Episode 75 Homes Under the Hammer


Episode 75

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Transcript


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Welcome to the show. It's no secret that there are opportunities

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for good investment in the property market.

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No, it certainly isn't,

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especially given how much we talk about it.

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But how do you make a good investment?

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Well, don't overspend, make a plan, have a budget

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and stick to it, and possibly buy your next home under the hammer.

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There are all kinds of reasons for buying property at auction...

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But the main one is possibly get yourself a bargain.

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Yeah, so let's see what today's buyers managed to do.

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In Streatham, South London,

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this four-bed mid-terrace has a really cute roll-top bath,

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but there's not enough room for the both of us.

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I'm reminiscing about the good old days in this two-bedroom

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apartment in Newport, Shropshire.

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Would you mind just giving me a minute? I'm getting quite emotional.

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Drastic measures to support a dodgy wall

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at this three-bedroomed end terrace in Cwmfelinfach, South Wales.

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I could just stay here for a little bit longer. There you go.

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All of these properties have been sold at auction.

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We'll find out who bought them and what they paid for them

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when they went under the hammer.

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Yours, sir. Well done.

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Nowadays, Streatham has a busy high street

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with plenty of local amenities, as well as three train stations with

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services into central London.

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It's hard to believe now, but Streatham was once a village

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with natural springs, celebrated for their health-giving properties.

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Now, I've travelled a mile and a half from the centre to an area

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known as Streatham Vale, which is becoming more and more desirable.

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On the downside? Well, this can be a busy road,

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but on the upside?

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Well, there are local amenities right on your doorstep, as well as

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something else that can never be taken for granted in London -

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unrestricted on-street parking.

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Now, that'll save you the cost of the permit

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and it'll also save visitors having to root around

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in their wallets to find a pay-and-display.

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So, I'm here to see a four-bedroomed mid-terrace house

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and it had a guide price of £250,000 plus.

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Sounds like a lot of property for the money in this area.

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But how much healing will it need on the inside?

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I think whoever buys this 1930s property will be needing

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more than spa water to breathe new life into it.

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Straight away, this house has got such a wonderful feel.

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A really nice front door, a fantastic hallway.

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Everything has been stripped so it sounds quite hollow,

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but lots of wood everywhere. Panelling all along here,

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which, once you've painted, will look lovely,

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a great-sized lounge and a fantastic fireplace.

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It's made out of marble.

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Once you've given that a bit of TLC, that would come up a treat.

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What I would change are the windows.

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They're metal and they certainly don't look right and, um, well,

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round here, you've got... Well, you've got a very open-plan kitchen

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and a sort of loungey-dining room area, I suppose.

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French doors out to the garden.

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I love that dresser! That would look beautiful painted.

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Again, you could use the same paint on this. Little table and chairs

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in here to demonstrate how you can eat in this kitchen.

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It's got a really nice feel, this house. So far, so good.

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One key skill, when renovating an old house like this,

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is to strike the correct balance between old and new features.

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# No matter what the future brings

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# As time goes by. #

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And remember, before you skip anything,

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check out the value at a local reclamation yard.

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The bedrooms on the first floor comprise a small one to the front...

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..a medium-sized one to the rear...

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and the largest overlooking the front.

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# Where the blue of the night

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# Meets the gold of the day

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# Someone waits for me

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# And the gold of her hair

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# Crowns the blue of her eyes

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# Like a halo tenderly... #

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There's some really lovely quirky little features in this house.

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These beautiful, stripped-back, grey wooden floorboards and these -

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'30s panelled doors, absolutely gorgeous.

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But the biggest surprise is in this bathroom.

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A wonderful roll-top bath!

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So lovely, but there's not enough room for the both of us.

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# Splish splash I was taking a bath

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# Long about a Saturday night

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# Rub-dub Just relaxing in the tub... #

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So up to bedroom number four and, OK, it's not too small up here,

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but with the pitch of the roof, the head height,

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well, it's a bit restricted, so what would you do to improve it?

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Not great.

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I think it's crying out for a dormer window extension through here.

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That would rarely improve the size of this space.

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It would give more head height and I think you need to try

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and think about fitting an en-suite bathroom up here as well.

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It would really make a difference.

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The top of the door reveals the scale of the height problem

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and, providing the floor has been strengthened

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to pass building regulations,

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a dormer would easily add value.

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Out the back here and you've got a fairly decent-sized garden.

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Plenty of space for the kids to play in

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or a barbecue when the British sun decides to shine.

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Like today, it's amazing!

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But could you do anything else with this garden?

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Maybe think about extending. The house already has four bedrooms,

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so I don't think you need to add any more of those, but you could

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perhaps think about a single-storey extension out here

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to improve on that ground floor space and then you could create

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a really lovely kitchen and diner out the back here.

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That extra living space would really add to the saleability

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of a house like this.

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We called upon the services of a local estate agent

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to get his opinion and valuations.

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The layout of the property on the ground floor,

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it does actually work quite well.

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There's a few minor tweaks and changes you might want to make.

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The main one is,

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it looks like there's a supporting pillar

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that is in between the dining area and the kitchen.

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That could be knocked through to make it a nice big open-plan space

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and maybe block up the original kitchen door

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and just have one entrance through to the rear of the property.

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I think that would work really well.

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There are so many combinations of possible extensions, let's stick

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to the value of the house after a straightforward refurbishment.

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Once renovated, without extending the property,

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this would achieve approximately 475 to £480,000.

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With a guide price of £250,000,

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it seems that there's money to be made here.

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What about rental?

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Once renovated, this property would achieve

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approximately £1,800 per calendar month.

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Well, that's the London factor for you. Elsewhere in the country,

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we'd be looking at much lower values than that.

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Yes, there are some issues to iron out with this house,

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but there is also plenty of space to work with.

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That says potential to me and, brought back to full health

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and fully refurbished, well, this could be a lovely family home.

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Who agreed? Let's head to the auction and find out.

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Move on to lot 96.

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Four bedroom mid-terrace house

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in need of modernisation.

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Looking for 250. Don't want to go too much lower.

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240 anywhere?

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240 I've got.

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245. 250. It's with the lady here on my right.

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Anybody else? 255, sir, yeah? 255.

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260.

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Leaving the guide price way behind,

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bids continue and we rejoin at 348,000.

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348, 349, 350, 351.

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352, 353, 354.

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No? It's with you, sir. Blue jumper. £353,000.

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The bid's with you,

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it's against the lady at the front here on my right.

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Anybody else?

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If not, 353 for the first, 353 for the second, 353 for the third.

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354, back in. Nearly. 355? 356.

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Sure? I'll go through it again.

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355 for the first, 335 for the second, 355 for the third

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and final time, all done?

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-GAVEL BANGS

-Sold 355.

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The successful bid came from Daryl.

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He and his brother, Richard,

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have been developing properties for ten years.

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I met brother Richard, a professional rugby player,

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back at their £355,000 purchase to talk about their plans.

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-Richard, lovely to meet you today.

-Yes, lovely to meet you.

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-Congratulations.

-Thank you.

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Now, you weren't actually bidding for this at the auction, were you?

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Well, me and my brother went to the auction together.

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I was there in the morning.

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I then had to go off for some other business.

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My brother stayed and I trusted it to him

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and we ended up with this one.

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Were you happy with the outcome, the price he paid?

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We paid less than what our target was,

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so we're actually very happy with the price we paid.

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It's a great property.

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It almost like a blank canvas for us to just gut it

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-and send the builders in.

-This is a really great property.

-Thanks.

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I walked in here and thought, wow!

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I like it, it's got a lot of shabby chic style to it

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and a lot of people would love to live in this as it is,

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but I'm sure you have got major plans for the place?

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As you might be able to tell,

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not everything here necessarily meet building regs.

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-Like the wall behind us here.

-That bit of wall!

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Yeah, this little bit of wall here, that's going to have to come out.

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We'll probably need to stick a steel in above,

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so there's going to be a bit of work to do.

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We want to turn this back into, give it new life

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and turn it back into a good family property.

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It really is that, it's a big, solid, four-bedroom family house

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and it does work.

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There are a few things you could tweak to make it even better,

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so what is your plan? Where are you going to go from here?

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We're going to build a dormer onto the back

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to create a lot more space up there.

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Fabulous, it really needs a dormer.

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It just doesn't work as it is. It's like, I need to see outside!

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Exactly.

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We'll probably be able to fit an en-suite up there as well,

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so we're going to have a lovely big master en suite. Redo the bathroom.

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Downstairs, we're going to put a downstairs toilet

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-into the cupboard under the stairs.

-Fabulous.

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Anything that's going to add value because ultimately,

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this is an investment for us.

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How do you cope with your rugby training

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and your matches alongside property development?

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-Surely that must keep you busy?

-It does, yeah.

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The nature of a rugby player, we can't, it's the nature of any

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sportsman, you can't be training every hour of every day.

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Your body physically can't hack it, so you do get a lot of downtime.

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Training is hard, you're physically tired, but it lends itself quite

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nicely to doing some work outside, to have some other interests.

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I will look to get out of rugby in the next couple of years.

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I'm 30 now and I don't want to be playing for too much longer,

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to try and save the body little bit.

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-Yes, actually, you still look intact.

-Relatively.

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I've got a little bit of a cauliflower ear and scars.

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Your nose is all right. Yeah, it's looking good.

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Thank you, it's very nice of you to say.

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So you only think you have a few more years left in rugby?

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Well, potentially.

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I'm involved with Canada now, we have the World Cup coming up

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at the end of this year, so I would hope to be involved in that.

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That is going to be the pinnacle of my rugby career.

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I'd love to get to the end of next season with the option of

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either carrying on playing or going into full-time property developing.

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So, let's talk about this property.

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How much money and budget do you have?

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We're not going to be doing any of the work ourselves.

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We've got a team of builders that are going to do the work for us.

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We're satisfied they'll do a good job for us.

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So, what's the budget? How much?

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They've assured us they'll get everything done

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that we're asking for, for £50,000.

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Wow, that's fantastic!

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How long do you think it will take you to do the work?

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We've budgeted four to five months.

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-The builders assured us it will be done in four.

-Another assuring!

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-That's £50,000 and five months work.

-Quite, you take that as it is.

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It's an assurance, it's not a guarantee.

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So, Richard, what happens after this investment?

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Well, we would like to roll straight onto the next one.

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The idea being that we've added enough value here to be able

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to borrow against the added equity

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-and that can go towards our next project.

-You're quite hungry for it.

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Property developing really is something that you're

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-getting into in a big way now?

-Well, absolutely.

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I hope for it to be my career when I retire from rugby.

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We're going to finish this project about the time

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-I'm hopefully playing with Canada in the World Cup.

-Are you?

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Hopefully. I need to get selected first. But ultimately,

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we just want to be able to flip straight onto the next one.

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Well, I'm really excited to see the outcome.

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-We will be back in five months to check up on you.

-Great.

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Now, I'd like a rugby player's handshake please.

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-Thank you and good luck.

-Cheers, thanks very much.

-Thank you.

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So, rugby player Richard has big plans to whip this property

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into shape, but how will he choose to tackle the renovations?

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Well, we'll touch down later on in the show and you can find out.

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Six miles north of Telford, Shropshire,

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lies the pretty market town of Newport which has been

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a place of settlement since the Saxon times.

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Despite a fire in 1665, some historic buildings remain today.

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# Built to last! #

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Although much more modern, the lot I'm here to see is just as sturdy.

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Say what you like about local authority blocks of flats,

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but there's one thing you have to say - they were built properly

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and you won't find any stud walls in there.

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It's in there, on the first floor, we find our property.

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It's got two bedrooms and has a guide price of £65,000 plus.

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Let's take a look.

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And this leasehold flats comes with a 99-year lease

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and an annual service charge of £543.

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I have to say, from the outside, it all looks clean and tidy

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and well maintained.

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OK, we have a small little hallway here.

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Large lounge just over there, but I'll come back to that.

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In here, we've got some storage. A nice big storage cupboard there.

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Straight into the kitchen, which...

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a bit of damp or mould in the corner just there.

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The kitchen would need to come out.

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A brand-new kitchen in here, freshen it up a bit.

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Some new flooring as well and that'd be really nice.

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Extra storage in there as well. A good-sized kitchen. Happy so far.

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Into this area and we've got the bathroom in here.

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More signs of damp as well

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and it all seems to be centred near the windows or above the windows.

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But this, you may be able to salvage.

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A bit of elbow grease in there,

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maybe paint the radiator as well and I think you'd be OK.

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I'm liking what I'm seeing so far.

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Yes, the basic layout to the flat is great.

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It will need a new kitchen,

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but I think you might be able to save the bathroom.

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And that damp? Well, this place has been unoccupied for a while

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and, with the windows closed and no heating,

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this looks like it might be damp from condensation.

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Open the windows, get that heating on, I reckon the damp will be gone.

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I think I'd still bring an expert in just to be sure.

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OK, let's check out that lounge.

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And what a nice-sized lounge it is as well.

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Loads of light coming in through that huge window.

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There's a few signs of damp in and around the room,

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but nothing too major.

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Great spaced lounge, but...

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I just want to show you this additional piece of space.

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Normally, you don't get any outside space with a flat, but here, you do.

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And this is definitely a bonus.

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OK, well, the views might not be exactly stunning

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but it's a chance to open a door and...

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# Get outside

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# Get outside. #

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And with no garden,

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this little bit of outside space can really make a difference.

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So I'm here in the master bedroom and it's a really nice-sized room.

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Lots of light coming in.

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You need some new carpet in here, decorate it throughout

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and it would be done.

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But I'm over here near this cladding.

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Now, it can hide a multitude of sins, but somebody has already been

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investigating and that looks OK to me.

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Let's check out the other bedroom.

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And into the second bedroom, which is my favourite, and that is why.

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Look at that wallpaper. Get in there!

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-# We're playing for England

-England!

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# We're playing the song

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# We're singing for England... #

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This is pretty much finished to me.

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The only thing you'd want to change is the carpet,

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cos everything else is perfect.

0:17:570:17:59

Would you mind just giving me a minute? I'm getting quite emotional!

0:18:030:18:07

It's taking me back, so if you got just...

0:18:070:18:09

If you wouldn't mind, just leave me in here alone, I'd appreciate it.

0:18:090:18:13

Thank you. All the way.

0:18:140:18:16

-# We're singing for England

-England! #

0:18:160:18:19

'Sorry about that. It might've only been four caps,

0:18:190:18:22

'but playing for my country was undoubtedly one of my highlights

0:18:220:18:26

'and a great honour, I might add.'

0:18:260:18:28

But a bit like the general decor of this flat, it's now in the past.

0:18:310:18:35

It wouldn't take much effort to resurrect it

0:18:380:18:40

and bring it back to tip-top shape.

0:18:400:18:42

The flat, I mean, not my football career.

0:18:420:18:44

The knees have definitely gone.

0:18:440:18:46

What does a local property expert think?

0:18:490:18:52

Can this flat be Premier League? And what can he tell us

0:18:520:18:55

about this part of the country?

0:18:550:18:57

Newport is a desirable town.

0:19:000:19:01

It's just outside of Telford, which is a major shopping centre,

0:19:010:19:04

but Newport's very self-sufficient.

0:19:040:19:06

The schooling's very highly regarded here and there's

0:19:060:19:08

some really good local amenities and transport links as well.

0:19:080:19:11

But if the location is up to spec,

0:19:110:19:13

what's needed to be done to the flat to prepare it for modern life?

0:19:130:19:17

It wouldn't take very much. It is just generally cosmetic attention.

0:19:170:19:20

The kitchen maybe needs replacing.

0:19:200:19:22

Otherwise, just general decor and carpeting, I think.

0:19:220:19:25

This flat was guided at £65,000 plus,

0:19:250:19:29

so is there most potential uplift in the value to be had?

0:19:290:19:33

Resale of the property, once the work is carried out,

0:19:330:19:35

would be around £95,000.

0:19:350:19:38

That's encouraging, considering, on the face of it,

0:19:380:19:40

how little work is needed here.

0:19:400:19:42

What about the rental returns?

0:19:420:19:44

The property would rent for

0:19:460:19:47

approximately £500 per calendar month once the work was done.

0:19:470:19:50

There's not a lot you can say about this flat

0:19:520:19:55

and there's definitely not a lot that needs doing.

0:19:550:19:57

Yes, you would have to deal with that damp issue,

0:19:570:19:59

but I'm 99% sure that it's just

0:19:590:20:02

because this place has been closed up for a few months.

0:20:020:20:04

You'd have to modernise it

0:20:040:20:06

and hopefully keep that wallpaper as well.

0:20:060:20:09

Let's see who won it when it went under the hammer.

0:20:090:20:12

Lot 62. It's a two-bedroomed first floor apartment.

0:20:120:20:16

It is in need of modernising. 60 to start?

0:20:160:20:18

60 bid. Thank you. At £60,000.

0:20:200:20:22

62, can I see now? 62.

0:20:230:20:25

64. 66.

0:20:250:20:27

At £66,000.

0:20:290:20:31

One, you're saying. 67. 68 now to my right.

0:20:310:20:34

£68,000. 69?

0:20:340:20:36

69 on the phone.

0:20:370:20:40

70.

0:20:400:20:41

71.

0:20:410:20:43

At £70,000, then, to my right. At £70,000.

0:20:450:20:48

71 anywhere else? If not, £70,000 once...

0:20:480:20:52

£70,000 twice...

0:20:520:20:54

Third and final time. At £70,000...

0:20:540:20:58

Your lot, well done.

0:20:580:21:00

And so the hammer fell at £70,000.

0:21:000:21:03

Hidden from our camera, the successful bidder was Sandra.

0:21:050:21:08

Sandra is an English teacher and, together with her husband,

0:21:100:21:13

Simon, they've been building up a small property portfolio.

0:21:130:21:16

I met her back at the flat to find out more.

0:21:180:21:21

-Sandra, nice to meet you.

-Nice to meet you.

-Congratulations.

0:21:210:21:24

-Thank you.

-You've got yourself a very nice flat.

0:21:240:21:27

-What attracted you to this flat?

-I think the town.

-Yeah?

0:21:270:21:30

-It's quite a vibrant little town.

-Do you know the area?

0:21:300:21:33

-Do you know it well?

-Yes, very well. I live quite near.

-Oh, so you...?

0:21:330:21:36

I feel quite comfortable that it's a decent flat and a decent area.

0:21:360:21:39

-Did you view the flat?

-Yes.

-Good. Did you read the legal pack?

-I did.

0:21:390:21:43

Get in there. So, in the legal pack,

0:21:430:21:45

was there anything that surprised you or shocked you?

0:21:450:21:47

Not shocked. But interesting. It made me go back to the figures.

0:21:470:21:51

So, for example, the service charge on this flat, it's about

0:21:510:21:54

£46 a month, which is quite expensive for this type of flat.

0:21:540:21:58

The other one I've bought is about £10 a month.

0:21:580:22:01

And, equally, they've got a planned spend on the building over

0:22:010:22:04

the next three years, I think it is.

0:22:040:22:06

And I'm getting my legal packs a bit confused, but it's a few

0:22:060:22:09

-thousand, so roughly that equates to an extra £150 a month costs.

-Wow.

0:22:090:22:15

'Well, I'm glad to hear that teacher Sandra

0:22:150:22:18

'had done her homework on this one.

0:22:180:22:19

'Gold star and go to the top of the class, young lady.

0:22:190:22:23

'And it had meant she has spotted a few hidden extras in that

0:22:230:22:26

'all-important legal pack.'

0:22:260:22:28

What are you going to do to it?

0:22:280:22:31

If anything!

0:22:310:22:33

Of course, it's beautiful. New kitchen, new bathroom, new carpets.

0:22:330:22:37

-And decorate and then I think it's good to go.

-Quite a lot of damp.

0:22:370:22:41

-Yes.

-Doesn't seem too severe for me, really.

-I didn't think so.

0:22:410:22:44

When I looked at it, it's that kind of damp where people haven't opened the windows.

0:22:440:22:48

I also just checked with the neighbours. I knocked on the door and said, "Excuse me.

0:22:480:22:52

-"Have you got any damp problems?" "No." So, I felt quite confident that's just a...

-Good for you.

0:22:520:22:57

..quick, easy clean.

0:22:570:22:58

-So who's going to do the work?

-Erm... Not me.

-Is that you out?

0:22:580:23:04

Yeah, yeah.

0:23:040:23:06

I've got a nice builder whose children go to school with mine,

0:23:060:23:09

so I'm hoping he'll do me a nice deal.

0:23:090:23:12

-And if he doesn't...

-You'll find someone else.

-Yeah.

0:23:120:23:15

They'll have to make new friends.

0:23:150:23:18

Nice painter and decorator.

0:23:180:23:19

A couple of kitchen companies are going to look around,

0:23:190:23:22

measure up and give me some nice quotes. We'll go from there.

0:23:220:23:25

-New bathroom or you going to try and resurrect that?

-That's a hard one.

0:23:250:23:28

My builder wants me to resurrect it, but I think that's cos

0:23:280:23:31

he just doesn't want to do it, cos it's tiling, but it needs a new one.

0:23:310:23:35

I think, really. I want it to be as nice as...

0:23:350:23:38

-Nice enough, if I want to live in it, then...

-Yeah. Completely.

0:23:380:23:42

-What's your budget?

-I think I could do it in five.

-Mm-hm.

0:23:420:23:45

Maybe even slightly under.

0:23:450:23:47

OK.

0:23:470:23:48

Five grand should be enough for this flat and Sandra's given herself

0:23:480:23:52

two months to get the work carried out and get on the rental market.

0:23:520:23:55

So your other properties, your other ventures, are they similar to this?

0:23:570:24:01

Do you stick to flats? Or do you get all kinds of properties?

0:24:010:24:05

I'm still in the baby stages, so I've got a few... What have I got?

0:24:050:24:09

Two two-bed terraces, a flat in Glasgow

0:24:090:24:12

and I've just, the month after this auction,

0:24:120:24:15

I bought another one at the same auction, just round the corner.

0:24:150:24:18

Good on you. Why did you get into property in the first place?

0:24:180:24:21

I love what I do. I teach and I love it.

0:24:210:24:23

But I don't think I'll be such an enthusiastic teacher at 67,

0:24:230:24:27

so this is kind of the retirement plan and it's quite fun.

0:24:270:24:30

And it seems to be working for you, otherwise you wouldn't have

0:24:300:24:33

got to the situation of having as many as you have.

0:24:330:24:36

There are risks, yeah. We didn't rent the Liverpool one out for about three months

0:24:360:24:39

and, fingers crossed, it should rent out at the end of this month.

0:24:390:24:42

-So... But another one paid for it, so it was OK.

-Good for you.

0:24:420:24:45

-Too many of those and that would be bad.

-That's it, exactly.

0:24:450:24:47

-You've got to be careful what you get, what you buy.

-Yeah.

0:24:470:24:50

-Sandra, I wish you good luck.

-Thank you.

-I'm sure you'll be fine.

0:24:500:24:53

-Take care.

-Thank you.

0:24:530:24:55

I think this will be a walk in the park for Sandra to turn around.

0:24:550:24:59

She has got other properties up and down the country,

0:24:590:25:02

but I'm pretty sure this will be her easiest renovation to date.

0:25:020:25:06

She's also done her research and read the legal pack.

0:25:060:25:09

The only question I have is what yield is she going to achieve?

0:25:090:25:12

You can find that out later in the programme.

0:25:120:25:15

Coming up, I've seen damp before,

0:25:150:25:17

but this property in South Wales has turned it into an art form.

0:25:170:25:21

This wall... Look at it.

0:25:210:25:23

Wow!

0:25:230:25:24

And we find out why emotions are running high for teacher

0:25:270:25:30

Sandra in Newport, Shropshire.

0:25:300:25:32

I feel emotional.

0:25:320:25:34

Back now to Streatham, South London,

0:25:400:25:42

to an area close to Norbury Station called Streatham Vale

0:25:420:25:46

where earlier I spotted an opportunity to add value to

0:25:460:25:49

this 1930s four-bedroom mid-terrace

0:25:490:25:52

by adding a dormer to the rear roof space.

0:25:520:25:55

That would really improve the size of this space.

0:25:550:25:58

It would give more head height and I think you need to try

0:25:580:26:01

and think about fitting an en-suite bathroom up here as well.

0:26:010:26:04

It would really make a difference.

0:26:040:26:06

The property was sold at auction for £355,000 as a joint venture between

0:26:060:26:12

Daryl, who put the bid in, and his professional rugby playing

0:26:120:26:15

brother, Richard, with a view to renting after refurbishment.

0:26:150:26:19

It was clear that the house needed a significant amount of work,

0:26:210:26:24

but Richard was equally clear that the future for the two brothers

0:26:240:26:28

lay in property development.

0:26:280:26:30

They already had their eyes set on their next venture.

0:26:300:26:33

I hope for it to be my career when I retire from rugby.

0:26:340:26:37

We're going to finish this project about the time that I'm

0:26:370:26:40

hopefully playing with Canada in the World Cup.

0:26:400:26:42

I need to get selected first. But ultimately,

0:26:420:26:45

we just want to be able to flip straight on to the next one.

0:26:450:26:47

-Well, I'm really excited to see the outcome. We will be back in five months to check up on you.

-Great.

0:26:470:26:53

Well, Richard did get selected

0:26:530:26:55

and passed the refurbishment ball to Daryl.

0:26:550:26:59

Now, Richard got back the night before we came to film,

0:26:590:27:01

so will he be happy with the conversion or will

0:27:010:27:04

he think Daryl should have TRIED harder?

0:27:040:27:07

# When I can't find the words I just go

0:27:090:27:12

# Doo-doo, doo-doo, doo-doo

0:27:120:27:15

# I don't like it, no, I love it. #

0:27:150:27:19

What's not to love?

0:27:190:27:20

The sleek units, appliances and tiling make for a modern finish.

0:27:200:27:25

# I love it. #

0:27:250:27:26

Closing off the old kitchen door

0:27:310:27:33

and removing that stub of a wall has really opened this room up.

0:27:330:27:38

And it allows access under the stairs now for a downstairs loo.

0:27:380:27:43

New windows, heating, electrics, flooring

0:27:430:27:47

and replastered walls give this '30s something a new lease of life.

0:27:470:27:51

# Doo-doo, doo-doo-doo

0:27:520:27:55

# I don't like it, no, I love it. #

0:27:550:27:59

And the new feel continues upstairs, where I'm sad to see the panel doors

0:27:590:28:05

and the roll top bath haven't survived the renovation.

0:28:050:28:09

But I suppose, well, they're not to everybody's taste,

0:28:090:28:12

whereas the neutral tone splashback provides a fairly safe backdrop.

0:28:120:28:16

The largest bedroom on the first floor looked like this. And now...

0:28:190:28:24

# I don't like it, no, I love it.

0:28:290:28:32

# Doo-doo, doo-doo-doo

0:28:320:28:36

# I don't like it, no, I love it. #

0:28:360:28:40

The other two bedrooms are equally bright, clean and carefree.

0:28:400:28:45

Instead of being a no-go area, the back garden is now cleared.

0:28:500:28:55

And from here, you can really get a good view of the new dormer.

0:28:570:29:01

Over to Richard.

0:29:010:29:04

Well, this is where the bulk of the structural work has taken place.

0:29:040:29:09

It's actually opened up a nice new window with great views,

0:29:090:29:12

so that's going to be really nice for the master suite.

0:29:120:29:15

Got new laminate wood floor gone down, we've repainted the walls.

0:29:150:29:19

New lighting's gone in and a nice en suite,

0:29:190:29:21

which will make this a great master bedroom.

0:29:210:29:25

Brother Daryl seems to have done a good job supervising

0:29:250:29:28

the builders, but were there any unforeseen hiccups?

0:29:280:29:31

Building a dormer on the roof of your property requires

0:29:310:29:34

the permission of your neighbours, because we're in a mid-terrace.

0:29:340:29:38

Obviously, if our builders are doing some work, and suddenly it causes

0:29:380:29:42

a crack on the wall, that's going to affect our neighbours.

0:29:420:29:44

That's obviously something we were aware of.

0:29:440:29:47

We knew we had to get party wall agreements in place.

0:29:470:29:50

But we didn't foresee that both sets of neighbours would want to appoint

0:29:500:29:54

their own surveyors, which they're perfectly within their rights

0:29:540:29:57

to do, but we hoped we may just be able to get away with our surveyor.

0:29:570:30:01

So that whole process took a couple of weeks before the builders

0:30:010:30:04

were able to start work on the dormer up here.

0:30:040:30:07

Did the delay affect the original £50,000 budget?

0:30:070:30:11

Once we had dotted all the Is and crossed all the Ts on our contract,

0:30:110:30:14

the builders came in at 55,000 and that's what they delivered on.

0:30:140:30:18

And what about the insurance on the timescale from the new builders?

0:30:180:30:22

We were informed by builders that they'd be able to get it

0:30:220:30:25

done in four to fine months. Unfortunately, that took a little

0:30:250:30:27

bit longer than anticipated, but it hasn't been an issue for us.

0:30:270:30:31

But will the brothers still be happy

0:30:310:30:33

when they hear what our two estate agents have to say?

0:30:330:30:37

Their business model is to rent this property

0:30:370:30:39

and, having paid a total of £410,000, it will be interesting

0:30:390:30:43

to see what the agents consider the rental income should be.

0:30:430:30:47

And, for that, first impressions count.

0:30:470:30:51

The property feels very airy and spacey.

0:30:510:30:53

You get a lot of light coming in to the property. It's very spacious.

0:30:530:30:57

I don't think you could have done a better job of it,

0:30:570:30:59

-to be honest.

-The finish that they've used at the property is very

0:30:590:31:03

neutral, which is very appealing.

0:31:030:31:05

It makes it stand out to the majority of the competition.

0:31:050:31:08

We know the boys intend renting out, but with a total

0:31:080:31:11

spend of £410,000, just for us, come on, what's it worth now?

0:31:110:31:16

I believe the resale value of this property would be

0:31:160:31:19

somewhere in the region of £470,000 to £475,000.

0:31:190:31:24

I feel the property will fetch on the current market £475,000.

0:31:240:31:29

A potential pre-taxes and expenses profit of £65,000.

0:31:290:31:34

Given that, what sort of rental income can the boys expect?

0:31:340:31:38

I believe a rental figure would be achieved of somewhere

0:31:380:31:41

in the region of £1,950 per calendar month to £2,000 per calendar month.

0:31:410:31:45

On the rental market,

0:31:450:31:47

the property will fetch £1,995 per calendar month.

0:31:470:31:51

But the guys have already got tenants lined up.

0:31:510:31:54

We sourced the tenants ourselves online

0:31:540:31:57

and we have gone through the vetting process and we've been able to rent

0:31:570:32:01

the property out to these tenants at £1,950 per calendar month.

0:32:010:32:05

That rental income will give the chaps a 6% yield on their investment

0:32:080:32:12

and, with mortgage rates relatively low, what are their future plans

0:32:120:32:16

and do they include new builders?

0:32:160:32:18

One of the primary things that we've learned is

0:32:180:32:21

the benefits of having a very good team around you.

0:32:210:32:24

We've had a fantastic team of builders that have just

0:32:240:32:26

worked tirelessly and with very little stress put back on us.

0:32:260:32:29

So we're going to roll them straight in to our next project.

0:32:290:32:32

We've bought a very similar house just down the road in Streatham,

0:32:320:32:35

which they're going to be able to roll straight in to. But then, moving forward,

0:32:350:32:39

we're going to look to start scaling up what we're trying to do.

0:32:390:32:43

Well, Richard's got another four years to keep

0:32:430:32:45

expanding his portfolio before he has to choose

0:32:450:32:48

if he's going to don his number eight shirt again for his

0:32:480:32:52

mother's birth country Canada or stick with the high vis jacket.

0:32:520:32:55

Over to the South Wales valleys now, where the

0:33:040:33:07

town of Blackwood, Caerphilly, has a musical claim to fame,

0:33:070:33:11

for it was at this school in the Oakdale district where pupils

0:33:110:33:15

formed a band, the Manic Street Preachers,

0:33:150:33:18

and the rest, as they say, is history.

0:33:180:33:21

Well, about a mile and a half from the towns of Blackwood

0:33:210:33:25

and Risca is the property I'm here to see.

0:33:250:33:27

Now, it is right by the side of this busy main road, which isn't

0:33:270:33:31

ideal, but the good news is that it is at least in an elevated position.

0:33:310:33:35

£42,000 was the guide price for this three-bed end of terrace. In we go.

0:33:350:33:40

I'm in the former mining village of Cwmfelinfach.

0:33:400:33:44

It depended on coal until its colliery closed in 1964.

0:33:440:33:49

OK.

0:33:500:33:51

A little entrance area there with an interior door, which is

0:33:510:33:56

good and then into sort of a...

0:33:560:33:57

I suppose a welcoming little bit, I suppose, you'd call it.

0:33:570:34:01

Would you? Would you have that on the details?

0:34:010:34:04

One dining room, one lounge, and one welcoming little bit.

0:34:040:34:06

Well, maybe it's not estate agent speak, I don't care.

0:34:060:34:09

This is a welcoming little bit from now on.

0:34:090:34:11

Kind of front living room area there, which is

0:34:110:34:14

quite pleasant, although nasty signs of damp on that end wall.

0:34:140:34:17

Yikes! But stairs up to your bedrooms there.

0:34:170:34:20

Through into your rear sitting area,

0:34:200:34:22

through the welcomey bit into the rear sitting area.

0:34:220:34:25

And again, this wall... Look at it.

0:34:250:34:27

Wow!

0:34:290:34:31

Nasty, nasty, nasty. Now, that is the end wall,

0:34:310:34:34

so my guess is some of the rendering on the outside perhaps has

0:34:340:34:38

failed, but that's definitely something that needs addressing.

0:34:380:34:42

But then through into the kitchen.

0:34:420:34:44

Ah, this is quite pleasant.

0:34:460:34:48

Looks like it's been refurbished in the not too distant past.

0:34:480:34:51

And if you're renting it out,

0:34:510:34:53

this bit of the house looks like you could leave it pretty much as it is.

0:34:530:34:56

It's a nice space. So, ground floor, a few bits and pieces there.

0:34:560:35:00

In fact, there's a downstairs loo out there.

0:35:000:35:03

Ground floor, getting a pretty big tick.

0:35:030:35:06

# I think I've found it

0:35:080:35:10

# And I think I love it. #

0:35:100:35:13

Of course, you would need a suitable budget for re-rendering

0:35:130:35:16

the damp walls, but square footage-wise,

0:35:160:35:19

it's a winner and a downstairs loo is always a bonus.

0:35:190:35:22

Although I think it's fair to say it's seen better days.

0:35:220:35:26

So, upstairs, does that spaciousness continue?

0:35:290:35:32

Yeah, I think it does, actually. Big bedroom towards the back there.

0:35:320:35:35

Nice-sized family bathroom.

0:35:350:35:38

Second bedroom towards the front of the property there.

0:35:380:35:41

It's not huge, but it's OK. And then a fairly decent-sized third bedroom.

0:35:410:35:45

Lots of light coming in through the windows,

0:35:450:35:48

some nice views across the valleys.

0:35:480:35:50

Obviously, you've got central heating as well, which is

0:35:500:35:53

good, but the only downside you can see inside is again

0:35:530:35:56

the continuation of that damp. So get that sorted.

0:35:560:35:59

And what you've got here is a pretty big house.

0:35:590:36:03

In general, most render coatings have a lifetime of 15 to 20 years.

0:36:030:36:07

Common causes of breakdown are water getting behind the render

0:36:070:36:11

and freezing. Well, at the back of the property,

0:36:110:36:15

you've got this little courtyard area.

0:36:150:36:17

Looks to me like it's always going to be fairly shady, so not ideal.

0:36:170:36:21

But something which is a bit more problematic is this.

0:36:210:36:26

Now, you find this kind of thing in a lot of properties

0:36:260:36:30

in the Welsh valleys. It's a massive retaining wall.

0:36:300:36:34

It's basically holding back the valley.

0:36:340:36:36

As you can see, at the end here.

0:36:360:36:38

It's already started to give way and that is a fairly serious issue,

0:36:380:36:44

because you can imagine the weight of soil that's behind here and

0:36:440:36:47

the amount of work that goes into actually building a wall like this.

0:36:470:36:51

More specifically, repairing a wall like this,

0:36:510:36:54

to do it properly, you'd be talking about taking the whole lot,

0:36:540:36:59

all this stone and what's behind it out,

0:36:590:37:01

and that means access issues, who knows what, and then rebuilding it.

0:37:010:37:05

I mean, you could literally blow 10, 15,000 quid just sorting

0:37:050:37:09

this wall out, and, at the moment, it doesn't look like it is...

0:37:090:37:13

This bit is about to fall down, but, judging by that, it won't be long,

0:37:130:37:17

so this really, really needs to be taken into consideration.

0:37:170:37:22

Or I could just stay here for a little bit longer. There you go.

0:37:220:37:26

Won't move now.

0:37:270:37:29

# All in all, you're just another brick in the wall... #

0:37:290:37:34

I'll get somebody in to build it.

0:37:360:37:39

# All in all, you're just another brick in the wall... #

0:37:390:37:43

Sorry. Well, it was all a bit too good to be true.

0:37:440:37:48

That retaining wall certainly does need retaining.

0:37:480:37:51

It'll be a dirty job, and, as they say,

0:37:510:37:53

somebody does indeed need to do it.

0:37:530:37:56

Overall, though, I think this house has potential

0:37:560:37:58

if you got it for the right price.

0:37:580:38:00

So what does a local estate agent think?

0:38:000:38:02

Yeah, in general, I think there's not a massive amount to do here.

0:38:040:38:08

I think that obviously there is some work that needs to be looked at.

0:38:080:38:12

There are a few damp issues, I've noticed, on the one-side wall,

0:38:120:38:16

in particular. And some work outside at the rear with the retaining wall.

0:38:160:38:22

But in general, I think it is

0:38:220:38:24

mainly sort of a lot of cosmetic work, redecoration,

0:38:240:38:27

new carpets, and I think it'll be a very nice property when it's done.

0:38:270:38:32

One thing the purchaser will need to bear in mind is that this is

0:38:320:38:35

a leasehold property. Thankfully, with an 880-year term.

0:38:350:38:40

But it may cause issues with the freeholder

0:38:400:38:43

when it comes to structural work, like the two walls.

0:38:430:38:47

How's the local sales market?

0:38:470:38:49

Yes, it is decent at the moment, probably the best I've seen it,

0:38:490:38:52

sales wise, in quite some time. Lettings is still moving well.

0:38:520:38:56

But I do think people are starting to think to themselves,

0:38:560:38:59

"As it's moved, sales-wise, a lot better now, let's give it

0:38:590:39:02

"a go at selling it, rather than going down the lettings route."

0:39:020:39:05

But both are good.

0:39:050:39:07

What level of rental income could the purchaser expect after sorting everything out?

0:39:070:39:12

Once the property is complete, I feel the property could

0:39:120:39:15

achieve a rental value of about £500 per calendar month.

0:39:150:39:19

And if brought to market for a sale?

0:39:190:39:22

Once the work is complete, I feel the property could

0:39:220:39:24

achieve between the value of about £85-£90,000.

0:39:240:39:27

Well, it is certainly a lot of house for that £42,000 guide price.

0:39:300:39:34

A bit of damp, but, you know, lots of space.

0:39:340:39:37

Don't particularly like the fact it is right above

0:39:370:39:40

this busy main road, but the elevated position is good.

0:39:400:39:43

But for me, by far the biggest issue is that wall at the back

0:39:430:39:47

and how much it is going to cost to sort it out.

0:39:470:39:49

Still, let's see who decided to take it on when it went under the hammer.

0:39:490:39:53

Lot 21, which is a bay-fronted,

0:39:530:39:57

end of terrace house. Popular location, Cwmfelinfach.

0:39:570:40:00

Start me, I don't know, start me at 40, will you?

0:40:000:40:02

Do we see a hand at 40, just to get it started? Thank you.

0:40:020:40:04

40, I've got you there. At 40. At 40. At one can I see? At 40.

0:40:040:40:08

One I'm looking for. At 40,000, one I'm looking for now. 41.

0:40:080:40:12

Thank you, 41. 41. 42 there. Back to you. Thank you, 42. 43. 43.

0:40:120:40:17

42.5, then. 42.5. 43, if you like. Thank you, 43. And a half. No.

0:40:170:40:22

At 43,000. Make no mistake, it is being sold all the time.

0:40:220:40:25

At £43,000, then, for the first time, second time,

0:40:250:40:28

you are now out, third and last time at £43,000.

0:40:280:40:32

Yours, sir, well done. Your number, please. 90. Thank you very much.

0:40:320:40:36

We will have somebody down with you shortly.

0:40:360:40:38

The successful bidder was Ryan,

0:40:380:40:40

a production planner at a steel company.

0:40:400:40:43

We met up back at the house.

0:40:430:40:45

-Ryan, good to meet you.

-Nice to meet you.

0:40:450:40:47

-Congratulations.

-Cheers.

-Tell me why you wanted to buy this place.

0:40:470:40:51

It is just another one to add to the portfolio.

0:40:510:40:54

-Going to do it up and sell it on.

-Oh, great. So, big portfolio?

0:40:540:40:58

-Yes, nine at the moment.

-Oh, great. So, how old are you?

-26.

-26.

0:40:580:41:02

-When did you start with your first one?

-The first one was at 18.

-Wow.

0:41:020:41:06

And how did you finance the first one, cos that's always the hardest, isn't it?

0:41:060:41:10

-The first one was a borrowed deposit off my parents.

-Right.

0:41:100:41:13

What attracted you to this particular house, then?

0:41:130:41:16

It is not very far from where I live and it was pretty cheap,

0:41:160:41:19

-to be honest.

-You obviously know the area pretty well.

-Yeah.

0:41:190:41:23

On a busy main road, but it is a bit elevated,

0:41:230:41:26

-so that wasn't too much to put you off?

-No, I think it is a good area.

0:41:260:41:29

Knowing the area and where the better properties for investment

0:41:290:41:33

are located are a big bonus.

0:41:330:41:35

As is living nearby, so that, when it comes to doing the renovations,

0:41:350:41:39

the commute is much cheaper. What about the house itself?

0:41:390:41:44

To be honest, the house, I think, is in good condition.

0:41:440:41:46

Just a lot of damp, which needs sorting.

0:41:460:41:49

-That's the main issue, really.

-Right.

0:41:490:41:51

So let's talk about the damp, then. What do you think is causing that?

0:41:510:41:54

Either a problem with the roof or the rendering on the end wall.

0:41:540:41:57

-I think it's sort of contained to the end wall.

-Right.

0:41:570:42:00

-Hopefully that will sort it out.

-And how much work do you do, actually?

0:42:000:42:03

A lot myself. I use a few trades on the side. But, yes, a lot myself.

0:42:030:42:08

-And, spare time, what is your family life like?

-Good.

0:42:080:42:12

-I've got a shift job, four days off a week, so it works out OK.

-Family?

0:42:120:42:17

Yes. A little daughter. Hiding around here somewhere.

0:42:170:42:20

-HE LAUGHS

-Will she be helping?

0:42:200:42:22

Yeah, she loves helping. She likes passing me screws.

0:42:220:42:25

Really? Oh. And a bit of painting. How old is she?

0:42:250:42:29

-She is two and a half.

-Oh, wow.

0:42:290:42:32

In fact, Isla, the next generation of property developers

0:42:320:42:35

in the family, gave her seal of approval earlier when taking a tour.

0:42:350:42:39

So, have you budgeted specifically for the wall in the garden?

0:42:420:42:45

Yes, it has been taken into consideration in the budget.

0:42:450:42:48

And what is the total budget?

0:42:480:42:50

-I'm looking at around 10 to 12,000, if I can.

-So, what's the timescale?

0:42:500:42:54

I'm hoping within six months. I've got a small project to finish

0:42:540:42:57

this month, and then straight onto this.

0:42:570:42:59

-And then rent it out, or sell this one on?

-Sell.

-Sell.

0:42:590:43:02

Well, listen, congratulations. Good luck with it.

0:43:020:43:04

-And I look forward to seeing how you get on.

-Cheers.

0:43:040:43:07

Well, I think Ryan has got himself a good property here,

0:43:090:43:12

but I think he may have underestimated the cost

0:43:120:43:15

and effort required to sort that wall out.

0:43:150:43:18

How will he get on,

0:43:180:43:19

and will we come back to see little handprints all over the walls?

0:43:190:43:23

You can find out later in the show.

0:43:230:43:25

So, we saw how one of our buyers managed their renovation,

0:43:290:43:32

but what about the other two?

0:43:320:43:33

Yes, time and money has been spent, but how's it turned out?

0:43:330:43:36

Let's take a look.

0:43:360:43:38

Earlier, I was in Newport, Shropshire,

0:43:410:43:43

where I took a look around this first floor, two-bedroom apartment.

0:43:430:43:47

It had been empty for some time,

0:43:470:43:49

which I thought had led to a few damp problems.

0:43:490:43:52

With a 99-year lease, ground rent and service charges of £543 a year.

0:43:520:43:58

But my favourite room was the second bedroom. And that is why.

0:44:000:44:05

Look at that wallpaper. This is pretty much finished to me.

0:44:050:44:09

The only thing you would want to change is the carpet,

0:44:090:44:11

because everything else is perfect.

0:44:110:44:14

# We're playing for England

0:44:140:44:17

# England...! #

0:44:170:44:19

If you wouldn't mind just leaving me in here alone.

0:44:190:44:21

I would appreciate it. Thank you.

0:44:210:44:24

# We're playing for England

0:44:240:44:26

# England...! #

0:44:260:44:29

Yes, I know this song came out eight years before I joined the England

0:44:290:44:32

squad, but you know what they say, nostalgia isn't what it used to be.

0:44:320:44:37

Eventually, I had a one-on-one with English teacher Sandra,

0:44:370:44:40

the new owner. She paid £70,000,

0:44:400:44:43

and I wanted to know what her tactics were going to be.

0:44:430:44:46

New kitchen, new bathroom, new carpet and

0:44:460:44:50

-decorate, and then I think it is good to go.

-Quite a lot of damp.

-Yes.

0:44:500:44:54

I also just checked with the neighbours. I knocked on the door and said, "Excuse me,

0:44:540:44:57

"have you got any damp problems?" "No."

0:44:570:44:59

So, I felt quite confident that that's just a quick, easy clean.

0:44:590:45:04

-New bathroom, or are you going to try and resurrect that?

-That's a hard one.

0:45:040:45:07

My builder wants me to resurrect it, but I think that is

0:45:070:45:10

because he just doesn't want to do it, because it is tiling. But it needs a new one, I think, really.

0:45:100:45:14

-I want it to be nice enough for if I want to live in it.

-Yeah.

-And it is good.

0:45:140:45:19

But Sandra thought she would rent it after a five grand renovation,

0:45:190:45:23

taking two months.

0:45:230:45:24

We're back six weeks later to find out

0:45:240:45:26

if her punctuality has been as good as her punctuation.

0:45:260:45:31

# That's what I go to school for... #

0:45:310:45:34

In the front bedroom, Sandra is

0:45:340:45:35

top of the class at removing the old mildew stains and wooden cladding.

0:45:350:45:40

The kitchen, too, is a lesson in out with the old and in with the new.

0:45:440:45:48

# That's what I go to school for

0:45:490:45:53

# That's what I go to school for... #

0:45:530:45:57

In fact, the kitchen was the teacher's pet, with a sizeable

0:45:570:46:00

chunk of the budget spent on it.

0:46:000:46:02

In the lounge, I'm pleased to see the dated decor is replaced

0:46:060:46:09

with a new, neutral palette.

0:46:090:46:13

In here, like the rest of the flat,

0:46:130:46:14

new flooring coverings have brought the place to life.

0:46:140:46:17

Sandra's builder got his way when it came to the bathroom.

0:46:190:46:23

Apart from the new toilet, the bathroom suite cleaned up nice enough,

0:46:230:46:26

even for Sandra to use.

0:46:260:46:29

# ..I can't help but stop and stare... #

0:46:290:46:33

Where does that leave? Oh, yes, the back bedroom.

0:46:350:46:38

The shrine to the beautiful game and England.

0:46:380:46:41

I wonder what it looks like with new carpet.

0:46:420:46:46

VOICE ECHOES: NO-O-O-O!

0:46:460:46:48

# ..we drive past school to say goodbye

0:46:480:46:51

# My friends They can't believe their eyes. #

0:46:510:46:55

I'm speechless. Utterly speechless.

0:46:550:46:58

But fortunately, my script says,

0:46:580:47:00

"What was the biggest challenge, Sandra?"

0:47:000:47:02

I think perhaps organising the different people who were

0:47:020:47:05

coming into work. That would be a top tip for somebody.

0:47:050:47:09

We organised a schedule of works.

0:47:090:47:11

And we sent that to everybody, so they were clear what needed doing,

0:47:110:47:13

who was coming in when. So that made it go quite smoothly.

0:47:130:47:17

And next time, I'd probably put cleaning on there,

0:47:170:47:20

because I was surprised, in between tradesmen,

0:47:200:47:22

I sometimes needed to come in and do a bit of cleaning up.

0:47:220:47:25

And, if it was further away, that would be really hard.

0:47:250:47:27

Little things like that can make a huge difference.

0:47:270:47:30

And it was lovely to come in with a bag of doughnuts one day and see the

0:47:300:47:32

kitchen fitter, and the builder had the scope of work stuck to the wall, with a plan.

0:47:320:47:37

They were really, clearly following it, and they did appreciate that.

0:47:370:47:41

I bet they appreciated the doughnuts, too.

0:47:410:47:43

Sounds like you plan things pretty meticulously.

0:47:430:47:46

I'll be honest, I haven't done much of the organisation.

0:47:460:47:48

My husband is a project manager, so he's organised that, really,

0:47:480:47:52

so he's organised me and he has organised everybody.

0:47:520:47:54

So, I have to give him some credit.

0:47:540:47:57

Sandra and her husband have renovated before.

0:47:570:47:59

Has this one gone to plan?

0:47:590:48:01

This is the first one I've personally seen from auction

0:48:010:48:04

to refurb, so that's quite nice. I feel emotional.

0:48:040:48:08

SHE LAUGHS

0:48:080:48:09

That makes two of us, Sandra. I loved that England wallpaper, too.

0:48:090:48:13

-What about the budget?

-My budget was £5,000.

0:48:150:48:17

But I've only spent £4,800.

0:48:170:48:20

Are you impressed?

0:48:200:48:22

Very impressed.

0:48:230:48:25

But the important test comes from the two estate agents

0:48:250:48:27

we called in to give the apartment the thorough examination.

0:48:270:48:31

With her first solo property, Sandra has decided to let.

0:48:310:48:35

Let's see what the agents think.

0:48:350:48:37

First up, this chap, who looks familiar

0:48:380:48:41

because he has seen the flat before.

0:48:410:48:43

First impressions of the property, very good.

0:48:440:48:46

I do remember it from the first time, it was very rough

0:48:460:48:49

around the edges and it needed quite a lot of work doing it, to be fair.

0:48:490:48:52

But it smells very fresh, it looks very good,

0:48:520:48:54

and I believe they have done a very good job with it.

0:48:540:48:57

I like the finishing in the kitchen and the bathrooms.

0:48:570:48:59

They've used high-quality vinyls,

0:48:590:49:01

the splash backs are very nice in the kitchen.

0:49:010:49:03

High-quality units, and the paintwork is very good as well.

0:49:030:49:06

And so it should be.

0:49:060:49:07

Sandra's painter and decorator spent 14 days using special mould

0:49:070:49:11

treatment, steamed stripping, lining and finally emulsioning the walls,

0:49:110:49:16

making it the most time-consuming of all the refurbishment jobs.

0:49:160:49:20

What would the end result rent for?

0:49:200:49:22

Rental potential, the owner should achieve £525 per calendar month.

0:49:220:49:26

On the rental market, I believe this property would

0:49:260:49:29

achieve £525-£550 per calendar month.

0:49:290:49:32

I think those values are fair.

0:49:320:49:34

I know other flats here are rented for about 525.

0:49:340:49:38

I've got somebody interested already,

0:49:380:49:40

and it has only just gone on the market today,

0:49:400:49:42

so I think I should definitely be able to rent it for 525.

0:49:420:49:46

If she does get 525, let's do the maths.

0:49:460:49:49

Sandra bought for £70,000 and spent 4,800 refurbishing.

0:49:490:49:55

Minus the service charge and ground rent, her annual

0:49:550:49:57

income will be over £5,700,

0:49:570:50:00

giving her a yield of just under 8%.

0:50:000:50:04

How's that for an investment, Miss?

0:50:040:50:06

This has been a great investment property and a great introduction

0:50:070:50:11

to investment property, so I'm definitely going to do some more.

0:50:110:50:15

I bought one the following month at auction,

0:50:150:50:17

and that will be finished in four weeks.

0:50:170:50:19

And I'm hoping that I can get another two bought and done,

0:50:190:50:24

perhaps in the next three months.

0:50:240:50:26

Apart from the schedule of works, which I'm certainly going to use

0:50:260:50:29

in the future, has she got any other tips?

0:50:290:50:31

I think, even with a really simple kitchen like this,

0:50:310:50:34

it's worth getting some kitchen companies in.

0:50:340:50:36

They'll come in free of charge, they'll make a plan for you

0:50:360:50:39

and give you some advice, and then you're actually

0:50:390:50:42

in a great position to talk to both companies about a good quote.

0:50:420:50:45

And I've been back and I've looked at my invoice,

0:50:450:50:47

I actually saved 85% on this kitchen.

0:50:470:50:50

That's good negotiation, isn't it? Definitely worth that.

0:50:500:50:54

Well, I mark that as a nine out of ten.

0:50:540:50:56

Would have been full marks, Sandra,

0:50:560:50:58

if you had kept the England wallpaper.

0:50:580:51:00

Now, listen carefully. I'll say this only once.

0:51:040:51:07

Back now to Cwmfelinfach, South Wales, where earlier

0:51:090:51:13

I saw this three-bedroom end terrace, sold at auction

0:51:130:51:16

for £43,000 to Ryan.

0:51:160:51:19

At the tender age of 26,

0:51:190:51:21

he wasn't the youngest property developer in the family.

0:51:210:51:24

That would be his charming 2½-year-old daughter, Isla,

0:51:240:51:29

in charge of passing screws to Daddy.

0:51:290:51:32

I found this house to be very spacious,

0:51:320:51:34

but not without its problems. This wall, look at it.

0:51:340:51:38

Wow.

0:51:380:51:40

Nasty, nasty, nasty. That is the end wall,

0:51:400:51:43

so my guess is, some of the rendering on the outside perhaps

0:51:430:51:46

has failed, but that is definitely something that needs addressing.

0:51:460:51:50

And sadly, it wasn't just the internal and external walls

0:51:500:51:54

that looked like they could need expensive repairs.

0:51:540:51:57

As you can see, at the end here, it has

0:51:570:52:00

already started to give way, and that is a fairly serious issue,

0:52:000:52:05

because you can imagine the weight of soil that's behind here.

0:52:050:52:09

But with this being his ninth property that he hoped to

0:52:090:52:12

sell on, production planner Ryan remained undaunted.

0:52:120:52:16

So, have you budgeted specifically for the wall in the garden?

0:52:160:52:18

Yes, it has been taken into consideration in the budget.

0:52:180:52:21

And what is the total budget?

0:52:210:52:23

-I'm looking at around 10 to 12,000, if I can.

-Right.

0:52:230:52:27

-We'll see how it goes.

-So, what is the timescale?

0:52:270:52:29

I'm hoping within six months. I've got a small project to

0:52:290:52:32

finish this month and then straight onto this.

0:52:320:52:34

We are back just over six months later to find out whether this

0:52:340:52:38

young property developer made the right decision when he bought it.

0:52:380:52:41

# I know we're so young

0:52:420:52:44

# But I swear you're the one for me #

0:52:440:52:46

Many would have run a mile upon seeing this damp.

0:52:460:52:49

But...

0:52:490:52:51

# I knew it right from the start

0:52:510:52:53

# You're some kind of heaven

0:52:530:52:55

# That's all that I need

0:52:550:52:57

# I found it in you I found it in you. #

0:52:570:53:00

What a transformation.

0:53:000:53:02

I especially like the tiling into the window reveals.

0:53:020:53:05

And the weathered darker tone of the tiles coordinates with the flooring.

0:53:050:53:09

And the new P-shaped bath affords extra room for a shower above.

0:53:180:53:22

Downstairs, the old toilet is now a much happier place

0:53:270:53:30

with new fittings and a makeover.

0:53:300:53:32

The same goes for the kitchen, which used to look like this...

0:53:340:53:37

Ryan certainly had vision when deciding on his plan of action.

0:53:380:53:43

# I knew it right from the start

0:53:430:53:45

# You're some kind of heaven

0:53:450:53:47

# That's all that I need

0:53:470:53:49

# I found it in you I found it in you

0:53:490:53:53

-# You're some kind of heaven

-Heaven

0:53:530:53:55

# That's all that I needed

0:53:550:53:57

# I found it in you Too good to be true

0:53:570:54:00

# You've got me singing, baby... #

0:54:000:54:02

The lighter colours in the reception room make the most

0:54:020:54:05

of that beautiful bay window.

0:54:050:54:07

The second reception room was plagued by the terrible damp

0:54:160:54:20

that inflicted all of rooms with the gable end wall in them.

0:54:200:54:24

That's now cured,

0:54:250:54:26

and the result is a bright, fresh open space.

0:54:260:54:29

Much improved.

0:54:290:54:30

Upstairs, the bedrooms have neutral colour schemes

0:54:330:54:37

and painted woodwork replacing the darker previous wood stain.

0:54:370:54:40

And again, the damp damage has been repaired with replaced ceilings

0:54:500:54:54

and associated plasterwork.

0:54:540:54:56

So, was the gable end a big job?

0:55:020:55:05

The problem, I think, mainly, was upstairs.

0:55:060:55:08

There was a leak, in a pipe running along that wall.

0:55:080:55:11

And it seemed to be just running down it,

0:55:110:55:13

and it done a lot of damage.

0:55:130:55:15

So, we fixed the leak and we've replastered the wall,

0:55:150:55:18

and it seems fine now.

0:55:180:55:19

That was a lucky and money-saving happenstance.

0:55:190:55:22

Were there further damp issues?

0:55:220:55:24

We was thinking we may have to do a damp course,

0:55:240:55:27

but the water was coming from above, not below.

0:55:270:55:30

There doesn't seem to be any rising damp at all.

0:55:300:55:32

So, if the gable end wasn't the problem you thought it might be,

0:55:320:55:35

what was the biggest problem?

0:55:350:55:37

The biggest job was the bathroom. We had the whole thing out.

0:55:370:55:40

Had all the floors up. Had to redo the pipework.

0:55:400:55:42

It was in a bit of a state.

0:55:420:55:44

But it seems to be looking tidy now, anyway.

0:55:440:55:47

Ryan reckons he's done at least 40% of the work himself.

0:55:470:55:51

But he needed expert help when it came to the retaining wall.

0:55:510:55:54

This is the back yard,

0:55:560:55:57

where we had a problem with the old retaining wall.

0:55:570:56:00

We've managed to take it all out by hand, filled two skips,

0:56:000:56:03

and we've had a builder in to rebuild this one instead.

0:56:030:56:06

So, it's a lot better.

0:56:060:56:08

So, how's the budget?

0:56:080:56:09

We're pretty much on budget.

0:56:090:56:11

I've spent about 13,000 all in.

0:56:110:56:13

Nothing's really gone outside the plan.

0:56:140:56:17

Everything sort of has gone in the direction I was expecting.

0:56:170:56:21

At the time of filming,

0:56:210:56:22

Ryan had six properties rented out and two for sale,

0:56:220:56:25

planning on putting this one up for sale also.

0:56:250:56:28

But have plans changed?

0:56:280:56:30

The plan now is just to put it straight up for sale.

0:56:310:56:34

And move onto the next one.

0:56:340:56:36

To find out if Ryan can move on,

0:56:360:56:38

we called in two local estate agents for their thoughts and valuations,

0:56:380:56:42

starting with the agent that came here before.

0:56:420:56:45

I think he was wise to address the retaining wall at the back.

0:56:450:56:48

It's a big wall and, obviously, it could cause problems in the future.

0:56:480:56:52

He's done such a good job inside the house, I'm glad he's done that.

0:56:520:56:56

This is my first time inside this property.

0:56:560:56:58

I think it's been refurbished to a good standard.

0:56:580:57:01

It is a good layout inside the property

0:57:010:57:03

and I think it'll make a great family home.

0:57:030:57:05

Ryan bought the property for £43,000 at auction

0:57:050:57:08

and has spent another £13,000 on it.

0:57:080:57:11

So, what would it be worth now?

0:57:110:57:13

To achieve for sale, I would expect about £85,000.

0:57:140:57:18

I would put the property on the market for about 95,000,

0:57:180:57:21

looking to achieve between 90 and 95,000.

0:57:210:57:24

If Ryan achieved the average of the two at 90,000,

0:57:240:57:27

that would mean a profit of £34,000, minus the usual taxes and expenses.

0:57:270:57:32

How's that?

0:57:320:57:34

That's pretty much what I was expecting. Happy with those figures.

0:57:360:57:39

Any lessons learnt on this ninth property?

0:57:390:57:42

What I've learned from this one is sometimes it can go OK.

0:57:420:57:45

I've had a lot of others gone a lot worse.

0:57:450:57:47

In fact, things continued to go OK,

0:57:470:57:49

because, after our filming, Ryan sold for 90,000.

0:57:490:57:53

And Ryan's confident that Isla will continue her role

0:57:530:57:56

of passing screws to Daddy at his next purchase.

0:57:560:57:59

Well, we hope you've enjoyed the programme.

0:58:050:58:07

And you've got some inspiration from our buyers on today's show.

0:58:070:58:10

Yes, we'll see you next time for more stories from the auctions

0:58:100:58:13

-here on Homes Under The Hammer.

-ALL: Goodbye.

0:58:130:58:15

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