Episode 21

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0:00:03 > 0:00:04Hello and welcome to the show.

0:00:04 > 0:00:06Now, when it comes to investing in property,

0:00:06 > 0:00:08one of the best ways to get a grip on things

0:00:08 > 0:00:10is to look at the local housing market.

0:00:10 > 0:00:12Yes, if you do a bit of research

0:00:12 > 0:00:14it can give you a bit of an advantage in the property game.

0:00:14 > 0:00:17And when you've got that homework under your belt,

0:00:17 > 0:00:18why not take that knowledge to auction

0:00:18 > 0:00:20and find out what's on offer?

0:00:46 > 0:00:49In many ways, a property project's like a relationship,

0:00:49 > 0:00:52you need to put in a lot of quality time

0:00:52 > 0:00:54and there are a few compromises along the way.

0:00:54 > 0:00:57Yeah, let's hope that none of today's stories ended in divorce.

0:00:57 > 0:01:00Here are the properties that we're featuring on today's show.

0:01:02 > 0:01:04I am at a grand old house in Kidderminster,

0:01:04 > 0:01:07with some not-so mod cons.

0:01:07 > 0:01:10This is a new sandwich toaster.

0:01:10 > 0:01:11Definitely not.

0:01:11 > 0:01:14This London flat might be quite small,

0:01:14 > 0:01:16but I still find some hidden extras.

0:01:16 > 0:01:17As I said, we're in London,

0:01:17 > 0:01:20so this could almost count as a second bedroom!

0:01:22 > 0:01:24While I find a free trampoline in a house in Stoke,

0:01:24 > 0:01:27but it's not all it's cracked up to be.

0:01:27 > 0:01:29Oh, my word!

0:01:33 > 0:01:36All these properties have been sold at auction and we'll find out

0:01:36 > 0:01:39who bought them and what they went for when they went under the hammer.

0:01:40 > 0:01:42Yours, sir.

0:01:45 > 0:01:47DION: We head now to Kidderminster in Worcestershire.

0:01:49 > 0:01:52A large, picturesque town with a very busy high street,

0:01:52 > 0:01:56it lies just 17 miles south-west of its neighbouring Birmingham

0:01:56 > 0:01:58and 15 miles north of Worcester.

0:01:59 > 0:02:03Just a ten-minute walk from the city centre and just off the main road

0:02:03 > 0:02:05is the house I am here to see.

0:02:05 > 0:02:08And here it is. And it looks very nice, too.

0:02:08 > 0:02:15It's a four-bed, detached property with a guide price of ?250,000.

0:02:15 > 0:02:17It does look nice from the outside.

0:02:18 > 0:02:19I'm going in.

0:02:19 > 0:02:23# Why does it always rain on me?

0:02:23 > 0:02:26# Is it because I lied... #

0:02:26 > 0:02:29OK, we're into a small porchway area,

0:02:29 > 0:02:33one step up into a decent-sized sort of hallway

0:02:33 > 0:02:37and as soon as you walk in, you've got this feeling of 1930s,

0:02:37 > 0:02:40cos you've got panelled walls...

0:02:41 > 0:02:43Same there on the banister.

0:02:43 > 0:02:46Bakelite light switches as well.

0:02:46 > 0:02:50Really old-fashioned, definitely a '30s feel.

0:02:50 > 0:02:52Textured wallpaper.

0:02:52 > 0:02:54You do have central heating, though, that is a bonus.

0:02:54 > 0:02:58The first reception room is a decent size with a nice big window.

0:02:58 > 0:03:02It's the decor from a long time ago.

0:03:02 > 0:03:05Nice, big lounge there or looks like a nice lounge,

0:03:05 > 0:03:07I'll have to go back and explore that a little bit later,

0:03:07 > 0:03:12and then into the kitchen, which is a decent size.

0:03:12 > 0:03:15All the original cupboards, still there.

0:03:15 > 0:03:18They would have been there from the time this house was built,

0:03:18 > 0:03:22they've even got a little bit of wallpaper on the ceiling as well.

0:03:22 > 0:03:26That's a strange one. Those tiles would have to come down, definitely.

0:03:26 > 0:03:28But there's enough space in here, if it's your choice,

0:03:28 > 0:03:32to start afresh and start brand-new.

0:03:32 > 0:03:36And look at this. This is a new sandwich toaster.

0:03:36 > 0:03:38Definitely not.

0:03:38 > 0:03:41This is a range cooker that would have been here

0:03:41 > 0:03:43from the very, very beginning.

0:03:43 > 0:03:46Maybe it was even used to heat part of the house as well.

0:03:48 > 0:03:52And you've also got a large pantry there with lots of shelving

0:03:52 > 0:03:55and a door off to the garage as well.

0:03:55 > 0:03:59So, there's so much space, so much scope.

0:03:59 > 0:04:01I'm looking through that big window right now

0:04:01 > 0:04:03and I can see a huge back garden.

0:04:03 > 0:04:06I'll explore that a little bit later as well.

0:04:06 > 0:04:07That lounge first.

0:04:10 > 0:04:13OK, through into the lounge and it's a good-sized lounge.

0:04:13 > 0:04:16It goes from the front of the house to the back of the house.

0:04:16 > 0:04:19And it's loaded with period features.

0:04:19 > 0:04:23You've got portal windows, round, stained-glass windows just there.

0:04:23 > 0:04:28This old, really sort of psychedelic carpet runs through

0:04:28 > 0:04:30all the way into the lounge.

0:04:30 > 0:04:33And here, you've got some steel-framed glass doors

0:04:33 > 0:04:36and windows, definitely an original feature.

0:04:36 > 0:04:41I'd like some big bi-folding doors straight on to the back garden.

0:04:41 > 0:04:45Now, sometimes in houses of this period,

0:04:45 > 0:04:49carpets can actually hide a very nice flooring

0:04:49 > 0:04:51and I'm hoping this is going to be no exception.

0:04:51 > 0:04:53Let's have a little look down here...

0:04:55 > 0:04:59..and see. And as you can see,

0:04:59 > 0:05:02this is the original parquet flooring.

0:05:02 > 0:05:07If can you imagine giving this a bit of a clean-up, get it shined,

0:05:07 > 0:05:12get it polished up, this may run all the way through to the front door.

0:05:12 > 0:05:14This carpet will definitely be coming up.

0:05:14 > 0:05:19# I'm the type that they classify

0:05:19 > 0:05:24# As quaint

0:05:25 > 0:05:29# I'm old-fashioned... #

0:05:31 > 0:05:35Upstairs, the four bedrooms are all huge.

0:05:35 > 0:05:38This bedroom has an odd little alcove with a cute window.

0:05:41 > 0:05:44I think there's room for at least one ensuite up here.

0:05:47 > 0:05:50The big let-down is that rather odd combo,

0:05:50 > 0:05:53a separate toilet with no sink, and a sink and a bath.

0:05:53 > 0:05:57I've never understood that. It needs to be sorted.

0:05:59 > 0:06:03There's an attic that needs more work, but that does mean more space.

0:06:05 > 0:06:09This property may be dated but these houses were built to last.

0:06:09 > 0:06:12But that doesn't mean that's the end of the construction here.

0:06:14 > 0:06:18So, out into the back garden, and it's a huge back garden,

0:06:18 > 0:06:21it's absolutely massive!

0:06:21 > 0:06:24And the potential out here is...

0:06:24 > 0:06:26You can do whatever you want, you could lawn it,

0:06:26 > 0:06:29put some lovely flowers up, anything you want.

0:06:29 > 0:06:32And with a garden this size, there's always potential

0:06:32 > 0:06:36to extend on the back of the house, and this is no exception.

0:06:36 > 0:06:39It could be a single or a double extension.

0:06:39 > 0:06:42And still have yourself loads of space out the back

0:06:42 > 0:06:45for your trampoline,

0:06:45 > 0:06:48your swimming pool and your golf course!

0:06:49 > 0:06:52Slightly over the top, but you know what I mean, the potential's huge.

0:06:54 > 0:06:56OK, it might be more pitch and putt

0:06:56 > 0:06:59but I think this house, guided at ?250,000,

0:06:59 > 0:07:03is a birdie opportunity when it comes to potential.

0:07:03 > 0:07:05I'm hoping a local estate agent will agree.

0:07:07 > 0:07:10My first impression of the property, it's very impressive.

0:07:10 > 0:07:13It's a nice and big property, it's got a good frontage.

0:07:13 > 0:07:17If this was my property, I would add a single-storey extension,

0:07:17 > 0:07:21open up the kitchen into a kitchen diner to add more living space.

0:07:21 > 0:07:25So, what could the house be worth with that single-storey extension?

0:07:25 > 0:07:27Once renovated, I believe this property could achieve

0:07:27 > 0:07:32in the region of ?330-350,000.

0:07:32 > 0:07:35What about my double-storey extension idea?

0:07:35 > 0:07:38Once renovated and extended to two more bedrooms upstairs,

0:07:38 > 0:07:40I believe this property could achieve

0:07:40 > 0:07:43anywhere between ?380-400,000.

0:07:44 > 0:07:48This is a decent-sized house with a huge back garden.

0:07:48 > 0:07:51But one thing I will say, you'll need a significant budget

0:07:51 > 0:07:53to get all the work done.

0:07:53 > 0:07:55And that's before you even start thinking about

0:07:55 > 0:07:57any kind of extension.

0:07:57 > 0:08:00But the potential for this house is huge.

0:08:00 > 0:08:02Let's see how it got on when it went under the hammer.

0:08:04 > 0:08:09On the day, the guide price was increased to 250-275 grand

0:08:09 > 0:08:11but the auctioneer had to start lower.

0:08:11 > 0:08:14At 230,000 to get us started,

0:08:14 > 0:08:15who will bid me?

0:08:15 > 0:08:17At 230,000, I'm bid.

0:08:17 > 0:08:18240, thank you, sir.

0:08:18 > 0:08:21At 240, at 240 I'm bid.

0:08:22 > 0:08:24After a slow start, the bidding begins.

0:08:25 > 0:08:28We rejoin at ?265,000.

0:08:30 > 0:08:32At 265 and thank you. 270, sir?

0:08:33 > 0:08:35270, thank you.

0:08:35 > 0:08:38275? 275? Thank you.

0:08:38 > 0:08:40At 275, 280?

0:08:40 > 0:08:43You will need to make your mind up, sir.

0:08:43 > 0:08:46At ?275,000...

0:08:46 > 0:08:48On sale, are we all done?

0:08:50 > 0:08:52Congratulations.

0:08:52 > 0:08:55The successful bidders who paid 275 grand for the house

0:08:55 > 0:08:57were Kevin and his partner, Jane.

0:08:59 > 0:09:03Kevin is a local lad who runs a kitchen design company.

0:09:03 > 0:09:05Kevin has designed just about everything

0:09:05 > 0:09:06when it comes to making a home,

0:09:06 > 0:09:09from furnishings to kitchens and bathrooms.

0:09:09 > 0:09:12In the last five years, he's got into construction.

0:09:12 > 0:09:16And I'm not "lion" when I say that could be useful here!

0:09:16 > 0:09:19Hey, don't be knockin' my joke!

0:09:19 > 0:09:21Kevin, nice to meet you. Nice to meet you.

0:09:21 > 0:09:22And congratulations. Thank you.

0:09:22 > 0:09:26I love this house. What attracted you to it?

0:09:26 > 0:09:29Well, I passed it for many years because I actually live

0:09:29 > 0:09:31quite local to here and it's always stood out

0:09:31 > 0:09:33because the property's been empty for quite some time.

0:09:33 > 0:09:35It's a big house, isn't it? It is.

0:09:35 > 0:09:38And lots of potential to do stuff with it,

0:09:38 > 0:09:41so I couldn't believe my luck when I drove past and saw the board go up.

0:09:42 > 0:09:44Well, you know what they say,

0:09:44 > 0:09:46the harder you work, the luckier you get.

0:09:46 > 0:09:49Kevin is going to live here with his teenage son, Aaron.

0:09:50 > 0:09:52This is actually also a business deal.

0:09:52 > 0:09:55He's bought it with business partners, including Jane.

0:09:56 > 0:09:58And he'll be the one renting it,

0:09:58 > 0:10:00so there'll be a return on their investment.

0:10:02 > 0:10:04Well, now it's yours, what are your plans?

0:10:04 > 0:10:06Well, it needs a complete refurbishment,

0:10:06 > 0:10:08as you've probably seen walking around,

0:10:08 > 0:10:13and you know, there's a new heating system, electrics need to be done.

0:10:13 > 0:10:16Basically update it but also going to try

0:10:16 > 0:10:19and keep the original features in the house and what have you,

0:10:19 > 0:10:22because it's a beautiful building from outside,

0:10:22 > 0:10:23even though it is quite big.

0:10:23 > 0:10:27I think the restrictions are really where the kitchen is and so on,

0:10:27 > 0:10:32so there are plans for an extension, which we're pursuing at the moment.

0:10:32 > 0:10:36OK. And obviously, subject to the answers that we get from that,

0:10:36 > 0:10:39we may also be extending as well as doing the refurbishment.

0:10:39 > 0:10:43The plan is to put a dormer on the side, which will create two en-suites

0:10:43 > 0:10:47to the main bedrooms and the kitchen because, you know, obviously...

0:10:47 > 0:10:49Because you can! Yeah, I can.

0:10:49 > 0:10:51And I've got the opportunity to hopefully do

0:10:51 > 0:10:53quite a nice kitchen for myself.

0:10:53 > 0:10:56It's something I've dreamed of for quite some time

0:10:56 > 0:10:58and that's what I'm planning to do here.

0:10:58 > 0:11:00Just in a little bit more detail, upstairs,

0:11:00 > 0:11:02how are you going to change the configuration?

0:11:02 > 0:11:03Are you going to change the configuration?

0:11:03 > 0:11:06The four bedrooms, pretty much the same.

0:11:06 > 0:11:09Where the toilet and bathroom is,

0:11:09 > 0:11:12those will be knocked into one and actually made a little bit bigger

0:11:12 > 0:11:15by going into the back bedroom, but of course, this is all subject to

0:11:15 > 0:11:17whether we get the planning permission to go out,

0:11:17 > 0:11:20which would then give us an additional bedroom... Of course.

0:11:20 > 0:11:22..larger bathroom and then two en-suites.

0:11:22 > 0:11:25What about down here? Give us a little bit more detail on down here.

0:11:25 > 0:11:27What are you going to change, if anything?

0:11:27 > 0:11:31The layout down here, the main rooms, like the front room there,

0:11:31 > 0:11:34that'll probably end up being a study, office type area.

0:11:34 > 0:11:39In here will be the main sitting room, but the extension, subject to,

0:11:39 > 0:11:44yeah, will be quite a big kitchen with central island, probably.

0:11:44 > 0:11:47And then going into a garden room, because, you know,

0:11:47 > 0:11:50it's a big garden.

0:11:50 > 0:11:53And I want to be able to enjoy it and also, I can afford to pinch

0:11:53 > 0:11:55some of the space of it, to put the extension up,

0:11:55 > 0:11:57because the garden's still big enough.

0:11:57 > 0:11:59How much will it cost you?

0:11:59 > 0:12:03Taking into account, we know we went to the top end...

0:12:03 > 0:12:05Yeah. ..of this property.

0:12:06 > 0:12:10So, we're going to try and do it for ?70,000.

0:12:10 > 0:12:14For what Kevin has planned, 70 grand does feel a little bit tight,

0:12:14 > 0:12:17but he's in the property development industry

0:12:17 > 0:12:20and plans to call in some favours and keep the costs down.

0:12:20 > 0:12:24He'll also use his own workforce to get the job done,

0:12:24 > 0:12:26but they'll be doing it in between jobs

0:12:26 > 0:12:28he's got planned for them elsewhere.

0:12:28 > 0:12:31Whilst he thinks the work should take around two to three months,

0:12:31 > 0:12:33he's given himself six months to get the job done.

0:12:35 > 0:12:38Tell us about that huge back garden.

0:12:38 > 0:12:41Erm... Hmm. HE LAUGHS

0:12:41 > 0:12:44Gardens aren't really my forte, you know. OK!

0:12:44 > 0:12:47I'm sure you've got somebody. I have. You know.

0:12:47 > 0:12:51My partner, as in my girlfriend, she's very, very good at landscaping

0:12:51 > 0:12:54and that sort of thing, so she's going to be taking that on

0:12:54 > 0:12:56as a bit of a project. You've got yourself a really nice...

0:12:56 > 0:12:59I'm really looking forward to it. ..potential family home.

0:12:59 > 0:13:01Good luck. Yeah. Wish you all the best, Kevin.

0:13:01 > 0:13:03Nice talking to you. Thank you.

0:13:03 > 0:13:04So, Kevin, just by chance,

0:13:04 > 0:13:08has found his new family home, and what a find it is!

0:13:08 > 0:13:11There's a lot of work that needs to be done here,

0:13:11 > 0:13:13especially if he wants to give it that modern feel.

0:13:13 > 0:13:17Now, I'm not sure it matters too much if he gets that planning,

0:13:17 > 0:13:20because I think, potentially, he's got an amazing family home.

0:13:20 > 0:13:23You can find out how he gets on later in the programme.

0:13:26 > 0:13:29MARTEL: This is Wembley in north-west London.

0:13:29 > 0:13:31The stadium may be the prime landmark here,

0:13:31 > 0:13:36but the 1923 version was demolished in 2003,

0:13:36 > 0:13:39being replaced by this newly-built one in 2007.

0:13:41 > 0:13:42And talking of building,

0:13:42 > 0:13:46Wembley is currently undergoing a massive regeneration.

0:13:46 > 0:13:50It sounds like a good time and place to invest in property here.

0:13:52 > 0:13:56This street is in north Wembley and it's just a three-minute walk

0:13:56 > 0:13:59from the tube station, so it's really convenient.

0:13:59 > 0:14:02The property I'm here to see, it's in this block here.

0:14:02 > 0:14:04It's a ground floor, one-bedroom flat,

0:14:04 > 0:14:06with a guide price of ?200,000,

0:14:06 > 0:14:10so let's find out what you get for your money.

0:14:10 > 0:14:12Firstly, I can tell you, for that price,

0:14:12 > 0:14:14you do get an allocated parking space.

0:14:14 > 0:14:17# Football's coming home, it's coming... #

0:14:17 > 0:14:19That's 1-0 so far!

0:14:19 > 0:14:23Into the communal area, it's dry, it's warm.

0:14:23 > 0:14:25It's a wee bit dated.

0:14:25 > 0:14:28I happen to know that the service charge per annum here

0:14:28 > 0:14:29is around ?800.

0:14:29 > 0:14:32You always want to check what that service charge is,

0:14:32 > 0:14:34particularly in London,

0:14:34 > 0:14:37where you usually are charged something for communal flats.

0:14:37 > 0:14:40So, you might want to see if this is going to be updated

0:14:40 > 0:14:43for the money you're paying. I like the notice board.

0:14:43 > 0:14:45London's great, it's lively,

0:14:45 > 0:14:48but many people come here alone, starting afresh.

0:14:48 > 0:14:50You know, it's a good way to make friends.

0:14:50 > 0:14:54Ask if anyone plays tennis or wants to come around for a glass of wine.

0:14:54 > 0:14:56And through to the door.

0:14:56 > 0:14:57All looks in order.

0:14:59 > 0:15:02In I come and...OK,

0:15:02 > 0:15:04the first thing that often hits me is the smell of a place.

0:15:04 > 0:15:08On the plus side, this smells great. There is no obvious smell of damp.

0:15:09 > 0:15:11You have a bedroom here which is a good size.

0:15:11 > 0:15:13You might not think that everywhere,

0:15:13 > 0:15:17but in London, you accept that bit smaller room.

0:15:17 > 0:15:19And through an archway.

0:15:21 > 0:15:23Everything seems pretty solid.

0:15:23 > 0:15:24Good nick, I'd say.

0:15:24 > 0:15:27Bathroom, a bit dirty, a bit murky.

0:15:27 > 0:15:30Needs a lot of love. Needs sprucing up.

0:15:30 > 0:15:32You might want to take the bathroom out.

0:15:32 > 0:15:34Especially if you're thinking of selling.

0:15:34 > 0:15:40It's a bit of an expense, but London buyers do want a high-end finish.

0:15:41 > 0:15:43And into your living area. I like it.

0:15:43 > 0:15:45Really, really well proportioned,

0:15:45 > 0:15:47which I expected in a block like this.

0:15:47 > 0:15:51And look at this! OK, as I said, we're in London,

0:15:51 > 0:15:54so this could almost count as a second bedroom!

0:15:55 > 0:15:58# Your glass half empty, glass half full

0:15:58 > 0:16:01# I'd say you've got some catching up to do... #

0:16:01 > 0:16:04I'm definitely a glass half-full kind of person,

0:16:04 > 0:16:07but the glass here is only single glazed,

0:16:07 > 0:16:09which isn't very energy efficient.

0:16:09 > 0:16:12However, changing it may require the permission of the freeholder.

0:16:12 > 0:16:17The lease has 125 years left, by the way, which is good news.

0:16:18 > 0:16:21You've got kind of semi-open plan living,

0:16:21 > 0:16:23where you could be cooking your tea.

0:16:23 > 0:16:25Pop out, say hello.

0:16:25 > 0:16:27The kitchen could do with updating.

0:16:27 > 0:16:30That said, these units are completely serviceable.

0:16:30 > 0:16:33It really depends if you're planning on renting or selling.

0:16:33 > 0:16:35If you're selling, it may be worthwhile

0:16:35 > 0:16:37just spending a bit of money,

0:16:37 > 0:16:39getting the wow factor, a brand-new kitchen.

0:16:39 > 0:16:42Or, I guess, you could just replace the worktops.

0:16:42 > 0:16:44Hmm.

0:16:44 > 0:16:49Lots that could be done to really create that wow factor.

0:16:49 > 0:16:52But the place is in pretty good condition.

0:16:52 > 0:16:56The only other concerns for me are these electric storage heaters,

0:16:56 > 0:16:58which look like they could do with an upgrade.

0:16:58 > 0:17:01There isn't a gas supply to these flats,

0:17:01 > 0:17:04but there are electrical alternatives out there.

0:17:04 > 0:17:06Speaking of which, where is the boiler?

0:17:08 > 0:17:09I wonder what's...

0:17:09 > 0:17:13Ah! Hello. So, in here, we've got a boiler and a water tank,

0:17:13 > 0:17:14pretty unnecessary.

0:17:14 > 0:17:16Could be replaced with a combi boiler.

0:17:16 > 0:17:20It takes up a lot less room, and when you're in a small flat

0:17:20 > 0:17:22with limited storage, that really is key.

0:17:22 > 0:17:25Actually, you could even move that combi boiler to the kitchen,

0:17:25 > 0:17:27freeing up an entire cupboard.

0:17:27 > 0:17:28I like it!

0:17:30 > 0:17:33It's a great wee flat, but will the experts agree?

0:17:34 > 0:17:36Let's see what a local estate agent

0:17:36 > 0:17:40made of this ground floor flat, guided at ?200,000.

0:17:41 > 0:17:44The building itself was built in the 1980s, approximately.

0:17:44 > 0:17:46It's pretty dated.

0:17:46 > 0:17:48However, over the next few years,

0:17:48 > 0:17:50we do expect that they'll be putting in new double glazing

0:17:50 > 0:17:52in the building to improve the area.

0:17:52 > 0:17:54New windows should add a bit of value,

0:17:54 > 0:17:57but of course, it means that any buyer should factor in

0:17:57 > 0:18:00the possibility they'll also have to find money

0:18:00 > 0:18:02to pay for the window replacement.

0:18:02 > 0:18:04So, assuming that for the moment,

0:18:04 > 0:18:06if you replace the kitchen and bathroom,

0:18:06 > 0:18:09could the flat be a top-drawer investment,

0:18:09 > 0:18:13bearing in mind that 200 grand guide price?

0:18:13 > 0:18:15I would expect the property to sell

0:18:15 > 0:18:17for something in the region of ?270,000.

0:18:17 > 0:18:19And for rental, we'd expect something in the region of

0:18:19 > 0:18:21?1,100 per calendar month.

0:18:21 > 0:18:25This is a great flat that doesn't need too much work done to it.

0:18:25 > 0:18:27And the area it's in,

0:18:27 > 0:18:31well, there's plenty of demand both in the rental and the buying market.

0:18:31 > 0:18:34If you can get it anywhere near that guide price,

0:18:34 > 0:18:36it could be really good value for money.

0:18:36 > 0:18:39Let's find out who agreed when it went under the hammer.

0:18:39 > 0:18:41This ground-floor flat...

0:18:41 > 0:18:43It was late in the day when this lot came up.

0:18:43 > 0:18:45Who wants to get me started on this?

0:18:45 > 0:18:46200 anywhere?

0:18:48 > 0:18:50If not, you tell me, looking for 200.

0:18:52 > 0:18:54190, I'll try and help.

0:18:54 > 0:18:56Thank you, 190 I've got.

0:18:56 > 0:18:58192 anywhere?

0:18:58 > 0:19:00Thank you, 192 I've got.

0:19:00 > 0:19:02194?

0:19:02 > 0:19:04Yeah, 194. 196?

0:19:04 > 0:19:07Yes, 196. 198...

0:19:07 > 0:19:09200,000.

0:19:09 > 0:19:12202, 204.

0:19:12 > 0:19:13No? Have a think.

0:19:13 > 0:19:15It's with you, sir, standing up, on my left.

0:19:15 > 0:19:19Anybody else? 2-0-how much?

0:19:19 > 0:19:21OK, 204.

0:19:21 > 0:19:23206, yeah? 206.

0:19:23 > 0:19:24208.

0:19:26 > 0:19:27208.

0:19:27 > 0:19:30210, yeah? 210. 212.

0:19:31 > 0:19:33OK, it's with you, sir.

0:19:33 > 0:19:36Anybody else? If not, 210 for the first.

0:19:36 > 0:19:38210 for the second.

0:19:38 > 0:19:40210 for the third and final time.

0:19:40 > 0:19:42All done?

0:19:42 > 0:19:43Sold, 210, well done.

0:19:43 > 0:19:46The final bid of ?210,000 came from

0:19:46 > 0:19:49professional property developer Scott.

0:19:49 > 0:19:52I caught up with him on a rather foggy day

0:19:52 > 0:19:56to hear all about his plans for the flat.

0:19:56 > 0:19:57Hi, Scott. Hello, there.

0:19:57 > 0:20:00Congratulations. Thank you very much. Why this one?

0:20:00 > 0:20:03The location. The location was great.

0:20:03 > 0:20:06It's only five minutes away from Wembley.

0:20:06 > 0:20:08Two minutes away from a train station.

0:20:08 > 0:20:11The value of the area is still actually going up and up.

0:20:11 > 0:20:13And the price was right, more importantly.

0:20:13 > 0:20:16I think it's a cracking buy, and it doesn't need much doing.

0:20:16 > 0:20:18No. But it does need some things doing.

0:20:18 > 0:20:20Yes. What's your plan?

0:20:20 > 0:20:26Erm, because I'm looking to sell it to a couple or young first buyers,

0:20:26 > 0:20:29sort of things, and I want it to be quite trendy.

0:20:29 > 0:20:32So, a nice grade flooring.

0:20:32 > 0:20:33Nice, I can picture it.

0:20:33 > 0:20:37Yeah. Yeah. And the bathroom needs some work.

0:20:37 > 0:20:40It's got no soul to it, it literally needs a bit of oomph.

0:20:40 > 0:20:44And the kitchen... The kitchen is great, but it's missing some parts,

0:20:44 > 0:20:47so I'm looking to put some integrated appliances in there.

0:20:47 > 0:20:51Not a brand-new kitchen, you want to keep the wooden units,

0:20:51 > 0:20:53which I suppose will look new enough,

0:20:53 > 0:20:55but, what, put in a new surface?

0:20:55 > 0:20:59Yeah, I'm going to put some worktops on, change the worktops, erm,

0:20:59 > 0:21:03change, probably, the colour of the tiles in there as well.

0:21:03 > 0:21:06Well, you know it's a buy that doesn't need too much done...

0:21:06 > 0:21:08I know. ..when your main focus is

0:21:08 > 0:21:10what colour am I going to change the tiles to?

0:21:10 > 0:21:13You could be talking about damp and mould and all sorts,

0:21:13 > 0:21:14but you don't have that here. No.

0:21:14 > 0:21:17It has a nice feeling of well-proportioned rooms, too.

0:21:17 > 0:21:20Everything is this kind of magnolia colour, are you going to keep it?

0:21:20 > 0:21:21No.

0:21:21 > 0:21:23I'm going to change the walls,

0:21:23 > 0:21:25probably because I'm going to put a grey floor down,

0:21:25 > 0:21:27I think I'm going to change the walls to a white.

0:21:27 > 0:21:32And maybe change the skirting boards and the dado rail to a different,

0:21:32 > 0:21:34probably a lighter grey or something.

0:21:34 > 0:21:38Scott has his ideas worked out and has a budget of five grand.

0:21:38 > 0:21:42Although this is a small flat, he needs to replace the boiler,

0:21:42 > 0:21:46sort the bathroom, and install a new heating system.

0:21:46 > 0:21:48He's hoping it'll be done in just four weeks.

0:21:48 > 0:21:51So, will he be rolling up his sleeves?

0:21:51 > 0:21:54I will delegate most of the work.

0:21:54 > 0:21:56I will look for my next property,

0:21:56 > 0:21:59I will choose all what needs to be done, but I have some builders

0:21:59 > 0:22:03that can come in and actually do a lot better job than I can.

0:22:03 > 0:22:05So, you've got people you know and trust. Correct.

0:22:06 > 0:22:10Property is a bit of a gear change for Scott.

0:22:10 > 0:22:12I used to be in the car industry for 20 years,

0:22:12 > 0:22:14gave that up about a year ago to go full-time into this.

0:22:14 > 0:22:17Great, so, what did you do in the car industry?

0:22:17 > 0:22:21I worked for main dealers as a general sales manager.

0:22:21 > 0:22:25And in the process of that, I was dabbling in properties.

0:22:25 > 0:22:28So, I decided to... Because this is a passion of mine,

0:22:28 > 0:22:30so this is something I decided to do full-time,

0:22:30 > 0:22:33and this is what I've been doing for the last year.

0:22:33 > 0:22:36And have you been profitable... Yes. ..in your ventures?

0:22:36 > 0:22:38Yes. From the off?

0:22:38 > 0:22:42Very first property I bought, many, many, many years ago, I lost.

0:22:42 > 0:22:45But after that, I've actually made money on each one of them.

0:22:45 > 0:22:48I bet you learnt an awful lot from losing that time.

0:22:48 > 0:22:51Yes, yes. For this one, did you do your research?

0:22:51 > 0:22:53Is that part of the learning process?

0:22:53 > 0:22:55You wouldn't buy something at auction

0:22:55 > 0:22:57unless you knew exactly what you were getting.

0:22:57 > 0:22:58I knew 100% about this property.

0:22:58 > 0:23:01There were three properties I was actually interested in,

0:23:01 > 0:23:02I went and viewed all three of them.

0:23:02 > 0:23:05I read through the legal packs and everything else.

0:23:05 > 0:23:08And I didn't mind which one of the three I bought,

0:23:08 > 0:23:10because each one of them was very, very good.

0:23:10 > 0:23:14Yeah. And luckily enough, I got this one.

0:23:14 > 0:23:16As long as you set yourself a target of how much you want to go,

0:23:16 > 0:23:19and you stick by that, then you're absolutely fine.

0:23:19 > 0:23:21Now, tell me, do you ever wake up and regret

0:23:21 > 0:23:23giving up your job as a car salesman?

0:23:23 > 0:23:25No. No. No, no.

0:23:25 > 0:23:30I mean, I missed the cars, because I love cars as well.

0:23:30 > 0:23:33But, erm, this takes up so much of my time,

0:23:33 > 0:23:35you don't get much time to think about it.

0:23:35 > 0:23:39So many people would like to do what you've done - give up a job that,

0:23:39 > 0:23:41you know, they might like but don't love,

0:23:41 > 0:23:43and just work for themselves developing property.

0:23:43 > 0:23:46It's something that I feel that if you can do it,

0:23:46 > 0:23:48if you've got the will to do it, you can do it.

0:23:48 > 0:23:50It's just actually having a structured plan.

0:23:50 > 0:23:52How long ago did you buy your first property?

0:23:52 > 0:23:56Oh, when I was 18. Many, many years ago.

0:23:56 > 0:23:59So, it's been a slow burner, but now you're doing it. Yeah.

0:23:59 > 0:24:02Great, well, I can't wait to see what you do with the place.

0:24:02 > 0:24:03Good luck. Thank you very much.

0:24:03 > 0:24:05Thanks, Scott. You take care.

0:24:07 > 0:24:09Car salesman Scott has changed gears

0:24:09 > 0:24:12and is now a full-time property developer.

0:24:12 > 0:24:14It seems a pretty straightforward job,

0:24:14 > 0:24:18but will he automatically stick to that timescale and budget,

0:24:18 > 0:24:21or will he be clutch-ing at straws?

0:24:21 > 0:24:23You can find out later in the show.

0:24:25 > 0:24:26MARTIN: Coming up, at a house in Stoke,

0:24:26 > 0:24:29I'm sure the postie must have got lost when delivering my fan mail.

0:24:31 > 0:24:33That is a pile of post and a half!

0:24:33 > 0:24:34Holy schmolie!

0:24:36 > 0:24:38MARTEL: And in Wembley, has Scott got the results he wanted

0:24:38 > 0:24:41for trendy first-time buyers?

0:24:41 > 0:24:42They can just move in with their

0:24:42 > 0:24:44toothbrush and their clothes and that's it.

0:24:48 > 0:24:50DION: We are heading back to Kidderminster,

0:24:50 > 0:24:54where I saw a very handsome 1930s four-bed detached property.

0:24:55 > 0:24:58Inside, it looked like it hadn't been touched

0:24:58 > 0:24:59since it had been built.

0:25:00 > 0:25:04# Fadeout 1930 era, I never really tried you out... #

0:25:04 > 0:25:07It may have been old-fashioned, but it was huge,

0:25:07 > 0:25:10and outside, there was plenty more space to play with.

0:25:10 > 0:25:12And with a garden this size,

0:25:12 > 0:25:16there's always potential to extend on the back of the house,

0:25:16 > 0:25:17and this is no exception.

0:25:17 > 0:25:20It could be a single or a double extension,

0:25:20 > 0:25:24and still have yourself loads of space out the back

0:25:24 > 0:25:26for your trampoline,

0:25:26 > 0:25:29your swimming pool, and your golf course.

0:25:30 > 0:25:33Slightly over the top, but you know what I mean - the potential's huge.

0:25:35 > 0:25:39That potential was just one of the reasons Kevin paid 275 grand

0:25:39 > 0:25:41for this house at auction.

0:25:41 > 0:25:44He runs a local kitchen design company,

0:25:44 > 0:25:47and although he has lots of experience in property developing,

0:25:47 > 0:25:51he wasn't planning on selling this house for a profit.

0:25:51 > 0:25:54It was to be a home for him and his 15-year-old son, Aaron.

0:25:55 > 0:25:58Kevin was going to put his design skills to work

0:25:58 > 0:25:59to give this old house a modern look.

0:26:01 > 0:26:02Even though it is quite big, erm,

0:26:02 > 0:26:06I think the restrictions are really where the kitchen is, and so on.

0:26:06 > 0:26:08So, there are plans for an extension,

0:26:08 > 0:26:09because obviously, I've got the...

0:26:09 > 0:26:11Because you can! Yeah, I can!

0:26:11 > 0:26:13And I've got the opportunity to hopefully do

0:26:13 > 0:26:15quite a nice kitchen for myself.

0:26:15 > 0:26:17It's something that I've dreamed of for quite some time,

0:26:17 > 0:26:20and it's what I'm planning to do here.

0:26:21 > 0:26:23Kevin had set himself a budget of 70 grand,

0:26:23 > 0:26:25and just six months to get the work done.

0:26:27 > 0:26:30So, we're back a year and nine months later.

0:26:30 > 0:26:32Is it safe to assume, after all this time,

0:26:32 > 0:26:34Kevin finally got his new kitchen?

0:26:43 > 0:26:49It's certainly impressive, and leads off to a huge extension in the back.

0:26:49 > 0:26:52But it's not the only addition to the house.

0:26:52 > 0:26:53# Now I'm speechless

0:26:53 > 0:26:55# I can't believe that you're next to me

0:26:57 > 0:26:59# I cannot fall in line

0:26:59 > 0:27:02# Everyone's starin' but I'm not sharin'

0:27:02 > 0:27:03# No, sir, no way! #

0:27:06 > 0:27:11A double-storey side and rear extension, plus a loft conversion,

0:27:11 > 0:27:12have made this house much bigger.

0:27:18 > 0:27:21Although the layout in the rest of the ground floor remains the same,

0:27:21 > 0:27:23not much else has.

0:27:23 > 0:27:25There's no parquet floor left.

0:27:26 > 0:27:30But thankfully, some of the original features have been kept.

0:27:30 > 0:27:34And you won't spot any radiators down here, because

0:27:34 > 0:27:37the whole of the downstairs has underfloor heating.

0:27:37 > 0:27:39The new extension means that upstairs

0:27:39 > 0:27:41the layout has completely changed.

0:27:48 > 0:27:50For starters, there's now space for a family bathroom.

0:27:51 > 0:27:54# Looks like perfection wants your attention

0:27:54 > 0:27:56# So, I say hey! #

0:27:57 > 0:28:00Although three of the five bedrooms have en-suites,

0:28:00 > 0:28:03I don't think there's going to be any family squabbles

0:28:03 > 0:28:04about who's hogging the bathroom.

0:28:11 > 0:28:13The master ensuite bedroom,

0:28:13 > 0:28:17with dressing room area and new rear extension is very smart.

0:28:25 > 0:28:28The cherry up top is the addition of that fifth bedroom

0:28:28 > 0:28:30and the loft conversion.

0:28:33 > 0:28:35I bet Kevin can't wait to move in.

0:28:37 > 0:28:39Quite a lot has changed in the last 16 months,

0:28:39 > 0:28:42and I've moved a couple of times since purchasing here.

0:28:42 > 0:28:44So, it suited me to live elsewhere,

0:28:44 > 0:28:46and we're obviously going to get the money from this

0:28:46 > 0:28:48and move on to another project.

0:28:48 > 0:28:52# But it's not the end of my world

0:28:52 > 0:28:55# Just a slight change of plans... #

0:28:56 > 0:28:59With Kevin having to wait seven months for the plans to be passed,

0:28:59 > 0:29:01his team started on work elsewhere.

0:29:03 > 0:29:05That didn't stop Kevin and his family

0:29:05 > 0:29:07getting stuck into this house.

0:29:08 > 0:29:11It just gave myself and my family the opportunity

0:29:11 > 0:29:14to get all the back of the garden sorted out,

0:29:14 > 0:29:16and they helped get everything stripped back in the house,

0:29:16 > 0:29:18which they thought was fantastic,

0:29:18 > 0:29:20while they were on break from uni and so on.

0:29:20 > 0:29:22It was giving them something to do for the summer.

0:29:22 > 0:29:26So, everybody's enjoyed it, so that's where I was more hands-on.

0:29:26 > 0:29:28But then, when it got to the actual building side of it

0:29:28 > 0:29:31and then working on the inside, I won't take the credit for it.

0:29:31 > 0:29:34But the guys, the carpenters, the builders, the kitchen fitters,

0:29:34 > 0:29:36the electrician, they've done a fantastic job for us.

0:29:36 > 0:29:39As you can see, it's all been done to an incredibly high standard.

0:29:40 > 0:29:44That high standard must have made an impact on that 70 grand budget.

0:29:46 > 0:29:49We got most of the construction work done for about 30,000.

0:29:49 > 0:29:50But the insides,

0:29:50 > 0:29:53and even with the help of all the suppliers and manufacturers,

0:29:53 > 0:29:56who've been very, very generous in helping us with this project,

0:29:56 > 0:29:59we still went over considerably.

0:29:59 > 0:30:03To the point where we went to ?123,000. So, it's...

0:30:03 > 0:30:06But the thing is, I think the property lends itself to it.

0:30:06 > 0:30:09And it's certainly reflected in the valuation now.

0:30:11 > 0:30:13Yes, valuations, you heard right.

0:30:13 > 0:30:17Not only has he had valuations, he's actually sold it,

0:30:17 > 0:30:19meaning the new owner could choose

0:30:19 > 0:30:22to personalise the inside how they see fit.

0:30:22 > 0:30:25But was it the right decision to go for a private sale,

0:30:25 > 0:30:26rather than the open market?

0:30:28 > 0:30:31Time to get the feedback from two local estate agents

0:30:31 > 0:30:34to see what they think of the finished house.

0:30:36 > 0:30:38Layout's really good, bedrooms are all good sizes.

0:30:38 > 0:30:41Got two nice-sized reception rooms downstairs.

0:30:41 > 0:30:46Having the en-suites to the bedrooms makes for a really good family home.

0:30:46 > 0:30:51Wow! It's been finished off to an extremely high standard.

0:30:51 > 0:30:55And most of the rooms are of a decent, usable size.

0:30:55 > 0:30:58A lot of the modern four or five-bedroom properties,

0:30:58 > 0:31:00when you get down to the last two bedrooms,

0:31:00 > 0:31:03you're lucky if you could swing the cat in 'em.

0:31:03 > 0:31:05His house might be the cat's whiskers,

0:31:05 > 0:31:08but it has taken a lot out of the kitty.

0:31:08 > 0:31:10398 grand, to be precise.

0:31:10 > 0:31:13What do the agents think it could fetch

0:31:13 > 0:31:15if he put it on the open market?

0:31:15 > 0:31:18I would feel that you'd get

0:31:18 > 0:31:24in the region of ?450-475,000.

0:31:24 > 0:31:29So, the resale value of the property would be ?475,000.

0:31:29 > 0:31:32The ?475,000 price is a little above

0:31:32 > 0:31:34what we would normally see in this area.

0:31:34 > 0:31:37But I think with the overall fit and finish,

0:31:37 > 0:31:38it would achieve that kind of money.

0:31:39 > 0:31:44That top valuation would mean a 77 grand pre-tax profit,

0:31:44 > 0:31:47but Kevin has sold it for 450 grand.

0:31:47 > 0:31:50That's still a 52 grand profit, minus taxes and fees.

0:31:52 > 0:31:55We're pleased with, obviously, the decision that we've made.

0:31:55 > 0:31:57We made it a few months ago, that we were going to sell it.

0:31:57 > 0:32:00So, I'm just very glad now that the person who's purchased it

0:32:00 > 0:32:02will be over the moon, that it's valued at that.

0:32:02 > 0:32:05So, it's worked out good for us all.

0:32:05 > 0:32:08It's been challenging, with certain things.

0:32:08 > 0:32:11But the outcome has been exactly what we wanted.

0:32:11 > 0:32:12So, really pleased.

0:32:15 > 0:32:18MARTIN: Burslem is known as the mother town of the six

0:32:18 > 0:32:20that make up the city of Stoke in Staffordshire,

0:32:20 > 0:32:22due to the fact it was the early centre

0:32:22 > 0:32:25of pottery manufacturing in the area.

0:32:25 > 0:32:27The local football team, Port Vale,

0:32:27 > 0:32:30might not be riding as high in the Football League

0:32:30 > 0:32:32as their larger rivals, Stoke City,

0:32:32 > 0:32:36but they boast celebrity fans like darts legend Phil Taylor

0:32:36 > 0:32:38and pop star Robbie Williams.

0:32:38 > 0:32:41Port Vale fan Robbie might hope for a victory

0:32:41 > 0:32:44every time he watches them, but even he knows...

0:32:44 > 0:32:48# You win some, you lose some... #

0:32:49 > 0:32:50Let's see if today's property,

0:32:50 > 0:32:53which is just a short walk from the stadium, is a winner.

0:32:55 > 0:33:00So, what property was tantalising the buyers at the auction?

0:33:00 > 0:33:03Well, it does actually sound like a really appealing one.

0:33:03 > 0:33:07?50,000-plus was the guide price for a semi-detached,

0:33:07 > 0:33:11four-bedroom Victorian house.

0:33:11 > 0:33:14And pretty impressive it looks from the outside, too.

0:33:16 > 0:33:20# I'm impressed, I'm impressed... #

0:33:21 > 0:33:23Wow! Ha! Ha!

0:33:25 > 0:33:27That is a pile of post and a half!

0:33:27 > 0:33:28Holy schmolie! Wow!

0:33:28 > 0:33:31You don't need to be Sherlock Holmes to figure this one out.

0:33:31 > 0:33:35The house has obviously not been occupied for a while.

0:33:35 > 0:33:37And that does bring in a few issues.

0:33:37 > 0:33:42What am I going to be looking for? Signs of damp, signs of disrepair.

0:33:42 > 0:33:43But what have we got?

0:33:43 > 0:33:47Quite a nice entrance, if you get over that.

0:33:47 > 0:33:49Obviously, quite a grand house in its day.

0:33:49 > 0:33:53Large living room there, stairs up to your bedrooms there.

0:33:53 > 0:33:55And then through into a rear sitting room.

0:33:55 > 0:33:57And a few signs of damp...

0:33:57 > 0:33:59Oh, my word!

0:34:01 > 0:34:03Yes, a few signs of...

0:34:04 > 0:34:07..floor joists needing a bit of repair.

0:34:07 > 0:34:10And here you go, exactly what I thought.

0:34:10 > 0:34:12Damp here, on this wall,

0:34:12 > 0:34:15probably due to leaking guttering or something like that.

0:34:15 > 0:34:18It's a house... It's going to need a bit of work!

0:34:20 > 0:34:22As you stroll round,

0:34:22 > 0:34:24it's certainly got a feeling of space, this property.

0:34:24 > 0:34:27And some nice touches. Wood panelling in the hallway there.

0:34:27 > 0:34:31As I said, I think it would have been a very grand house in its day.

0:34:31 > 0:34:34The cellar down there, which looks a bit dim and dingy,

0:34:34 > 0:34:37but definitely worth investigating. That could be useful extra space.

0:34:37 > 0:34:39And then this is the kitchen.

0:34:39 > 0:34:41Well, clearly not being made the most of at the moment.

0:34:41 > 0:34:45Units want to be replaced, something much nicer could be in here.

0:34:45 > 0:34:49And this would definitely become the focal point of the house.

0:34:49 > 0:34:53Little utility area at the back in a sort of little extension, but again,

0:34:53 > 0:34:56the high ceilings, lots of light coming in through the windows,

0:34:56 > 0:35:00even though they are boarded up in places, it's...

0:35:00 > 0:35:03It's a good house and for that guide price, wow!

0:35:05 > 0:35:08And if this sizeable chunk of house wasn't enough for you,

0:35:08 > 0:35:11there is room outside to add more wow factor.

0:35:13 > 0:35:17But a big family house should have some decent outside space to match.

0:35:20 > 0:35:23So, you have to strike a balance.

0:35:23 > 0:35:26Besides, there's still plenty more space inside.

0:35:30 > 0:35:35So, upstairs and four bedrooms, a really substantial property.

0:35:35 > 0:35:38Back there, one of the bedrooms. You've got the bathroom there.

0:35:38 > 0:35:41It's small for the size of house,

0:35:41 > 0:35:43I think you'd want to try and play around with that to see

0:35:43 > 0:35:45how you could get a bigger bathroom in there.

0:35:45 > 0:35:47But two more bedrooms towards the front.

0:35:47 > 0:35:49This nice, large landing area.

0:35:49 > 0:35:52And then, through into one of the bedrooms, for example.

0:35:52 > 0:35:54This is the size. And they're good,

0:35:54 > 0:35:57they've got some nice features, like these old fireplaces.

0:35:57 > 0:35:58Lovely. And the floorboards,

0:35:58 > 0:36:02although some of them have obviously been taken up to access the pipes,

0:36:02 > 0:36:04they don't look to be in bad condition.

0:36:04 > 0:36:06It's one of those houses, it's Victorian,

0:36:06 > 0:36:09it would just work so well to have all these stripped back

0:36:09 > 0:36:11to natural wood, absolutely beautiful.

0:36:11 > 0:36:13So, all in all...

0:36:15 > 0:36:16..great house!

0:36:17 > 0:36:19Before I get too carried away, though,

0:36:19 > 0:36:22there are some significant issues to deal with.

0:36:22 > 0:36:26Damp, mould and the need of a complete refurbishment.

0:36:28 > 0:36:32It's going to take quite the effort to whip this property into shape.

0:36:32 > 0:36:34# Crack that whip! #

0:36:34 > 0:36:37We've asked along a local estate agent to see if he thinks

0:36:37 > 0:36:40this property is a whip smart investment.

0:36:40 > 0:36:43# When a problem comes along # You must whip it... #

0:36:43 > 0:36:45I think the fact that it having four bedrooms

0:36:45 > 0:36:47is going to be the biggest selling point.

0:36:47 > 0:36:50Traditionally we're an area of two beds,

0:36:50 > 0:36:53so three beds are unusual and a four-bed's virtually unheard of.

0:36:53 > 0:36:56So, I think that's going to be the key selling point for it.

0:36:56 > 0:36:58The other option is that the property can be split

0:36:58 > 0:37:01into two self-contained flats with an upstairs and downstairs,

0:37:01 > 0:37:04and they could have their own entrances, quite easy.

0:37:04 > 0:37:07Dividing it into flats might seem like a good idea,

0:37:07 > 0:37:11but we all know how long you can spend in a planning wrangle.

0:37:11 > 0:37:15Plus, two flats would mean two sets of kitchens and bathrooms.

0:37:16 > 0:37:19And if the house has an intrinsic value as a four-bed,

0:37:19 > 0:37:21would it be worth the bother?

0:37:22 > 0:37:24As a four-bed, with it being fully renovated,

0:37:24 > 0:37:28we'd recommend an asking price of ?95,000.

0:37:28 > 0:37:30If the property was converted into flats,

0:37:30 > 0:37:32I would recommend for a two-bedroomed flat,

0:37:32 > 0:37:37I would probably say you were looking at around ?40-45,000.

0:37:37 > 0:37:41I think for resale, I would stick to the simplest route, one house.

0:37:41 > 0:37:43For long-term rental investment,

0:37:43 > 0:37:46the numbers do stack up in favour of flats,

0:37:46 > 0:37:51with a house renting out at ?500 per month, while two two-bed flats

0:37:51 > 0:37:54would bring you ?850 a month in total.

0:37:58 > 0:38:01Well, a bit of work required to get this one into a habitable state

0:38:01 > 0:38:03but boy, oh, boy, is it worth it?

0:38:03 > 0:38:08A lovely house with loads of potential and so many options.

0:38:08 > 0:38:11Let's see who went for it when it went under the hammer.

0:38:13 > 0:38:17It's a large semi, four bedrooms, first-floor bathroom,

0:38:17 > 0:38:20there are two reception rooms as well.

0:38:20 > 0:38:2140, can I say, to start?

0:38:23 > 0:38:2540 bid, there. ?40,000.

0:38:25 > 0:38:28At 40,000. 42, can I see now?

0:38:28 > 0:38:3142. 44.

0:38:31 > 0:38:3446. 47, can I say?

0:38:34 > 0:38:37Bid's at ?46,000.

0:38:37 > 0:38:39?47,000.

0:38:39 > 0:38:4248. 49.

0:38:42 > 0:38:4450. 51.

0:38:44 > 0:38:4652. 53.

0:38:46 > 0:38:4854. 55.

0:38:48 > 0:38:5056. 57.

0:38:50 > 0:38:5458. 59. 60.

0:38:54 > 0:38:56No? 60,000, standing middle.

0:38:56 > 0:38:58At ?60,000. 61, anywhere else?

0:39:00 > 0:39:02If not, at ?60,000.

0:39:03 > 0:39:05Yours, sir. Well done.

0:39:05 > 0:39:08The successful bid of 60,000 was made by Jeremy.

0:39:08 > 0:39:11He used to own a print company

0:39:11 > 0:39:14but sold it off recently and retired early.

0:39:14 > 0:39:15Rather than just relax, though,

0:39:15 > 0:39:18he ended up being bitten by the property bug...

0:39:19 > 0:39:21..and has teamed up with regular builder Dave

0:39:21 > 0:39:24to take on this new project.

0:39:24 > 0:39:27I met them to find out what they had planned.

0:39:27 > 0:39:30Jeremy, Dave, great to meet you both. Hi, you, too.

0:39:30 > 0:39:32Tell me why you wanted to buy this house?

0:39:32 > 0:39:36I thought it would be ideal for development and I like the area,

0:39:36 > 0:39:37I like the period features,

0:39:37 > 0:39:40and this is now the first property I've bought at auction.

0:39:40 > 0:39:43Oh, right. Brilliant. So, tell me about your relationship with Dave,

0:39:43 > 0:39:44what's the deal here?

0:39:44 > 0:39:48Well, I'm Jeremy's builder. We met on a building website.

0:39:48 > 0:39:51He contacted me, I did a few jobs round his hall.

0:39:53 > 0:39:54He phoned me a few...

0:39:54 > 0:39:57Couple of months ago to do renovations on a property

0:39:57 > 0:39:59he's recently bought.

0:40:00 > 0:40:03Yes, you heard right. Jeremy has an 18th-century hall,

0:40:03 > 0:40:04which he restored. Very nice.

0:40:06 > 0:40:07But back to this four-bed in Burslem.

0:40:07 > 0:40:09Who's doing what?

0:40:10 > 0:40:13I rely upon Dave for information and knowledge and experience.

0:40:13 > 0:40:16I suppose I provide the brains, he provides the...

0:40:16 > 0:40:18I nearly said the brawn, but the beauty!

0:40:20 > 0:40:22I always say that a good builder, if you can get them on board,

0:40:22 > 0:40:24they can be a real fantastic asset, though.

0:40:24 > 0:40:28He will see a property and see the flaws where I might miss them,

0:40:28 > 0:40:32and will look for good points that, again, I might kind of gloss over.

0:40:32 > 0:40:34So, it works both ways.

0:40:34 > 0:40:37OK, so why this particular house, then?

0:40:37 > 0:40:39Our first initial ideas were to buy it

0:40:39 > 0:40:42and it looked as though it could be converted into rental flats.

0:40:42 > 0:40:45So, in order to convert it into flats, then, Dave,

0:40:45 > 0:40:48just talk me through the process, taking that option,

0:40:48 > 0:40:49what would you have to do?

0:40:49 > 0:40:52Well, obviously separate front and back door for each property,

0:40:52 > 0:40:54we'd have to make some sort of vestibule area,

0:40:54 > 0:40:56so we could get in through to the living room.

0:40:56 > 0:41:00You'd have to build another kitchen upstairs, obviously? Yeah.

0:41:00 > 0:41:03We've identified one of the rooms upstairs that we could convert

0:41:03 > 0:41:04into a kitchen relatively easily,

0:41:04 > 0:41:06and we'd need to create a bathroom for down here.

0:41:06 > 0:41:08There is a small extension at the back there,

0:41:08 > 0:41:10which is being knocked down at some stage.

0:41:10 > 0:41:13There's a hard standing for that, so we could extend back onto that.

0:41:13 > 0:41:17And there's a possibility to extend into the loft space,

0:41:17 > 0:41:19and as an ideal landing space upstairs.

0:41:21 > 0:41:24So, they've looked seriously at the two-flat option, but of course,

0:41:24 > 0:41:27as we know, there are several factors to weigh up,

0:41:27 > 0:41:28and they're still doing that.

0:41:30 > 0:41:35We've also had some other input into that discussion which makes us think

0:41:35 > 0:41:38that maybe, because it's really...

0:41:38 > 0:41:40In this area, it's difficult to sell

0:41:40 > 0:41:42flats that have been converted like that,

0:41:42 > 0:41:45we thought about also keeping it as its existing structure -

0:41:45 > 0:41:49four-bedroom, doing it up, making some changes,

0:41:49 > 0:41:52maybe adding an en suite to one of the larger bedrooms upstairs

0:41:52 > 0:41:55and extending this back room behind us here

0:41:55 > 0:41:57into maybe a nice dining room off the kitchen.

0:41:57 > 0:42:00It's got loads of options, this house, hasn't it?

0:42:00 > 0:42:02It has. It really has! Yeah, it has. No, it has.

0:42:02 > 0:42:05It has. And that's why there's this indecision at the moment

0:42:05 > 0:42:07as to which way will we go.

0:42:07 > 0:42:08Will we keep it as a four-bedroom

0:42:08 > 0:42:10and just spend the minimum amount to do it up...?

0:42:10 > 0:42:13Because there's a good resale value on it, in't there? Yes. Yeah.

0:42:13 > 0:42:14What sort of resale value?

0:42:14 > 0:42:17Well, intimated it's going to be 100-plus. Oh, wow!

0:42:17 > 0:42:22So, for a minimum spend, we bought it at auction for 60,000,

0:42:22 > 0:42:24a minimum spend of maybe 10, 15,000,

0:42:24 > 0:42:28we could keep it as it is and sell on and take the return,

0:42:28 > 0:42:31but no income stream in the future,

0:42:31 > 0:42:34or we could spend a little bit more, maybe 5, maybe 10,000 more,

0:42:34 > 0:42:35convert it into two flats

0:42:35 > 0:42:38and have a very good income return on capital invested.

0:42:38 > 0:42:40So, it's, you know, which way do we go?

0:42:40 > 0:42:41That's the indecision.

0:42:41 > 0:42:44It'll be a decision we'll have to make quickly, though.

0:42:44 > 0:42:46So, what is the timescale for the whole thing?

0:42:46 > 0:42:48Just doing up as it is, we would like to think

0:42:48 > 0:42:51that we could probably do that in three to four months, it's done,

0:42:51 > 0:42:54because it tails on the back of the project we're working on currently.

0:42:54 > 0:42:56If it's going to be a conversion to flats,

0:42:56 > 0:42:58we'd looking at six months for that.

0:42:58 > 0:43:01So it's going to be one or the other.

0:43:01 > 0:43:03Well, listen, congratulations. Thank you. And good luck with it.

0:43:03 > 0:43:07And we really do look forward to seeing what you decide to do.

0:43:07 > 0:43:08Exactly! Thank you.

0:43:08 > 0:43:12Well, so, lots of decisions still to be made.

0:43:12 > 0:43:14Will Jeremy convert this into flats

0:43:14 > 0:43:17or leave it as one big impressive house?

0:43:17 > 0:43:21Well, with the help of builder Dave, hopefully whatever he decides,

0:43:21 > 0:43:24it will be successful. But you never know.

0:43:24 > 0:43:26You can find out what happens later in the show.

0:43:30 > 0:43:33Well, earlier, we saw how one of today's properties turned out,

0:43:33 > 0:43:35but what about the other two?

0:43:35 > 0:43:39Did the renovation go smoothly or did it skid onto some rough patches?

0:43:39 > 0:43:41Let's find out.

0:43:41 > 0:43:43# Can I kick it? # Then do so, at once... #

0:43:45 > 0:43:47MARTEL: It's time to kick off the second half

0:43:47 > 0:43:49of a property renovation in Wembley,

0:43:49 > 0:43:52when I saw a one-bed ground floor flat

0:43:52 > 0:43:55that had decent living space for London.

0:43:55 > 0:43:58Yes, it was tired, single glazed and only had storage heaters...

0:43:59 > 0:44:03..but I'd taken a wee shine to it and could imagine living there.

0:44:04 > 0:44:07You've got kind of semi-open plan living

0:44:07 > 0:44:11where you could be cooking your tea, pop out, say hello.

0:44:11 > 0:44:13The kitchen could do with updating.

0:44:13 > 0:44:16That said, these units are completely serviceable.

0:44:16 > 0:44:19It really depends on if you're planning on renting or selling.

0:44:19 > 0:44:22If you're selling, it may be worthwhile

0:44:22 > 0:44:24just spending a bit of money, getting the wow factor,

0:44:24 > 0:44:26a brand-new kitchen.

0:44:26 > 0:44:31Well, the person who paid ?210,000 for it at auction was Scott.

0:44:32 > 0:44:36As an experienced property developer, he planned on doing

0:44:36 > 0:44:38a bit of both in the kitchen

0:44:38 > 0:44:41by keeping cabinets but adding a new work surface

0:44:41 > 0:44:43and integrated appliances.

0:44:43 > 0:44:47But he didn't want it to be a bland, magnolia flat any more,

0:44:47 > 0:44:48that's for sure.

0:44:48 > 0:44:49I want it to be quite trendy.

0:44:49 > 0:44:51So, a nice grey floor in...

0:44:51 > 0:44:56Nice, I can picture it. Yeah. And the bathroom needs some work.

0:44:56 > 0:45:00It's got no soul to it, it literally needs a bit of oomph.

0:45:01 > 0:45:05Former car salesman Scott wanted to get this property turbo-charged

0:45:05 > 0:45:09for five grand, and on the fast lane for completion in four weeks.

0:45:09 > 0:45:11So, six weeks later,

0:45:11 > 0:45:16we've pulled up to see if the flat has been given some va va voom!

0:45:20 > 0:45:22We're certainly on the right track in the bathroom,

0:45:22 > 0:45:26which has been cleaned, painted and refitted with new fixtures.

0:45:26 > 0:45:30# If you're looking for the main attraction

0:45:30 > 0:45:33# Just hold on tight and let me do my dance

0:45:33 > 0:45:37# If you want it, I'm gonna be Va-va voom voom

0:45:37 > 0:45:41# If you got it, you got it You got that boom, boom

0:45:41 > 0:45:44# If you want it, I'm gonna be Va-va voom voom

0:45:44 > 0:45:48# If you got it, you got it You got that boom, boom. #

0:45:53 > 0:45:57The kitchen has remained mainly the same but with some key additions.

0:45:57 > 0:46:01There are new integrated appliances and extra cabinets have been added.

0:46:01 > 0:46:02It makes a big difference.

0:46:05 > 0:46:08And the new grey laminate flooring is the same

0:46:08 > 0:46:09throughout the rest of the flat.

0:46:09 > 0:46:12# I'm a runaway-eh, I'm a runaway-eh-eh

0:46:12 > 0:46:15# I-I-I wanna give you one last option

0:46:15 > 0:46:19# I-I-I wanna give you one last chance

0:46:19 > 0:46:22# Just hold on tight and let me do my dance

0:46:22 > 0:46:26# If you want it, I'm gonna be Va-va voom voom

0:46:26 > 0:46:30# If you got it, you got it You got that boom, boom

0:46:30 > 0:46:34# If you want it, I'm gonna be Va-va voom voom

0:46:34 > 0:46:37# If you got it, you got it You got that boom, boom... #

0:46:40 > 0:46:43It's a simple yet very effective turnaround

0:46:43 > 0:46:45that Scott should be proud of.

0:46:45 > 0:46:49I'd like to say I've done all the work, but I didn't.

0:46:49 > 0:46:50I organised the work.

0:46:51 > 0:46:54I have a team of builders that can come out to a property

0:46:54 > 0:46:56and do the bits I actually want to do.

0:46:56 > 0:46:58I ordered everything,

0:46:58 > 0:47:01I controlled what was coming in and everything else.

0:47:01 > 0:47:04The thing I'm most pleased about is the bathroom paint finish,

0:47:04 > 0:47:06because it's hand-painted.

0:47:06 > 0:47:10And in my mind, it's come out fantastic.

0:47:10 > 0:47:13He put a lot of effort into that, the person who'd actually done that,

0:47:13 > 0:47:16and when I look back at it every time I go past it,

0:47:16 > 0:47:19it gives you that different view. It's absolutely great.

0:47:19 > 0:47:22All the work itself was done in about four weeks,

0:47:22 > 0:47:23which was bang on timescale,

0:47:23 > 0:47:26but the delivery and furniture has meant it's taken

0:47:26 > 0:47:29another couple of weeks to fully furnish the property.

0:47:29 > 0:47:31Scott had a ?5,000 budget to renovate

0:47:31 > 0:47:35but he's dressed the property, too, so what has that added to the spend?

0:47:37 > 0:47:43On the redecoration, spent just under four and a half.

0:47:43 > 0:47:46And then, another ?1,500 on the furnitures.

0:47:46 > 0:47:50I showcased the place to make it easier for people to walk in.

0:47:50 > 0:47:53They could get an idea of how it looked.

0:47:53 > 0:47:55And also because they're first-time buyers, my target market,

0:47:55 > 0:47:58I thought that they could actually come in and it's something

0:47:58 > 0:48:00that they could have with the flat,

0:48:00 > 0:48:03and therefore it takes the stress of having to find furniture,

0:48:03 > 0:48:06and they can just move in with their toothbrush and their clothes

0:48:06 > 0:48:08and that's it.

0:48:08 > 0:48:10Well, we've asked along two local estate agents

0:48:10 > 0:48:14to see if they like the changes Scott has implemented here.

0:48:14 > 0:48:16I doubt they've brought their toothbrush,

0:48:16 > 0:48:18but I'm sure they're fully brushed up

0:48:18 > 0:48:20on their local property knowledge.

0:48:20 > 0:48:23First, let's hear from the agent who saw it last time.

0:48:24 > 0:48:27I have to say, the best part of the works has got to be the flooring,

0:48:27 > 0:48:30it looks lovely. The bathroom looks very nice as well, and the bedroom,

0:48:30 > 0:48:32the carpet looks stunning.

0:48:32 > 0:48:34I think the property really flows nicely.

0:48:34 > 0:48:36It's really nicely done.

0:48:36 > 0:48:39It's modern. It's fresh and bright.

0:48:39 > 0:48:41I think it would be an ideal first-time purchase.

0:48:43 > 0:48:49Scott has spent a total of ?216,000 here on the work and the property.

0:48:49 > 0:48:53But he's also spent an additional 13 grand on auctions, solicitors,

0:48:53 > 0:48:57stamp duty, council tax and service charges.

0:48:57 > 0:49:02So, it just goes to show that those figures can add up to a hefty amount

0:49:02 > 0:49:05and why you should always read over the paperwork.

0:49:05 > 0:49:07Scott is experienced and did so,

0:49:07 > 0:49:12so he's happy with his total ?229,000 spend.

0:49:12 > 0:49:15Will the work amount to a decent profit?

0:49:15 > 0:49:17If the property was to go on the market,

0:49:17 > 0:49:20I'd value the property for something in the region of ?270,000.

0:49:20 > 0:49:23We would think the value of this property for resale today

0:49:23 > 0:49:26would be very close to ?300,000.

0:49:26 > 0:49:29300 I think is slightly optimistic.

0:49:29 > 0:49:30Fantastic if I could.

0:49:32 > 0:49:33But the 270 seems about right.

0:49:33 > 0:49:37270, maybe 275, but if I can get three, fantastic.

0:49:37 > 0:49:43That 275 figure would give Scott a pre-tax profit of 46 grand,

0:49:43 > 0:49:48and if the agent's right, it has the potential to climb to ?71,000,

0:49:48 > 0:49:52which really is good going and must vindicate Scott's decision

0:49:52 > 0:49:55to leave his old career in car sales in the rear-view mirror.

0:49:55 > 0:49:58I feel that it was about time I went into property development

0:49:58 > 0:50:01because it was something I had a good understanding about

0:50:01 > 0:50:03and I am so glad I did.

0:50:03 > 0:50:05My next plan is, obviously, to get rid of this one,

0:50:05 > 0:50:07to sell this one as soon as possible,

0:50:07 > 0:50:12put it on the market ASAP and start another one ASAP again.

0:50:12 > 0:50:14But I'm going to try to do two or three at a go.

0:50:14 > 0:50:18Two or three at a time, Scott? Do you ever take a break?!

0:50:18 > 0:50:23Every time I sell a property, I tend to go away for a week or so.

0:50:23 > 0:50:27It's one of the things that I treat myself to,

0:50:27 > 0:50:30so if I sell two properties or three properties or four properties

0:50:30 > 0:50:33in a year, that's how many holidays I will have.

0:50:33 > 0:50:36Ah, so that's why Scott wants two or three at a time -

0:50:36 > 0:50:39he'll get three weeks off in a row, right?

0:50:39 > 0:50:41Well, best of luck and you never know,

0:50:41 > 0:50:43we might see him again down the road.

0:50:50 > 0:50:51Earlier in the programme,

0:50:51 > 0:50:54I was in the town of Burslem in Stoke-on-Trent.

0:50:54 > 0:50:56I visited this handsome Victorian semi

0:50:56 > 0:50:59that had a seemingly low guide price of 50 grand plus.

0:51:01 > 0:51:05Inside, however, was nothing to write home about.

0:51:05 > 0:51:07And with evidence of neglect,

0:51:07 > 0:51:10it seemed to have been empty for some time.

0:51:10 > 0:51:13A few signs of damp. Oh, my word!

0:51:15 > 0:51:17Yes, a few signs of...

0:51:18 > 0:51:23..floor joists needing a bit of repair and here you go,

0:51:23 > 0:51:24exactly what I thought.

0:51:24 > 0:51:26Damp here, on this wall,

0:51:26 > 0:51:29probably due to leaking guttering or something like that.

0:51:29 > 0:51:32It's a house that's going to need a bit of work.

0:51:33 > 0:51:36Well, that may have been an understatement.

0:51:36 > 0:51:39But at least the kitchen came with its own porcelain.

0:51:39 > 0:51:41Add to that a cellar, utility room,

0:51:41 > 0:51:45four beds and a bath with possible scope for extension, well,

0:51:45 > 0:51:48it sure was a lot of space for the guide price.

0:51:50 > 0:51:53And former print company director Jeremy Shaw wanted it,

0:51:53 > 0:51:55paying ?60,000 on auction day.

0:51:57 > 0:51:59He was also sure he wanted his trusty builder, Dave,

0:51:59 > 0:52:01to work alongside him.

0:52:01 > 0:52:03He just wasn't sure what to do with it.

0:52:05 > 0:52:08Our first initial ideas were to buy it and it looked as though

0:52:08 > 0:52:10it could be converted into rental flats.

0:52:10 > 0:52:15We've also had some other input into that discussion which makes us think

0:52:15 > 0:52:18that maybe because it's...

0:52:18 > 0:52:20This area, it's difficult to sell flats

0:52:20 > 0:52:22that have been converted like that.

0:52:22 > 0:52:24We've thought about also keeping it

0:52:24 > 0:52:27as its existing structure, four-bedroom.

0:52:27 > 0:52:29It was all hinging on that final decision,

0:52:29 > 0:52:32and with budgets ranging from 10-25 grand

0:52:32 > 0:52:35and timescales between three and six months,

0:52:35 > 0:52:37everything was a bit of a question mark.

0:52:39 > 0:52:42So, when we returned two years and eight months later,

0:52:42 > 0:52:44what did Jeremy decide?

0:52:46 > 0:52:48# Guessing games

0:52:48 > 0:52:50# I don't wanna play those

0:52:50 > 0:52:52# Guessing games # Don't wanna

0:52:52 > 0:52:55# Please don't make me play'em, no! #

0:52:55 > 0:52:58Yes, it's a house with a fantastic, modern fitted kitchen, at that.

0:53:00 > 0:53:06And that dingy old space at the back is now a handy utility room and WC.

0:53:08 > 0:53:11The front room has been spruced up

0:53:11 > 0:53:14and that pesky damp is a distant memory.

0:53:18 > 0:53:21The same thing can be said for the dining room,

0:53:21 > 0:53:23which is looking very smart indeed.

0:53:24 > 0:53:28Moving upstairs, there's been some rejigging going on.

0:53:29 > 0:53:32The master bedroom at the front has been expanded

0:53:32 > 0:53:35to make room for a light and bright ensuite bathroom.

0:53:39 > 0:53:42By nabbing a bit of space from the middle bedroom,

0:53:42 > 0:53:46the ensuite even has a window, which I must say is a nice touch.

0:53:51 > 0:53:55The family bathroom has also been given a new lease of life,

0:53:55 > 0:54:00despite being a little smaller, to make more space in the back bedroom.

0:54:00 > 0:54:02Unquestionably, it's a vast improvement,

0:54:02 > 0:54:06but stop us guessing, Jeremy, why a house over flats?

0:54:07 > 0:54:11We applied for planning permission, and after several months

0:54:11 > 0:54:15and toing and froing with architects and the local planners,

0:54:15 > 0:54:18we realised that the restrictions that were being placed upon us,

0:54:18 > 0:54:21in order to do that, would not make it a viable build.

0:54:21 > 0:54:25So, we decided that we were going to do it into a straight renovation

0:54:25 > 0:54:27of a four-bedroom house.

0:54:27 > 0:54:30We thought this was going to be a very simple project.

0:54:30 > 0:54:33But unfortunately, as with all things,

0:54:33 > 0:54:38when you start to peel away the exterior, you find further problems.

0:54:38 > 0:54:40He's not kidding.

0:54:40 > 0:54:43The damp had wreaked havoc in the two reception rooms,

0:54:43 > 0:54:47rotting the floorboards and joists, so they all needed to be replaced.

0:54:47 > 0:54:50As did the window frames.

0:54:50 > 0:54:54There were also extensive repairs to the exterior walls of the house

0:54:54 > 0:54:57and Jeremy and Dave had to replace all the rainwater goods and cladding

0:54:57 > 0:54:59and repoint the gable end.

0:54:59 > 0:55:01It's an exhaustive list.

0:55:02 > 0:55:04A lot of people go to auction

0:55:04 > 0:55:06and they see these programmes and they think,

0:55:06 > 0:55:08"This is a really easy thing to do."

0:55:08 > 0:55:09You have to ask yourself the question,

0:55:09 > 0:55:12"Why's it gone to auction in the first place?"

0:55:12 > 0:55:14This one looked a nice, simple project.

0:55:14 > 0:55:16It wasn't.

0:55:16 > 0:55:20And three years later, with a lot of heartache, a lot of hard work,

0:55:20 > 0:55:23a lot of tears, we have a beautiful house.

0:55:25 > 0:55:28The work has cost Jeremy 25,000 more than he planned,

0:55:28 > 0:55:31which means the total spend here has amounted to 40,000.

0:55:33 > 0:55:36And while he and Dave worked on the project for two years,

0:55:36 > 0:55:39Jeremy ended up finishing everything himself,

0:55:39 > 0:55:42with the exception of plumbing, electrics and plastering.

0:55:43 > 0:55:45I retired when I was 47.

0:55:45 > 0:55:48I'm now 58 and I think I work harder now

0:55:48 > 0:55:50than I did when I was in full-time employment.

0:55:50 > 0:55:54This is a full-time job for me, and whilst my daughter, bless her,

0:55:54 > 0:55:56thinks I sit at home and bake cakes all day

0:55:56 > 0:55:59and sell them at farmers markets, darling, no, I don't.

0:55:59 > 0:56:01This is Daddy's full-time job.

0:56:01 > 0:56:03And boy, is it hard work.

0:56:05 > 0:56:08Well, there speaks a hard-working property developer.

0:56:08 > 0:56:11So, let's find out if it's paid off.

0:56:11 > 0:56:15What do two local estate agents think of his ?100,000 investment?

0:56:15 > 0:56:18First, the agent who saw it before.

0:56:18 > 0:56:19First impressions are, wow,

0:56:19 > 0:56:23it's like walking into a new build compared to what it was before.

0:56:23 > 0:56:26There's been some major changes to the property.

0:56:26 > 0:56:28He, you know, definitely enhanced the property,

0:56:28 > 0:56:29made it 100 times better.

0:56:29 > 0:56:31My first impressions are really positive.

0:56:31 > 0:56:36The ensuite bathroom is most definitely a good addition

0:56:36 > 0:56:40to the property and fabulous kitchen, good size for a family.

0:56:41 > 0:56:44It's agreed, then, Jeremy has done a great job

0:56:44 > 0:56:46on his first auction property.

0:56:46 > 0:56:50But will he see a return on that ?100,000 investment?

0:56:50 > 0:56:54As a resale, we would be looking at an asking price of ?120,000.

0:56:54 > 0:56:56And if it was going on the rental market,

0:56:56 > 0:56:59we would be looking at an asking price of ?580 per calendar month.

0:56:59 > 0:57:01In the resale market,

0:57:01 > 0:57:05I would expect the property to reach somewhere in the region of ?125,000.

0:57:05 > 0:57:07And for the rental market,

0:57:07 > 0:57:12we would be looking at an income of ?585 per calendar month.

0:57:13 > 0:57:18The top sales value would mean a pre-tax profit of 25 grand.

0:57:18 > 0:57:20What does Jeremy think of that?

0:57:20 > 0:57:24They are higher than I had originally anticipated,

0:57:24 > 0:57:25but I ready have a tenant

0:57:25 > 0:57:28who is going to be taking the property shortly.

0:57:28 > 0:57:33So, I'm happy to let the property at the figure I've got, 650,

0:57:33 > 0:57:37and as far as the resale values are concerned, that's nice to know.

0:57:37 > 0:57:41That yield is 8% on the rental, then.

0:57:41 > 0:57:43This has been a long and tricky road,

0:57:43 > 0:57:45but it's worked out in the end.

0:57:45 > 0:57:48So, does Jeremy have any pearls of wisdom

0:57:48 > 0:57:51for anyone thinking of buying at auction?

0:57:51 > 0:57:54Get advice from a good builder and expect the worst.

0:57:54 > 0:57:58It could be a minefield, but it could also be a pot of gold.

0:58:01 > 0:58:05Well, it's not unusual in the world of property to stumble across

0:58:05 > 0:58:07the odd nasty surprise.

0:58:07 > 0:58:11Yes, but the industry can prove very fruitful, if you get it right.

0:58:11 > 0:58:14Join us next time for more auction stories on Homes Under The Hammer.

0:58:14 > 0:58:16Bye-bye. Bye-bye.