0:00:02 > 0:00:03Hello and welcome.
0:00:03 > 0:00:05The fast-moving property market stops for no-one,
0:00:05 > 0:00:07but don't let that prevent you from jumping aboard.
0:00:07 > 0:00:10I can't predict when it is the best time to buy
0:00:10 > 0:00:12but I can give you a great place to start.
0:00:12 > 0:00:15So, why not buy your next property under the hammer?
0:00:39 > 0:00:42Properties can sometimes be deceptive.
0:00:42 > 0:00:44They can look all right on first glance
0:00:44 > 0:00:48but it doesn't always mean they are going to be a wise investment.
0:00:48 > 0:00:51Yeah, so always do your research, view before the auction
0:00:51 > 0:00:53and you will make an informed decision.
0:00:53 > 0:00:56Yes, so were the buyers on today's show as prepared
0:00:56 > 0:00:59as they needed to be? Here's what they bought.
0:01:00 > 0:01:03Coming up...have these developers in Glasgow really thought it through?
0:01:03 > 0:01:06So you nipped out, hadn't seen the properties,
0:01:06 > 0:01:09- hadn't seen the legal packs, bought three properties.- Yeah.
0:01:09 > 0:01:13In Hastings, some blue-sky thinking could be needed for this pub.
0:01:13 > 0:01:15Whoever comes in here,
0:01:15 > 0:01:18I'm sure it is a case of ripping it all out and starting over again.
0:01:20 > 0:01:24And in Stoke, is buying this flat a bit of a no-brainer?
0:01:24 > 0:01:27There's not a lot of work that needs doing in this flat.
0:01:27 > 0:01:29It would be a doddle to turn this around.
0:01:31 > 0:01:34All of these properties have been sold at auction.
0:01:34 > 0:01:37We'll find out who bought them at what they paid for them
0:01:37 > 0:01:39when they went under the hammer.
0:01:39 > 0:01:40Well done.
0:01:43 > 0:01:46I'm going west today, to the west of Scotland
0:01:46 > 0:01:51and four miles from Glasgow city centre, the area of Scotstoun.
0:01:51 > 0:01:54Property here is very popular with families,
0:01:54 > 0:01:56due to its mix of villas and flats,
0:01:56 > 0:02:00as well as the school catchment area and a 20 minute train ride
0:02:00 > 0:02:03to the city centre from nearby Scotstounhill station.
0:02:04 > 0:02:08Scotstoun shares the boundary with the district of Yoker,
0:02:08 > 0:02:10where the property is a little less popular
0:02:10 > 0:02:13and therefore a little less pricey.
0:02:13 > 0:02:15# Go west
0:02:15 > 0:02:17# Life is peaceful there
0:02:17 > 0:02:19# Go west
0:02:19 > 0:02:21# In the open air
0:02:21 > 0:02:23# Go west
0:02:23 > 0:02:25# Where the skies are blue
0:02:25 > 0:02:27# Go west
0:02:27 > 0:02:29# This is what we're gonna do... #
0:02:31 > 0:02:33Well, the property I'm here to see
0:02:33 > 0:02:36is on the cusp of Scotstoun and Yoker
0:02:36 > 0:02:39and for that reason, it's reasonably priced.
0:02:39 > 0:02:44One bad thing, this is your only entrance down this little lane.
0:02:44 > 0:02:48Certainly no access at the front where there's a bus lane.
0:02:48 > 0:02:50But it is an upper flat conversion.
0:02:50 > 0:02:53Guide price is 40,000 to 50,000 quid.
0:02:53 > 0:02:56Let's go up the stairs and see what we can find.
0:03:05 > 0:03:08Well, even before you get in, bit of maintenance required.
0:03:08 > 0:03:12As you can see, the guttering is dripping there,
0:03:12 > 0:03:16annoyingly right where you walk in. So, yeah, get that sorted.
0:03:16 > 0:03:19Into this little entrance area and straightaway,
0:03:19 > 0:03:21ooh, feels a bit cramped.
0:03:21 > 0:03:25And why, oh, why, would someone put in a lowered, false ceiling
0:03:25 > 0:03:28when the actual ceiling is so much higher?
0:03:28 > 0:03:30Yuck! Not sensible at all
0:03:30 > 0:03:32but two bedrooms, believe it or not.
0:03:32 > 0:03:36A fairly tiny one there. Bathroom there.
0:03:36 > 0:03:39I say bathroom - it's a loo and just a shower.
0:03:39 > 0:03:41No bath, so it feels a bit cramped.
0:03:41 > 0:03:46That's a slightly bigger bedroom so that's, well, semi-good news.
0:03:46 > 0:03:49It all changes when you come into this part of the flat, though.
0:03:49 > 0:03:51That bit there, not good.
0:03:51 > 0:03:54This bit here, well, it's not a bad living space.
0:03:54 > 0:03:56There's a bay window there,
0:03:56 > 0:03:58although it does look out onto that fairly busy road.
0:03:58 > 0:04:01But this kitchen area here with a breakfast bar,
0:04:01 > 0:04:03it's making the most of this space.
0:04:03 > 0:04:06It's almost like it's a flat of two halves, isn't it?
0:04:06 > 0:04:10A bit bleurgh over there. Actually, OK over here.
0:04:10 > 0:04:15I think some internal figuring out needs to be done.
0:04:15 > 0:04:18Well, the obvious thing might be to knock out the shower room,
0:04:18 > 0:04:20making the kitchen even more roomy
0:04:20 > 0:04:24and then use the smaller bedroom to create a good-sized bathroom.
0:04:24 > 0:04:27But as well as the cost of the work, you would be losing a bedroom,
0:04:27 > 0:04:31so do your calculations, as it may not be worth it.
0:04:33 > 0:04:40Well, about 20 metres from the rear of the property is a serious problem.
0:04:40 > 0:04:44Now, I'm a great fan of foliage, greenery, trees,
0:04:44 > 0:04:46all that kind of stuff, but this is one leaf -
0:04:46 > 0:04:49or one plant, or leaf of one plant -
0:04:49 > 0:04:52he says, eventually getting it right -
0:04:52 > 0:04:55that you really need to emblazon into your memory.
0:04:55 > 0:04:59That, dear viewer, is Japanese knotweed.
0:05:00 > 0:05:03It is a nightmare.
0:05:03 > 0:05:06The fact that it's so close to the property, yeah,
0:05:06 > 0:05:10that is a serious issue that needs to be addressed.
0:05:10 > 0:05:14# It's not unusual to see me cry
0:05:14 > 0:05:17# I want to die... #
0:05:17 > 0:05:19You are not wrong, Tom.
0:05:19 > 0:05:22Japanese knotweed can grow to the height of two adults
0:05:22 > 0:05:26in about ten weeks and its roots are incredibly invasive -
0:05:26 > 0:05:30so strong that can compromise the structure of a building.
0:05:32 > 0:05:35It can be removed but you need to take advice
0:05:35 > 0:05:36because you could go to prison
0:05:36 > 0:05:39if you don't deal with the contaminated soil properly,
0:05:39 > 0:05:40or you can be prosecuted
0:05:40 > 0:05:43for causing a private nuisance if you let it spread.
0:05:46 > 0:05:48The very fact of its existence near a property
0:05:48 > 0:05:50can make lenders very nervous
0:05:50 > 0:05:53and could scupper your chances of a mortgage.
0:05:53 > 0:05:56And the bad news isn't over.
0:05:58 > 0:06:02Well, at the front of the property, two fairly big issues.
0:06:02 > 0:06:05Number one, a very busy main road.
0:06:05 > 0:06:10Number two, a significant structural issue with the flat itself.
0:06:10 > 0:06:13If you look above the window there, you'll see a lintel.
0:06:13 > 0:06:15It's got a crack in the middle of it.
0:06:15 > 0:06:17That will need to be replaced
0:06:17 > 0:06:19and it will also need to be replaced in keeping
0:06:19 > 0:06:21with the rest of the building,
0:06:21 > 0:06:23so you are going to have to find a piece of sandstone
0:06:23 > 0:06:27like that and repair whatever other damage is going on, up on that roof.
0:06:27 > 0:06:29Sounds expensive to me.
0:06:29 > 0:06:32And how do I know that there's damage on the roof?
0:06:32 > 0:06:36Well, I don't, but I can take a good guess
0:06:36 > 0:06:41and brace yourself, dear viewer, because a rant is coming.
0:06:41 > 0:06:43Inside here, there are large patches of damp
0:06:43 > 0:06:46that, combined with the fact that it looks like
0:06:46 > 0:06:50the original ceiling's been damaged, and covered over,
0:06:50 > 0:06:52to me screams leaky roof.
0:06:52 > 0:06:55I suspect those false ceilings are just a cheap way
0:06:55 > 0:06:58to ignore a bigger problem, and let's be honest,
0:06:58 > 0:07:01ignoring problems does not make them go away.
0:07:01 > 0:07:05There's a reason we use the phrase papering over the cracks.
0:07:05 > 0:07:09Anyway, now you've heard my opinion, in no uncertain terms,
0:07:09 > 0:07:11what does a local estate agent think?
0:07:14 > 0:07:16Needs a lot of work.
0:07:16 > 0:07:19Needs a lot of attention before anyone would either buy it
0:07:19 > 0:07:20or rent it, I think.
0:07:20 > 0:07:25In my opinion, I wouldn't change anything structurally-wise.
0:07:25 > 0:07:29I would renovate it to a standard where it wouldn't be too high,
0:07:29 > 0:07:33so that first-time buyers would consider it.
0:07:33 > 0:07:35And after renovation, what does he think this flat,
0:07:35 > 0:07:39guided at £40,000 to £50,000 could achieve on the open market?
0:07:41 > 0:07:44In my opinion, on the rental market, it would look to achieve
0:07:44 > 0:07:48somewhere between £400 and £450 per calendar month.
0:07:48 > 0:07:52On the open sales market, I would expect it to achieve
0:07:52 > 0:07:56somewhere between £70,000 and £75,000.
0:07:58 > 0:08:00Well, a bit of an unusual one this.
0:08:00 > 0:08:03A flat that definitely could do with a bit of refurbishment.
0:08:03 > 0:08:08But it's in a desirable location and a pretty attractive guide price.
0:08:08 > 0:08:10I am sure it attracted a lot of interest
0:08:10 > 0:08:12when it went under the hammer.
0:08:12 > 0:08:16£40,000-£50,000 your guide, two-bedroom upper flat,
0:08:16 > 0:08:18requires a degree of upgrading.
0:08:18 > 0:08:20Where shall we start?
0:08:20 > 0:08:23At 45 am I bid? 40?
0:08:23 > 0:08:26At 40,000... 40 here. At 40 I'm bid.
0:08:26 > 0:08:29At £40,000, are we done?
0:08:29 > 0:08:31At £40,000, then.
0:08:31 > 0:08:34First time at 40, second time at 40.
0:08:34 > 0:08:3641. 42?
0:08:36 > 0:08:3843? 44?
0:08:38 > 0:08:4045? 46?
0:08:40 > 0:08:4247? 48?
0:08:42 > 0:08:44You're out. With you at 47, sir.
0:08:44 > 0:08:48On the aisle at £47,000.
0:08:48 > 0:08:50Half, anyone?
0:08:50 > 0:08:53If not then I'm selling it at £47,000.
0:08:53 > 0:08:56First time, second time,
0:08:56 > 0:08:59third and final time, are we done?
0:08:59 > 0:09:01Well done, sir. Yeah, I've got you.
0:09:03 > 0:09:08The successful bid of £47,000 made towards the end of the auction day
0:09:08 > 0:09:13came from Bud, on behalf of his work colleague and friend Janet.
0:09:13 > 0:09:17They both work in IT, and Bud, who owns a couple of properties,
0:09:17 > 0:09:20is being her adviser.
0:09:20 > 0:09:21We met them before on the show
0:09:21 > 0:09:25when they worked on Janet's first project, bought at that auction.
0:09:25 > 0:09:27They bought three in all
0:09:27 > 0:09:29and I've met up with them to find out about this one.
0:09:33 > 0:09:35- Janet, Bud, good to see you. - Hello!- Hiya.
0:09:35 > 0:09:39Congratulations. Tell me why you wanted to buy this flat.
0:09:39 > 0:09:41Used to the area, being in Scotstoun.
0:09:41 > 0:09:43Thought it was in a great location
0:09:43 > 0:09:46and it was coming in at quite a reasonable price.
0:09:46 > 0:09:49- Did you see beforehand?- No. - Doyyy! Why?
0:09:50 > 0:09:55I had been on holiday and, erm, I thought, "Och, it'll be OK."
0:09:55 > 0:09:58Erm, and obviously it wasn't really but, erm,
0:09:58 > 0:10:01that was...that was my initial thought.
0:10:01 > 0:10:06So what did you say to yourself when you walked through the door?
0:10:06 > 0:10:08Well, before I had walked through the door
0:10:08 > 0:10:10I hadn't looked at the legal pack or...
0:10:10 > 0:10:13- You hadn't looked at the legal pack either?- Or the survey.
0:10:13 > 0:10:15Do you close your eyes and walk across main roads
0:10:15 > 0:10:19- and hope it will be all right?- I was having a bit of fun, to be honest.
0:10:19 > 0:10:22It could have cost a lot of money, this bit of fun.
0:10:22 > 0:10:26So, when I had went home and I had read the pack
0:10:26 > 0:10:29and the survey report, I thought, that's not too bad.
0:10:29 > 0:10:32- This is after you bought it? - After I'd bought it.- Right, fine.
0:10:32 > 0:10:34And then I had drove over
0:10:34 > 0:10:37and then we had saw the crack in the lintel and then, erm,
0:10:37 > 0:10:41was getting a mortgage, so I had to get another survey done,
0:10:41 > 0:10:46and that survey, erm, had quite a different picture.
0:10:46 > 0:10:49# I see trouble.
0:10:49 > 0:10:51# Up the road... #
0:10:51 > 0:10:55Janet's survey revealed a nasty surprise.
0:10:55 > 0:10:56The surveyor valued the flat
0:10:56 > 0:10:59at £2,000 less than Janet had paid at auction
0:10:59 > 0:11:03and rather less than the previous home-report value
0:11:03 > 0:11:07of £75,000 contained in the legal pack.
0:11:07 > 0:11:09Home reports contain a survey,
0:11:09 > 0:11:12an energy report and other information about the property,
0:11:12 > 0:11:15but they need to be renewed after 12 weeks,
0:11:15 > 0:11:18so they can become out of date.
0:11:18 > 0:11:22The change in valuation meant Janet had to make up the shortfall
0:11:22 > 0:11:26by borrowing money from her two sons and from Bud.
0:11:26 > 0:11:28But then, that's what buds are for!
0:11:28 > 0:11:31Janet's survey also pointed out the lintel,
0:11:31 > 0:11:35so Janet's going to get a structural engineer to look at it,
0:11:35 > 0:11:38and then there's the knotweed issue.
0:11:38 > 0:11:40So when I investigated on the internet
0:11:40 > 0:11:42they're saying the surrounding premises
0:11:42 > 0:11:46may have to put a barrier screen in to prevent ingress,
0:11:46 > 0:11:48but it is purely root ingress in the UK,
0:11:48 > 0:11:51you don't get seed or pollination through the air,
0:11:51 > 0:11:53- so it is able to be stopped.- Right.
0:11:53 > 0:11:56Although that's not to say it won't cost you £1,000
0:11:56 > 0:11:58or something like that. It just adds to the cost.
0:11:58 > 0:12:02So tell me what you're going to do to the flat then?
0:12:02 > 0:12:06I think the plan is to get a builder in and strip it out,
0:12:06 > 0:12:09that's what it needs, a total refit.
0:12:09 > 0:12:13- Right.- There's no heating, so it needs heating as well.
0:12:13 > 0:12:15Possibility - I'm not sure about the double glazing,
0:12:15 > 0:12:19if that needs replaced, but it needs a substantial amount of work done
0:12:19 > 0:12:21to it to bring it up to reasonable standards.
0:12:21 > 0:12:24What kind of budget have you set aside?
0:12:24 > 0:12:26- SHE SIGHS - We're thinking...
0:12:26 > 0:12:31- Lots of sighing in your responses, you notice that?- Hopefully...
0:12:31 > 0:12:33Make the questions easier!
0:12:33 > 0:12:35- Between... - They're not exactly hard, are they?
0:12:35 > 0:12:37We're hoping 10,000,
0:12:37 > 0:12:41but we're thinking it might actually be 15, but we're hoping ten.
0:12:41 > 0:12:44Depends what they have to do to get that lintel sorted, doesn't it?
0:12:44 > 0:12:47- Exactly.- And the roof.- And the roof.
0:12:47 > 0:12:53- OK, so what is the timescale then? - I think four months.
0:12:53 > 0:12:56I think we probably won't start any work
0:12:56 > 0:13:01- for about six weeks, due to doing some work on the other flats.- OK.
0:13:01 > 0:13:05But I think once we start it's a good four months.
0:13:05 > 0:13:07'Janet plans to rent her properties out,
0:13:07 > 0:13:11'but how did she come to buy three at once?'
0:13:11 > 0:13:14We were at work and we'd went up to the auction during lunch.
0:13:14 > 0:13:17- So you bought this on your lunch hour?- Yeah.
0:13:17 > 0:13:19So you nipped out from work, went to the auction,
0:13:19 > 0:13:21hadn't seen the properties,
0:13:21 > 0:13:23hadn't had the legal packs, bought three properties?
0:13:23 > 0:13:27- HE did!- He did? I love the way she's blaming you!
0:13:27 > 0:13:29I always get the blame.
0:13:29 > 0:13:32CHUCKLING: 'Well, apparently Buds are there to take the blame too.
0:13:32 > 0:13:35'Is Bud relaxed about this project?'
0:13:35 > 0:13:40I think with most of these places, once we get the structural survey,
0:13:40 > 0:13:42put it right, I don't think we'll lose much,
0:13:42 > 0:13:45and it always sounds more daunting than it is.
0:13:45 > 0:13:47- Well, thank you for sharing the story.- Thanks very much.
0:13:47 > 0:13:49At least you're still smiling.
0:13:49 > 0:13:53- Have to.- Good to meet you. - Thanks very much.- You too.
0:13:53 > 0:13:55- Thank you, cheers. - Good luck with it.
0:13:57 > 0:14:00Well, Janet and Bud are laughing about it now,
0:14:00 > 0:14:02but clearly they made a lot of mistakes
0:14:02 > 0:14:05when it comes to buying properties at auction.
0:14:05 > 0:14:08Not reading the legal pack is an absolute no-no,
0:14:08 > 0:14:10not visiting the property beforehand...
0:14:10 > 0:14:14is just not sensible at all - and to do it three times on the same day!
0:14:14 > 0:14:17Oh, blimey.
0:14:17 > 0:14:19How will they get on sorting this place out?
0:14:21 > 0:14:23You can find out later in the show.
0:14:27 > 0:14:31We're on the south coast now, in the town of Hastings.
0:14:31 > 0:14:34The Victorian seaside resort is well-known,
0:14:34 > 0:14:37but I have a soft spot for the Old Town,
0:14:37 > 0:14:40which is nestled in a valley to the east of the centre.
0:14:40 > 0:14:43Its shingle beach still houses Europe's biggest fleet
0:14:43 > 0:14:45of beach-launched fishing boats,
0:14:45 > 0:14:48and altogether has a cool, bohemian feel.
0:14:49 > 0:14:52This property is under a mile from Hastings' Old Town,
0:14:52 > 0:14:56and has probably played host to thousands of the local residents
0:14:56 > 0:14:58at one time or another.
0:14:58 > 0:15:00"Why?" I hear you ask.
0:15:00 > 0:15:04Well, up until about a year ago, it was a local pub.
0:15:04 > 0:15:09With a guide price of between £150-175,000,
0:15:09 > 0:15:12and three whole floors to play with, and loads of rooms,
0:15:12 > 0:15:14and presumably a bar,
0:15:14 > 0:15:17I can't wait to see what surprises this one holds.
0:15:20 > 0:15:22It's a sad fact of recent history
0:15:22 > 0:15:25that lots of local pubs are shutting down,
0:15:25 > 0:15:28so there may be a few properties like this
0:15:28 > 0:15:30on the market in coming years.
0:15:30 > 0:15:33Well, this is the main bar, and like most bars,
0:15:33 > 0:15:36it's a big open-plan space.
0:15:36 > 0:15:38And it's wonderful!
0:15:38 > 0:15:42Look at these beautiful windows, gosh, letting in so much light -
0:15:42 > 0:15:43I love them.
0:15:43 > 0:15:44But whoever comes in here,
0:15:44 > 0:15:50I am sure it is a case of ripping it all out and starting again.
0:15:50 > 0:15:52Gin and tonic, please. Lovely.
0:15:54 > 0:15:55It's water.
0:15:57 > 0:16:01# I would like just one glass of water... #
0:16:01 > 0:16:05- LAUGHING:- Yes, well, water is all that's on tap here now.
0:16:05 > 0:16:09But if the bar may be limited in its choice of refreshments,
0:16:09 > 0:16:11the building isn't short on space,
0:16:11 > 0:16:14with a large rear lounge to go along with the main bar area.
0:16:14 > 0:16:19And there's the obligatory toilets, and numerous other rooms.
0:16:19 > 0:16:20And of course, in the basement,
0:16:20 > 0:16:22a large cellar for all the beverages.
0:16:22 > 0:16:25And as far as exploring the building is concerned,
0:16:25 > 0:16:26this is just the aperitif.
0:16:29 > 0:16:32Upstairs, it is VAST.
0:16:32 > 0:16:35Look at this wonderful wide hallway, you've got lots of rooms
0:16:35 > 0:16:39leading off, there is so much character everywhere.
0:16:39 > 0:16:43And in this room, well, look, you've got this original fireplace
0:16:43 > 0:16:46still intact, which is fabulous, another beautiful window.
0:16:46 > 0:16:49But here's an interesting thing - years ago,
0:16:49 > 0:16:50this pub was three different houses,
0:16:50 > 0:16:53but what I'm going to tell you now is the most important thing,
0:16:53 > 0:16:54so listen up.
0:16:54 > 0:16:57This already has planning permission
0:16:57 > 0:17:02to convert it back into one house and two flats.
0:17:02 > 0:17:06So this really is a development opportunity staring you in the face.
0:17:08 > 0:17:10The building is in a conservation area,
0:17:10 > 0:17:12so with planning permission passed,
0:17:12 > 0:17:15that's one very important hurdle already crossed.
0:17:15 > 0:17:18My only concern would be, is two flats
0:17:18 > 0:17:21and a house really the best option for all these rooms?
0:17:22 > 0:17:25I think I need to take a look outside to check the state of play.
0:17:27 > 0:17:29OK, it is a bit mind-boggling.
0:17:29 > 0:17:32From the front you can see two storeys,
0:17:32 > 0:17:36and the cellar is underground in the front part of the basement level.
0:17:36 > 0:17:38But from the back there's four storeys.
0:17:38 > 0:17:41The two lower ones actually belong to a flat which the buyer
0:17:41 > 0:17:43will hold the lease for.
0:17:43 > 0:17:46It's not ideal, as you won't own the whole building.
0:17:48 > 0:17:51If this is to be a residential development,
0:17:51 > 0:17:55whoever takes this on will certainly have their work cut out.
0:17:55 > 0:17:58The other slight negative here is that the garden
0:17:58 > 0:18:00is overlooked by the occupied flat,
0:18:00 > 0:18:02and the presence of the flat makes the available space
0:18:02 > 0:18:06in the rest of the building slightly odd in configuration.
0:18:06 > 0:18:08Hence why two flats and a house
0:18:08 > 0:18:11were considered the best way to subdivide the building.
0:18:16 > 0:18:19But is that really the best option?
0:18:19 > 0:18:22What does the local property expert think?
0:18:23 > 0:18:29Front elevation is desirable, you've got some nice original features
0:18:29 > 0:18:32and size-wise, it is very generous.
0:18:32 > 0:18:33Looking round the building,
0:18:33 > 0:18:36you've got some obvious damp penetration problems,
0:18:36 > 0:18:37which may be costly,
0:18:37 > 0:18:43and I would certainly be looking to get some quotations in that respect.
0:18:44 > 0:18:47So if the conversion to two flats and a house was carried out,
0:18:47 > 0:18:49what kind of values might we see?
0:18:51 > 0:18:53For a three-bedroom house with the garden,
0:18:53 > 0:18:58I would like to achieve £190-200,000.
0:18:58 > 0:19:02For the pair of two-bedroom flats, I don't believe there would be
0:19:02 > 0:19:08a garden area for those, so you're probably looking at £110-120,000.
0:19:08 > 0:19:12Rent-wise, if we're looking to let them out,
0:19:12 > 0:19:17for the three-bedroom house we'd look to achieve £750-800,
0:19:17 > 0:19:23and for the pair of two-bedroom flats, £600-650 per-calendar-month.
0:19:31 > 0:19:35What an amazing property, three whole floors of opportunity here,
0:19:35 > 0:19:40but who has the time and the money to take on such a challenge?
0:19:40 > 0:19:44Is it last orders for this pub? Let's go to auction and find out.
0:19:47 > 0:19:50Lot 116, and we move down to the south coast.
0:19:50 > 0:19:54It's a freehold, former public house with planning permission
0:19:54 > 0:19:59for change of use, to provide one house and two self-contained flats.
0:19:59 > 0:20:05Opening bid at 150, please, on 116, 150 anywhere? Yes, 150 I have.
0:20:05 > 0:20:0752-and-a-half, anyone?
0:20:07 > 0:20:1152-and-a-half there, thank you. 155?
0:20:11 > 0:20:14All right, 55. 57-and-a-half?
0:20:14 > 0:20:1757-and-a-half. 160?
0:20:17 > 0:20:19160. 62-and-a-half?
0:20:19 > 0:20:2262-and-a-half. 165?
0:20:22 > 0:20:28165. Sorry, you behind actually, 167,500. So 170?
0:20:28 > 0:20:31170. 72-and-a-half, either of you?
0:20:31 > 0:20:3372-and-a-half. 175?
0:20:33 > 0:20:36175. 77-and-a-half?
0:20:36 > 0:20:38No.
0:20:38 > 0:20:43On the wall at 175. Against you both there - anybody else?
0:20:43 > 0:20:46First time then at 175...
0:20:46 > 0:20:48second time then, against you here, any more?
0:20:48 > 0:20:52Third and last time at £175,000, your bid, on my left,
0:20:52 > 0:20:53against you there.
0:20:53 > 0:20:56175...
0:20:56 > 0:20:58Yours, sir. Well done. 175.
0:21:00 > 0:21:06And so for £175,000, the Belmont Hotel was bought by Jason.
0:21:06 > 0:21:10I was intrigued to know what he had planned for such a large building.
0:21:10 > 0:21:12- Jason, congratulations. - Thank you very much.
0:21:12 > 0:21:14What a fantastic pub in a great location.
0:21:14 > 0:21:17Well, it's gorgeous, yeah, I absolutely love it.
0:21:17 > 0:21:21So why did you want to buy this? What took your eye?
0:21:21 > 0:21:24As soon as I walked in, I just love the building,
0:21:24 > 0:21:27and it has a lot of space and is in a good location,
0:21:27 > 0:21:28so it's just gorgeous.
0:21:28 > 0:21:31Interestingly, this is a great development opportunity
0:21:31 > 0:21:35for anybody, the plans are that it's for a house
0:21:35 > 0:21:37and two two-bed flats,
0:21:37 > 0:21:40so what are your plans, are you going to stick with that?
0:21:40 > 0:21:44- No, I plan to turn it just into residential for myself.- Really?
0:21:44 > 0:21:47So you're just going to push aside the plans
0:21:47 > 0:21:49somebody's worked very hard on to get that,
0:21:49 > 0:21:52and you're going to develop it into a house for yourself?
0:21:52 > 0:21:56Yes, because I just love the space, I think it's perfect for me.
0:21:56 > 0:21:59So how much experience have you got with doing something like this?
0:21:59 > 0:22:00- Erm, practically none.- What?!
0:22:00 > 0:22:03I thought you were going to say, "Oh, yes, I'm an architect..."
0:22:03 > 0:22:06So you've never done anything like this before?
0:22:06 > 0:22:10Well, I've done little jobs, I lived with my parents before,
0:22:10 > 0:22:14I worked on their old houses on the inside, wallpapering,
0:22:14 > 0:22:17things like that, odd jobs here and there.
0:22:17 > 0:22:20Oh, it's a bit different to what you're going to be doing here.
0:22:20 > 0:22:24Yeah, certainly, it's a bit overwhelming at the moment.
0:22:25 > 0:22:27I'm not surprised Jason is feeling overwhelmed,
0:22:27 > 0:22:29this is a huge project
0:22:29 > 0:22:32and he's going to have to start from scratch and reapply
0:22:32 > 0:22:33for planning permission
0:22:33 > 0:22:35because he wants to turn it into a single house.
0:22:35 > 0:22:38But he does have a friend who's an architect who can help him
0:22:38 > 0:22:40make sense of the building.
0:22:41 > 0:22:43Come on, tell me your plans.
0:22:43 > 0:22:45How's it going to look, how's it going to feel,
0:22:45 > 0:22:47how many bedrooms are you going to have?
0:22:47 > 0:22:50Well, I see it on two levels, I'll work on the upstairs first
0:22:50 > 0:22:53and turn it into five bedrooms, put an en-suite in,
0:22:53 > 0:22:58really do it up to a reasonable standard,
0:22:58 > 0:23:02and after that's done I will work down here and turn it
0:23:02 > 0:23:06into a real open-plan area, with the kitchen where the bar is.
0:23:06 > 0:23:08- Mm.- And I hope to have the arrangement
0:23:08 > 0:23:12of the kitchen be similar to how the bar is at the moment.
0:23:12 > 0:23:15And the function room I'll turn into the lounge,
0:23:15 > 0:23:19and a sort of dining area out the front.
0:23:19 > 0:23:22So how many walls are you knocking down?
0:23:22 > 0:23:25Basically, I'm just going to knock out the back of the bar,
0:23:25 > 0:23:28and apart from that I'm just going to...
0:23:28 > 0:23:31I think I'm just going to leave all the walls up as they are.
0:23:31 > 0:23:34- So, structurally, nothing much will change in here?- No, no.
0:23:34 > 0:23:38How much do you think you can do this for then?
0:23:38 > 0:23:41I have a budget of I think about £50,000,
0:23:41 > 0:23:46and every time I walk around I see more work that needs doing,
0:23:46 > 0:23:47but we'll just have to see.
0:23:47 > 0:23:51A £50,000 budget is tremendously optimistic,
0:23:51 > 0:23:54and I think Jason knows it.
0:23:54 > 0:23:57It's a starting point, and he plans to do some of the work piecemeal,
0:23:57 > 0:24:01gradually working through the building to get it how he wants it.
0:24:01 > 0:24:03So, Jason, tell me,
0:24:03 > 0:24:06how much time are you going to be able to give this project?
0:24:06 > 0:24:10A lot of time, I can work... I will be living here,
0:24:10 > 0:24:12and I can do my business from home,
0:24:12 > 0:24:15so I can work on the house at the same time.
0:24:15 > 0:24:17So tell me about your business.
0:24:17 > 0:24:20Well, I sell things on the internet, I have a business there,
0:24:20 > 0:24:24but I'm also an artist, I paint pictures,
0:24:24 > 0:24:26and I'll use the house to...
0:24:26 > 0:24:29My paintings, I paint the fishing boats on the beach,
0:24:29 > 0:24:33so it's part of my life.
0:24:33 > 0:24:35Hopefully Jason will continue to find inspiration
0:24:35 > 0:24:37for his work in the Old Town.
0:24:37 > 0:24:41It's a lovely place, and Hastings clearly has his heart.
0:24:41 > 0:24:43Born in London, grew up in Hastings,
0:24:43 > 0:24:45lived down in the Old Town for about 30 years,
0:24:45 > 0:24:48and then I moved up to Birmingham for 12 years,
0:24:48 > 0:24:50so I'm returning to where I grew up.
0:24:50 > 0:24:52Wow, so it's almost like you're coming home, really?
0:24:52 > 0:24:55- Yes, basically, yes. - Did you ever visit this pub?
0:24:55 > 0:24:59- Erm, I drank in this pub about two years ago, yes.- Seriously?!
0:24:59 > 0:25:03- Wow.- I never realised I was going to own it at one point.
0:25:03 > 0:25:06Can you imagine sitting down with your pint of lager thinking,
0:25:06 > 0:25:08"Wow, I'm going to be living here one day"?
0:25:08 > 0:25:10Yes, yeah, amazing, really.
0:25:10 > 0:25:12So tell me what your friends and family think?
0:25:12 > 0:25:15Do they think it's exciting or that you're completely crazy?
0:25:15 > 0:25:17A bit of both, a bit of both.
0:25:17 > 0:25:19But I think the ones with vision
0:25:19 > 0:25:22can see it's a wonderful opportunity and it's lovely.
0:25:22 > 0:25:24We could talk forever about this project -
0:25:24 > 0:25:26how long do you think it's going to take you?
0:25:26 > 0:25:30I'm giving myself six months, see what happens in six months.
0:25:30 > 0:25:33OK, so six months and £50,000, I can't wait to see the outcome.
0:25:33 > 0:25:35It's been lovely talking to you today, thank you.
0:25:35 > 0:25:38Thank you very much.
0:25:38 > 0:25:42What an amazing project, to turn a public house into a home!
0:25:42 > 0:25:45My concern is Jason has no experience
0:25:45 > 0:25:48and only a £50,000 budget.
0:25:48 > 0:25:52He's certainly got the creative spirit of an artist,
0:25:52 > 0:25:55but not the business mind and time constraints of a property developer.
0:25:55 > 0:25:59How will he get on? What will this place look like?
0:25:59 > 0:26:01I can't wait to find out.
0:26:01 > 0:26:05Join me later in the programme and you can see for yourselves.
0:26:06 > 0:26:10Will this Stoke property be problem-free for this developer?
0:26:10 > 0:26:14- What have you got to do to this place?- Not a lot.- Exactly!
0:26:14 > 0:26:16That's why I bought it.
0:26:16 > 0:26:20But in Hastings, has Jason bitten off more than he can chew?
0:26:20 > 0:26:23It's been a huge learning curve,
0:26:23 > 0:26:26I'm still overwhelmed by just how much work there is.
0:26:30 > 0:26:32Back now to Scotstoun on the west side of Glasgow,
0:26:32 > 0:26:37and what turned out to be a problematic property.
0:26:37 > 0:26:42It's £40-50,000 guide price seemed very tempting for a two-bed flat
0:26:42 > 0:26:44in a desirable district,
0:26:44 > 0:26:47but sometimes if things seem too good to be true...
0:26:47 > 0:26:51A cracked lintel suggested structural or roof issues,
0:26:51 > 0:26:56and just over the road, the kind of greenery you don't want.
0:26:56 > 0:27:03THAT...dear viewer, is Japanese knotweed. It is a nightmare.
0:27:03 > 0:27:06The fact that it's so close to the property,
0:27:06 > 0:27:09yep, that is a serious issue that needs to be addressed.
0:27:09 > 0:27:12# You're really growing on me... #
0:27:14 > 0:27:17It was bought for £47,000 by Janet,
0:27:17 > 0:27:21who was taking on the development with help from her colleague Bud.
0:27:22 > 0:27:25She actually bought three properties at the auction, but...well,
0:27:25 > 0:27:28let's just say they weren't the most prepared.
0:27:30 > 0:27:33We were at work and we'd went up to the auction during lunch.
0:27:33 > 0:27:35So, you nipped out from work, went to the auction,
0:27:35 > 0:27:38hadn't seen the properties, hadn't had the legal packs,
0:27:38 > 0:27:39bought three properties.
0:27:39 > 0:27:41- He did!- He did!
0:27:41 > 0:27:42I always get the blame.
0:27:42 > 0:27:47- # And don't look back, baby - Don't look back
0:27:47 > 0:27:50# And don't look back
0:27:50 > 0:27:52# Oh, yeah... #
0:27:52 > 0:27:53Oh, dear.
0:27:53 > 0:27:55Neither of them knew about the roof problems,
0:27:55 > 0:27:59the lintel or the knotweed until after they'd bought it -
0:27:59 > 0:28:03but Janet was staying positive and trying to look forward.
0:28:03 > 0:28:07She'd budgeted £10-15,000 to sort this place out,
0:28:07 > 0:28:10and hoped the work could be completed in four months.
0:28:13 > 0:28:16Well, ten months later, we're back.
0:28:16 > 0:28:20Have Janet and Bud managed to rescue this difficult dwelling?
0:28:26 > 0:28:29Well, one look will tell you they certainly have.
0:28:29 > 0:28:34There's been a complete redecoration, with cleaning, new plastering,
0:28:34 > 0:28:37carpets and a new central heating system.
0:28:38 > 0:28:40It looks much better -
0:28:40 > 0:28:44and let's be honest, the decoration was the least of their worries.
0:28:44 > 0:28:47How did they tackle all the work to get to this stage?
0:28:49 > 0:28:52What we did is, because of the broken lintel
0:28:52 > 0:28:55and the leaks in the roof, we got an engineer in
0:28:55 > 0:28:58just to look and check to see how bad the damage was.
0:28:58 > 0:29:00He assured me that the problem was localised,
0:29:00 > 0:29:02and it was the stone was just weakening
0:29:02 > 0:29:04because of the age of the property.
0:29:04 > 0:29:07He said we would have to get the lintel repaired fairly quickly,
0:29:07 > 0:29:10so we went ahead, got the stonemason in,
0:29:10 > 0:29:13he fixed the lintel, he put a big angle iron,
0:29:13 > 0:29:15bolted the stone together,
0:29:15 > 0:29:18and patched up any of the gaps, cracks and holes,
0:29:18 > 0:29:20and made it sound.
0:29:20 > 0:29:23He says it's due to last another 100 years,
0:29:23 > 0:29:24so it should be OK.
0:29:24 > 0:29:29I can't emphasise how good it is that that lintel could be repaired,
0:29:29 > 0:29:31and didn't have to replaced.
0:29:31 > 0:29:33Still, you take your luck where you can find it.
0:29:33 > 0:29:35So, it's lintel - check.
0:29:35 > 0:29:38Now, what about the roof that was letting in the damp?
0:29:40 > 0:29:41I got a roofer in to check it out.
0:29:41 > 0:29:44The roofer actually invited me up on the roof with him -
0:29:44 > 0:29:46I had a good look about,
0:29:46 > 0:29:49and the roofs are solid on the adjoining premises and in our own,
0:29:49 > 0:29:53and it's just wear and tear, and needed general maintenance.
0:29:53 > 0:29:55He said that the chimneys were both uncapped,
0:29:55 > 0:29:59but also a lot of the leading and flashing had broken away,
0:29:59 > 0:30:02and so he's fixed that, and the leaks have gone,
0:30:02 > 0:30:04so quite happy with that.
0:30:04 > 0:30:06Another tick in the box.
0:30:06 > 0:30:10Mind you, if that roof and those chimneys had been better maintained,
0:30:10 > 0:30:14Bud and Janet wouldn't have had nearly as much work to do
0:30:14 > 0:30:16sorting out that damp and those ceilings.
0:30:19 > 0:30:23Now, last but - ahem - not least, what about that knotweed?
0:30:24 > 0:30:28The Japanese knotweed that's obviously just at the boundary,
0:30:28 > 0:30:32we've been e-mailing the local council over a period of time,
0:30:32 > 0:30:36and they agree that that weed, it's on their land,
0:30:36 > 0:30:39so there's a three-year programme to remove that,
0:30:39 > 0:30:41and that goes between April and October every year,
0:30:41 > 0:30:43but it'll take three years resolve it.
0:30:43 > 0:30:45So, with all the sorted,
0:30:45 > 0:30:48would Janet buy more properties without even viewing them?
0:30:48 > 0:30:52I would suggest not to do that, and I won't be doing it again.
0:30:53 > 0:30:55Well, I'm glad she said it.
0:30:55 > 0:30:58Since we were last here, rather than just advise,
0:30:58 > 0:31:01Bud has gone into partnership with Janet,
0:31:01 > 0:31:05so that they pool their resources and split the workload -
0:31:05 > 0:31:07and although it's been ten months,
0:31:07 > 0:31:10they've only been working on this property for four,
0:31:10 > 0:31:12deciding to renovate the other properties
0:31:12 > 0:31:13they bought at auction first,
0:31:13 > 0:31:17as they could get them onto the market quicker, and generate income.
0:31:17 > 0:31:20But have the kept to their budget?
0:31:20 > 0:31:24We had a budget, we reckon, between 10 and 15,000,
0:31:24 > 0:31:27and if we had went out to get somebody to do the work for us,
0:31:27 > 0:31:29then we'd have exceeded that,
0:31:29 > 0:31:32so we did quite a lot of the work ourselves -
0:31:32 > 0:31:35any of the manual stuff, the kitchen, the bathroom,
0:31:35 > 0:31:36some of the basic plumbing,
0:31:36 > 0:31:41which then brought the overall price in about £11,200.
0:31:41 > 0:31:43Well, I'm impressed -
0:31:43 > 0:31:47but having spent £47,000 buying the property at auction,
0:31:47 > 0:31:51will their hard work be enough for them to make a profit?
0:31:51 > 0:31:54We've asked along two local property experts to get their opinion.
0:31:56 > 0:31:59Well, this is my second visit to the property,
0:31:59 > 0:32:02and I'm very impressed with what's been done internally,
0:32:02 > 0:32:05and the property is in a good location.
0:32:05 > 0:32:08I think this property would appeal to both first-time buyers
0:32:08 > 0:32:09and investors.
0:32:09 > 0:32:12Well, you can see there's been extensive work done to the property,
0:32:12 > 0:32:14inside and out.
0:32:14 > 0:32:17It's been a full refurb, plasterboard, the electrics,
0:32:17 > 0:32:19central heating, carpets, the lot,
0:32:19 > 0:32:21and so they've done a really good job.
0:32:21 > 0:32:25So, having spent a total of £58,200,
0:32:25 > 0:32:28what could Bud and Janet expect,
0:32:28 > 0:32:31were they put the property on the open market?
0:32:32 > 0:32:33In the sales market,
0:32:33 > 0:32:37I expect the property to achieve somewhere in the region of £70,000.
0:32:37 > 0:32:39If you were to sell the property now,
0:32:39 > 0:32:42I would estimate that the general value on home report
0:32:42 > 0:32:44would be around about £75,000.
0:32:44 > 0:32:47And in the rentals market, I would expect to achieve
0:32:47 > 0:32:51somewhere in the region of £450 per calendar month.
0:32:51 > 0:32:56I would estimate rental value to be around £450 per calendar month.
0:32:56 > 0:32:57I think rental,
0:32:57 > 0:33:01we had always hoped for somewhere between £400 a month and 450,
0:33:01 > 0:33:05so if these boys are saying 450, that suits me.
0:33:05 > 0:33:10No wonder Bud approves - that would give them a yield of just over 9%,
0:33:10 > 0:33:13which isn't bad at all, given how this could have turned out -
0:33:13 > 0:33:17and Bud has spotted that the excellent sales valuation
0:33:17 > 0:33:21could mean some cash freed up for their next project.
0:33:23 > 0:33:25I think the higher sales figure
0:33:25 > 0:33:27hopefully means when we've got a mortgage,
0:33:27 > 0:33:29it'll be a higher mortgage,
0:33:29 > 0:33:30so it means we can get more properties
0:33:30 > 0:33:32to keep to the rental market.
0:33:32 > 0:33:34That means we might be able to buy two!
0:33:34 > 0:33:37- Better one at a time! - Rather then one.
0:33:37 > 0:33:39Oh, Janet!
0:33:43 > 0:33:47Hanley, as regular Homes Under The Hammer viewers will know by now,
0:33:47 > 0:33:50is one of the six towns that makes up Stoke-on-Trent...
0:33:50 > 0:33:52but what you might not know,
0:33:52 > 0:33:54as well as being famous for the Potteries,
0:33:54 > 0:33:58it was also home to the late, great Sir Stanley Matthews - legend.
0:34:01 > 0:34:03So, just two miles outside the centre of Hanley
0:34:03 > 0:34:05is the property I'm here to see -
0:34:05 > 0:34:08it's a ground-floor, one-bedroom apartment
0:34:08 > 0:34:10with a guide price of £44,000 plus,
0:34:10 > 0:34:13let's get inside and see what you get for your money.
0:34:14 > 0:34:18Before that, I've got two little bonuses for you.
0:34:18 > 0:34:22The first is that the property comes with its own allocated parking spot.
0:34:22 > 0:34:24Very handy.
0:34:24 > 0:34:26And the second - it's got its own entrance.
0:34:30 > 0:34:33Nice carpet in this hallway.
0:34:33 > 0:34:36Got a bit of storage heating there...
0:34:36 > 0:34:39And in here we have got the airing cupboard -
0:34:39 > 0:34:43and there seems to be a slight leak in there, nothing major.
0:34:43 > 0:34:45The bathroom looks in good condition.
0:34:45 > 0:34:48Reasonably modern, as well.
0:34:48 > 0:34:51Bedroom just there, which is a good-sized bedroom.
0:34:51 > 0:34:53Kitchen - again, in good condition.
0:34:53 > 0:34:55You wouldn't have to change the kitchen at all.
0:34:55 > 0:34:58Bit of elbow grease in there, and I think you would be fine -
0:34:58 > 0:35:00and your lounge is here.
0:35:00 > 0:35:03Could think about taking that wall out, but for me,
0:35:03 > 0:35:05I'd keep it in, because of the smells, keep 'em all in the kitchen.
0:35:05 > 0:35:10What I have noticed is there's only heating in the hallway -
0:35:10 > 0:35:13nothing in here, nothing in the bedroom, as well -
0:35:13 > 0:35:16which is pretty strange for a reasonably modern flat.
0:35:16 > 0:35:18So, if you're thinking of this,
0:35:18 > 0:35:20you must have to factor that into your budget.
0:35:20 > 0:35:24Apart from that, it'd be a doddle to turn this round.
0:35:24 > 0:35:28# Something tells me I'm into something good
0:35:28 > 0:35:31# Something tells me I'm into something
0:35:31 > 0:35:34# Something tells me I'm into something... #
0:35:34 > 0:35:37I don't want to get ahead of myself, because it's not perfect,
0:35:37 > 0:35:39and little jobs do have a habit of mounting up,
0:35:39 > 0:35:42but as far as an investment property goes,
0:35:42 > 0:35:44I think this could be a safe bet.
0:35:46 > 0:35:49There's not a lot of work that needs doing in this flat,
0:35:49 > 0:35:54but in my experience, if it seems too good to be true, it often is.
0:35:54 > 0:35:55Don't take things for granted -
0:35:55 > 0:35:59for instance, I would've expected to have seen central heating in here -
0:35:59 > 0:36:00there isn't any.
0:36:00 > 0:36:02Check the electric, check the gas -
0:36:02 > 0:36:04not to mention management fees, rates,
0:36:04 > 0:36:08ground rents - all that information should be in the legal pack.
0:36:08 > 0:36:11Make sure you read the legal pack.
0:36:11 > 0:36:14Having said all that, there really isn't that much to be done here,
0:36:14 > 0:36:17and I'm finding it hard to see how you could add value.
0:36:17 > 0:36:20So, I think you're talking about a rental property.
0:36:20 > 0:36:24Doing a bit of research, one-bedroom apartments in this area
0:36:24 > 0:36:27are pulling in around £400 per calendar month.
0:36:27 > 0:36:31If you get it for anywhere near the guide price of £44,000,
0:36:31 > 0:36:33you're looking at a yield of around 10%,
0:36:33 > 0:36:36which I think's a fantastic return for any investor.
0:36:38 > 0:36:41On further investigation, I found that the annual ground rent
0:36:41 > 0:36:47here is £400, and the service charge is 490, so, just under £800 a year.
0:36:49 > 0:36:51Considering the possible yield here,
0:36:51 > 0:36:54I don't think it would put anybody off.
0:36:54 > 0:36:57Plus, there's 970 years left on the lease,
0:36:57 > 0:37:02as it was only renewed in 1994, so no problems there.
0:37:02 > 0:37:05What would a local estate agent make of this one-bedroom flat
0:37:05 > 0:37:08that is guided at £44,000?
0:37:10 > 0:37:12I'm particularly impressed with this property,
0:37:12 > 0:37:15because it doesn't look as though there's much that needs doing.
0:37:15 > 0:37:18Perhaps maybe a lick of paint and a couple of new carpets,
0:37:18 > 0:37:21and the new front door, and then I think it'll be ready to market.
0:37:21 > 0:37:24I think that this property will appeal mostly for the rental market,
0:37:24 > 0:37:26for single people and couples,
0:37:26 > 0:37:28and also for, possibly, students,
0:37:28 > 0:37:32which are close to the Staffordshire University.
0:37:33 > 0:37:36But what kind of values is he expecting
0:37:36 > 0:37:38once the flat has been spruced up?
0:37:38 > 0:37:40If we were to sell the property,
0:37:40 > 0:37:44I would to mark it at a figure in the regions of £70-75,000.
0:37:44 > 0:37:48For rental I would look at £400 per calendar month.
0:37:49 > 0:37:51There's very little that needs doing to this apartment.
0:37:51 > 0:37:53If I'm being ultra picky,
0:37:53 > 0:37:55you've got that little leak in the airing cupboard -
0:37:55 > 0:37:58but apart from that, lick of paint, new carpets,
0:37:58 > 0:38:00give it a bit of a clean and I think you'd be up and running.
0:38:00 > 0:38:03Let's see who went for it when it went under the hammer.
0:38:03 > 0:38:06Resold ground floor apartment, it's one-bedroom, double glazing
0:38:06 > 0:38:09and an allocated parking space.
0:38:09 > 0:38:1140 to start?
0:38:11 > 0:38:15One bedroom. 40 bid, thank you, at £40,000.
0:38:15 > 0:38:1642, can I see now?
0:38:16 > 0:38:1942. At 42.
0:38:19 > 0:38:2144.
0:38:21 > 0:38:2446. 46,000.
0:38:24 > 0:38:29With the bids now rising steadily, we rejoin the bidding at £52,000.
0:38:29 > 0:38:3152 - 52.
0:38:31 > 0:38:3253.
0:38:32 > 0:38:3454.
0:38:34 > 0:38:3555.
0:38:35 > 0:38:3756.
0:38:37 > 0:38:39No? At 56. Second row at £56,000.
0:38:39 > 0:38:4157 anywhere else?
0:38:41 > 0:38:43At 56.
0:38:44 > 0:38:47You're back in. 57.
0:38:47 > 0:38:48No?
0:38:48 > 0:38:5157, against the back wall at £57,000, then.
0:38:51 > 0:38:53All done now?
0:38:53 > 0:38:55£57,000 once...
0:38:55 > 0:38:57£57,000 twice...
0:38:57 > 0:39:01Third and final time, £57,000...
0:39:01 > 0:39:03- GAVEL BANGS - You bought it, sir, well done.
0:39:06 > 0:39:08That successful bid of £57,000
0:39:08 > 0:39:12belonged to seasoned property renovator Shaun.
0:39:12 > 0:39:15With his own letting agency in nearby Newcastle-under-Lyme,
0:39:15 > 0:39:19and a long history in renovation, I was eager to meet him
0:39:19 > 0:39:23to find out his plans for his latest acquisition.
0:39:23 > 0:39:26- Shaun, nice to meet you. Congratulations, sir.- Thank you.
0:39:26 > 0:39:29What have you got to do to this place?
0:39:29 > 0:39:31- Not a lot!- Exactly!
0:39:31 > 0:39:32That's why I bought it.
0:39:32 > 0:39:35Is that why, is that one of the attractive things that...
0:39:35 > 0:39:37- No...- ..sucked you in, so to speak, to this?
0:39:37 > 0:39:38What interested me -
0:39:38 > 0:39:41the low maintenance once you've got them, easy to let,
0:39:41 > 0:39:42that's it, really -
0:39:42 > 0:39:45and obviously the fact that you haven't got to do much work,
0:39:45 > 0:39:47it's just bonus and bonus, really.
0:39:47 > 0:39:49- And did you view it before you bid?- Yes.
0:39:49 > 0:39:50- Is that one of your rules?- Yes.
0:39:50 > 0:39:52- It's one of our rules, as well! - Most definitely!
0:39:52 > 0:39:54- I'm glad you've stuck with it. - Most definitely.
0:39:54 > 0:39:57You've been doing it for some time, now, haven't you,
0:39:57 > 0:39:59- property renting?- Yeah, I've been renting properties,
0:39:59 > 0:40:02renting...I've got a small portfolio myself,
0:40:02 > 0:40:05I've been renting now for quite some time since the '90s.
0:40:05 > 0:40:07I've got me own letting agency,
0:40:07 > 0:40:09and that's been going ten years now, so...
0:40:09 > 0:40:12So, do you go to auction just to buy to rent,
0:40:12 > 0:40:14or do you look to sell as well?
0:40:14 > 0:40:17Er...I have bought properties in the past to sell,
0:40:17 > 0:40:20but I'm not a very good seller, I tend to...
0:40:20 > 0:40:21DION LAUGHS I tend to keep them.
0:40:21 > 0:40:23I've got the ready market there -
0:40:23 > 0:40:26obviously through my letting agency I've got tenants,
0:40:26 > 0:40:28I can get tenants quite easily. I make sure - and I tend...
0:40:28 > 0:40:31I think I know the variety I use to buy,
0:40:31 > 0:40:34so, you know, once you've got them, why get rid of them?
0:40:34 > 0:40:36So, does that depend on the area that you buy in?
0:40:36 > 0:40:39It might be a better selling area than it is a renting area -
0:40:39 > 0:40:40does that bother you?
0:40:40 > 0:40:45Yeah - yes and no, I mean, I've got a mixed bag in me portfolio,
0:40:45 > 0:40:47which I'd like to think a mixed bag -
0:40:47 > 0:40:54HMOs down to one-bed apartments, flats, so, varied, but...
0:40:55 > 0:40:57I've got certain rules that I don't buy -
0:40:57 > 0:41:01for example, on a main road, I tend not to buy,
0:41:01 > 0:41:05and little rules like that that I follow -
0:41:05 > 0:41:08but therefore maximising your chance of getting rid
0:41:08 > 0:41:09if you need to get rid.
0:41:09 > 0:41:12I mean, I have sold properties, but I don't like it.
0:41:12 > 0:41:15- Yeah, I tend to keep 'em.- Keep hold of them. Keep them as yours.- Yeah.
0:41:15 > 0:41:17And that's your pension. That's what you're talking about, isn't it?
0:41:17 > 0:41:20That's the pension, yeah, or, you know, sell up and go and live...
0:41:20 > 0:41:22DION LAUGHS ..live on a beach
0:41:22 > 0:41:23when you're a little bit older.
0:41:23 > 0:41:26- Which would be nice!- Yes. - Which is the plan!- Yeah, it is.
0:41:26 > 0:41:28Most definitely, yes.
0:41:28 > 0:41:30# Beach baby, beach baby
0:41:30 > 0:41:31# There on the sand
0:41:31 > 0:41:35# From July to the end of September... #
0:41:37 > 0:41:39Before Shaun gets his flip-flops on, though,
0:41:39 > 0:41:43he will need to do a little bit of work on this one-bed flat, won't he?
0:41:43 > 0:41:45Stick some paint, couple of storage heaters,
0:41:45 > 0:41:47new front door -
0:41:47 > 0:41:50front door's been damaged, possibly a bit of vandalism -
0:41:50 > 0:41:51that's it.
0:41:51 > 0:41:53Is there anything here that you've seen
0:41:53 > 0:41:56that you've thought, "Oh, I didn't know that was there."
0:41:56 > 0:41:58Yeah, I've just noticed that the header tank was leaking.
0:41:58 > 0:41:59- So...- Oh, OK.
0:41:59 > 0:42:02Yeah, but I don't I don't think that's a major job.
0:42:02 > 0:42:05- No, it's...- I've already phoned the plumber, drained the system...
0:42:05 > 0:42:07- Oh, so you're on it already.- So...
0:42:07 > 0:42:09Asked for advice from my plumber, yes.
0:42:09 > 0:42:11So, just for that little bit of plumbing work,
0:42:11 > 0:42:14little bit of a leak, you paint,
0:42:14 > 0:42:16I don't know - carpets, are you changing the carpets, as well?
0:42:16 > 0:42:19- Carpets, yes.- Storage heaters - how much will that cost you?
0:42:19 > 0:42:24- What's your budget?- I'm looking in the region of about £1,700.
0:42:24 > 0:42:27- Give or take a couple of hundred. - Mm-hm.
0:42:27 > 0:42:30£2,000, I'll be...
0:42:30 > 0:42:33I'll be disappointed if I've spent that much.
0:42:33 > 0:42:35With Shaun so confident, he'll be disappointed
0:42:35 > 0:42:38if he's spending his £2,000.
0:42:38 > 0:42:40His son will be doing the painting and decorating,
0:42:40 > 0:42:45his cousin is a plumber, and his timescale is - well, it's just days.
0:42:46 > 0:42:48Just in case you thought he was hanging about,
0:42:48 > 0:42:50he already has a tenant sorted.
0:42:52 > 0:42:55I was going to put the property on the market for 425,
0:42:55 > 0:42:59hoping to get around the 400, 410.
0:42:59 > 0:43:03I have got a tenant who currently rent through my company,
0:43:03 > 0:43:07but he needed a ground floor for health reasons,
0:43:07 > 0:43:10so, they want to move in here...
0:43:10 > 0:43:12And because I know him,
0:43:12 > 0:43:15they're actually moving in at a rent of 390.
0:43:15 > 0:43:20- OK.- I don't mind taking a hit for £20-£30 when you know them,
0:43:20 > 0:43:22because it lessens the risk, somewhat,
0:43:22 > 0:43:26of any problem tenants, cos I know they'll look after it right.
0:43:26 > 0:43:28And you're helping someone out, as well. Nice feeling, that.
0:43:28 > 0:43:29Yeah, yeah. Yeah.
0:43:29 > 0:43:32- Shaun, I wish you all the best. - Thank you.
0:43:32 > 0:43:34- Good luck.- Thank you, thank you.
0:43:34 > 0:43:35Shaun's very experienced.
0:43:35 > 0:43:37He's got his own letting agency
0:43:37 > 0:43:39and when it comes to finding the right property,
0:43:39 > 0:43:40I think he's done it again.
0:43:40 > 0:43:42Very little needs to be done here.
0:43:42 > 0:43:44I think this'll be a doddle for Shaun.
0:43:44 > 0:43:47You can find out how he gets on later on in the show.
0:43:50 > 0:43:53So, we've seen how the story turned out for buyer number one,
0:43:53 > 0:43:55but we still have two more tales to tell.
0:43:55 > 0:43:59Yes - will money be made when all is said and done?
0:43:59 > 0:44:01Let's take a closer look.
0:44:04 > 0:44:06Back to the seaside now and this former pub
0:44:06 > 0:44:11in Hastings' Old Town with a guide price of £150,000-£175,000.
0:44:13 > 0:44:17Set over three floors, inside, it had everything you'd expect
0:44:17 > 0:44:18of a classic British pub,
0:44:18 > 0:44:22plus, out the back, there was a large garden.
0:44:22 > 0:44:24That wasn't all this place had to offer, though.
0:44:26 > 0:44:29This already has planning permission
0:44:29 > 0:44:33to convert it back into one house and two flats,
0:44:33 > 0:44:37so this really is a development opportunity staring you in the face.
0:44:37 > 0:44:40# I hear your footsteps in the street
0:44:40 > 0:44:42# Won't be long before we meet
0:44:43 > 0:44:45# It's obvious... #
0:44:47 > 0:44:50Just you hold on there a minute, Mr Aztec Camera.
0:44:50 > 0:44:53Though it's a brilliant bonus that the planning's in place
0:44:53 > 0:44:54for a house and two flats,
0:44:54 > 0:44:57it doesn't necessarily mean it's the only option -
0:44:57 > 0:45:01and, indeed, artist Jason had a different plan in mind
0:45:01 > 0:45:05when he bought the property for 175,000.
0:45:05 > 0:45:09Jason had been raised in Hastings and wanted to turn it
0:45:09 > 0:45:12into his dream home, but it's going to be a big project.
0:45:12 > 0:45:14Was he ready for this?
0:45:14 > 0:45:18So, how much experience have you got with doing something like this?
0:45:18 > 0:45:20- Um, practically none.- What?!
0:45:20 > 0:45:23I thought you were going to say, "Yes, I'm an architect and..."
0:45:23 > 0:45:25So you've never done anything like this before?
0:45:25 > 0:45:28It's a bit overwhelming.
0:45:28 > 0:45:30# Y'all ready for this? #
0:45:30 > 0:45:34Well, ready or not, Jason had given himself £50,000
0:45:34 > 0:45:36and thought it would take about six months.
0:45:36 > 0:45:38So, time to get cracking.
0:45:43 > 0:45:48After eight months, we've returned to see how Jason's getting along.
0:45:51 > 0:45:54Well, the good news is that Jason's planning application
0:45:54 > 0:45:57to turn this into one residential property
0:45:57 > 0:45:59went through without a problem,
0:45:59 > 0:46:04but I think it's safe to say the project is...um, well, ongoing.
0:46:04 > 0:46:06How's Jason found it all?
0:46:07 > 0:46:09HE LAUGHS
0:46:09 > 0:46:12Well, it's really slow progress, the whole procedure.
0:46:12 > 0:46:16What you think will take two hours seems to take about two days.
0:46:16 > 0:46:19It's been a huge learning curve
0:46:19 > 0:46:24and I'm still overwhelmed by just how much work there is to do on it.
0:46:24 > 0:46:28Oh, dear. I did warn him this would be a very big job.
0:46:28 > 0:46:32So, what's Jason been doing over the last eight months?
0:46:32 > 0:46:34Needed the roof fixing,
0:46:34 > 0:46:36cos there was damp coming in in various places.
0:46:36 > 0:46:39Some of the ceilings were in a worse state of repair
0:46:39 > 0:46:41that I thought they were, so I've had to take four down
0:46:41 > 0:46:45and had them re-boarded and replastered.
0:46:45 > 0:46:48I've stripped the top floor of all its wallpaper.
0:46:48 > 0:46:54I've done some work to the garden and stripped 15 doors of the paint.
0:46:56 > 0:46:58Jason's done a lot of the work himself,
0:46:58 > 0:47:01only calling on professionals for the specialist jobs,
0:47:01 > 0:47:04such as plastering, rewiring and plumbing.
0:47:04 > 0:47:08With any redevelopment, a property throws up surprise issues,
0:47:08 > 0:47:10and this is a large property -
0:47:10 > 0:47:13and it's been throwing up quite a few surprises!
0:47:15 > 0:47:17Looking at the...the pipework,
0:47:17 > 0:47:21I realised that there were live gas pipes running through the property,
0:47:21 > 0:47:23so I've had to have those sealed
0:47:23 > 0:47:25and just having the gas piped to the boiler.
0:47:25 > 0:47:28The boiler is in good condition, so I don't have to replace that.
0:47:28 > 0:47:31But I have had to replace the water tank,
0:47:31 > 0:47:34which was an added expense I didn't expect.
0:47:34 > 0:47:37I've been away, but I've been told, since I've been away,
0:47:37 > 0:47:40that I've got a family of bats in the roof,
0:47:40 > 0:47:43so that's an added...well, not problem,
0:47:43 > 0:47:45cos I quite like them being there.
0:47:45 > 0:47:48I just have to see what I have to do with them next.
0:47:48 > 0:47:51# Upside down
0:47:51 > 0:47:53# Boy, you turn me... #
0:47:53 > 0:47:55I'm glad Jason's an animal lover,
0:47:55 > 0:47:58because it is in fact illegal to get rid of bats,
0:47:58 > 0:48:02either by killing them or to damage or block up their roosts.
0:48:02 > 0:48:06Bats tend to be seasonal creatures, so won't necessarily be there
0:48:06 > 0:48:10all year round, but the roosts are protected, even when they're absent.
0:48:10 > 0:48:15Still, there's one silver lining - bats eat lots of annoying insects.
0:48:16 > 0:48:19Back to the project in hand - Jason started with the roof
0:48:19 > 0:48:22and is now working his way down through the property,
0:48:22 > 0:48:25room by room, and wait for it...
0:48:25 > 0:48:28One of the bedrooms is finished!
0:48:28 > 0:48:30Well, almost.
0:48:33 > 0:48:37Artist Jason also runs an online sales business.
0:48:37 > 0:48:40How has he got on, managing all these different projects?
0:48:42 > 0:48:44Since I've been here, I've had no time to paint.
0:48:44 > 0:48:47I've turned a bit of the function room
0:48:47 > 0:48:49into a work space where I can...
0:48:49 > 0:48:52Got a desk set up, so I can work there.
0:48:52 > 0:48:55I've turned the beer cellar into a bit of a stock room,
0:48:55 > 0:48:58and I've just tried to carry on doing my business.
0:48:58 > 0:49:00It's been very difficult.
0:49:00 > 0:49:02# Something's gotta give, something's gotta give
0:49:02 > 0:49:05# Something's gotta give... #
0:49:06 > 0:49:10Jason will work away, hoping to have a bathroom plumbed in within a month
0:49:10 > 0:49:14and thinks it'll take another six or seven months to complete.
0:49:14 > 0:49:17I was a bit worried about his optimistic budget of 50 grand -
0:49:17 > 0:49:19how's it going so far?
0:49:21 > 0:49:25I've spent about £12,000 on the property so far.
0:49:25 > 0:49:28I think the £50,000 is still optimistic.
0:49:28 > 0:49:31I think it will go beyond that, in the end.
0:49:31 > 0:49:34But at the moment, I'm keeping to it, which is great.
0:49:34 > 0:49:37It's a wonderful house, light and airy,
0:49:37 > 0:49:40and really looking forward to getting on with it
0:49:40 > 0:49:42and finishing it and living here.
0:49:43 > 0:49:45That's what we like to hear,
0:49:45 > 0:49:48but I now want to hear the thoughts of two local estate agents.
0:49:48 > 0:49:52How do they think Jason's mammoth task is coming along?
0:49:53 > 0:49:57I like the property. Obviously, a lot of work needs to be done to it,
0:49:57 > 0:50:00but I think once it's finished, it's going to look very, very nice.
0:50:00 > 0:50:02In this area, with the garden
0:50:02 > 0:50:04and the size of the rooms, it's going to look very nice.
0:50:04 > 0:50:05I think you'd be surprised,
0:50:05 > 0:50:10when you factor in the time and costings to renovate the home
0:50:10 > 0:50:12together with the purchase price,
0:50:12 > 0:50:16there could still be a very healthy profit sum at the end
0:50:16 > 0:50:17if he does decide to sell.
0:50:19 > 0:50:22Well, let's test that by getting some resale valuations.
0:50:22 > 0:50:25Jason bought the property for 175,000
0:50:25 > 0:50:30and if he sticks to his budget, he will have invested 225,000.
0:50:30 > 0:50:33So, what could it sell for when finished?
0:50:33 > 0:50:35Once this property's finished,
0:50:35 > 0:50:40it will sell in the region of £325,000-£350,000.
0:50:40 > 0:50:44In terms of resale, I would value the house
0:50:44 > 0:50:48at £300,000-£350,000, based on current market conditions.
0:50:48 > 0:50:53Wow, that's, um... Yeah, a surprise. Yeah, that's really nice, yeah.
0:50:53 > 0:50:55Jason may have no plans to sell this house,
0:50:55 > 0:50:59but it's always reassuring to know there's equity in a property
0:50:59 > 0:51:02and, using those higher valuations, if he decided to sell,
0:51:02 > 0:51:08Jason could have a potential pre-tax profit of £125,000.
0:51:08 > 0:51:11I can't wait to come back and see the house when it is finished,
0:51:11 > 0:51:15but knowing what he does know now, if he was back in the auction house,
0:51:15 > 0:51:18would he still take on this massive endeavour?
0:51:20 > 0:51:23Yes, I'd certainly go for it again, certainly do it again.
0:51:23 > 0:51:27But then maybe you should ask me again in a few months' time.
0:51:34 > 0:51:37Time to return to Hanley in Stoke-on-Trent,
0:51:37 > 0:51:41where I was looking at a rather nice one-bed ground-floor apartment.
0:51:42 > 0:51:44Guided at £44,000 plus,
0:51:44 > 0:51:48it had the benefits of its own parking space and main entrance.
0:51:49 > 0:51:52There was very little in the way of central heating
0:51:52 > 0:51:55and a small leak in the water tank, but with good-sized rooms
0:51:55 > 0:51:59in good condition, there wasn't too much else that needed to be done.
0:51:59 > 0:52:01# Too much, never too much
0:52:01 > 0:52:03# Never too much, never too much... #
0:52:06 > 0:52:11It was bought for £57,000 by Shaun, who owns his own letting agency.
0:52:11 > 0:52:15The experienced developer thought this was an ideal purchase
0:52:15 > 0:52:18for making a good yield, and was eager to complete what
0:52:18 > 0:52:20little work was needed as soon as possible.
0:52:20 > 0:52:24Is there anything here that you've seen that you've thought,
0:52:24 > 0:52:26"I didn't know that was there"?
0:52:26 > 0:52:29Yeah - I just noticed that the header tank was leaking.
0:52:29 > 0:52:31I've already phoned the plumber to drain the system.
0:52:31 > 0:52:34Oh, so you're on it already? What's your budget?
0:52:34 > 0:52:36I'm looking in the region of about £1,700.
0:52:36 > 0:52:39£2,000 - I'd be disappointed is I spent that much.
0:52:45 > 0:52:49Shaun thought he could get this turned around in just a week.
0:52:49 > 0:52:53I had very little reason to doubt him but remember,
0:52:53 > 0:52:56in property developing, things don't always go to plan.
0:52:56 > 0:52:58How has Sean got on?
0:53:02 > 0:53:03Well, it's time to find out.
0:53:03 > 0:53:05Three weeks later, and we've returned.
0:53:19 > 0:53:22Well, the flat certainly looks much brighter and cleaner.
0:53:22 > 0:53:24So, what exactly has Shaun done?
0:53:25 > 0:53:28The place has been decorated and as you can see,
0:53:28 > 0:53:32new carpets fitted throughout the property.
0:53:32 > 0:53:35We've also had a new casement on the front door,
0:53:35 > 0:53:37which was damaged previously.
0:53:37 > 0:53:43There was a leak, which we spotted previously, off the tank.
0:53:43 > 0:53:47The leak was the overflow pipe, which apparently was not
0:53:47 > 0:53:52fastened to the tank, so basically, plumber's fitted a new pipe.
0:53:52 > 0:53:55And I think that pretty much sums it up.
0:53:56 > 0:53:59But Shaun said he was going to install new heating -
0:53:59 > 0:54:00so, where is it?
0:54:01 > 0:54:04Yeah, that's the storage heater for the bedroom,
0:54:04 > 0:54:06obviously a smaller one in the lounge.
0:54:06 > 0:54:08The heating that was in the property
0:54:08 > 0:54:13when we purchased it at the auction, there was just two electric heaters,
0:54:13 > 0:54:17which...not really very economical and not really sufficient,
0:54:17 > 0:54:20so we've put economy storage heaters in,
0:54:20 > 0:54:23which hopefully will improve the property
0:54:23 > 0:54:25and also keep tenants happy.
0:54:25 > 0:54:28# It's all been done
0:54:28 > 0:54:29# Woo-hoo-hoo
0:54:29 > 0:54:32# It's all been done... #
0:54:34 > 0:54:38They may have just been little jobs, but he's got them all done.
0:54:38 > 0:54:40His experience is showing.
0:54:40 > 0:54:43He's done the work that'll make this flat appealing to tenants,
0:54:43 > 0:54:47but hasn't squandered money on jobs that won't add value.
0:54:47 > 0:54:51The bathroom, like the other rooms, has had a lick of paint.
0:54:51 > 0:54:55I did contemplate replacing the tiles and putting brighter,
0:54:55 > 0:54:57flashier tiles in the bathroom, but...
0:54:57 > 0:54:59Won't affect the rental income, in my opinion.
0:54:59 > 0:55:03So the tiles have stayed the same, just had a good scrub up.
0:55:04 > 0:55:06This all seems to have been far too easy.
0:55:06 > 0:55:09Has he had any problems at all?
0:55:09 > 0:55:11Pretty straightforward, no problems whatsoever.
0:55:11 > 0:55:13The biggest pain, really,
0:55:13 > 0:55:17was getting rid of the stickers that were in the bathroom, which is...
0:55:17 > 0:55:20If that's the only problem we've got, happy days.
0:55:20 > 0:55:23# These days are ours
0:55:23 > 0:55:25- # Happy and free - Oh, happy days
0:55:25 > 0:55:28# These days are ours
0:55:28 > 0:55:31- # Share them with me - Oh, happy days... #
0:55:31 > 0:55:33Happy days, indeed, Shaun.
0:55:33 > 0:55:35After making it sound so easy,
0:55:35 > 0:55:38I hope he stuck to his budget of £1,700.
0:55:39 > 0:55:41We spent £1,580.
0:55:44 > 0:55:46Not only that, but the work took a total of nine days
0:55:46 > 0:55:51over a two-week period, so he's come in on time, too.
0:55:51 > 0:55:52Shaun has made this look easy,
0:55:52 > 0:55:55but he does have years of experience,
0:55:55 > 0:55:58experience he has used to get the right property for him
0:55:58 > 0:56:00at the right price.
0:56:00 > 0:56:03Once you get that, everything else becomes much easier.
0:56:05 > 0:56:08Talking of property experience, it's time we found out
0:56:08 > 0:56:13from two local property experts what they thought of Shaun's investment.
0:56:14 > 0:56:16This is my second time in the property.
0:56:16 > 0:56:19I'm particularly impressed with the high level of finish,
0:56:19 > 0:56:22especially in the bedroom and the lounge.
0:56:22 > 0:56:24I know that there wasn't that much that he needed to do,
0:56:24 > 0:56:27but what he has done, he's done to a great standard.
0:56:27 > 0:56:29There would be strong demand from both a sale
0:56:29 > 0:56:31and a rental point of view.
0:56:31 > 0:56:33I think particularly on the rental side,
0:56:33 > 0:56:37it would be a property you could let very quickly and very easily.
0:56:38 > 0:56:42So having bought the property for £57,000 at auction
0:56:42 > 0:56:45and having spent just under 1,600 on the renovation,
0:56:45 > 0:56:49what the property be worth if it was put on the open market?
0:56:50 > 0:56:51If we were to sell the property,
0:56:51 > 0:56:56I would look to market at a figure between £70,000-£75,000.
0:56:56 > 0:56:59I would place this property in the open market
0:56:59 > 0:57:01in the region of £70,000.
0:57:01 > 0:57:05If we were to rent the property, I would look to put it on the market
0:57:05 > 0:57:10at a figure between £375 and £400 per calendar month.
0:57:10 > 0:57:13I would anticipate a likely rental income
0:57:13 > 0:57:15in the region of £400 per calendar month.
0:57:16 > 0:57:20Having spent just under £58,600,
0:57:20 > 0:57:25those top values would give Shaun a pre-tax profit of £16,400.
0:57:25 > 0:57:29But it was the rent that Shaun was more interested in.
0:57:29 > 0:57:32Although the original tenant changed their mind,
0:57:32 > 0:57:37he's already secured another tenant, charging £410 per calendar month.
0:57:38 > 0:57:40With this being such a success for Shaun,
0:57:40 > 0:57:43what advice would he give other would-be developers?
0:57:44 > 0:57:47My advice is always seek professional advice,
0:57:47 > 0:57:51both before you purchase a property and after.
0:57:51 > 0:57:55The advice, nine times out of ten, that you can get from professionals
0:57:55 > 0:57:57can steer you away from potential pitfalls.
0:58:02 > 0:58:03Well, that's it for today's show,
0:58:03 > 0:58:07but there are plenty more properties and owners where they came from.
0:58:07 > 0:58:10Yeah - join us next time to find out who bid and what they bought.
0:58:10 > 0:58:12We'll see you then for more Homes Under The Hammer.
0:58:12 > 0:58:14- Bye for now.- Bye.- Bye.