Episode 2 Homes Under the Hammer

Hello, and welcome to the show.

Now, if you're entering into the world of property,

it can seem a bit of a daunting prospect.

But you know what? Just do your research,

pick a property that's right for you, and you'll be fine.

Yeah, and there's one place you might find that perfect purchase -

at your local auction.

So, what are you waiting for?

There are so many different properties up for auction,

but don't be swayed by all the choice.

You stick to your guns and get the one that you want.

Yes, there is certainly lots of choice.

So, what inspired the buyers on today's programme?

I find a solid two-bedroom semi in Chesterton, Staffordshire.

But I still haven't found the toilet as yet...

-MULTIPLE VOICES:

-Behind you!

-Sorry?

Is it curtains for this bungalow in the London Borough of Havering?

If this were a pantomime, I think this would be the villain.

Boo!

In Monmouthshire, this mid-terrace has me puzzled.

Oh, yes, it has.

What's that all about? What a strange little room that is,

long and thin.

-68...

-All these properties have been sold at auction.

We'll find out who bought them

and what they paid when they went under the hammer.

Well done, sir, madam.

Chesterton is a former mining town.

Many of the terrace houses here were built for the miners

and their families.

Apedale Colliery was where the last coal was shoed

in North Staffordshire.

Today, I'm mining for a property bargain with this next auction lot.

Set back from the road, with a little bit of front garden.

It's got two gardens, two reception rooms,

and a guide price of £70,000.

I'm going in.

Let's hope I'm not being led up the garden path at this house.

Right, we're in!

And straight into the front room here, which...

With some nice, dated wallpaper,

another old-fashioned fireplace, as well.

Nice big windows, though.

Looks like it's, er, been like this for some time.

Through into the second reception room,

and some really nice wood panelling over here.

It sort of brings the room in, a bit too dark,

so I'd get rid of that. Again, another fireplace.

Over here, you have got the kitchen, which is tiny.

We've got a pantry through there, as well.

So why not just take this wall out, create a kitchen dining space,

and a bit more space for more kitchen surfaces,

more kitchen cupboards?

And as I say that, I can see that there's polystyrene tiles in there,

and polystyrene tiles in here.

Now, got like a bit of a centrepiece...

I wonder if this is polystyrene?

And it is, this is polystyrene, as well.

Look at that!

That's all got to go! Fire hazard.

Start from scratch.

Old polystyrene tiles were not treated with fire retardant,

and gave off toxic fumes in fires.

If painted, they were even more dangerous,

so get rid of these tiles - that's my advice.

OK, upstairs to the bedrooms,

and you've got one here and one just there.

I can see there's a couple of cracks as well, just on the landing.

This whole place needs completely decorating.

These two bedrooms here have got original fireplaces in.

They both need carpeting or new flooring.

There is a...bedroom, I don't really want to call it a bedroom.

It's not big enough to be one.

Maybe a nursery or an upstairs office,

but the whole of this place just needs a bit of TLC,

a bit of time spent on it, and I think you'll have a nice,

well-configured upstairs.

But I still haven't found the toilet as yet...

-MULTIPLE VOICES:

-Behind you!

-Sorry?

In there, you say? It's a bit of a giveaway.

And here is your family bathroom.

It's not a bad size at all, it's in a bit of a bright shade of pink,

each to their own,

but what I have noticed through the whole of this house

is it's got brand-new windows.

Double-glazed windows throughout,

which will save you a bit of money in the long run.

# When it's cold outside

# I can keep you warm, yeah! #

So, out in the back garden, and it's not a bad size at all.

And as I'm looking around,

I can see that there's been a few extensions built on the back of houses,

and also garages, as well.

Because behind that fence, just there, there is a bit of a driveway,

so you could take that fencing out, build yourself a garage,

or have some off-street parking,

as at the front of the property it is quite busy.

So, you wouldn't have to tidy this place up,

but I think if you were to do that,

a bit of elbow grease, could be a really nice garden.

I might be giving this place a thumbs up,

but will the agent from the auction house who sold it agree?

You'll remember, I mentioned this area's mining history,

so those cracks - are they anything to worry about?

It might be worth, any potential purchase,

checking the mining report,

cos there is a few minor cracks within the property.

These could also just be due to long-standing movement.

Good point, and a check of the report,

which is of course available in the legal pack,

reveals that this house is not in a high-risk area,

which is good news.

Now we are satisfied that it's not going to be falling down,

what improvements would the agent make to the layout?

I think it could be beneficial for the property

to be extended to the rear.

A single-storey extension,

taking out the kitchen and the dining area.

Alternatively, the wall between the dining area and the kitchen

may be made into one. On completion of the works,

I would estimate the rental value to be within the region

of £550 per calendar month,

and the sale figure in the region of £105,000.

This is a good, solid house.

Of course, it needs some work doing. It needs a new bathroom,

it needs decorating throughout, and if it were mine,

I'd create a kitchen diner.

But apart from that, I think this is a very, very good project.

Let's see who else thought it was, when it went under the hammer.

Two bed, plus study-nursery, as you can see there.

Where would you like to start the bidding, ladies and gentlemen?

The guide is 70.

Let's say £60,000.

Thank you. Did I see 62 anywhere else?

62? I have.

64 now. Against you, with you.

66. 68.

I'm looking for 69 anywhere else.

Are we all done? Your bid at 69 I have.

Can I see 70 now?

I'll take the half. Now 70 to you.

And a half?

Have a think. And a half over here, then?

Anybody else at 70 and a half?

If not, you, sir. At £70,000, for the very first time, then.

Second time, at £70,000.

Against a couple of you, it's going to go.

Are you all done? At £70,000, third and final time...

You've got it, sir. Well done. 70,000.

Getting the property for bang on the guide price of £70,000 was Dan.

20-year-old Dan has just completed his A-levels at college,

and given how hard it is for young people to get into the market,

it's great to see someone like him start up the property ladder.

Dan, nice to meet you.

-Nice to meet you.

-Congratulations, sir!

-Thank you.

-This is your first project?

-Yeah.

-THEY LAUGH

-Excited? Nervous?

-Bit of both, really, yeah.

You're such a young lad, you're 20 years old?

-Yeah.

-What made you go into property so young?

It's probably off my dad, really.

I look at what he's done and I'm thinking,

I've got a few funds now, so I might as well start early, yeah.

One of many, hopefully, so... Yeah.

And you've wanted to do it for a while, or has your dad sort of...?

A couple of years now, so, yeah.

And now you're in it!

What are you going to do with it now you've got it?

The idea would be to do it up.

I'm looking at a timescale of about two months.

-OK.

-And after that, yeah, sell it on.

Put on the market, so, yeah.

Let's go to specifics now, what are you going to do down here?

-Well, in the kitchen area, obviously the kitchen's really small.

-Mm.

So there's like a dining room area...

So I'm going to knock the wall through,

knock that through, and, yeah, open it up a bit.

-Have like a kitchen diner, make it more, a bit modern, to be honest.

-OK, and upstairs?

You've got two big, decent-sized rooms.

You've got a small bedroom-nursery,

so we were thinking maybe swap the bathroom round, put that in,

-but we'll probably leave it as it is and have it as a nursery, to be honest.

-The whole house,

the whole house is rife with polystyrene tiles!

I know, I looked upstairs and they're on the floors!

-Everywhere, aren't they?

-Yeah.

They're going to have to come out and everything.

-Of course.

-I mean, there's a lot of things in here,

in that room especially, needs ripping out.

-Yeah.

-Are you going to get involved yourself?

Are you going to get your hands dirty? Get stuck in?

That's what I like to do, yeah. Keep costs down, so...

-DION LAUGHS

-Yeah.

Will you get any help from your pals, or your dad?

Yeah, we've got some contacts.

We've got a few guys who can obviously do a lot of this kind of stuff.

Yeah, they've got an idea, some of what to do, as well.

So yeah, get some feedback off them.

So, Dan, what practical skills have you got?

-Decorating.

-OK.

-I can paint and stuff like that.

I'm hoping to learn, though, from the people we have in,

and hopefully learn about plumbing and stuff like that, so yeah.

So all the people that you get in to help you out,

they're going to cost you a bit of money. What is your budget?

Budget...

I'm looking at about ten to 12, maybe 15 max,

but that would be the absolute max, to be honest. I don't want to go above that.

Try and keep it as strict as possible.

-OK.

-Don't pay way over the top kind of thing,

-you know what I mean.

-So you're looking to do it up, sell it,

-and buy something else?

-Yeah, obviously once I've sold this,

after a few months, I'm going to use that money

to move on to the next project, really.

So you're not standing still, pal, are you?

No! I want to move it on as soon as possible, so yeah.

-So what's your job now?

-Currently working in a cinema, like,

you could say it's an ex-graduate job, kind of thing, but...

Yeah, just working there,

pay the fuel and everything to get me round to places.

Do they know how ambitious you are?

Do they know that one of their staff's now going to get

into the property developing world, have you told them?

I did tell them, and he was like, why do you want the job?

-THEY LAUGH

-But, yeah.

-Good for you.

Where do you see yourself, or what you see yourself doing,

in ten years' time?

Hopefully by then I'll have properties I can actually rent out

rather than just keep doing them to sell on.

That's what I'm looking for, to be honest.

And then, obviously, I'm over jobs as well.

I want to try and go in, well, if I can, investment banking.

So I've still got the choice of going to uni.

Just... Yeah, try to figure out what I want to do, really!

You've got loads of time.

When I was 20 years old I was nowhere near as talented as you.

So listen, I've got to congratulate you on that.

-Thank you very much.

-And I wish you all the best.

-Cheers, mate.

-Dan, good luck.

Now there's an ambitious young man.

But is it me, or are property developers getting younger nowadays?

But he has got an eye for a property,

and as first projects go, I think he's chosen very wisely.

Dan's got a plan, but will he have the clout to sort it out?

You can find out how he gets on later in the programme.

Lucy's in Hornchurch, in the London Borough of Havering,

which has good transport links to the capital,

and you might like to know that musician Kenny Ball has lived here.

Speaking of the arts, the theatre has a very good reputation, too.

Well, this is a popular part of Hornchurch,

and no surprise, really, as it's a quiet street.

And the properties do look well-kept.

Apart from the bungalow I'm here to see,

which is somewhere behind all these trees!

Hmm, now it's got three bedrooms, it had a guide price of £250,000.

If this were a pantomime...

I think this would be the villain! Boo!

Well, the hero always turns round and confronts it when the crowd

shouts, "It's behind you!" So here goes!

Well, once you've got over everything that's going on

outside and its pebble dash exterior,

it's actually quite charming on the inside.

Lovely doors, a nice lounge there.

I mean, obviously it's decaying, it needs loads of work.

You've got a second reception room,

a tiny little kitchen through there.

And then there's this rather long corridor

with all the rooms leading off.

Although it's L-shaped, this house,

and it's got a certain amount of character,

you've got the Bakelite switches in some of the rooms.

It is tired. I mean, look.

Dusty! It's really dated, the wallpaper's peeling off.

There's cobwebs everywhere.

Some people might walk into this property and go, "Wow, I love it!"

Like I initially did.

But really, could you work with what's here?

Could you work with the footprint?

All the rooms are fairly small and I'm just not sure

it's up to today's modern way of living, really.

It's been unlived in since 2012,

so who knows what kind of structural or damp problems are lurking?

And even with the stuff you can see,

Well, it certainly doesn't have anything in the way of mod cons.

Well, I'd just like to draw your attention

to the electric situation in this bungalow.

They're really dated, as you can imagine!

But this has really made me laugh.

It's also very lovely, a little night-time light,

so when people come home from work, it feels all homely and welcoming.

But to turn it on and to plug it in, simple...

You just put the plug in. Course you do!

Look, put it in!

Up there, turn it on, and the cable goes all the way round here,

down the bottom there,

into the next room, and it feeds into the wall just through there.

Just like a little extension cable, really.

Simple! I don't think that would pass today's regulations, do you?

# Yeah, I'm so smart... #

And just in case you mistakenly thought this was vaguely acceptable,

regulations say an extension that goes outside the house

must have a protection device,

such as a residual current device fitted

at the point it plugs into the inside mains,

like those fitted to electric mowers,

which this lawn is clearly in need of,

not to mention the hedge trimmers.

But for a light bulb moment of a different kind,

you could knock it down and have a splendid-sized corner plot.

Much more appealing,

especially with that very attractive guide price of 250,000,

which is cheap in comparison for this part of Hornchurch.

So back into the sitting room and actually,

I think this is probably one of my favourite rooms,

and that's because, well, I just love that door.

It's got so much character.

But on a more negative note,

there's something that is really worrying me about this bungalow,

and in particular, up there, a massive crack.

Which could be as a result of subsidence,

and if that's been a frequent problem in this area,

a local estate agent should know.

So we called one in for his knowledge and opinion.

Could this be subsidence?

There could be subsidence,

and there is some minor subsidence issues in similar locations.

Obviously, you'd have to get someone else in to confirm that,

but it looks like there is some structural issues,

but more than not,

because of the condition in the interior, it is in such bad order,

there's a lot more interior structure problems,

I would say, then the actual foundations itself.

If someone took on the expense of renovating,

what could the bungalow then be worth?

In good condition and very high-end specification,

I would expect it to achieve in the realms of, I would say 650,

£700,000, in the current market.

So, let's be honest, this bungalow,

well, it's not all singing and dancing, is it?

But if you could get planning permission to build

something new here,

well, this auction lot could reach the right high notes.

Who was the hero ready to turn this around?

Let's head to auction and find out.

Now, moving down to a very popular lot, this lot, 189,

it's a bungalow in need of modernisation on a corner site.

You might want to knock it down or do something,

I don't know, up to you. I start your bidding on this property.

280, anywhere?

280. 285.

I've got 280, 285.

Lots of interest, and the first bid, £30,000 more than the guide price.

We rejoin the bidding

as it approaches another £100,000 increase.

380, sir?

380.

382.

382. 384, 386.

With no hint of slowing down, we rejoin the bidding again at 470,000.

470.

472.

474. 476.

476, 478.

480.

482.

Would it be easier if we went in fives, gentlemen?

482, 484.

486.

488.

Perhaps the auctioneer should have suggested £10,000 bids,

because we rejoin the bidding AGAIN as it reaches 544,000.

He's not struggling, 544.

544, 546.

550, perhaps? Do you want to round it off?

550, 552, 554.

Why are you shaking your head?

552, with the gentleman, been there all along, in the middle.

554? 553 if it helps?

I owe you that much, you being here for 100 grand or so.

553?

553. 554.

555.

556. 557.

No? Won't ask you again.

556, sitting down, 556 for the first, 556 for the second,

556 for the third and final time.

Sold, 556 to you, sir. Well done.

The top £556,000 bid came from Sam.

Sam is in the process from being a city banker to a property developer.

This will be his first venture.

Lucy met him at the property to find out how he's going to handle

the transition from shirt and tie with shiny shoes

to hard hat with steel-capped boots.

Sam, hello, congratulations!

-Thank you very much.

-This really is a beautiful spot, isn't it?

Yeah, it is, so they say. We'll find out when we finish!

You did have to pay for it though, didn't you?

Yeah. My budget was about 400,000.

THEY LAUGH

But I really wanted it, so I had to go on and on and on.

There was a lot of interest on the property.

I thought they must have done their homework as well,

so they know it was worth that amount.

So really, come to think of it,

I only paid two grand more than the last person, so...

Is that how you're getting away with it?!

More than the other person that really wanted it.

-Just two grand more.

-Just two grand more. That's the way I like to look at it!

-THEY LAUGH

-Because it was 156 grand more...

-Yeah, yeah.

-But now you're just going, it's only two grand more

than that other bloke, who you don't even know!

Well, Sam, I think we've all had times in our lives

when we've pushed the boat out

a little further than we should have, perhaps.

# There's nothing to say

# Except that I need you

# Too much. #

But Sam has realised

that the demolish-and-start-again route is the best.

So how did it all start?

I was driving past, and I saw the auction sign,

and then I went on the internet,

looked up and came to see it once.

I went to the auction, so I went for it.

Sam, talk me through what the property's going to be like,

if you get the permission?

Right, it's going to be a three-bedroom chalet-bungalow,

all the bedrooms ensuite, and a study.

We're going to have a family living area

which will overlook the garden with high roofs.

So it's going to be very beautiful.

It's going to be open-plan, kitchen as well.

So kitchen and lounge looking out to your lovely garden?

-That's correct.

-That's going to be gorgeous.

Do you think that's going to be the selling point of the property?

Oh, yes, oh, yes, oh, yes.

I mean, the roof is going to be a high roof,

open to the top, and there's going to be a balustrade

from the first floor so that you can overlook the sitting area.

It's going to be beautiful.

So it's going to have like an open void that you can look down...

-That's correct.

-..like a balcony almost within the roof space?

Within the roof space, yes, that's correct.

So that's quite exciting.

Do you love it, are you quite passionate about it?

Oh, yes, I am, I'm very happy with it.

Are you spending a lot of your time now on this property?

-That's correct!

-Rather than behind a desk?

Yeah, yeah, yeah. I've been doing a lot of research,

a lot of back and forth with the architect.

I know that trying to get it to what...

I mean,

currently, the prices,

I mean, the last bungalow I saw on the street was about 625,

and for you to be talking about 800,

you have to do something different from what is currently in existence,

so we'll try to do something different,

to be able to get the extra money.

Already, somehow, I think I paid a bit too much for it.

Well, you could say that, Sam.

He is also planning on spending another £200,000

on developing the new build

and anticipates eight weeks to get planning

and six months to build.

He'll have help from his project assistant, Femi.

It's a bold move, one that would need a supporting family.

It took me a while to convince my wife

that it was the right thing to do.

-Really?

-I don't know if she's convinced yet,

but we're doing it anyway!

You know, and she watched the auction on the internet

and as the price kept going, she was just hoping that it stopped.

And once the hammer went down, she rang me,

"I hope you're not the one that paid that much."

-Unfortunately, I am!

-That is an amazing story.

I've never actually heard somebody's wife watching live and saying,

"Please don't let that be my husband!"

That is exactly what happened!

Has she forgiven you yet?

She believes in me, and I'm sure she trusts I can see this through.

Well, I hope that if you're happy and you're having a really nice time

and you can convince her that you're going to make some money

at the end of the day, it will work out.

Sam, good luck with this project.

-Thank you very much.

-I've got my fingers and my toes crossed for you,

and I'm sure it's going to be spectacular, I can't wait to see it.

-Congratulations.

-Thank you very much.

-Thank you.

-Thank you.

So, Sam certainly paid a lot of money

for what is currently a very rundown bungalow,

and I just hope he manages

to keep more control of the build costs here,

presuming he does get planning permission, that is.

Join me later on in the programme and you can find out

how Sam's first project goes.

Coming up, the potential for extension

in Sudbrook, Monmouthshire.

The great news is you wouldn't lose too much of the garden,

because look at this.

Absolutely fantastic.

And we find out what the planners thought

of Sam's plans to rid Hornchurch

of this crumbling eyesore.

Back in Chesterton, Staffordshire, and to re-cap.

It's got two bedrooms, two reception rooms and a guide price of £70,000.

I'm going in.

One bonus in the property was new PVC double glazing,

and a fairly new central heating system.

But it wasn't all rosy, thanks to those polystyrene tiles.

Looks like it's been like this for some time.

Through into the second reception room,

and some really nice wood panelling over here.

Sort of brings the room in a bit too dark

so I'd get rid of that.

It was bought for bang-on the guide price of 70 grand

by 20-year-old cinema worker Dan,

who hoped to spend a maximum of 15 grand in renovation costs.

Are you going to get involved yourself?

Are you going to get your hands dirty? Get stuck in?

That's what I'd like to do, yeah, keep costs down!

I'm looking at a time scale of about two months.

-OK.

-And after that, yeah, sell it on.

Put it on the market so... Yeah.

We're back eight months later, hoping not to find a Desperate Dan.

Encouraged by his father's success with properties, Dan, now just 21,

has carried out his more open-plan idea,

which is more in sympathy with the new kitchen units.

The improvements continue in the lounge,

due to the removal of the fire and the fireplace.

Upstairs, too, the rooms have a much more modern feel.

Dan's on course to be the next generation developer.

# I'm not trying to cause a big sensation

# Talking 'bout my generation

# I'm just talking 'bout my generation

# Talking 'bout my generation

# My generation. #

He is a member of what's known as the Generation Y,

which in this case stands for "yeah,"

because this is a job well done.

The front garden has been tidied up,

and there's just a couple of weeks

left to finish off the back.

So what features does Dan like the most?

I've got a utility room now,

obviously where the old kitchen used to be.

Underneath the stairs,

we just decided to make use of the space,

and we fitted a new toilet,

and we think it's what people want, really.

Clearly, with the overrun,

not everything could have gone as planned.

When we first bought the house,

we never thought we'd need to rip

all the plastering off and everything,

but after looking underneath all the wallpaper,

there were a lot of cracks,

and we had to get rid of all of it,

which was a hidden expenditure really, so yeah.

The problems weren't limited to the inside of the house,

as the builders found out when tracing the source of the damp

in the chimney breast.

When we had to go up there

to replace the guttering and everything,

had to put new guttering on all the way round, the bricks just caved in.

We had to replace the chimney.

I got a phone call when I was at work,

and there was a structural problem

so I came rushing down and I was like, "What's going on?"

It was like, "Oh, the bricks are caving in."

I was like, "Oh..."

You know. And, yeah, just had to, well,

obviously get that sorted as well,

which was unfortunately another expense.

But it looks a lot better now.

It matches up with the house next door, and, yeah, looks really nice.

To solve the damp ingress,

the entire back wall had to be repointed,

and the off-road parking still has to be finished,

but the refurbishment had taken three times as long

as first forecast.

The timescale originally, it was a bit ambitious, to be honest.

Two months was, yeah...

Obviously, this is my first house, I didn't have much experience in that.

But it's taken us just over six and a half months, all told.

Which, for a first time, is not too bad and everything needed doing,

so I think, yeah, quite pleased.

So replastering inside walls and re-pointing outside at the back

must have also had an impact on the budget.

Originally, the budget was ten to 15,000,

but we've gone a bit over that.

Yeah, about the 23,000 mark now, so, yeah.

A brave-faced reaction to an almost 100% overspend.

Dan's 23 grand plus his £70,000 purchase price

takes this investment to 93 grand.

We called in two local property experts

to give us their market wisdom.

First up, the agent who saw it before the work began.

I think the overall standard of

finish of the property has been very good.

It's been fully modernised internally, but also,

attention's been paid to the property externally,

with re-pointing to the brickworks.

On the ground floor,

I would have done exactly what has been carried out.

Opening it up increases the appeal,

people are looking for kitchen-diners,

and they're looking for this open-plan feel.

However, you've got two good-sized bedrooms

and a box room that cannot be described as a bedroom

for the simple reason you cannot fit a bed in there.

However, the wall could have been moved

by 12 inches without altering any windows whatsoever.

It would have then had an instant increase in value,

because the property could have been described as three bedrooms,

and would have had a wider appeal to a much wider market.

Dan did look at using the box room

as a staircase into a loft conversion,

but decided it wasn't worth the return.

So what's Dan's 93-grand spend worth now?

We would look to place the property for sale

somewhere in the region of £125,000.

We're looking at £120,000.

We've just had it put on the market at 125,

so, I'm happy with that, yeah.

Very happy.

The potential profit of 32 grand before taxes and expenses,

which is a pretty good outcome given that overspend,

but what about if he decided to rent instead of going for the resale?

This property on the rental market should achieve

a figure of £600 per calendar month.

We would put the property for rent for £550 per calendar month.

So this looks like a successful first property,

and he's keen to sell it quickly

as he's chomping on the bit to move on to a project with his dad.

We've got this other project coming up now

and we need the capital,

and I'm going to invest all the money I've invested in this

into that one, so...

Which is shops and flats and a parcel of land

that's had planning permission, so, yeah, I'm looking forward to it.

That sounds like a big project

and Dan is making a good decision

to work alongside his dad.

Dan is one of the youngest developers

we've ever had on the show,

so with his first one under his belt,

has he got any advice for any would-be enterprising members

of his generation, assuming they can qualify for a mortgage, that is?

I think, nowadays, getting on the property ladder,

it is a lot harder for everyone.

I mean... The rate inflation's gone and everything...

..but I'd give this advice.

I mean...

Save up, all you need is a deposit, and go to these auctions,

go and buy a house that needs a little bit of work doing to it,

live in it,

do it up at the same time, and, yeah, before you know it,

you'll be on the property ladder.

This is the Bristol Channel and that is the Second Severn Crossing,

which carries the M4 motorway,

linking England over there with Wales here.

On a day like today, you stand here and look at that,

you've got to admire these big construction projects, haven't you?

However, what we're here to see is a little bit more smaller scale.

# I've seen the bridge

# And the bridge is long

# And they build it high

# And they build it strong

# Strong enough to hold

# The weight of time... #

Well, literally,

in the shadow of the bridge and sitting above

the line of the Severn Tunnel

is the village of Sudbrook,

where the property I'm here to see is located.

And this is it. It's a mid-terrace, guide price of £48,000 plus.

Well, will it be a bridge too far?

Or maybe there's light at the end of this tunnel.

Let's have a look inside and find out.

OK. So what have we got?

Well, nice high ceilings, that's a good start.

And big rooms.

Look at that front one there.

Wow!

Looks to be in... Yes, a bit of a state.

And what's that all about?

What a strange little room that is, long and thin.

And what are you going to do?

Take this wall out? Then you'd just have a very large entranceway.

Through further into the property, and, again,

a really large sort of corridor area here.

Massive living room towards the back.

This is a really surprising house, isn't it?

It's so much bigger on the inside than it seems on the outside.

You carry on going,

and eventually, you get the rear of the property here.

Kitchen area.

My guess is that this is a bit of an extension.

Loo. My guess is that is probably the only loo in the property.

But overall,

wow,

a lot of space!

This is probably because these houses were built

for the workers who constructed the Severn Tunnel,

and had to house both families

and migrant workers who were lodging here.

But it's not just the inside that has space.

Well, come out the back of the property

and the potential continues.

Yes, you see the fact that the property's in a bit of a state.

Little extension here.

But look at this space here.

Absolutely crying out for,

well, an extension to the extension.

And maybe, really think about what you might do, maybe double storey,

maybe just extend that across, I don't know.

But the great news is, you wouldn't lose too much of the garden,

because look at this.

Absolutely fantastic.

Stretching out, down there.

You've got open fields in the distance.

It's absolutely lovely.

# I'm in a wide-open space

# I'm staring

# There's something quite bizarre I cannot see... #

Another thing I spotted is the state of the roof and guttering.

They are in really bad shape, so could all do with replacing,

which would be a big cost to consider.

Time to have another look from the inside.

Well, upstairs, and the first thing you notice,

missing a few dividing walls.

That is a bit strange!

But actually, a lot of space, and I guess,

the fact that these walls are literally made of bits of wood

does give you a lot of flexibility in terms of reconfiguring this.

Yeah, no, it's good.

I mean, one thing you do notice up here, though,

is the effect which that...

..roof, or rather lack of it in certain places, has caused.

We've lost areas of the ceiling.

You can actually see daylight when you stare up into the loft there.

You don't know what kind of damage it's done to the floorboards

and the joists, so that needs to be checked out.

But a bit like downstairs...

..lots to do, but this house gives you that impression,

it's got to be worth doing.

# Baby, I'm worth it

# Uh-huh, I'm worth it

# Gimme, gimme, I'm worth it

# Give it to me, I'm worth it... #

Let's see if the agent from the auction house

who sold it agrees with me.

It's a project,

and a reasonably big project,

but it's what I call an honest house,

in that there is nothing hidden.

You can see exactly what you need to do,

and that's everything including

the roof down, but it offers great scope.

You know, it's a versatile property so you can reconfigure it

and comfortably create a nice family-sized three-bedroom house.

The agent thinks that rental wise,

this, as a three-bed, would bring in around £650 per calendar month,

but he thinks it would be

a much better prospect for the sales market.

So bearing in mind that rather attractive £48,000 plus guide,

what could it sell for?

I would anticipate, done to a good spec,

the asking price will be in the region of 150 to £155,000.

Well, in case you hadn't guessed yet, I absolutely love this house.

And for that auction guide price of £40,000 plus,

it really is just an absolute pearl of a find.

Let's see who was lucky enough to buy it

when it went under the hammer.

A lot of interest in this.

Guided at 48. Will you start me, somebody start me at £50,000?

Thank you, 50 I've got, 52, can I say? 54?

This final lot of the day had a lot of interest,

and was climbing well above its guide.

We re-joined the bidding looking for £83,000.

Third and last time then, at 80...

83,000, 83.

84? 84. 85? 85, 86?

No. At 85,000, now against you, bad luck,

you've been there nearly all the way.

At £85,000, with you, sir and madam, for the first time.

Second time. Third and last...

86. 87. 88?

Are you sure? One more?

£87,000, with you, then.

88? 87 and a half?

87 and a half, 87 and half, 88 now if you want?

88 and a half, 88 and a half, 89.

No? At 88 and a half then, with you for the first time.

Second time. Third and last time.

At £88,500...

Well done, sir and madam. Bad luck, everybody else.

The successful bidders paying £88,500 were Ann and Roger

who looked absolutely delighted.

I hope they're still happy with their purchase,

and I can't wait to find out their plans

for this rather charming house.

Roger, Ann, great to meet you both.

-Nice to meet you, too.

-Congratulations.

-Thank you.

-Tell me why you wanted to buy this house.

Erm, mainly, we saw you on the programme years ago,

and that gave us the inspiration to go to an auction...

-Oh, great!

-And I'm a builder, so that was the other connection,

and we wanted a house we could afford to live in.

-Right.

-So this one sort of ticked the...ticked the bill.

-Fantastic.

-Where do you live at the moment?

We live in Corsham in Wiltshire.

OK. So about an hour away?

About an hour away, just under an hour.

What brought you to this part of Wales?

We've been looking in Wales for a while,

we wanted to be just into Wales with good access to England as well.

So, that was it then, a place very close to the border, basically,

and why this particular house?

We just like old houses, that was the main reason.

Its character, it's an old house,

but it's bigger than your standard Welsh sort of terraced house.

Mm-hm. Now, you're a builder, you say?

-Yes.

-A general builder?

-A general builder.

So you're probably used to seeing houses in a bit of a mess.

Yeah, yeah.

So this didn't faze you? What about you, Ann?

Because when you walked through the door were you...

Yes, a bit of an eye opener!

What was it you liked about it then?

It's just got lots of character.

And I like character in it and the stairs and stuff.

Yeah. So, what are you going to do to modernise it?

Um, we're leaving the front room as it is.

This room is going to hopefully open-plan

into a small extension on the back.

-Right.

-And it's going to be a lounge-diner.

We're going to have a kitchen which is going to be extended slightly,

with a utility room behind,

and there is a downstairs loo there

so we're going keep it in the original place,

and a shower room next to it.

And then, four bedrooms upstairs with an en-suite bathroom.

The fourth bedroom, hopefully, will be in a loft conversion.

We can probably do a dormer on the back,

because there's one down the street

in this row of houses that's got one,

and hopefully skylights in the front to give us a bit more space.

-Wow.

-So have you got a big family?

Not really. There's Ann and I, plus my son, Ashley.

So, you obviously live an hour or so away at the moment,

what's the plan in terms of doing the work?

I'm going to oversee the work.

Ashley, my son, is going to do a lot of the heavy work, shall we say?

Demolition is his speciality.

Oh, is it?!

And then I'll oversee him, and it's to give him a training as well...

-Oh, great.

-..to be a builder and come in to sort of

-make it a family business.

-And he's cheap?

He's cheap. He's very cheap!

Beer and food.

Ah, you're going to have to negotiate a better deal, Ashley!

On a serious note, 19-year-old Ashley

will not just be gaining expertise,

he's going to be a real help to his dad.

Unfortunately, I've got ME...

-Oh, no.

-..which slows me down in doing jobs

and some days, I can do bits, and some days, I can't,

so hence why Ashley is here to do the work.

Right. So what's the timescale?

Six to eight months.

And that's with commuting.

You won't be living here and doing the work

or Ashley will be here sort of camped out on a bed, will he?

Yes, Ash is going to be here camped out on a bed.

-Is he?

-Yeah. Yeah.

-Once we sort of...

-Does he know yet?

We have told him.

-He's quite happy.

-Right.

Before or after the central heating's put in?

Probably after!

THEY LAUGH

So, what's the budget?

30 to 35,000.

-OK, so quite healthy?

-Yeah, it just depends what we do,

and how far we extend,

and how many skylights we put in

and whether we can put a dormer in the loft conversion.

OK.

And will you be paying Ashley?

Yeah, we'll have to, I suppose!

THEY LAUGH

Other than the beer and food, he wants some money, yes.

And what about you, Ann, are you going to be involved at all?

I'll have put my stamp on it, yes,

I'll be doing painting and decorating

and pulling down walls if I want to.

Ann's the boss, really!

-Really?

-Yes.

Cracking the whip.

-Yes, definitely.

-And giving a bit of moral support.

-Yes.

Are you going to get involved in the design and the colouring and...

Yes, we'll do it together, won't we?

Yeah, you will.

And for you, the idea of creating from, not exactly scratch,

but almost scratch, your own place, is that a big appeal?

Yes, because I've always wanted to do something like that, so...

-It's good, isn't it?

-Yes.

Really exciting. Well, listen, congratulations.

-Really lovely to meet you.

-Lovely to meet you, too.

-Can't wait to see how it turns out.

-Thank you.

Well, Roger and Ann clearly love this place

and why wouldn't you?

It will make an absolutely superb family home.

Just down to Ashley now to do the work!

No, but it's great experience for him as well.

How will it all turn out?

You can find out later in the show.

Well, after some time and effort,

our properties should be worth more money,

but it's only if you get it right.

Yes, the wheels can come off if your budget spirals out of control.

How did our two remaining buyers get on?

Let's find out.

Back to Hornchurch now in the London Borough of Havering,

in particular, the rundown bungalow that Lucy looked at earlier.

Some people might walk into this property and go,

"Oh, wow, I love it," like I initially did.

But really, could you work with what's here?

Could you work with the footprint?

All the rooms are fairly small.

I'm just not sure it's up to today's modern way of living really.

Unoccupied since 2012,

the guide price was totally eclipsed by the top bid of £556,000,

paid by former city banker Sam.

He had a philosophical approach to paying £156,000 more for the lot

than he had budgeted for.

Come to think of it, I only paid two grand

more than the last person so...

Is that how you're getting away with it?

More than the other person that really wanted it?

Just two grand more. That's the way I like to look at it.

THEY LAUGH

It was the first project for Sam's

newly-formed property development company.

Sam saw the future as demolish and start again

with plans for an open-plan, chalet bungalow

with three ensuite bedrooms.

His timescale? Eight months,

including that all-important planning phase.

To find out what became of the worst-looking property on the road,

we're back over a year later.

# I need to know now

# Know now

# Can you love me again?.. #

Well, I think if I was one of the neighbours,

the new building would certainly get my approval.

What about inside?

# I need to know now

# Know now

# Will you love me again?... #

What is there not to love?

But if you don't like it, well...

# There's nothing I can do... #

Upstairs, there is a gallery with an open seating area.

The master bedroom is also on this level,

featuring a walk-in wardrobe area

and ensuite bathroom with multicoloured bubbly bath.

Downstairs, as you enter through the front door,

bedroom two is on your right and, yes, it's ensuite.

Bedroom three on the opposite side of the front door is also ensuite.

There is a study/cloakroom/office/ bedroom four

nearer the back of the house.

And this too is near a wet room and WC.

Sam's mainly project-managed the job himself

with his assistant project manager, Femi,

when Sam couldn't be on-site.

But they have both tackled hands-on jobs as well.

The whole house has got underfloor heating which I did myself.

I watched it on the internet and it works pretty well.

I did the insulation with Femi.

I got professionals to do, like, electrics,

the plumbing and all that,

but I worked with them because I know what I want.

And what Sam wanted was a top-quality, high-spec finish,

so Jack-of-all-trades workers need not apply.

What I did, I had individual tradesmen

to do different aspects of the job.

I made sure for each job that was done,

I interviewed at least five to six different tradesmen,

and I picked the best and the most qualified to do it.

That is why I wanted to achieve the standard and quality we have.

Well, nobody could class this finish as bargain basement.

# I can't get no sleep... #

Hardly surprising,

as Sam's not rested on his laurels in other areas.

He's also bought and renovated into a six-bedroom bungalow,

a four-bedroom bungalow over the road,

and his architect spotted an opportunity

to build more property next door to this bungalow.

He said, "Sam, we have potential, we are in two properties here.

"We need to buy a bit more land to make it two properties."

Luckily, we have been able to get one of the neighbours to sell to us,

so we've put in planning for a four-bedroom detached house

and fingers crossed, if it goes through, we'll be in business.

This former banker certainly has a new interest in the developing bug.

And if the four-bedroom house just beyond the bungalow's garage

comes to fruition, this company's bank balance should be very healthy.

But I am guessing at the moment it's taken more than the £200,000 budget

to do the work here so far.

We have ended up spending about 250,000.

Now, it was between lowering the quality of work

or doing high standard,

so I had to pay the money to get it high standard.

I wanted to be proud of my work, which I am.

As they say in banking circles, credit where credit is due,

but what will two local estate agents make

of Sam's £556,000 purchase and £250,000 rebuild?

The property is in beautiful condition,

it's been finished to a very high standard.

I think anyone that saw it would love to live in here.

There's a real, fantastic open feel to the back of the property

which is where a lot of people do their entertaining nowadays,

so I really, really like the layout here.

So, has Sam's total investment of £806,000 earned a profit?

I would list the property up at £850,000.

I'd recommend putting this property on the market

for offers in excess of 800,000.

The top figure would generate, before taxes and expenses,

a profit of £44,000.

I hope to sell for something between 850 and 900.

The more, the merrier,

and considering how much I've put in and all that,

850, minimum.

But don't forget their costs

include the purchase of the neighbouring land.

I'm looking forward to the next one which is next door,

and we put in our planning permission.

So hopefully, we'll be looking at a profit of over half a million,

or about half a million, which makes it, you know, a good deal.

And who wouldn't like to take that to the bank?

Back now to the Wales-England border

and the Monmouthshire village of Sudbrook

which originated because of the Second Severn Crossing.

I looked around this sprawling mid-terrace,

bought by builder Roger and care assistant Ann for £88,500.

# The old house

# Is still standing

# Though the paint is cracked and dry... #

What's the plan in terms of doing the work?

I'm going to oversee the work,

Ashley, my son, is going to do a lot of the heavy work, shall we say.

-Right.

-Demolition is his speciality.

Oh, is it?

And then I'll oversee him,

and it's to give him a training as well...

-Oh, great.

-..to be a builder

and come in to make it a family business.

-And he's cheap?

-He's cheap, he's very cheap.

He'll also need to do a quality job

as Roger and Ann intend to make this their home.

And what about you, Ann, are you going to be involved at all?

I'll put my stamp on it, yes,

I'll be doing painting and decorating

and pulling down walls if I want to.

Ann is the boss really.

Really?

THEY LAUGH

I think you'll find there's only one boss and that's Bruce.

Anyway, back to Roger and Ann.

Back in 2014, they were living a 40-minute commute away in Wiltshire,

and it was clear to see that there would be plenty of work

for Roger's son, Ashley, to wield his sledgehammer.

Now, don't get me wrong, I'm generally a fan of open-plan living,

but not when it comes to an absence of bedroom walls.

At least that lack of demolition work upstairs

might give Ashley a chance to complete

in the ambitious six-to-eight-week timescale.

And Roger had a plan to help with Ashley's commute time.

Ashley is going to be here camped out on a bed.

-Is he?

-Yeah, yeah.

Does he know yet?

We have told him, he's quite happy.

Right, before or after the central heating is put in?

Probably after.

THEY LAUGH

One of their major plans was to extend at the back of the house

through the tired, old kitchen.

We're back to see the results two years on.

# Take me home with you... #

They've raised the downstairs floor and installed a timber one

with one level throughout.

# Take me home with you... #

Roger insulated the walls and faced them with plasterboard.

It meant losing a bit of square footage, but it was well worth it.

The remaining rooms have all undergone remarkable change.

The front room now has a simulated wood burner on the diagonal,

taking up much less space than the previous chimney breast.

And that funny, long, narrow room is now an office.

# Take me home with you... #

Further down the hall is a small utility and shower room

with WC under the stairs.

# Take me home with you... #

The master bedroom has an en-suite shower room.

At the top of the stairs is the new family bathroom,

and, at the other side of the house where there were no bedroom walls,

is Ashley's double room next to a single.

Remember that hole in the loft?

Well, it's now big enough to accommodate a staircase

into the attic room with views over the Bristol Channel.

Now to the story behind this achievement.

We moved in about nine months after starting the project.

Basically, we didn't want to keep commuting,

so we got some rooms finished and then moved in.

And then we've currently been living here

and working on it for about 15 months.

Did Ashley learn some building skills as planned?

He's done a lot of the demolition,

a lot of the labour inside for us,

and he's learnt loads since we started.

We decided we ought to pay Ashley in more than just beer,

so we did give him wages as well to help him out.

Ashley's wages were an additional budget line-item,

but were possible because Roger and Ann

recycle materials like brick from the fireplaces.

Speaking of bricks...

Yeah, I knocked that wall down, didn't I?

Yeah, we actually have a picture of Ann pushing walls over in the house.

It's lovely.

So has all this DIY saved some money?

We've done a lot of additional work

that we hadn't planned initially

so that the budget is now about £47,500.

Besides planning permission,

what were the main delays on the timescale?

We got married,

we've bought a motorhome and done lots of travelling,

so this is why the house has taken a bit longer than initially planned.

Well, that's a good reason for a delay.

And to see if it's all been worth it,

we called in two estate agents for their opinions and valuations

on the project which has had a total cost of £136,000.

First up, the agent who saw the property before work commenced.

The finish is really good,

there are certain parts of the building

that just blow you away like the kitchen open-plan

into the dining area,

and the doors out onto the garden.

The extra bedroom in the loft is a great addition

and will appeal to families.

The standard of the finish of the property is that they have

actually done this property to live in rather than sell on,

so they've done it incredibly well.

But should they decide to sell, what is the state of the market?

The market has certainly improved since we were last here.

Activity levels have increased,

prices have increased, and it's all good news, really.

But is the good news enough for Bob and Ann to make a profit

on their £136,000 investment?

On the current market, this property could list for, and achieve,

in the region of £215,000 to £220,000.

I would expect it to go on the market for about £220,000

with scope to negotiate down to maybe about £215,000.

That is a potential profit of £84,000 minus taxes and fees.

Interesting, but this is Roger and Ann's home, so they wouldn't sell...

would they?

We had decided to live in it ourselves,

but we actually came across another project very close to here

that was too good an opportunity to miss,

so we've actually sold the property,

and hope to be moving in the next couple of months.

By the sound of things, Ashley has another big job ahead of him.

Good luck, Ashley.

We'll have plenty more property auction stories next time,

some with happy endings and some with not so.

Well, make sure you join us whatever,

here on Homes Under The Hammer.

-Goodbye.

-Bye for now.