0:00:02 > 0:00:04Hello. Now, property bargains are out there,
0:00:04 > 0:00:05but they can be easier to find
0:00:05 > 0:00:07in some parts of the country than others.
0:00:07 > 0:00:11Yeah, so if you are looking for all the options in your area,
0:00:11 > 0:00:12hm, I've got an idea for you.
0:00:12 > 0:00:16Yeah, Martin, are you talking about visiting your local property auction?
0:00:42 > 0:00:45Auction buyers could have a couple grand to spend
0:00:45 > 0:00:46or a couple of million.
0:00:46 > 0:00:48Yeah, but they're all on the hunt for a bargain.
0:00:48 > 0:00:52So, did today's buyers find what they were looking for?
0:00:54 > 0:00:56Coming up, we return to this land in Kent
0:00:56 > 0:00:58to see what's been developing.
0:00:58 > 0:01:00It already has planning permission
0:01:00 > 0:01:04for two new properties to be built here.
0:01:04 > 0:01:06I'm worried this development in Lincolnshire
0:01:06 > 0:01:08could take a turn for the worst.
0:01:08 > 0:01:09Lisha hadn't seen it...
0:01:09 > 0:01:10Sorry, whoa, whoa, whoa.
0:01:10 > 0:01:12You hadn't seen it before you bought it?
0:01:14 > 0:01:17And at this commercial property in Nottinghamshire,
0:01:17 > 0:01:19I'm taking the flexible approach.
0:01:19 > 0:01:21..and have a gym downstairs,
0:01:21 > 0:01:24a bit of yoga and Pilates upstairs.
0:01:26 > 0:01:28All of 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 > 0:01:34- when they went under the hammer. - Sold.
0:01:36 > 0:01:39MUSIC: New World Symphony, Largo by Antonin Dvorak
0:01:42 > 0:01:44Time now to step back into
0:01:44 > 0:01:47Homes Under The Hammer's distant past.
0:01:49 > 0:01:51Well, 2014 if you want to be specific.
0:01:51 > 0:01:53# Now I'm on the outside... #
0:01:55 > 0:01:57Yeah, that's more like it,
0:01:57 > 0:02:00and especially appropriate as I was visiting, not a property,
0:02:00 > 0:02:03but this piece of land in Chatham in Kent
0:02:03 > 0:02:06with a guide price of £140,000 to £150,000.
0:02:09 > 0:02:13Now, that guide price might sound expensive for this,
0:02:13 > 0:02:16but not when I tell you it already has planning permission,
0:02:16 > 0:02:20for not one, but two new properties to be built here.
0:02:21 > 0:02:24Yes, planning had been accepted for a design
0:02:24 > 0:02:27which, from the front, looked like one detached house,
0:02:27 > 0:02:31but was in fact two semidetached, three-bed houses.
0:02:31 > 0:02:34Now, it was an interesting design choice,
0:02:34 > 0:02:35and I thought marked a nice change
0:02:35 > 0:02:38from the more common symmetrical look.
0:02:38 > 0:02:40However, as with many new builds,
0:02:40 > 0:02:43it wasn't without its compromises.
0:02:44 > 0:02:47Each garden now will only be seven to nine metres in depth
0:02:47 > 0:02:49and five to six metres in width,
0:02:49 > 0:02:52which won't be for everyone because they'll be small.
0:02:52 > 0:02:54Unfortunately, that is often the price you'll pay
0:02:54 > 0:02:56when you buy a new-build house,
0:02:56 > 0:02:59and if you like period features and a sense of history,
0:02:59 > 0:03:01well, these properties will not be for you.
0:03:01 > 0:03:05However, they do appeal to a lot of people
0:03:05 > 0:03:07as they're more energy-efficient,
0:03:07 > 0:03:08they're chain free,
0:03:08 > 0:03:11and if you buy early enough on in the build,
0:03:11 > 0:03:14well, you might be able to have a say into the design.
0:03:14 > 0:03:17- # You got the right stuff - # You got it
0:03:17 > 0:03:19# Baby
0:03:19 > 0:03:22# You're the reason why I sing this song... #
0:03:24 > 0:03:28A new house on the block will always appeal to a certain market,
0:03:28 > 0:03:31but even if you think you have a design that has the right stuff,
0:03:31 > 0:03:35with a new build, there's still a lot of paperwork to do.
0:03:35 > 0:03:36# The right stuff. #
0:03:36 > 0:03:39Firstly, the development must be started
0:03:39 > 0:03:41within three years from the date of the decision.
0:03:41 > 0:03:44Secondly, no development can take place
0:03:44 > 0:03:48until samples of the proposed external materials have been shown,
0:03:48 > 0:03:51such as bricks and maybe even roof tiles.
0:03:51 > 0:03:56And also, you have to consider both hard and soft landscape works,
0:03:56 > 0:04:00they have to be submitted and approved by the local authority too.
0:04:01 > 0:04:03Add in the fact that, for this land,
0:04:03 > 0:04:05building regulations were still to be secured
0:04:05 > 0:04:09and amenities such as gas and water had to be connected,
0:04:09 > 0:04:12it was all too clear that, even with planning sorted,
0:04:12 > 0:04:17there was an awful lot of work to be done before a property was built.
0:04:17 > 0:04:19These semis have been well-designed,
0:04:19 > 0:04:22and once built, there could be some serious money to be made here.
0:04:22 > 0:04:25Let's see who agreed when we went to auction.
0:04:27 > 0:04:28Lot 34.
0:04:28 > 0:04:30It's land with planning permission
0:04:30 > 0:04:32for a pair of three-bedroomed, semidetached houses.
0:04:32 > 0:04:33140, my SA.
0:04:33 > 0:04:36Can be 130, then. 130, bid.
0:04:36 > 0:04:38I'm on the way. 130. And five?
0:04:38 > 0:04:43135, 135. 140 now. 140.
0:04:43 > 0:04:45140, I'm obliged. 145, it's against you.
0:04:45 > 0:04:47Take two, if you wish.
0:04:47 > 0:04:50142. Now five?
0:04:50 > 0:04:53147. 150, can I say?
0:04:53 > 0:04:55148? 148.
0:04:55 > 0:04:58149? 150?
0:04:58 > 0:04:59And one? And two...?
0:04:59 > 0:05:02With the bidding underway, it soon got competitive.
0:05:02 > 0:05:06We rejoined at £190,000.
0:05:06 > 0:05:10190? And one? And two? And three?
0:05:10 > 0:05:13And four? And five? And six?
0:05:13 > 0:05:14And seven?
0:05:14 > 0:05:17Seven? £196,000, I've got.
0:05:17 > 0:05:19197, I'm looking for.
0:05:19 > 0:05:21We all done at 196, then?
0:05:21 > 0:05:22For the first time.
0:05:22 > 0:05:24196 for the second time.
0:05:24 > 0:05:28Third and final time at £196,000.
0:05:28 > 0:05:29You bought it, sir.
0:05:29 > 0:05:32Or three of you have bought it. 196 and...
0:05:32 > 0:05:37That successful bid of 196,000 came from builder, Ray.
0:05:37 > 0:05:40# I've seen that face before... #
0:05:42 > 0:05:43Oh, yes, I certainly had.
0:05:43 > 0:05:45I'd met Ray along with his sister, Louise,
0:05:45 > 0:05:47on one of their previous developments.
0:05:47 > 0:05:51That, however, had been the renovation of an existing house.
0:05:51 > 0:05:54Building from scratch would be a much bigger proposition,
0:05:54 > 0:05:58and despite his 30 years building experience,
0:05:58 > 0:06:01I wanted to know if Ray was ready for the challenge.
0:06:04 > 0:06:06- Ray, we meet again.- Yeah.
0:06:06 > 0:06:09- Congratulations on this plot. - Thank you.
0:06:09 > 0:06:12Now, did it appeal to you that this site came with planning permission?
0:06:12 > 0:06:13It did, yeah. It saved a lot of hassle,
0:06:13 > 0:06:16but not realising it didn't come with building regs, bit of a shock,
0:06:16 > 0:06:18but there we go.
0:06:18 > 0:06:21It's all in process now, so a week or two, we'll be starting.
0:06:21 > 0:06:24And how much extra cost is that going to be?
0:06:24 > 0:06:29£1,000. Just over £1,000, so it's not too bad, but...
0:06:29 > 0:06:31Also with that, we've still got to get the building warranties
0:06:31 > 0:06:34which we didn't allow for.
0:06:34 > 0:06:37Another couple of thousand pounds there, but...we'll still be OK.
0:06:37 > 0:06:40- It's all a learning curve for you. - Yeah, it is, definitely.
0:06:40 > 0:06:42Even with his experience,
0:06:42 > 0:06:44Ray had already been caught out by a couple of issues.
0:06:44 > 0:06:47Still, though they couldn't be there that day,
0:06:47 > 0:06:49sister, Louise, and his partner, Julie,
0:06:49 > 0:06:51were joining him as part of the team.
0:06:51 > 0:06:52So, he wasn't on his own,
0:06:52 > 0:06:55and remember, he already had planning permission
0:06:55 > 0:06:57granted for these houses.
0:06:57 > 0:06:59So, was he feeling confident?
0:07:01 > 0:07:03I think I'll be OK. I mean, it's...
0:07:03 > 0:07:06I put it down to being like to build a big double extension.
0:07:06 > 0:07:09It's nothing different, really, but you're not joining onto nothing -
0:07:09 > 0:07:11you're just doing a completely new, new build, so...
0:07:11 > 0:07:14- So, now, are you going to be laying the bricks?- I can lay bricks,
0:07:14 > 0:07:17but I'll probably take three or four times longer than a bricklayer,
0:07:17 > 0:07:19so I shall get two bricklayers in,
0:07:19 > 0:07:21and probably three or four weeks, they'd have it all up,
0:07:21 > 0:07:24so, cost wise, it's not going to cost that much.
0:07:24 > 0:07:26Your expertise is all the other bits and pieces.
0:07:26 > 0:07:29Yeah, I mean, I'm going to do all the ground work, roof, everything else.
0:07:29 > 0:07:32I'll get my brother-in-law to do the electrics,
0:07:32 > 0:07:35we'll get someone in to do the gas, and everything else, it'll be me.
0:07:35 > 0:07:37So, what's your budget for this build here?
0:07:37 > 0:07:40I'm going to say 120,000 to do both houses.
0:07:40 > 0:07:43It's going to be tight, but I think we can do it.
0:07:43 > 0:07:45- Is that absolutely it?- That is...
0:07:45 > 0:07:47- Kitchens, bathrooms, ground work... - That's the lot.
0:07:47 > 0:07:49- That is the... - ..driveway, gardens, landscaping.
0:07:49 > 0:07:54- That's the lot. That is it. - 120,000.- Yep.- 60 grand a house.- Yep.
0:07:54 > 0:07:55Timescale?
0:07:55 > 0:07:58I'm going to say...ten months,
0:07:58 > 0:08:00but my partner insists I say a year, so...
0:08:00 > 0:08:03- Say a year for the telly...- Yeah. - ..but ten months in your head...
0:08:03 > 0:08:06- I'd like to do in ten months. - ..so we don't tell you off.
0:08:06 > 0:08:08No, I'd like to do it in ten months, but...
0:08:08 > 0:08:10I see no problem with that. I think we can do it.
0:08:10 > 0:08:12I know you've been really working hard at this.
0:08:12 > 0:08:15- This is really what you want to do because you love it.- Yeah.
0:08:15 > 0:08:18Are you taking a wage yet? Are you earning any money out of it?
0:08:18 > 0:08:19How's it working financially for you?
0:08:19 > 0:08:21My lovely partner supports me,
0:08:21 > 0:08:24but I take a minimum wage, just to cover household bills at home...
0:08:25 > 0:08:28..and then at the end of it, we just split the profit.
0:08:28 > 0:08:30So, it was time for us to leave Ray to it.
0:08:30 > 0:08:33Would we come back to find two new houses?
0:08:35 > 0:08:39When we returned under a year later, there certainly had been progress,
0:08:39 > 0:08:41but the houses weren't complete.
0:08:41 > 0:08:45# It's getting better all the time
0:08:45 > 0:08:49# I've got my wings and I can fly
0:08:50 > 0:08:54# I will fly to you
0:08:54 > 0:08:56# It's getting better... #
0:08:56 > 0:08:58Yes, although not complete,
0:08:58 > 0:09:00things were coming together nicely,
0:09:00 > 0:09:02and although plot two needed a lot of work,
0:09:02 > 0:09:03we asked Ray to take us
0:09:03 > 0:09:07through the layout of the almost complete plot number one.
0:09:11 > 0:09:14On the right, we have, like, a downstairs cloakroom.
0:09:14 > 0:09:19Next to the downstairs cloakroom is a utility cupboard
0:09:19 > 0:09:21with all the electrical services in.
0:09:21 > 0:09:23On the left opposite that is the kitchen
0:09:23 > 0:09:25where the kitchen is starting to go in now,
0:09:25 > 0:09:27and we're just waiting for the granite people
0:09:27 > 0:09:29to come and do a template there.
0:09:29 > 0:09:31Opposite the kitchen is the stairs up to the first floor,
0:09:31 > 0:09:36and then we come in through the hallway into the lounge area,
0:09:36 > 0:09:38out two patio doors onto a patio and the garden.
0:09:40 > 0:09:42So, upstairs is planned.
0:09:42 > 0:09:45There was a good-size double bedroom...
0:09:45 > 0:09:46..a single room...
0:09:47 > 0:09:50..and a master bedroom complete with en suite,
0:09:50 > 0:09:52and the first floor would be finished off
0:09:52 > 0:09:54with a family bathroom.
0:09:57 > 0:09:58Though it had been a year,
0:09:58 > 0:10:00Ray had only worked on the site for eight months,
0:10:00 > 0:10:02as getting the required planning regulations
0:10:02 > 0:10:06and amenities connected had taken longer than expected.
0:10:06 > 0:10:09This was almost inevitably one of the reasons
0:10:09 > 0:10:12that plot number two was further behind,
0:10:12 > 0:10:14but had that also affected his budget,
0:10:14 > 0:10:19which was originally £120,000 to finish the whole project.
0:10:21 > 0:10:24Household budget, yeah, we're probably at 120,000 now, actually.
0:10:24 > 0:10:26We've probably got 30,000 left to spend,
0:10:26 > 0:10:28so it'll probably be about 150 in the end.
0:10:28 > 0:10:30The reason we've spent more than budget
0:10:30 > 0:10:34is mainly utilities, drainage, building regulations,
0:10:34 > 0:10:37so it's just been added on.
0:10:37 > 0:10:39Aside from the brickwork and the roofing tiles,
0:10:39 > 0:10:41Ray had done all the work himself,
0:10:41 > 0:10:43but even with that,
0:10:43 > 0:10:48he already reached his original £120,000 budget for the renovation.
0:10:48 > 0:10:51Still, in general, the houses were looking good,
0:10:51 > 0:10:55and he hoped he wasn't too far away from finishing.
0:10:55 > 0:10:59# Almost there
0:10:59 > 0:11:03# We're almost there... #
0:11:04 > 0:11:08So, by that point, Ray had spent 316,000,
0:11:08 > 0:11:10and, if he kept to his new budget,
0:11:10 > 0:11:15his total spend would end up being £346,000.
0:11:15 > 0:11:18So, could these houses still turn a profit for Ray?
0:11:18 > 0:11:21We asked along two local estate agents to get their opinion.
0:11:25 > 0:11:27If the properties are completed
0:11:27 > 0:11:30to the same standard as I've seen today,
0:11:30 > 0:11:31they're going to be excellent.
0:11:31 > 0:11:34I think the properties are a very good standard.
0:11:34 > 0:11:35A lot of thought's gone into them.
0:11:35 > 0:11:38I think the layout's really good - it's good that they're unusual.
0:11:38 > 0:11:41Plot one is a bit different from plot two, which is facing the rear.
0:11:41 > 0:11:46I would anticipate them selling for around about £250,000 each.
0:11:46 > 0:11:49If the properties were brought to the marketplace today,
0:11:49 > 0:11:53I would envisage an asking price of £250,000.
0:11:53 > 0:11:57So, despite the overspend and overrun in the schedule,
0:11:57 > 0:11:58the news looked good,
0:11:58 > 0:12:02but it all hinged on Ray staying within his revised budget.
0:12:02 > 0:12:07If he could, he stood to make a pre-tax profit of 154,000.
0:12:07 > 0:12:10Could he...or would he?
0:12:10 > 0:12:13Stick around and we'll tell you how it all turned out.
0:12:20 > 0:12:22I'm in Lincolnshire today,
0:12:22 > 0:12:25a place with a lot of interesting historical connections,
0:12:25 > 0:12:30like Gainsborough Old Hall, a fantastic medieval manor house.
0:12:31 > 0:12:34And it seems that this place was once a must-stay venue
0:12:34 > 0:12:37for a very important royal - Henry VIII.
0:12:41 > 0:12:43Well, when you think of Henry VIII,
0:12:43 > 0:12:47you don't necessarily imagine him on his holidays.
0:12:47 > 0:12:50However, he is thought to have visited Gainsborough,
0:12:50 > 0:12:52although perhaps not this specific street.
0:12:52 > 0:12:55I'm not sure that a three-bed mid-terrace
0:12:55 > 0:12:57was necessarily his style.
0:12:57 > 0:13:01However, that was what was up for auction.
0:13:01 > 0:13:04Guide price, £20,000 plus.
0:13:04 > 0:13:06Let's see if it gets the royal seal of approval.
0:13:09 > 0:13:12So, let's see if this house has any crowning glories.
0:13:12 > 0:13:15- OK, enough of the royal puns. - HE LAUGHS
0:13:15 > 0:13:16Straight into the front room,
0:13:16 > 0:13:22and my enthusiasm is dampened, quite literally, straightaway.
0:13:22 > 0:13:24I am spotting a lot of signs of damp -
0:13:24 > 0:13:27on that wall there, that chimney breast
0:13:27 > 0:13:29and also on the floor, which is very worrying.
0:13:29 > 0:13:32I mean, look at the state of this skirting board.
0:13:32 > 0:13:34Now, I am very concerned about this,
0:13:34 > 0:13:37cos , look, just pull the wood off and it crumbles -
0:13:37 > 0:13:39that is not good news.
0:13:39 > 0:13:43And to get like that, it's not just a case of it being wet,
0:13:43 > 0:13:49that is often a sign of something much more sinister - dry rot.
0:13:49 > 0:13:53Little tendrils, looks like spiders webs.
0:13:53 > 0:13:56I don't know, poking around there, I'm sure if I pulled a bit more of,
0:13:56 > 0:13:57I would see if it was there.
0:13:57 > 0:13:59Definitely something to consider.
0:13:59 > 0:14:02My guess is that's exactly what someone's been doing
0:14:02 > 0:14:03when they've looking round,
0:14:03 > 0:14:06because the floorboards here have been taken up,
0:14:06 > 0:14:09- and again, I mean... - HE SIGHS
0:14:09 > 0:14:12It's not inconceivable that you could get a torch down there,
0:14:12 > 0:14:15look around and have a good poke about
0:14:15 > 0:14:17just to see if there's any more signs of damage
0:14:17 > 0:14:22caused by whatever caused that water to come in there.
0:14:23 > 0:14:27A bit of...a health and safety hazard waiting to happen.
0:14:27 > 0:14:28But anyway, front sitting room,
0:14:28 > 0:14:30apart from being damp, it's not a bad size.
0:14:30 > 0:14:32Through into the rear of the property
0:14:32 > 0:14:33where you've got the kitchen.
0:14:33 > 0:14:37I mean, it is a classic sort of two-up two-down layout.
0:14:37 > 0:14:40Not a bad size. They've obviously done quite a bit of work
0:14:40 > 0:14:43to remove what was ever in place before.
0:14:43 > 0:14:45So you are going to have to refit the kitchen,
0:14:45 > 0:14:47but they've actually done part of the work for you.
0:14:47 > 0:14:49Stairs up to your bedrooms. I mean, classic layout.
0:14:49 > 0:14:52Er, but I am really focusing on some of those basics.
0:14:53 > 0:14:55Water's great...
0:14:55 > 0:14:57but only if it's in the right places,
0:14:57 > 0:14:59and it isn't here.
0:14:59 > 0:15:03# Drip, drip, drip, drip
0:15:03 > 0:15:04# Drip, drip... #
0:15:04 > 0:15:07Dampness is always to be sniffed out,
0:15:07 > 0:15:09but never to be sniffed at,
0:15:09 > 0:15:11as it can cost you dearly.
0:15:11 > 0:15:14But then again, you do have to remember that
0:15:14 > 0:15:16this house is guided at just £20,000 plus,
0:15:16 > 0:15:19so we shouldn't turn our noses up at it quite yet.
0:15:20 > 0:15:23# Drip, drip, drip, drip... #
0:15:23 > 0:15:27And I'm pleased to say there are no nasty surprises on the outside.
0:15:27 > 0:15:30I'm just a little concerned, because if there's damp downstairs,
0:15:30 > 0:15:34I think there's a good chance there could be some more upstairs.
0:15:36 > 0:15:39So, what have we here?
0:15:39 > 0:15:43Well, to the front of the property, not a bad-sized bedroom.
0:15:43 > 0:15:46Again, a few signs of damp,
0:15:46 > 0:15:52both on this front wall and seemingly, yep, this wall as well.
0:15:52 > 0:15:55And downstairs, it's the chimney breast
0:15:55 > 0:15:57which has got the biggest signs of damp.
0:15:57 > 0:16:00Hm... That's classic sort of flashing on the roof
0:16:00 > 0:16:01or something that's gone wrong.
0:16:01 > 0:16:04The rest of this, I don't know, it's just, hm...
0:16:04 > 0:16:08The whole property, I think, it's definitely stemming from top down,
0:16:08 > 0:16:11so get the roof sorted first and foremost.
0:16:11 > 0:16:17But through to this little, erm, sort of corridor-y bit here, and...
0:16:19 > 0:16:20Right.
0:16:22 > 0:16:23OK.
0:16:27 > 0:16:29Large cupboard?
0:16:30 > 0:16:32Nope. This...
0:16:34 > 0:16:37- HE SIGHS - ..is the second bedroom.
0:16:40 > 0:16:42# That don't impress me much... #
0:16:43 > 0:16:45Er, no, and no again.
0:16:45 > 0:16:47There's no space for a bed, no cupboards
0:16:47 > 0:16:50and, most importantly, no window,
0:16:50 > 0:16:52which means it's not a bedroom.
0:16:52 > 0:16:55Officially, a bedroom needs a second exit in case of a fire.
0:16:58 > 0:17:01The bathroom down this corridor is in need of updating
0:17:01 > 0:17:03and is also not the biggest
0:17:03 > 0:17:05thanks to the corridor that's been added
0:17:05 > 0:17:08to accommodate the stairs leading to bedroom number three.
0:17:13 > 0:17:16Oh, now, that's more like it.
0:17:16 > 0:17:18Thank goodness for that.
0:17:18 > 0:17:20After the disappointment of the middle floor,
0:17:20 > 0:17:23up here, it's like an attic room,
0:17:23 > 0:17:27but I love the way that the brick there has been exposed
0:17:27 > 0:17:29and you've got this little archway.
0:17:29 > 0:17:32Really nice high ceilings as well.
0:17:32 > 0:17:34Lots of light coming in from the dormer there.
0:17:34 > 0:17:39This is a beautiful master bedroom, in my mind.
0:17:39 > 0:17:40Um, and...
0:17:40 > 0:17:42Just this house, it sort of,
0:17:42 > 0:17:45it takes you on an emotional rollercoaster,
0:17:45 > 0:17:47but luckily, we're ending on a high.
0:17:49 > 0:17:52But will a local agent get giddy
0:17:52 > 0:17:54on this particular property rollercoaster?
0:17:55 > 0:17:59I think some people are put off by the immediate condition
0:17:59 > 0:18:02and the amount of work that the property needs.
0:18:02 > 0:18:05Anything that's showing a hint of damp or rewiring
0:18:05 > 0:18:07or central heating issues,
0:18:07 > 0:18:10people are a little bit concerned, I think.
0:18:10 > 0:18:12But if you buy stuff in this sort of condition,
0:18:12 > 0:18:15and you have the ability to add value by doing it yourself,
0:18:15 > 0:18:17then, then that's the way forward.
0:18:17 > 0:18:19I couldn't agree more.
0:18:19 > 0:18:24So, what does he think the house could sell for once sorted?
0:18:24 > 0:18:26Bringing up to a really good standard,
0:18:26 > 0:18:30you would probably look to market between £45,000 and £50,000.
0:18:30 > 0:18:33And if it was to be rented out?
0:18:33 > 0:18:38My thoughts on rental prices would be £350 a month up to £400 per month.
0:18:40 > 0:18:43Well, obviously a few things to get sorted out with this one -
0:18:43 > 0:18:45number one, resolve the damp issues.
0:18:45 > 0:18:47But it's a good house, I like the area,
0:18:47 > 0:18:49and I think there's money to be made,
0:18:49 > 0:18:51especially around that guide price.
0:18:51 > 0:18:54Let's see who bought it when it went under the hammer.
0:18:58 > 0:19:00Start me, if you will, at... I have a number -
0:19:00 > 0:19:0315,000 which doesn't sound a lot, does it?
0:19:03 > 0:19:0615,000, please, lot 141.
0:19:06 > 0:19:08Thank you, there is somebody on the phone - Stuart.
0:19:08 > 0:19:1015. Thank you. 16 anywhere?
0:19:12 > 0:19:1615,000. 16 there, and 17.
0:19:16 > 0:19:1918? And 18. 19? 19.
0:19:19 > 0:19:2220? No-one for 20? 20 on the phone.
0:19:22 > 0:19:25Gosh, long time since I've sold a house at this.
0:19:25 > 0:19:2920 on the telephone with Stuart. 21? 21. 22?
0:19:30 > 0:19:3323? 23. 24?
0:19:34 > 0:19:3624. 25? No.
0:19:36 > 0:19:38First time at 24 with Stuart.
0:19:38 > 0:19:40Second time at 24.
0:19:40 > 0:19:4325, madam. I see you. 26?
0:19:43 > 0:19:4526?
0:19:45 > 0:19:48First time at 25. Second time at 25.
0:19:48 > 0:19:51Third and last time at £25,000, lady's bid.
0:19:51 > 0:19:53HE BANGS GAVEL Well done. 25,000.
0:19:56 > 0:20:00The successful bid was made by nurse, Lisha.
0:20:00 > 0:20:04Lisha loves British houses because where she was raised in China
0:20:04 > 0:20:06most people lived in flats.
0:20:06 > 0:20:08She has developed a property over there,
0:20:08 > 0:20:11but this will be her first in the UK.
0:20:11 > 0:20:13She brought along her friend, Roland,
0:20:13 > 0:20:15to tell me what her plans were.
0:20:16 > 0:20:18Lisha, Roland, great to meet you both.
0:20:18 > 0:20:20- Nice to meet you. - Nice to meet you too.
0:20:20 > 0:20:22- Congratulations.- Thank you.
0:20:22 > 0:20:24Tell me why you wanted to buy this house.
0:20:25 > 0:20:27Because I like properties,
0:20:27 > 0:20:30and I've been watching your programme for years, years,
0:20:30 > 0:20:34and finally, I've done it myself. I can't believe I've done it!
0:20:34 > 0:20:35Oh! Are you excited?
0:20:35 > 0:20:37- Yes, very much so.- Wow.
0:20:37 > 0:20:41What was it about this particular house that made you go for it?
0:20:41 > 0:20:43Because of the price.
0:20:43 > 0:20:46- It's the only so I can afford it.- Right.
0:20:46 > 0:20:48Are you local? I mean, do you know the area?
0:20:48 > 0:20:50- No, I'm from London. - London?- Yeah.- Wow.
0:20:50 > 0:20:54- And that's where you live and work, is it?- Yes.- Right.
0:20:54 > 0:20:56So, this is purely an investment property purpose then, is it?
0:20:56 > 0:20:58- Yes.- Yes.
0:20:58 > 0:21:01Great. And what was your involvement in the decision-making process?
0:21:01 > 0:21:02Erm...
0:21:02 > 0:21:04I'm just helping do the DIY.
0:21:04 > 0:21:05You know, I enjoy doing DIY
0:21:05 > 0:21:08and, yeah, it's like a hobby for me, yeah.
0:21:08 > 0:21:09- Right.- Yeah.
0:21:09 > 0:21:13- He's, he's my handyman. - He's your handyman. Brilliant.
0:21:13 > 0:21:16Yes, everyone should have a handyman,
0:21:16 > 0:21:20and never has one been needed more than here.
0:21:20 > 0:21:24The good news is Roland and Lisha are not tackling this alone.
0:21:24 > 0:21:26Well, the builder's actually coming tomorrow,
0:21:26 > 0:21:29so once he's done the damp proofing and the roof,
0:21:29 > 0:21:31I can do painting, wallpapering,
0:21:31 > 0:21:34and...I think I can fit a new kitchen as well.
0:21:34 > 0:21:36- Oh, great.- Yeah. I think I can do that.
0:21:36 > 0:21:38- Have you not done one before?- No... - MARTIN LAUGHS
0:21:38 > 0:21:41I think it's something I could do, yeah.
0:21:41 > 0:21:43- Do you think he can do it? - Yes, I believe him.
0:21:45 > 0:21:46That's fantastic.
0:21:46 > 0:21:49Yeah, so our builders going to do the work tomorrow,
0:21:49 > 0:21:51start eight o'clock in the morning.
0:21:51 > 0:21:55- Wow.- And he's said to me he will bring through other tradesmen,
0:21:55 > 0:21:59come over and work as much as possible
0:21:59 > 0:22:03so we'll finish, the basic work, we'll finish in about three days.
0:22:03 > 0:22:06- Three days?! - That's what he told me.- Wow!
0:22:06 > 0:22:08Yeah, and then we'll do the rest.
0:22:08 > 0:22:12- Right. So, what's he going to do in three days? The roof...- The roof...
0:22:12 > 0:22:14- Damp proof...?- ..the bricks, repointing the brick...- Right.
0:22:14 > 0:22:17The damp proof, of course, and the plastering.
0:22:17 > 0:22:19- Right.- Three days. - In three days?- Yes.
0:22:19 > 0:22:23- Hm. Has he given you a quote? - Yes.- How much?
0:22:23 > 0:22:26- Er, £3,000.- £3,000, three days?- Yes.
0:22:26 > 0:22:30Well, if he sticks to that, that'll be, that'll be good.
0:22:30 > 0:22:33And by good, I mean miraculous.
0:22:33 > 0:22:37Anyway, Lisha's checked out the credentials of her chosen builder,
0:22:37 > 0:22:40and she's happy he has a good reputation.
0:22:40 > 0:22:42I would always recommend speaking to previous clients
0:22:42 > 0:22:45and going to look at their work if you can.
0:22:45 > 0:22:47Although Roland has carpentry skills,
0:22:47 > 0:22:50he's a lorry driver by profession,
0:22:50 > 0:22:52so he's going to have his work cut out.
0:22:52 > 0:22:55They're going to use days off and holidays to do the work,
0:22:55 > 0:22:59but don't forget, they're going to have to travel from London,
0:22:59 > 0:23:04and Lisha has an eye-wateringly tight budget of £5,000.
0:23:06 > 0:23:08And then...there's this.
0:23:08 > 0:23:11Well, I hadn't seen the house myself
0:23:11 > 0:23:13and Lisha hadn't seen it,
0:23:13 > 0:23:15and then when we came to visit...
0:23:15 > 0:23:16Sorry. Whoa, whoa, whoa, whoa.
0:23:16 > 0:23:19You hadn't seen it before you bought it?
0:23:19 > 0:23:21- No, because...- And you say you watch Homes Under The Hammer,
0:23:21 > 0:23:25and what's my number one rule? Apart from reading the legal pack.
0:23:25 > 0:23:28- View before you buy.- Ah! - MARTIN SCOFFS
0:23:28 > 0:23:31- I read the legal pack.- Oh, good(!) - I did the research.
0:23:31 > 0:23:32One out of two ain't bad. No!
0:23:32 > 0:23:35- Why didn't you go and see it?- Cos...
0:23:35 > 0:23:37I couldn't - I'm busy, work.
0:23:37 > 0:23:41- MARTIN CHUCKLES - Well, what can I say now?
0:23:41 > 0:23:44There is one last thing that bothered me, though.
0:23:44 > 0:23:47- So, it's obviously described as a three-bed.- Mm.
0:23:47 > 0:23:51The third one's a BIT tiny. Were you worried about that?
0:23:51 > 0:23:53Not at all. It's just a box room.
0:23:53 > 0:23:55- Maybe you can use as a study.- Right.
0:23:55 > 0:23:57Just put a study desk in
0:23:57 > 0:24:00and then show people you can study in this little room...
0:24:00 > 0:24:01- OK.- ..or have a cup of coffee.
0:24:01 > 0:24:04LISHA AND MARTIN GIGGLE
0:24:04 > 0:24:06Fair enough. Look on the bright side.
0:24:06 > 0:24:08Yeah, and the other rooms are a good size,
0:24:08 > 0:24:10- especially the top one, yeah.- Yeah.
0:24:10 > 0:24:14So, I think, for the money we paid, it's quite a good size, really.
0:24:14 > 0:24:17Yeah. Hopefully the work won't cost too much.
0:24:17 > 0:24:19Well, listen, congratulations to you both.
0:24:19 > 0:24:22- Really look forward to seeing how you get on.- Thank you.
0:24:22 > 0:24:23Thank you very much.
0:24:23 > 0:24:25- Yeah, good luck with it. - MARTIN CHUCKLES
0:24:25 > 0:24:28Well, Lisha's clearly very excited about
0:24:28 > 0:24:30her first property for renovation,
0:24:30 > 0:24:33and hopefully, with Roland's help, it'll all go to plan.
0:24:33 > 0:24:37However, that budget is terribly tight,
0:24:37 > 0:24:40and will the builder do everything he's promised
0:24:40 > 0:24:42in three days and for 3,000 quid?
0:24:42 > 0:24:44Er, not so sure.
0:24:44 > 0:24:46You can find out later in the show.
0:24:48 > 0:24:50Still to come, these developers in Nottinghamshire
0:24:50 > 0:24:52have a trick or two to keep the cost down.
0:24:52 > 0:24:55- That's quite a small budget, isn't it?- Absolutely.
0:24:55 > 0:24:57- We've got plenty of free labour. - In you two?- Yeah, exactly.
0:24:59 > 0:25:01- MARTIN:- And it sounds like things got tricky
0:25:01 > 0:25:03for Lisha in Lincolnshire.
0:25:03 > 0:25:06The damp, actually, has come from both sides.
0:25:06 > 0:25:08It's very terrible, yeah.
0:25:11 > 0:25:13We return now to Chatham in Kent
0:25:13 > 0:25:17to a plot of land we first visited in 2014.
0:25:17 > 0:25:21The site had planning permission for two three-bed semis to be built,
0:25:21 > 0:25:26and new builds can often be very attractive to potential buyers.
0:25:26 > 0:25:30They do appeal to a lot of people as they're more energy-efficient,
0:25:30 > 0:25:32they're chain free,
0:25:32 > 0:25:34and if you buy early enough on in the build,
0:25:34 > 0:25:38well, you might be able to have a say into the design.
0:25:39 > 0:25:43The plot was bought at auction by Ray for 196,000.
0:25:43 > 0:25:45Ray, with help from his partner, Julie,
0:25:45 > 0:25:46along with his sister, Louise,
0:25:46 > 0:25:49have dealt in small-scale building works,
0:25:49 > 0:25:52but this was the first time they'd tackled a new build.
0:25:53 > 0:25:55I think I'll be OK. I mean, it's...
0:25:55 > 0:25:58I put it down to being like to build a big double extension -
0:25:58 > 0:26:02it's nothing different, really, but you're not joining onto nothing,
0:26:02 > 0:26:05you're just doing a completely new, new build.
0:26:05 > 0:26:09He'd set a budget of 120,000 to complete the two houses,
0:26:09 > 0:26:13and he reckoned on a timescale of ten months to a year.
0:26:13 > 0:26:16So, always one for punctuality,
0:26:16 > 0:26:20a year later, we turned up to see how he'd got on.
0:26:20 > 0:26:24The first house on the left was not far-off being finished,
0:26:24 > 0:26:26and the second, well, it was underway.
0:26:26 > 0:26:29That budget had taken a bit of a hit, though.
0:26:29 > 0:26:32Household budget, yeah, we're probably at 120,000 now, actually.
0:26:32 > 0:26:34We've probably got 30,000 left to spend,
0:26:34 > 0:26:36so it'll probably be about 150 in the end.
0:26:36 > 0:26:38The reason we've spent more than budget
0:26:38 > 0:26:42is mainly utilities, drainage, building regulations,
0:26:42 > 0:26:44so it's just been added on.
0:26:44 > 0:26:47The finish line was in sight for Ray,
0:26:47 > 0:26:50but could this builder with 30 years' experience
0:26:50 > 0:26:53push on through and complete his first-ever new build?
0:26:56 > 0:26:59A year and a half since he first bought the property,
0:26:59 > 0:27:03and the good news is Ray has reached the finish line.
0:27:03 > 0:27:04# Finish line
0:27:08 > 0:27:10# Finish line
0:27:13 > 0:27:14# Finish line... #
0:27:28 > 0:27:30The house on plot one looks amazing,
0:27:30 > 0:27:34and it looks like it has a very high quality finish.
0:27:34 > 0:27:36The house on plot two isn't quite there yet,
0:27:36 > 0:27:39but I'm sure after a couple of weeks of decoration,
0:27:39 > 0:27:41it'll be up to the same high standard.
0:27:41 > 0:27:44Let's hear from Ray to tell us what he's done.
0:27:46 > 0:27:49Plot one, we...finished off.
0:27:49 > 0:27:52We've put the worktops on the kitchen,
0:27:52 > 0:27:56tiles in the en-suite and the downstairs cloakroom,
0:27:56 > 0:28:00general decorating and second fix of the electrics,
0:28:00 > 0:28:02and I think that completes plot one, then.
0:28:02 > 0:28:05Plot two was just sort of a bare shell,
0:28:05 > 0:28:07and now, it's been completely finished.
0:28:07 > 0:28:09We're sort of 99.9% there.
0:28:09 > 0:28:12We've just got little touches and the back patio to do.
0:28:12 > 0:28:15I'm really pleased with it. I think, for my first new build,
0:28:15 > 0:28:18I'm sort of proud of myself, I should say.
0:28:18 > 0:28:20But, yeah, it's come out well.
0:28:23 > 0:28:25Ray's got every right to be proud.
0:28:25 > 0:28:27These look great,
0:28:27 > 0:28:29and he's done most of the work himself
0:28:29 > 0:28:31with a little help from Julie.
0:28:33 > 0:28:35Well, I work in a school,
0:28:35 > 0:28:37so I've been coming down during the school holidays
0:28:37 > 0:28:39and helping out as and when I can.
0:28:39 > 0:28:44Julie's done a lot of the gardening, colour schemes, decorating
0:28:44 > 0:28:46and generally just supporting me through it,
0:28:46 > 0:28:48all through the whole build, really.
0:28:48 > 0:28:51Sounds all quite boring, but I just love doing it.
0:28:51 > 0:28:54I love seeing a job start from the beginning, working through it
0:28:54 > 0:28:55and seeing the end result.
0:28:55 > 0:28:59And having Ray as my guidance, you know, he's always teaching me -
0:28:59 > 0:29:00he's got a lot of patience.
0:29:00 > 0:29:03Well, by the looks of the finish of these houses,
0:29:03 > 0:29:05he may have been a very good teacher,
0:29:05 > 0:29:08but Julie's been a good student.
0:29:08 > 0:29:10With Julie already having a full-time job,
0:29:10 > 0:29:12what has she thought of the venture?
0:29:13 > 0:29:15Absolutely amazing.
0:29:15 > 0:29:19To see the way that Ray's put his absolute heart and soul
0:29:19 > 0:29:22into creating these houses has been marvellous,
0:29:22 > 0:29:26and a great opportunity for us all to work together as a team again
0:29:26 > 0:29:28with Ray's mum, his sister and myself,
0:29:28 > 0:29:30sort of chipping in as and when we can.
0:29:30 > 0:29:33Yeah, it's been a tremendous experience.
0:29:35 > 0:29:39Yes, it seems the whole family have been onboard supporting each other,
0:29:39 > 0:29:43and that was a good ting to have, as Ray has run into more problems.
0:29:43 > 0:29:46In order to pass the government's energy performance check
0:29:46 > 0:29:47for all the new houses,
0:29:47 > 0:29:51they had to add solar panels that they hadn't budgeted for.
0:29:51 > 0:29:54- But the biggest setback? - SHE CHUCKLES
0:29:54 > 0:29:56The good old British weather.
0:29:56 > 0:29:58The weather throws up all sorts of obstacles -
0:29:58 > 0:30:01you just can't do nothing. The slabs down the side of plot two
0:30:01 > 0:30:04need to be pointed - can't do that cos it's raining -
0:30:04 > 0:30:07and just the patio in general, but it has held us up a bit.
0:30:07 > 0:30:13So, how has all that affected the revised £150,000 budget?
0:30:13 > 0:30:15I think we're probably about 148 at the moment.
0:30:15 > 0:30:18We've got two or three little builds to come in.
0:30:18 > 0:30:20Even with the solar panels, we've just come under,
0:30:20 > 0:30:23so I think we'll probably, it'll probably be 150 at the end.
0:30:25 > 0:30:27It would have been very easy to overspend
0:30:27 > 0:30:30on the fitting of the suites and the decoration,
0:30:30 > 0:30:33but Ray and his family have kept that budget under control,
0:30:33 > 0:30:35and that really is great news,
0:30:35 > 0:30:37especially as the pair have someone else
0:30:37 > 0:30:40I think they'll be looking forward to spoiling.
0:30:40 > 0:30:43To have become grandparents for the first time.
0:30:43 > 0:30:44Little William,
0:30:44 > 0:30:47and then we've got our daughter's wedding next year in July.
0:30:47 > 0:30:50And we have got to get everything together for that.
0:30:50 > 0:30:52So we've got a busy year ahead of us, anyway.
0:30:52 > 0:30:54Aw!
0:30:54 > 0:30:56Well, after all the admin delays,
0:30:56 > 0:30:59the construction may have taken them 14 months,
0:30:59 > 0:31:02but after spending £196,000 at auction
0:31:02 > 0:31:06and a further 150,000 and a lot of hard work,
0:31:06 > 0:31:08Ray and Julie, along with sister, Louise,
0:31:08 > 0:31:10will be able to tell young William
0:31:10 > 0:31:13that his grandparents built these houses.
0:31:13 > 0:31:14But will they make a profit?
0:31:16 > 0:31:17I think it's time we found out.
0:31:17 > 0:31:21So we asked along two local estate agents to get their opinions.
0:31:22 > 0:31:26First up, the agent that saw the houses last time.
0:31:28 > 0:31:31Now the houses are finished, they are both excellent.
0:31:31 > 0:31:34The quality, the finish,
0:31:34 > 0:31:37the standard of the fittings -
0:31:37 > 0:31:38absolutely first class.
0:31:40 > 0:31:43The standard of finish is very high.
0:31:43 > 0:31:45The owner's attention to detail
0:31:45 > 0:31:48is absolutely evident throughout the property -
0:31:48 > 0:31:49very nice quality.
0:31:50 > 0:31:52Well, it's quite clear that
0:31:52 > 0:31:55Ray's passion and professionalism on this build is coming through,
0:31:55 > 0:31:59so let's cut to the chase and get some valuations.
0:32:00 > 0:32:03I think the property on the left is likely to sell
0:32:03 > 0:32:07for around about £250,000 to £255,000,
0:32:07 > 0:32:12and the one on the right is probably 260, maybe £265,000.
0:32:12 > 0:32:18So, I would value these properties at £260,000 to £270,000.
0:32:18 > 0:32:20The values sound about right, really,
0:32:20 > 0:32:23cos we marketed them at 250 to 270,
0:32:23 > 0:32:27and we've sold the first one for 250 and the second one for 260.
0:32:31 > 0:32:33So both houses have already been sold,
0:32:33 > 0:32:35which is fantastic news.
0:32:35 > 0:32:39With the houses selling for a total of 510,000,
0:32:39 > 0:32:44that'll give the couple a pre-tax profit of 164,000.
0:32:44 > 0:32:46And looking at the finish on these houses
0:32:46 > 0:32:47and the hard work that went in,
0:32:47 > 0:32:50I think that's thoroughly well-deserved.
0:32:50 > 0:32:53So, what's their secret? Teamwork?
0:32:55 > 0:32:58- We make a great team, don't we? - Yeah.- We work off each other, so...
0:32:58 > 0:33:02- And I think that...- ..and we'd love to do it full-time.- Oh, yeah.
0:33:02 > 0:33:03That would be our dream -
0:33:03 > 0:33:06to work as a full-time partnership, most definitely.
0:33:06 > 0:33:09- Yeah, that's what we're aiming for, isn't it?- Yeah.
0:33:09 > 0:33:10- It will happen one day.- Yeah.
0:33:17 > 0:33:19Just 19 miles from Sheffield
0:33:19 > 0:33:22and 28 miles from the city of Nottingham and Lincoln,
0:33:22 > 0:33:25Worksop in Nottinghamshire is a busy market town
0:33:25 > 0:33:27with a good rail and road network.
0:33:29 > 0:33:31And in the case of the next auction lot,
0:33:31 > 0:33:34great access and plenty of bus routes, too.
0:33:34 > 0:33:36# Bus stop
0:33:36 > 0:33:38# Bus stop
0:33:38 > 0:33:42# Are you ready to do the bus stop? #
0:33:42 > 0:33:44Right in the centre of Worksop,
0:33:44 > 0:33:46across the road from the bus station
0:33:46 > 0:33:48is the property I'm here to see.
0:33:48 > 0:33:49So, what have we got?
0:33:49 > 0:33:55A commercial unit set over two floors with a guide price of £32,000.
0:33:55 > 0:33:58What do you get for your money? I'm going to find out.
0:34:00 > 0:34:03OK, on the ground floor, this would've been a shop,
0:34:03 > 0:34:07which would make it class one, which is retail.
0:34:07 > 0:34:11It was a minimart and a food shop and a clothes shop,
0:34:11 > 0:34:14so lots of different uses beforehand,
0:34:14 > 0:34:17but what surprised me is how far it goes back.
0:34:17 > 0:34:20It's long and thin, but there's a lot to explore over there.
0:34:20 > 0:34:22I'm going to investigate further.
0:34:22 > 0:34:25Now, that's a surprise - this place is deceptively big.
0:34:27 > 0:34:31# Such a long way back. #
0:34:33 > 0:34:37Even opens out just that little bit more towards the rear.
0:34:37 > 0:34:41You have got two changing areas, cubicles just there,
0:34:41 > 0:34:44a toilet and rear access as well.
0:34:44 > 0:34:46So, you could keep it as a commercial unit
0:34:46 > 0:34:51or you could even apple for change of use to residential.
0:34:51 > 0:34:54But me, being a little bit selfish on this occasion,
0:34:54 > 0:34:56I'd have a gym downstairs,
0:34:56 > 0:34:59maybe a bit of yoga and Pilates upstairs.
0:34:59 > 0:35:02But, as always, it's supply and demand,
0:35:02 > 0:35:05but it's food for thought. Let's check out upstairs.
0:35:11 > 0:35:13So, up onto the mezzanine level,
0:35:13 > 0:35:15and it's an OK size up here.
0:35:15 > 0:35:18I can see there's a curtain here
0:35:18 > 0:35:21which is...signs of it being a shop back in the day.
0:35:21 > 0:35:24I did mention it being a gym - I'm going to forget that one,
0:35:24 > 0:35:27and I'll come up with some more ideas of what it could potentially be.
0:35:27 > 0:35:31It could be a commercial unit, maybe on its own, the whole thing.
0:35:31 > 0:35:34You could incorporate commercial and residential as well -
0:35:34 > 0:35:37you've got a front entrance and a rear entrance.
0:35:37 > 0:35:41All depends on planning, of course, and change of use as well.
0:35:41 > 0:35:44So lots of options here.
0:35:44 > 0:35:46I'm inclined to separate the two -
0:35:46 > 0:35:50commercial downstairs, residential up here and to the back.
0:35:50 > 0:35:53# Is it time to go
0:35:55 > 0:35:58# Our separate ways? #
0:35:58 > 0:36:01The backend of the current shop space and the upper floor
0:36:01 > 0:36:04could potentially become a split-level studio flat,
0:36:04 > 0:36:07while the front could be left as a retail outlet.
0:36:07 > 0:36:10In that way, you get the best of both worlds.
0:36:10 > 0:36:13# Is it time to go
0:36:15 > 0:36:19# Our separate ways? #
0:36:19 > 0:36:23But does a local property expert think that's a good idea,
0:36:23 > 0:36:25and more importantly,
0:36:25 > 0:36:29is that the best way of maximising the financial return on that lot
0:36:29 > 0:36:31which was guided at £32,000?
0:36:32 > 0:36:36With regards to the retail unit, if it was separated,
0:36:36 > 0:36:37then you're looking to achieve
0:36:37 > 0:36:40somewhere in the region of around £30,000 to £35,000.
0:36:40 > 0:36:44The residential quarter, depending on the specification,
0:36:44 > 0:36:48you're looking to achieve a further £30,000 to £35,000.
0:36:48 > 0:36:53Well, that's encouraging. What about its rental potential?
0:36:53 > 0:36:56Rental wise, if the upstairs could be converted into,
0:36:56 > 0:36:59let's say, a one-bedroom apartment,
0:36:59 > 0:37:03then overall, combined with the income downstairs,
0:37:03 > 0:37:05you're looking to generate
0:37:05 > 0:37:09within the region of around £500 to £600 per calendar month.
0:37:10 > 0:37:13This whole unit is deceptively spacious.
0:37:13 > 0:37:16Now, you could keep it as a whole commercial unit,
0:37:16 > 0:37:19you could split the usage to residential and commercial,
0:37:19 > 0:37:22but I think the potential here is endless.
0:37:22 > 0:37:25Let's see who saw that potential when it went under the hammer.
0:37:28 > 0:37:33Lot 16. It's a two-storied commercial unit.
0:37:34 > 0:37:36Retail sales unit, ground floor,
0:37:36 > 0:37:39office or studio area at first floor.
0:37:39 > 0:37:4125, then, to put it into the bidding.
0:37:41 > 0:37:43Can't really go wrong with that sort of money.
0:37:43 > 0:37:45Thank you. 25, I've got there.
0:37:45 > 0:37:4825. 26 in the corner. At 26.
0:37:48 > 0:37:5127 in front of me. 28 on the left.
0:37:51 > 0:37:54At 28. 29 is bid. At 29.
0:37:54 > 0:37:5630, Sir? 30,000. Thank you.
0:37:56 > 0:37:58At £30,000. 31?
0:37:59 > 0:38:0230,000, I've got on my left-hand side.
0:38:02 > 0:38:0431 somewhere else?
0:38:04 > 0:38:0631. 32?
0:38:06 > 0:38:0933? 33,500?
0:38:10 > 0:38:13No? £33,000, then, here.
0:38:13 > 0:38:15For the first time at 33.
0:38:15 > 0:38:17Second time at 33.
0:38:17 > 0:38:19Second thoughts, quickly. It's going to go.
0:38:19 > 0:38:21All done at 33,000.
0:38:21 > 0:38:24Sold at 33,000. Thank you.
0:38:24 > 0:38:26And in no time at all,
0:38:26 > 0:38:30the Worksop shop was sold for 33 grand to Rich and Lee.
0:38:31 > 0:38:35Rich, on the left, is a commercial floor layer by trade,
0:38:35 > 0:38:37whereas Lee is a shop fitter and joiner.
0:38:39 > 0:38:41They've been working together for over 15 years
0:38:41 > 0:38:43on various shop-fitting projects,
0:38:43 > 0:38:46so who could be better placed to buy this?
0:38:46 > 0:38:49It is, however, their first property venture together,
0:38:49 > 0:38:52so I met them back at the property to find out their plans.
0:38:54 > 0:38:56- Rich, nice to meet you. - Hi.- Congratulations.
0:38:56 > 0:38:59- Same to you, Lee.- Hi. - Why this property?
0:38:59 > 0:39:02We think it's got a huge amount of potential,
0:39:02 > 0:39:05and of course, it was extremely cheap in the auction.
0:39:05 > 0:39:06What are you going to do with it?
0:39:06 > 0:39:11Our intentions are to create a two-bedroom dwelling in the rear
0:39:11 > 0:39:12and to the upstairs,
0:39:12 > 0:39:15and reduce the front shop unit.
0:39:15 > 0:39:17In what areas are you going to partition off?
0:39:17 > 0:39:19Oh, at the bottom of the stairs,
0:39:19 > 0:39:21we'll put a stud partition across there
0:39:21 > 0:39:25and a small sort of kitchenette area with toilet,
0:39:25 > 0:39:26and that'll create the shop.
0:39:26 > 0:39:29And then the back area is what you see here
0:39:29 > 0:39:31and two bedrooms upstairs.
0:39:31 > 0:39:34The entrance to the shop's going to remain at the front
0:39:34 > 0:39:38and then, just to the side, there's an entrance
0:39:38 > 0:39:42where they'll lead into the rear new two-bedroomed flat.
0:39:42 > 0:39:46Well, Rich and Lee are clear about what they want to do here,
0:39:46 > 0:39:48and they both live half an hour away from the area,
0:39:48 > 0:39:50so know it quite well.
0:39:50 > 0:39:53But a change of use will require planning consent,
0:39:53 > 0:39:56so potential delays should be taken into consideration.
0:39:56 > 0:39:59I can't see that there's going to be any, any problem
0:39:59 > 0:40:04with the change of use or for the planning for the conversion.
0:40:04 > 0:40:08What makes you think there'll be no sort of hurdles, Rich?
0:40:08 > 0:40:09What makes you so confident?
0:40:09 > 0:40:13Well, we've got a great access point to enter the rear of the property,
0:40:13 > 0:40:18and it just seems that it's going to fit in superbly.
0:40:18 > 0:40:22Erm, and, you know, as we know,
0:40:22 > 0:40:26housing stock is very short in town centre locations.
0:40:27 > 0:40:29Well, they're certainly right there -
0:40:29 > 0:40:32town and city accommodation has become much more sought after.
0:40:33 > 0:40:35But planning is still never a given,
0:40:35 > 0:40:38so I hope their confidence is well-placed.
0:40:40 > 0:40:42As soon as you get in, what's the first thing you're going to do?
0:40:42 > 0:40:46We've got to take that wall down to create a bathroom
0:40:46 > 0:40:48and then partition the shop off
0:40:48 > 0:40:51and then, obviously, form the bedrooms upstairs.
0:40:52 > 0:40:56We've got a slight issue with the electric meter,
0:40:56 > 0:40:58which we're taking advice on -
0:40:58 > 0:41:00we're going to have to split the electric
0:41:00 > 0:41:03because we're making two units.
0:41:03 > 0:41:07That'll pretty much come as one of the first main jobs.
0:41:07 > 0:41:10But other than that, as you've seen and you look round,
0:41:10 > 0:41:12it is pretty much straightforward.
0:41:12 > 0:41:16Straightforward? I hope Rich hasn't jinxed it.
0:41:16 > 0:41:17In property developing,
0:41:17 > 0:41:21you never know when a nasty surprise will crop up and catch you out.
0:41:21 > 0:41:25Still, Rich and Lee do seem to know what they're doing.
0:41:25 > 0:41:27I think they can pull this venture off.
0:41:27 > 0:41:29What's your budget to turn it around?
0:41:29 > 0:41:34We're looking at about 8,000, I think, all in, legals and things.
0:41:34 > 0:41:38- That's quite a small budget, isn't it?- It is.- Absolutely.
0:41:38 > 0:41:40- Plenty of free labour. - DION LAUGHS
0:41:40 > 0:41:43- That's very true, yes.- Yeah, so... - In you two.- Yeah, exactly.
0:41:43 > 0:41:47And your turnaround time, your timescale?
0:41:48 > 0:41:50- About three months, I think. - Yeah, three months.
0:41:50 > 0:41:53We don't want to be here for much longer than that.
0:41:53 > 0:41:57And in addition to the labour and expertise they bring,
0:41:57 > 0:41:59they know various people in the trade
0:41:59 > 0:42:02who will do the electrics and the plumbing for them.
0:42:02 > 0:42:05So it looks like they've got most of their bases covered.
0:42:06 > 0:42:07But I was still interested to know
0:42:07 > 0:42:10what was the motivation for taking this project on.
0:42:13 > 0:42:16Just wanted to do something where we'd have a laugh doing it
0:42:16 > 0:42:18and hopefully make a bit of money on side,
0:42:18 > 0:42:19and that really is it.
0:42:19 > 0:42:23- It's all about enhancing our lives. - THEY CHUCKLE
0:42:23 > 0:42:25- Not creating stress. - As a business.- Yeah.
0:42:26 > 0:42:30Are you hoping... Is this the start for the two of you, then?
0:42:30 > 0:42:32Hopefully, yeah. If this goes all right.
0:42:32 > 0:42:34We've not committed to anything.
0:42:34 > 0:42:36If this goes all right, and we have a laugh doing it,
0:42:36 > 0:42:39and we'll probably do another one.
0:42:39 > 0:42:41I mean, we've bought this as a starter
0:42:41 > 0:42:43cos we see it as an easy project,
0:42:43 > 0:42:48but, you know, we wouldn't dismiss new builds
0:42:48 > 0:42:53or a much larger conversion of older properties, you know?
0:42:53 > 0:42:55- We're open to anything.- I like that.
0:42:55 > 0:42:57A businesses that'll do anything, really.
0:42:57 > 0:42:59- Nothing is going to frighten you. - No.- Not really, no.
0:42:59 > 0:43:01- Rich, I wish you all the best. - Thank you.
0:43:01 > 0:43:04- I know it'll work. Good luck, Lee. - Thanks.- Cheers.
0:43:06 > 0:43:08This is Richard and Lee's first venture together
0:43:08 > 0:43:11into the property world. Now, what more could you ask for?
0:43:11 > 0:43:15A shop fitter and a carpet expert joining forces
0:43:15 > 0:43:17to take on this building,
0:43:17 > 0:43:20dividing up the shop and making the rest of it into living quarters.
0:43:20 > 0:43:23Now, it makes good business sense to me,
0:43:23 > 0:43:24but will it all fit together?
0:43:24 > 0:43:26You can find out later on in the programme.
0:43:30 > 0:43:33So, we've seen how one of our purchasers got on.
0:43:33 > 0:43:37Did our other buyers' experiences prove fruitful or frustrating?
0:43:37 > 0:43:39Let's find out how they got on.
0:43:41 > 0:43:46Welcome back to Henry VIII's holiday destination of choice.
0:43:46 > 0:43:47Yes, it's Gainsborough,
0:43:47 > 0:43:51where I was looking round this three-bed terraced house
0:43:51 > 0:43:53guided at £20,000 plus,
0:43:53 > 0:43:56and it's safe to say things didn't start well.
0:43:57 > 0:44:00I am spotting a lot of signs of damp -
0:44:00 > 0:44:02on that wall there, that chimney breast
0:44:02 > 0:44:05and also on the floor, which is very worrying.
0:44:06 > 0:44:10# Cos I see you everywhere
0:44:13 > 0:44:17# And you're always on my mind... #
0:44:17 > 0:44:21I'm not surprised - damp everywhere would worry me too.
0:44:21 > 0:44:24But Lisha, with the help of friend, Roland,
0:44:24 > 0:44:27saw all this work as the chance to add value,
0:44:27 > 0:44:30and bought the property for £25,000.
0:44:30 > 0:44:34Although, I was a little surprised at the quote she'd being given
0:44:34 > 0:44:36for the structural repairs.
0:44:36 > 0:44:39The basic work, we'll finish in about three days.
0:44:39 > 0:44:42- Three days?! - That's what he told me.- Wow!
0:44:42 > 0:44:45- How much?- £3,000. - £3,000, three days?
0:44:45 > 0:44:48Well, if he sticks to that, that'll be, that'll be good.
0:44:48 > 0:44:53# I'm wishing on a star... #
0:44:53 > 0:44:55I'm sorry, we're being a little mean there
0:44:55 > 0:44:57because Lisha had compared other quotes
0:44:57 > 0:45:00and looked at her builder's references.
0:45:00 > 0:45:04It's just that, to me, that seemed a lot of work
0:45:04 > 0:45:06to cram into three days.
0:45:06 > 0:45:09And with a total budget of just £5,000,
0:45:09 > 0:45:13even with Roland taking on the majority of the DIY,
0:45:13 > 0:45:14money would be tight.
0:45:19 > 0:45:20Well, we've returned,
0:45:20 > 0:45:25admittedly a little later than the planned three-month timescale.
0:45:25 > 0:45:2914 months have passed, but will it all have been worth it?
0:45:41 > 0:45:45At first glance, I'd say a resounding yes.
0:45:45 > 0:45:46The house has been transformed,
0:45:46 > 0:45:49and thankfully, there's not a patch of damp to be seen.
0:45:49 > 0:45:52How did they get on sorting it?
0:45:54 > 0:45:57Yeah, apparently, the damp, actually, has come from the...
0:45:57 > 0:45:59Well, top and the bottom.
0:45:59 > 0:46:04The top, the tiles need to be refitted, and the chimney.
0:46:04 > 0:46:07The chimney, the ring, ring water comes as well.
0:46:07 > 0:46:10Yeah, there was damp underneath the floor
0:46:10 > 0:46:12rising from the ground up the walls.
0:46:12 > 0:46:14So, it's like double side.
0:46:14 > 0:46:16It's very terrible, yeah.
0:46:17 > 0:46:19# Double trouble
0:46:22 > 0:46:23# Double trouble
0:46:25 > 0:46:26# Oh, yeah. #
0:46:29 > 0:46:30What a nightmare.
0:46:30 > 0:46:34Damp from the roof down and the ground up.
0:46:34 > 0:46:37Lisha's builder fixed the roof, repointed some of the wall
0:46:37 > 0:46:41and carried out the damp proof treatment throughout,
0:46:41 > 0:46:43and you'll not be too surprised to hear
0:46:43 > 0:46:46it took a little longer than three days.
0:46:46 > 0:46:48About two weeks in total,
0:46:48 > 0:46:51which I still think is really good going.
0:46:51 > 0:46:52Once all that work was sorted,
0:46:52 > 0:46:57it was time for Lisha and DIY fan Roland to get stuck in.
0:46:58 > 0:47:01Well, after the damp proofing was done
0:47:01 > 0:47:02and the plastering was done,
0:47:02 > 0:47:07then we repainted everything and did wallpapering -
0:47:07 > 0:47:09- all that we did.- Yeah, so we did...
0:47:09 > 0:47:11- Did all the flooring, didn't we?- Yeah.
0:47:11 > 0:47:13Tiled the bathroom.
0:47:13 > 0:47:16So, he did quite a lot of work on this house, yeah.
0:47:16 > 0:47:18It's great they both did so much work,
0:47:18 > 0:47:23as that's the way you keep your costs down and make a profit.
0:47:23 > 0:47:25And it wasn't easy for them,
0:47:25 > 0:47:28especially as both Lisha and Roland live in London.
0:47:28 > 0:47:30Well, because it's so far to travel from London -
0:47:30 > 0:47:31three hours' journey -
0:47:31 > 0:47:34you know, we can't come here just for the day.
0:47:34 > 0:47:37So, every weekend, we'd stay here all weekend and go back.
0:47:37 > 0:47:40We also spent a holiday up here.
0:47:40 > 0:47:43- Yeah, so we've spent a lot of time living here, actually.- Yeah.
0:47:43 > 0:47:46It's become a bit like a second home almost, hasn't it?
0:47:46 > 0:47:48- Yeah, yeah.- Yeah.
0:47:48 > 0:47:52# It's always better on holiday
0:47:52 > 0:47:54# So much better on holiday
0:47:54 > 0:47:58# It's always better on holiday
0:47:58 > 0:48:01# So much better on holiday... #
0:48:01 > 0:48:04Remind me not to holiday with you pair.
0:48:04 > 0:48:05You should always remember
0:48:05 > 0:48:08how time-consuming developing a property is,
0:48:08 > 0:48:11particularly if travel is involved.
0:48:11 > 0:48:13But in Lisha's case, I think it was worth it,
0:48:13 > 0:48:16especially when you remember the state it was in
0:48:16 > 0:48:17when she first bought it.
0:48:20 > 0:48:22When I first bought the property, when I first saw it,
0:48:22 > 0:48:24I just couldn't believe it. I was...
0:48:24 > 0:48:28Well, I have to say, I hadn't viewed it before I bought it.
0:48:28 > 0:48:31But that was a kind of, like, mistake, and I was crying.
0:48:31 > 0:48:35So he said to me, "Lisha, don't worry, we will get there."
0:48:36 > 0:48:38And they have got there.
0:48:38 > 0:48:43OK, it's taken £10,000 rather than the planned £5,000
0:48:43 > 0:48:46and a total of 14 months,
0:48:46 > 0:48:48but it's now ready to be someone's home.
0:48:48 > 0:48:50Has it all been worth it?
0:48:50 > 0:48:54We've asked along to local estate agents to get their opinion.
0:48:54 > 0:48:56It is a reasonably well presented property.
0:48:56 > 0:48:58It does benefit from some things
0:48:58 > 0:49:02like the upstairs bathroom and the double glazing.
0:49:02 > 0:49:03My thoughts on the property are that
0:49:03 > 0:49:05it's in generally good order throughout
0:49:05 > 0:49:08and over three floors, it offers well appointed accommodation.
0:49:08 > 0:49:11Lisha bought this house to sell on,
0:49:11 > 0:49:14but what kind of rental could it achieve?
0:49:14 > 0:49:17In the rental market, a property like this would be worth
0:49:17 > 0:49:19approximately £300 per calendar month.
0:49:19 > 0:49:22In the current rental climate, I would expect this property to
0:49:22 > 0:49:24achieve somewhere in the region of 300
0:49:24 > 0:49:27to a maximum of £325 per calendar month.
0:49:27 > 0:49:31That would mean an impressive yield of 11%.
0:49:31 > 0:49:36What kind of profit would Lisha make on her £35,000 investment?
0:49:36 > 0:49:39I would recommend putting the property on the market for sale
0:49:39 > 0:49:42somewhere in the region of £35,000.
0:49:42 > 0:49:43In the current sales climate,
0:49:43 > 0:49:45I would anticipate this property could achieve
0:49:45 > 0:49:48somewhere in the region of £35,000 on the open market.
0:49:48 > 0:49:50I was hoping to get 50, at least.
0:49:50 > 0:49:53If we can't get what we want, we'll have to rent it, won't we?
0:49:53 > 0:49:55- Yeah.- For it to work. Yeah.
0:49:55 > 0:49:58- And then, hopefully, we can get more like what we want.- Yeah.
0:49:58 > 0:50:01Hopefully the market will pick up in the future.
0:50:01 > 0:50:04Unfortunately, markets can go down as well as up,
0:50:04 > 0:50:05and some houses in this area
0:50:05 > 0:50:08are selling for less than they once were.
0:50:08 > 0:50:11One of the agents also felt that a more substantial kitchen
0:50:11 > 0:50:14might have improved the price of this property.
0:50:14 > 0:50:17On the bright side, Lisha hasn't lost money,
0:50:17 > 0:50:20and this is certainly a viable rental property.
0:50:20 > 0:50:23So, after this, her first UK development,
0:50:23 > 0:50:26will Lisha and Roland be tackling any more?
0:50:27 > 0:50:28- Yeah.- Yes, definitely consider it.
0:50:28 > 0:50:30But we'll do more research next time.
0:50:30 > 0:50:33Definitely come and have a look at it, for one thing.
0:50:42 > 0:50:44Welcome back to Worksop in Nottinghamshire,
0:50:44 > 0:50:47where I was looking at this little commercial property
0:50:47 > 0:50:49guided at £32,000.
0:50:49 > 0:50:51At least, it looked little from the outside.
0:50:54 > 0:50:57But what surprised me is how far it goes back.
0:50:57 > 0:51:00It's long and thin, but there's a lot to explore over there.
0:51:00 > 0:51:01I'm going to investigate further.
0:51:01 > 0:51:05# Is that you, baby?
0:51:05 > 0:51:10# Or just a brilliant disguise? #
0:51:14 > 0:51:16Yes, that unspectacular frontage
0:51:16 > 0:51:18was actually a surprisingly large property
0:51:18 > 0:51:21which included an upstairs mezzanine level
0:51:21 > 0:51:22and a second entrance.
0:51:24 > 0:51:29It was bought by business partners Rich and Lee for £33,000.
0:51:29 > 0:51:31They were hoping they could make a profit on this
0:51:31 > 0:51:33by keeping the front as a shop
0:51:33 > 0:51:36and turning the upper and rear sections into a two-bed flat.
0:51:40 > 0:51:42Just wanted to do something where we'd have a laugh doing it,
0:51:42 > 0:51:44and hopefully make a bit of money on side,
0:51:44 > 0:51:46and that really is it.
0:51:46 > 0:51:49- It's all about enhancing our lives. - THEY CHUCKLE
0:51:49 > 0:51:52- Not creating stress.- As a business.
0:51:52 > 0:51:54# Well, that'll be the day
0:51:55 > 0:51:56# Oo, oo. #
0:51:58 > 0:52:01Well, I'm yet to see a stress-free development.
0:52:01 > 0:52:03Though the guys haven't worked together in the past,
0:52:03 > 0:52:05they have both developed properties before
0:52:05 > 0:52:08and had given themselves an £8,000 budget
0:52:08 > 0:52:10and a timescale of three months.
0:52:12 > 0:52:14Would we come back to see, not just a new property,
0:52:14 > 0:52:16but a new, relaxed Rich and Lee?
0:52:23 > 0:52:26Well, it's time to find out. Four months later, we've returned.
0:52:38 > 0:52:41Gone is that tired-feeling commercial space,
0:52:41 > 0:52:45and in its place, a compact but neat and modern-looking shop.
0:52:46 > 0:52:49And all that space at the back, well, as hoped,
0:52:49 > 0:52:52Rich and Lee have turned it into a residential property.
0:52:53 > 0:52:57On the ground floor is an open-plan kitchen-living area,
0:52:57 > 0:52:58along with a bathroom,
0:52:58 > 0:53:00and upstairs, there are two bedrooms.
0:53:03 > 0:53:05We met Rich to find out how the pair got on
0:53:05 > 0:53:08converting this into a residential property.
0:53:09 > 0:53:13The planning permission went through really smoothly.
0:53:13 > 0:53:17It was a simple case of filling in the appropriate forms.
0:53:17 > 0:53:20Building Control came out initially,
0:53:20 > 0:53:23and we picked their brains on a few issues,
0:53:23 > 0:53:25and we got the answers we needed.
0:53:25 > 0:53:28And all we need now is the final visit to sign it all off.
0:53:30 > 0:53:32Though there weren't any problems
0:53:32 > 0:53:33with planning and building regulations,
0:53:33 > 0:53:37connecting the electricity to the new property was a different matter.
0:53:39 > 0:53:43We had to apply for a new electric supply to be fitted -
0:53:43 > 0:53:46that came with a few problems.
0:53:46 > 0:53:49The process is quite difficult and costly.
0:53:49 > 0:53:52The road had to be dug up,
0:53:52 > 0:53:56there was an issue finding the correct cable.
0:53:56 > 0:53:58# Let's get it on
0:53:59 > 0:54:02# Oh, baby
0:54:02 > 0:54:03# Let's get it on
0:54:05 > 0:54:07# Let's love, baby... #
0:54:07 > 0:54:09Yes, it's worth bearing in mind that
0:54:09 > 0:54:11getting new amenities connected and turned on
0:54:11 > 0:54:14can be more complicated than you think.
0:54:15 > 0:54:16In Rich and Lee's case,
0:54:16 > 0:54:19because the new supply involved digging up the road,
0:54:19 > 0:54:21they had to liaise with the local council
0:54:21 > 0:54:23as well as the energy company.
0:54:23 > 0:54:27How badly did it affect their eight grand budget, though?
0:54:27 > 0:54:31Oh, we've overspent on that initial budget,
0:54:31 > 0:54:35but that's been down to the new electric supply,
0:54:35 > 0:54:39and also that we'd planned on doing all the work ourselves,
0:54:39 > 0:54:41but that hasn't worked out.
0:54:41 > 0:54:44Lee was busy on a shop fitting,
0:54:44 > 0:54:47and I had a problem with my back,
0:54:47 > 0:54:49and so we made the decision that
0:54:49 > 0:54:53we were going to employee different trades to do the work.
0:54:55 > 0:54:58Well, Rich, don't be coy - how much have you spent?
0:55:00 > 0:55:04We've spent £11,000 altogether.
0:55:05 > 0:55:08Oh, dear. That's three grand more than the original budget,
0:55:08 > 0:55:09and not surprisingly,
0:55:09 > 0:55:13this has had an impact on their three-month timescale as well.
0:55:14 > 0:55:16We'd originally hoped that
0:55:16 > 0:55:18the project would've taken three months.
0:55:18 > 0:55:24However, from a slow start in the planning application,
0:55:24 > 0:55:28it's taken a little bit longer than we'd hoped for.
0:55:28 > 0:55:32However, after obtaining planning permission,
0:55:32 > 0:55:36we really have completed the works in seven weeks
0:55:36 > 0:55:38after we made a start.
0:55:39 > 0:55:42It's taken them a little longer than they planned,
0:55:42 > 0:55:46but having spent £33,000 at auction and 11 grand on the development,
0:55:46 > 0:55:49it's time to ask along two local experts
0:55:49 > 0:55:52to see what they think of Rich and Lee's new layout.
0:55:54 > 0:55:56Totally transformed property from what it was before.
0:55:56 > 0:56:00Very much down at heel, needed a lot of work doing to it,
0:56:00 > 0:56:01and I thought, from what I can see,
0:56:01 > 0:56:03I think the standard achieved has been very good.
0:56:03 > 0:56:05I'm really impressed.
0:56:05 > 0:56:10The property is pretty spacious, it's done to a good spec,
0:56:10 > 0:56:13there's no sort of corners that have been cut or anything like that,
0:56:13 > 0:56:15so, no, I'm really impressed with it.
0:56:15 > 0:56:17And what do the agents think
0:56:17 > 0:56:20is the best way of getting the biggest return
0:56:20 > 0:56:22on these two properties?
0:56:22 > 0:56:24My recommendation for the owner
0:56:24 > 0:56:27would be to sell the property as a whole.
0:56:27 > 0:56:29I think there would be too many issues
0:56:29 > 0:56:31with regards to sort of splitting the property
0:56:31 > 0:56:33within the two elements.
0:56:33 > 0:56:36If this was my property, having had it refurbished,
0:56:36 > 0:56:39I would rent it out, I would get two incomes from it,
0:56:39 > 0:56:42I would then sell it on the open market
0:56:42 > 0:56:44as a mixed commercial retail unit
0:56:44 > 0:56:47with an income as an investment property.
0:56:48 > 0:56:51As Rich and Lee want to sell, to get the highest value,
0:56:51 > 0:56:54they should first try and get tenants in
0:56:54 > 0:56:56and sell both properties as one concern.
0:56:56 > 0:56:59If they did, what's the total sales value they could expect?
0:57:03 > 0:57:08I would expect to achieve somewhere around £60,000, £65,000.
0:57:08 > 0:57:09Maybe a shade more.
0:57:09 > 0:57:14My evaluation for both the residential and retail shop
0:57:14 > 0:57:16would be £55,000 to £65,000,
0:57:16 > 0:57:19the higher being if the properties were rented.
0:57:20 > 0:57:23Having spent a total of 44 grand,
0:57:23 > 0:57:27that top valuation would give them a pre-tax profit of £21,000.
0:57:30 > 0:57:35Well, we've actually had an offer for in excess of that already,
0:57:35 > 0:57:38and we're just deciding on whether to take that.
0:57:39 > 0:57:41Well, that's good news.
0:57:41 > 0:57:44So, financially, this has been a success for Rich and Lee,
0:57:44 > 0:57:47but has the project proven to be the fun, relaxing work
0:57:47 > 0:57:48they were hoping for?
0:57:52 > 0:57:57Erm... The project's been quite entertaining at times.
0:57:57 > 0:58:01We have had a lot of laughs, we've had a few arguments as well,
0:58:01 > 0:58:04but we're still great friends at the end of it.
0:58:08 > 0:58:10Well, that's it for today's show. We'll be back next time
0:58:10 > 0:58:13with more stories from the property auction room.
0:58:13 > 0:58:15Yes, we'll see you then for more Homes Under The Hammer.
0:58:15 > 0:58:17- Goodbye.- Goodbye.- Bye-bye.