0:00:02 > 0:00:03Now, buying property is one of the best ways
0:00:03 > 0:00:05to get a good return on your investment,
0:00:05 > 0:00:07but that's if you get it right.
0:00:07 > 0:00:09Correct, Lucy. And I know somewhere you might just get
0:00:09 > 0:00:12- a little bit more for your money. - Where might that be?
0:00:12 > 0:00:15Why don't you head down to your local property auction?
0:00:39 > 0:00:42People buy at auction for all kinds of different reasons.
0:00:42 > 0:00:45It might be a new home, or they're buying to sell on.
0:00:45 > 0:00:48Yeah, perhaps they're looking for a rental income,
0:00:48 > 0:00:50to use their property as part of a pension.
0:00:50 > 0:00:53But whatever the reason, there are always stories to tell.
0:00:53 > 0:00:56So, here are the properties we're featuring on today's show.
0:00:58 > 0:01:00In Farington, Lancashire,
0:01:00 > 0:01:03height restrictions may apply at this three-bed.
0:01:03 > 0:01:06I personally could do with a bigger archway.
0:01:07 > 0:01:11But lots of space to play with at this house in Telford, Shropshire.
0:01:11 > 0:01:13A conversion to three bedrooms
0:01:13 > 0:01:17might not be as complicated as it sometimes is.
0:01:17 > 0:01:22And this loft flat in Gipsy Hill, London, is surprisingly spacious,
0:01:22 > 0:01:24but you must ditch the decor.
0:01:24 > 0:01:28Woodchip wallpaper, look, it's everywhere!
0:01:28 > 0:01:30All these properties were bought at auction.
0:01:30 > 0:01:32We'll find out who got them and how much they paid
0:01:32 > 0:01:36when these homes went under the hammer.
0:01:36 > 0:01:37All done.
0:01:41 > 0:01:43The small village of Farington, Lancashire
0:01:43 > 0:01:48was once a thriving little place buoyed by two main industries,
0:01:48 > 0:01:49the railways and cotton.
0:01:49 > 0:01:53Now, they're long since gone, but they have left behind telltale signs
0:01:53 > 0:01:55of the days they flourished here.
0:01:57 > 0:02:00Walking down this street in this part of Lancashire,
0:02:00 > 0:02:02I do get a sense that there may be trouble at t'mill.
0:02:02 > 0:02:04Now, the property I'm here to see
0:02:04 > 0:02:08looks like it would have been built to house the mill workers.
0:02:08 > 0:02:13It's a three-bed, mid-terrace house with a guide price of £65,000 plus.
0:02:13 > 0:02:16Let's go and see what you get for your money.
0:02:18 > 0:02:21OK, we're into... straight into the lounge
0:02:21 > 0:02:24but you've got a small porch way there too.
0:02:24 > 0:02:28Into the living room area, which is bigger than what I was expecting.
0:02:28 > 0:02:32One thing that does hit me in the face is this feature fireplace,
0:02:32 > 0:02:34it's definitely an '80s feel.
0:02:34 > 0:02:37My mum and dad had one of these many years ago.
0:02:37 > 0:02:39You would have put your television there.
0:02:39 > 0:02:40I want to say DVD player,
0:02:40 > 0:02:43but it would have been a video player, I'm that old.
0:02:43 > 0:02:46Central heating as well, could be nice and cosy in here.
0:02:46 > 0:02:50OK, through into the dining room, through this small archway.
0:02:50 > 0:02:53I personally could do with a bigger archway,
0:02:53 > 0:02:56but I just wanted to show you this, down here.
0:02:56 > 0:03:01It's a bit of damp, just on this archway,
0:03:01 > 0:03:03so that would need to be tended to.
0:03:03 > 0:03:05Oh! Knees aren't what they used to be.
0:03:05 > 0:03:06And I want to check this as well,
0:03:06 > 0:03:09just to make sure there's some kind of support beam in here.
0:03:09 > 0:03:12I can hear that's quite hollow.
0:03:12 > 0:03:15As you go to the top, you can hear the difference in the sound.
0:03:15 > 0:03:18So that's good news, all sorted.
0:03:18 > 0:03:19Through into the dining room,
0:03:19 > 0:03:21which I think is a decent-sized dining room.
0:03:21 > 0:03:23It's nice and bright.
0:03:23 > 0:03:27Maybe just a few more small signs of damp, but nothing major.
0:03:27 > 0:03:29I'm happy so far.
0:03:29 > 0:03:33In the kitchen, it is a little bit small, but it's in good condition.
0:03:33 > 0:03:36But there's something I want to show you outside.
0:03:37 > 0:03:39OK, this is the extension.
0:03:39 > 0:03:43It would have been put on just a bit after the house was built.
0:03:43 > 0:03:45Interesting thing is here,
0:03:45 > 0:03:47either side of the house they have extensions.
0:03:47 > 0:03:50This side is a ground-floor extension,
0:03:50 > 0:03:54which would give you a really nice-sized kitchen-diner as well.
0:03:54 > 0:03:56Behind, you've got a double extension,
0:03:56 > 0:03:58which would give you the kitchen-diner
0:03:58 > 0:04:00and extra space upstairs as well.
0:04:00 > 0:04:02So many choices.
0:04:02 > 0:04:04I do like a property with options.
0:04:06 > 0:04:10But the cost of extending might make turning a profit more difficult.
0:04:10 > 0:04:13However, if you were to make it your home, that's a different matter.
0:04:13 > 0:04:16Sometimes it's not all about the money.
0:04:16 > 0:04:20# At least I've got options... #
0:04:20 > 0:04:23Let's see if there are further options.
0:04:23 > 0:04:25OK, upstairs we've got three bedrooms.
0:04:25 > 0:04:28As soon as I looked in that bedroom, I see a hole
0:04:28 > 0:04:29just above the window there.
0:04:29 > 0:04:32That would have to be investigated, quite a big hole, actually.
0:04:32 > 0:04:35Bedroom two is just here, which looks a nice size,
0:04:35 > 0:04:37to the front of the property.
0:04:37 > 0:04:39Bedroom three is here to the back.
0:04:39 > 0:04:41There's a bit of damp on that wall as well,
0:04:41 > 0:04:43so a couple of things to investigate there.
0:04:43 > 0:04:48Down the hallway to the bathroom, to the family bathroom.
0:04:48 > 0:04:50Nice pink shade in here.
0:04:51 > 0:04:54But this looks like it's a chimney breast to me,
0:04:54 > 0:04:55well, half a chimney breast.
0:04:55 > 0:04:58They may have shaved some of the chimney breast off
0:04:58 > 0:04:59to get the bath in.
0:04:59 > 0:05:01But it's baffling me slightly.
0:05:01 > 0:05:03I'm going to check this out.
0:05:03 > 0:05:06It could be a weighty problem downstairs.
0:05:06 > 0:05:09Just as I thought - there's a chimney breast upstairs
0:05:09 > 0:05:11but no chimney breast downstairs.
0:05:11 > 0:05:13So whoever buys this house,
0:05:13 > 0:05:17you've just got to hope whoever removed this did the job correctly,
0:05:17 > 0:05:21which means using steel beams or gallows brackets.
0:05:21 > 0:05:25So if you are about to move a chimney breast, get expert advice.
0:05:25 > 0:05:28# I'm gonna do it right... #
0:05:34 > 0:05:36And we've called on expert advice
0:05:36 > 0:05:39in the form of a local property expert
0:05:39 > 0:05:43from the auction house who marketed the property to get his thoughts.
0:05:43 > 0:05:46The property is ideal for the local market,
0:05:46 > 0:05:48great property for the first-time buyers.
0:05:48 > 0:05:50Great property for young families,
0:05:50 > 0:05:53and it's also a very good, sound investment
0:05:53 > 0:05:55for the buy-to-let market.
0:05:55 > 0:05:59Music to my ears, and if you were to let out after refurbishment,
0:05:59 > 0:06:01what sort of rent could you expect?
0:06:01 > 0:06:06This property on the rental market would let for £525 per calendar month.
0:06:06 > 0:06:09And with a guide price of £65,000,
0:06:09 > 0:06:13what could the property sell for on the open market?
0:06:13 > 0:06:15On the sales market, we would expect this property
0:06:15 > 0:06:17to sell for around £75,000.
0:06:18 > 0:06:22This traditional terrace does need a lot of work doing to it,
0:06:22 > 0:06:23but I think below the surface
0:06:23 > 0:06:25there's a lovely family home to be had,
0:06:25 > 0:06:27but it's not without its problems.
0:06:27 > 0:06:29The things that concern me the most
0:06:29 > 0:06:32are that missing chimney breast downstairs and that damp.
0:06:32 > 0:06:36Let's see who wanted to solve those problems when it went under the hammer.
0:06:36 > 0:06:38OK, lot 61.
0:06:38 > 0:06:41Penultimate lot. 55?
0:06:41 > 0:06:43Need a bid.
0:06:43 > 0:06:4655 here. At £55,000 I'm bid.
0:06:46 > 0:06:48At £55,000. Are we done?
0:06:48 > 0:06:5156? 57? Can you?
0:06:51 > 0:06:5356, 58, 60.
0:06:53 > 0:06:56On the last but one property of the day,
0:06:56 > 0:06:58there are still several interested parties,
0:06:58 > 0:07:01and we rejoin the bidding at £69,000.
0:07:01 > 0:07:05Take a half, 69.5, 70.
0:07:05 > 0:07:08Half, you're out. Here at 70.
0:07:08 > 0:07:10At £70,000.
0:07:10 > 0:07:14Here to sell in the room, then, at £70,000.
0:07:14 > 0:07:19You've gone, First time, second time, third and final time and all done.
0:07:20 > 0:07:22The successful bid came from Mark,
0:07:22 > 0:07:25who's fairly new to the renovation game,
0:07:25 > 0:07:27but an avid viewer of the programme. Good man.
0:07:27 > 0:07:30He's bought with wife Carol to do up and sell on.
0:07:30 > 0:07:34We met back at their new project to find out their plans.
0:07:34 > 0:07:36- Carol, nice to meet you. Congratulations.- Thank you.
0:07:36 > 0:07:39- Mark, same to you, sir. - Yeah, nice to meet you, Dion.
0:07:39 > 0:07:41Tell me why this particular house, the two of you.
0:07:41 > 0:07:45This was the right price range for us at the moment.
0:07:45 > 0:07:47I've only just started doing this.
0:07:47 > 0:07:49Carol, what sort of sucked you in?
0:07:49 > 0:07:51I didn't see the house, Mark went off to the auction
0:07:51 > 0:07:54and then rang me at work to say that he'd bought it.
0:07:54 > 0:07:57But when I came along to have a look, I was pleasantly surprised.
0:07:57 > 0:07:59Did he get a telling-off?
0:07:59 > 0:08:03No, no. No, I do trust him. I do trust him.
0:08:03 > 0:08:06So tell me what your backgrounds are.
0:08:06 > 0:08:08Prior to this I was a schoolteacher,
0:08:08 > 0:08:13but I was reaching a point where I thought maybe it's time to move on,
0:08:13 > 0:08:16and so I took the maximum pension that I could,
0:08:16 > 0:08:18and thought I'd have a go at this.
0:08:18 > 0:08:21Actually I was prompted through the programme.
0:08:21 > 0:08:23I was off with a knee injury once.
0:08:23 > 0:08:26I'd had an operation, I was convalescing
0:08:26 > 0:08:30and I watched the programme regularly and got absolutely hooked.
0:08:30 > 0:08:32So we didn't miss any, we always recorded it
0:08:32 > 0:08:34so we could watch them later,
0:08:34 > 0:08:38and thought, "This could be for me, I fancy a go at this."
0:08:38 > 0:08:43Before that, I was an engineer, so a little bit of that sort of comes into it.
0:08:43 > 0:08:47And...well, I've done one and this is the second one now so, hopefully.
0:08:47 > 0:08:49So, Carol, you work full time.
0:08:49 > 0:08:52- No, I work three days a week. - Three days a week.- At the hospital.
0:08:52 > 0:08:55- I'm a haematology secretary to two consultants.- Wow.
0:08:55 > 0:08:59- Busy, busy.- And now you're going to be even busier,
0:08:59 > 0:09:02- sorting this place out.- Oh, yeah.
0:09:02 > 0:09:06Yeah, I quite like getting involved in all the interior stuff.
0:09:06 > 0:09:10Kitchen design, choosing bathrooms, tiles, all the decor,
0:09:10 > 0:09:12all the final finishing touches.
0:09:12 > 0:09:14So what needs to be done? What are you going to do?
0:09:14 > 0:09:17We're going to put new windows and doors in.
0:09:17 > 0:09:19This is all going to come out.
0:09:19 > 0:09:22We're hoping to bring the kitchen in,
0:09:22 > 0:09:26from where it is originally, into the back room here.
0:09:26 > 0:09:28We're going to put the kitchen in there,
0:09:28 > 0:09:30and use the kitchen as it is at the moment,
0:09:30 > 0:09:33the little kitchen extension, as a utility room.
0:09:33 > 0:09:37Good idea. And upstairs, what's going to change upstairs?
0:09:37 > 0:09:40We were thinking of moving the bathroom,
0:09:40 > 0:09:43but looking at all the extra expense involved there,
0:09:43 > 0:09:45we're going to leave the bathroom where it is
0:09:45 > 0:09:48but you probably noticed there is a little chimney breast.
0:09:48 > 0:09:49Yes, I have noticed that.
0:09:49 > 0:09:52Which doesn't appear downstairs in the back room here,
0:09:52 > 0:09:54so we need to check.
0:09:54 > 0:09:55We think it is supported.
0:09:55 > 0:09:58That will be removed, we'll have to support it above
0:09:58 > 0:10:00cos we don't want to take it out in the attic.
0:10:00 > 0:10:02Which will make that room a lot bigger
0:10:02 > 0:10:06and we'll fit a new bathroom in there and you've noticed the wooden ceiling probably as well.
0:10:06 > 0:10:09- You may have even bumped your head on it, Dion.- Nearly, nearly.
0:10:09 > 0:10:12It's very low, isn't it? Very low in there, so that will all come down
0:10:12 > 0:10:14and we'll put spots in there and things like that.
0:10:14 > 0:10:15Mark, tell us about...
0:10:15 > 0:10:18There's a hole in one of the ceilings in the front bedroom.
0:10:18 > 0:10:22That's classic, as I often see it on the programme, actually.
0:10:22 > 0:10:23Maintenance.
0:10:23 > 0:10:26Apparently, quite some time ago,
0:10:26 > 0:10:29a tennis ball arrived in the guttering,
0:10:29 > 0:10:33and I think probably with it being a rented property, nobody reported it.
0:10:33 > 0:10:37Water poured over and outside for a long time
0:10:37 > 0:10:41and as we know, if that much water is pouring through, eventually something gets in,
0:10:41 > 0:10:44and it has just gone on and on over a period of time and brought that in.
0:10:44 > 0:10:48It is actually... The ball has been removed, thankfully,
0:10:48 > 0:10:50and it is actually drying up there now
0:10:50 > 0:10:53but obviously there's some work needs to be done to put it right.
0:10:53 > 0:10:56It finds a way, doesn't it? Water always finds a way in.
0:10:56 > 0:10:58Always find a way in. Yeah, definitely.
0:10:58 > 0:10:59- And all from a tennis ball.- Yeah.
0:10:59 > 0:11:02- Just lifting it out and getting it out of the way.- Yeah, exactly. Yeah.
0:11:02 > 0:11:06What's going to be the biggest thing you're going to have to overcome on this property, Mark?
0:11:06 > 0:11:09I think the damp to start with.
0:11:09 > 0:11:12Although it looks quite good, you can only see traces here and there,
0:11:12 > 0:11:14it is most of the way around the walls.
0:11:14 > 0:11:17Thankfully, the front wall's all right,
0:11:17 > 0:11:19but most of the other walls all need doing,
0:11:19 > 0:11:22so that's one of the reasons that has to come out,
0:11:22 > 0:11:25there's damp behind there.
0:11:25 > 0:11:29Also, the units in the utility room, even there, it's damp.
0:11:29 > 0:11:32So, it's everywhere downstairs, it's quite a big cost.
0:11:32 > 0:11:34What's your budget going to be?
0:11:34 > 0:11:37I think it will be between 10,000 and 12,000,
0:11:37 > 0:11:41but you never know what you're going to come up against, contingency.
0:11:41 > 0:11:44I would not expect to spend more than 15, really.
0:11:44 > 0:11:47And hopefully it will be between 10 and 12.
0:11:47 > 0:11:50And what about your timescales to get all the work done?
0:11:50 > 0:11:52- Tomorrow. - LAUGHTER
0:11:52 > 0:11:55- Tomorrow starts.- Tomorrow starts.- Tomorrow starts, yes.
0:11:55 > 0:11:57This will be smashed out tomorrow.
0:11:57 > 0:12:01But hopefully, bearing in mind that I am here on my own,
0:12:01 > 0:12:04virtually the whole time, I would think six months.
0:12:04 > 0:12:10What's it like in the mornings when he's had an extra hour in bed and you're off? Off to work.
0:12:10 > 0:12:13Well, he makes sure I go to work, don't you?
0:12:13 > 0:12:16Yeah, but be honest as well, what are you like in the mornings?
0:12:16 > 0:12:19Horrible.
0:12:19 > 0:12:22I'm not talkable to till about 11 o'clock.
0:12:22 > 0:12:25Do you get your breakfast? Do you have a cup of tea? Do you get anything?
0:12:25 > 0:12:29I get a cup of tea and he makes me some toast to take to work with me.
0:12:29 > 0:12:31And then he gets back in bed.
0:12:31 > 0:12:34- Well trained, well trained.- Exactly.
0:12:34 > 0:12:37- I won't be getting back in bed now.- Well, no, no.- Good on you.
0:12:37 > 0:12:40Listen, I wish you both well, I think you'll be fine.
0:12:40 > 0:12:42- Carol, good luck.- Thank you. - Good luck, I appreciate that.
0:12:42 > 0:12:44- Thanks for your time, guys. - Thank you, Dion.
0:12:44 > 0:12:46- Good luck.- Thank you very much indeed.- Pleasure.
0:12:46 > 0:12:49What a lovely couple Mark and Carol are.
0:12:49 > 0:12:51This is only their second project.
0:12:51 > 0:12:53They have got a few issues to overcome,
0:12:53 > 0:12:55but I think they'll be fine.
0:12:55 > 0:12:56They're a good team.
0:12:56 > 0:12:59You can find out how they get on later in the programme.
0:13:03 > 0:13:06Telford in Shropshire is a town named after civil engineer
0:13:06 > 0:13:10Thomas Telford, a man called the "Colossus of Roads"
0:13:10 > 0:13:12by the poet, Southey.
0:13:14 > 0:13:17That's "roads", as in the long straight things built by Romans,
0:13:17 > 0:13:20rather than the Greek island, in case you were confused.
0:13:20 > 0:13:24Anyway, time to tread a classic path to our auction lot.
0:13:24 > 0:13:26Will it be paved with gold?
0:13:28 > 0:13:31So, what was on offer at the auction?
0:13:31 > 0:13:34Well, with a guide price of £55,000 plus,
0:13:34 > 0:13:36it was this property here.
0:13:36 > 0:13:38It's a two-bed, end of terrace.
0:13:38 > 0:13:40You know, for that kind of money, it doesn't look too bad,
0:13:40 > 0:13:42Let's have a look inside.
0:13:46 > 0:13:47So, not a huge guide price.
0:13:47 > 0:13:50But what do you get for your money?
0:13:50 > 0:13:53Through the front door and, for once,
0:13:53 > 0:13:56towards the left as you come in is the kitchen.
0:13:56 > 0:13:58I say that because normally you come into a house
0:13:58 > 0:14:01and it's the living room and the kitchen is at the back, isn't it?
0:14:01 > 0:14:04Quite unusual to have the kitchen at the front, and it's a nice-sized space.
0:14:04 > 0:14:07A kitchen-dining room, space for kitchen cabinets,
0:14:07 > 0:14:09you'd want to replace those but that's definitely worth doing,
0:14:09 > 0:14:11you'd add value to the house, for sure.
0:14:11 > 0:14:14So, really nice family living space, if you like.
0:14:14 > 0:14:18A bit of storage as you head down the corridor.
0:14:18 > 0:14:21It's almost like the house is almost back to front,
0:14:21 > 0:14:24because the stairs up to the bedrooms are there,
0:14:24 > 0:14:26and then into your main living room.
0:14:26 > 0:14:32And...wow! That's wallpaper and a half, isn't it?
0:14:32 > 0:14:34But a nice-sized room,
0:14:34 > 0:14:39and at the end, this big sort of window thing.
0:14:39 > 0:14:43I say window thing because you'd want it to be patio doors, really,
0:14:43 > 0:14:49out onto the back garden, so replace that with something that you could actually walk through.
0:14:49 > 0:14:51Sort out the decoration, do the kitchen.
0:14:51 > 0:14:54You know, it's straight away saying
0:14:54 > 0:14:57a house you can add value to, but I like it.
0:14:57 > 0:15:01# Hey, what's wrong with you?
0:15:01 > 0:15:05# You're looking kinda down to me
0:15:07 > 0:15:10# Listen to what I say
0:15:10 > 0:15:13# Got to turn around
0:15:13 > 0:15:18# Got to turn around
0:15:18 > 0:15:20# Hey! #
0:15:20 > 0:15:21What's wrong with it?
0:15:21 > 0:15:25Well, the house seems to be back to front, that's what.
0:15:25 > 0:15:28You could turn it around and have the kitchen in here,
0:15:28 > 0:15:32patio doors straight from the kitchen into the garden, maybe.
0:15:32 > 0:15:34But it could be very costly.
0:15:34 > 0:15:37If you wanted to make maximum profit then I'd leave it.
0:15:37 > 0:15:41But I'd definitely go for different decor.
0:15:41 > 0:15:44It feels far too dark and busy.
0:15:44 > 0:15:48So, upstairs and at the top of the stairs a bathroom and loo.
0:15:48 > 0:15:51It definitely needs a bit of refurbishment.
0:15:51 > 0:15:53And then two bedrooms.
0:15:53 > 0:15:56The first one at the front of the property there,
0:15:56 > 0:15:59and then down the landing here to the second one.
0:15:59 > 0:16:01Now, this is a pretty big size, and
0:16:01 > 0:16:05given that you've got one window over there and one window here,
0:16:05 > 0:16:08naturally, this could be split into two.
0:16:08 > 0:16:11Now, converting this house into a three-bed,
0:16:11 > 0:16:13I think would open up the options in terms of rental
0:16:13 > 0:16:15and also add value when it comes to selling.
0:16:15 > 0:16:18And I think just by playing around with these stud partition walls,
0:16:18 > 0:16:22you might have to move the boiler, which is in that cupboard there.
0:16:22 > 0:16:25But I think a conversion to three bedrooms
0:16:25 > 0:16:28might not be as complicated as it sometimes is,
0:16:28 > 0:16:31so definitely worth thinking about.
0:16:32 > 0:16:35A stud partition through the middle, move the boiler,
0:16:35 > 0:16:38and hey, presto, Robert's your father's brother,
0:16:38 > 0:16:40a three-bed at little expense.
0:16:40 > 0:16:42However, eradicating the pinks and blues
0:16:42 > 0:16:46and restoring this place is definitely not the hard bit.
0:16:46 > 0:16:50It's the buying of it that could present a problem.
0:16:50 > 0:16:52Hold on to that thought.
0:16:52 > 0:16:54So, at the back of the property
0:16:54 > 0:16:57there's a little garden, it needs a bit of tidying up.
0:16:57 > 0:17:01But coming out here is where you discover
0:17:01 > 0:17:05a bit of a potential fly in the ointment for this property,
0:17:05 > 0:17:08because like many others around here,
0:17:08 > 0:17:11it's built of a specific type of construction.
0:17:11 > 0:17:13It's called Crosswall construction.
0:17:13 > 0:17:17Basically, you've got a big concrete wall at the end there,
0:17:17 > 0:17:21another concrete wall in the middle separating it from the house next door,
0:17:21 > 0:17:24and then you've got the sort of construction by normal means in between.
0:17:24 > 0:17:27What's the issue with that? It's reasonably solid,
0:17:27 > 0:17:29however it's that classic thing with mortgage lenders,
0:17:29 > 0:17:32cos it's not exactly standard.
0:17:32 > 0:17:35And mortgage lenders don't like anything which is non-standard.
0:17:35 > 0:17:38So, some mortgage lenders will actually not lend
0:17:38 > 0:17:40on this kind of property.
0:17:40 > 0:17:43As long as you know that before you buy it, you're OK.
0:17:45 > 0:17:49So, my advice is to make sure you get your finances sorted
0:17:49 > 0:17:51before you raise your hand at auction,
0:17:51 > 0:17:55as ever, because once that hammer has gone down, you're committed,
0:17:55 > 0:17:58so don't want to find out you can't pay what you've bid.
0:17:58 > 0:18:03Time to ask a local estate agent his thoughts on the property.
0:18:03 > 0:18:07For letting or selling purposes, redecoration throughout,
0:18:07 > 0:18:11put a cheap kitchen, cheap bathroom in, new flooring throughout.
0:18:11 > 0:18:14Apart from that, I wouldn't spend an awful lot more money on it.
0:18:14 > 0:18:16Guided at £55,000 plus,
0:18:16 > 0:18:20one way to find out if you should add that extra bedroom
0:18:20 > 0:18:21is to compare values.
0:18:21 > 0:18:25So, what would it be worth for sale and rental as a two-bed?
0:18:27 > 0:18:33As a two-bedroom property, I would value this at £77,500.
0:18:33 > 0:18:37And if you were to put this up for let as a two-bedroom property,
0:18:37 > 0:18:42I would suggest a rent of £500 per calendar month.
0:18:42 > 0:18:46And how about if you added that third bedroom?
0:18:46 > 0:18:48For a three-bedroom property,
0:18:48 > 0:18:53I would suggest a potential resell value of £80,000.
0:18:53 > 0:18:56And if this was to go on the rental market,
0:18:56 > 0:19:00I would suggest a rental value of £525 per calendar month.
0:19:00 > 0:19:02Well, it's certainly a good price,
0:19:02 > 0:19:07and if you added that third bedroom you'd certainly add value.
0:19:07 > 0:19:09Only issue of course is the potential problem
0:19:09 > 0:19:13with it being that slightly unusual form of construction.
0:19:13 > 0:19:15But as long as you know about it then it's not a problem.
0:19:15 > 0:19:19Let's see who agreed and bought it when it went under the hammer.
0:19:21 > 0:19:26Lot 14, two-bedroom end townhouse. 50, can I say, to start?
0:19:26 > 0:19:3149 then, we'll drop it below. 49 bid, thank you. £49,000.
0:19:31 > 0:19:3550, can I see now? At £49,000, looking for 50.
0:19:35 > 0:19:3850, took it there. £50,000, at 50,000.
0:19:38 > 0:19:4451? 51. 52, 53, 54,
0:19:44 > 0:19:4955, 56, 57, 58.
0:19:49 > 0:19:50Wave, wave, wave, where are you?
0:19:50 > 0:19:51In the door, gotcha.
0:19:51 > 0:19:5759? 60, 61, 62,
0:19:57 > 0:19:5963... No?
0:19:59 > 0:20:0263. Standing in the doorway at £63,000.
0:20:02 > 0:20:0464 anywhere else?
0:20:04 > 0:20:09If not, I'm selling it at £63,000 for the first time.
0:20:09 > 0:20:12Back in, 64. 65, sir?
0:20:14 > 0:20:18Half? 64-and-a-half. Half to you, sir. 65?
0:20:18 > 0:20:2165. Shaking his head.
0:20:21 > 0:20:25With you in the aisle, sir? £65,000, all done.
0:20:25 > 0:20:26You bought it, well done.
0:20:26 > 0:20:3265 grand was the price paid by husband and wife team, Andy and Karen.
0:20:32 > 0:20:35They own six rental properties in the local area,
0:20:35 > 0:20:38in addition to Karen's work as a carer
0:20:38 > 0:20:41and Andy's day job in construction.
0:20:41 > 0:20:44Said job left Andy unable to attend filming,
0:20:44 > 0:20:46but Karen came along to tell me their plans.
0:20:46 > 0:20:48- Karen, good to meet you. - And yourself.
0:20:48 > 0:20:50- Congratulations.- Thank you.
0:20:50 > 0:20:51Tell me why you wanted to buy this place.
0:20:51 > 0:20:55It just short of stood out. It was an end property,
0:20:55 > 0:20:59it's got a garage opposite, and we know the area.
0:20:59 > 0:21:04- So, we know it wasn't going to hold any sort of nasty surprises.- Right.
0:21:04 > 0:21:06I guess one nasty surprise it could have held,
0:21:06 > 0:21:09if you didn't know about it, was the construction.
0:21:09 > 0:21:11Now, what do you know about that?
0:21:11 > 0:21:15It's something called Parkinson, Parkwall, Crosswall construction.
0:21:15 > 0:21:17It's something to do with the adjoining walls
0:21:17 > 0:21:19being of solid concrete.
0:21:19 > 0:21:21It doesn't cause any problems
0:21:21 > 0:21:24apart from when you come to put up pictures on the walls.
0:21:24 > 0:21:26You'll need a very, very good drill.
0:21:28 > 0:21:29But the other problem it can cause
0:21:29 > 0:21:33- is some lenders don't like it, for some reason.- No, they don't.
0:21:33 > 0:21:37The first lender that we decided to go with did the survey
0:21:37 > 0:21:40and then decided not to lend to us.
0:21:40 > 0:21:43So, that was a bit scary because we stood to lose about 7,000
0:21:43 > 0:21:47or 8,000 that we'd put down on the deposit when we went to auction.
0:21:47 > 0:21:50So, talk me through that process in a little bit more detail. What happened?
0:21:50 > 0:21:53When did you go for the mortgage and when did the mortgage get refused?
0:21:53 > 0:21:57We'd already got the mortgage in place with the financial advisor
0:21:57 > 0:22:02and then we paid the 10% deposit at the auction.
0:22:02 > 0:22:07About two weeks later, they said that they weren't going to lend us the money,
0:22:07 > 0:22:11so we had to go with another lender. Luckily, they said yes.
0:22:11 > 0:22:13Sleepless nights.
0:22:13 > 0:22:17It wasn't too bad. We were pretty confident that our financial advisor
0:22:17 > 0:22:21would sort of sort it out for us, which he did, so that was OK.
0:22:21 > 0:22:24Whew! I'm so pleased Karen and Andy got it all sorted,
0:22:24 > 0:22:28but it just goes to show there can always be complications,
0:22:28 > 0:22:31even if you think you've got the finance in place.
0:22:31 > 0:22:34As Karen said, you can lose your 10% deposit
0:22:34 > 0:22:38if you fail to come up with the rest of the money in time,
0:22:38 > 0:22:40and that's usually within 28 days.
0:22:40 > 0:22:43But once those 28 days are up,
0:22:43 > 0:22:46it's complete, or kiss your cash goodbye.
0:22:46 > 0:22:49But now they've got the property, what will they do?
0:22:51 > 0:22:55So, we're going to convert the main back bedroom into two rooms.
0:22:55 > 0:22:59That will involve moving this central heating boiler
0:22:59 > 0:23:01that's in the airing cupboard,
0:23:01 > 0:23:04then the airing cupboard will be the access into the other bedroom.
0:23:04 > 0:23:07New kitchen, new bathroom, new flooring,
0:23:07 > 0:23:10French doors in the front room, and decorate throughout, really.
0:23:10 > 0:23:13And the decision to make it a three-bed,
0:23:13 > 0:23:16is that based on the value it's going to add?
0:23:16 > 0:23:20Yeah, it adds value, plus we've currently done it to
0:23:20 > 0:23:23two of our other properties that we bought, that were two-beds,
0:23:23 > 0:23:26and we converted them to three-beds because they're the same size.
0:23:26 > 0:23:29The two-beds are exactly the same size as the three-beds.
0:23:29 > 0:23:31We've got a good builder that's done it for us before
0:23:31 > 0:23:34so he's just going to come in and do all the major work
0:23:34 > 0:23:37and then we're going to follow up behind and do everything else.
0:23:37 > 0:23:39Talk me through the numbers.
0:23:39 > 0:23:41What's the total budget for sorting this place out?
0:23:41 > 0:23:43- Around about £3,000.- Three?- Yeah.
0:23:43 > 0:23:46- With everything you talked about doing there?- Everything, yeah.
0:23:46 > 0:23:49- New kitchen?- New kitchen. - Bathroom?- Bathroom.
0:23:49 > 0:23:51- Changing the boiler. - Changing the boiler, yeah.
0:23:51 > 0:23:54- Round about £3,000. - How are you going to do it for that?
0:23:54 > 0:23:57We know some good people in the trade, let's say.
0:23:58 > 0:24:00- Wow.- Plus, we're quite handy ourselves,
0:24:00 > 0:24:03so we can do quite a lot of it ourselves.
0:24:03 > 0:24:06I just have to hide the golf clubs for a couple of weeks, I think.
0:24:06 > 0:24:10- Your husband's a golfer, is he? - Yeah, and his mate, so...
0:24:12 > 0:24:17I'm a tidgy-widgy bit concerned that the budget might come under par
0:24:17 > 0:24:20even with the three of them tackling most of the work.
0:24:20 > 0:24:23Their two-month timescale does seem realistic,
0:24:23 > 0:24:26however, despite the fact that Andy and Karen
0:24:26 > 0:24:29have had inquiries from potential tenants,
0:24:29 > 0:24:31the couple have changed their strategy,
0:24:31 > 0:24:34as they plan to sell this one on.
0:24:34 > 0:24:38So, if they skimp too much, they might find themselves BUNKERED,
0:24:38 > 0:24:42so I'm curious - why have they decided to sell this time?
0:24:42 > 0:24:46So, everything is all sort of geared towards our retirement plan.
0:24:46 > 0:24:50So, we're just trying to make a bit more money a bit quicker, if you like.
0:24:51 > 0:24:53- Well, congratulations and good luck with it.- Thank you.
0:24:53 > 0:24:55I look forward to seeing how you get on.
0:24:55 > 0:24:57- Nice to meet you.- Thank you.
0:24:57 > 0:25:03A good house for Karen and husband Andy to try renovation to sell for the first time.
0:25:03 > 0:25:06But more than that, she has discovered the ultimate secret
0:25:06 > 0:25:11to guaranteeing speedy workmanship from your workmen,
0:25:11 > 0:25:16especially if they're your husband - just hide his golf clubs. Cracking.
0:25:16 > 0:25:19How will she get on? You can find out later in the show.
0:25:20 > 0:25:24Coming up, a nice one-bed flat in Gipsy Hill, London,
0:25:24 > 0:25:27but a tight squeeze to get there.
0:25:27 > 0:25:30Anybody moving a double bed is going to have a lot of fun.
0:25:32 > 0:25:37And have Karen and Andy survived that tight three-grand budget in Telford, Shropshire?
0:25:37 > 0:25:39There's a little bit more than what we anticipated.
0:25:39 > 0:25:41Little bits have added up.
0:25:44 > 0:25:47The property I saw earlier was in Farington, Lancashire.
0:25:47 > 0:25:52A three-bed mid-terrace, sold at auction for £70,000.
0:25:52 > 0:25:54When I looked around, I discovered that one of the problems
0:25:54 > 0:25:58was caused by a tennis ball blocking the guttering.
0:25:58 > 0:26:01The NET result was a faulty bedroom ceiling.
0:26:01 > 0:26:03And that wasn't the only unwelcome feature.
0:26:03 > 0:26:07One thing that does hit you in the face is this feature fireplace,
0:26:07 > 0:26:09it's definitely an '80s feel.
0:26:09 > 0:26:11My mum and dad had one of these many years ago.
0:26:11 > 0:26:14The new owners were retired teacher Mark,
0:26:14 > 0:26:18a Homes Under The Hammer fan, and his medical secretary wife, Carol.
0:26:18 > 0:26:21This would be their second refurbishment project.
0:26:21 > 0:26:23So what needs to be done? What are you going to do?
0:26:23 > 0:26:26We're going to put new windows and doors in.
0:26:26 > 0:26:28This is all going to come out.
0:26:28 > 0:26:33We're hoping to bring the kitchen in from where it is originally
0:26:33 > 0:26:35into the back room here.
0:26:35 > 0:26:37We're going to put the kitchen in there,
0:26:37 > 0:26:39and use the kitchen as it is at the moment,
0:26:39 > 0:26:42the little kitchen extension, as a utility room.
0:26:42 > 0:26:45Often seen in properties of this age,
0:26:45 > 0:26:47there were damp patches throughout the house,
0:26:47 > 0:26:50and a rather mysterious floating chimney breast in the bathroom,
0:26:50 > 0:26:53which I hoped wasn't just resting on floorboards.
0:26:53 > 0:26:56We think it is supported, that will be removed.
0:26:56 > 0:26:57We'll have to support it above,
0:26:57 > 0:27:01which will make that room a lot bigger and we'll fit a new bathroom.
0:27:01 > 0:27:02We're back six months later
0:27:02 > 0:27:06to see if this former teacher has spent his pension fund wisely.
0:27:10 > 0:27:12And it looks like he has.
0:27:12 > 0:27:14The back sitting room is now a contemporary kitchen
0:27:14 > 0:27:17with modern units, fittings and decor.
0:27:23 > 0:27:27The new patio door access to the yard is just perfect.
0:27:27 > 0:27:32# Oh, sometimes I get a good feeling, yeah... #
0:27:34 > 0:27:37The new doors free up enough space to fit in a downstairs toilet.
0:27:39 > 0:27:42And I'm happy the lounge is less '80s and more modern,
0:27:42 > 0:27:44with a feature wall and electric fire.
0:27:44 > 0:27:47I can see Carol's touch shining through.
0:27:55 > 0:27:58Upstairs, the fresh new feel continues.
0:27:58 > 0:28:02Out goes the tired pink decor, and with the chimney breast removed...
0:28:04 > 0:28:06..there's room for a corner shower.
0:28:06 > 0:28:09Detail worthy of show house decoration.
0:28:16 > 0:28:19Quality tiles and fittings make a big difference.
0:28:20 > 0:28:24The remaining upstairs rooms are unified by the neutral carpet.
0:28:25 > 0:28:27It makes bedroom one seem even bigger.
0:28:29 > 0:28:31And bedroom two's damp patch has been sorted.
0:28:38 > 0:28:39In the second bedroom,
0:28:39 > 0:28:43the damage caused by the tennis ball in the guttering has been fixed.
0:28:45 > 0:28:47Mark did most of the non-specialised work himself,
0:28:47 > 0:28:51but the results didn't always meet with Carol's approval.
0:28:52 > 0:28:54When Carol came up after I'd started,
0:28:54 > 0:28:58she screamed at me that it was worse than when we bought it.
0:28:58 > 0:29:00I was knocking things down and ripping things out,
0:29:00 > 0:29:03ripping bits of ceiling out, ripping a wall out,
0:29:03 > 0:29:04knocking this fireplace out,
0:29:04 > 0:29:08and just generally ripping everything out to make it
0:29:08 > 0:29:11ready for the experts to come in and put it right afterwards.
0:29:11 > 0:29:14In fact, Carol's got a pet name for Mark.
0:29:14 > 0:29:16He does deserve the name Wrecking Ball,
0:29:16 > 0:29:18but he does put things right in the end.
0:29:18 > 0:29:22MUSIC: Wrecking Ball by Miley Cyrus
0:29:22 > 0:29:24No, thanks, Miley.
0:29:24 > 0:29:27As the sign says, this is a respectable house.
0:29:27 > 0:29:28But you're not alone.
0:29:28 > 0:29:31Some of Carol's choices weren't welcome at first.
0:29:31 > 0:29:34We did this at the last house, and I've always said that
0:29:34 > 0:29:38whatever house we do, we'll put a ceiling rose in and a chandelier,
0:29:38 > 0:29:41which Mark didn't agree with when we bought.
0:29:41 > 0:29:44- No, I didn't.- But I assured him it would go.
0:29:44 > 0:29:46Me, I'm saying nothing, I'm not taking sides.
0:29:46 > 0:29:48I'm going to sit on the fence on this one.
0:29:48 > 0:29:51The project was pretty much bang on schedule,
0:29:51 > 0:29:54but what about that £12,000 to £15,000 budget?
0:29:54 > 0:29:58We have actually ended up spending a lot more than we thought,
0:29:58 > 0:30:01and I think Homes Under The Hammer are to blame a lot for that,
0:30:01 > 0:30:03because every time we've looked at something,
0:30:03 > 0:30:07Carol has always said, "Don't forget Homes Under The Hammer are coming,"
0:30:07 > 0:30:09so we've up-spec-ed quite a lot of things.
0:30:09 > 0:30:12Well, you really shouldn't have gone to the trouble on our part.
0:30:12 > 0:30:14What were the unforeseen costs?
0:30:14 > 0:30:18There was a lot more plastering that was needed and things like that,
0:30:18 > 0:30:21and we up-spec-ed with the kitchen and the bathroom.
0:30:21 > 0:30:25We didn't know exactly what was going to happen with the bathroom,
0:30:25 > 0:30:27what was happening with the chimney breast,
0:30:27 > 0:30:30so that ended up costing us a lot more as well.
0:30:30 > 0:30:32So the budget actually blew through the roof a little bit.
0:30:32 > 0:30:35We've ended up spending £23,000.
0:30:36 > 0:30:38A little bit? That's eight grand over.
0:30:38 > 0:30:41That's more than 50%. Where did it all go?
0:30:41 > 0:30:45We're at the rear of the house now, where a lot of work was done,
0:30:45 > 0:30:47the main job being the rendering.
0:30:47 > 0:30:51The whole lot unexpectedly had to come off and has been renewed,
0:30:51 > 0:30:53but I think you can see a fantastic job has been done.
0:30:53 > 0:30:57A lot of other work has also been done in the rear of the yard.
0:30:57 > 0:30:59There's new fencing been put up, there's a new gate,
0:30:59 > 0:31:03all the stones were cleared and we've put this lovely slating down.
0:31:03 > 0:31:07And I think you'll agree it looks really, really nice now.
0:31:07 > 0:31:10It sure does, but is it too much for the area?
0:31:10 > 0:31:14We called in two property experts to find out their views.
0:31:14 > 0:31:18The big question is, will Mark and Carol be able to sell at a profit?
0:31:18 > 0:31:22Let's start with the agent who was here with us last time we called.
0:31:22 > 0:31:24I can honestly say
0:31:24 > 0:31:27there is nothing I would have done any differently to this property.
0:31:27 > 0:31:29The layout is superb,
0:31:29 > 0:31:31the quality of the fixtures and fittings are superb.
0:31:31 > 0:31:34It's absolutely perfect for the current market of buyers.
0:31:34 > 0:31:36I think the selling points of this property
0:31:36 > 0:31:39basically are in the finish and how it's presented.
0:31:39 > 0:31:41Obviously, we're in a really good area.
0:31:41 > 0:31:44The home offers good accommodation for families,
0:31:44 > 0:31:46first-time buyers and actually investors.
0:31:46 > 0:31:49But I think the finish and how the property has been done
0:31:49 > 0:31:52will be the main benefit to this home.
0:31:52 > 0:31:55That's all well and good, but has it cost too much?
0:31:55 > 0:32:02£70,000 at auction, plus a whacking 23 grand makes a total of £93,000.
0:32:02 > 0:32:05What's its current market value?
0:32:05 > 0:32:08OK, if I was looking to put this property on the market today,
0:32:08 > 0:32:12I would look to achieve a figure of around £110,000.
0:32:12 > 0:32:17I would put this property on the market for around £110,000.
0:32:17 > 0:32:20That's a potential profit of £17,000,
0:32:20 > 0:32:23minus the usual taxes and expenses.
0:32:23 > 0:32:25The values are absolutely bob-on,
0:32:25 > 0:32:29that's what it's up for sale for, and that's what I envisaged.
0:32:29 > 0:32:33As time went on, we thought we would get around about that, hopefully,
0:32:33 > 0:32:35so we're quite happy with that.
0:32:35 > 0:32:38So will he be back at auction in the future?
0:32:38 > 0:32:41Once this one is sold, we will start to look for another
0:32:41 > 0:32:43and hopefully an auction one, if we can.
0:32:43 > 0:32:47Mark's definitely got the bug, so what's the appeal of restoration?
0:32:47 > 0:32:50I've really enjoyed the experience overall.
0:32:50 > 0:32:54I get a buzz out of the house being in the state that it was in
0:32:54 > 0:32:57and the condition and the standard that you see it now.
0:32:57 > 0:32:59I've really, really enjoyed doing it.
0:32:59 > 0:33:02Especially the wrecking ball side of things.
0:33:07 > 0:33:10Between West Norwood, Crystal Palace and Dulwich
0:33:10 > 0:33:15is a London area that was historically settled by travelling people.
0:33:15 > 0:33:17And being in an elevated position,
0:33:17 > 0:33:20this area of London has a fairly obvious name.
0:33:20 > 0:33:25# And you see your gypsy... #
0:33:27 > 0:33:29Gipsy Hill has a real bustling community,
0:33:29 > 0:33:33with plenty of shops, cafes and even its own brewery.
0:33:33 > 0:33:36And, yes, some incredible views over London.
0:33:36 > 0:33:39But the property I'm here to view is on a busy road.
0:33:39 > 0:33:43And what a beautiful building this one-bedroom flat is in.
0:33:44 > 0:33:48I would say the pros outweigh the cons so far, don't they?
0:33:48 > 0:33:51The guide price was £225,000 plus,
0:33:51 > 0:33:55and it's right up on the top and it's on the second floor.
0:33:55 > 0:34:00And one last important detail - the lease has 100 years left.
0:34:00 > 0:34:03So, we're inside the communal area,
0:34:03 > 0:34:06but before we go any further and we discuss the flat,
0:34:06 > 0:34:09I would just like to draw your attention to
0:34:09 > 0:34:11how narrow the staircase is.
0:34:11 > 0:34:16Anybody having to think about moving a double bed, a wardrobe,
0:34:16 > 0:34:20or even a sofa up those stairs is going to have a lot of fun,
0:34:20 > 0:34:22put it that way.
0:34:24 > 0:34:26Yes, this might be the staircase
0:34:26 > 0:34:30that puts the "flat" into "flat pack furniture".
0:34:30 > 0:34:33Anyway, time to squeeze our way to the top now.
0:34:33 > 0:34:37# Take me up to the top of the stairs
0:34:37 > 0:34:41# We'll be lost in the darkness... #
0:34:41 > 0:34:44Oh, that's a bit of a climb.
0:34:46 > 0:34:47But I'm here at the top,
0:34:47 > 0:34:50and here we are inside the little one-bedroom flat.
0:34:50 > 0:34:53It doesn't seem little, it's got quite a spacious feel to it,
0:34:53 > 0:34:57but the first thing that strikes me is this woodchip wallpaper.
0:34:57 > 0:34:59Look, it's everywhere!
0:34:59 > 0:35:00It's in every room!
0:35:00 > 0:35:04So, let's start, we've got the kitchen, which is really spacious,
0:35:04 > 0:35:07but again there's woodchip wallpaper even on the ceilings.
0:35:07 > 0:35:10Really nice-sized lounge through here,
0:35:10 > 0:35:12we've got a bedroom in here with fitted wardrobes.
0:35:12 > 0:35:16More woodchip wallpaper everywhere, look, can you see that? Look.
0:35:16 > 0:35:20And round here we've got a bathroom, which is good news,
0:35:20 > 0:35:21it's painted white.
0:35:21 > 0:35:24There's a lot you could do with this flat, but it's in quite good condition.
0:35:24 > 0:35:27But what I do like is, the fact that you have to climb up
0:35:27 > 0:35:31so many stairs and you are high up, at least you have lovely views,
0:35:31 > 0:35:34and in this bathroom in particular you've got a great view out there
0:35:34 > 0:35:37and you can even see Crystal Palace tower.
0:35:38 > 0:35:43It really is quite a view from this surprisingly spacious flat.
0:35:43 > 0:35:46I don't even mind the eaves that come with being in the loft.
0:35:46 > 0:35:49No obvious problems just, well, sorting out the decor.
0:35:51 > 0:35:54Now, when you view a dated flat like this,
0:35:54 > 0:35:55it's all too easy to say,
0:35:55 > 0:35:58"You know, just rip it all out and start again."
0:35:58 > 0:36:01But don't forget, that the more money you spend on the renovations,
0:36:01 > 0:36:04the less profit there'll be in your pocket at the end of the day.
0:36:04 > 0:36:08And somewhere I think you could save a bit of money in this flat,
0:36:08 > 0:36:10it's this place, the kitchen.
0:36:10 > 0:36:15Now, it's a bit grubby, but actually I think it's in pretty good nick
0:36:15 > 0:36:17and after a really good scrub and a clean,
0:36:17 > 0:36:20maybe some new flooring and a new worktop,
0:36:20 > 0:36:22I think you could use what's here
0:36:22 > 0:36:24rather than spending thousands of pounds
0:36:24 > 0:36:28ripping this out and putting in a brand-spanking-new one.
0:36:30 > 0:36:33Yeah, a bit of elbow grease and scrubbing
0:36:33 > 0:36:35will see this flat clean up nicely.
0:36:35 > 0:36:38Oh, and one other crucial decor change.
0:36:38 > 0:36:42# Rip, rip, woodchip Turn it into paper
0:36:42 > 0:36:45# Throw it in the bin No news today... #
0:36:45 > 0:36:48Oh, please do. You know how I feel.
0:36:48 > 0:36:51I know it can seem a good idea to hide uneven walls and cracks,
0:36:51 > 0:36:55but in my opinion, and it is just my opinion, no.
0:36:55 > 0:36:58Get ripping and get rid of the woodchip.
0:36:58 > 0:37:01Time to get the thoughts of a local estate agent on this property,
0:37:01 > 0:37:03guided at £225,000.
0:37:03 > 0:37:08In his opinion, what sort of person might this flat appeal to?
0:37:08 > 0:37:10It's a top-floor apartment,
0:37:10 > 0:37:12but that might deter a few people.
0:37:12 > 0:37:15However, ideally, it's suited to first-time buyers.
0:37:15 > 0:37:17It's very, very bright.
0:37:17 > 0:37:21It's got great views from the top floor here.
0:37:21 > 0:37:22The only downside is,
0:37:22 > 0:37:26it's got restricted head height, being in the eaves.
0:37:26 > 0:37:29Maybe not for somebody as tall as myself.
0:37:29 > 0:37:32So, no unfit basketball players need apply.
0:37:32 > 0:37:36What does the agent think the flat needs in terms of renovation?
0:37:36 > 0:37:40Well, it's not everybody's first choice to have woodchip wallpaper.
0:37:40 > 0:37:42When you start removing things,
0:37:42 > 0:37:45there's going to be decoration that's required.
0:37:45 > 0:37:49The trouble with removing it is, you don't know what's behind it.
0:37:49 > 0:37:54If it works within the budget to remove it, then I would remove it.
0:37:54 > 0:37:57The bathroom, the enamel is chipped on the bath,
0:37:57 > 0:38:00so you'd need to replace the bath. You could possibly keep the toilet,
0:38:00 > 0:38:04but it would probably work better with a nice matching suite
0:38:04 > 0:38:06so I'd be inclined to take the bathroom out
0:38:06 > 0:38:08and replace it completely.
0:38:08 > 0:38:14And once renovated, what could this flat fetch on the sales and the rental market?
0:38:14 > 0:38:18I think if the property was fully renovated to a high standard,
0:38:18 > 0:38:22it would sell for somewhere in the region of £325,000.
0:38:22 > 0:38:24I think the property could rent for
0:38:24 > 0:38:29somewhere in the region of £1,100 to £1,150 per calendar month.
0:38:30 > 0:38:34Well, if you don't mind a rather steep and narrow staircase,
0:38:34 > 0:38:37and you're not afraid to tackle the woodchip wallpaper,
0:38:37 > 0:38:40this is a decent little flat in pretty good nick.
0:38:40 > 0:38:42So who thought it was a good one to go for?
0:38:42 > 0:38:45Let's head to the auction and find out.
0:38:48 > 0:38:52Good-sized one-bed, so five bids. 250 on this flat.
0:38:52 > 0:38:56250 anywhere? If not 220, start at 220, go from there.
0:38:56 > 0:38:59220 with you, 220.
0:38:59 > 0:39:01225 anywhere?
0:39:01 > 0:39:03With you, 225.
0:39:03 > 0:39:06230, 235.
0:39:06 > 0:39:08240.
0:39:08 > 0:39:11245. It's your bid at 250.
0:39:11 > 0:39:13252?
0:39:13 > 0:39:17If not, it's going at £250,000.
0:39:17 > 0:39:19First time, second time,
0:39:19 > 0:39:22third and last time, if you're all done.
0:39:22 > 0:39:24Sold, 250.
0:39:25 > 0:39:29At 250,000, the successful bidder is Sam.
0:39:32 > 0:39:35He came along with his girlfriend and co-purchaser Camille
0:39:35 > 0:39:37to tell me their plans.
0:39:39 > 0:39:42Sam and Camille, congratulations. Lovely to meet you both.
0:39:42 > 0:39:44Nice to meet you.
0:39:44 > 0:39:46So, you weren't at the auction but you were, Sam?
0:39:46 > 0:39:47How was it for you?
0:39:47 > 0:39:50It was quite nerve-racking, to be honest.
0:39:50 > 0:39:51I turned up on the day,
0:39:51 > 0:39:54went in, there were about 1,000 people in the auction room,
0:39:54 > 0:39:56so I got the atmosphere and the bearings
0:39:56 > 0:39:57and then waited for my lot number.
0:39:57 > 0:40:00And I just remember I kept thinking, make myself prominent.
0:40:00 > 0:40:03Went straight to the middle and when my lot would come up,
0:40:03 > 0:40:04I put my hand up, and away we go,
0:40:04 > 0:40:07and luckily I got it at a price I was happy with.
0:40:07 > 0:40:10So how much research did you guys do for this flat?
0:40:10 > 0:40:12I get the auction catalogue,
0:40:12 > 0:40:15go through the ones I'm interested in,
0:40:15 > 0:40:17and then go and visit them on the day.
0:40:17 > 0:40:19And then when the legal packs come out,
0:40:19 > 0:40:23I'll then go for the legal packs, make sure I'm happy with the content,
0:40:23 > 0:40:25come up with budgets, speak to agents,
0:40:25 > 0:40:28and then if everything qualifies then I go to the auction.
0:40:28 > 0:40:31- So, this was the first one you've ever done?- Yep.
0:40:31 > 0:40:33But you had done all that research?
0:40:33 > 0:40:36Yeah, yeah, we've bought and sold quite a few properties over the years,
0:40:36 > 0:40:38so you get a feel for it.
0:40:38 > 0:40:41And I wanted to get into property developing full time,
0:40:41 > 0:40:44and a way of getting into it quickly is by going to the auction houses.
0:40:44 > 0:40:47So how come you got away with being there on the day, Camille?
0:40:47 > 0:40:50I was at work, and then Sam just gave me a call.
0:40:50 > 0:40:53We had five properties on the day that we were looking at,
0:40:53 > 0:40:56and I think this was the favourite, wasn't it?
0:40:56 > 0:40:57- Really?- Yeah.
0:40:59 > 0:41:02And their favourite of the five secured for 250,000,
0:41:02 > 0:41:05and not too much over the guide price.
0:41:06 > 0:41:11Medical recruiter Camille and Sam have bought this flat with Sam's parents.
0:41:11 > 0:41:14He's recently given up his job as a civil engineer
0:41:14 > 0:41:16to do property development full time.
0:41:16 > 0:41:19A big step, but he's not without experience.
0:41:21 > 0:41:22Me and Camille met at university.
0:41:22 > 0:41:25I studied civil engineering and when I graduated
0:41:25 > 0:41:28I moved straight into the industry, worked there for four or five years,
0:41:28 > 0:41:30with me and Camille doing properties on the side.
0:41:30 > 0:41:33But it takes a lot of your weekends and evenings up,
0:41:33 > 0:41:36and I decided that I fancied a change and I wanted to get into it full time,
0:41:36 > 0:41:39so I packed up work in May and then started on this journey.
0:41:39 > 0:41:41And how do you feel about that, Camille?
0:41:41 > 0:41:44Are you seeing a lot less of him or a bit more of him?
0:41:44 > 0:41:46More of him, actually, because the hours that he was doing before
0:41:46 > 0:41:50meant that he was out at 5.50am, 6am, back very late.
0:41:50 > 0:41:52So seeing more of him now.
0:41:52 > 0:41:54Maybe less when he's going to be doing this property up,
0:41:54 > 0:41:57but, no, it's going well so far.
0:41:57 > 0:42:01- So what input are you going to have with these properties?- Support.
0:42:01 > 0:42:04- Because you're busy at work, aren't you?- Yes, I'm working.
0:42:04 > 0:42:06- You have a full-time job. - Absolutely.
0:42:06 > 0:42:08So, obviously this is now your full-time job,
0:42:08 > 0:42:11- so do you help out as and when you can?- Absolutely, yeah.
0:42:11 > 0:42:13And then just my opinion on things,
0:42:13 > 0:42:17but, really, it's going to be Sam and his dad
0:42:17 > 0:42:19that are running with the project.
0:42:21 > 0:42:24So, Sam and his dad Ray will be doing the hands-on work,
0:42:24 > 0:42:26while Camille keeps a close eye on things.
0:42:26 > 0:42:29So what are they planning to do?
0:42:29 > 0:42:32The first thing we're going to do is get rid of all the woodchip
0:42:32 > 0:42:35and have the whole place replastered throughout.
0:42:35 > 0:42:37We'll be getting rid of the back boiler,
0:42:37 > 0:42:39replacing it with a combi boiler.
0:42:39 > 0:42:43New flooring, and then improvements to the kitchen and the bathroom,
0:42:43 > 0:42:46just to bring it up to a high spec.
0:42:46 > 0:42:48That is exactly what's needed here,
0:42:48 > 0:42:50but let's talk about the kitchen for a minute,
0:42:50 > 0:42:52because there's a lot you could work with, I think, in the kitchen.
0:42:52 > 0:42:53Do you?
0:42:53 > 0:42:57I think we're going to keep the carcasses and potentially the doors
0:42:57 > 0:43:00and then change the worktops, handles, oven,
0:43:00 > 0:43:02just to smarten it up.
0:43:02 > 0:43:05Yeah, I think you might be able to get away with that.
0:43:05 > 0:43:07Woodchip wallpaper, hooray.
0:43:07 > 0:43:10I mean, gosh, I think they've even painted over this,
0:43:10 > 0:43:13it's glossy woodchip wallpaper. So that's going to be good
0:43:13 > 0:43:15but that's quite a painstaking job, isn't it?
0:43:15 > 0:43:17- You'll enjoy doing that(!) - Yep, yep.
0:43:17 > 0:43:18- Are you doing that, Sam?- Yes.
0:43:18 > 0:43:21As soon as we can, I'm going to get the family up
0:43:21 > 0:43:24- and we're going to have a good woodchip wallpaper stripping session.- Party.
0:43:24 > 0:43:25I bet they can't wait for that(!)
0:43:25 > 0:43:28Yeah, exactly. I think everyone's going to get a room
0:43:28 > 0:43:31and then we're just going to try and get it out as quickly as possible.
0:43:31 > 0:43:33And hopefully it's not going to be too difficult.
0:43:33 > 0:43:35And then nice fresh plaster afterwards.
0:43:36 > 0:43:39Oh, Sam, you do know how to throw a family party(!)
0:43:39 > 0:43:42They have a budget of £6,000 to £7,000
0:43:42 > 0:43:45and a timescale of five to six weeks,
0:43:45 > 0:43:48which seems very healthy for getting this flat ready to rent out.
0:43:51 > 0:43:53And how is your life as a property developer now?
0:43:53 > 0:43:55I mean, you've mentioned your dad.
0:43:55 > 0:43:57Is he good? Is he good help for you?
0:43:57 > 0:43:58Yeah, my dad is great.
0:43:58 > 0:44:00Over the years, we've done quite a lot of projects on our own houses
0:44:00 > 0:44:03and that sort of stuff, and he's got skills that I haven't,
0:44:03 > 0:44:06so we complement each other quite well, and we have a good laugh.
0:44:06 > 0:44:08So, it's good and I'm looking forward to it.
0:44:08 > 0:44:11And how often do you think you'll come up to check up?
0:44:11 > 0:44:14- Um...- She's going to say it now on camera, OK?
0:44:14 > 0:44:17So whatever she says, you can hold her to this.
0:44:17 > 0:44:18Whenever he needs me to.
0:44:18 > 0:44:21Oh, you're such a good girlfriend.
0:44:23 > 0:44:24Guys, so lovely meeting you,
0:44:24 > 0:44:27and I'm really excited to see the outcome, so congratulations.
0:44:27 > 0:44:30- Thanks, Camille and Sam. - Thank you, Lucy.- Thank you.
0:44:30 > 0:44:33So a new career for Sam, and luckily for him
0:44:33 > 0:44:37he's got the support of Camille and his dad to help him along the way.
0:44:37 > 0:44:41I think they've done well with this flat, although...well, I'm glad
0:44:41 > 0:44:43I'm not invited to that woodchip wallpaper party.
0:44:43 > 0:44:45I'm busy that night.
0:44:45 > 0:44:48Join me later on in the programme and you can find out how it goes.
0:44:52 > 0:44:55So, we've seen the first of today's property auction stories.
0:44:55 > 0:44:58- Yeah, but what about the next two? - Let's find out.
0:45:02 > 0:45:06Back to Telford in Shropshire now, where earlier in the show
0:45:06 > 0:45:10I saw an end terrace guided at £55,000 plus.
0:45:10 > 0:45:13Right away, I thought that a new kitchen, a new bathroom
0:45:13 > 0:45:17and refreshing the decor could add real value.
0:45:17 > 0:45:21But I saw another way to push up the price at this two-bedder.
0:45:23 > 0:45:27I think a conversion to three bedrooms
0:45:27 > 0:45:30might not be as complicated as it sometimes is,
0:45:30 > 0:45:33so definitely worth thinking about.
0:45:33 > 0:45:38The potential was in the thoughts of several bidders at the auction.
0:45:38 > 0:45:42£65,000. You bought it, well done.
0:45:42 > 0:45:47And Karen and her husband Andy secured another property.
0:45:47 > 0:45:50But this one wasn't one of their usual rentals,
0:45:50 > 0:45:53as they planned to sell to add to their retirement fund.
0:45:54 > 0:45:58But first things first, a full renovation.
0:45:58 > 0:46:04Kitchen, bathroom, carpets, decor and adding that third bedroom.
0:46:04 > 0:46:07So, the budget will be sizable, right?
0:46:07 > 0:46:09Around about £3,000.
0:46:09 > 0:46:11- Three?- Yeah. Round about £3,000.
0:46:11 > 0:46:13How are you going to do it for that?
0:46:13 > 0:46:15We know some good people in the trade, let's say.
0:46:15 > 0:46:17Wow.
0:46:17 > 0:46:19Plus, we're quite handy ourselves,
0:46:19 > 0:46:22so we can do quite a lot of it ourselves.
0:46:22 > 0:46:25I just have to hide the golf clubs for a couple of weeks, I think.
0:46:25 > 0:46:28- Your husband's a golfer, is he? - Yeah, and his mate, so...
0:46:31 > 0:46:33There's an incentive to get the work done,
0:46:33 > 0:46:36keeping the golf clubs hostage.
0:46:36 > 0:46:39But when we came back seven months on,
0:46:39 > 0:46:43was the property a birdie or a bit below par?
0:46:43 > 0:46:45# We're the sultans
0:46:45 > 0:46:49# We're the sultans of swing
0:46:54 > 0:46:55# Hey... #
0:47:01 > 0:47:03Well, this is fantastic,
0:47:03 > 0:47:08with new kitchen and bathroom particularly eye-catching.
0:47:08 > 0:47:13And my eagle eyes tell me that Karen and Andy have swung a third bedroom.
0:47:13 > 0:47:16So, how did they do that?
0:47:16 > 0:47:19We originally thought we were going to have to move the boiler
0:47:19 > 0:47:22from the airing cupboard, but that wasn't the case.
0:47:22 > 0:47:26We just extended the landing, made that bigger
0:47:26 > 0:47:28and put a false wall in and another doorway,
0:47:28 > 0:47:31which saved us £750.
0:47:33 > 0:47:36And money saved too. Wey-hey.
0:47:36 > 0:47:40Another touch I love are the French windows in the living room.
0:47:41 > 0:47:44We decided that we were going to take out the existing window,
0:47:44 > 0:47:46which had a panel underneath
0:47:46 > 0:47:50and put in French doors, which would open up into the garden.
0:47:50 > 0:47:53We're very happy and very pleased with them. They work very well.
0:47:56 > 0:47:59One way the couple planned to keep costs down,
0:47:59 > 0:48:03was by having their builder do the challenging parts of the renovation
0:48:03 > 0:48:05and then do the rest themselves.
0:48:05 > 0:48:08So, did they stick to that plan?
0:48:08 > 0:48:11Yeah, we did use the same guy, but unfortunately
0:48:11 > 0:48:15about three-quarters of the way through he was taken ill.
0:48:15 > 0:48:20So we had to get someone else in to finish off what we wanted doing,
0:48:20 > 0:48:23which added to the timescale, really.
0:48:23 > 0:48:25That's why things have taken a little bit longer
0:48:25 > 0:48:28than what we anticipated.
0:48:28 > 0:48:33The whole project has taken seven months rather than the intended two.
0:48:33 > 0:48:36And that overrun has led to a change of plan.
0:48:38 > 0:48:42The original plan was to sell this one on,
0:48:42 > 0:48:45but because everything has taken a little bit longer
0:48:45 > 0:48:47than what we anticipated,
0:48:47 > 0:48:51we had a rethink, and we thought well, we will rent it out,
0:48:51 > 0:48:54because the months were sort of passing
0:48:54 > 0:48:57and we're renting it to one of our present tenants at the moment,
0:48:57 > 0:49:01so she's very happy that she's moving to a nice new house.
0:49:01 > 0:49:06Karen and Andy felt it wasn't the optimum time of year to sell,
0:49:06 > 0:49:11but they have managed to sell the house their tenant was previously in. So, money made there,
0:49:11 > 0:49:15but how did they get that three grand budget to hold up?
0:49:15 > 0:49:18Roughly, just over 5,000,
0:49:18 > 0:49:21a little bit more than what we anticipated
0:49:21 > 0:49:24due to the fact that things have taken a little bit longer.
0:49:24 > 0:49:26Little bits have added up and added on
0:49:26 > 0:49:29but, yeah, we're quite happy with how it's all gone.
0:49:29 > 0:49:35So, job done. Can Andy get his golf clubs back now?
0:49:35 > 0:49:38If I try and hide the golf clubs, I've got no chance
0:49:38 > 0:49:40because they'll always find a way.
0:49:40 > 0:49:42So, no, I didn't hide the golf clubs in the end.
0:49:45 > 0:49:48Well, that TEES up two local estate agents.
0:49:48 > 0:49:50What do they think of the property?
0:49:50 > 0:49:55Let's start with the agent who saw it before the renovation.
0:49:55 > 0:49:58It's actually been done very, very well in terms of decoration.
0:49:58 > 0:50:00New kitchen, new bathroom.
0:50:00 > 0:50:03One particular thing which I did like
0:50:03 > 0:50:06is the fact that it's been made into a three-bedroom property.
0:50:06 > 0:50:09I think that's crucial in getting the maximum return.
0:50:09 > 0:50:11My thoughts on the property are,
0:50:11 > 0:50:13it's been finished to a very superior standard,
0:50:13 > 0:50:15compared to many that I've valued in the area.
0:50:15 > 0:50:17The kitchen and the bathroom are fantastic.
0:50:17 > 0:50:20The third bedroom is a little bit smaller than some in the area,
0:50:20 > 0:50:22but it still adds value.
0:50:22 > 0:50:25But how much value does it add?
0:50:25 > 0:50:30The agents both suggested rental values of £550 per calendar month,
0:50:30 > 0:50:34which is what Karen and Andy are charging their tenant just now.
0:50:34 > 0:50:38And that's a yield of just over 9%.
0:50:38 > 0:50:42But what could that £70,000 total investment have turned into
0:50:42 > 0:50:46had they plumped for a sale as originally planned?
0:50:46 > 0:50:51I would suggest an asking price of £87,500.
0:50:51 > 0:50:55In the sales market, I believe this property would fetch £85,000.
0:50:55 > 0:50:59Yeah, that's good. Yeah, that's what we anticipated in the beginning.
0:50:59 > 0:51:02But we did get a valuation previous to that
0:51:02 > 0:51:05and they did say sort of £90,000 to £95,000 maybe.
0:51:05 > 0:51:07So, yeah, that's good.
0:51:10 > 0:51:15The agents' top value would bank the couple 17,500 smackeroos,
0:51:15 > 0:51:18before the usual taxes and expenses.
0:51:18 > 0:51:23Karen's valuation, on the other hand, would give them a pre-tax profit of 25,000.
0:51:23 > 0:51:27Unlike golf, the lower score isn't better in property development.
0:51:27 > 0:51:29So what's next for Karen?
0:51:29 > 0:51:33Will she be joining her husband on the course?
0:51:36 > 0:51:38I'm going to have a rest and go on holiday.
0:51:38 > 0:51:40I'm not going to take up golf.
0:51:47 > 0:51:49We head back to Gipsy Hill in south London,
0:51:49 > 0:51:52where earlier, inside this rather grand exterior,
0:51:52 > 0:51:55and up on this very narrow stairwell,
0:51:55 > 0:52:00was a one-bedroom loft apartment, guided at 225,000.
0:52:00 > 0:52:03Everything inside was in pretty good nick.
0:52:05 > 0:52:08Doesn't seem little, it's got quite a spacious feel to it,
0:52:08 > 0:52:13but the first thing that strikes me is this woodchip wallpaper.
0:52:13 > 0:52:16Look, it's everywhere! It's in every room!
0:52:18 > 0:52:22Well, ready to start chipping away were Sam and his girlfriend Camille,
0:52:22 > 0:52:27who bought the property in conjunction with Sam's parents for 250,000.
0:52:27 > 0:52:31The first thing we're going to do is get rid of all the woodchip,
0:52:31 > 0:52:34and have the whole place replastered throughout.
0:52:34 > 0:52:36As soon as we can, I'm going to get the family up,
0:52:36 > 0:52:39- and we're going to have a good woodchip wallpaper stripping session.- Party.
0:52:39 > 0:52:41I bet they can't wait for that(!)
0:52:41 > 0:52:43Exactly, I think everyone is going to get a room
0:52:43 > 0:52:45and we're just going to try and get out as quickly as possible
0:52:45 > 0:52:48and hopefully it's not going to be too difficult.
0:52:48 > 0:52:51Yeah, well, not everyone's idea of a party,
0:52:51 > 0:52:55but five weeks on, Camille and Sam have reason to celebrate,
0:52:55 > 0:52:57with a very nice renovation.
0:53:11 > 0:53:15Well, I'm pleased to see the decor is now clean and fresh.
0:53:15 > 0:53:18But it wasn't the easiest to do.
0:53:18 > 0:53:21So, the flat originally was woodchip everywhere
0:53:21 > 0:53:24so we removed all of that and the condition of the walls
0:53:24 > 0:53:26behind that was quite poor, so we replastered
0:53:26 > 0:53:28throughout the whole flat.
0:53:28 > 0:53:32We've decided to keep the flat really light, bright, airy,
0:53:32 > 0:53:35so the floor has the grey laminate throughout,
0:53:35 > 0:53:38and really makes it feel big.
0:53:38 > 0:53:42White walls, blank canvas for somebody and perfect for rentals.
0:53:43 > 0:53:46From woodchip to a chip in the bath enamel,
0:53:46 > 0:53:49Sam and Camille would have kept most of the bathroom suite,
0:53:49 > 0:53:53but they've opted to replace the whole thing.
0:53:57 > 0:54:01In the bathroom, we took out the existing bathroom suite
0:54:01 > 0:54:03and tiles on the wall and on the floor.
0:54:03 > 0:54:07We completely replastered throughout, put a new bath in,
0:54:07 > 0:54:10new basin and sink, and painted throughout.
0:54:12 > 0:54:15And the kitchen has undergone an upgrade too.
0:54:18 > 0:54:21So, in the kitchen, we have completely refurbished,
0:54:21 > 0:54:23so new flooring, new doors.
0:54:23 > 0:54:27We've gone for the gloss white, very modern, reflects the light.
0:54:27 > 0:54:31New worktops, and we have an oven that's due to arrive very soon.
0:54:31 > 0:54:34Glad they followed my line of thinking
0:54:34 > 0:54:37and salvaged what they could from the original kitchen.
0:54:37 > 0:54:40And that will surely have saved some money too.
0:54:41 > 0:54:44The original budget was £5,000 to £6,000,
0:54:44 > 0:54:47however, with the boiler being an unforeseen expense,
0:54:47 > 0:54:49that cost us an extra £2,000.
0:54:49 > 0:54:52We have managed to save money in other areas
0:54:52 > 0:54:55so I think the total has come in at just under £7,000,
0:54:55 > 0:54:57so I'm really happy with that.
0:54:58 > 0:55:01And they saved on trades by doing the work themselves,
0:55:01 > 0:55:04with Sam's dad Ray doing the electrics,
0:55:04 > 0:55:08Sam himself, doing the plumbing, and Camille looking after the design.
0:55:08 > 0:55:11They managed it within their six-week timescale,
0:55:11 > 0:55:13but is it all still happy families?
0:55:15 > 0:55:17Working with my dad was great.
0:55:17 > 0:55:20We've worked on previous projects before,
0:55:20 > 0:55:22and we really get on and we enjoy it.
0:55:22 > 0:55:25It's been nice actually to come together on a dedicated project
0:55:25 > 0:55:27where me and him spent a lot of time,
0:55:27 > 0:55:29and I'm looking forward to doing it again.
0:55:30 > 0:55:31On time, on budget,
0:55:31 > 0:55:35and not even a woodchip stripping party could break family bonds.
0:55:35 > 0:55:38But is it a profitable venture?
0:55:38 > 0:55:41Time to ask two local property experts,
0:55:41 > 0:55:44starting with the agent who saw it before the renovation.
0:55:45 > 0:55:49The property is a lot brighter than when I came here last.
0:55:49 > 0:55:51A lot of lighting.
0:55:51 > 0:55:53It's certainly made it feel more spacious
0:55:53 > 0:55:56for obviously what was quite a compact flat.
0:55:56 > 0:55:59The only negatives are that it's on the top floor
0:55:59 > 0:56:01and the common parts are a little bit tired.
0:56:01 > 0:56:06However, when you get into the flat itself, it's quite refreshing.
0:56:06 > 0:56:08Having come up and seen the property,
0:56:08 > 0:56:09I think it's a very nice property.
0:56:09 > 0:56:12It's been redecorated very neutrally, prepared for renting.
0:56:12 > 0:56:15The kitchen and bathroom both done in very simple ways
0:56:15 > 0:56:17that makes it easy to manage.
0:56:17 > 0:56:20The flat is actually very, very nice and they've done a really good job.
0:56:20 > 0:56:22They now need to think about how they apply that
0:56:22 > 0:56:24to the communal areas in the front.
0:56:24 > 0:56:25Speak to the freeholders,
0:56:25 > 0:56:27see who the rest of the people in the building are,
0:56:27 > 0:56:30see if they can all get together, pay for it between them
0:56:30 > 0:56:33and really make a nice building look fantastic.
0:56:33 > 0:56:37And even before improvements are made to the building's fabric,
0:56:37 > 0:56:41the agents believe the flat could sell for £320,000.
0:56:41 > 0:56:45Against Sam and Camille's total £257,000 spend,
0:56:45 > 0:56:49that could be a pre-tax profit of £63,000.
0:56:49 > 0:56:54But with the couple set on renting, what kind of income can they expect?
0:56:56 > 0:57:02The property will rent for somewhere between £1,150
0:57:02 > 0:57:05and £1,200 per calendar month.
0:57:05 > 0:57:08The rental market is very, very strong in Crystal Palace,
0:57:08 > 0:57:11and I believe the property will achieve £1,200 per calendar month.
0:57:11 > 0:57:14That's in line with what we were thinking, isn't it?
0:57:14 > 0:57:18Yeah, we were hoping for £1,200 a calendar month for rental,
0:57:18 > 0:57:21and we were thinking 320 to 330 for resell.
0:57:24 > 0:57:27At £1,200 per calendar month,
0:57:27 > 0:57:30that could bring the couple a 5.6% yield.
0:57:30 > 0:57:31All money in the bank,
0:57:31 > 0:57:36and just as well, as they have to start saving for a very big event.
0:57:36 > 0:57:41So, since you were last with us, Sam and I have got engaged.
0:57:41 > 0:57:47So it's going to be quite an exciting few months, I think, for us.
0:57:47 > 0:57:52- Another property, a wedding to plan, so it's all happening.- Busy year.
0:57:53 > 0:57:55Yay! That's fantastic news,
0:57:55 > 0:58:00and big congratulations from all of us here on Homes Under The Hammer.
0:58:03 > 0:58:06So, have you been inspired by the people and the properties you've seen today?
0:58:06 > 0:58:09Yeah. Hopefully we've given you some food for thought.
0:58:09 > 0:58:11Yes, and if we have,
0:58:11 > 0:58:13join us next time for more Homes Under The Hammer.
0:58:13 > 0:58:15- Bye!- Bye.