17I like the fact that they've put another bedroom,
0:49:17 > 0:49:19making it into a three-bedroom flat,
0:49:19 > 0:49:23and this will add value to both sales and lettings.
0:49:23 > 0:49:26The extra bedroom has squeezed the living area somewhat.
0:49:26 > 0:49:29However, for a rental investor, it's not really going to be a big issue.
0:49:31 > 0:49:34So, sounds like adding that third bedroom was a wise choice.
0:49:34 > 0:49:37But before rental figures, let's hear valuations.
0:49:37 > 0:49:38In my opinion,
0:49:38 > 0:49:42the sales value for this property will be approximately £250,000.
0:49:42 > 0:49:45On the sales market condition, I would say that this property
0:49:45 > 0:49:48would resale at a price between
0:49:48 > 0:49:53£310,000 and £320,000.
0:49:53 > 0:49:55Having the third bedroom, it would
0:49:55 > 0:50:00probably add value to the property in between £10,000-15,000.
0:50:00 > 0:50:04Wow, quite a difference in values, thanks to the first agent
0:50:04 > 0:50:08believing that neighbouring properties are of a higher standard.
0:50:08 > 0:50:13So, that means, depending on whose estimate you take, pre-tax profits
0:50:13 > 0:50:16on this property could be from anywhere between
0:50:16 > 0:50:20£62,000 and £132,000.
0:50:20 > 0:50:24However, this property has always been destined for the rental market.
0:50:24 > 0:50:28Taking into consideration the current market conditions,
0:50:28 > 0:50:32I would let this property at a price in the region of
0:50:32 > 0:50:37£1,350-£1,400 per calendar month.
0:50:37 > 0:50:39In my opinion, the rental value of this property is
0:50:39 > 0:50:42approximately £1,500 per calendar month.
0:50:42 > 0:50:46That higher valuation of £1,500 per calendar month would mean
0:50:46 > 0:50:52a healthy yield of around 9.5%, meaning that for Fawad and Ghazala,
0:50:52 > 0:50:56this first renovation project has been a success.
0:50:56 > 0:51:00It is excellent here and it is our first time,
0:51:00 > 0:51:03so for the first time it is very good.
0:51:03 > 0:51:07Very good experience and it is a very good job.
0:51:13 > 0:51:18Earlier in the show, I was in Fenton in Stoke to see a two-bed
0:51:18 > 0:51:21mid-terrace guided at £60,000.
0:51:21 > 0:51:24We see a lot of two-up, two-downs on this show,
0:51:24 > 0:51:28but this one was in really good nick and just needed an update.
0:51:28 > 0:51:31It's that classic layout.
0:51:31 > 0:51:34A two-up, two-down which has been extended to provide a kitchen here,
0:51:34 > 0:51:38and then through there to your bathroom and loo -
0:51:38 > 0:51:42pretty much exactly where you expect it to be. That's it.
0:51:42 > 0:51:44Ah, not quite.
0:51:44 > 0:51:49That's a damp patch. It's a very odd place for a damp patch.
0:51:49 > 0:51:53That definitely needs further investigation.
0:51:53 > 0:51:56And investigating I went,
0:51:56 > 0:52:00leaving no stone unturned to find the source of the damp.
0:52:00 > 0:52:02# I looked under chairs
0:52:02 > 0:52:05# I looked under tables
0:52:05 > 0:52:08# They call me the seeker... #
0:52:08 > 0:52:10My guess is it might be the roof.
0:52:10 > 0:52:14# I've been searching low and high. #
0:52:14 > 0:52:16There you go, it's not rocket science, is it?
0:52:16 > 0:52:20In the middle of the roof there, there is a loose tile
0:52:20 > 0:52:24and I reckon that's bang above where that damp patch downstairs is.
0:52:24 > 0:52:26Sort that out, sort the damp out.
0:52:27 > 0:52:31Paying £60,000 on the nose was TV aerial repairman Tony
0:52:31 > 0:52:34and his wife Sylvie-Anne.
0:52:34 > 0:52:38It seemed ideal for their rental portfolio and this purchase
0:52:38 > 0:52:42was a big improvement on their first foray into the market.
0:52:42 > 0:52:45- As you opened the front door, you could see the roof.- Really?
0:52:45 > 0:52:47There was no floor.
0:52:47 > 0:52:50You must have been nervous when he said,
0:52:50 > 0:52:53- "You know what? I'm going to try it again."- Just a bit, just a bit.
0:52:53 > 0:52:56How did you broach that one, then?
0:52:56 > 0:52:59- I said, "Oh, I've been to see a house."- Yes.
0:52:59 > 0:53:04We met up with Tony and Sylvie-Anne seven months later to find out
0:53:04 > 0:53:08whether they managed to bring this outdated
0:53:08 > 0:53:10property into the 21st century.
0:53:40 > 0:53:44No signs of damp and brought bang up-to-date.
0:53:44 > 0:53:49Since you last saw the house, all the doors have been changed.
0:53:49 > 0:53:52Doors, kitchen, bathroom.
0:53:52 > 0:53:57- Painting throughout, bit of electrics, bit of plumbing.- Carpets.
0:53:57 > 0:54:01The kitchen, everything was taken out.
0:54:01 > 0:54:08- New kitchen sink, cupboards, hob, new doors.- Tiling. Painting.
0:54:08 > 0:54:10The normal.
0:54:10 > 0:54:14And what about that damp patch in the kitchen? Was it straightforward?
0:54:14 > 0:54:21The damp really wasn't a problem. It was probably down to a broken tile.
0:54:21 > 0:54:24No more damp has come in, so it looks like it's fixed.
0:54:24 > 0:54:29Sylvie-Anne and Tony also opted to update the bathroom.
0:54:29 > 0:54:32We did consider leaving the bath and the sink in,
0:54:32 > 0:54:36but then decided to take everything out, put a complete new
0:54:36 > 0:54:41suite in, electric shower, mirror, shower door, brighten it up.
0:54:43 > 0:54:47The couple planned to spend £5,000-7,000 over six months.
0:54:47 > 0:54:49So, did they meet those targets?
0:54:50 > 0:54:53If you take the odd days we've been here,
0:54:53 > 0:54:57evenings and the weekend, probably about three months.
0:54:57 > 0:55:02I'd say about three. The work has been pretty hard at times
0:55:02 > 0:55:06because I've had to fit the aerial and satellite work in.
0:55:06 > 0:55:08I'd say it's cost about eight.
0:55:08 > 0:55:11Just slightly over the main budget.
0:55:11 > 0:55:14And is the plan still to let this out?
0:55:14 > 0:55:17It's on the market with an agent to let.
0:55:17 > 0:55:19There's been several people come round.
0:55:19 > 0:55:20Quite a few viewings, so we're hopeful that
0:55:20 > 0:55:23within a month there will be somebody moved in.
0:55:23 > 0:55:26I think it'll go, yes.
0:55:26 > 0:55:29Time to find out what kind of rental they could attract.
0:55:29 > 0:55:34We asked along two local estate agents to give us their thoughts.
0:55:34 > 0:55:36I've had a look around the property, I'm very impressed.
0:55:36 > 0:55:38Especially with the kitchen and the bathroom.
0:55:38 > 0:55:43They've both been newly fitted, they bring a lot of light into
0:55:43 > 0:55:46the property and they are in a very modern, contemporary style.
0:55:46 > 0:55:49I really like the property, especially
0:55:49 > 0:55:51the location of the property - it is a very, very popular street.
0:55:51 > 0:55:55Internally, the property has been done through to a good standard,
0:55:55 > 0:55:56especially in the kitchen area.
0:55:56 > 0:55:59Further improvements that could be made to this property,
0:55:59 > 0:56:02generally, reskimming of the textured wallpaper.
0:56:02 > 0:56:04It doesn't appeal to everybody,
0:56:04 > 0:56:07it's just an extra headache for people to deal with.
0:56:07 > 0:56:08But other than that, I think
0:56:08 > 0:56:10everything's been done through very nicely.
0:56:10 > 0:56:13The only thing they could do to further enhance the property
0:56:13 > 0:56:17is perhaps change the fireplaces in both reception rooms
0:56:17 > 0:56:19and re-plaster the walls.
0:56:20 > 0:56:24Having spent £8,000 renovating a house they paid
0:56:24 > 0:56:27£60,000 for at auction,
0:56:27 > 0:56:30Sylvie-Anne and Tony will be hoping for a good rental yield.
0:56:30 > 0:56:34But might it be worth selling?
0:56:34 > 0:56:37If I was to place this property onto the sales market,
0:56:37 > 0:56:41I'd market between £75,000 and £80,000.
0:56:41 > 0:56:42If we were to market the property,
0:56:42 > 0:56:46I'd suggest a figure in the region of £78,000.
0:56:46 > 0:56:50- More than expected. - Yes, top end.- Yes.
0:56:50 > 0:56:53- About 80 was what we were thinking.- Yes.
0:56:53 > 0:56:59At £80,000, the couple would make a modest pre-tax profit of £12,000.
0:56:59 > 0:57:02But what about the all-important rental figures?
0:57:02 > 0:57:04And do they match with what the couple are marketing
0:57:04 > 0:57:06the property for?
0:57:08 > 0:57:11If we were to let the property, I would suggest marketing
0:57:11 > 0:57:16the property in the region of £425 per calendar month.
0:57:16 > 0:57:19If I was to place this property onto the rental market, I would
0:57:19 > 0:57:23market somewhere in the region of £425-£450 per calendar month.
0:57:23 > 0:57:26- They're the same. - Spot on, really. Yes, spot on.
0:57:26 > 0:57:29That's what we're asking.
0:57:29 > 0:57:35And if they do get a tenant at that £450 per calendar month figure,
0:57:35 > 0:57:39that would be just under an 8% yield.
0:57:39 > 0:57:43This development was certainly easier than their first and,
0:57:43 > 0:57:48with that healthy rental income, are they keen to do another property?
0:57:48 > 0:57:51You can always have enthusiasm before you start,
0:57:51 > 0:57:55but a few months into it, it can get a bit wearing.
0:57:55 > 0:57:58I'd like to look at a third place.
0:57:59 > 0:58:00Maybe.
0:58:00 > 0:58:01THEY LAUGH
0:58:04 > 0:58:06We'll see more proud owners
0:58:06 > 0:58:08and what they've done with their properties next time.
0:58:08 > 0:58:11- Make sure you join us then for more Homes Under The Hammer.- Goodbye.
0:58:11 > 0:58:12- Goodbye.- Bye.