Episode 16

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0:00:02 > 0:00:04Hello. Now, today, we are in the grounds of a stunning,

0:00:04 > 0:00:06- beautiful castle in Scotland.- Yes.

0:00:06 > 0:00:08Well, it is incredible, Lucy, you're right.

0:00:08 > 0:00:10But you know what they say,

0:00:10 > 0:00:11every man and woman's home is their castle.

0:00:11 > 0:00:14Let's see who bought theirs under the hammer.

0:00:40 > 0:00:43All kinds of lots are up for grabs at auction - land,

0:00:43 > 0:00:45pubs and even business premises.

0:00:45 > 0:00:47Yep, houses that are complete wrecks

0:00:47 > 0:00:49or houses that just need a lick of paint.

0:00:49 > 0:00:53So let's see what's on offer on today's show.

0:00:53 > 0:00:56Dereliction is the decor style at this South Normanton, Derbyshire,

0:00:56 > 0:00:59property. And it is not just the paint that is cracking.

0:00:59 > 0:01:01This crack, look at it!

0:01:03 > 0:01:07While the decor at this Seaham, County Durham, semi has more

0:01:07 > 0:01:09magnolia than a garden show.

0:01:09 > 0:01:11Whoa, hold it a minute. I can see some colour.

0:01:13 > 0:01:16And at this Tylorstown, Rhondda Valley, lot,

0:01:16 > 0:01:18a flattened shop needs some elbow grease.

0:01:18 > 0:01:19I don't think, for instance,

0:01:19 > 0:01:22you'd want to cook on this particular cooker as it stands.

0:01:24 > 0:01:26All these properties were bought at auction.

0:01:26 > 0:01:27We'll find out who got them

0:01:27 > 0:01:31and how much they paid when they went under the hammer.

0:01:31 > 0:01:33Well done, sir, stuck at it.

0:01:35 > 0:01:38The village of South Normanton grew rapidly after the colliery

0:01:38 > 0:01:41opened in 1871.

0:01:41 > 0:01:45It then went on to have the largest output of coal in Derbyshire.

0:01:47 > 0:01:52As is typical of ex-mining areas, South Normanton is dominated by

0:01:52 > 0:01:56rows of terraces, which would have once housed the miners working here.

0:01:56 > 0:02:00And it is a terrace that I'm here to see.

0:02:00 > 0:02:04It's a two-bed with a guide price of £36,000-plus.

0:02:04 > 0:02:08Now, it's on a road like this, which can get a little bit busy.

0:02:08 > 0:02:10You can't have everything, can you? No.

0:02:10 > 0:02:12I'm going to check it out.

0:02:13 > 0:02:15So, straight from the...

0:02:15 > 0:02:17- ALARM SOUNDS - Aha!

0:02:17 > 0:02:20That noise was not my ears defying me.

0:02:20 > 0:02:22There is an alarm over there.

0:02:22 > 0:02:25So it's obviously been set up by the person who used to live here

0:02:25 > 0:02:27to be aware of people coming and going,

0:02:27 > 0:02:30so no sneaking into this house late at night!

0:02:30 > 0:02:32But once you're in, you can see for yourselves.

0:02:32 > 0:02:35I mean, ha, it needs so much work.

0:02:35 > 0:02:37Somebody's obviously put a fire here

0:02:37 > 0:02:39because they wanted to attach it to the wall.

0:02:39 > 0:02:42The fireplace and the bricks have all been knocked about.

0:02:42 > 0:02:45You can see they're down here, ready to install this.

0:02:45 > 0:02:50Polystyrene tiles through here. Some old-fashioned sliding doors.

0:02:50 > 0:02:52Look at these!

0:02:52 > 0:02:54I'd probably take these off, but I like the way that the

0:02:54 > 0:02:57whole of this has been opened up to one big room.

0:02:57 > 0:02:59So that really does work.

0:02:59 > 0:03:03You've got a larder in there, which is always great storage.

0:03:03 > 0:03:06But, you know, bare plasterwork here. It needs painting.

0:03:06 > 0:03:09You need to get rid of this kitchen, put something a lot more modern in.

0:03:09 > 0:03:13It needs flooring. Although it's quite spacious,

0:03:13 > 0:03:16there is a lot of work that needs to be done here. Hm.

0:03:16 > 0:03:19And it's not feeling too cosy as it is.

0:03:19 > 0:03:22# At the end of the day You're gonna be hard work

0:03:22 > 0:03:26# But you're good for me. #

0:03:26 > 0:03:29Cosy is a term that wouldn't be on top of anyone's list

0:03:29 > 0:03:33when finding words to describe the bathroom down here.

0:03:33 > 0:03:37It's dilapidated, dated and needs a restart with a new suite.

0:03:40 > 0:03:42As it is, arachnophobes need not apply.

0:03:45 > 0:03:49The smaller of the two bedrooms is a little too small in my view

0:03:49 > 0:03:50to relocate the bathroom up here.

0:03:52 > 0:03:55But it should be a warm room, as it's got a new radiator

0:03:55 > 0:03:58and central heating boiler, which is very handy.

0:03:58 > 0:04:03# I'm not going to lie You're hard work. #

0:04:03 > 0:04:06The larger bedroom has also got new heating,

0:04:06 > 0:04:10but the dreaded polystyrene tiles on the ceiling will have to go

0:04:10 > 0:04:13the same way as the wallpaper, where stripping has already begun.

0:04:16 > 0:04:21No, it might not look too pretty at the moment, but, well,

0:04:21 > 0:04:24we can see past that on Homes Under The Hammer, can't we?

0:04:24 > 0:04:29Now, something that I'm afraid I can't see past is this crack here.

0:04:29 > 0:04:33Now, it's on the outside as well as the inside. Look at it.

0:04:33 > 0:04:36Now, unfortunately, it could be a sign of subsidence,

0:04:36 > 0:04:40which means this building, it could be sinking into the ground.

0:04:40 > 0:04:41And to sort that out,

0:04:41 > 0:04:43well, the whole terrace might need to be underpinned.

0:04:43 > 0:04:47And that is a big and very costly job.

0:04:48 > 0:04:51A case of subsidence can potentially wipe out any potential profit

0:04:51 > 0:04:55in a property and make buildings insurance expensive.

0:04:57 > 0:05:00In former mining areas, I would always recommend getting

0:05:00 > 0:05:06a mining report to reveal if mine workings exists under the property.

0:05:06 > 0:05:08I would also want a structural survey to check

0:05:08 > 0:05:10things like the gable end wall.

0:05:11 > 0:05:14Is it about to part company with the rest of the house?

0:05:16 > 0:05:19Now, this might look like a simple,

0:05:19 > 0:05:22unassuming alleyway that runs along the side of the house.

0:05:22 > 0:05:25But what this actually means is that you could take materials

0:05:25 > 0:05:28straight through here to the garden or to the back of the house

0:05:28 > 0:05:31without having to traipse through all the rooms at the front,

0:05:31 > 0:05:33which is great news.

0:05:33 > 0:05:37However, there is a negative with this too. Just take a look up there.

0:05:37 > 0:05:42That window belongs to the house next door, and so this property has

0:05:42 > 0:05:47a flying freehold, and that can make it more difficult to get a mortgage.

0:05:47 > 0:05:49So buyer beware.

0:05:50 > 0:05:52We invited a local estate agent

0:05:52 > 0:05:54to see what he would recommend

0:05:54 > 0:05:57and give a valuation of the house's potential.

0:05:57 > 0:06:00The property needs a complete scheme of renovation.

0:06:00 > 0:06:02However, I have noticed that there is a central heating system

0:06:02 > 0:06:04already been installed.

0:06:04 > 0:06:07I would generally put that down as putting a new kitchen in,

0:06:07 > 0:06:10new bathroom. I would also take down the ceilings,

0:06:10 > 0:06:12which are obviously polystyrene tiled also.

0:06:14 > 0:06:17Well, some valuable work has been done here, like the boiler and

0:06:17 > 0:06:22central heating, but a lot of other expensive jobs remain to be done.

0:06:22 > 0:06:25So assuming that you got the house for anywhere near the guide price

0:06:25 > 0:06:30of 36 grand, how much room is there for profit if you resold it?

0:06:30 > 0:06:33Once renovated, I would expect the property

0:06:33 > 0:06:35to achieve around £60,000.

0:06:35 > 0:06:38So a few potential pitfalls with this terrace,

0:06:38 > 0:06:40but if you can see past those, well,

0:06:40 > 0:06:42you do get a decent amount of property

0:06:42 > 0:06:45for your £36,000-plus guide price.

0:06:45 > 0:06:46So, who was ready to take this on?

0:06:46 > 0:06:49Let's find out when it went under the hammer.

0:06:55 > 0:06:57We move on to lot 24.

0:06:59 > 0:07:03A traditionally built end-terraced house that's double glazed,

0:07:03 > 0:07:05gas central heated,

0:07:05 > 0:07:10but otherwise needs a full scheme of modernisation and improvement.

0:07:10 > 0:07:14Start me where you like with that one. May I say 36 for it?

0:07:14 > 0:07:1534,000?

0:07:15 > 0:07:19Bid me 30 then to move in on. £30,000, thank you.

0:07:19 > 0:07:22I've got 30 as a start. At 30,000.

0:07:22 > 0:07:2531 somewhere? 31 is bid. At 31.

0:07:25 > 0:07:2732? 32.

0:07:27 > 0:07:3033. 33,000.

0:07:30 > 0:07:3334? 34 is bid.

0:07:33 > 0:07:3535. At 35.

0:07:35 > 0:07:3836? At 36,000.

0:07:38 > 0:07:40500. 36.5.

0:07:40 > 0:07:4337? 37 is bid.

0:07:43 > 0:07:45At 37,000.

0:07:45 > 0:07:47Five again? 500.

0:07:47 > 0:07:5238? 38. 38 is the seated bid against you.

0:07:52 > 0:07:5538.5? It's going to get sold, ladies and gentlemen.

0:07:55 > 0:07:58At £38,000 for the first time.

0:07:58 > 0:08:02For the second time. Third chance.

0:08:02 > 0:08:04Sold at 38. Thank you.

0:08:05 > 0:08:10The successful bidder was Sam, at the auction with his mum, Gail.

0:08:10 > 0:08:12He bought jointly with his brother Ben

0:08:12 > 0:08:15as their first property developing purchase.

0:08:16 > 0:08:19So will it be the first time lucky for the boys

0:08:19 > 0:08:22and the £38,000 investment?

0:08:22 > 0:08:24- Sam, lovely to meet you today. - Nice to meet you.

0:08:24 > 0:08:27So, what has been your inspiration behind you wanting to buy this?

0:08:27 > 0:08:30I watch quite a lot of Homes Under The Hammer at home,

0:08:30 > 0:08:32- so that's the main inspiration.- Yes! Really?- Yeah.- Oh, I'm so glad.

0:08:32 > 0:08:34Yeah, that was, like, the main inspiration.

0:08:34 > 0:08:36So how come you're watching daytime telly?

0:08:36 > 0:08:38Are you not working in the days?

0:08:38 > 0:08:40I'm playing football semi-professionally at the minute,

0:08:40 > 0:08:42so that's two nights a week and a Saturday,

0:08:42 > 0:08:44so I've got a bit of free time.

0:08:44 > 0:08:47- So I thought this was a good option. - And who are you playing for?

0:08:47 > 0:08:49Alfreton Town at the minute, so it is in the local area.

0:08:49 > 0:08:51So why did you want to buy this in particular?

0:08:51 > 0:08:53How much research did you do?

0:08:53 > 0:08:55I did quite a bit of research. I did a bit of driving around

0:08:55 > 0:08:58and had a look at some of the houses that are up for sale,

0:08:58 > 0:09:01and this one just sort of popped out because of the guide price.

0:09:01 > 0:09:04There was a house for sale down the road,

0:09:04 > 0:09:07and that sort of went for around 70.

0:09:07 > 0:09:10So I thought there was quite a good scope, sort of thing,

0:09:10 > 0:09:11to make a bit of money on it.

0:09:11 > 0:09:12So first things first,

0:09:12 > 0:09:15what did you notice that made you a little bit wary?

0:09:15 > 0:09:18- The crack on the outside. - Oh, good, so you did see that!- Yeah.

0:09:18 > 0:09:21So you still wanted to bid for this, knowing there was a big glaring

0:09:21 > 0:09:22crack on the outside of the property,

0:09:22 > 0:09:24why didn't that put you off?

0:09:24 > 0:09:28Well, my dad is a builder, so he gave me a bit of advice on it.

0:09:28 > 0:09:31He had a look at it and he didn't think it was too much of a problem.

0:09:31 > 0:09:32He thinks it might have settled,

0:09:32 > 0:09:35so he doesn't think there will be any more movement,

0:09:35 > 0:09:36but it's something we'll be able to check out.

0:09:36 > 0:09:39OK, so you're not too worried about that. What about the other THING?

0:09:39 > 0:09:43- Do you know what I'm talking about? - What's that?- Flying freehold?

0:09:43 > 0:09:46- No.- Oh, so you don't know about the flying freehold?- No.

0:09:46 > 0:09:48OK, so there is a flying freehold with this property,

0:09:48 > 0:09:51which means part of your building belongs to another part,

0:09:51 > 0:09:54it sort of goes over another part of the building.

0:09:54 > 0:09:56So that does put a lot of potential buyers off.

0:09:56 > 0:09:59And also, it can sometimes be quite difficult getting a mortgage,

0:09:59 > 0:10:02hence that is why it's cash purchases.

0:10:02 > 0:10:04So did you read the legal pack thoroughly?

0:10:04 > 0:10:07I did read the legal pack, yeah, but I didn't pick up on that.

0:10:07 > 0:10:09Yeah. So is that something that would worry you about this?

0:10:09 > 0:10:12I think we'll have to have a look into it and see.

0:10:12 > 0:10:15Read into it more and see what we can do about it.

0:10:15 > 0:10:18I mean, it's sometimes difficult to sell the property on with

0:10:18 > 0:10:20- the flying freehold.- Yeah. - That's all. Hence, that might be

0:10:20 > 0:10:23- the reason why this went into the auction in the first place.- Yeah.

0:10:25 > 0:10:28Issues with flying freeholds can sometimes become complicated,

0:10:28 > 0:10:32so it's always best to check things out with your solicitor.

0:10:32 > 0:10:35Quite often, it can be sorted out with relative ease

0:10:35 > 0:10:39and it is not always a big deal. So Sam needn't panic just yet.

0:10:40 > 0:10:43So what sort of budget have you got to do the work?

0:10:43 > 0:10:46We're looking at around 5,000 to 7,000,

0:10:46 > 0:10:49so try and get it done quite cheaply and sell it on as quick as we can.

0:10:49 > 0:10:51So make a bit of money on it.

0:10:51 > 0:10:53So the plan is to literally do it up,

0:10:53 > 0:10:55- sell it on, make some money.- Yeah.

0:10:55 > 0:10:58How much value do you think you can add to a property like this?

0:10:58 > 0:11:01Looking at the figures, buying it for 38,000

0:11:01 > 0:11:04and then hopefully being able to sell it for 60, 70

0:11:04 > 0:11:07is what we're hoping. So I think that should be OK.

0:11:10 > 0:11:12OK? I should say so!

0:11:12 > 0:11:16If the boys sell at £70,000, they will be making more than

0:11:16 > 0:11:21a 50% gain on their investment, minus any taxes and fees.

0:11:21 > 0:11:22But still...

0:11:22 > 0:11:26# Goin' to the B-A-N-K

0:11:26 > 0:11:29# She's got me Goin' to the bank. #

0:11:31 > 0:11:34So tell me what it is going to look and feel like on the inside?

0:11:34 > 0:11:37I think we're just going to keep it really clean, really plain.

0:11:37 > 0:11:41Nice clean kitchen, new floors, new bathroom.

0:11:41 > 0:11:44Just make it sort of look like a new house inside, really.

0:11:44 > 0:11:46Any chance you might want to live here?

0:11:46 > 0:11:50- Possibly.- Where do you live at the moment?

0:11:50 > 0:11:51I'm living with my parents at home.

0:11:51 > 0:11:54That's in Ilkeston, so it's not too far away.

0:11:54 > 0:11:57Would you want to trade up or out and kind of leave Mum

0:11:57 > 0:11:59and Dad to come and live here on your own?

0:11:59 > 0:12:02- Or have you got it too cushy at home?- Too cushy at home, yeah.

0:12:02 > 0:12:04- Why would you want to live on your own?- Exactly.

0:12:06 > 0:12:10Dad Dave being a builder will be a great safety net for Sam

0:12:10 > 0:12:12and his brother on their first project together.

0:12:12 > 0:12:14Though it doesn't seem like he'll be called

0:12:14 > 0:12:17upon for his building talents too much.

0:12:18 > 0:12:20I'm doing the project with my brother,

0:12:20 > 0:12:21so we'll both be doing the work.

0:12:21 > 0:12:24My girlfriend, Sarah, she's a properties surveyor,

0:12:24 > 0:12:26so she's been able to lend a bit of a hand. So that's been good.

0:12:26 > 0:12:28She's been on hand to give you some good advice as well?

0:12:28 > 0:12:30She has been, yeah. It's been really helpful.

0:12:30 > 0:12:33Will she be getting her hands dirty and helping with the renovations?

0:12:33 > 0:12:35I don't think she knows it yet,

0:12:35 > 0:12:37but, yeah, she will be. THEY LAUGH

0:12:37 > 0:12:40Sam and Ben certainly have some handy contacts.

0:12:40 > 0:12:44And brother Ben has some very handy skills as he's an electrician.

0:12:44 > 0:12:48And Sam has helped his father decorate a property in the past.

0:12:48 > 0:12:50So they sound like they'll be a great team.

0:12:52 > 0:12:54So what is your timescale?

0:12:54 > 0:12:57How soon do you hope to get this done and dusted and sold on?

0:12:57 > 0:13:00As quick as possible, so hopefully six to eight weeks.

0:13:00 > 0:13:03And you think it is going to interfere with any training at all?

0:13:03 > 0:13:06- No, I don't think so.- What position do you play?- I'm a defender.

0:13:06 > 0:13:09- I place centre-back, so... - So you're good at defending.- Yeah.

0:13:09 > 0:13:10Hope you can defend this.

0:13:10 > 0:13:13Listen, it's been brilliant meeting you. Good luck. Well done.

0:13:13 > 0:13:16- Thank you.- So the first investment property for footballer Sam

0:13:16 > 0:13:19and he didn't know about that flying freehold,

0:13:19 > 0:13:22I had to tell him. Has he met his match?

0:13:22 > 0:13:25Well, join me later on in the programme and you can find out

0:13:25 > 0:13:29if he finds a buyer and manages to let a decent profit.

0:13:33 > 0:13:38Oh, I do like to be beside the seaside. And today, I'm in Seaham.

0:13:38 > 0:13:41Yes, the clue is in the name, it's on the coast.

0:13:42 > 0:13:45This County Durham town was once a mining area

0:13:45 > 0:13:48and is famous for its 19th-century lighthouse.

0:13:48 > 0:13:52But for me, I was really moved by the World War I memorial,

0:13:52 > 0:13:54which the locals refer to as Tommy.

0:13:56 > 0:13:58While history is never far way,

0:13:58 > 0:14:01there are also great shopping facilities nearby.

0:14:03 > 0:14:05With regeneration over the last decade or so,

0:14:05 > 0:14:07this area is on the up.

0:14:08 > 0:14:10So get your bucket and spade at the ready.

0:14:12 > 0:14:14This street I'm on is about a 20-minute walk

0:14:14 > 0:14:17away from the local train station and about a five-minute drive from

0:14:17 > 0:14:19the A19, which has direct access

0:14:19 > 0:14:22to both Sunderland and Middlesbrough.

0:14:22 > 0:14:24So it's really well-placed.

0:14:24 > 0:14:28Also, you've got the seaside just a ten-minute walk

0:14:28 > 0:14:29in that direction.

0:14:29 > 0:14:31Anyway, this is our house.

0:14:31 > 0:14:35It's got a guide price of £25,000-plus

0:14:35 > 0:14:37and it has three bedrooms.

0:14:37 > 0:14:41Let's get inside and have a look.

0:14:41 > 0:14:45OK, wow. Nice and bright hallway here.

0:14:45 > 0:14:47Nice and long hallway as well.

0:14:47 > 0:14:50And I would expect another door here, somewhere.

0:14:50 > 0:14:55And, yes, there is actually cracking all around this area here.

0:14:55 > 0:14:59So, hopefully, if I'm correct... HOLLOW SOUND

0:14:59 > 0:15:01Yeah, that door has just been blocked in.

0:15:01 > 0:15:04Why it has, I have no idea.

0:15:04 > 0:15:07Further down the hallway, you get to the first reception room.

0:15:07 > 0:15:11I can see nice, big size, high ceilings,

0:15:11 > 0:15:13central heating as well.

0:15:13 > 0:15:16And your second reception room to the front of the house is here.

0:15:16 > 0:15:19I don't know why they've blocked that in.

0:15:19 > 0:15:21A small doorway going through to that room.

0:15:21 > 0:15:25I'd be inclined to maybe knock that or make that a little bit bigger,

0:15:25 > 0:15:27double the size of that doorway

0:15:27 > 0:15:29so you've got one big room, lots of light.

0:15:29 > 0:15:34Everything is white in here, so it is completely a blank canvas.

0:15:34 > 0:15:36You've got a nice big window to the back yard

0:15:36 > 0:15:38and a back door just there.

0:15:38 > 0:15:43And a, well, relatively small galley kitchen compared to the

0:15:43 > 0:15:47size of those two rooms. But it's in good condition.

0:15:47 > 0:15:50You'd get away with keeping everything that is in there.

0:15:50 > 0:15:53Get your white goods in there and your kitchen would be finished.

0:15:53 > 0:15:56You could quite easily put your own stamp on what I've seen

0:15:56 > 0:15:58downstairs so far.

0:15:58 > 0:16:01Upstairs could be a different matter.

0:16:01 > 0:16:03So, a good start.

0:16:03 > 0:16:07Two decent-sized reception rooms and scope for improvement

0:16:07 > 0:16:08and a well-appointed kitchen,

0:16:08 > 0:16:13all in relatively good nick, which, believe me, is rare on the show.

0:16:13 > 0:16:16# Could've been magic Now

0:16:16 > 0:16:18# Now... #

0:16:18 > 0:16:20But before I count my chickens,

0:16:20 > 0:16:22let's see what upstairs has in store.

0:16:22 > 0:16:25# Could've been magic... #

0:16:25 > 0:16:27OK, upstairs to the three bedrooms.

0:16:27 > 0:16:29And as I look around here,

0:16:29 > 0:16:32I'm pretty sure this has been put on at a later date.

0:16:32 > 0:16:36This would have been originally a two-bedroom, but they've put

0:16:36 > 0:16:41a box bedroom in there, possibly best as a nursery or even a study.

0:16:41 > 0:16:43Down the hallway a little bit, you've got

0:16:43 > 0:16:46a really nice-sized bedroom to the front of the house.

0:16:46 > 0:16:48Again, in reasonably good condition.

0:16:48 > 0:16:50There you've got the family bathroom.

0:16:50 > 0:16:52Again, it's not huge,

0:16:52 > 0:16:56but you could salvage most of that bathroom suite in there.

0:16:56 > 0:17:00And in here... Whoa, hold it a minute. I can see some colour.

0:17:01 > 0:17:05Blues and greens and reds. This is not like this house.

0:17:05 > 0:17:07All downstairs is completely white.

0:17:07 > 0:17:10But it's a good size third bedroom.

0:17:10 > 0:17:12Nice big window there looking over the back yard.

0:17:12 > 0:17:15Little bit of storage over there, I can see, as well.

0:17:15 > 0:17:17So not a lot to be done.

0:17:17 > 0:17:19A bit of elbow grease

0:17:19 > 0:17:22and you'd have this place turned around in a matter of weeks.

0:17:24 > 0:17:28Well, it's not often I say that. This house is a bit of a gem,

0:17:28 > 0:17:30especially when you take into account the low guide

0:17:30 > 0:17:32price of £20,000-plus.

0:17:32 > 0:17:36And we haven't even mentioned the back garden yet.

0:17:36 > 0:17:39It's small but does have off-road parking,

0:17:39 > 0:17:42a major plus for any would-be buyers or renters.

0:17:45 > 0:17:48I think a little bit of hard work would go a long way with this house.

0:17:48 > 0:17:51But what could it be worth after being renovated?

0:17:51 > 0:17:54We invited along a local estate agent to find out.

0:17:55 > 0:17:57The ex-mining properties,

0:17:57 > 0:18:00you know, the old school build,

0:18:00 > 0:18:02you know, pretty sturdy,

0:18:02 > 0:18:06good-sized properties. You know, these were originally two bedrooms,

0:18:06 > 0:18:09been converted to three, which makes three decent bedrooms still.

0:18:09 > 0:18:12And I think, you know, good family houses.

0:18:13 > 0:18:16We're agreed, what's not to like?

0:18:16 > 0:18:19It's in reasonable shape, but what does she think it needs

0:18:19 > 0:18:21for the market?

0:18:23 > 0:18:26I think the property would need to have a bit of TLC on it,

0:18:26 > 0:18:29just a little bit of niceness put onto it.

0:18:29 > 0:18:32I think once it's been redecorated, possibly re-carpeted,

0:18:32 > 0:18:36re-floored, whatever - the amenities are quite good around here -

0:18:36 > 0:18:40I think you should get people interested to either buy or to rent.

0:18:40 > 0:18:42I think the rental market will have the edge.

0:18:44 > 0:18:46So the agent thinks there's a decent return for investors

0:18:46 > 0:18:50looking to rent out around here. Good to know.

0:18:50 > 0:18:52If you got this for anything near that guide price,

0:18:52 > 0:18:56it couldn't fail to give you a good return, surely.

0:18:56 > 0:18:59So what could a house like this rent out for?

0:19:00 > 0:19:02If this property was put onto the rental market,

0:19:02 > 0:19:06it was done to a good standard, the rental income would be anywhere

0:19:06 > 0:19:11between £475 per calendar month to £495 per calendar month.

0:19:12 > 0:19:15- And for sale? - In the current sale market,

0:19:15 > 0:19:21it should achieve between £55,000 and £57,000.

0:19:22 > 0:19:24This should be a simple job

0:19:24 > 0:19:26cos there's nothing drastic that needs doing here.

0:19:26 > 0:19:29Now, if you get it for anywhere near that guide price,

0:19:29 > 0:19:31I think it would be a fantastic investment.

0:19:31 > 0:19:34Let's find out who got it when it went under the hammer.

0:19:41 > 0:19:4525 is your guide. This is lot number three in the catalogue.

0:19:45 > 0:19:48Three-bedroom, mid-terraced house. 25 is the guide.

0:19:48 > 0:19:50That's where we'll start. 25.

0:19:50 > 0:19:52At 25, no bid. 20 then.

0:19:52 > 0:19:5420 here. At 20, I'm bid.

0:19:54 > 0:19:57In ones. 20 bid now. At 20,000.

0:19:57 > 0:20:0021 here. 22. 23, sir, can you? 23.

0:20:00 > 0:20:01At 22,000.

0:20:01 > 0:20:0623 seated. 24, second row. 25. 26.

0:20:06 > 0:20:08With a good bit of interest in the property, the back-and-forth

0:20:08 > 0:20:13bidding continued. We return when the bids reached £40,000.

0:20:13 > 0:20:1540. 41.

0:20:15 > 0:20:1942. 43. Shake of the head.

0:20:19 > 0:20:22At £42,000. Seated then at 42.

0:20:22 > 0:20:25Are we done? Half I've got.

0:20:25 > 0:20:2743, sir, can you?

0:20:28 > 0:20:3242,750. You're testing my maths.

0:20:32 > 0:20:3843. Could have been worth it. 42,750 then. For the first time.

0:20:38 > 0:20:41Proxy is out. Second time. Third and final time then.

0:20:41 > 0:20:45Selling away at 42,750. Well done, sir.

0:20:45 > 0:20:48Can I have your paddle number, please? 35.

0:20:50 > 0:20:54With that final bid of £42,750,

0:20:54 > 0:20:57close to 18 grand over the guide, was Glenn.

0:20:57 > 0:20:59I've met Glenn before,

0:20:59 > 0:21:02when he bought a Cleveland property at auction on behalf of a client.

0:21:04 > 0:21:07Glenn's own company owns some 200 properties.

0:21:07 > 0:21:09I caught up with him to find

0:21:09 > 0:21:13out what his plans were on his new venture in Seaham.

0:21:15 > 0:21:19- Glenn, good to see you again. - And you.- Congratulations.- Thank you.

0:21:19 > 0:21:22What attracted you to this particular property?

0:21:22 > 0:21:25I'm in a scenario where we've got other rental properties

0:21:25 > 0:21:28and it's a great opportunity for an investor.

0:21:28 > 0:21:31And did you buy this for one of your investors?

0:21:31 > 0:21:32I did, yes.

0:21:32 > 0:21:34So, Glenn, what was your brief from the investor?

0:21:34 > 0:21:37They're looking for a two- or three-bedroom property.

0:21:37 > 0:21:39It's their first investment property,

0:21:39 > 0:21:42and this one fitted what they were looking for.

0:21:42 > 0:21:44- So they put all their trust in you. - They did.

0:21:44 > 0:21:45THEY LAUGH

0:21:45 > 0:21:47So, Glenn, what kind of yields do you look for?

0:21:47 > 0:21:50Here in the Northeast, we get a good deal

0:21:50 > 0:21:54because of the purchase price of the property against what the rental is.

0:21:54 > 0:21:58So very often, we are getting in excess of 10%.

0:21:58 > 0:22:02So is your brief from the investor to hit a certain yield?

0:22:02 > 0:22:03Not necessarily.

0:22:03 > 0:22:05They want the property to be OK.

0:22:05 > 0:22:08And then, you know, we look at the whole package, really.

0:22:08 > 0:22:10So what are the plans for the house once it is all done, Glenn?

0:22:10 > 0:22:14It will be rented out. The investor is looking for an income from it.

0:22:14 > 0:22:16So, yeah, not looking to sell.

0:22:16 > 0:22:20How do you make your money in this sort of situation?

0:22:20 > 0:22:23I charge a sourcing fee. Obviously, I know the area well.

0:22:23 > 0:22:25I have a great relationship with estate agents,

0:22:25 > 0:22:28auction companies, etc., so that's how I get paid.

0:22:30 > 0:22:32There are a growing number of professionals you can employ

0:22:32 > 0:22:36who can manage all aspects of property investing for you.

0:22:36 > 0:22:40If you don't mind giving a slice of the profit away, that is.

0:22:40 > 0:22:43Make sure that you check out anyone that is going to be

0:22:43 > 0:22:45acting on your behalf.

0:22:45 > 0:22:47Get recommendations from other clients.

0:22:47 > 0:22:51By law, all letting agents must be signed up to a redress

0:22:51 > 0:22:55scheme, so check out the industry professional and regulatory bodies.

0:22:55 > 0:22:59As with everything in this game, do your homework.

0:22:59 > 0:23:02Now, tell me what you're going to do to this place.

0:23:02 > 0:23:05Upstairs, the main bedroom, we're going to strip the wallpaper,

0:23:05 > 0:23:08skim the walls, decorate all three rooms,

0:23:08 > 0:23:12so we'll have new carpets, as will the landing and stairs.

0:23:12 > 0:23:15There'll be a splash back put in, in the kitchen,

0:23:15 > 0:23:16for the side of the cooker.

0:23:16 > 0:23:19Where the fire was, this will be plaster boarded

0:23:19 > 0:23:22and plastered over and a new skirting board.

0:23:22 > 0:23:24Some more decoration.

0:23:24 > 0:23:29And then external - needs new lintels over the double doorway.

0:23:29 > 0:23:30OK, and who does that work?

0:23:30 > 0:23:33Have you got a group of people that help you out with the work?

0:23:33 > 0:23:35Or do you get involved yourself?

0:23:35 > 0:23:38I'm a joiner by trade, but I do have my own building company,

0:23:38 > 0:23:41- so my guys do the majority of the work.- OK.

0:23:41 > 0:23:44And in regards to budgets, cos there's not an awful lot

0:23:44 > 0:23:45to be done in the house, is there?

0:23:45 > 0:23:48So probably be looking towards 5,000.

0:23:48 > 0:23:50And what about your timescale to get all the work done?

0:23:50 > 0:23:53- Probably two to three weeks. - And that's it?!- Yep.

0:23:53 > 0:23:56That's a quick turnaround, real quick turnaround.

0:23:56 > 0:23:59- Glenn, I wish all the best, sir. - Thank you.- Hope it works out.

0:23:59 > 0:24:00Thank you very much.

0:24:02 > 0:24:05So another simple project for Glenn.

0:24:05 > 0:24:07This should be a walk in the park,

0:24:07 > 0:24:10or should I say a stroll on the beach.

0:24:10 > 0:24:13But will he hit that target of a 10% yield?

0:24:13 > 0:24:16You can find out how he gets on later on in the programme.

0:24:18 > 0:24:20Coming up, in Tylorstown, South Wales,

0:24:20 > 0:24:24this shop and three-floor flat has some legal issues.

0:24:24 > 0:24:27Get your solicitor involved and find out exactly what is going on.

0:24:29 > 0:24:32And in Seaham, County Durham, Glenn might be counting

0:24:32 > 0:24:34the costs of changes in taxation.

0:24:34 > 0:24:37And the announcements by the Chancellor will have a small effect.

0:24:44 > 0:24:48We head back to the village of South Normanton, in Derbyshire,

0:24:48 > 0:24:51to remind ourselves of this end-terrace, two-bed,

0:24:51 > 0:24:54guided at £36,000-plus.

0:24:54 > 0:24:58The outside was rather arresting, but not in a good way.

0:24:58 > 0:25:01But inside, it was just plain alarming.

0:25:01 > 0:25:02So straight from the...

0:25:02 > 0:25:04- ALARM SOUNDS - Aha!

0:25:06 > 0:25:10But the real warning sign wasn't just the lack of flooring or

0:25:10 > 0:25:11the obvious damp.

0:25:11 > 0:25:15It was the large crack upstairs, as it ran both inside

0:25:15 > 0:25:19and outside the property, that indicated potential subsidence.

0:25:21 > 0:25:23That wasn't the only exterior issue.

0:25:25 > 0:25:29That window belongs to the house next door, and so this property

0:25:29 > 0:25:31has a flying freehold,

0:25:31 > 0:25:34and that can make it more difficult to get a mortgage.

0:25:34 > 0:25:36So buyer beware.

0:25:40 > 0:25:43The property passed to Alfreton Town FC

0:25:43 > 0:25:44star centre-back Sam,

0:25:44 > 0:25:49who along with his brother Ben, bought it at auction for £38,000.

0:25:50 > 0:25:54For Sam's first development, he took inspiration from TV's

0:25:54 > 0:25:59most famous footballer turned property presenter Mr Dion Dublin.

0:26:00 > 0:26:03I watch quite a lot of Homes Under The Hammer at home,

0:26:03 > 0:26:05- so that's the main inspiration.- Yes!

0:26:05 > 0:26:08I'll chalk that up as one-nil to Lucy Alexander.

0:26:08 > 0:26:11And while Sam knew how to keep it tight at the back

0:26:11 > 0:26:15when it came to footsy, there were a few gaps in his property knowledge.

0:26:15 > 0:26:18What did you notice that made you a little bit wary?

0:26:18 > 0:26:21- The crack on the outside. - Oh, good for you, you did see that!

0:26:21 > 0:26:24What about the other THING? Do you know what I'm talking about?

0:26:24 > 0:26:26- What's that?- Flying freehold?

0:26:26 > 0:26:29- No.- Oh, so you don't know about the flying freehold?- No.

0:26:29 > 0:26:32I think we'll have to have a look into it and see...

0:26:32 > 0:26:35Read into it more and see what we can do about it.

0:26:36 > 0:26:39Despite that issue, Sam and Ben had a good team, supported

0:26:39 > 0:26:43by their builder dad and Sam's property surveyor girlfriend, Sarah.

0:26:45 > 0:26:47The footballer and his family targeted

0:26:47 > 0:26:49a timescale of six to eight weeks

0:26:49 > 0:26:54and hoped to net themselves a 70 grand resale price.

0:26:54 > 0:26:59# That's my goal!

0:27:00 > 0:27:04# That's my goal. #

0:27:06 > 0:27:10Four months on, are they ready to kick this back to resell?

0:27:13 > 0:27:16Well, outside, the gable end is looking much better

0:27:16 > 0:27:18and no more cracked render.

0:27:21 > 0:27:25Inside, the dingy incomplete lounge is restored and sliding

0:27:25 > 0:27:29doors removed to create a nice flow to the brand-new kitchen.

0:27:31 > 0:27:35The open-plan feel is one that is very much in right now,

0:27:35 > 0:27:37and I love it.

0:27:37 > 0:27:42# Cos we never go out of style We never go out of style. #

0:27:45 > 0:27:49The bathroom is still downstairs, but it's much more modern and clean.

0:27:49 > 0:27:53Whilst upstairs, those bedrooms benefit from a full re-plaster.

0:27:54 > 0:27:57Magnolia throughout isn't to everyone's taste,

0:27:57 > 0:28:01but neutral colours do make selling so much easier.

0:28:01 > 0:28:03# Cos we never go out of style

0:28:03 > 0:28:06# We never go out of style. #

0:28:08 > 0:28:11The fresh look is completed with the garden.

0:28:11 > 0:28:15The small space is well landscaped, and overall, I think

0:28:15 > 0:28:19any buyer could really put their roots in this property.

0:28:19 > 0:28:22# Take me there

0:28:25 > 0:28:28# Just take me there! #

0:28:30 > 0:28:33Ben and Sam must be so pleased with the result,

0:28:33 > 0:28:37but I'm wondering if that crack did prove to be a major issue.

0:28:39 > 0:28:41It was a bit scary. That was a bit of a crack.

0:28:41 > 0:28:42So my dad's a builder

0:28:42 > 0:28:45and he helped us out with that cos he knows a structural engineer,

0:28:45 > 0:28:48and he just said it had settled, so we just re-rendered the outside

0:28:48 > 0:28:49and repainted it.

0:28:51 > 0:28:53Good job.

0:28:53 > 0:28:55As for the other matter of the flying freehold,

0:28:55 > 0:28:59Sam has looked further into it and his local agents have advised him

0:28:59 > 0:29:03that it shouldn't present too much of a problem for resale.

0:29:03 > 0:29:06The property has also benefited from a full rewire.

0:29:07 > 0:29:11One job they didn't expect to do was the damp course.

0:29:11 > 0:29:14With the damp course, it needed injecting

0:29:14 > 0:29:16all throughout the downstairs just to make sure.

0:29:16 > 0:29:19And it's had a damp proof membrane put up as well.

0:29:19 > 0:29:20The plasterer did the majority of it

0:29:20 > 0:29:22and we just sort of helped labour for him.

0:29:22 > 0:29:24That was a bit of a surprise.

0:29:24 > 0:29:28But it wasn't too bad because we helped the plasterer.

0:29:28 > 0:29:32Hopefully, not a nasty surprise for their budget, though.

0:29:32 > 0:29:35We were hoping around 5,000 to 7,000 at the start,

0:29:35 > 0:29:39but we didn't take into account sort of how much

0:29:39 > 0:29:42the plastering would be with the damp proofing included,

0:29:42 > 0:29:44so it has gone up to just over 10,000, I think.

0:29:44 > 0:29:45Sort of 10,000, 11,000.

0:29:47 > 0:29:50Not bad as an overspend as the boys have saved money by doing most

0:29:50 > 0:29:54of the labour themselves with the help of their dad and his labourers.

0:29:54 > 0:29:58Sam has been pretty much full-time around his football training.

0:29:58 > 0:29:59And Ben, who works full-time,

0:29:59 > 0:30:03has also had to work on the project on evenings and weekends.

0:30:04 > 0:30:07Sam did have some support from Sarah,

0:30:07 > 0:30:10and apparently her catering is second to none.

0:30:10 > 0:30:12But despite all the effort,

0:30:12 > 0:30:16the timescale expanded to 12 weeks rather than the original eight.

0:30:17 > 0:30:21So now it's done, any advice for developers?

0:30:21 > 0:30:23Time for Ben to run with the ball.

0:30:25 > 0:30:27Advice for anybody who is thinking of doing it?

0:30:27 > 0:30:30Be prepared for how much hard work it actually is.

0:30:30 > 0:30:33It looks very easy, but it's actually not.

0:30:33 > 0:30:36So with the full-time whistle blown on this project,

0:30:36 > 0:30:39it's time for some post-match analysis

0:30:39 > 0:30:40from two local estate agents,

0:30:40 > 0:30:43including the agent who saw it before the renovation.

0:30:43 > 0:30:46The first impressions are very good.

0:30:46 > 0:30:48It's clean, tidy, well presented.

0:30:48 > 0:30:50It's obviously been done to a good standard.

0:30:50 > 0:30:52It's ideal for the investment market

0:30:52 > 0:30:54or first-time buyer.

0:30:54 > 0:30:58This is my second time here, so from seeing it originally to now,

0:30:58 > 0:30:59it's in very good order.

0:30:59 > 0:31:03It's been well decorated. The finish is pretty good.

0:31:03 > 0:31:05Clearly, everything is new.

0:31:05 > 0:31:08Should be great for a first-time buyer.

0:31:09 > 0:31:12The boys have spent a total of £49,000 here,

0:31:12 > 0:31:16so will they hit their resale goal of 70 grand?

0:31:17 > 0:31:21I think this property would probably achieve somewhere around £75,000

0:31:21 > 0:31:23if it went on the market today.

0:31:23 > 0:31:25I would expect it to achieve, on the sales side,

0:31:25 > 0:31:28approximately £75,000.

0:31:28 > 0:31:30Yeah, we were always working towards 75

0:31:30 > 0:31:31for our profit margin anyway,

0:31:31 > 0:31:34so, yeah, we're happy with that.

0:31:34 > 0:31:39That figure would bring the brothers to a pre-tax profit of 26,000.

0:31:39 > 0:31:44Pretty much the perfect debut, I'd say. Are they ready for a rematch?

0:31:45 > 0:31:49It's been really hard work, but now we're done, it's been well

0:31:49 > 0:31:52worth it and hopefully we can get on with the next one soon.

0:31:56 > 0:32:00Tylorstown, in the Rhondda Valley, has often punched above its weight.

0:32:00 > 0:32:03A 45-minute drive from Cardiff,

0:32:03 > 0:32:06the ex-mining village was the hometown of Jimmy Wilde,

0:32:06 > 0:32:10the first-ever flyweight boxing champion and the man known

0:32:10 > 0:32:15by the peculiar nickname of the Ghost with the Hammer in his Hand.

0:32:15 > 0:32:18Sounds like he would have made a good auctioneer.

0:32:18 > 0:32:19Speaking of which...

0:32:21 > 0:32:24So, what was up for auction in these beautiful parts?

0:32:24 > 0:32:26Well, interesting opportunity.

0:32:26 > 0:32:31Three-storey building which includes a commercial unit as well.

0:32:31 > 0:32:34Guide price, 18,000-plus.

0:32:36 > 0:32:41So, entrance to the living accommodation is around

0:32:41 > 0:32:44the side, but there is also a door through to the shop,

0:32:44 > 0:32:46which is obviously at the front there.

0:32:46 > 0:32:48My guess is that somebody would've run the shop

0:32:48 > 0:32:50and lived in this part of the property.

0:32:50 > 0:32:52And it's not bad, especially at the back here.

0:32:52 > 0:32:54It's obviously in a bit of a state,

0:32:54 > 0:32:57but a really nice and quite surprising room here.

0:32:57 > 0:32:58Really high ceilings.

0:32:58 > 0:33:00Lots of windows, so lots of light.

0:33:00 > 0:33:03And the views out across those amazing valleys.

0:33:03 > 0:33:07Just one room here, though, so a bit of refurbishment required.

0:33:07 > 0:33:11There are three levels to this residential property.

0:33:11 > 0:33:13Let's look at downstairs first.

0:33:14 > 0:33:18So, downstairs, the living areas continue.

0:33:18 > 0:33:21This is a really decent-sized kitchen.

0:33:21 > 0:33:24Clearly, a bit of work required to get it into a usable state.

0:33:24 > 0:33:26I don't think, for instance, you'd want to cook

0:33:26 > 0:33:30on this particular cooker as it stands. Eek!

0:33:30 > 0:33:33But, no, it's a good size.

0:33:33 > 0:33:36Again, high ceilings down here too. And there is more good news.

0:33:36 > 0:33:39Out the back here, storage, presumably for the shop.

0:33:39 > 0:33:42But what I'm more interested in is the fact there's a door.

0:33:42 > 0:33:44So, could this potentially be two flats?

0:33:44 > 0:33:48One with the upstairs door there as access and another one here.

0:33:48 > 0:33:52Oh, mixed-use developments, we like those.

0:33:54 > 0:33:57Down here, there is also some storage space for the shop.

0:33:57 > 0:33:58And a toilet.

0:34:00 > 0:34:04But to have even one flat, you will need some areas to sleep.

0:34:04 > 0:34:07So back upstairs and up to the top floor.

0:34:08 > 0:34:11Well, in case you're wondering where the bedrooms are,

0:34:11 > 0:34:14they're all up here on the third floor.

0:34:14 > 0:34:16And what a surprise!

0:34:16 > 0:34:20Four bedrooms, all pretty decent sizes.

0:34:20 > 0:34:23In fact, this whole building is a bit of a surprise, isn't it?

0:34:23 > 0:34:26How big! There's a toilet up here as well.

0:34:26 > 0:34:28So once again, could this be split into flats?

0:34:28 > 0:34:32This is almost crying out for self-contained in its own right.

0:34:32 > 0:34:36So suddenly, an £18,000-plus guide price?

0:34:37 > 0:34:40It's sounding like a lot of property for the money.

0:34:42 > 0:34:44Four bedrooms, two toilets,

0:34:44 > 0:34:47one bathroom, over three floors, plus a commercial unit.

0:34:47 > 0:34:50Yeah, 18 grand is pretty cheap.

0:34:50 > 0:34:55But as we know on this show, low price can often indicate problems.

0:34:55 > 0:34:58Now, there is one thing I haven't touched on so far

0:34:58 > 0:34:59about this property,

0:34:59 > 0:35:02and it is alluded to in the auction catalogue because it says,

0:35:02 > 0:35:07"Tenure - advised freehold to be verified by a solicitor."

0:35:07 > 0:35:10That is basically saying the auctioneers aren't quite sure

0:35:10 > 0:35:12whether this is freehold or leasehold.

0:35:12 > 0:35:15And if it is leasehold, what the circumstances, requirements,

0:35:15 > 0:35:18details of that lease are.

0:35:18 > 0:35:20The legal pack is obviously something

0:35:20 > 0:35:22that you should be reading. How many times have I told you that?

0:35:22 > 0:35:25And hopefully, that would contain the necessary information.

0:35:25 > 0:35:29But it looks like that might not even be everything you need to know.

0:35:29 > 0:35:33So again, it's a classic case of forewarned, forearmed,

0:35:33 > 0:35:35get your solicitor involved and find out exactly

0:35:35 > 0:35:39what is going on with the whole leasehold/freehold issue.

0:35:43 > 0:35:44If it is leasehold,

0:35:44 > 0:35:48then you will need the freeholder's permission to split this into flats.

0:35:48 > 0:35:53And of course, there is another opportunity here - the shop.

0:35:53 > 0:35:57What does a local estate agent think this shop could

0:35:57 > 0:35:59fetch on the rental market?

0:36:00 > 0:36:05I'd expect the shop to achieve £450 to £500 per calendar month.

0:36:05 > 0:36:06On the sales market,

0:36:06 > 0:36:11I'd say the shop would be in the region of £15,000 to £20,000.

0:36:11 > 0:36:15So with that 18 grand guide price, we are off to a flyer already.

0:36:15 > 0:36:18But now the flat, what would the agent do?

0:36:18 > 0:36:21If this was my property, I'd look at it from a business

0:36:21 > 0:36:25point of view, separating the one flat upstairs into two separate

0:36:25 > 0:36:30flats to increase both rental income with the business and upstairs.

0:36:30 > 0:36:34Dividing properties always involves planning permission

0:36:34 > 0:36:38and big renovations. So will the cost and hassle be worth it?

0:36:39 > 0:36:42If you were to split the whole property into two separate

0:36:42 > 0:36:44dwellings with two bedrooms in each,

0:36:44 > 0:36:49I'd expect each to achieve around about £375 per calendar month.

0:36:49 > 0:36:54On a sales market, around about £35,000 to £40,000.

0:36:55 > 0:37:00The agent thinks it is best to stick to rental in this market,

0:37:00 > 0:37:03but his figures suggest some jaw-dropping returns

0:37:03 > 0:37:05might be possible.

0:37:05 > 0:37:08It all depends on how much that guide price creeps up at auction.

0:37:08 > 0:37:12Overcome the problems, undertake a challenging renovation

0:37:12 > 0:37:13and you could be quids in.

0:37:17 > 0:37:21Well, obviously, first thing, sort out that freehold/leasehold issue.

0:37:21 > 0:37:23And then it all comes down to the numbers -

0:37:23 > 0:37:26how much is it going to cost to sort this place out

0:37:26 > 0:37:27and is it worth it?

0:37:27 > 0:37:31Well, let's find out who thought it was when it went under the hammer.

0:37:36 > 0:37:39That was lot five. Lot six has been withdrawn.

0:37:39 > 0:37:43Brings us onto lot number seven, guided at just 18,000.

0:37:43 > 0:37:47It's here to be sold. Start me, will you, I don't know, 15,000, somebody?

0:37:47 > 0:37:48Thank you. 15 over to you there. 15.

0:37:48 > 0:37:50Now 16, can I see? 16.

0:37:50 > 0:37:5317. 18. 19.

0:37:53 > 0:37:5520. 21.

0:37:55 > 0:37:5722. 23.

0:37:57 > 0:37:5924. 25.

0:37:59 > 0:38:01Nope, at 24,000 on my right.

0:38:01 > 0:38:0425, thank you. 26? 26. 27?

0:38:04 > 0:38:0728. 29?

0:38:07 > 0:38:0928.5.

0:38:09 > 0:38:1129. And a half?

0:38:11 > 0:38:1229.5. And 30?

0:38:12 > 0:38:1430. 30.5?

0:38:15 > 0:38:1730.5. 31?

0:38:17 > 0:38:1931. And a half?

0:38:19 > 0:38:2032.

0:38:20 > 0:38:23And a half? 33.

0:38:23 > 0:38:25And a half?

0:38:25 > 0:38:2733.5. 34.

0:38:27 > 0:38:2934.5. Thank you, behind.

0:38:29 > 0:38:3234.5. 35. Do you want to come again, do 35?

0:38:32 > 0:38:3335.5?

0:38:33 > 0:38:3536, do you want to come again behind?

0:38:35 > 0:38:37Go on. 36. And a half?

0:38:37 > 0:38:4037? 37?

0:38:40 > 0:38:4236.5 seated here then.

0:38:42 > 0:38:45For the first time. 37. Back to you, sir.

0:38:45 > 0:38:4837. And a half? All having a go. 37.5. 38?

0:38:48 > 0:38:5238. And a half? 38.5. 39? No.

0:38:52 > 0:38:55At 38.5 then, seated on my right-hand side.

0:38:55 > 0:38:57For the first time.

0:38:57 > 0:39:01Second time. Third and last time. At £38,500.

0:39:01 > 0:39:04Well done, sir, stuck at it well. Your number, please?

0:39:04 > 0:39:08At more than twice the guide price, Aziz secured the property

0:39:08 > 0:39:11along with his business partner Ozgur.

0:39:11 > 0:39:13While the latter went for a look around,

0:39:13 > 0:39:19I got the chance to ask Aziz about their new 38.5 grand purchase.

0:39:19 > 0:39:21- Aziz, good to meet you. - Nice to meet you.

0:39:21 > 0:39:23- Congratulations.- Thank you.

0:39:23 > 0:39:25Tell me why you wanted to buy this place.

0:39:25 > 0:39:27Because it's a commercial...

0:39:27 > 0:39:30This is the first thing. The shop and the flats.

0:39:30 > 0:39:32Something interesting, basically.

0:39:32 > 0:39:35Do I gather, then, that the idea is to keep the commercial bit of it?

0:39:35 > 0:39:39Yes, definitely. It's going to be some different idea, possibly,

0:39:39 > 0:39:42maybe a takeaway business, or cafes,

0:39:42 > 0:39:45- or maybe some other idea, we're just thinking about it.- OK.

0:39:45 > 0:39:48Now, obviously, you are going to have to apply for change of use.

0:39:48 > 0:39:51Exactly, yes. That is the first thing we are going to go through.

0:39:51 > 0:39:53We just make our mind the next couple of weeks

0:39:53 > 0:39:56and just apply for change of use for the shop.

0:39:58 > 0:40:02So, Aziz and Ozgur are attracted by the commercial unit here.

0:40:02 > 0:40:05And if it is either a shop or a takeaway,

0:40:05 > 0:40:09they have very relevant skills as Ozgur previously ran a supermarket

0:40:09 > 0:40:13while Aziz was a chef for 15 years. However,

0:40:13 > 0:40:16Aziz did not follow the Homes Under The Hammer recipe

0:40:16 > 0:40:19book for a perfectly smooth purchase.

0:40:20 > 0:40:23- Basically, the building is bigger than what we expect.- Really?

0:40:23 > 0:40:26Yes, yes. I mean, we didn't look at it before.

0:40:26 > 0:40:28You didn't look at it before?

0:40:28 > 0:40:32So it is in better condition that we expected, anyway.

0:40:32 > 0:40:36- Really?- Yeah. Yeah, yeah. We've bought worse than this.

0:40:36 > 0:40:39Well, Aziz is taking this in his stride.

0:40:39 > 0:40:42But what are his plans for the space he didn't expect to buy?

0:40:44 > 0:40:46We're going to make that,

0:40:46 > 0:40:51keep it all in one or maybe separate two flats.

0:40:51 > 0:40:54That is our idea, but we haven't exactly made our decision yet.

0:40:54 > 0:40:56That's changed a little bit on visiting it

0:40:56 > 0:40:59and discovering that it is bigger than you thought.

0:40:59 > 0:41:03Yes, exactly. It is something just to work out the cost/price

0:41:03 > 0:41:07to separate it to two separate flats. Electric, wiring, everything

0:41:07 > 0:41:09has to be completely separate.

0:41:09 > 0:41:11And we are just middle of the other project,

0:41:11 > 0:41:13so it is going to be a bit too much for us.

0:41:13 > 0:41:15Maybe we have to just do it up for a while,

0:41:15 > 0:41:17let it for a couple of years,

0:41:17 > 0:41:20and then when we are ready, just separate to two flats

0:41:20 > 0:41:21and just let it out.

0:41:23 > 0:41:26With other projects keeping their hands full, there is

0:41:26 > 0:41:30every chance that splitting the flat will be a future endeavour.

0:41:30 > 0:41:31Now, they didn't view,

0:41:31 > 0:41:36so what really worries me is did they read the paperwork?

0:41:36 > 0:41:38I do hope so.

0:41:38 > 0:41:41Now, there was a bit of an issue regarding the freehold/leasehold

0:41:41 > 0:41:44of the place. What did your solicitor find out about that?

0:41:44 > 0:41:48Yes. Basically, that was the only issue. The solicitor

0:41:48 > 0:41:50advised us there is some kind of lease, could be.

0:41:50 > 0:41:54- Somebody turn up, say, "I'm the leaseholder here."- Oh, OK.

0:41:54 > 0:41:57So that was the risk we took. Yesterday, I spoke to the solicitor,

0:41:57 > 0:42:00so he said, "That's all clear, there's no lease."

0:42:00 > 0:42:02Basically. I registered to Land Registry,

0:42:02 > 0:42:03so we are safe on that.

0:42:03 > 0:42:06So the problem... But you could always take out insurance

0:42:06 > 0:42:08- against it.- Yes, exactly. Good news.- Good.

0:42:08 > 0:42:11- But you only found that out after you bought it.- Exactly.

0:42:11 > 0:42:15That was the risk, yes, exactly. We took that, yeah.

0:42:15 > 0:42:17Now, it's interesting the way the property market has gone.

0:42:17 > 0:42:21- Cos I understand this was sold for £100,000 in 2007.- Yes, exactly.

0:42:21 > 0:42:23I mean, that was one of the things.

0:42:23 > 0:42:26- It was in the market last year for 100,000 as well.- Right.

0:42:26 > 0:42:29But of course, that's good coin for us.

0:42:29 > 0:42:31That's all we're hoping, to get that price for it.

0:42:31 > 0:42:32Yeah, no kidding.

0:42:34 > 0:42:39A sober reminder that you can lose as well as win on property.

0:42:40 > 0:42:42Sometimes, it is about timing in the market,

0:42:42 > 0:42:45over which you have little control.

0:42:46 > 0:42:50Talking of money, Aziz has a budget of £17,000 for the shop

0:42:50 > 0:42:51and the flat as is and thinks

0:42:51 > 0:42:54it will take two to three months to complete.

0:42:55 > 0:42:59But he thinks it could cost up to £30,000 if they were to split

0:42:59 > 0:43:02the flat, due to planning permission and building costs.

0:43:05 > 0:43:09- And who are you doing this with? - I'm doing it with Ozgur.

0:43:09 > 0:43:11And my brother-in-law as well.

0:43:11 > 0:43:14So I've got a brother and Ozgur, so we'll be doing it all together.

0:43:14 > 0:43:18- Are you going to share the profits and share the cost?- Yes,

0:43:18 > 0:43:21exactly. If you share the risk, you have to share the profit too.

0:43:21 > 0:43:23So, yes, between the three of us -

0:43:23 > 0:43:26share the risk and we're going to share the profit too.

0:43:26 > 0:43:29- And then plans for more?- Yes, hopefully. If we are successful.

0:43:29 > 0:43:31- Just making some money, why not.- Well, listen,

0:43:31 > 0:43:34- I wish you all the very best with it. Good luck.- Thank you.

0:43:34 > 0:43:36- Thank you very much. - Congratulations.

0:43:36 > 0:43:40Well, Aziz and his business partners certainly got this place

0:43:40 > 0:43:42for a lot less money than it had previously been sold for.

0:43:42 > 0:43:46Still, there are some big challenges ahead.

0:43:46 > 0:43:50You've got to admire his enthusiasm, though, and his positivity.

0:43:50 > 0:43:54What will this be when we return? You can find out later in the show.

0:43:58 > 0:44:01Well, that's one property sorted, but what about the other two?

0:44:01 > 0:44:03Yes, Martin, how have they done?

0:44:03 > 0:44:05Have they bitten off more than they can chew?

0:44:05 > 0:44:07Only one way to find out, stick around.

0:44:09 > 0:44:12Now back to County Durham and the seaside town of Seaham,

0:44:12 > 0:44:15where earlier, I saw a typical three-bed mid-terrace,

0:44:15 > 0:44:19sold at auction for £42,750.

0:44:20 > 0:44:25And in here... Whoa, hold it a minute. I can see some colour.

0:44:25 > 0:44:27Blues and greens and reds.

0:44:27 > 0:44:31This is not like this house. All downstairs is completely white.

0:44:31 > 0:44:34But it's a good size third bedroom.

0:44:34 > 0:44:36Nice big window there looking over the back yard.

0:44:36 > 0:44:38A bit of elbow grease

0:44:38 > 0:44:42and you'd have this place turned around in a matter of weeks.

0:44:42 > 0:44:44Glenn, who runs a property management company,

0:44:44 > 0:44:48purchased the property on behalf of a client investor,

0:44:48 > 0:44:50the aim being to rent out.

0:44:50 > 0:44:53I was interested to find out what sort of yield

0:44:53 > 0:44:55his client could expect.

0:44:55 > 0:44:57Here in the Northeast, we get a good yield

0:44:57 > 0:45:02because of the purchase price of the property against what the rental is.

0:45:02 > 0:45:06- So very often, we're getting in excess of 10%.- So is your

0:45:06 > 0:45:10- brief from the investor to hit a certain yield?- Not necessarily.

0:45:10 > 0:45:13They want the property to be OK

0:45:13 > 0:45:15and then, you know, we look at the whole package, really.

0:45:15 > 0:45:19How do you make your money in this sort of situation?

0:45:19 > 0:45:20I charge a sourcing fee.

0:45:20 > 0:45:23Obviously, I know the area well and have a great relationship

0:45:23 > 0:45:26with estate agents, auction companies, etc.

0:45:26 > 0:45:28So that's how I get paid.

0:45:28 > 0:45:29OK, and in regards to budgets...

0:45:29 > 0:45:32Cos there's not an awful lot to be done in the house, is there?

0:45:32 > 0:45:34So probably we'd be looking towards 5,000.

0:45:34 > 0:45:37How about a timescale to get all the work done?

0:45:37 > 0:45:39Probably two to three weeks.

0:45:39 > 0:45:42- And that's it?- Yep. - That's a quick turnaround.

0:45:42 > 0:45:43A real quick turnaround.

0:45:43 > 0:45:47But is it a quick turnaround that Glenn has achieved?

0:45:47 > 0:45:50So we're back after three weeks to see the changes.

0:45:53 > 0:45:54The electrics are sorted.

0:46:01 > 0:46:04And there has been some re-plastering.

0:46:04 > 0:46:07Overall, it has brought this house back to life.

0:46:07 > 0:46:11# But I can feel my heart beating

0:46:11 > 0:46:15# Cos you make me feel

0:46:15 > 0:46:18# Like I'm alive again. #

0:46:18 > 0:46:20Venturing upstairs now,

0:46:20 > 0:46:25and who could forget that multicoloured bedroom number three?

0:46:25 > 0:46:28# Oh, oh, oh

0:46:29 > 0:46:31# Whoo, hoo

0:46:33 > 0:46:37# If we've only got this life

0:46:37 > 0:46:42# This adventure's all we have

0:46:42 > 0:46:46# If we've only got this life... #

0:46:51 > 0:46:53There are minimal changes in the bathroom,

0:46:53 > 0:46:55but there is a new shower screen.

0:46:55 > 0:46:57Saves messing up the floor.

0:47:05 > 0:47:07Out back, there has been a new downpipe fitted

0:47:07 > 0:47:10and the roof has been overhauled.

0:47:10 > 0:47:12So how was the budget?

0:47:12 > 0:47:15We thought we'd spend £5,000.

0:47:15 > 0:47:18We actually came in under budget, spent somewhere around 4,500.

0:47:18 > 0:47:20So it all went good.

0:47:20 > 0:47:23Glenn manages over 200 properties in the area.

0:47:23 > 0:47:25Is he concerned about the announcement

0:47:25 > 0:47:28at the time of filming relating to mortgage interest

0:47:28 > 0:47:33relief for buy-to-let properties and planned increase in stamp duty?

0:47:33 > 0:47:37The announcements by the Chancellor are saying about the 3% stamp duty

0:47:37 > 0:47:39will have a small effect.

0:47:39 > 0:47:42Obviously, the prices are less up here,

0:47:42 > 0:47:43so it's not such a big amount.

0:47:43 > 0:47:47The interest on mortgages, not being able to put them

0:47:47 > 0:47:51down as an expense against the property, will have more effect.

0:47:51 > 0:47:57It's early days, but these changes could end up having a big impact.

0:47:57 > 0:48:00As well as receiving a lower rate of tax relief on mortgage

0:48:00 > 0:48:03payments under the new laws in England and Wales,

0:48:03 > 0:48:05buy-to-let landlords

0:48:05 > 0:48:07and people buying second homes will have to pay

0:48:07 > 0:48:11a 3% surcharge on each stamp duty band.

0:48:11 > 0:48:13It may not sound like much,

0:48:13 > 0:48:16but for the current average buy-to-let purchase

0:48:16 > 0:48:23of £184,000, that means you now have to pay an extra £5,520.

0:48:26 > 0:48:27Back in Seaham,

0:48:27 > 0:48:29we called in two local estate agents

0:48:29 > 0:48:33to see what they think about the property and its values.

0:48:33 > 0:48:36First up, the agent who saw it before.

0:48:38 > 0:48:40It's brightened everything up.

0:48:40 > 0:48:43I mean, new carpets, the decoration being done pretty neutral

0:48:43 > 0:48:47in order to blend in with most things that potential tenants

0:48:47 > 0:48:49or buyers want, you know, for first impressions.

0:48:49 > 0:48:51So I think it's been done quite well.

0:48:51 > 0:48:54I think the main selling points for the property are it's

0:48:54 > 0:48:58well laid out, it benefits from three bedrooms,

0:48:58 > 0:49:00it's got gas central heating and double glazing.

0:49:00 > 0:49:06If you add the £42,750 auction price to the spend on refurbishment

0:49:06 > 0:49:11of 4.5 grand, you get £47,250.

0:49:11 > 0:49:14So what is the current value of the house?

0:49:14 > 0:49:15In the current sale market,

0:49:15 > 0:49:20the prices that you could achieve would be anywhere between £55,000

0:49:20 > 0:49:21and £60,000.

0:49:21 > 0:49:23For the sales market,

0:49:23 > 0:49:26I think this property could achieve anywhere around £60,000.

0:49:26 > 0:49:30I know Glenn is only the managing agent, but what does he think?

0:49:30 > 0:49:32The sale valuation is good. There's some increase there,

0:49:32 > 0:49:34so that's a good start.

0:49:34 > 0:49:36That's my line, Glenn.

0:49:36 > 0:49:40Yes, the potential 12 grand profit is a good start.

0:49:40 > 0:49:41But how about rental?

0:49:42 > 0:49:45I think in the current rental market, you can

0:49:45 > 0:49:50achieve anywhere between £475 and £500 per calendar month.

0:49:50 > 0:49:53I think, for the rental market, this property will achieve

0:49:53 > 0:49:57somewhere between £450 to £500 per calendar month.

0:49:57 > 0:50:01At the top figure, that is a yield of just over 12.5%

0:50:01 > 0:50:02for Glenn's client.

0:50:02 > 0:50:05But as you may have guessed, the house is already let.

0:50:05 > 0:50:09The rental figure we are getting is £475, so that fits with that.

0:50:09 > 0:50:12And obviously, it was rented quickly, so we're happy with that.

0:50:12 > 0:50:16Well, that is still just over 12%.

0:50:16 > 0:50:20So, will the future changes in law affect Glenn's business?

0:50:20 > 0:50:21Plans for the future -

0:50:21 > 0:50:24we'll continue to expand in what we're doing.

0:50:24 > 0:50:27I've got many investors asking us to buy properties for them.

0:50:27 > 0:50:30And we'll also add in to our own portfolio.

0:50:33 > 0:50:36We will just have to wait and see what sort of implications

0:50:36 > 0:50:39these changes have on the buy-to-let market.

0:50:39 > 0:50:42But in the meantime, it looks like Glenn's plans stay the same.

0:50:51 > 0:50:55Earlier on in the show, I was in Tylorstown, in the Rhondda Valley.

0:50:55 > 0:50:59And there, I saw a decent-sized shop space with a four-bedroom flat

0:50:59 > 0:51:02above, with the flat being set out over three floors.

0:51:03 > 0:51:08All of this had an intriguing guide price of just £18,000.

0:51:08 > 0:51:11And the intrigue didn't stop there as the layout offered

0:51:11 > 0:51:12some possibilities.

0:51:14 > 0:51:16Could this potentially be two flats?

0:51:16 > 0:51:20One with the upstairs door there as access and another one here?

0:51:20 > 0:51:22Oh, mixed-use developments, we like those.

0:51:25 > 0:51:29But it was the shop that attracted Aziz, here on the left,

0:51:29 > 0:51:31and his business partner, Ozgur.

0:51:31 > 0:51:35They were surprised to find that their new £38,500 purchase

0:51:35 > 0:51:37came with such a large flat.

0:51:40 > 0:51:44- Basically, the building is bigger than what we expect.- Oh, really?

0:51:44 > 0:51:46Yes, yes. I mean, we didn't look at it before.

0:51:46 > 0:51:48You didn't look at it before?

0:51:49 > 0:51:53So going to make that, keep it all in one or maybe

0:51:53 > 0:51:55separate two flats.

0:51:55 > 0:52:00This is the idea, but we haven't exactly made our decision yet, so...

0:52:02 > 0:52:06They plan to open a takeaway shop downstairs and weigh up the

0:52:06 > 0:52:08costs of splitting the flat into two

0:52:08 > 0:52:11before looking into residential rentals.

0:52:14 > 0:52:18Well, ten months on, and there is certainly no free lunch here.

0:52:18 > 0:52:22It looks like I'd have to comb the street for that hot food Aziz

0:52:22 > 0:52:25promised because the space is now a barber's.

0:52:25 > 0:52:27Now, I would be lion - ha -

0:52:27 > 0:52:32if I said that this was anything like what I'd expected.

0:52:32 > 0:52:39# See you laughing, but you're cutting it, cutting it fine

0:52:41 > 0:52:44# Cutting it fine. #

0:52:45 > 0:52:50But why has Aziz opted to eat his words on opening the takeaway?

0:52:50 > 0:52:56We made the application for two flats and a takeaway for the shop,

0:52:56 > 0:52:59and the first one, we've been refused by council.

0:52:59 > 0:53:0285 licences have been refused by council,

0:53:02 > 0:53:05the reason is the traffic and the road is busy.

0:53:05 > 0:53:06It's going to cause a problem.

0:53:06 > 0:53:08That's the reason why it has been refused.

0:53:08 > 0:53:11We basically decided to open the gentlemen's barbershop,

0:53:11 > 0:53:13and that is what has been decorated.

0:53:13 > 0:53:15And we hope to open, in the next two months,

0:53:15 > 0:53:18a barbershop in the commerce side.

0:53:18 > 0:53:20# Louder than a lion

0:53:20 > 0:53:25# And you're gonna hear me roar! #

0:53:25 > 0:53:27So, that's the commercial side.

0:53:27 > 0:53:30What about the flat? Well, despite planning permission

0:53:30 > 0:53:35for a conversion to two flats, they have elected to keep it as one.

0:53:35 > 0:53:39Aziz and Ozgur have sealed off half of the basement for storage

0:53:39 > 0:53:43for the shop while they have cleaned up what was here and elected

0:53:43 > 0:53:46to spend money on the central heating,

0:53:46 > 0:53:47damp treatment and a rewire.

0:53:50 > 0:53:53The cosmetic alterations involved changing all the doors

0:53:53 > 0:53:57and replacing the carpet with new flooring.

0:53:57 > 0:54:00The flat looks fresh and clean.

0:54:00 > 0:54:02The bath and shower have been replaced in the bathroom,

0:54:02 > 0:54:04which is much better.

0:54:04 > 0:54:09But I think the jury might be out on combining those old pink tiles

0:54:09 > 0:54:12with the more modern ones. And on keeping the pink sink.

0:54:14 > 0:54:18But why have they opted to keep it as one four-bed flat?

0:54:18 > 0:54:21We have decided to keep it as one whole

0:54:21 > 0:54:25because the application going through, and we wait so long,

0:54:25 > 0:54:29and then we just decided to keep it all in one and just start the work,

0:54:29 > 0:54:31because it had been so long.

0:54:31 > 0:54:34But we've got the application for two flats anyway.

0:54:34 > 0:54:35We can convert it at any time.

0:54:37 > 0:54:40So they can look at dividing the flat in the future.

0:54:40 > 0:54:42And with an original timescale of two months,

0:54:42 > 0:54:46they've just had to crack on with the work, as planning alone took

0:54:46 > 0:54:51six months. But have they kept to their £10,000 budget?

0:54:52 > 0:54:54We end up spending...

0:54:54 > 0:54:57Converting the two-flat budget, basically,

0:54:57 > 0:55:00it cost just over 17,000.

0:55:00 > 0:55:02But end of the day, we've done a lot of changes in the property.

0:55:02 > 0:55:05We hope it's going to be worth it.

0:55:05 > 0:55:08Seven grand over budget, but a lot of hard work has

0:55:08 > 0:55:11gone into the essential work this property needed.

0:55:12 > 0:55:14After this long wait,

0:55:14 > 0:55:18Aziz must be looking forward to his business opening.

0:55:18 > 0:55:23I'm pleased about a haircut in a gentlemen's barbershop.

0:55:23 > 0:55:27Hopefully. That is the big thing I'm waiting for, yes.

0:55:27 > 0:55:29The budget and timescale weren't

0:55:29 > 0:55:33so much short back and sides as a bit long on top.

0:55:33 > 0:55:36But enough with those cutting remarks, ho-ho.

0:55:36 > 0:55:40Can Aziz and Ozgur make some profit here that would put them

0:55:40 > 0:55:43- on the road to being million-hairs? - HE CLEARS THROAT

0:55:43 > 0:55:47I'll try and make that the last one, but I can't promise.

0:55:47 > 0:55:48Time to ask two local estate agents

0:55:48 > 0:55:49for their thoughts,

0:55:49 > 0:55:53starting with the agent who saw it before the renovation.

0:55:53 > 0:55:55The change is very good, especially the heating system,

0:55:55 > 0:55:57the electric's been good.

0:55:57 > 0:56:00Some decoration has been brought up to standard.

0:56:00 > 0:56:04The selling points would be the overall size of the property,

0:56:04 > 0:56:05the amount of bedrooms,

0:56:05 > 0:56:07the decoration

0:56:07 > 0:56:09and the amount of investment that has gone into it.

0:56:09 > 0:56:11It's obviously a very large property.

0:56:11 > 0:56:14Offers good living space

0:56:14 > 0:56:17as well as four really good-sized bedrooms on the first floor.

0:56:17 > 0:56:20I probably would have modernised the property to a higher standard,

0:56:20 > 0:56:23maybe put a new kitchen in, new bathroom

0:56:23 > 0:56:25and just neutral redecoration throughout.

0:56:27 > 0:56:32The business partnership have spent £55,500 here and the agents think

0:56:32 > 0:56:34the business, were it to be offered for rent,

0:56:34 > 0:56:37could pull in £4,000 a year.

0:56:38 > 0:56:41How about the rental potential of the flat?

0:56:43 > 0:56:48I think this property could achieve £450 to £500 per calendar month.

0:56:48 > 0:56:50On the rental market, the overall four-bedroom property could

0:56:50 > 0:56:54achieve in the region of £425 per calendar month

0:56:54 > 0:56:56and £450 per calendar month.

0:56:56 > 0:56:59Yeah, rental, that's quite exciting as well.

0:56:59 > 0:57:03That's what we were expecting anyway, so that sounds good.

0:57:05 > 0:57:09Including the shop that tops £500 per month for the flat

0:57:09 > 0:57:14would give Aziz and Ozgur a whopping yield of 18%.

0:57:14 > 0:57:17Alternatively, the agents believe that the whole building could

0:57:17 > 0:57:24sell for around 135,000, giving them a potential £79,500 profit.

0:57:24 > 0:57:27Hair-raising numbers.

0:57:27 > 0:57:30Has the experience been a cut above for Aziz?

0:57:36 > 0:57:40You know, I think it is been quite good and it's been really...

0:57:40 > 0:57:43We learned quite... You know, a few things in here as well.

0:57:43 > 0:57:45And there's always more to learn,

0:57:45 > 0:57:47so we've just, you know, got to learn.

0:57:51 > 0:57:53We love a good auction story,

0:57:53 > 0:57:55and it's great to see a buyer get the bit between their teeth.

0:57:55 > 0:57:58Yes, and there are plenty more auction stories

0:57:58 > 0:58:00- where they came from. - Oh, yes, there are, Martin.

0:58:00 > 0:58:03So make sure you tune in next time for more Homes Under The Hammer.

0:58:03 > 0:58:05- See you then.- Goodbye.- Bye.