0:00:02 > 0:00:04Hello. Now, bagging a property bargain isn't straightforward,
0:00:04 > 0:00:06but that's not saying you can't find any.
0:00:06 > 0:00:09No, do your research and it's incredible what opportunities
0:00:09 > 0:00:12- there are out there. - So, where do you start?
0:00:12 > 0:00:15Well, one place is your local property auction.
0:00:40 > 0:00:42No matter what your budget is, everyone's looking for the
0:00:42 > 0:00:45same thing when it comes to property - a good deal.
0:00:45 > 0:00:48Mm-hm. Well, it's easier said than done, Dion,
0:00:48 > 0:00:52- because we want to know did our buyers achieve that? - I am curious to find out.
0:00:54 > 0:00:58First up in Caldbeck, Cumbria, Jack is a man after my own heart.
0:00:58 > 0:01:03- Pub, sport, family.- Exactly. - Job done. End of interview.
0:01:04 > 0:01:08In Stansted, Essex, I'm rather happy with my property find.
0:01:08 > 0:01:10Pretty on the outside, not so great on the inside,
0:01:10 > 0:01:14but it certainly gets my stamp of approval.
0:01:14 > 0:01:18But in Heslington, North Yorkshire, I've come over all gooey.
0:01:18 > 0:01:23It's just, straightaway it's one of those houses you just fall in love with, like that!
0:01:25 > 0:01:28All these properties have been sold at auction.
0:01:28 > 0:01:31We'll find out who bought them and what they paid for them when
0:01:31 > 0:01:33- they went under the hammer. - Well done, sir.
0:01:37 > 0:01:39Today, I'm in Caldbeck, Cumbria,
0:01:39 > 0:01:42named after the river that runs through it,
0:01:42 > 0:01:47originally called Cold Beck. It's a perfect village for ramblers
0:01:47 > 0:01:52and most of the village is in the Lake District National Park.
0:01:52 > 0:01:55The property we're here to see is in the corner just there.
0:01:55 > 0:02:00It has two bedrooms and a guide price of £125,000 plus.
0:02:00 > 0:02:02Now, that's the good news.
0:02:02 > 0:02:05The bad news is there is a covenant issue that was mentioned
0:02:05 > 0:02:10in the catalogue. Let's get inside, it's a little cold out here.
0:02:10 > 0:02:14The covenant which was mentioned in the auction catalogue states
0:02:14 > 0:02:16that anyone looking to buy this place must fulfil
0:02:16 > 0:02:18a local occupancy clause.
0:02:19 > 0:02:23The main reason for a clause like this is to prevent too many
0:02:23 > 0:02:25properties being used as holiday homes,
0:02:25 > 0:02:28in the hope that more people live in the area all year round.
0:02:30 > 0:02:33Even though it's mentioned in the auction catalogue,
0:02:33 > 0:02:36a covenant like this does require further research,
0:02:36 > 0:02:39so I'll always recommend that you get some legal advice.
0:02:42 > 0:02:44Oh, dear.
0:02:44 > 0:02:49Now, OK, get that door sorted, that's the first thing.
0:02:49 > 0:02:52Now, as I've come through this door,
0:02:52 > 0:02:56I'm getting a really nice sort of cosy feel straightaway, which is really good.
0:02:56 > 0:02:59That's your lounge, living area just there.
0:02:59 > 0:03:02Nice and bright, nice flooring,
0:03:02 > 0:03:06a nice modern wood burner there as well and a big window.
0:03:06 > 0:03:09It is a really good feel to this property as I've come in.
0:03:09 > 0:03:13This is your dining room and your kitchen.
0:03:13 > 0:03:16Again, really well proportioned.
0:03:16 > 0:03:20I'm not sure what's going on here with this sort of middle bit
0:03:20 > 0:03:21of sort of storage here.
0:03:23 > 0:03:26Yes, that's a first for me, but saying that,
0:03:26 > 0:03:28this all seems in good condition.
0:03:28 > 0:03:32It is a little bit dark, it is a bit dated, you've got dark
0:03:32 > 0:03:37work surfaces as well, but it's all usable, it's all keep-able.
0:03:37 > 0:03:41See, I made up a new word there, keep-able, but a good kitchen,
0:03:41 > 0:03:46nice size dining room and a good lounge. Now, that's a good start.
0:03:48 > 0:03:52Basically, it looks like a sound, keep-able property.
0:03:52 > 0:03:55Well, as far as the ground floor is concerned anyway.
0:03:55 > 0:03:58Hopefully there won't be any skeletons in the cupboard
0:03:58 > 0:04:01anywhere else in this house.
0:04:01 > 0:04:05OK, upstairs, what have we got?
0:04:05 > 0:04:08We have got a bit of storage,
0:04:08 > 0:04:13small landing area and the family bathroom, which is
0:04:13 > 0:04:17a good size, but they haven't quite used the space to its best.
0:04:17 > 0:04:20I'd reconfigure that and put a new suite in there,
0:04:20 > 0:04:23but it's a nice size all the same.
0:04:23 > 0:04:26Here we've got a little bit more storage there as well.
0:04:26 > 0:04:30And two good-size bedrooms.
0:04:30 > 0:04:32Really good-size bedrooms actually.
0:04:32 > 0:04:34That's a double bedroom there
0:04:34 > 0:04:38and this would be the master bedroom with some already fitted
0:04:38 > 0:04:40wardrobes, sort of '80s wardrobes.
0:04:40 > 0:04:44I'd want to take those out just to create a bit more space.
0:04:44 > 0:04:47I haven't seen any central heating, so get that installed and
0:04:47 > 0:04:52I'd also get the plumbing and the electrics checked.
0:04:52 > 0:04:55I can see a lot more positives than negatives with this property.
0:04:55 > 0:04:58For me, it's definitely a thumbs up.
0:04:58 > 0:05:03You need to investigate what type of central heating you might be
0:05:03 > 0:05:04able to install.
0:05:04 > 0:05:08I think it's a fair bet that there won't be a gas supply,
0:05:08 > 0:05:10so you need to look at the alternatives.
0:05:10 > 0:05:13Is there room to store an oil tank or should you be thinking of
0:05:13 > 0:05:14storage heaters?
0:05:14 > 0:05:17Anyway, my thumbs are still up.
0:05:17 > 0:05:20Will a local estate agent also give this the thumbs up?
0:05:20 > 0:05:23People could move straight into the property as it is.
0:05:23 > 0:05:24They might want to do a new kitchen,
0:05:24 > 0:05:27they might want to do a new bathroom, but it isn't necessary.
0:05:27 > 0:05:31So we are agreed. It's a thumbs up.
0:05:31 > 0:05:33Well, so far.
0:05:33 > 0:05:34What about that covenant?
0:05:35 > 0:05:39This property does have local occupancy clause over the property,
0:05:39 > 0:05:42which basically means that anyone that was to buy the
0:05:42 > 0:05:46property has to have lived or worked within the area of the
0:05:46 > 0:05:49National Park for more than three years.
0:05:49 > 0:05:51So, therefore, it does limit the market.
0:05:51 > 0:05:52As regards to rentals,
0:05:52 > 0:05:56we're not sure you'd be able to rent this property out.
0:05:56 > 0:05:58Which must have a bearing on the price.
0:05:58 > 0:06:01Once it's done up, what would its market value be?
0:06:01 > 0:06:03With the local occupancy clause,
0:06:03 > 0:06:06there is a limit to the marketing of the property, therefore,
0:06:06 > 0:06:10you'd probably look to achieve on the open market £180,000.
0:06:12 > 0:06:16This is a fantastic location and a nice little house,
0:06:16 > 0:06:20but unforeseen things could cost a few quid and that local
0:06:20 > 0:06:23covenant may affect interest at the auction house.
0:06:23 > 0:06:26Let's see who was interested when it went under the hammer.
0:06:26 > 0:06:31Yeah, OK, lot number 10. Caldbeck. 125 is your guide
0:06:31 > 0:06:34and the house is subject to local occupancy clause.
0:06:34 > 0:06:40OK, 125 is your guide on this one. 125, anyone? 120.
0:06:40 > 0:06:47115. Need a bid. 115 with the proxy. At £115,000.
0:06:47 > 0:06:49Have it down. 115.
0:06:49 > 0:06:55Take it in fives. 115 I'm bid. 120. 125. 130.
0:06:55 > 0:07:00130 I'm bid. 135. Here at 130.
0:07:00 > 0:07:05131. 132. Shake of the head here at 131.
0:07:05 > 0:07:07At £131,000.
0:07:07 > 0:07:09We're in the market and here to sell it.
0:07:09 > 0:07:12£131,000. Be sure. Don't lose it.
0:07:12 > 0:07:16First time. Second time, all done?
0:07:16 > 0:07:18With the proxy. Well done.
0:07:18 > 0:07:21The successful bid was made by proxy,
0:07:21 > 0:07:24a process used when a bidder isn't able to attend the auction,
0:07:24 > 0:07:27but thankfully the new owners Jane and her son Jack
0:07:27 > 0:07:32were able to meet me back at their new £131,000 purchase.
0:07:32 > 0:07:36Jack, nice to meet you. I'd like to... Just give us a fist pump instead.
0:07:36 > 0:07:39I won't leave you hanging there, Jane. Nice to meet you too.
0:07:39 > 0:07:43- What happened here, by the way, before we go any further? - Shoulder operation.
0:07:43 > 0:07:45Second shoulder operation after rugby injuries.
0:07:45 > 0:07:49- Oh, I see. Full-contact sport.- Yes. - Just my kind of geezer. Well done.
0:07:49 > 0:07:54- OK, who found this house? - I think it's actually my dad.
0:07:54 > 0:07:56My dad walks the dogs past here every day.
0:07:56 > 0:08:00And how did he explain it? How did he make it sound great?
0:08:00 > 0:08:03"There's a house for sale." That's it. Simple as that.
0:08:03 > 0:08:06- Yeah.- And what is it about the house that you love?
0:08:06 > 0:08:08Where it is more than anything.
0:08:08 > 0:08:10My family are in the village, Mum and Dad are in the village.
0:08:10 > 0:08:13My brother and my nephew are in the village,
0:08:13 > 0:08:16so it's just nice to be here. I play cricket here, pub's here -
0:08:16 > 0:08:18it's nice to be around in the village.
0:08:18 > 0:08:23You just ticked all the boxes there. You know, pub, sport, family.
0:08:23 > 0:08:26- Exactly.- Job done. End of interview. THEY LAUGH
0:08:26 > 0:08:29Jane, tell us what your input is on this house?
0:08:29 > 0:08:30What are you going to do to it?
0:08:30 > 0:08:33I'm buying it together with Jack for the time being and then,
0:08:33 > 0:08:38eventually, he will buy me out of my share of it.
0:08:38 > 0:08:42So to start off with it, we will own it together, but hopefully not for too long.
0:08:42 > 0:08:49- Hopefully he'll be able to sort that out fairly soon.- Nudge, nudge.
0:08:49 > 0:08:52And, Jack, what do you want to do to the house?
0:08:52 > 0:08:54Some things will be changed.
0:08:54 > 0:08:58Plan on blocking up the doorway there into the kitchen area and
0:08:58 > 0:09:01having this is as a separate living room.
0:09:01 > 0:09:04Kitchen is going to be painted, new tops, new tiles
0:09:04 > 0:09:08and taking out the big glass cupboards that are in the middle of it.
0:09:08 > 0:09:14- Yes. Strange.- Apart from that, it's pretty much just aesthetic stuff.
0:09:14 > 0:09:16New bathroom, sorry, as well.
0:09:16 > 0:09:19Electrics needs doing, plumbing needs doing.
0:09:19 > 0:09:24- What's your budget for all that work?- Well, mine is 10,000.- OK.
0:09:24 > 0:09:27- I'm not sure what Jack's is. - OK. That's nice.
0:09:27 > 0:09:28Let's talk about your budget.
0:09:28 > 0:09:32- What have you got in your budget of 10,000, Jane?- I have the heating,
0:09:32 > 0:09:38new bathroom, general paintwork, tidy up,
0:09:38 > 0:09:42refurbish the kitchen really without having to replace the units.
0:09:42 > 0:09:47- Hopefully we can do that within the ten.- OK.- I'd like to think so.
0:09:47 > 0:09:51- Starter for ten. Jack, your budget please.- It's very much the same,
0:09:51 > 0:09:55but obviously there's a few things I'd like to try and do myself as well.
0:09:55 > 0:09:58We've got a lot of friends who are builders, electricians,
0:09:58 > 0:10:00and I'd like to try and re-use and buy things from
0:10:00 > 0:10:03reclamation yards and stuff like that and try to hopefully
0:10:03 > 0:10:05save some money that way as well.
0:10:05 > 0:10:08Have you come across any other problems with, you know, purchasing the property?
0:10:08 > 0:10:12We were concerned a little bit about the local occupancy covenant
0:10:12 > 0:10:16and we are actually, at this present moment in time, sort of talking
0:10:16 > 0:10:20about that with the local council, because we do think that probably
0:10:20 > 0:10:24that isn't on the property, but we haven't had that confirmed yet.
0:10:26 > 0:10:29This is a prime example of the point we always make here on
0:10:29 > 0:10:33Homes Under The Hammer - do your research.
0:10:33 > 0:10:38Things aren't always as they first seem when it comes to buying a property.
0:10:38 > 0:10:41Jane is still investigating, but how do they feel about the fact
0:10:41 > 0:10:43that the covenant might not even exist?
0:10:46 > 0:10:50We welcome that the property in the village needs to have some
0:10:50 > 0:10:54restriction on it, so it wouldn't be a big disappointment,
0:10:54 > 0:10:59but it would be nice if it didn't also really, but it's not an issue.
0:10:59 > 0:11:01We bought it thinking there was one on it,
0:11:01 > 0:11:06- so as far as we're concerned... - So you're, you're happy to go ahead. - Yeah.
0:11:06 > 0:11:10Although this all seems to have been quite an easy buy,
0:11:10 > 0:11:13it wasn't such a straightforward decision because of
0:11:13 > 0:11:17a couple of issues in the legal pack and that covenant concerned them.
0:11:17 > 0:11:20So the decision to actually go through with the proxy bid
0:11:20 > 0:11:22was in the balance.
0:11:22 > 0:11:24We kind of decided against it,
0:11:24 > 0:11:28it wasn't going to happen. I was at work and went off for the day,
0:11:28 > 0:11:31planning to work and was busy at work, came back to my phone,
0:11:31 > 0:11:37- had a look and I had a message saying we'd got the house. - So it was all a bit...
0:11:37 > 0:11:41- It all happened very quick at the end, but...- Exciting.- Yeah.
0:11:41 > 0:11:44Jack, I think you're going to create a really happy home. All the best.
0:11:44 > 0:11:47- Fist bump.- Cheers.- Mum, fist bump. - Thank you.
0:11:50 > 0:11:54So, Jack's parents are just at the end of the road, which is
0:11:54 > 0:11:58great news, but new central heating and plumbing is unfortunate,
0:11:58 > 0:12:01but that's the gamble you take when buying at auction.
0:12:01 > 0:12:04Now, if this place turns out to be outside the covenant boundary,
0:12:04 > 0:12:07it will be a great investment.
0:12:07 > 0:12:10You can find out how it all turns out later in the programme.
0:12:14 > 0:12:15It was back in 2014
0:12:15 > 0:12:19when I first took a trip to Stansted Mountfitchet.
0:12:19 > 0:12:22# Airport Ooh-ooh... #
0:12:22 > 0:12:25And despite being near to Stansted Airport, this is a quiet,
0:12:25 > 0:12:29pretty village with great travel links not only for planes, but
0:12:29 > 0:12:33also for trains and road links, and to go alongside that trio of
0:12:33 > 0:12:37travel options, I also found myself with three property options.
0:12:37 > 0:12:40# ..Airport Ooh-ooh
0:12:40 > 0:12:43# Airport. #
0:12:43 > 0:12:46Just off the main road is this quiet little lane which is only
0:12:46 > 0:12:48a couple of minutes' walk from the train station
0:12:48 > 0:12:51and perhaps more importantly, the local pub.
0:12:51 > 0:12:57But what about the property I'm here to see? Or PROPERTIES should I say?
0:12:57 > 0:13:02The guide price was £175,000 and for that you get this
0:13:02 > 0:13:07building here - now pay attention - not the one in the middle,
0:13:07 > 0:13:12but you do get the one right on the end and one just round the corner.
0:13:12 > 0:13:16I'm not going to try and explain any further, I'm going to investigate.
0:13:16 > 0:13:20So this lot wasn't straightforward.
0:13:20 > 0:13:22There was a brick building at the top of the lane,
0:13:22 > 0:13:26a small wooden structure further along the corner and then
0:13:26 > 0:13:32opposite that, a detached two-storey building. All three were
0:13:32 > 0:13:36commercial properties and the brick building was in a conservation area.
0:13:36 > 0:13:41But despite that, it was their residential potential that I was interested in.
0:13:44 > 0:13:46Well, this building has a commercial feel to it.
0:13:46 > 0:13:49I know it's currently got B1 business use attached
0:13:49 > 0:13:52and it feels like you're walking into offices.
0:13:52 > 0:13:54Look, you've got strip lighting here,
0:13:54 > 0:13:58an office through here with loads of paper, a couple of desks.
0:13:58 > 0:14:01At the back here you've got some stairs, which I don't think
0:14:01 > 0:14:04comply to building regs judging by the look of them,
0:14:04 > 0:14:06and through here another office.
0:14:06 > 0:14:09There is no character at all in here.
0:14:09 > 0:14:13Yes, this was a rather characterless two-storey office,
0:14:13 > 0:14:15but with some re-jigging of the walls,
0:14:15 > 0:14:20it could easily be remade into so much more and it actually offered
0:14:20 > 0:14:24some exciting potential, as did the two-room wooden structure opposite,
0:14:24 > 0:14:29though this was going to need, well, a lot more imagination to make this a viable living space.
0:14:32 > 0:14:34Then, there was the third property,
0:14:34 > 0:14:38the red brick building, and the entrance to this was through
0:14:38 > 0:14:41a gate and round the back.
0:14:41 > 0:14:44Wow, this really is an interesting building.
0:14:44 > 0:14:48You've got that lovely red brick on the outside, the weather boarding
0:14:48 > 0:14:52on this side and then you get in and it's a right old state.
0:14:52 > 0:14:55But this is amazing, because I know this is an old printing press.
0:14:55 > 0:14:59But you can see this obviously was a little printing room,
0:14:59 > 0:15:02there's remnants of business cards everywhere.
0:15:02 > 0:15:03So what can you do in here?
0:15:03 > 0:15:06Well, here's a little nugget of information.
0:15:06 > 0:15:09This is the only one out of the three that sits within the
0:15:09 > 0:15:12conservation area, so if you wanted to make any changes,
0:15:12 > 0:15:15you would have to chat to the local conservation officer
0:15:15 > 0:15:17and adhere to those regulations,
0:15:17 > 0:15:21so that could throw a spanner in the works. I also think...
0:15:21 > 0:15:25it's probably single skin, so loads of potential here.
0:15:25 > 0:15:28Pretty on the outside, not so great on the inside,
0:15:28 > 0:15:31but it certainly gets my stamp of approval.
0:15:31 > 0:15:34Well, just when you thought you'd seen it all,
0:15:34 > 0:15:37there was an additional room that was an attachment to the old
0:15:37 > 0:15:40printing room, which offered even more space.
0:15:42 > 0:15:46So lots of buildings, lots of potential, but a whole lot of
0:15:46 > 0:15:49work and a bucket-load of imagination was going to be needed.
0:15:52 > 0:15:55This was certainly an ambitious project,
0:15:55 > 0:15:57but also what an opportunity for someone.
0:15:59 > 0:16:02So maybe not surprisingly, when it went to auction,
0:16:02 > 0:16:05there was quite a battle and it soon passed
0:16:05 > 0:16:09its £175,000 guide price.
0:16:09 > 0:16:11187.
0:16:11 > 0:16:14188. 189.
0:16:14 > 0:16:18190. 191.
0:16:18 > 0:16:22No? With you, sir, been there all along. Bid's at £190,000.
0:16:22 > 0:16:25Standing at the middle of the room there, at the back.
0:16:25 > 0:16:30It's against the two gentlemen here on my left. 190 for the first.
0:16:30 > 0:16:34190 for the second. 190 for the third and final time.
0:16:34 > 0:16:36We're done?
0:16:36 > 0:16:37Sold. 190. Well bought.
0:16:37 > 0:16:41The successful bidder at £190,000 was Paul.
0:16:45 > 0:16:46He's a property developer
0:16:46 > 0:16:49and his wife Heather is the company secretary.
0:16:49 > 0:16:54I met them back at their multifaceted lot to find out more.
0:16:55 > 0:16:58- Paul and Heather, congratulations. Well done.- Thank you.
0:16:58 > 0:17:00Lovely to meet you both today.
0:17:00 > 0:17:03- So you've got three little lots in one here.- Yes.
0:17:03 > 0:17:05So what was it that took your eye, Heather?
0:17:05 > 0:17:08Well, it's local, so it's a nice project for us to have on
0:17:08 > 0:17:12our doorstep and it just looks something interesting,
0:17:12 > 0:17:13something a bit more unusual.
0:17:13 > 0:17:16- As it stands, it's a commercial lot really, isn't it?- Yes.
0:17:16 > 0:17:19Did that not put you off on auction day?
0:17:19 > 0:17:23I think that's really what kept the price down, to be honest.
0:17:23 > 0:17:26There are planning issues, it's a bit of a tight site,
0:17:26 > 0:17:29you're on the edge of a conservation area,
0:17:29 > 0:17:32but we did our research before we bought the lot and found out what
0:17:32 > 0:17:34we could about the site and decided it was worth a go.
0:17:34 > 0:17:37So, come on, what are your plans? What are you going to do with these properties?
0:17:37 > 0:17:42Well, we hope to do the office into one-bedroom flats,
0:17:42 > 0:17:45that should make two very nice properties.
0:17:45 > 0:17:50The smaller long building, that will be again a one-bedroom little
0:17:50 > 0:17:57house and then with the third corner office, that could be either
0:17:57 > 0:18:00commercial or it could still be another one-bedroom dwelling.
0:18:00 > 0:18:03They've all got their own services, their own electrics,
0:18:03 > 0:18:07sewage, everything, so half the work has been done and the way we looked
0:18:07 > 0:18:10at it was as a fallback. If we don't get any residential use,
0:18:10 > 0:18:14we'll just restore it, use it commercially and get some income that way.
0:18:14 > 0:18:18Heather and Paul had done their research and had lots of options.
0:18:18 > 0:18:21At that stage, they proposed a £30,000 budget for each property
0:18:21 > 0:18:25conversion. Quite logically,
0:18:25 > 0:18:28they've broken the development down into three phases,
0:18:28 > 0:18:31with phase one to convert the two-storey office
0:18:31 > 0:18:34into two one-bedroom flats.
0:18:34 > 0:18:38When we returned ten months later, that work was well under way.
0:18:47 > 0:18:50Though it wasn't exactly finished.
0:18:53 > 0:18:56Yeah, we've completely stripped it back to a bare shell.
0:18:56 > 0:18:59Because it was offices, it had no insulation in it,
0:18:59 > 0:19:02it had to be rewired, re-plumbed, all the usual,
0:19:02 > 0:19:06but we've had to smash all the floor out, put insulation in,
0:19:06 > 0:19:10- new steel across here...- New stairs...- ..pulled walls down.
0:19:10 > 0:19:12..and reconfigurated the rooms.
0:19:12 > 0:19:15Yeah, the staircase didn't comply, that was at the back, so all
0:19:15 > 0:19:18we were left with was the roof and four walls of this building.
0:19:18 > 0:19:22The roof was the only bit we didn't have to touch.
0:19:22 > 0:19:24With delays sorting out services to the site,
0:19:24 > 0:19:28the flat conversion still needed another month or two to finish off,
0:19:28 > 0:19:32but they had started on converting the wooden corner building
0:19:32 > 0:19:37and planning permission had been granted with new and improved plans.
0:19:37 > 0:19:41We're hoping to have two bedrooms in here instead of the
0:19:41 > 0:19:43one-bedroom that we first thought.
0:19:43 > 0:19:45This was originally going to be a bedroom and a lounge,
0:19:45 > 0:19:48and now we're going to turn these two into two bedrooms,
0:19:48 > 0:19:53so we have a bedroom and an en suite at this end and then towards the
0:19:53 > 0:19:57front, another bedroom and this will then be a lounge, kitchen/diner.
0:19:57 > 0:19:59The third brick property
0:19:59 > 0:20:01was in the process of getting planning permission
0:20:01 > 0:20:03to turn it into a one-bed cottage.
0:20:03 > 0:20:06With their plans more crystallised,
0:20:06 > 0:20:08they had a better idea now of their costs.
0:20:08 > 0:20:10We've set ourselves a target of...
0:20:11 > 0:20:15..probably up to 200,000 on the whole project.
0:20:15 > 0:20:18And that would be rebuilding that corner store
0:20:18 > 0:20:21and virtually rebuilding the red brick building.
0:20:22 > 0:20:25So over a doubling of the original budget.
0:20:25 > 0:20:27But with an estimated resale value
0:20:27 > 0:20:31of £168,000 per flat on the two-storey conversion,
0:20:31 > 0:20:34it was a case of speculate to accumulate.
0:20:35 > 0:20:38To find out how this complex development is progressing,
0:20:38 > 0:20:41you can join us later on in the programme.
0:20:43 > 0:20:46Still to come in Heslington, North Yorkshire,
0:20:46 > 0:20:47I've come over all peculiar.
0:20:47 > 0:20:50It's got so much potential it's, urgh...
0:20:51 > 0:20:53..tangible.
0:20:54 > 0:20:56And in Stansted, Essex,
0:20:56 > 0:20:58we return to find out if Paul and Heather
0:20:58 > 0:21:01have been able to turn their trio of commercial properties
0:21:01 > 0:21:03into a hat-trick of homes.
0:21:08 > 0:21:10The pretty Lake District village of Caldbeck
0:21:10 > 0:21:14was where I first saw this solidly built two-bed mid-terrace house,
0:21:14 > 0:21:18which was looking a little tired and lacking in the feeling of warmth.
0:21:18 > 0:21:21That was, in part, due to no central heating.
0:21:21 > 0:21:23But its main potential problem
0:21:23 > 0:21:25appeared to be a local occupancy clause,
0:21:25 > 0:21:30which prevented it being rented out or sold to anyone outside the area.
0:21:32 > 0:21:37Not that either of those were an issue for Jack and his mum Jane,
0:21:37 > 0:21:40who jointly bought this house for £131,000.
0:21:42 > 0:21:44The plan - to turn it into Jack's new home.
0:21:46 > 0:21:48My family are in the village. Mum and Dad are in the village.
0:21:48 > 0:21:51My brother and my nephew are in the village.
0:21:51 > 0:21:55So it's just nice to be here. I play cricket here. The pub's here.
0:21:55 > 0:21:56It's nice to be around in the village.
0:21:56 > 0:21:58- You just ticked all the boxes there. - Yeah.
0:21:59 > 0:22:04# So good for me... #
0:22:05 > 0:22:08Yeah, this really was perfect for him.
0:22:08 > 0:22:10But having just had a shoulder operation,
0:22:10 > 0:22:13doing a degree and working full-time,
0:22:13 > 0:22:17Jack was going to get a much-needed helping hand from his mum
0:22:17 > 0:22:20and his nearby family and friends.
0:22:20 > 0:22:22Armed with a £10,000 budget,
0:22:22 > 0:22:24they hope to have it ready for him to move into
0:22:24 > 0:22:26in about three months' time.
0:22:28 > 0:22:31Now, nearly five months later, we are back.
0:22:36 > 0:22:38And isn't it looking smart?
0:22:38 > 0:22:41Freshly painted and new bedding plants,
0:22:41 > 0:22:43it looks more homely already.
0:22:45 > 0:22:47But what's been done on the inside?
0:22:48 > 0:22:50In the kitchen, we've changed quite a lot.
0:22:50 > 0:22:54We painted all the cupboards and kept the same kitchen carcasses.
0:22:54 > 0:22:56New tops. New tiles.
0:22:56 > 0:22:58A new dining area.
0:23:04 > 0:23:07In the front room, they blocked up one of the doors
0:23:07 > 0:23:08to create a more usable space.
0:23:08 > 0:23:10They've also put in a sliding door
0:23:10 > 0:23:13which, again, is a bit of such a space saver.
0:23:14 > 0:23:16An all-important oil central heating system
0:23:16 > 0:23:18has been installed, as well.
0:23:20 > 0:23:23Upstairs, the major change has been the bathroom.
0:23:23 > 0:23:26It did end up being more work due to removing the old bathroom
0:23:26 > 0:23:29and finding out the floor was rotten. So we had to replace that.
0:23:29 > 0:23:32But I definitely think that that's been worth it.
0:23:32 > 0:23:34We're really pleased with the outcome.
0:23:36 > 0:23:38That bathroom is really stylish
0:23:38 > 0:23:41and much more in keeping with the country cottage look.
0:23:51 > 0:23:55The two bedrooms have been spruced up with new paintwork, doors
0:23:55 > 0:23:58and the all-important radiators have been fitted.
0:23:58 > 0:24:03With the front garden, it's been pretty much completely blitzed
0:24:03 > 0:24:07with new sleepers going in, new flowerbeds
0:24:07 > 0:24:10and they've all been filled with help from my grandmas.
0:24:10 > 0:24:12With the back garden, the main thing
0:24:12 > 0:24:14is putting in a dog pen for my dog Doug.
0:24:14 > 0:24:18And also tidying up the patio area.
0:24:18 > 0:24:20So it's not just Jack that's got a new home.
0:24:20 > 0:24:23Doug the dog also has a new pad.
0:24:23 > 0:24:28But with Jack busy with a degree and a job, who did all the work here?
0:24:28 > 0:24:32We've used a local plumber, electrician and joiner.
0:24:32 > 0:24:34But the rest of it, we have actually done ourselves.
0:24:34 > 0:24:38We've had help from my other son and my husband
0:24:38 > 0:24:41and grannies have got on board, as well. So...
0:24:41 > 0:24:44- A real family project. - Yeah, it has been a family project.
0:24:44 > 0:24:48It's been a real big help from my mum being involved in the project.
0:24:48 > 0:24:50And she's project led virtually the whole thing.
0:24:50 > 0:24:53She's done really, really well. I'm really thankful for that.
0:24:56 > 0:24:58Nice one, Mum.
0:24:58 > 0:25:00Though it might have been down to Jane
0:25:00 > 0:25:02to sort out the day-to-day running of the project,
0:25:02 > 0:25:05it was Jack who made his mark on the look and finish of the house.
0:25:05 > 0:25:07# Something old
0:25:07 > 0:25:09# Something new... #
0:25:09 > 0:25:13The dining table is completely made from scratch.
0:25:13 > 0:25:17It was an old mangle and I used that as a base for the table.
0:25:17 > 0:25:21And then used the top of the mangle as a shelf in the kitchen.
0:25:21 > 0:25:25The bed's been completely made from leftover palates
0:25:25 > 0:25:27that were going free.
0:25:27 > 0:25:29We got a bed frame from the auction for ten quid
0:25:29 > 0:25:32and then re-clad it with the palate slats
0:25:32 > 0:25:34and made it look the way it does now.
0:25:34 > 0:25:37Some people love it and some people really don't like it.
0:25:37 > 0:25:40But I'm chuffed to bits with it, so...
0:25:40 > 0:25:41It's growing on me.
0:25:42 > 0:25:44# I don't want to waste it
0:25:44 > 0:25:46# I don't want to waste it
0:25:46 > 0:25:47# Don't want to waste it
0:25:47 > 0:25:49# I don't want to waste it
0:25:49 > 0:25:51# Don't want to waste it now... #
0:25:51 > 0:25:55Well, they do say one man's trash is another man's treasure.
0:25:55 > 0:25:58He also bought an old sewing cupboard at auction
0:25:58 > 0:26:01and used it to disguise the electric meters.
0:26:01 > 0:26:03Very neat work there, Jack.
0:26:05 > 0:26:07But one of the best finds wasn't a material item.
0:26:08 > 0:26:11Regarding the covenant on the property,
0:26:11 > 0:26:14we've recently found out that, in fact, that doesn't stand
0:26:14 > 0:26:16and there is no covenant.
0:26:17 > 0:26:18People, pay attention.
0:26:18 > 0:26:22This is a classic case of not just reading the legal pack,
0:26:22 > 0:26:24it's about doing your own research.
0:26:25 > 0:26:28Jane had her solicitor read the legal pack
0:26:28 > 0:26:31and, despite everyone involved thinking there was a covenant,
0:26:31 > 0:26:34there was enough doubt in their minds to spur Jane on
0:26:34 > 0:26:37to make further enquiries with the council.
0:26:37 > 0:26:39That tenacity came up trumps.
0:26:40 > 0:26:42Had there been a covenant,
0:26:42 > 0:26:44they'd still have bought the property.
0:26:44 > 0:26:47But the bonus is, should Jack ever come to sell,
0:26:47 > 0:26:49the value could be higher.
0:26:49 > 0:26:51Talking of financial matters,
0:26:51 > 0:26:55I seem to recall Mum's budget being around £10,000.
0:26:55 > 0:26:57How did that go?
0:26:57 > 0:27:00We have actually spent 14.
0:27:00 > 0:27:06But that does include oil in the oil tank, the carpets on the stairs.
0:27:07 > 0:27:09So, yeah, 14,000 altogether.
0:27:09 > 0:27:14£14,000 on top of 131 grand purchase price,
0:27:14 > 0:27:18takes the total cost of Jack's new home to £145,000.
0:27:20 > 0:27:22So is this money well spent?
0:27:22 > 0:27:25What do two local property agents think?
0:27:25 > 0:27:27It's very modern. It's light and airy.
0:27:27 > 0:27:30And what money they have spent, they've spent in the right places.
0:27:30 > 0:27:32Beautifully done throughout.
0:27:32 > 0:27:33All of the materials,
0:27:33 > 0:27:35especially some of the reclaimed timber,
0:27:35 > 0:27:37really add to the effect of the property
0:27:37 > 0:27:39and keep it in keeping with the village.
0:27:42 > 0:27:44So a thumbs up from the agents.
0:27:44 > 0:27:47And with the local occupancy clause not affecting the property,
0:27:47 > 0:27:48I'm intrigued to know how much
0:27:48 > 0:27:53Jack and Jane's investment of £145,000 could be worth now.
0:27:54 > 0:27:56The current owner of this property
0:27:56 > 0:27:59should expect to achieve somewhere in the region of £200,000.
0:27:59 > 0:28:01This property would achieve something in the region
0:28:01 > 0:28:03of £200,000 to £215,000.
0:28:03 > 0:28:07- Wow.- That's a lot more than we thought.- Yeah.
0:28:07 > 0:28:10- Maybe we should sell it and do it again.- No. It's not happening!
0:28:12 > 0:28:16Yes, a 55,000 to 70,000 pre-tax profit
0:28:16 > 0:28:19might be tempting for some, but not Jack.
0:28:19 > 0:28:21It's his home in his home village.
0:28:21 > 0:28:24So he's not planning on going anywhere soon.
0:28:24 > 0:28:26But what's next on their agenda?
0:28:28 > 0:28:32Well, I think next for me is just to enjoy what we've done
0:28:32 > 0:28:33and enjoy living in it.
0:28:33 > 0:28:35Yeah, I...
0:28:35 > 0:28:37I was going to go on holiday.
0:28:42 > 0:28:44Heslington in North Yorkshire
0:28:44 > 0:28:47benefits from all the joys of Yorkshire village life.
0:28:47 > 0:28:50But it also benefits from its proximity to a university
0:28:50 > 0:28:52and city amenities.
0:28:55 > 0:28:57Well, just two miles from York city centre,
0:28:57 > 0:29:00very close by the university, in the little village,
0:29:00 > 0:29:03picturesque village of Heslington,
0:29:03 > 0:29:05is the property I'm here to see.
0:29:05 > 0:29:08Four-bedroomed listed building, semidetached,
0:29:08 > 0:29:11at a guide price of 225,000 quid.
0:29:11 > 0:29:13Let's have a look.
0:29:18 > 0:29:22That's not a very good start, is it? Let's try around the back.
0:29:22 > 0:29:24# I am
0:29:25 > 0:29:28# The backdoor man... #
0:29:29 > 0:29:30So back entrance, then.
0:29:30 > 0:29:34And straightaway, not surprisingly, you're hit by the fact
0:29:34 > 0:29:37it obviously could do with a little bit of a tidy up.
0:29:37 > 0:29:41HE CHUCKLES
0:29:41 > 0:29:43Understatements Are Us proudly present...
0:29:43 > 0:29:48But, no, you know, what I'm going to start looking at now, then,
0:29:48 > 0:29:51is what this could be with a bit of imagination.
0:29:51 > 0:29:54And, you know, straightaway, the kitchen area here,
0:29:54 > 0:29:56it's not a bad size.
0:29:56 > 0:29:58Let's see what else is on offer.
0:29:58 > 0:30:00Well, for a start,
0:30:00 > 0:30:03you've got an interconnecting lounge and dining room there.
0:30:03 > 0:30:05A really nice amount of space.
0:30:05 > 0:30:07Lots of light coming in from those original windows.
0:30:07 > 0:30:10But on that point, this whole building is listed.
0:30:10 > 0:30:13So the cost of doing renovations
0:30:13 > 0:30:16suddenly takes on a whole different dimension.
0:30:16 > 0:30:18For instance, the windows. You'll have to put back something
0:30:18 > 0:30:20which the planners are absolutely happy with,
0:30:20 > 0:30:22which will have to be in keeping.
0:30:22 > 0:30:25It could be they'll have to be specially-made wooden ones.
0:30:25 > 0:30:27So you can imagine the cost of those.
0:30:27 > 0:30:29Things like a damp proof coursing, straightaway,
0:30:29 > 0:30:31you just feel the whole house is damp.
0:30:31 > 0:30:33I know it hasn't been obviously lived in for a while,
0:30:33 > 0:30:36but you're going to have to factor that into the equation
0:30:36 > 0:30:38and the fact that it's probably got solid walls,
0:30:38 > 0:30:41so other ways of damp proofing it, blah, blah, blah... It goes on.
0:30:41 > 0:30:42But anyway, it's a nice space.
0:30:42 > 0:30:45And then, just more character than you can shake a stick at.
0:30:45 > 0:30:46Look at this place.
0:30:46 > 0:30:48This room here, I don't know what it was,
0:30:48 > 0:30:51but you've got a little range over there. Maybe it was the scullery.
0:30:51 > 0:30:53You've got that old sink, beams.
0:30:53 > 0:30:55It's just, straightaway,
0:30:55 > 0:30:59it's one of those houses you just fall in love with like that.
0:30:59 > 0:31:02# Well, fools fall in love
0:31:02 > 0:31:05# Just like schoolgirls
0:31:05 > 0:31:10# Blinded by rose-coloured dreams... #
0:31:12 > 0:31:16Now, I know I'm getting carried away. The work here is extensive.
0:31:16 > 0:31:19Woodworm, damp, you name it...
0:31:19 > 0:31:21And that's only downstairs.
0:31:22 > 0:31:24Well, up here...
0:31:24 > 0:31:27it doesn't necessarily get any cleaner.
0:31:27 > 0:31:30But I'm struck by things like the floorboards. How amazing are they?
0:31:30 > 0:31:33Big, wide. Imagine those stripped back.
0:31:33 > 0:31:35The layout's kind of odd.
0:31:35 > 0:31:37Four bedrooms. Three there.
0:31:37 > 0:31:39They're not a bad size.
0:31:39 > 0:31:42And then you come into this. Again, it's a good-sized bathroom.
0:31:42 > 0:31:46It needs a bit of a new suite, don't you think?
0:31:46 > 0:31:48But then the fourth bedroom is through here...
0:31:50 > 0:31:53So...the layout doesn't quite work.
0:31:53 > 0:31:56And I think it's one of those situations
0:31:56 > 0:32:00you really need to sit down with some graph paper and some cut-outs
0:32:00 > 0:32:01and just work on the layout.
0:32:01 > 0:32:06But still, it's got so much potential it's, urgh...
0:32:07 > 0:32:08..tangible.
0:32:09 > 0:32:12# I get so excited, darling
0:32:12 > 0:32:16# Just can't help myself... #
0:32:17 > 0:32:19As this is a Grade II listed house,
0:32:19 > 0:32:23you will need to work closely with the conservation officer
0:32:23 > 0:32:27so any potential will be tempered by rules and regulations.
0:32:27 > 0:32:30And the same will apply to the potential outside at the back.
0:32:32 > 0:32:36Well, at the exterior of the property, a real bonus.
0:32:36 > 0:32:38Some fantastic outbuildings.
0:32:38 > 0:32:40A beautiful brick building.
0:32:40 > 0:32:42I mean, obviously, it'll need of a bit of work.
0:32:42 > 0:32:44The other thing to be aware of, though,
0:32:44 > 0:32:47is in listed buildings, often the grounds,
0:32:47 > 0:32:50in fact always the grounds and any buildings in those grounds,
0:32:50 > 0:32:52are also covered by that listing.
0:32:52 > 0:32:54But what could you do with this? I mean, wow.
0:32:54 > 0:32:58If you could work through it, maybe, I don't know, a granny annexe?
0:32:58 > 0:33:01A separate building, somewhere to just play, restore classic cars?
0:33:01 > 0:33:03I don't know.
0:33:03 > 0:33:07It's just a really fantastic bit of extra space to have!
0:33:07 > 0:33:12- # You and me got a whole lotta history...- #
0:33:14 > 0:33:16These buildings span across different eras.
0:33:16 > 0:33:21You have an old barn, a stable and a pigsty,
0:33:21 > 0:33:24which is just exactly that in name and nature.
0:33:24 > 0:33:28But how do you find out if the listing covers these outbuildings?
0:33:28 > 0:33:32Easy. Follow our golden rules by reading the legal pack.
0:33:32 > 0:33:35Another golden rule is to get plenty of expert opinion,
0:33:35 > 0:33:38which is why we've asked along a local estate agent.
0:33:38 > 0:33:40What would she do?
0:33:41 > 0:33:44If it was my property, I would turn it back into two cottages into the
0:33:44 > 0:33:48main house, and out the back I would turn what would have been the
0:33:48 > 0:33:51original stable into student accommodation or possibly
0:33:51 > 0:33:53holiday lets. That's what I would do.
0:33:53 > 0:33:56So, if you followed through that plan for this lot, guided
0:33:56 > 0:34:01at 225,000, what kind of values could you expect for the whole site?
0:34:03 > 0:34:06Once renovated, if you sold the whole lot you would look in
0:34:06 > 0:34:08the region of £800,000 to £900,000.
0:34:08 > 0:34:10If you were to rent the whole lot out,
0:34:10 > 0:34:13you would be looking at about £2,000 per calendar month.
0:34:13 > 0:34:17Well, clearly it's going to take a lot of effort and money to sort this
0:34:17 > 0:34:21place out, but one of those projects that would definitely be worth it.
0:34:21 > 0:34:22I'm sure somebody fell in love with it.
0:34:22 > 0:34:25Let's find out who that was when it went under the hammer.
0:34:27 > 0:34:29What a lovely-looking building,
0:34:29 > 0:34:35and I'm going to start on the book at 225,000.
0:34:35 > 0:34:37230 at the back. I can go 35.
0:34:37 > 0:34:40Bid me 40. 240. I can go 245.
0:34:40 > 0:34:42Bid me 50.
0:34:42 > 0:34:4450. I can go 55.
0:34:44 > 0:34:47And 60. And I can go 65. And 70.
0:34:47 > 0:34:51Soon, the proxy bid is long surpassed and the battle is
0:34:51 > 0:34:55between a phone bidder and a bidder on the left of the room.
0:34:55 > 0:34:58We rejoin the bidding at 395,000.
0:34:59 > 0:35:01395.
0:35:01 > 0:35:04400 I'm bid.
0:35:04 > 0:35:055?
0:35:06 > 0:35:08402 and a half?
0:35:08 > 0:35:10402 and a half. 5?
0:35:10 > 0:35:12No!
0:35:12 > 0:35:15It WAS his limit! First time.
0:35:15 > 0:35:17Second time at 402,500.
0:35:17 > 0:35:20Third and last time at £402,500.
0:35:22 > 0:35:26Very well bid. 402,500. Thank you. That was a lovely-looking building.
0:35:26 > 0:35:32Paying nearly double the guide price, at £402,500, was Alistair.
0:35:32 > 0:35:35He's a GP and a health-policy professional,
0:35:35 > 0:35:39so what would he be "prescribing" for this property?
0:35:39 > 0:35:45- # Oh, somebody call the house doctor...- #
0:35:45 > 0:35:48- Alistair, great to meet you. - And you.- Congratulations!
0:35:48 > 0:35:51So, when you came to do a health check on this place,
0:35:51 > 0:35:55- obviously different criteria applied!- Just a bit!
0:35:55 > 0:35:57It had a good roof. It has four solid walls.
0:35:57 > 0:36:03Didn't have much else, but I could afford it, and that was the plan.
0:36:03 > 0:36:06- But it turned out to be a bit more complicated.- Tell me.
0:36:06 > 0:36:10Turns out that the guy who owned it had died four and a half,
0:36:10 > 0:36:13- now nearly six years ago... - Oh!- ..without a will...- Ah.
0:36:13 > 0:36:15- ..without any family.- Ah.
0:36:15 > 0:36:19And I knocked on the next-door neighbour's door, who
0:36:19 > 0:36:25kindly told me what the story was, and we had a discussion,
0:36:25 > 0:36:29and I ended up, having talked to councillors and suchlike,
0:36:29 > 0:36:32referring it to the Treasury's solicitors,
0:36:32 > 0:36:37- and it took about another year after I'd referred it.- Wow!
0:36:37 > 0:36:41So it was an 18-month process before it got to auction.
0:36:41 > 0:36:44So, it's almost you assisted it to get to the
0:36:44 > 0:36:49- auction, then.- Yeah.- Wow!- I did a lot of work behind the scenes.- Wow!
0:36:49 > 0:36:52So in lots of ways you were sort of responsible for it actually
0:36:52 > 0:36:54- coming to the auction at all.- Yeah.
0:36:54 > 0:36:59I did a lot of internet searches, I used some legal skills,
0:36:59 > 0:37:03and my solicitor helped me, just advised me what to do.
0:37:03 > 0:37:06- You would have been well cheesed off if you hadn't got it.- Just a bit!
0:37:06 > 0:37:07But I didn't expect to get it.
0:37:07 > 0:37:09I was hoping they would sell it without going to auction,
0:37:09 > 0:37:12given the fact that they wouldn't have known about it otherwise,
0:37:12 > 0:37:14but that wasn't the case.
0:37:14 > 0:37:17And so it went to auction, and you're sitting there in the
0:37:17 > 0:37:20auction thinking, "How am I going to afford this?",
0:37:20 > 0:37:24because this property should be a lot more money than it went for.
0:37:24 > 0:37:27So it was trying to work out what sort of games could
0:37:27 > 0:37:28you play at the auction.
0:37:28 > 0:37:32- I use an economic theory called prisoner's dilemma.- Right...
0:37:32 > 0:37:36So, English auctions, the whole idea of an auction is to suck the
0:37:36 > 0:37:40people in to maximise the price. So they go in with a given maximum bid.
0:37:40 > 0:37:46I didn't allow the auctioneer to tell me that I had to go up by 5,000
0:37:46 > 0:37:48each time, which was what he was going up by,
0:37:48 > 0:37:49I changed the increments.
0:37:49 > 0:37:52So I went up by, say, seven and a half or 12,000.
0:37:52 > 0:37:56And then I backed off at one point and stopped to see whether there
0:37:56 > 0:37:58was lots of people still interested.
0:37:58 > 0:38:00I realised there wasn't,
0:38:00 > 0:38:04but I didn't want the hammer to go down at first call, because then
0:38:04 > 0:38:06people still had money and they would go for it
0:38:06 > 0:38:07and think they'd have it.
0:38:07 > 0:38:11And on the final bid, when he said, "Oh, why not go up by 10,000?",
0:38:11 > 0:38:12I went up by five.
0:38:12 > 0:38:15The next person went up by five, and then I just went up by two and
0:38:15 > 0:38:19a half, which was the only time I'd gone less than 5,000, and I won it.
0:38:19 > 0:38:23I've never heard anyone explain such an incredible strategy of
0:38:23 > 0:38:24bidding at auction!
0:38:27 > 0:38:30I've got to be honest and say he lost me at "prisoner's dilemma".
0:38:30 > 0:38:32But his tactic clearly worked.
0:38:32 > 0:38:35Now to things I understand much better - houses -
0:38:35 > 0:38:38although it doesn't take an expert to see the problems here.
0:38:38 > 0:38:42Alistair's first goal is to address the woodworm and damp by
0:38:42 > 0:38:47treating the timber, insulating the outside walls and replastering.
0:38:47 > 0:38:49After that, he can really begin.
0:38:49 > 0:38:52We're going to look at where the kitchen is at the moment.
0:38:52 > 0:38:55Downstairs, we're going to push out that wall and square the
0:38:55 > 0:38:56property up at the back.
0:38:56 > 0:38:59Where the back door is at the moment, take out that,
0:38:59 > 0:39:02take out where the coalshed is, make that part of the kitchen.
0:39:02 > 0:39:05There's two living rooms. The one that's straight off from the
0:39:05 > 0:39:08kitchen, try and make that maybe a formal dining room.
0:39:08 > 0:39:11And then, where the other living room is and the room next to it,
0:39:11 > 0:39:12where the stairs currently go up,
0:39:12 > 0:39:17put an RSJ in and make that one decent-sized living room.
0:39:17 > 0:39:20Looking at retaining as much of the ideas of the original
0:39:20 > 0:39:23fixtures and fittings, with the windows and suchlike, as possible.
0:39:23 > 0:39:26Upstairs, it's rejigging things, as well.
0:39:26 > 0:39:29This room here, we could actually change where this door is
0:39:29 > 0:39:30so it starts back a bit further.
0:39:30 > 0:39:33One of the other bedrooms, we'll look at putting an en-suite in.
0:39:33 > 0:39:35Where the current bathroom is,
0:39:35 > 0:39:37at the moment it's also a walkway through to another room.
0:39:37 > 0:39:39Well, if we put in a wall,
0:39:39 > 0:39:42just sort of finishing where the end of the bath is, you can still
0:39:42 > 0:39:45retain the bathroom, we've got a landing there for getting upstairs
0:39:45 > 0:39:49but we've also then got access to that other bedroom.
0:39:49 > 0:39:52Alistair plans to move the stairs to the kitchen area and add
0:39:52 > 0:39:55a second flight up to the loft space, where he wants to build
0:39:55 > 0:39:59two bedrooms and a Jack-and-Jill bathroom with dormer windows...
0:39:59 > 0:40:02if he can meet the criteria of the planners, that is.
0:40:02 > 0:40:04That's just the main house,
0:40:04 > 0:40:10which he's set a budget of £100,000 for and a timescale of one year.
0:40:12 > 0:40:15But we've also got some outbuildings that we could do things with.
0:40:15 > 0:40:19And, interestingly, from what we can look at from the legal side
0:40:19 > 0:40:20and from the titles and everything,
0:40:20 > 0:40:23the curtilage of the original property only includes sort of
0:40:23 > 0:40:27one sort of pigsty, which is Grade II listed.
0:40:27 > 0:40:30The rest of it, the stables and the barn, are not Grade II listed.
0:40:30 > 0:40:34So the ramifications of that mean you could do something with those.
0:40:34 > 0:40:35- Absolutely.- Like...?
0:40:35 > 0:40:38I think the stables we'd like to turn into a house,
0:40:38 > 0:40:42and it may be that you actually turn that into a house first, get
0:40:42 > 0:40:45out the caravan, because we don't have the Grade II listing.
0:40:45 > 0:40:48The brick barn, unfortunately, it basically needs condemning.
0:40:48 > 0:40:50It's that unstable.
0:40:50 > 0:40:53And we'd be happy to, you know, work with the planners and say
0:40:53 > 0:40:57we could maybe use bricks that look like old ones and
0:40:57 > 0:41:00suchlike and try and retain that character.
0:41:00 > 0:41:02Or use some of those bricks to do the renovations on this place.
0:41:02 > 0:41:07Absolutely. So, using common sense and trying to maintain
0:41:07 > 0:41:10the ethos of what is there and finish off that courtyard.
0:41:10 > 0:41:13So where that pigsty is, which, again, needs condemning,
0:41:13 > 0:41:17- then I think we're going to look at maybe putting a garage there.- Oh!
0:41:17 > 0:41:20Possibly with a room above it. I don't know.
0:41:20 > 0:41:24And it's just going to be one of those projects that will take
0:41:24 > 0:41:25a while.
0:41:25 > 0:41:28Some of it's going to be done faster than others,
0:41:28 > 0:41:32- and some it may take a few years. - Well, it's really great to meet you.
0:41:32 > 0:41:35- Congratulations, and I can't wait to see what you do with it.- Thank you.
0:41:35 > 0:41:36- Cheers.- Good luck!
0:41:38 > 0:41:41Well, it was always going to be a project that needed
0:41:41 > 0:41:46a major health check and a big operation to sort it out,
0:41:46 > 0:41:51and it has found the perfect purchaser in Dr Alistair.
0:41:51 > 0:41:55Lots to do, but he certainly seems to have the right ideas.
0:41:55 > 0:41:58How will it all turn out? I can't wait to see.
0:41:58 > 0:42:00You can find out later in the show.
0:42:03 > 0:42:06Well, that's one of our property renovations,
0:42:06 > 0:42:07but we still have two to show you.
0:42:07 > 0:42:09Yes, has everything gone smoothly,
0:42:09 > 0:42:12or have the plans just been ripped up and rewritten?
0:42:12 > 0:42:14Well, hopefully not, Lucy. Let's find out.
0:42:17 > 0:42:22Time now to return to Stansted Mountfitchet in Essex to catch up
0:42:22 > 0:42:26on a development we've been following for nearly two years.
0:42:26 > 0:42:27It was here that we saw not one,
0:42:27 > 0:42:33not two but three separate buildings sold at auction as one lot.
0:42:33 > 0:42:36Previously commercial premises, they ranged from a former
0:42:36 > 0:42:42office, a brick-built workshop to a ramshackle corner building.
0:42:42 > 0:42:45But with a chance to convert to residential properties,
0:42:45 > 0:42:47there was a wealth of opportunity here.
0:42:47 > 0:42:52# Anything could happen, anything could happen
0:42:52 > 0:42:54# Anything could... #
0:42:59 > 0:43:04And they were bought for £190,000 by property developers Paul and
0:43:04 > 0:43:09- wife Heather.- We hope to do the office into one-bedroom flats.
0:43:09 > 0:43:14The smaller, long building, that will be a one-bedroom little house,
0:43:14 > 0:43:19and then, with the third corner, that could be either commercial or
0:43:19 > 0:43:22it could still be another one-bedroom dwelling.
0:43:23 > 0:43:27Well, you have to admire these two. They weren't afraid of a challenge
0:43:27 > 0:43:32and, quite logically, broke the project into three phases.
0:43:32 > 0:43:34So, when we first returned ten months later,
0:43:34 > 0:43:38we found that the office conversion into flats was well under way
0:43:38 > 0:43:40but not fully finished.
0:43:40 > 0:43:44The corner plot had the go-ahead as a two-bedroom bungalow,
0:43:44 > 0:43:46but it wasn't really out of the ground yet.
0:43:48 > 0:43:51So now, a year and ten months since our first visit,
0:43:51 > 0:43:53what are we going to find?
0:44:02 > 0:44:05At last! That former office block is now
0:44:05 > 0:44:09looking like rather top-notch accommodation.
0:44:18 > 0:44:21Fitted all the kitchens in, wardrobes in the bedrooms,
0:44:21 > 0:44:24all the bathrooms are fitted, tiling, carpets down...
0:44:24 > 0:44:27doors hung.
0:44:27 > 0:44:28Yeah, so they're nice,
0:44:28 > 0:44:31small but nicely finished-off one-bedroom flats.
0:44:55 > 0:45:00The one-bed upstairs flat is looking great - so great, in fact,
0:45:00 > 0:45:03that both flats are already sold.
0:45:03 > 0:45:07But what about the conversion of the corner plot to a two-bed bungalow?
0:45:11 > 0:45:16With Heather away, it was down to Paul to update us on the progress.
0:45:16 > 0:45:20Yes, erm, this is what was the former corner store.
0:45:20 > 0:45:24And we're now standing in the sort of lounge, kitchen area.
0:45:24 > 0:45:27But we've designed it with a separate lounge area,
0:45:27 > 0:45:30which someone could use as a second bedroom, if they want.
0:45:30 > 0:45:33And we tried to make the most of all the high ceilings in this
0:45:33 > 0:45:36particular building, so we put the nice roof-light windows in,
0:45:36 > 0:45:39let a nice bit of light into the building.
0:45:39 > 0:45:41And we've finished it off with a nice kitchen,
0:45:41 > 0:45:44again with a nice granite worktop. So a good finish throughout.
0:45:44 > 0:45:48Yes, this part of the building is the bedroom.
0:45:48 > 0:45:51It's the split-level which is the raised bedroom.
0:45:51 > 0:45:54And, again, we've made good use of the high ceilings in here.
0:45:54 > 0:45:58And then we've managed to fit in an en suite shower room
0:45:58 > 0:46:01at the end here and put in a nice big, wide shower in there.
0:46:01 > 0:46:04So that will be nice to complement the bedroom.
0:46:04 > 0:46:07Well, this is nearly, but not quite, finished.
0:46:07 > 0:46:10But you can see it's going to be a great space.
0:46:10 > 0:46:13So what about that third and final property?
0:46:13 > 0:46:15The tricky former workshop?
0:46:20 > 0:46:24We've now secured planning permission on that to convert it to a one-bedroom bungalow.
0:46:24 > 0:46:26But we haven't started that one yet.
0:46:26 > 0:46:30We're using that as a storeroom for all the building materials
0:46:30 > 0:46:33and we didn't want to really have too much on the go in one hit.
0:46:33 > 0:46:36So we want to finish these three first before we start that one.
0:46:36 > 0:46:40Well, that's understandable and he's certainly had his hands full
0:46:40 > 0:46:42with the first two developments.
0:46:43 > 0:46:46I had builders in to do the majority of the overall
0:46:46 > 0:46:49building work, but I've done all the finishing off, kitchens,
0:46:49 > 0:46:52bathrooms, tiling, decorating, flooring, etc, so...
0:46:52 > 0:46:55Yes, it has taken up a lot more of my time than I,
0:46:55 > 0:46:57at first, thought it would.
0:46:57 > 0:47:00This really has become a labour of love for Paul.
0:47:00 > 0:47:03But if it's taken more time and more commitment than
0:47:03 > 0:47:05he thought, well, has it taken more money?
0:47:05 > 0:47:10We probably spent about 130, £140,000.
0:47:10 > 0:47:12By the time we finish the red brick one,
0:47:12 > 0:47:15we're probably going to be around the sort of 220, 225 mark,
0:47:15 > 0:47:16I would think overall.
0:47:17 > 0:47:22£225,000 spend will be more than the £190,000 they paid
0:47:22 > 0:47:24for all three buildings.
0:47:24 > 0:47:27That would mean Paul and wife Heather will have
0:47:27 > 0:47:32invested £415,000 into their three-in-one auction lot.
0:47:32 > 0:47:35So will all their hard work pay off?
0:47:35 > 0:47:37What do two local property experts think?
0:47:37 > 0:47:39My first thoughts on the flats are they've been done to
0:47:39 > 0:47:41a really high standard.
0:47:41 > 0:47:44Calibre of the kitchen is really high and the standard of the
0:47:44 > 0:47:46bathrooms as well.
0:47:46 > 0:47:49I noticed the tiles and the fittings have been done to a good standard.
0:47:49 > 0:47:52It's very light, it's very airy. The fit is very, very good.
0:47:52 > 0:47:56And even the small touches like wardrobes, etc.
0:47:56 > 0:47:57He's done very, very well.
0:47:57 > 0:47:59Two-bed property which is a bungalow,
0:47:59 > 0:48:01really popular in this area.
0:48:01 > 0:48:04Done to a really good standard. Really done well with the space.
0:48:04 > 0:48:07And the fact that he's incorporated two shower rooms into
0:48:07 > 0:48:09the property is fantastic.
0:48:09 > 0:48:12In terms of space, you've had to be creative, and creative he's been.
0:48:12 > 0:48:15It's a very light and airy proposition and I think it
0:48:15 > 0:48:17will make a lovely home for somebody.
0:48:18 > 0:48:20Well, OK, let's now talk values.
0:48:20 > 0:48:23First, the two one-bed flats.
0:48:23 > 0:48:26Ground-floor flat, I would put on the current market at offers in
0:48:26 > 0:48:29excess of £195,000.
0:48:29 > 0:48:30For the top floor apartment,
0:48:30 > 0:48:35you'd be looking at £195,000 to £200,000.
0:48:35 > 0:48:39Ground-floor flat, I would market that for £195,000.
0:48:39 > 0:48:42And the upper flat, I would market that, again,
0:48:42 > 0:48:44for £195,000.
0:48:44 > 0:48:47I mean, it's better than what we originally expected.
0:48:47 > 0:48:50But we have got a couple of buyers in those price brackets
0:48:50 > 0:48:51so that's spot on really.
0:48:53 > 0:48:56Yes, Paul's selling the flats for £195,000 each which
0:48:56 > 0:49:00means he's already recouped 390,000 of his
0:49:00 > 0:49:06proposed £415,000 outlay and there's still two buildings to go.
0:49:07 > 0:49:10Two-bedroom bungalow, current market,
0:49:10 > 0:49:14you'd be looking at a price between £250,000 to £275,000.
0:49:14 > 0:49:16The two-bed bungalow, if I was asked to market that,
0:49:16 > 0:49:19I would market that at £265,000.
0:49:19 > 0:49:22We had got someone interested at 265.
0:49:22 > 0:49:25We've just got to get it finished off for them.
0:49:26 > 0:49:30The sale price of 265,000 for the bungalow would see this
0:49:30 > 0:49:36development already turn a profit to the tune of £240,000.
0:49:36 > 0:49:40The agents also thought that once the brick building was complete,
0:49:40 > 0:49:44it could command values in the region of 250,000.
0:49:44 > 0:49:46Even taking into account build costs,
0:49:46 > 0:49:50they stand to make a very healthy profit, all being well.
0:49:50 > 0:49:54The whole development may end up taking more than three years.
0:49:54 > 0:49:58And Heather and Paul's commitment to the area extends beyond just
0:49:58 > 0:50:01the renovation of these three buildings.
0:50:02 > 0:50:05We have moved into the village. That's gone really well.
0:50:05 > 0:50:08It was only through working here that we discovered the village, really,
0:50:08 > 0:50:12and having walked around, you know, use the shops and bars and stuff so...
0:50:12 > 0:50:14Yeah, we moved in almost a year ago now
0:50:14 > 0:50:17into a bungalow that needs loads of work as well
0:50:17 > 0:50:19so that'll be my next project.
0:50:26 > 0:50:29Time to make our way back now to Heslington in North Yorkshire,
0:50:29 > 0:50:32where earlier on, I had the pleasure of looking around this
0:50:32 > 0:50:36four-bedroomed, semidetached, Grade II listed building
0:50:36 > 0:50:40that had a guide price of £225,000.
0:50:43 > 0:50:45And, straightaway, not surprisingly,
0:50:45 > 0:50:48you're hit by the fact it's obviously in need of a bit of a tidy-up.
0:50:50 > 0:50:51Ah, yep.
0:50:51 > 0:50:55This property had been sitting empty for some time and was clearly
0:50:55 > 0:50:57in need of a major restoration.
0:50:58 > 0:51:00But, I was hooked.
0:51:00 > 0:51:01It's just straightaway,
0:51:01 > 0:51:05it's one of those houses you just fall in love with like that.
0:51:05 > 0:51:08# Hey now, hey now, hey now, hey now
0:51:08 > 0:51:13# It's finger pop popping time. #
0:51:15 > 0:51:18Out the back, and this property kept on giving.
0:51:18 > 0:51:20With a stable,
0:51:20 > 0:51:22a barn,
0:51:22 > 0:51:23and even a pigsty.
0:51:25 > 0:51:29Undoubtedly a beast of a property but plenty of people were
0:51:29 > 0:51:31willing to tame it on auction day.
0:51:31 > 0:51:36It sold for £402,500.
0:51:36 > 0:51:38Nearly double the guide price.
0:51:41 > 0:51:45It was finally brought by Alistair, a health professional, who had
0:51:45 > 0:51:49been the one to spot the uninhabited house.
0:51:49 > 0:51:52It was his detective work that resulted in it being sold in
0:51:52 > 0:51:54auction on behalf of the Crown.
0:51:54 > 0:51:57Now he finally had it, he planned to turn it into
0:51:57 > 0:52:00a family home for himself to live in.
0:52:00 > 0:52:03Adding an extra two bedrooms and the loft, so turning it into
0:52:03 > 0:52:06a six-bedroomed house - planning approval dependent.
0:52:11 > 0:52:13Outside, he planned to convert the outbuildings into
0:52:13 > 0:52:16possibly another house and maybe a garage.
0:52:16 > 0:52:20But with a budget for the main house of 100,000, and a timescale of
0:52:20 > 0:52:27one year, he had no illusions of how long the entire project could take.
0:52:27 > 0:52:31It's just going to be one of those projects that will take a while.
0:52:31 > 0:52:34Some of it's going to be done faster than others and some
0:52:34 > 0:52:36of it may take a few years.
0:52:36 > 0:52:40Well, we've come back some 16 months later and on the surface,
0:52:40 > 0:52:43not a lot has changed.
0:52:43 > 0:52:47# We've only just begun
0:52:47 > 0:52:50# To live
0:52:51 > 0:52:56# White lace and promises. #
0:52:56 > 0:52:59It turns out Alistair spent a lot of time just making this
0:52:59 > 0:53:01place safe.
0:53:01 > 0:53:05We've dropped the ceilings, we found that at least three of the
0:53:05 > 0:53:09ceilings were contaminated with asbestos and had surveys done.
0:53:09 > 0:53:13So then we used asbestos removal experts to do that safely.
0:53:13 > 0:53:15Because there is vermin in the...
0:53:15 > 0:53:17had been in the property.
0:53:17 > 0:53:21We managed to ensure that all the vermin was killed off.
0:53:21 > 0:53:25On any ceilings that didn't have asbestos, we also dropped...
0:53:26 > 0:53:31We removed all the pipework and all the electrics because, again,
0:53:31 > 0:53:32they were unsafe.
0:53:32 > 0:53:35And, from that, we have found out quite a lot more about the
0:53:35 > 0:53:38property which then led us on further directions,
0:53:38 > 0:53:40helping us develop the place.
0:53:44 > 0:53:45As well as all that,
0:53:45 > 0:53:49Alistair found out that damp was rife throughout the property
0:53:49 > 0:53:52and would need major work to get it fixed.
0:53:52 > 0:53:56On a positive note, though, he has been busy outside.
0:53:56 > 0:53:58Again, making the outbuildings safe.
0:53:58 > 0:54:01As well as knocking down the old pigsty which was deemed
0:54:01 > 0:54:03structurally unsound.
0:54:05 > 0:54:07Of course, that does mean he's encroaching on his
0:54:07 > 0:54:09neighbour's property a little.
0:54:09 > 0:54:13Still, I shouldn't think it matters seeing as Alistair is the one
0:54:13 > 0:54:14that owns it.
0:54:14 > 0:54:16# Ch-ch-ch-ch-changes
0:54:16 > 0:54:19# Turn and face the strange
0:54:19 > 0:54:21# Ch-ch-ch-ch-changes. #
0:54:21 > 0:54:24Talk about being in the right place at the right time,
0:54:24 > 0:54:27back in May 2015, the two-bed semi attached to
0:54:27 > 0:54:31Alistair's original property was put up for sale at auction.
0:54:31 > 0:54:35And Alistair was lucky enough to buy it for 173,000.
0:54:40 > 0:54:41Things have changed
0:54:41 > 0:54:45with the intention of where we're going with the property.
0:54:45 > 0:54:48Mainly because we've bought the next-door property and that's
0:54:48 > 0:54:51actually reinforced the feeling that this should be a family home.
0:54:51 > 0:54:55And made it feel that we can achieve that much better.
0:54:55 > 0:54:57We've actually changed what we're doing with the barn.
0:54:57 > 0:55:00We're not actually sure what we're going to do with the barn but
0:55:00 > 0:55:03it's very unlikely that we're going to turn it into
0:55:03 > 0:55:05a separate house for a different family.
0:55:05 > 0:55:09I think it's been very challenging but we've actually developed
0:55:09 > 0:55:11some really good plans.
0:55:11 > 0:55:14We've got real good expertise that have gone into that.
0:55:14 > 0:55:18We've got a really good understanding of what the structural issues are with the house.
0:55:18 > 0:55:21We've actually had, for health and safety reasons, to do
0:55:21 > 0:55:24a lot of the preparation work already.
0:55:24 > 0:55:28And although we've found that challenging,
0:55:28 > 0:55:32we're actually very much already at the stage where once we've got the
0:55:32 > 0:55:35building regs through, it's all systems go.
0:55:36 > 0:55:39So, at the moment, the plans are to turn the two properties into
0:55:39 > 0:55:41a single, detached, five-bedroom property.
0:55:41 > 0:55:46Possibly with a sixth bedroom joined to the house via the barn outside.
0:55:47 > 0:55:50You can see from the plans here that Alistair hopes to build
0:55:50 > 0:55:55a high-end, beautifully finished family home.
0:55:55 > 0:55:59So far, he's spent around 25,000 making all the buildings safe
0:55:59 > 0:56:00inside and out.
0:56:00 > 0:56:06But his total budget has gone from 100,000 to, wait for it, £250,000.
0:56:06 > 0:56:10And his timescale has also, understandably, changed.
0:56:10 > 0:56:13It's taken him a year to get to this point and he's hoping it will
0:56:13 > 0:56:17be another 18 months to get the property ready to move into.
0:56:21 > 0:56:25So this is clearly a huge project and very exciting too.
0:56:25 > 0:56:27But Alistair could potentially be
0:56:27 > 0:56:32investing in the region of £825,000.
0:56:33 > 0:56:36So having looked at his plans and checked the site itself,
0:56:36 > 0:56:40would two local estate agents think it a wise investment?
0:56:42 > 0:56:45I have seen his future plans, they look exactly what I would
0:56:45 > 0:56:48hope somebody would do with the potential of this plot
0:56:48 > 0:56:52cos it's a lovely big plot and would make a future family home.
0:56:52 > 0:56:56The whole concept of everything that he's doing is really, really high.
0:56:56 > 0:57:00I'd be really excited to come back and see it as a completed article.
0:57:00 > 0:57:05I'll second that. It seems we're all excited to have the plans but I'd love to hear what
0:57:05 > 0:57:09they think the property Alistair plans to create will be worth.
0:57:10 > 0:57:14It would be in the region of one million to 1.2 million.
0:57:14 > 0:57:17I believe the marketing figure for this property will be
0:57:17 > 0:57:20between 1.2 to £1.3 million.
0:57:20 > 0:57:23That top figure of 1.3 million would mean
0:57:23 > 0:57:27a pre-tax profit of just under 474,000.
0:57:30 > 0:57:33We were pleasantly surprised with the sales figures.
0:57:33 > 0:57:37It was what we were hoping and believing that maybe we would
0:57:37 > 0:57:38be able to get.
0:57:38 > 0:57:41But now the difficulty is going to be achieving that.
0:57:41 > 0:57:46So we've got the plans but it now really gives us the focus to actually make sure
0:57:46 > 0:57:49we deliver to the highest standards.
0:57:50 > 0:57:53Well, I can't wait to see the finished result.
0:57:58 > 0:58:01Well, the auction action never stops. It is all year round.
0:58:01 > 0:58:04And we never stop either. There's always plenty to follow.
0:58:04 > 0:58:07Yes, so join us here next time for more Homes Under The Hammer.
0:58:07 > 0:58:09ALL: Goodbye.