0:00:02 > 0:00:04Hello and welcome to the show. Now, buying a property can be a long,
0:00:04 > 0:00:07drawn-out process, full of delays and complications.
0:00:07 > 0:00:10If you're in a hurry and want to get things moving, why not just pop down
0:00:10 > 0:00:13- to a local property auction?- Yep. Now, completion is usually 28 days.
0:00:13 > 0:00:15Sometimes it can be sooner.
0:00:15 > 0:00:18So do you want to buy your home under the hammer?
0:00:44 > 0:00:48Now, the stories behind the auction purchases can sometimes be exciting,
0:00:48 > 0:00:51electric and sometimes eccentric.
0:00:51 > 0:00:55Yes. So, what made the people choose the properties they bought
0:00:55 > 0:00:58on today's show and what are they going to do now they've bought them?
0:00:58 > 0:01:01Yeah, let's find out. Here's what's coming up on today's show.
0:01:02 > 0:01:06First up in Maidstone, Kent, I find a nice big bonus.
0:01:06 > 0:01:08Do you know what? For a house of this size, this just isn't
0:01:08 > 0:01:11big enough. So what have they done? They've built this - boom!
0:01:11 > 0:01:16And in Stepney, in London, wait until you see what I've discovered.
0:01:16 > 0:01:19Through here is just such an amazing surprise.
0:01:19 > 0:01:21Come and have a look at this.
0:01:22 > 0:01:26But in Newcastle-under-Lyme, what I find isn't so exciting.
0:01:26 > 0:01:32Get damp checked out, because this place is wet, wet, wet.
0:01:34 > 0:01:36All these properties have been bought at auction.
0:01:36 > 0:01:39We'll find out who bought them and what they paid for them,
0:01:39 > 0:01:41when they went under the hammer.
0:01:41 > 0:01:42Sold.
0:01:47 > 0:01:53Lying about 30 miles south-east of London is the county town of Maidstone in Kent.
0:01:53 > 0:01:54With a thriving town centre,
0:01:54 > 0:01:59surrounded by glorious Kentish countryside this area is known as
0:01:59 > 0:02:03the Garden of England and for good reason.
0:02:03 > 0:02:06Well, close to the centre of Maidstone in this really lovely
0:02:06 > 0:02:09residential area is the property I'm here to see.
0:02:09 > 0:02:12It's a three-bed semidetached.
0:02:12 > 0:02:15Guide price £240,000 to £250,000
0:02:15 > 0:02:20and judging from the outside, could well be a bit of a find.
0:02:20 > 0:02:25Hopefully I'm not tempting fate here and the inside will be just as
0:02:25 > 0:02:27attractive as the outside.
0:02:28 > 0:02:30So, what's in store behind the door?
0:02:30 > 0:02:33Well, into a little sort of entrance hall here. Stairs up to your
0:02:33 > 0:02:36bedrooms. Quite a narrow little corridor through to the
0:02:36 > 0:02:41rest of the house. I like open spaces, give me the range...
0:02:41 > 0:02:44give me space. I want fields stretching into the distance.
0:02:44 > 0:02:47With a house? What am I on? It doesn't matter. Look,
0:02:47 > 0:02:49into the lounge area, it's a lovely feel here.
0:02:49 > 0:02:52You've got a big bay window there.
0:02:52 > 0:02:55It is dual aspect, which is really good.
0:02:55 > 0:02:56I like the stripped floors.
0:02:56 > 0:02:59Wouldn't have expected that necessarily in a house like this,
0:02:59 > 0:03:03so perhaps that's just because the carpets have been ripped up.
0:03:03 > 0:03:05Through into a little conservatory here.
0:03:05 > 0:03:08Not much of a garden to speak of, to look out on,
0:03:08 > 0:03:10but it's a useful space.
0:03:10 > 0:03:14Although this plastic roof and all that kind of stuff -
0:03:14 > 0:03:17not really ideal and then it all starts to get a bit strange,
0:03:17 > 0:03:23partly because the house is in a state of - what shall we say? Flux.
0:03:23 > 0:03:25I don't know what the cooker is doing there.
0:03:25 > 0:03:28It's obviously part of what was originally the kitchen,
0:03:28 > 0:03:30which is this area here.
0:03:30 > 0:03:33But quite rightly, somebody has decided for a house of this size
0:03:33 > 0:03:35this just isn't big enough. So what have they done?
0:03:35 > 0:03:36They've built this.
0:03:36 > 0:03:39Boom! A big extension.
0:03:39 > 0:03:43Now, obviously it's not been completed, but the work so far looks
0:03:43 > 0:03:45like it's been done to a pretty good standard.
0:03:45 > 0:03:47Look at that RSJ!
0:03:47 > 0:03:50Wow! That is a real big boy.
0:03:50 > 0:03:54It looks like, at first glance, it's been nicely constructed, as I said.
0:03:54 > 0:03:58Work to do to finish it off, but with this, combined with that,
0:03:58 > 0:04:01this is a lot of space. Good house!
0:04:01 > 0:04:03- # I'm special - Special
0:04:03 > 0:04:05- # So special - Special
0:04:05 > 0:04:10# I've got to have some of your attention
0:04:10 > 0:04:12# Give it to me. #
0:04:12 > 0:04:14Not only is there room for a kitchen here,
0:04:14 > 0:04:18but there's space for a downstairs cloak room and a study.
0:04:18 > 0:04:21The only proviso is I would recommend getting the structure,
0:04:21 > 0:04:24the plumbings and the electrics checked.
0:04:24 > 0:04:26Don't just assume it's OK.
0:04:28 > 0:04:31Upstairs, there are three bedrooms.
0:04:31 > 0:04:34The master is looking lovely, with a double-glazed bay window
0:04:34 > 0:04:38and I'm just loving the original doors and handles.
0:04:38 > 0:04:40The second bedroom is fine.
0:04:40 > 0:04:43Though that plumbing on the wall may have to go.
0:04:43 > 0:04:46Bedroom number three is really a box room.
0:04:47 > 0:04:50The bathroom has echoes of an Art Deco period about it,
0:04:50 > 0:04:52but I think you'd probably have to replace it.
0:04:55 > 0:04:56Time to take a look outside.
0:04:59 > 0:05:02I am quite intrigued, because when I first saw the house,
0:05:02 > 0:05:05I didn't really realise it had a relatively new extension and that's
0:05:05 > 0:05:10partly down to the fact that they've matched the bricks really,
0:05:10 > 0:05:14really well. And if you are doing an extension on a property,
0:05:14 > 0:05:17it's really worth taking a lot of time trying to find bricks that
0:05:17 > 0:05:20absolutely match the original house.
0:05:20 > 0:05:21Now, they haven't quite done it here.
0:05:21 > 0:05:24If you look at these bricks here, they're very smooth on the surface
0:05:24 > 0:05:27and these ones are kind of a bit more rustic,
0:05:27 > 0:05:30but the colour is perfect. You know what? You need to go down to your builder's merchant,
0:05:30 > 0:05:34take an actual brick from the house and, literally, match it up.
0:05:34 > 0:05:38If you can get a match similar to this, what a difference it makes.
0:05:39 > 0:05:42The house is full of surprises.
0:05:42 > 0:05:45Under the garage is what looks like an inspection pit,
0:05:45 > 0:05:48which might be great if you're a car enthusiast.
0:05:48 > 0:05:52But for a family with kids, it might represent a hazard.
0:05:52 > 0:05:53If you were into cars,
0:05:53 > 0:05:58beside the garage, the drive would also take at least two vehicles.
0:05:58 > 0:06:02I think this house, guided at £240,000 to £250,000
0:06:02 > 0:06:05is a fantastic opportunity.
0:06:05 > 0:06:09We asked a local estate agent along to see if he thought so too.
0:06:09 > 0:06:11The kerb appeal is good.
0:06:11 > 0:06:13It's a very handsome-looking house.
0:06:13 > 0:06:16Sadly, inside it's rather neglected and needs a lot of attention,
0:06:16 > 0:06:19but the potential is wonderful.
0:06:19 > 0:06:21The extension, I think, speaks for itself.
0:06:21 > 0:06:23It's unfinished, anyone can see that.
0:06:23 > 0:06:28So once that's been incorporated into the house and the general style
0:06:28 > 0:06:32that's adopted is modern and fresh,
0:06:32 > 0:06:36I think there's not really a great deal more to do.
0:06:36 > 0:06:39So, the place needs a cosmetic lift and the extension completed.
0:06:39 > 0:06:43Does the agent have a budget in mind?
0:06:43 > 0:06:49I believe, conservatively, £20,000 would just about cover any of the
0:06:49 > 0:06:51variations that the owners might consider.
0:06:53 > 0:06:55Well, property prices in the south and south-east
0:06:55 > 0:06:57are without doubt high.
0:06:57 > 0:07:01However, here in Maidstone, I think what you've got yourself
0:07:01 > 0:07:03is a real good buy.
0:07:03 > 0:07:07For that kind of guide price, £240,000 to £250,000,
0:07:07 > 0:07:10as it is, yeah. A bit of a snip.
0:07:10 > 0:07:13Let's see who spotted it when it went under the hammer.
0:07:16 > 0:07:18Lots of people around this one.
0:07:18 > 0:07:21I would like to start at £240,000, if I may.
0:07:21 > 0:07:24£240,000 to start me.
0:07:24 > 0:07:26Give me £230,000, then.
0:07:26 > 0:07:27£230,000.
0:07:27 > 0:07:31Can I say 230? 230 I have.
0:07:31 > 0:07:34235 now. 235.
0:07:34 > 0:07:37235. 235. I'm obliged. 240 now.
0:07:37 > 0:07:40240. Thank you. 240. 245 now.
0:07:40 > 0:07:42245 at the back of the room.
0:07:42 > 0:07:45250 now, can I say?
0:07:45 > 0:07:47250, you're coming back in.
0:07:47 > 0:07:49245 I have. 250 now.
0:07:49 > 0:07:51255.
0:07:51 > 0:07:54250 I have. 255 now.
0:07:54 > 0:07:55260.
0:07:55 > 0:07:59After a slow start, the property is now past its guide price.
0:07:59 > 0:08:04We return to the auction when the bids are at 306,000.
0:08:04 > 0:08:07£306,000 I have.
0:08:07 > 0:08:09I shall sell for the first time.
0:08:09 > 0:08:12Have a think. 307 in a fresh place.
0:08:12 > 0:08:13308 for either of you?
0:08:13 > 0:08:16307, you saw him bid in the aisle.
0:08:16 > 0:08:22308, can I say? With all that time, it's come in one bid.
0:08:22 > 0:08:23He's going to take it from you.
0:08:23 > 0:08:26308. 309.
0:08:26 > 0:08:28310.
0:08:28 > 0:08:29£309,000.
0:08:29 > 0:08:31The gentleman's bid in the aisle.
0:08:31 > 0:08:33£309,000 for the first time,
0:08:33 > 0:08:37unless I see one more? For the second time.
0:08:37 > 0:08:38£309,000.
0:08:38 > 0:08:40Three, two, one.
0:08:40 > 0:08:42Sold, sir. Thank you very much.
0:08:42 > 0:08:44Fantastic.
0:08:44 > 0:08:47Evelyn and her husband Arjuna looked very chuffed with their
0:08:47 > 0:08:51winning bid of £309,000.
0:08:51 > 0:08:53Unfortunately, Arjuna couldn't make it to meet me,
0:08:53 > 0:08:57so Evelyn teamed up with her sister-in-law Priya to tell me
0:08:57 > 0:08:59about their investment project.
0:08:59 > 0:09:02- Evelyn, Priya, great to meet you both.- Thank you. Hi.
0:09:02 > 0:09:04- Congratulations.- Thank you.
0:09:04 > 0:09:06Tell me why you wanted to buy this place?
0:09:06 > 0:09:09Well, it's closer to our place.
0:09:09 > 0:09:11My husband just retired.
0:09:11 > 0:09:15So we thought we can have a little, you know, hobby, like.
0:09:15 > 0:09:18- Keep ourselves occupied. - Is it something you've done before?
0:09:18 > 0:09:19- No, this is my first time.- Really?
0:09:19 > 0:09:23Wow. So, Priya, where do you fit into all this?
0:09:23 > 0:09:26- I'm an architect by training. - Oh, great.
0:09:26 > 0:09:31I retired as a project manager from Manchester City, so here I am,
0:09:31 > 0:09:35helping my brother and sister-in-law to do the design and, you know,
0:09:35 > 0:09:40- get the building on the go. - Well, that's an ideal combination, isn't it?
0:09:40 > 0:09:43Are you going to be involved in all of the projects from now on?
0:09:43 > 0:09:45- Totally, yeah.- Yeah.
0:09:45 > 0:09:46Financially as well,
0:09:46 > 0:09:49or are you just being drafted in and paid a huge amount of money?
0:09:49 > 0:09:53- No, they're giving me loads of lovely food.- Food!
0:09:54 > 0:09:59- Love.- Lots of love and family affection.
0:09:59 > 0:10:01Who needs money in those instances?
0:10:01 > 0:10:05- Exactly.- How lucky, though, you've got a sister-in-law that's an architect.
0:10:06 > 0:10:10Yes, when it comes to property development, having a sister-in-law
0:10:10 > 0:10:12who's an architect is as handy as it gets.
0:10:12 > 0:10:15But exactly what do they plan to do to the property?
0:10:18 > 0:10:21- I'll leave it to Priya.- OK. - She will go along.
0:10:21 > 0:10:25OK, so the extension, it's just a shell at the moment,
0:10:25 > 0:10:29so we're going to fit a beautiful kitchen and then we're going to
0:10:29 > 0:10:36convert part of the extension into a bedroom/family room.
0:10:36 > 0:10:39- OK.- With the toilet downstairs and then we're going to redecorate
0:10:39 > 0:10:42right the way through - new carpets, new flooring.
0:10:42 > 0:10:45New light fittings and fixtures.
0:10:45 > 0:10:47- So that's the plan at the moment. - Wow.
0:10:47 > 0:10:49So, what's the budget for all the work?
0:10:49 > 0:10:51Have you done a bit of a costings on it?
0:10:51 > 0:10:56We have. About £25,000.
0:10:56 > 0:10:58Sounds reasonable.
0:10:58 > 0:11:02That is a healthy budget to do the work and they're hoping to have it
0:11:02 > 0:11:05completed in around 12 weeks, after which they plan to sell.
0:11:07 > 0:11:09So, what's your involvement going to be?
0:11:09 > 0:11:15I will do, helping out Priya and choosing all the tiles and the...
0:11:15 > 0:11:19She's learning, so she's going to do the next project on her own.
0:11:19 > 0:11:23Right. So, this is going to be the first of many, is it?
0:11:23 > 0:11:24I hope so.
0:11:24 > 0:11:25Hope so. You never know.
0:11:25 > 0:11:28- Yes.- Well, look, congratulations.
0:11:28 > 0:11:31- Thank you.- Lovely to meet you both and good luck with it all.
0:11:31 > 0:11:34- Thank you very much. - Thank you, Martin.- Thanks.
0:11:34 > 0:11:39Well, how lucky is Evelyn having a sister-in-law who will do all she's
0:11:39 > 0:11:42going to do for some food and a bit of love?
0:11:42 > 0:11:46Oh, boy. If only we all had somebody like that.
0:11:46 > 0:11:48How are they going to get on sorting this place out?
0:11:48 > 0:11:52Well, I think it's a great project and they've got the right ideas.
0:11:52 > 0:11:56You can find out how it all turns out later in the show.
0:12:01 > 0:12:05East London's Stepney area is often overlooked as the poor relation to
0:12:05 > 0:12:09surrounding fashionable spots, like Shoreditch, or Bow,
0:12:09 > 0:12:12but cool doesn't come cheap and plenty of buyers are now turning to
0:12:12 > 0:12:16the more affordable Stepney where you certainly get more bang for your buck,
0:12:16 > 0:12:19and there's also that buzzword regeneration
0:12:19 > 0:12:22with more than 800 homes being built
0:12:22 > 0:12:25and more than 1,000 homes to be refurbished.
0:12:25 > 0:12:28So it certainly appears to be an area on the up.
0:12:30 > 0:12:32Well, I'm here to see a three-bed flat.
0:12:32 > 0:12:35Now, it had a guide price of £200,000 plus,
0:12:35 > 0:12:38which by London standards, well,
0:12:38 > 0:12:42it sounds like it could be good value.
0:12:42 > 0:12:46It's not one of the pretty period properties over there. Mm-mm-mm.
0:12:46 > 0:12:50Instead it's over on this side of the road and it's up there.
0:12:50 > 0:12:52Can't have everything, can you?
0:12:52 > 0:12:56OK, well, this side of the street might not be the prettiest,
0:12:56 > 0:12:58but it does seem to get more sunshine.
0:12:58 > 0:13:00# From the dark end of the street
0:13:00 > 0:13:03# From the dark end of the street
0:13:03 > 0:13:06# To the bright side of the road... #
0:13:06 > 0:13:11This ex-council flat has 92 years left on the lease, which is nothing
0:13:11 > 0:13:12to worry about for now.
0:13:12 > 0:13:15The building has been recently refurbished with the
0:13:15 > 0:13:19roof renewed, a new entry-level phone system and a new lift,
0:13:19 > 0:13:24which is good news as we're looking at one of the flats on the fourth floor.
0:13:24 > 0:13:28Though the bad news is that this flat comes with an outstanding bill
0:13:28 > 0:13:32of £3,500 for the work that was carried out.
0:13:32 > 0:13:36Something I do hope any buyer is aware of.
0:13:36 > 0:13:39I'm up here on the fourth floor and before we've even got into the flat,
0:13:39 > 0:13:42I've got to share this with you. Look at the views of Canary Wharf.
0:13:44 > 0:13:46Aren't they absolutely fantastic?
0:13:47 > 0:13:49So straight into the flat.
0:13:49 > 0:13:52Oh, two doors to contend with and the stairs going straight up
0:13:52 > 0:13:55and that's because this is a split-level flat.
0:13:55 > 0:13:57Some space has been stolen from this hallway,
0:13:57 > 0:14:01which I don't like, because it feels rather cramped in here.
0:14:01 > 0:14:05And, hmm, what I think was the kitchen is now being used as a bedroom,
0:14:05 > 0:14:07but I don't think that's working.
0:14:07 > 0:14:10Likewise, your kitchen is now in here.
0:14:10 > 0:14:13Again I don't really think it's a great use of space
0:14:13 > 0:14:14putting the kitchen in here.
0:14:14 > 0:14:17This whole flat is just really dated.
0:14:17 > 0:14:22It needs new decor, new carpets, the laminate is all a bit tatty.
0:14:22 > 0:14:25I mean, it really does need a big load of TLC in this flat,
0:14:25 > 0:14:29but you know, I could get over that, because what's awaiting me
0:14:29 > 0:14:31through here is just such an amazing surprise.
0:14:31 > 0:14:34Come and have a look at this.
0:14:34 > 0:14:36Well, you get Canary Wharf out the front,
0:14:36 > 0:14:41but out the back, you get the Shard and you get the Gherkin. Ta-da!
0:14:41 > 0:14:49# How sweet the view from here... #
0:14:50 > 0:14:52While the view might be great,
0:14:52 > 0:14:54the same can't be said for the layout
0:14:54 > 0:14:57and I do feel the third bedroom is really too small.
0:14:57 > 0:15:01I'd be tempted to move the kitchen back and return it to a two-bedroom
0:15:01 > 0:15:04layout and have a big lounge space
0:15:04 > 0:15:06with that fabulous balcony and its view.
0:15:06 > 0:15:09With its split level, two of the bedrooms are up even higher,
0:15:09 > 0:15:11so views, well, they just keep on coming.
0:15:14 > 0:15:18I'd knock the separate bathroom and toilet into one large room.
0:15:18 > 0:15:22You really need to up your game for the demanding London market.
0:15:22 > 0:15:25It certainly might be worth spending a bit here,
0:15:25 > 0:15:27if the newspapers are to be believed.
0:15:29 > 0:15:33Purpose-built blocks like this can sometimes have a stigma attached to
0:15:33 > 0:15:36them. They're not that attractive and they don't always have the best
0:15:36 > 0:15:41reputation. However, don't turn your nose up at them too quickly, because
0:15:41 > 0:15:46this article in here, well, it tells me that recently the first ex-local authority
0:15:46 > 0:15:51London flat went on the market for more than a million quid!
0:15:51 > 0:15:54OK, so it was along the desirable Fulham Road,
0:15:54 > 0:15:59but it shows that these sort of flats, they're in demand and their
0:15:59 > 0:16:01value is certainly on the up, so the guide price here, well,
0:16:01 > 0:16:04it seems pretty good value, doesn't it?
0:16:04 > 0:16:08A £200,000 guide price in an up and coming market,
0:16:08 > 0:16:10I wouldn't say the sky's the limit,
0:16:10 > 0:16:13but my investor's antenna is certainly twitching.
0:16:13 > 0:16:17# Boy, you know you've got me Cos you're wanted
0:16:17 > 0:16:20# Oh, you're everything I ever wanted
0:16:20 > 0:16:24# Now all I've got's a memory I'm haunted... #
0:16:24 > 0:16:28So how best to move this flat up a notch or two?
0:16:28 > 0:16:31What does the local estate agent think?
0:16:31 > 0:16:35I would suggest converting it back to its original state as a two-bedroom property,
0:16:35 > 0:16:38which would appeal to a lot of prospective buyers.
0:16:38 > 0:16:41If they intend to keep the property and rent it in the long-term,
0:16:41 > 0:16:44I would probably look to make adjustments to try to get a bit more
0:16:44 > 0:16:46room for the kitchen and the third bedroom.
0:16:46 > 0:16:49Of course, all subject to permission from the local authority
0:16:49 > 0:16:52and the freeholder.
0:16:52 > 0:16:55So we seem to agree it would work better as a two-bed flat.
0:16:55 > 0:16:57But losing a bedroom can be costly,
0:16:57 > 0:17:02so what effect would it have on this flat, guided at £200,000 plus?
0:17:04 > 0:17:08As a two-bedroom maisonette, the property should go on the market
0:17:08 > 0:17:09for £350,000 and it would rent for
0:17:09 > 0:17:13between £1,400 and £1,500 per calendar month.
0:17:13 > 0:17:17As a better-laid-out three-bedroom than it currently is, it will go on
0:17:17 > 0:17:22the market to sell for around £380,000 and it would very likely rent somewhere
0:17:22 > 0:17:25between £1,700 and £1,800 per calendar month.
0:17:26 > 0:17:30So as a rental, three is always better than two, but resale may be a balance
0:17:30 > 0:17:34between the cost of rejigging the layout versus the return.
0:17:38 > 0:17:42Well, as it stands, this flat needs a complete refurbishment and the
0:17:42 > 0:17:45layout definitely needs some attention too,
0:17:45 > 0:17:49but those gorgeous views really are the selling feature for me.
0:17:49 > 0:17:51So who was prepared to take it on?
0:17:51 > 0:17:53Let's go to auction and find out.
0:17:58 > 0:18:00Start at 220 on this.
0:18:00 > 0:18:02Going to 220. 220 down here.
0:18:02 > 0:18:09225. 225. 230. 230.
0:18:09 > 0:18:12235. 235.
0:18:12 > 0:18:13Well, after a slow start,
0:18:13 > 0:18:17bidding intensified and we rejoin the auction with the lot now at
0:18:17 > 0:18:20£305,000.
0:18:20 > 0:18:23305. 307.
0:18:23 > 0:18:28309. 311. 313.
0:18:28 > 0:18:34315. 317. 319.
0:18:34 > 0:18:37321. 323.
0:18:39 > 0:18:45321 in the aisle. First time, second time.
0:18:45 > 0:18:47Third and last time, if you're all done.
0:18:47 > 0:18:50Sold, 321.
0:18:50 > 0:18:56And so the hammer fell at 321,000 and the successful bidders were Yuri
0:18:56 > 0:18:58and his daughter Paulina.
0:18:58 > 0:19:02Yuri is a retired banker and daughter Paulina has followed in her
0:19:02 > 0:19:07father's footsteps and also works as a banker in nearby Canary Wharf.
0:19:07 > 0:19:10It was Paulina who joined me back at the flat to tell me more.
0:19:10 > 0:19:15# Just like money in my pocket Baby love
0:19:15 > 0:19:17# Take that to the bank. #
0:19:17 > 0:19:18Paulina, congratulations.
0:19:18 > 0:19:22- Thank you.- This has got to be one of the best flats with a view
0:19:22 > 0:19:24that I have seen in a long time.
0:19:24 > 0:19:26I hope so.
0:19:26 > 0:19:31- That's what I fell in love with. - Need I ask why did you want to bid for this?- The view.
0:19:31 > 0:19:35The location. I rent about five minutes away from here.
0:19:35 > 0:19:39I do have the same view and I love that view and every time I come home
0:19:39 > 0:19:42from work, no matter how stressed I am, no matter how tired I am,
0:19:42 > 0:19:46I just look at the skyline and it goes away.
0:19:46 > 0:19:48Have you bought this so you don't need to rent any more,
0:19:48 > 0:19:51you can move into your own property?
0:19:51 > 0:19:55We bought this actually as an investment project with my father
0:19:55 > 0:20:00and our family friend Dmitri, to rent it out.
0:20:00 > 0:20:04Then perhaps extend the lease on it and look at the market and see if we
0:20:04 > 0:20:08can sell it. I have said to my father, if worst comes to worst,
0:20:08 > 0:20:11if we can't sell it, if we can't rent it, I will come and live in it.
0:20:11 > 0:20:12Which is fantastic.
0:20:12 > 0:20:15You've got the fallback that you can come here and live yourself.
0:20:15 > 0:20:17This is the investor planning.
0:20:17 > 0:20:20- It's plan A, plan B and plan C. - I love it.
0:20:20 > 0:20:24Yep, there's no doubting Paulina has thought this through carefully and
0:20:24 > 0:20:27living nearby, she'll be able to keep an eye on progress and, most
0:20:27 > 0:20:31importantly, keep a check on the purse strings.
0:20:31 > 0:20:34How much do you think you're going to need to spend on this?
0:20:34 > 0:20:37Well, I have set a hard budget...
0:20:37 > 0:20:39of £20,000.
0:20:39 > 0:20:43Oh! OK, it all depends on what you're going to do here.
0:20:43 > 0:20:45So let's now talk about that.
0:20:45 > 0:20:50Right, so my big idea is to do a living-kitchen and then turn the living room,
0:20:50 > 0:20:53the current living room, into a third bedroom.
0:20:53 > 0:20:56- So this would be the bedroom. - This would be the bedroom.
0:20:56 > 0:21:00Upstairs we've got one bathroom and one toilet, which are separate,
0:21:00 > 0:21:05and I would like to take a little bit off storage space from
0:21:05 > 0:21:09a bedroom and split these into separate shower rooms,
0:21:09 > 0:21:11so we'd have two toilets with two showers.
0:21:11 > 0:21:14Do you really think you'll be able to stick to your 20 grand budget,
0:21:14 > 0:21:16I mean, realistically?
0:21:16 > 0:21:18- I don't know. Do you? - I don't think so.
0:21:18 > 0:21:22I think you're going to have to be really, really stringent on what
0:21:22 > 0:21:25you do, but I know you need to create a new kitchen, a new bathroom.
0:21:25 > 0:21:27I actually like to do things on a budget.
0:21:27 > 0:21:31They look good, but...
0:21:31 > 0:21:34I know how to find things that don't cost a fortune.
0:21:34 > 0:21:37You're a financier. Of course you do!
0:21:37 > 0:21:39Being the financier she is,
0:21:39 > 0:21:43Paulina also read the legal pack, so she was well aware of the additional
0:21:43 > 0:21:45£3,500 charge
0:21:45 > 0:21:50and she has factored it into that tight budget of £20,000.
0:21:50 > 0:21:53And she's hoping to get the work done in three to four months' time.
0:21:55 > 0:21:56What part are you all going to play?
0:21:56 > 0:21:59My dad is the coordinator of the project.
0:21:59 > 0:22:02He's done a lot of...
0:22:02 > 0:22:05legal things around the auction.
0:22:05 > 0:22:09He's set up sort of the financing of this.
0:22:09 > 0:22:12Dmitri, our friend, he is...
0:22:12 > 0:22:16being a plumber by profession, he's going to be the technical director.
0:22:16 > 0:22:18So he will sort of...
0:22:18 > 0:22:21- Project manage? Be on site?- Project manage, he's going to be on site.
0:22:21 > 0:22:23He's going to find
0:22:23 > 0:22:25all the builders to do the right things.
0:22:25 > 0:22:31Myself, I've budgeted, so I've kept an eye
0:22:31 > 0:22:34on the planning and the budget.
0:22:34 > 0:22:38Also I'm taking the creative role in this, so I will
0:22:38 > 0:22:43try my best to do the interior designs, to
0:22:43 > 0:22:45sort of make it look nice.
0:22:45 > 0:22:47Paulina, it's been great talking to you today.
0:22:47 > 0:22:50Good luck with the project and I hope you can stick to that budget.
0:22:50 > 0:22:53- Hope as well. Thank you very much, Lucy.- Congratulations.- Thank you.
0:22:53 > 0:22:55So being a banker,
0:22:55 > 0:22:59well, I'm hoping Paulina will be able to keep to that £20,000 budget,
0:22:59 > 0:23:03although this is the first project for her and her team,
0:23:03 > 0:23:05so we'll have to see.
0:23:05 > 0:23:07Join me later on in the programme
0:23:07 > 0:23:09and you can find out how they all get on.
0:23:11 > 0:23:15Coming up - in Stepney, London, it's a pretty unpredictable business.
0:23:15 > 0:23:17The circumstances have changed.
0:23:17 > 0:23:20Something happened that we didn't think would be possible.
0:23:22 > 0:23:26And in Newcastle-under-Lyme, some opinions are best left unsaid.
0:23:26 > 0:23:28We've been a bit snappy, so...
0:23:35 > 0:23:37Time to head back to Maidstone in Kent now,
0:23:37 > 0:23:41where earlier, I looked around this three-bed semidetached property
0:23:41 > 0:23:46that had a guide price of £240,000 to £250,000.
0:23:46 > 0:23:51The property was in a sought-after area of Maidstone, but first impressions
0:23:51 > 0:23:56were that it wasn't realising its potential, until I found this.
0:23:57 > 0:24:00Boom! A big extension.
0:24:00 > 0:24:02Obviously, it's not been completed,
0:24:02 > 0:24:06but the work so far looks like it's been done to a pretty good standard.
0:24:06 > 0:24:08Look at that RSJ.
0:24:08 > 0:24:11Wow. That is a real big boy.
0:24:11 > 0:24:15It looks like, at first glance, it's been nicely constructed, as I said.
0:24:15 > 0:24:18Work to do to finish it off, but with this combined with that,
0:24:18 > 0:24:20this is a lot of space.
0:24:20 > 0:24:21Good house.
0:24:21 > 0:24:26The extension was just a shell, but it had room enough for a bigger kitchen
0:24:26 > 0:24:30as well as an extra bedroom or study and a downstairs cloakroom.
0:24:33 > 0:24:37It had plenty of attention on auction day and sailed past its guide price,
0:24:37 > 0:24:40eventually selling for £309,000,
0:24:40 > 0:24:43almost £60,000 over its guide price.
0:24:44 > 0:24:46Sold, sir. Thank you very much.
0:24:46 > 0:24:52The happy couple who bought it were first time renovators Arjuna and wife Evelyn.
0:24:52 > 0:24:54With Arjuna otherwise engaged,
0:24:54 > 0:25:00it fell to Evelyn and her sister-in-law Priya to reveal their secret weapon.
0:25:00 > 0:25:02I'm an architect by training.
0:25:02 > 0:25:07- Oh, great.- I retired as a project manager from Manchester City,
0:25:07 > 0:25:13so here I am helping my brother and sister-in-law to do the design
0:25:13 > 0:25:15and get the building on the go.
0:25:15 > 0:25:19With plans to make the most of the extension downstairs,
0:25:19 > 0:25:23Evelyn had given herself a timescale of 12 weeks and a generous budget of
0:25:23 > 0:25:27£25,000 in order to get the property ready for the sales market.
0:25:30 > 0:25:34Well, we've returned just over five months later and I can't wait to see
0:25:34 > 0:25:35what they've achieved.
0:25:49 > 0:25:51Well, I said, "Boom!" earlier.
0:25:51 > 0:25:53That must make this double boom!
0:25:57 > 0:26:00Half the extension has been turned into a modern,
0:26:00 > 0:26:03sleek kitchen that will have the buyers swooning.
0:26:06 > 0:26:08And the other half of the extension?
0:26:08 > 0:26:10Well, have a look for yourself.
0:26:15 > 0:26:20Yes, as planned, this has been turned into an extra bedroom with its own cloakroom.
0:26:22 > 0:26:25Priya is on hand to explain exactly how they did it.
0:26:25 > 0:26:31So we opened up at the entrance hall and formed the fourth bedroom and
0:26:31 > 0:26:33an attached shower room.
0:26:33 > 0:26:36Further down the corridor, we opened up again,
0:26:36 > 0:26:42to create the utility space and flow into a large kitchen,
0:26:42 > 0:26:44that flowed naturally into the garden.
0:26:44 > 0:26:48So there was connection between the inside and the outside.
0:26:48 > 0:26:52Yes, the kitchen leads into the much-improved conservatory.
0:26:59 > 0:27:03And that lovely dual aspect living room has been enhanced by the
0:27:03 > 0:27:05addition of some lovely bifold doors.
0:27:11 > 0:27:13Upstairs, the layout has remained the same.
0:27:20 > 0:27:26With the existing three bedrooms neutrally decorated to a very high standard.
0:27:31 > 0:27:34The bathroom has remained the same size,
0:27:34 > 0:27:36but it's looking a lot more modern.
0:27:36 > 0:27:41They have also gone the extra mile by improving the exterior
0:27:41 > 0:27:45with a lovely new driveway, a new fence,
0:27:45 > 0:27:51a new roof for the garage and yes, the inspection pit is no more.
0:27:53 > 0:27:57So, with the project complete, how has Evelyn found the experience?
0:27:58 > 0:28:02It was interesting and it's kept me going
0:28:02 > 0:28:05and yeah, obviously we had our ups and downs,
0:28:05 > 0:28:09but it was... In the end, it was nice, yeah, it was enjoyable.
0:28:09 > 0:28:14Working with Priya was absolutely brilliant, because she had all the
0:28:14 > 0:28:19knowledge and everything and she was so helpful to me and any problems
0:28:19 > 0:28:22I called her and she gave me advice,
0:28:22 > 0:28:24I have to do this and that...
0:28:24 > 0:28:27Without her I couldn't have done this project.
0:28:27 > 0:28:29Yeah, Priya was brilliant.
0:28:30 > 0:28:34So Evelyn is delighted how things worked out on this project,
0:28:34 > 0:28:35but was Priya?
0:28:37 > 0:28:39My sister-in-law is amazing to work with.
0:28:39 > 0:28:41My brother is more demanding.
0:28:41 > 0:28:46But they had a vision and I had to deliver the vision.
0:28:46 > 0:28:48It is a lot harder working with the family.
0:28:48 > 0:28:50It's not like a client, is it?
0:28:50 > 0:28:52No, but it was wonderful. It was really nice.
0:28:52 > 0:28:53A lot of food.
0:28:53 > 0:28:58Evelyn is an amazing cook, so she gave me wonderful meals.
0:28:58 > 0:29:01Even after we'd been working here all evening,
0:29:01 > 0:29:03she'd go and produce something wonderful.
0:29:04 > 0:29:07With Priya on hand to lend advice and guidance,
0:29:07 > 0:29:09Evelyn oversaw the work here
0:29:09 > 0:29:12and due to some problems finding reliable contractors,
0:29:12 > 0:29:15plus holidays in between, things were delayed.
0:29:15 > 0:29:19But in the end, they did meet their target of 12 weeks once it began.
0:29:20 > 0:29:23So what about the budget of £20,000?
0:29:27 > 0:29:31Well, we underestimated the amount of work that was involved,
0:29:31 > 0:29:34so 25 was nowhere near enough.
0:29:34 > 0:29:37Eventually we ended up spending 60,000.
0:29:37 > 0:29:41Yeah. But I'm pleased with the outcome, you know, yeah.
0:29:43 > 0:29:46Wow. That's over twice their original budget
0:29:46 > 0:29:52and it means that they've invested a total of £369,000 into this property that they hope to sell.
0:29:55 > 0:30:00So will two local estate agents think it's a wise investment?
0:30:00 > 0:30:04We first asked the agent who saw it originally.
0:30:04 > 0:30:05Well, on my second visit,
0:30:05 > 0:30:07the property's transformed.
0:30:07 > 0:30:09It was nothing more than a shell when I first saw it.
0:30:09 > 0:30:12They've done absolutely everything that you could imagine
0:30:12 > 0:30:15to bring the property up to the fantastic spec that it is.
0:30:15 > 0:30:17First impressions of the property,
0:30:17 > 0:30:19it's been finished to a very high standard.
0:30:19 > 0:30:21This space on offer here is very good
0:30:21 > 0:30:23and it will definitely suit a family, for sure.
0:30:23 > 0:30:27Both agents think this house would rent for £1,300 per calendar month,
0:30:27 > 0:30:29giving a yield of just over 4%.
0:30:29 > 0:30:32However, the intention was always to sell,
0:30:32 > 0:30:37so let's hear what this £369,000 investment could be worth.
0:30:39 > 0:30:42On the open market, I predict this property would achieve
0:30:42 > 0:30:44£390,000 to £400,000.
0:30:44 > 0:30:46I believe this property will achieve somewhere between
0:30:46 > 0:30:49£390,000 and £400,000,
0:30:49 > 0:30:54but we could probably stretch the asking price to £415,000.
0:30:55 > 0:30:58Well, if they can achieve that 415,000,
0:30:58 > 0:31:01that would mean a pre-tax profit of 46,000.
0:31:02 > 0:31:06So, Evelyn's first project is complete, and Priya?
0:31:06 > 0:31:09Well, she can't wait for her next culinary payday.
0:31:11 > 0:31:14She's great. She really does make some amazing food.
0:31:14 > 0:31:19If you ever want a fantastic meal, she's the one.
0:31:19 > 0:31:21Oh, dear! Thank you!
0:31:27 > 0:31:30Newcastle-under-Lyme in Staffordshire
0:31:30 > 0:31:33was supposedly named after a new castle bought in the area
0:31:33 > 0:31:36in the 12th century, and the forest of lime trees
0:31:36 > 0:31:39that covered the area in medieval times.
0:31:40 > 0:31:43Today, I'm just outside the town in the village of Wolstanton.
0:31:45 > 0:31:48So, just a short walk away from the centre of Wolstanton,
0:31:48 > 0:31:50which is just at the top of the road there,
0:31:50 > 0:31:52you've got all the amenities you need.
0:31:52 > 0:31:56Restaurants, doctors, pubs, whatever you need.
0:31:56 > 0:31:59And here's our property with off-street parking
0:31:59 > 0:32:01which is a great start.
0:32:01 > 0:32:03It's got three bedrooms, it's a semidetached,
0:32:03 > 0:32:06and it has a guide price of £80,000.
0:32:06 > 0:32:08Let's get inside out of the rain.
0:32:11 > 0:32:13It is damp outside.
0:32:15 > 0:32:18And, as you come in, you can smell a bit of damp as well.
0:32:18 > 0:32:21And there it is. Some bubbling just there.
0:32:21 > 0:32:23More signs of damp.
0:32:23 > 0:32:25Some kind of water leakage coming into the house.
0:32:25 > 0:32:27Very red in this hallway.
0:32:27 > 0:32:30Stairs going up to the bedrooms there.
0:32:30 > 0:32:33A decent sized reception room to the right-hand side there
0:32:33 > 0:32:35with central heating. Across the hallway,
0:32:35 > 0:32:39you've got another second reception room, which is a good size as well.
0:32:39 > 0:32:43More signs of damp in the corner just there.
0:32:43 > 0:32:45And over there.
0:32:45 > 0:32:47The windows don't look too bad.
0:32:47 > 0:32:50And this is not a bad-sized room at all.
0:32:50 > 0:32:53So, you've got two good-sized reception rooms just there.
0:32:53 > 0:32:56OK, let me just take a step back.
0:32:56 > 0:32:58I'm thinking, firstly, could you take this wall out
0:32:58 > 0:33:02to have a nice, big kitchen/family area?
0:33:02 > 0:33:05Or keep it in, and you have a kitchen/dining area
0:33:05 > 0:33:07completely separate.
0:33:07 > 0:33:10This kitchen doesn't actually look too bad from here,
0:33:10 > 0:33:14and you might be able to resurrect most of what's in here.
0:33:14 > 0:33:16It's a good-sized room.
0:33:16 > 0:33:18And, just there, you've got a downstairs toilet,
0:33:18 > 0:33:22again with signs of damp just in the corner as well.
0:33:22 > 0:33:26Not a bad-sized kitchen at all.
0:33:26 > 0:33:29Not a bad downstairs but the damp is concerning me.
0:33:29 > 0:33:31Let's hope there's no more upstairs.
0:33:33 > 0:33:35Well, hope springs eternal, as they say,
0:33:35 > 0:33:38as does the damp, it would seem,
0:33:38 > 0:33:40in this place. Signs aren't good in the bathroom...
0:33:42 > 0:33:44..the first bedroom...
0:33:47 > 0:33:49..and the second bedroom.
0:33:52 > 0:33:56And into bedroom three, and like the other two, it's a decent size,
0:33:56 > 0:34:00but, also like the other two and the bathroom,
0:34:00 > 0:34:02there's even more signs of damp.
0:34:02 > 0:34:08Now, on your to-do list, number one, get damp checked out.
0:34:08 > 0:34:11Cos this place is wet, wet, wet.
0:34:11 > 0:34:18# Yes, I'm walking on water
0:34:19 > 0:34:22# And you know you're by my side... #
0:34:25 > 0:34:29I did mention it has off-street parking and it's a large piece of
0:34:29 > 0:34:30off-street parking as well.
0:34:30 > 0:34:33Comes all the way to the back of the house and when you get round
0:34:33 > 0:34:36the corner, you've got even more garden space.
0:34:36 > 0:34:39But the first thing I would do is get rid of that shed there,
0:34:39 > 0:34:42which looks like it's seen better days.
0:34:42 > 0:34:45I also thought could you extend out the back as well
0:34:45 > 0:34:47cos there's enough space to do so.
0:34:47 > 0:34:49But, as I look around,
0:34:49 > 0:34:52I can see that houses nearby haven't done that
0:34:52 > 0:34:53so it's probably a waste of money.
0:34:53 > 0:34:58On a safety issue, I'd put a fence just at the end of the house there,
0:34:58 > 0:35:01just so you've got a separate garden and driveway.
0:35:01 > 0:35:04Just keep it safe for young children and pets.
0:35:04 > 0:35:06All in all, it's a good space out here.
0:35:08 > 0:35:11We asked a local estate agent what his advice would be.
0:35:13 > 0:35:15The first thing I would do is recommend
0:35:15 > 0:35:18that a damp specialist comes out and inspects the property...
0:35:19 > 0:35:23..in order to ascertain how much damp there is.
0:35:24 > 0:35:29And then we would be looking at replastering and skimming the walls.
0:35:29 > 0:35:31Once that's done and renovated,
0:35:31 > 0:35:34what would the property command on the open market?
0:35:34 > 0:35:38Once renovated, I would expect the property to achieve
0:35:38 > 0:35:44in the region of £135,000 to £140,000.
0:35:44 > 0:35:47Not a bad price, bearing in mind the guide of £80,000.
0:35:47 > 0:35:49So, what about the rentals?
0:35:49 > 0:35:52I would put the property onto the rental market
0:35:52 > 0:35:54at £600 per calendar month.
0:35:56 > 0:35:57Let's get these wellies off.
0:35:58 > 0:36:01I wasn't joking. Seriously damp in there.
0:36:02 > 0:36:05This is a good-sized house, well-proportioned,
0:36:05 > 0:36:07with loads of potential,
0:36:07 > 0:36:09but, on a serious note,
0:36:09 > 0:36:12you would have to get that damp sorted out ASAP.
0:36:12 > 0:36:15Let's see who splashed out on it when it went under the hammer.
0:36:15 > 0:36:18We now move to lot 14. Ladies and gentlemen,
0:36:18 > 0:36:22a three-bed semidetached house and it's guiding at 80,000.
0:36:22 > 0:36:24Who's here at 80?
0:36:24 > 0:36:26Thank you. 82 anywhere?
0:36:26 > 0:36:2882.
0:36:29 > 0:36:32What are you doing? You were getting your jacket on!
0:36:32 > 0:36:34That's a dangerous thing to do at an auction, isn't it?
0:36:36 > 0:36:38There we go. That big arm in the air as he stretched
0:36:38 > 0:36:41nearly won you a nice house in Wolstanton! So...
0:36:41 > 0:36:44Meanwhile the bid is with the lady at the front at 80.
0:36:44 > 0:36:4682 anywhere else?
0:36:46 > 0:36:49Nearly a costly misunderstanding there.
0:36:49 > 0:36:52We rejoin the bidding at £103,000.
0:36:52 > 0:36:54103 is bid. 104? 105.
0:36:54 > 0:36:56Six? Seven?
0:36:56 > 0:36:58No. All right the bid's 106.
0:36:58 > 0:37:00All the action right at the front of the room for now.
0:37:00 > 0:37:04I'm looking round the rest of the room now for £107,000.
0:37:04 > 0:37:08If not, with the lady right at the very front in row one at £106,000.
0:37:08 > 0:37:10For the first time. I'm taking half if you're quick, sir.
0:37:10 > 0:37:12Second time at £106,000.
0:37:12 > 0:37:14I'll only give you another 500. Both say no.
0:37:14 > 0:37:16Third and final time. Anybody else?
0:37:16 > 0:37:19Are we all done at £106,000?
0:37:20 > 0:37:22Well done, it's yours at 106.
0:37:23 > 0:37:25And if you recognise the top bidder,
0:37:25 > 0:37:29it's because Donna-Marie's been on the show several times before,
0:37:29 > 0:37:32including back in August 2014,
0:37:32 > 0:37:36when she bought this three-bed terrace in Tunstall in Stoke
0:37:36 > 0:37:39with the help of her mum, dad and partner Stephen.
0:37:41 > 0:37:46This time, Donna-Marie is aiming to make some profit on her £106,000
0:37:46 > 0:37:49purchase in order to finance her new business -
0:37:49 > 0:37:51developing properties for clients.
0:37:51 > 0:37:54I met up with her to find out a little bit more.
0:37:54 > 0:37:57- Donna-Marie, nice to see you again. - Nice to see you again, too, Dion.
0:37:57 > 0:38:00Congratulations again on another purchase.
0:38:00 > 0:38:03- Thank you.- What was it about this particular property that you liked?
0:38:03 > 0:38:07I was buying one to flip so, put simply, it was maybe not the worst,
0:38:07 > 0:38:10but one of the worst houses in one of the best streets.
0:38:10 > 0:38:12What are you going to do to this property?
0:38:12 > 0:38:15Right, it just needs to be brought right up to date, really.
0:38:15 > 0:38:18So there's quite a lot of internal damp issues
0:38:18 > 0:38:21that need to be resolved. And, following those,
0:38:21 > 0:38:24there will be plasterwork and replacement woodwork.
0:38:24 > 0:38:26And I'm planning to keep the existing bathroom
0:38:26 > 0:38:28but enhance that slightly.
0:38:28 > 0:38:31The kitchen in here will be removed and hopefully reused,
0:38:31 > 0:38:34but upgraded with better worktops,
0:38:34 > 0:38:37coving, hopefully under-cupboard lighting,
0:38:37 > 0:38:38that kind of thing.
0:38:38 > 0:38:42- Pretty.- Just to bring it back to being a nice, saleable family home.
0:38:42 > 0:38:45- There's a lot of damp. - There's a lot of mould
0:38:45 > 0:38:48and what looks like there's been a moisture issue.
0:38:48 > 0:38:51Within recent years, the outside of the property has been re-rendered.
0:38:51 > 0:38:54- OK.- So we could easily chip it all back, re-plaster,
0:38:54 > 0:38:55make good and walk away.
0:38:55 > 0:38:58But, as I'm looking to sell this on, and wanting to...
0:38:58 > 0:39:01It's not that much more to get the damp work done.
0:39:01 > 0:39:03- OK, yeah, yeah.- So I'm going to get that done while
0:39:03 > 0:39:05the work's being sorted. And it looks like I'm probably
0:39:05 > 0:39:08going to have to pay for scaffolding to go up, so I might as well
0:39:08 > 0:39:11get it all done and sound so that once somebody puts an offer in,
0:39:11 > 0:39:13they've put an offer in, it's a sound proposition.
0:39:13 > 0:39:15And there's not going to be any issues
0:39:15 > 0:39:18when we come to survey or anything, because we've got everything
0:39:18 > 0:39:19in place and guaranteed, etc.
0:39:19 > 0:39:22Donna-Marie is really on the ball.
0:39:22 > 0:39:24So, what's the budget?
0:39:24 > 0:39:26- The least it's going to cost me is 11,000.- OK.
0:39:26 > 0:39:29- The most it should cost me is 16,000.- Is that because
0:39:29 > 0:39:31you've done your... You've done all your figures already?
0:39:31 > 0:39:33Yeah, I mean, I had a damp survey
0:39:33 > 0:39:35done on the property before I bought it.
0:39:35 > 0:39:37- Oh, OK.- So I was relatively confident, you know,
0:39:37 > 0:39:40- I wanted to get this one.- Quite a few things that need to be done.
0:39:40 > 0:39:42- Yeah.- How long will it take you to do all the work?
0:39:42 > 0:39:45Unfortunately, because of the particular damp person
0:39:45 > 0:39:46that I've decided to go with,
0:39:46 > 0:39:50being so good and reputable, they're pretty booked up.
0:39:50 > 0:39:52So even though I got him in before I'd even bought the house,
0:39:52 > 0:39:55we've got to wait two weeks from now before that can get done.
0:39:55 > 0:39:57- So it might take, you know, eight to ten weeks.- OK.
0:39:57 > 0:40:00But I just want to kind of get in here,
0:40:00 > 0:40:03do a reasonably good job to bring it to a habitable state again,
0:40:03 > 0:40:06so that somebody can buy it. There's still money in it for them,
0:40:06 > 0:40:09they've still got room to make their own mark.
0:40:09 > 0:40:11You know, make my small little bit of profit,
0:40:11 > 0:40:13and move it onto the next people, really.
0:40:13 > 0:40:16- Talking about the profits...- Yeah. - You got it for 106,000?
0:40:16 > 0:40:19- That's right, yeah.- Correct? What are you hoping to get back off this?
0:40:19 > 0:40:22You're going to spend 16 maximum?
0:40:22 > 0:40:24- Yeah.- That will take you to 120,000.
0:40:24 > 0:40:26Yeah, I want to get at least ten to 15 grand out of it,
0:40:26 > 0:40:29- otherwise I won't sell it. - And if you don't get what you want,
0:40:29 > 0:40:31- you'll...?- Rather than rent it,
0:40:31 > 0:40:34if we do spend that bit extra to bring the spec up...
0:40:34 > 0:40:37- You're hoping!- ..me and my partner might move in here
0:40:37 > 0:40:39if we can't make the money on it.
0:40:39 > 0:40:41And live here for a short period of time,
0:40:41 > 0:40:44until the market allows for us to make the profit on it.
0:40:44 > 0:40:47Cos renting it, obviously, people don't look after their, you know,
0:40:47 > 0:40:50rental home perhaps as well as they might if it was their own.
0:40:50 > 0:40:52Of course, yeah. Is there anything else in the building
0:40:52 > 0:40:55that you've seen that has surprised you, or frightened you,
0:40:55 > 0:40:58- or you've thought, "Oh, I didn't realise that was there," or...- Um...
0:40:58 > 0:41:01Not yet. Not yet.
0:41:01 > 0:41:04A few things have cost a bit more than I originally thought,
0:41:04 > 0:41:07but then the value is a little bit stronger than I originally thought
0:41:07 > 0:41:09- as well, so it's counterbalanced them.- Listen,
0:41:09 > 0:41:11- you've never failed as yet.- Not yet.
0:41:11 > 0:41:13- And we can't wait to see the end result.- Thank you.
0:41:13 > 0:41:14Good luck to you, Donna-Marie.
0:41:14 > 0:41:16- Cheers, thanks, Dion. - Good luck to you.
0:41:16 > 0:41:20So, eight to ten weeks might be a long turn around for Donna-Marie,
0:41:20 > 0:41:23but I think that's still going to be a little bit tight considering
0:41:23 > 0:41:25all that damp that needs to be sorted out.
0:41:25 > 0:41:28But you can find out how she gets on later in the programme.
0:41:32 > 0:41:35Well, making renovation decisions can be tricky.
0:41:35 > 0:41:38Do you go for the best finish ever but risk overspending
0:41:38 > 0:41:39on fixture and fittings?
0:41:39 > 0:41:42Yeah, or do you go for the bargain basement approach and perhaps
0:41:42 > 0:41:44not achieve the best price possible?
0:41:44 > 0:41:48So far, we've seen how one set of buyers dealt with this dilemma.
0:41:48 > 0:41:50But what about the other two? Let's find out.
0:41:53 > 0:41:57Back to East London now and the area of Stepney.
0:41:57 > 0:42:00It was here that I looked around a three-bedroom maisonette
0:42:00 > 0:42:02on the fourth floor of this ex-council block,
0:42:02 > 0:42:06which had a very attractive guide price of £200,000.
0:42:09 > 0:42:13Despite having great views of the city from the front and back,
0:42:13 > 0:42:17the view of the interior... Well, it was less of an attraction.
0:42:20 > 0:42:23And this whole flat is just really dated.
0:42:23 > 0:42:28It needs new decor, new carpets, the laminate's all a bit tatty.
0:42:28 > 0:42:31I mean, it really does need a big load of TLC in this flat.
0:42:33 > 0:42:36The property was crying out to be reconfigured.
0:42:36 > 0:42:40So, it fell to the buyers on auction day to fight it out.
0:42:40 > 0:42:42Sold, 321.
0:42:42 > 0:42:46The successful bidders, with £321,000,
0:42:46 > 0:42:50£121,000 over that guide price,
0:42:50 > 0:42:53were retired banker Yuri and his daughter, Paulina,
0:42:53 > 0:42:55who herself is a banker.
0:42:59 > 0:43:02Being a banker, she had a firm idea on the budget.
0:43:02 > 0:43:04I have set a hard budget
0:43:04 > 0:43:08of £20,000.
0:43:08 > 0:43:11Do you really think you'll be able to stick to your 20,000 budget?
0:43:11 > 0:43:13I mean, realistically?
0:43:13 > 0:43:15- I don't know, do you? - Do you know what?
0:43:15 > 0:43:17- No.- No.- I don't think so.
0:43:18 > 0:43:20Yep, I certainly had my doubts.
0:43:20 > 0:43:22After all, Paulina and her father, Yuri,
0:43:22 > 0:43:26were first-time developers and had big plans for this property,
0:43:26 > 0:43:29which included turning the living room into a bedroom
0:43:29 > 0:43:31and turning the current bathroom configuration
0:43:31 > 0:43:34into two shower rooms upstairs.
0:43:34 > 0:43:39Plus, there was a sting in the tail in the form of a hefty £3,500
0:43:39 > 0:43:42maintenance bill that Paulina would have to factor in
0:43:42 > 0:43:46to her already tight budget. Thankfully,
0:43:46 > 0:43:50she had a secret weapon in the form of her business partner and plumber
0:43:50 > 0:43:52Dmitri, who would oversee the work
0:43:52 > 0:43:56which they had hoped would take three or four months. After then,
0:43:56 > 0:44:00they plan to rent the property with an eye on selling in the future.
0:44:02 > 0:44:05So, here we are six months later.
0:44:05 > 0:44:08And I can't wait to see what they've done.
0:44:19 > 0:44:22Wow! Unrecognisable.
0:44:22 > 0:44:26From cramped and dated to bright and contemporary.
0:44:26 > 0:44:28This living area is stunning.
0:44:28 > 0:44:30I love it.
0:44:30 > 0:44:33Paulina is here to tell us how this was achieved.
0:44:35 > 0:44:38So we have taken down a wall which was separating the kitchen
0:44:38 > 0:44:42and the living space from a tiny little bedroom in the back.
0:44:42 > 0:44:46We have opened up the entire space.
0:44:46 > 0:44:49We have put in a new kitchen.
0:44:49 > 0:44:52We opened up the staircase...
0:44:52 > 0:44:54to bring in more light.
0:44:54 > 0:44:58And put in a new window to maximise the view.
0:45:00 > 0:45:04The upstairs is just as impressive, with two lovely, bright bedrooms.
0:45:17 > 0:45:20As Paulina planned, they've rejigged that split bathroom and toilet,
0:45:20 > 0:45:24and used some cupboard space to create a shower, and with a loo
0:45:24 > 0:45:26and a bathroom.
0:45:29 > 0:45:32They really have transformed this property.
0:45:32 > 0:45:34And doing away with that third bedroom was,
0:45:34 > 0:45:36in my opinion, a masterstroke.
0:45:39 > 0:45:42So, originally we were meant to have three bedrooms.
0:45:42 > 0:45:44We wanted to do it as a...
0:45:45 > 0:45:48..to maximise the rent yields.
0:45:48 > 0:45:50The circumstances have changed.
0:45:50 > 0:45:53We... Something happened that we didn't think would be possible.
0:45:53 > 0:45:57My husband and I, we bought a house in London.
0:45:57 > 0:45:59And while we're renovating the house,
0:45:59 > 0:46:01we decided that we will live here.
0:46:01 > 0:46:05So we went back to the original layout of the flat,
0:46:05 > 0:46:07having two bedrooms upstairs,
0:46:07 > 0:46:11so we would enjoy the nice living room downstairs.
0:46:11 > 0:46:13So, Paulina's moving in,
0:46:13 > 0:46:16but what about business partners Yuri and Dmitri,
0:46:16 > 0:46:19and their investments?
0:46:19 > 0:46:24I own a part of the apartment, so on that part I'm not going to pay rent.
0:46:24 > 0:46:29And, with my father, I'm going to strike a favourable deal.
0:46:30 > 0:46:34And with Dmitri, I think we'll reach an agreement.
0:46:34 > 0:46:38Excellent. And, after all, this is a temporary arrangement.
0:46:38 > 0:46:42They'll be renting and possibly selling in the future.
0:46:42 > 0:46:46So, with this 99% complete, how is Paulina's budget looking?
0:46:49 > 0:46:52My original budget was 20,000.
0:46:52 > 0:46:55My father, being more realistic, said 25,000.
0:46:55 > 0:46:57And I think he was right.
0:46:57 > 0:46:59We spent closer to 25.
0:46:59 > 0:47:02We didn't want to compromise on quality.
0:47:02 > 0:47:08So I think we spent a little more to bring this place to life.
0:47:08 > 0:47:11Well, I'm impressed with what she's managed to achieve for the budget.
0:47:11 > 0:47:13How about the timescale?
0:47:13 > 0:47:17In terms of timescale, we initially planned three months.
0:47:18 > 0:47:20It took...
0:47:20 > 0:47:24quite considerably longer, so, closer to five months to finish.
0:47:24 > 0:47:26Just because we started
0:47:26 > 0:47:28before the holiday season.
0:47:28 > 0:47:33And then we were taking some time to decide what to do with the place.
0:47:33 > 0:47:36And, so, the first two months were a little bit idle.
0:47:37 > 0:47:42So, Paulina and partners have invested a total of around 346,000.
0:47:42 > 0:47:46But will two local estate agents think it's a wise investment?
0:47:46 > 0:47:49Let's start with the agent who saw it originally.
0:47:51 > 0:47:56I think the owner of the property has definitely gone the right route.
0:47:56 > 0:47:58Reverting it back to a two-bedroom.
0:47:58 > 0:48:01Increasing its volume by having it open-plan
0:48:01 > 0:48:05brings a lot of natural light into the property.
0:48:05 > 0:48:07It shows off the best aspects of the property,
0:48:07 > 0:48:09which are, of course, the views.
0:48:09 > 0:48:12Overall, the flat looks very nice.
0:48:12 > 0:48:15I like the extra shower room.
0:48:15 > 0:48:17The separate bathroom as well.
0:48:17 > 0:48:20And, yes, I like... I'm very impressed with the flat.
0:48:20 > 0:48:22So, the agents are onboard.
0:48:22 > 0:48:24Time to hear valuations.
0:48:24 > 0:48:25Rental first.
0:48:25 > 0:48:29If we would rent this property, in its present condition,
0:48:29 > 0:48:32we would then put it on the market for a price between
0:48:32 > 0:48:34£1,500 per calendar month
0:48:34 > 0:48:36up to £1,600 per calendar month.
0:48:36 > 0:48:39I think, based on the improvements they've done to the property,
0:48:39 > 0:48:43they should be looking at least £1,500 to £1,600
0:48:43 > 0:48:46per calendar month in rental.
0:48:46 > 0:48:50It's a little bit on the lower side of what I expected.
0:48:50 > 0:48:54So, a little disappointment with that 5.5% yield.
0:48:54 > 0:48:57But with the £346,000 invested,
0:48:57 > 0:49:00perhaps the resale valuation will impress more.
0:49:00 > 0:49:03If we were to put the property on the market to sell,
0:49:03 > 0:49:08I would suggest an asking price of £375,000.
0:49:08 > 0:49:13I would suggest marketing this property in the price range between
0:49:13 > 0:49:18£370,000 to £380,000.
0:49:18 > 0:49:20Once again, I think it can be worth more.
0:49:20 > 0:49:23We're not planning on selling it just yet.
0:49:23 > 0:49:25I think a couple of years down the line,
0:49:25 > 0:49:31we can extend the lease and get that figure to a higher level.
0:49:31 > 0:49:34That top figure of 390,000
0:49:34 > 0:49:38would mean a pre-tax profit of around £44,000.
0:49:38 > 0:49:41So, a successful first project for Paulina and her team,
0:49:41 > 0:49:44although I get the feeling it's going to be a while
0:49:44 > 0:49:48before Paulina is ready to let go of that lovely view.
0:49:55 > 0:49:59Back to the Newcastle-under-Lyme area and the village of Wolstanton.
0:50:01 > 0:50:04It was here that I had a poke around this three-bed semidetached property
0:50:04 > 0:50:07that had a guide price of £80,000.
0:50:08 > 0:50:10Straight away, I was impressed.
0:50:10 > 0:50:13Especially with the off-street parking.
0:50:13 > 0:50:15Unfortunately, inside wasn't as nice.
0:50:15 > 0:50:17HE SNIFFS
0:50:17 > 0:50:19And as you come in, you can smell a bit of damp.
0:50:19 > 0:50:23And there it is. There's some bobbling just there and some more signs of damp.
0:50:23 > 0:50:26Or some kind of water leakage coming into the house.
0:50:26 > 0:50:29I'm beginning to think a big, damp cloud follows me around.
0:50:29 > 0:50:31So here I am saying it again.
0:50:31 > 0:50:33Now, on your to-do list -
0:50:33 > 0:50:36number one, get damp checked out.
0:50:38 > 0:50:42Yeah, the damp was a worry, but the house was well-proportioned,
0:50:42 > 0:50:44in a good area and full of potential.
0:50:45 > 0:50:48This didn't go unnoticed on auction day,
0:50:48 > 0:50:51where the property had plenty of interest.
0:50:51 > 0:50:52Well done, it's yours.
0:50:54 > 0:50:59Nabbing the property for £26,000 over the guide price was seasoned
0:50:59 > 0:51:03landlord and renovator Donna-Marie, who has been on the show before
0:51:03 > 0:51:05and, as ever, was on the ball.
0:51:07 > 0:51:09Yeah, I want to get at least 10 to 15 grand out of it,
0:51:09 > 0:51:11otherwise I won't sell it.
0:51:11 > 0:51:13Donna-Marie doesn't mess about.
0:51:13 > 0:51:17And despite all the damp, as well as the cosmetic issues here,
0:51:17 > 0:51:20she felt a budget of between £11,000 and £16,000
0:51:20 > 0:51:23and a timescale of eight to ten weeks would get the property
0:51:23 > 0:51:25ready for the sales market.
0:51:27 > 0:51:30We're back two and a half months later to see if
0:51:30 > 0:51:33Donna-Marie has managed to turn this place from damp and dull
0:51:33 > 0:51:35to dreamy and desirable.
0:51:49 > 0:51:51Bright, fresh and welcoming.
0:51:52 > 0:51:55Donna-Marie promised a thorough job.
0:51:55 > 0:52:00And so, from top to bottom, the house's damp issue has been sorted.
0:52:00 > 0:52:03All the walls have been stripped back to brick and replastered.
0:52:14 > 0:52:16They've refitted the original kitchen units,
0:52:16 > 0:52:20but given it a face-lift with retiling and lighting added.
0:52:24 > 0:52:27And the downstairs cloakroom has had a makeover, with a new toilet.
0:52:36 > 0:52:39Upstairs, and the three bedrooms have been neutrally decorated
0:52:39 > 0:52:41to a very high standard.
0:52:50 > 0:52:52The bathroom has been cleaned up,
0:52:52 > 0:52:54and a new toilet suite has been added.
0:52:54 > 0:52:57And outside, they've done a little bit extra.
0:53:02 > 0:53:05Yes, Donna has decided to re-landscape the garden,
0:53:05 > 0:53:06as well as improving the drive.
0:53:10 > 0:53:14And very wisely, to protect against damp, they've re-felted the roof,
0:53:14 > 0:53:16and re-tiled where necessary.
0:53:18 > 0:53:22There may have been no restructuring in this property, but Donna,
0:53:22 > 0:53:24with a little help from mum Christine,
0:53:24 > 0:53:27has truly transformed this house.
0:53:27 > 0:53:29Although it's not been all plain sailing.
0:53:31 > 0:53:34So the biggest problem we had with this project
0:53:34 > 0:53:38was keeping to the timescales and being let down by workmen -
0:53:38 > 0:53:41we've got a really reliable workforce,
0:53:41 > 0:53:45but a number of them have been changed through this project -
0:53:45 > 0:53:47and people not doing what they say they'd do,
0:53:47 > 0:53:49within the timescales they said they'd do it in,
0:53:49 > 0:53:52so A can't follow B can't follow C.
0:53:52 > 0:53:54And so that's been the biggest stress and the biggest challenge.
0:53:54 > 0:53:57- You found that frustrating, didn't you, love?- Yeah, yeah.
0:53:57 > 0:54:00We've had challenges... It's part and parcel of the deal with any
0:54:00 > 0:54:04development, but we just seemed to have had a lot this time.
0:54:04 > 0:54:06Or maybe the fact that I'm pregnant and I've got a little bit
0:54:06 > 0:54:09less patience might have something to do with it, as well.
0:54:09 > 0:54:11She's been a bit snappy, so...
0:54:13 > 0:54:14Apparently.
0:54:14 > 0:54:19# Tell me, baby, baby, baby, what can I do? #
0:54:20 > 0:54:24Congratulations, Donna-Marie. And to you, too, Granny-to-be.
0:54:24 > 0:54:28But best keep your opinions to yourself for, I don't know...
0:54:28 > 0:54:30the next few months seems a safe bet.
0:54:31 > 0:54:34With all that toing and froing with the workforce,
0:54:34 > 0:54:36how has it affected Donna's timescale?
0:54:36 > 0:54:40I think the timescale I originally gave was eight to ten weeks.
0:54:40 > 0:54:43And in actual fact, despite the hiccups that we had,
0:54:43 > 0:54:47I sort of picked things up where I could and managed to pull things
0:54:47 > 0:54:50together with the help of a lot of the new contractors.
0:54:50 > 0:54:52I think we finished in about eight to nine weeks.
0:54:52 > 0:54:55- About nine weeks in total, wasn't it, sweetheart?- Yes.
0:54:55 > 0:54:58- From keys to ready, complete.- Yeah.
0:54:58 > 0:55:01Good stuff. But with all the work here,
0:55:01 > 0:55:04as well as the landscaping outside, how is their budget looking?
0:55:06 > 0:55:09OK, so the original budget I gave myself was 11 to 16,
0:55:09 > 0:55:12depending on the roof and various factors.
0:55:12 > 0:55:15And that's excluding obviously legals and finance costs, etc.
0:55:15 > 0:55:18And I'm going to come in at around about the top end of that,
0:55:18 > 0:55:22so between 16,000 and 17,000 when the last bills come in.
0:55:23 > 0:55:25So she's bang on time, bang on the money.
0:55:25 > 0:55:27Clever little thing, really!
0:55:30 > 0:55:32Christine, I think voicing that opinion is allowed.
0:55:32 > 0:55:34And it's one which we are all agreed.
0:55:35 > 0:55:40So if we assume it's going to be closer to 17 grand all-in,
0:55:40 > 0:55:45that means Donna-Marie has invested around 123 grand on this property,
0:55:45 > 0:55:46that she plans to sell on.
0:55:48 > 0:55:50Has it been a wise investment?
0:55:53 > 0:55:56We've asked two local estate agents along to get their opinions,
0:55:56 > 0:55:58starting with the agent who saw it originally.
0:56:01 > 0:56:03The rooms have been replastered.
0:56:03 > 0:56:07It's been re-carpeted. It's in great condition now.
0:56:07 > 0:56:11I think the overall standard of finish has been done very neutral,
0:56:11 > 0:56:12to a good standard, but also
0:56:12 > 0:56:16people can put their own mark on the property when they come in to buy.
0:56:16 > 0:56:19So it ticks a lot of boxes.
0:56:19 > 0:56:21But how would it fare in the rental market?
0:56:21 > 0:56:24To place the property on the rental market, we would look to achieve
0:56:24 > 0:56:27somewhere within the region of £575 per calendar month.
0:56:27 > 0:56:29If we were to let the property,
0:56:29 > 0:56:33I would recommend a figure of £600 per calendar month.
0:56:33 > 0:56:38That top figure of £600 per calendar month would mean a rental yield
0:56:38 > 0:56:39of just under 6%.
0:56:39 > 0:56:43But it's the sales market Donna-Marie really has her sights on.
0:56:43 > 0:56:48And remember, she hoped to make £10-15,000 profit or she wouldn't
0:56:48 > 0:56:52sell, and would even think about moving in herself. So?
0:56:52 > 0:56:56We would be happy to place the property on the market for £135,000.
0:56:56 > 0:57:00Yeah, I would recommend a figure in the region of £140,000.
0:57:00 > 0:57:02Yeah, that's what I originally thought
0:57:02 > 0:57:04when I started doing the project.
0:57:04 > 0:57:08But the other four valuations I've had from other estate agents
0:57:08 > 0:57:12that I know in the area have all said between 150 and 165.
0:57:12 > 0:57:17So it's going on the market at 155 with an aim to achieving 150.
0:57:17 > 0:57:19If I don't achieve that,
0:57:19 > 0:57:21bearing in mind the extra work and care that's been taken,
0:57:21 > 0:57:22I will just put it back...
0:57:22 > 0:57:26I will put it on as part of the rental portfolio.
0:57:26 > 0:57:29Well, if Donna-Marie did sell it for 150 grand,
0:57:29 > 0:57:34that would mean a healthy pre-tax profit of 27 grand.
0:57:34 > 0:57:35And with this one done and dusted,
0:57:35 > 0:57:39Donna-Marie's plans for the future are really rather simple.
0:57:41 > 0:57:43Yeah, baby next. Then another house.
0:57:44 > 0:57:46Or several other houses.
0:57:46 > 0:57:47THEY LAUGH
0:57:50 > 0:57:53Hopefully we've given you a little bit of inspiration,
0:57:53 > 0:57:55especially if you haven't been to a local property auction.
0:57:55 > 0:57:59Yes, perhaps that little nudge you needed to head down to your local auction house.
0:57:59 > 0:58:01But don't worry if you just want to stay curled up on the sofa
0:58:01 > 0:58:04and watch it from the comfort of your own home.
0:58:04 > 0:58:06But make sure you tune into more Homes Under The Hammer.
0:58:06 > 0:58:07- Bye-bye.- Goodbye.