0:00:00 > 0:00:02Hello and welcome to the show.
0:00:02 > 0:00:05Now, it's no secret that we both love property development stories.
0:00:05 > 0:00:07Yes, and it never gets old,
0:00:07 > 0:00:10because with every new experience comes lessons learned.
0:00:10 > 0:00:15Yes, and when it comes to property, your education should never end.
0:00:15 > 0:00:18So, if you fancy learning some good stuff,
0:00:18 > 0:00:21head down to your local property auction.
0:00:47 > 0:00:51Those who buy often at the auctions know a few tricks of the trade.
0:00:51 > 0:00:54But they're no secret, do your research, view the property,
0:00:54 > 0:00:56and please read the legal pack.
0:00:56 > 0:00:58Yeah, sounds simple, doesn't it?
0:00:58 > 0:01:00But you'd be amazed at how many people
0:01:00 > 0:01:03don't stick to those simple rules.
0:01:03 > 0:01:06Let's find out the properties that we're featuring on today's show.
0:01:07 > 0:01:09I visit Prestatyn in North Wales,
0:01:09 > 0:01:12on top of my list for this three bed mid-terrace.
0:01:12 > 0:01:14It's a good view, but does this property have one of those?
0:01:14 > 0:01:15Let's find out.
0:01:17 > 0:01:18Lucy is in Folkestone,
0:01:18 > 0:01:21but it's the smell, not the sights, that bother her
0:01:21 > 0:01:23in this shop below a one-bedroom flat.
0:01:23 > 0:01:26Damp, you can just smell it the minute you walk in.
0:01:27 > 0:01:29And I'm in Darley Dale, Derbyshire.
0:01:29 > 0:01:30And a three bed terraced cottage
0:01:30 > 0:01:33where the decor takes me back to...
0:01:33 > 0:01:35Upton Park, scored there many times,
0:01:35 > 0:01:37I've got to say, thank you very much.
0:01:38 > 0:01:41All these properties have been sold at auction.
0:01:41 > 0:01:43And we will find out who bought them and what they paid
0:01:43 > 0:01:46- when they went under the hammer. - Sold, well bought, sir.
0:01:49 > 0:01:55Situated in North Wales, Prestatyn has many holiday attractions.
0:01:55 > 0:01:57This statue depicts the town's location
0:01:57 > 0:01:59at the most northerly point of Offa's Dyke,
0:01:59 > 0:02:03one of our most popular national trails.
0:02:03 > 0:02:07It runs 177 miles south to Chepstow.
0:02:07 > 0:02:09# I'm walking... #
0:02:09 > 0:02:12I'm just a short walk from the railway station,
0:02:12 > 0:02:14but it is a steep climb.
0:02:14 > 0:02:17Well, I'm in a very desirable part of Prestatyn
0:02:17 > 0:02:21to see a three-bedroom mid-terrace with a guide price of 95,000 quid.
0:02:21 > 0:02:23Now what you'd really like
0:02:23 > 0:02:26if you were to buy a property in this part of town,
0:02:26 > 0:02:27is a good view.
0:02:27 > 0:02:29Does this property have one of those?
0:02:29 > 0:02:30Let's find out.
0:02:34 > 0:02:37Wow! Yep, it certainly does.
0:02:39 > 0:02:42# I can see for miles and miles
0:02:42 > 0:02:49# And miles and miles and miles... #
0:02:49 > 0:02:52Ah.
0:02:53 > 0:02:57Sadly, the views inside aren't quite as spectacular.
0:02:57 > 0:03:00Never mind, what have we got? Stairs up to the bedrooms there,
0:03:00 > 0:03:02we've got a living room over to the right-hand side.
0:03:02 > 0:03:03Nice fireplace, actually.
0:03:03 > 0:03:06Another living room over to this side, dual aspect.
0:03:06 > 0:03:09So, a door out to the rear courtyard there.
0:03:09 > 0:03:12Nice window, making the most of those views there.
0:03:12 > 0:03:14Which is good.
0:03:14 > 0:03:19It's definitely looking in the dilapidated category of properties,
0:03:19 > 0:03:22but I'm not seeing anything structurally that worries me.
0:03:22 > 0:03:24I quite like this,
0:03:24 > 0:03:28that is an entrance into that first right-hand sitting room there.
0:03:28 > 0:03:30So you can walk around the property which is always nice.
0:03:30 > 0:03:33And then through to the rear where you've got this kitchen.
0:03:33 > 0:03:36It almost feels like this is a bit of an extension and certainly,
0:03:36 > 0:03:39judging by the - ha-ha - original beams, ha-ha,
0:03:39 > 0:03:42it probably is.
0:03:42 > 0:03:44Strange enough, worst part of the house,
0:03:44 > 0:03:46probably last-in, first-out sort of thing.
0:03:46 > 0:03:49This definitely needs a lot of work, but then, so does the whole house.
0:03:51 > 0:03:54Normally I'd be looking at the state of the property
0:03:54 > 0:03:56and sucking in air a lot and tutting.
0:03:56 > 0:03:58But the location is fantastic.
0:03:58 > 0:04:01So is that alone enough to make it a good investment?
0:04:01 > 0:04:04# Do you wonder
0:04:04 > 0:04:08# Is it really worth your while...? #
0:04:10 > 0:04:13So, upstairs, bathroom there.
0:04:13 > 0:04:15Definitely need a refurbishment.
0:04:15 > 0:04:17But three good-sized bedrooms.
0:04:17 > 0:04:20One on that side. One towards the back,
0:04:20 > 0:04:21but it's really the ones at the front
0:04:21 > 0:04:23you're interested in, aren't you?
0:04:23 > 0:04:26because those are the ones which have that outstanding view.
0:04:26 > 0:04:29And you know what, it's one of those properties that
0:04:29 > 0:04:34you forgive it pretty much everything
0:04:34 > 0:04:36because of that.
0:04:36 > 0:04:38# It's glorious
0:04:40 > 0:04:42# Don't give it up... #
0:04:42 > 0:04:43Well, at the back of the property,
0:04:43 > 0:04:45and you've got this little courtyard area.
0:04:45 > 0:04:49That's actually the side of the kitchen with the bedrooms above.
0:04:49 > 0:04:50I think your land goes that way,
0:04:50 > 0:04:52and also a little bit that way
0:04:52 > 0:04:54to give you a little bit of outside storage.
0:04:54 > 0:04:57But in a list of names to describe the state of the garden,
0:04:57 > 0:04:59overgrown would be in the top three.
0:04:59 > 0:05:04So, another to add to the comprehensive list of to-dos,
0:05:04 > 0:05:07and the cost is certainly starting to grow.
0:05:07 > 0:05:10And though my heart says, "Yes, of course, it's worth it,"
0:05:10 > 0:05:13my head is now not so sure.
0:05:13 > 0:05:16- # Is it really, really worth it? - I don't know
0:05:16 > 0:05:19- # Is it really, really worth it? - I don't know... #
0:05:19 > 0:05:21So, what does the local estate agent think?
0:05:22 > 0:05:25It's a project. There is evidence of penetrating dampness
0:05:25 > 0:05:27and rising dampness here,
0:05:27 > 0:05:29so you've got to sort out the damp problem.
0:05:29 > 0:05:31Parking is very limited.
0:05:31 > 0:05:34The answer here would be to do as they've done nearby,
0:05:34 > 0:05:37where they excavate the front of the property
0:05:37 > 0:05:39and put a parking area in there,
0:05:39 > 0:05:42maybe a carport, which would make all the difference.
0:05:42 > 0:05:45So, add that driveway to the to-do list.
0:05:45 > 0:05:48And can a property guided at £95,000
0:05:48 > 0:05:51still see a decent return to go with that excellent review?
0:05:53 > 0:05:56My opinion of value here, when renovated,
0:05:56 > 0:06:03would be that the property would be something circa £175,000.
0:06:03 > 0:06:06Situated where it is, and near a holiday town,
0:06:06 > 0:06:10I can see this property potentially appealing as a holiday let.
0:06:10 > 0:06:12But how would the figures stack up?
0:06:12 > 0:06:14First, as a conventional long-term let.
0:06:16 > 0:06:21On the rental market, renovated and refurbished,
0:06:21 > 0:06:25this would achieve £700 per calendar month.
0:06:25 > 0:06:27And as a holiday let?
0:06:28 > 0:06:30I would look at the rate per week.
0:06:30 > 0:06:34It's something circa £700 a week.
0:06:34 > 0:06:35That's interesting.
0:06:35 > 0:06:39One week's holiday let could match one full month's rent.
0:06:39 > 0:06:41And though with a holiday let,
0:06:41 > 0:06:43you're unlikely to get full occupancy,
0:06:43 > 0:06:45if you could get, say, 15 to 20 weeks a year,
0:06:45 > 0:06:47you could be quids in.
0:06:48 > 0:06:53Well, it's a good price for a property in this kind of location.
0:06:53 > 0:06:59So who was inspired to buy a house on a hill overlooking Prestatyn?
0:06:59 > 0:07:00Let's go to the auction and find out.
0:07:01 > 0:07:05And with the Prestatyn house being right near the end of the auction,
0:07:05 > 0:07:08it was up for grabs in an almost empty room.
0:07:08 > 0:07:10So a three-bedroom mid-terrace,
0:07:10 > 0:07:12in need of a full upgrade and refurbishment scheme.
0:07:12 > 0:07:17The guide on this is £95,000, can I say 90?
0:07:17 > 0:07:20What's that, sir? 80,000, we are up and running at £80,000.
0:07:20 > 0:07:23Can I say 85 anywhere else?
0:07:23 > 0:07:24Anybody else, 85. 90?
0:07:26 > 0:07:29Five? 100?
0:07:29 > 0:07:31Five?
0:07:31 > 0:07:35Fair enough. 100, I have then, I'm looking for 102?
0:07:35 > 0:07:38I'll move on, for the first time at 100,000,
0:07:38 > 0:07:40second time for £100,000?
0:07:40 > 0:07:42Last chance, all going at £100,000...
0:07:43 > 0:07:46Sold. Well done, sir, you got it at 100.
0:07:47 > 0:07:50And that successful bid of £100,000
0:07:50 > 0:07:52was made by local Prestatyn man Tony.
0:07:54 > 0:07:56And he joined me back at the house with his brother, Ian.
0:08:02 > 0:08:04Tony, Ian, good to meet you both.
0:08:04 > 0:08:06- And you, Mike.- Congratulations.
0:08:06 > 0:08:08- Thank you.- Fantastic view.
0:08:08 > 0:08:10- Yeah, great view.- And pretty nice house.
0:08:10 > 0:08:11Tell me why you wanted to buy it?
0:08:13 > 0:08:14Well...
0:08:14 > 0:08:17We only saw it advertised at auction, didn't we,
0:08:17 > 0:08:19about 16 hours before the actual auction day.
0:08:19 > 0:08:2116 hours?
0:08:21 > 0:08:23- Yeah.- Right.
0:08:23 > 0:08:25So, but we live on the hillside anyway.
0:08:25 > 0:08:28- Oh, do you?- Yeah. I live just about 1,000 metres down the road.
0:08:28 > 0:08:32So we know houses like this don't come up for sale very often here.
0:08:32 > 0:08:35- Right.- And we know these views are a premium.
0:08:35 > 0:08:37- Right.- We had a quick look through the window,
0:08:37 > 0:08:39and went to auction the next day.
0:08:39 > 0:08:40Tell me about you two first.
0:08:40 > 0:08:45We're brothers. We've been in partnership in business for
0:08:45 > 0:08:4626, 27 years.
0:08:46 > 0:08:49- Wow...- And we used to have an indoor go-kart track.
0:08:49 > 0:08:52- Oh, what fun. - Ten, 15 minutes away from here.
0:08:52 > 0:08:54Wasn't a great work-life balance,
0:08:54 > 0:08:56needed to do something different
0:08:56 > 0:08:58so we decided to get into the holiday-let market,
0:08:58 > 0:08:59- so...- Oh, OK.
0:08:59 > 0:09:00So we got a few,
0:09:00 > 0:09:03this is the sixth or seventh one actually that we've...
0:09:03 > 0:09:04Seventh one we've bought together, yeah.
0:09:04 > 0:09:07Bought together, yeah. We've got two that are going live next week,
0:09:07 > 0:09:09and then, hopefully, the rest will be ready
0:09:09 > 0:09:11within the next three or four months hopefully, won't they?
0:09:11 > 0:09:13Fingers crossed.
0:09:13 > 0:09:16- Fingers crossed, yeah.- So how is the holiday market in this area?
0:09:16 > 0:09:17It's changed a lot.
0:09:17 > 0:09:20It used to be a lot of people coming for two weeks holidays,
0:09:20 > 0:09:22but now its people coming for weekend breaks.
0:09:24 > 0:09:27What we're looking at as well is that we are right at the end
0:09:27 > 0:09:29or the beginning, of the Offa's Dyke path here.
0:09:29 > 0:09:33So there is a lot of walkers coming to this area to holiday.
0:09:33 > 0:09:36So, hopefully, we might get some of them renting the place.
0:09:36 > 0:09:39# She told me to walk this way
0:09:39 > 0:09:42# Talk this way... #
0:09:42 > 0:09:46Depending on whether you're walking south from here, or north to here,
0:09:46 > 0:09:48the path is just a stone's throw away.
0:09:48 > 0:09:51So there really is potential for a holiday-let market
0:09:51 > 0:09:52right on their doorstep.
0:09:53 > 0:09:57And though some people might be grateful for a roof over their heads
0:09:57 > 0:09:59and a soft bed after a long walk,
0:09:59 > 0:10:02I think most people might want a little more
0:10:02 > 0:10:04than is currently on offer.
0:10:04 > 0:10:06So tell me what you're going to do to sort it out then.
0:10:06 > 0:10:08THEY LAUGH
0:10:08 > 0:10:09Strip it right back.
0:10:09 > 0:10:12Strip it right back. Needs everything, windows, doors, rewire,
0:10:12 > 0:10:16central heating system, obviously new kitchens, bathrooms.
0:10:17 > 0:10:20So we're basically going to take it right back.
0:10:20 > 0:10:22But one of the main areas is, it's got no parking,
0:10:22 > 0:10:24so we're going to create a parking space at the front.
0:10:24 > 0:10:26By digging out?
0:10:26 > 0:10:28By digging out and putting a balcony over the top of it.
0:10:28 > 0:10:30- Oh, nice.- With a glazed frontage
0:10:30 > 0:10:33and then that will be like an outside area as well.
0:10:33 > 0:10:35Oh, wow.
0:10:35 > 0:10:37And we've done that at another property before, so...
0:10:37 > 0:10:38Will that need planning permission?
0:10:38 > 0:10:40We don't think so, so fingers crossed it won't.
0:10:40 > 0:10:42I think it'll just be building recs, so...
0:10:42 > 0:10:44OK, and will that have like an outdoor seating area
0:10:44 > 0:10:46with a view and everything as well?
0:10:46 > 0:10:48Yeah, that's right. It'll go out from here.
0:10:48 > 0:10:50That would be amazing. Really capitalise on where it is.
0:10:50 > 0:10:53So what's the time scale and the budget for doing the work?
0:10:53 > 0:10:56We're looking at about four months, budget-wise,
0:10:56 > 0:10:59anywhere between sort of 30 and 40,000.
0:10:59 > 0:11:01And so is the plan to get more?
0:11:01 > 0:11:04I mean, if it's working, why don't you just continue, I guess?
0:11:04 > 0:11:06Yeah, we just, we've got another one at the moment
0:11:06 > 0:11:08that's going to take up of a lot of our time as well.
0:11:08 > 0:11:11So, once that one's boxed off as well as this one,
0:11:11 > 0:11:14then, yes, we'll certainly be looking at more in the future.
0:11:14 > 0:11:17Yeah, get these two finished first.
0:11:17 > 0:11:19And how does it work between you two guys?
0:11:19 > 0:11:24We basically do all the non-skilled labour together.
0:11:24 > 0:11:25Yeah, we do all of the ripping out.
0:11:25 > 0:11:27Tony usually finds the properties,
0:11:27 > 0:11:29and then we'll do all the ripping out, don't we?
0:11:29 > 0:11:32- Yeah.- And then we'll get the professionals in
0:11:32 > 0:11:33to do all the proper work.
0:11:33 > 0:11:37And has it turned out to be less stressful and time-consuming
0:11:37 > 0:11:39- in the work-life balance? - At the moment, no.
0:11:39 > 0:11:40No, far from it.
0:11:40 > 0:11:45But, hopefully the long-term picture it will, it'll turn out that way.
0:11:45 > 0:11:47We did say we've never worked so hard in our lives
0:11:47 > 0:11:48didn't we, this year?
0:11:48 > 0:11:51- Exactly.- Bring back the go-karts! - Yeah, exactly, yeah.
0:11:51 > 0:11:53Oh, fantastic. Well, congratulations.
0:11:53 > 0:11:54- Thank you.- Good luck with it,
0:11:54 > 0:11:56and looking forward to see how you get on.
0:11:56 > 0:11:58Yeah. Thank you.
0:11:58 > 0:11:59- Nice to meet you.- Cheers, cheers.
0:12:01 > 0:12:04So, Ian and Tony buying the house for the view,
0:12:04 > 0:12:05as you might have expected,
0:12:05 > 0:12:08to add to their portfolio of holiday properties.
0:12:08 > 0:12:10I'm sure it will go very well.
0:12:10 > 0:12:12Just a bit of sorting out to do first,
0:12:12 > 0:12:15before it is ready to take those first holiday-makers.
0:12:15 > 0:12:18You can find out how it all turns out later in the show.
0:12:22 > 0:12:25Lucy is in Folkestone in Kent,
0:12:25 > 0:12:28a place ever popular with those hunting for property.
0:12:28 > 0:12:30And soon to get more popular
0:12:30 > 0:12:33when the new high-speed rail link starts -
0:12:33 > 0:12:35from the coast to London in under an hour.
0:12:37 > 0:12:41Well, just on Folkestone's pedestrianized shopping road here,
0:12:41 > 0:12:44is a mixed-use commercial and residential property.
0:12:44 > 0:12:46There's a shop on the ground floor
0:12:46 > 0:12:48and a flat spread over the two floors above.
0:12:48 > 0:12:54Now its guide price at auction was £80,000 to £82,000.
0:12:54 > 0:12:56Now the auction catalogue happened to mention
0:12:56 > 0:12:59that it's been in the same ownership since the 1960s,
0:12:59 > 0:13:03so can I expect some psychedelic wallpaper
0:13:03 > 0:13:05or even some '60s-filled decor?
0:13:05 > 0:13:06You never know.
0:13:09 > 0:13:11Well, I absolutely love the exterior.
0:13:12 > 0:13:15And no '60s interiors at all.
0:13:15 > 0:13:18But it absolutely wholeheartedly 100%...
0:13:18 > 0:13:20SHE SNIFFS
0:13:20 > 0:13:22..smells hideous in here.
0:13:22 > 0:13:24Damp, you can just smell it the minute you walk in.
0:13:24 > 0:13:26It hits you in the face.
0:13:26 > 0:13:28I mean, you can imagine, if you can smell beyond that,
0:13:28 > 0:13:31see beyond everything in here,
0:13:31 > 0:13:34you've got quite a little unusual shop frontage.
0:13:34 > 0:13:35I actually like that.
0:13:35 > 0:13:37And I do know that this is in an area
0:13:37 > 0:13:39where you can't change things like that,
0:13:39 > 0:13:41so it's going to probably have to stay as it is.
0:13:41 > 0:13:43Probably going to cost a fair bit,
0:13:43 > 0:13:45because that damp is really worrying.
0:13:47 > 0:13:50So you've got your shop downstairs, the commercial premises.
0:13:50 > 0:13:53Residential upstairs, the one-bedroom flat.
0:13:53 > 0:13:57But what I'm really glad to see is this door.
0:13:57 > 0:14:00Now the other side of this door is a little alley way,
0:14:00 > 0:14:02so whoever wants to buy this, rent it, live here,
0:14:02 > 0:14:04has their own independent access,
0:14:04 > 0:14:08so they don't need to traipse through the shop to get upstairs.
0:14:08 > 0:14:12I'm going to get upstairs and have a good look around.
0:14:12 > 0:14:14# Looks like we're getting out to explore... #
0:14:17 > 0:14:19So upstairs is the first level of the flat.
0:14:19 > 0:14:22It's not huge, you've got a very narrow staircase.
0:14:22 > 0:14:25Little staircase leading up there to the bedroom.
0:14:25 > 0:14:29And the kitchen through here, we've got a very quirky room.
0:14:29 > 0:14:31It's such an unusual shape.
0:14:31 > 0:14:35Look at it, it's sort of goes like a square shape but a bit off.
0:14:35 > 0:14:37And again, it absolutely stinks.
0:14:37 > 0:14:39My goodness. Look at that.
0:14:41 > 0:14:44The damp is everywhere on the first floor.
0:14:44 > 0:14:46Let's see if the second is as bad.
0:14:48 > 0:14:50So upstairs, well, this room
0:14:50 > 0:14:53completely mirrors the downstairs space.
0:14:53 > 0:14:56And again, the damp, you can see it you can smell it.
0:14:56 > 0:14:59So I definitely think there's something wrong with that roof.
0:14:59 > 0:15:02Now in the auction catalogue, it's interesting,
0:15:02 > 0:15:05it calls, well, this is a bedroom and next door through here a study.
0:15:05 > 0:15:09And that's because there's no window, therefore no natural light.
0:15:10 > 0:15:12And this couldn't be classed as a bedroom,
0:15:12 > 0:15:13because of the window issue.
0:15:13 > 0:15:16But honestly, it might be pushing it as a study.
0:15:16 > 0:15:17It's tiny.
0:15:19 > 0:15:22So, as a one-bedroom flat over two floors,
0:15:22 > 0:15:23with all the cosmetic work needed,
0:15:23 > 0:15:26those windows will have to be replaced like for like,
0:15:26 > 0:15:28as this is a conservation area.
0:15:31 > 0:15:32Plus, extensive replastering
0:15:32 > 0:15:35and potentially very expensive roof repairs.
0:15:35 > 0:15:39Could this flat and shop guided at 80 to 82 grand
0:15:39 > 0:15:41add up to a reasonable investment?
0:15:41 > 0:15:45We asked along a local estate agent to give us his thoughts.
0:15:45 > 0:15:47So this property is located in a very good location.
0:15:47 > 0:15:49We are at the foot of the main high street,
0:15:49 > 0:15:51and on the sort of cut through to the old high street area,
0:15:51 > 0:15:53which is the creative quarter.
0:15:53 > 0:15:56The small unit shop area downstairs,
0:15:56 > 0:15:58I think would suit a sort of boutique-type shop.
0:15:58 > 0:15:59Probably a sole trader,
0:15:59 > 0:16:02somebody who wants to run their own business from there.
0:16:02 > 0:16:04Sounds an ideal spot, but what about the flat?
0:16:06 > 0:16:09The flat area of the property is actually quite interesting.
0:16:09 > 0:16:11It's over two floors,
0:16:11 > 0:16:15it's got sash windows to the front and the rooms are unusual shapes.
0:16:15 > 0:16:17And you have, although it's only one-bedroom,
0:16:17 > 0:16:20we have a separate room as a sort of study area.
0:16:20 > 0:16:22But it doesn't have a window or ventilation,
0:16:22 > 0:16:23so it can't be a bedroom.
0:16:23 > 0:16:25But it could be quite appealing to somebody,
0:16:25 > 0:16:27and the location is very good.
0:16:27 > 0:16:31So, what could the shop and flat sell for on the open market?
0:16:32 > 0:16:34Once the property is fully renovated,
0:16:34 > 0:16:36I feel that the commercial unit downstairs,
0:16:36 > 0:16:39we'd be looking at around £30,000.
0:16:39 > 0:16:45And the residential one-bedroom property up here, at £75,000.
0:16:45 > 0:16:49As one building altogether, I feel that might be a better route,
0:16:49 > 0:16:53and I think somebody would pay around £110,000 for it
0:16:53 > 0:16:55as one unit that they could use together.
0:16:56 > 0:16:59Well, this shop and flat are not without their problems.
0:16:59 > 0:17:01It's in a good location,
0:17:01 > 0:17:05and it's great that you can sort out independent access for the flat,
0:17:05 > 0:17:07but there is so much damp to deal with.
0:17:07 > 0:17:11So, who was tempted to buy this quirky Folkestone property?
0:17:11 > 0:17:13Let's find out who bid for it at auction.
0:17:13 > 0:17:15Put your hand up if you haven't bought a property yet.
0:17:15 > 0:17:17Oh, one person.
0:17:17 > 0:17:20All right, how much can we start the next bidding at then?
0:17:20 > 0:17:23We've got a guide of 80 to 82,000.
0:17:23 > 0:17:24Start me where you will,
0:17:24 > 0:17:27but £80,000 should see hands flicking up everywhere.
0:17:27 > 0:17:30£80,000 anywhere?
0:17:30 > 0:17:32£80,000 to start me.
0:17:32 > 0:17:33There's going to be a bun fight
0:17:33 > 0:17:35if this doesn't sell in the room afterwards.
0:17:35 > 0:17:36£70,000?
0:17:36 > 0:17:39Thank you very much, £70,000 I am bid.
0:17:39 > 0:17:42£70,000 I have, 72.
0:17:42 > 0:17:45And four? 76, and eight.
0:17:45 > 0:17:47And 80? At £80,000?
0:17:47 > 0:17:51Lady's bid on the right-hand side at £80,000, I have.
0:17:51 > 0:17:5282, I have.
0:17:52 > 0:17:53What about 85?
0:17:53 > 0:17:54After a low start,
0:17:54 > 0:17:57bids then exceed the top of the guide-price band.
0:17:57 > 0:18:00We rejoined the bidding at 92,000.
0:18:00 > 0:18:03At £92,000, 95,
0:18:03 > 0:18:04at 98, sir?
0:18:06 > 0:18:0998. 100?
0:18:09 > 0:18:11£98,000 I am bid,
0:18:11 > 0:18:12100, do I see?
0:18:12 > 0:18:15For the first time, at 98,000.
0:18:15 > 0:18:18For the second time, at 98,000.
0:18:18 > 0:18:23For the third and final time, 98,000, are you all done?
0:18:23 > 0:18:24Sold at 98,000.
0:18:24 > 0:18:29At £98,000, the buyer was John, who's already a local resident.
0:18:29 > 0:18:31Guess what he does for a living?
0:18:31 > 0:18:34# Hey, Mr Taxi Driver! #
0:18:34 > 0:18:37And the good news is, this is the cabbie's first property purchase,
0:18:37 > 0:18:39and he's bought it for himself.
0:18:40 > 0:18:41John, congratulations.
0:18:41 > 0:18:44I think it's brilliant what you've bought here at auction.
0:18:44 > 0:18:45You've got a lot of work to do.
0:18:45 > 0:18:48How do you feel now? The hammer went down, and it's yours.
0:18:49 > 0:18:52- Scared.- Are you scared?
0:18:52 > 0:18:55No, this is quite a lot of work to do.
0:18:55 > 0:18:57Yes.
0:18:57 > 0:18:58So tell me about your journey
0:18:58 > 0:19:01and how you've got to end up being here in this position.
0:19:01 > 0:19:05Well, I'm renting a place at the moment and getting a bit older now,
0:19:05 > 0:19:09so I thought if I don't get myself a place, I never will, so...
0:19:09 > 0:19:12So how did you manage to finance this?
0:19:12 > 0:19:14Had to take out a bridging loan at the moment
0:19:14 > 0:19:16because they won't give me any,
0:19:16 > 0:19:21a mortgage on it, because it's part-commercial, part-residential.
0:19:21 > 0:19:23So were are you hoping to buy this
0:19:23 > 0:19:26and then be able to get a mortgage on it straightaway?
0:19:26 > 0:19:30I hoped to yes, but
0:19:30 > 0:19:32they don't seem to want to know, no.
0:19:32 > 0:19:34So you've had to get a bridging loan,
0:19:34 > 0:19:35which is really costly.
0:19:35 > 0:19:38- Yes.- And is that worrying you at all?
0:19:38 > 0:19:43Not hugely, but as long as it's not too long,
0:19:43 > 0:19:47as long as I get something sorted fairly quickly. Yeah.
0:19:47 > 0:19:51# I want a roof over my head
0:19:51 > 0:19:54# And bread on the table... #
0:19:54 > 0:19:56So, John has decided it's time to own a home.
0:19:56 > 0:19:59However, a bridging loan might not be the best choice,
0:19:59 > 0:20:02they're really designed for short-term,
0:20:02 > 0:20:04and they can be very expensive,
0:20:04 > 0:20:07with a much higher interest rate than a conventional loan.
0:20:07 > 0:20:10It's always wise to arrange a loan and the interest rate
0:20:10 > 0:20:12before you put your hand up at auction.
0:20:12 > 0:20:14But the first thing John should do now,
0:20:14 > 0:20:18is get a specialist to source a good mortgage deal and quickly.
0:20:18 > 0:20:21We're still in a rush to put a roof over his head,
0:20:21 > 0:20:25John has a property with serious roof problems.
0:20:27 > 0:20:31So tell me about the roof, it looks as though there's leaks everywhere,
0:20:31 > 0:20:32it could be quite an expensive job to rectify.
0:20:32 > 0:20:34Have you been up to check it out?
0:20:34 > 0:20:35No, no, no.
0:20:35 > 0:20:39I'm a bit of a wimp, me, I'm scared of heights.
0:20:39 > 0:20:41So, I'll just get somebody else to go up there.
0:20:41 > 0:20:43John, you need to sort it out.
0:20:43 > 0:20:45I mean, there's obviously problems up on the roof.
0:20:45 > 0:20:47Yes, yes, yeah, I have to get someone in
0:20:47 > 0:20:49who knows what they're doing.
0:20:49 > 0:20:52So are you worried that what you've bought
0:20:52 > 0:20:55might end up costing so much more than what you initially thought?
0:20:55 > 0:20:56I hope it doesn't, but...
0:20:58 > 0:21:02The roof is the biggest, biggest expense, really.
0:21:02 > 0:21:05Unfortunately, while John did view the property before the auction,
0:21:05 > 0:21:09he didn't consult any experts about the damp.
0:21:09 > 0:21:12# Oh, no... #
0:21:12 > 0:21:14Have you got any idea of the budget,
0:21:14 > 0:21:16and how much money you're going to need to spend here
0:21:16 > 0:21:19to turn things around?
0:21:19 > 0:21:21No, no...
0:21:21 > 0:21:23John, you're really frightening me.
0:21:23 > 0:21:27How much do you think you might need to do the work here?
0:21:27 > 0:21:29If I wanted to change any of the windows,
0:21:29 > 0:21:31it's a conservation area, so...
0:21:31 > 0:21:35You're looking at about a grand a piece on those sash windows.
0:21:35 > 0:21:38So I take it you're probably not going to be changing the windows?
0:21:38 > 0:21:41No, no. Not in the short-term, no.
0:21:41 > 0:21:44It's just the roof really, it's the main cost.
0:21:44 > 0:21:46Have you got any idea how much that might cost you?
0:21:46 > 0:21:49I did phone somebody up and I managed to get a...
0:21:49 > 0:21:53they gave a rough sort of idea of about three and a half grand,
0:21:53 > 0:21:54plus scaffolding.
0:21:54 > 0:21:55And that was just on the phone.
0:21:55 > 0:21:58They hadn't seen it, so that's a really loose estimate.
0:21:58 > 0:22:02- Rough, rough.- OK, right, that's worrying me as well.
0:22:02 > 0:22:05What about your funds?
0:22:05 > 0:22:07So, did you put all your money into this property?
0:22:07 > 0:22:12- Yes, yeah.- So you don't have any side funds to pay for the works?
0:22:12 > 0:22:14Not a lot, no, no.
0:22:14 > 0:22:16How long do you think it's going to take you?
0:22:16 > 0:22:19It's probably going to take a year to sort the place out.
0:22:19 > 0:22:21I work on weekends, and in the evenings,
0:22:21 > 0:22:24so I'll just have to try and do a bit during the day.
0:22:24 > 0:22:26Are you worried about renting out the shop?
0:22:26 > 0:22:28Once you've got it tip-top and all looking good,
0:22:28 > 0:22:30you've got to find somebody that wants to rent it from you.
0:22:30 > 0:22:33What sort of business could you see running from here?
0:22:33 > 0:22:36Yeah, there's a lot of art shops and I think down,
0:22:36 > 0:22:39down sort of around the old high street area there.
0:22:39 > 0:22:42Are you going to be all right?
0:22:42 > 0:22:44- Hopefully. - THEY LAUGH
0:22:44 > 0:22:47Listen, we shouldn't laugh, because this is quite serious.
0:22:47 > 0:22:50I don't want you spending any more money on that bridging loan.
0:22:50 > 0:22:54No, no, no, I've got to get that sorted as soon as possible.
0:22:54 > 0:22:55- Good luck with this.- Thank you.
0:22:55 > 0:22:58I really can't wait to see how you turn it around.
0:22:58 > 0:23:00- Lovely meeting you.- Thank you, thanks very much.
0:23:00 > 0:23:01Thank you.
0:23:02 > 0:23:05John wanted to leave the world of renting behind,
0:23:05 > 0:23:06to buy his first property.
0:23:06 > 0:23:09But he's bought a bit of a tricky one here.
0:23:09 > 0:23:11My biggest worry is his finances!
0:23:11 > 0:23:13That bridging loan!
0:23:13 > 0:23:16We'll find out which problems John solves later in the show.
0:23:18 > 0:23:22Still to come, in Derbyshire this three-bed Darley Dale cottage
0:23:22 > 0:23:25gets me channelling my inner Sherlock Holmes.
0:23:25 > 0:23:28I'm taking a guess, that was the colour of the wallpaper.
0:23:30 > 0:23:32And at John's Folkestone property,
0:23:32 > 0:23:37avian residents mean his roof repair plans have had their chips.
0:23:37 > 0:23:40Seagulls were on there.
0:23:42 > 0:23:44We're heading back to North Wales now,
0:23:44 > 0:23:47and the picturesque seaside town of Prestatyn
0:23:47 > 0:23:50where, earlier, I saw this three-bedroom mid-terraced property
0:23:50 > 0:23:52guided at 95 grand.
0:23:52 > 0:23:55My first thought was, does it have a good view?
0:23:59 > 0:24:00Yep, it certainly does.
0:24:00 > 0:24:03# Ain't no mountain high enough
0:24:03 > 0:24:05# Ain't no valley low enough
0:24:05 > 0:24:07# Ain't no river wide enough
0:24:07 > 0:24:10# To keep me from you... #
0:24:10 > 0:24:14Sadly, the internal view of the property was far less inspiring.
0:24:14 > 0:24:17Particularly in the kitchen and bathroom.
0:24:17 > 0:24:20The three bedrooms, though, were a good size,
0:24:20 > 0:24:23and the front ones enjoyed this spectacular vantage point.
0:24:26 > 0:24:28Paying 100 grand for the property
0:24:28 > 0:24:30were brothers Ian and Tony, on the right.
0:24:31 > 0:24:35Years ago, they had decided to sell their demanding go-kart business
0:24:35 > 0:24:37and go into property development
0:24:37 > 0:24:40in the hope of a better work-life balance.
0:24:40 > 0:24:43They already have six other holiday lets in their portfolio.
0:24:43 > 0:24:46And were aiming this for the same market,
0:24:46 > 0:24:49because of its proximity to the Offa's Dyke path.
0:24:50 > 0:24:53When we met them, I hit them with my favourite question,
0:24:53 > 0:24:55you know the one.
0:24:55 > 0:24:58So tell me what you're going to do to sort it out then?
0:24:59 > 0:25:02Strip it right back, needs everything, windows, doors, rewired,
0:25:02 > 0:25:04central heating system.
0:25:04 > 0:25:06One of the main areas is, it's got no parking,
0:25:06 > 0:25:08so we're going to create a parking space at the front.
0:25:08 > 0:25:10- By digging out?- By digging out,
0:25:10 > 0:25:12and putting a balcony over the top of it.
0:25:12 > 0:25:14- Oh, nice.- With a glazed frontage.
0:25:16 > 0:25:19All that digging and clearing would certainly worsen
0:25:19 > 0:25:20my work-life balance.
0:25:22 > 0:25:26We're back, just over eight months later, to see the changes.
0:25:26 > 0:25:29# I can't wait to go home
0:25:29 > 0:25:31# I'm on my way... #
0:25:31 > 0:25:33And what a change.
0:25:33 > 0:25:36They've really solved the parking issue.
0:25:36 > 0:25:39And opened the view up to the outside space.
0:25:39 > 0:25:44# Over the castle on the hill... #
0:25:44 > 0:25:46I can't wait to look inside.
0:25:47 > 0:25:49Remember the old bathroom?
0:25:49 > 0:25:52It now has a much more hygienic flooring
0:25:52 > 0:25:56and waterproof cladding for a groutless mould-free finish.
0:25:56 > 0:25:58Worthy of a 5-star hotel.
0:25:58 > 0:26:01And ideal for the demands of frequent changeovers
0:26:01 > 0:26:02with holiday lets.
0:26:04 > 0:26:07Do you remember how the master bedroom looked?
0:26:07 > 0:26:11Nope? No worries, I'll take you back to when it was like this.
0:26:11 > 0:26:14# Take me back to when... #
0:26:14 > 0:26:18Well, actually, Ed, it was February 2017,
0:26:18 > 0:26:20we did mention it earlier.
0:26:20 > 0:26:22Anyway, this bedroom being at the front of the house
0:26:22 > 0:26:26is one of the two that really enjoy those fantastic views.
0:26:26 > 0:26:30And there's lots of touches of luxury here in the dressing room.
0:26:30 > 0:26:34# I can't wait to go home... #
0:26:34 > 0:26:37Well, just keep singing for a minute, we're nearly done now.
0:26:37 > 0:26:39And here's bedroom two.
0:26:47 > 0:26:50And finally, upstairs, the back bedroom.
0:26:50 > 0:26:55# Over the castle on the hill
0:26:55 > 0:26:58# Hey, hoo, oh... #
0:26:58 > 0:27:00Well, we'd better hurry things along now,
0:27:00 > 0:27:02because I think Ed needs to get off home.
0:27:02 > 0:27:04Pretty much anything you would've done to the kitchen
0:27:04 > 0:27:06would've been an improvement.
0:27:06 > 0:27:08And this certainly is.
0:27:08 > 0:27:13And the front room, let's face it, it was pretty user-hostile.
0:27:13 > 0:27:18Now, it's got a homely log burner making it, ooh, homely.
0:27:18 > 0:27:22And the dining room has a rejuvenated feature,
0:27:22 > 0:27:23over to Tony and Ian.
0:27:24 > 0:27:26You can get off now, Mr Sheeran.
0:27:26 > 0:27:28We decided to put the French doors,
0:27:28 > 0:27:31just to bring the garden into the house, almost.
0:27:31 > 0:27:34Because nowadays, a good garden is almost like an extra room.
0:27:34 > 0:27:35It's like an extra living room.
0:27:35 > 0:27:38And the brothers didn't do it all on their own.
0:27:38 > 0:27:41They called in a relatively seasoned tradesman,
0:27:41 > 0:27:44Ian's father-in-law, Bob, and his best friend, Brian.
0:27:44 > 0:27:46We cleared all the rubbish out of the way, didn't we?
0:27:46 > 0:27:49- And they had all the tools to hand. - Well, they were great, weren't they?
0:27:49 > 0:27:51- Oh, yeah, couldn't have done it without them.- No.
0:27:51 > 0:27:53But working with family and friends can be tricky.
0:27:53 > 0:27:55Was there any sibling rivalry?
0:27:55 > 0:27:58We wouldn't be brothers if we didn't fall out, would we?
0:27:58 > 0:27:59No.
0:28:00 > 0:28:02The chaps are fairly cool about doubling the timescale
0:28:02 > 0:28:05to eight months. They put new drains in at the back,
0:28:05 > 0:28:09plus planning for the carport took its time, as did digging it out.
0:28:11 > 0:28:14There must have been about 20 odd tonne that we'd actually handballed
0:28:14 > 0:28:18at some stage up to a skip 200 metres up the road, and between the
0:28:18 > 0:28:21two of us, we shifted most probably 18.5 of those tonnes, didn't we?
0:28:21 > 0:28:23- Yeah, definitely. - So, yeah.
0:28:23 > 0:28:26I'm told "handballed" is a technical term
0:28:26 > 0:28:28used in the wheelbarrow fraternity.
0:28:28 > 0:28:32So, how's the new work-life balance compared with the old days?
0:28:33 > 0:28:36Well, we had a little say in when we worked at the go-kart tracks,
0:28:36 > 0:28:39saying, "It's not exactly digging coal, is it?"
0:28:39 > 0:28:40But this has been worse.
0:28:40 > 0:28:43The original budget was £30,000-40,000,
0:28:43 > 0:28:47and Tony and Ian reckon they've spent £42,000 before fees.
0:28:47 > 0:28:49But have they learned anything for the future?
0:28:51 > 0:28:53Find somewhere with better access.
0:28:53 > 0:28:55Yeah, without a doubt.
0:28:55 > 0:28:58The chaps also learned that a previous occupier was
0:28:58 > 0:29:01privileged to be one of the few saxophonists
0:29:01 > 0:29:04who is rumoured to have played with Dusty Springfield.
0:29:04 > 0:29:08On occasion, we do hear the slight sort of tones of a saxophone
0:29:08 > 0:29:10late at night, don't we?
0:29:10 > 0:29:12# Spooky... #
0:29:14 > 0:29:16The chaps have started taming the overgrown back garden,
0:29:16 > 0:29:20and they're going to invest more in its landscaping in due course.
0:29:20 > 0:29:23They've found it's got three distinct levels,
0:29:23 > 0:29:25and want to capitalise on it.
0:29:26 > 0:29:28# Ooh, spooky... #
0:29:32 > 0:29:35The spectre of estate agents' valuations may put a shiver down
0:29:35 > 0:29:39some developers' backs, but I suspect not here. So first, the
0:29:39 > 0:29:46agent who's visited this particular haunt before work started.
0:29:46 > 0:29:48It's a nice traditional property.
0:29:48 > 0:29:50Dates back, I think, to about the 1890s.
0:29:50 > 0:29:53So they haven't ruined it in any way.
0:29:53 > 0:29:55I think it's a really, really nice property.
0:29:55 > 0:29:58I think the property has been done to a very high standard,
0:29:58 > 0:30:01a really nice finish, even down to the doors.
0:30:01 > 0:30:05So, having bought it for 100,000 and spending 42,000 on it,
0:30:05 > 0:30:09the top agent sales evaluation came out at 220 grand,
0:30:09 > 0:30:12a potential 78 grand profit.
0:30:12 > 0:30:15But as we know, the chaps aren't in it for the short-term game.
0:30:15 > 0:30:19It's more about maximising their assets in the long-term.
0:30:19 > 0:30:22So if it was a holiday let, it could achieve around £800 a week.
0:30:22 > 0:30:28In the high season, this would achieve £850 per week.
0:30:28 > 0:30:32And in low season, I would suggest that it would be
0:30:32 > 0:30:36something in the order of £600-£650 per week.
0:30:36 > 0:30:41For simplicity, let's take the average of £725 per calendar month,
0:30:41 > 0:30:45which equates to an annual yield of nearly 7%.
0:30:45 > 0:30:47We've had some forecasts done already.
0:30:47 > 0:30:51They were projecting about £20,000 a year based on 30 weeks occupancy.
0:30:51 > 0:30:56So, if we have, you know, anything over 40 weeks, it's a bonus.
0:30:56 > 0:30:59Has anything in this project made them wary of
0:30:59 > 0:31:00returning to the auction?
0:31:00 > 0:31:02- Nothing to be afraid of. - Definitely not.
0:31:02 > 0:31:06We've bought most probably half our portfolio now, at auction, so...
0:31:06 > 0:31:10You know, I'd recommend it to anyone as long as they do their homework.
0:31:13 > 0:31:16We're in Derbyshire, in the village of Darley Dale,
0:31:16 > 0:31:20a popular spot on the edge of the Peak District, with some
0:31:20 > 0:31:25very attractive period properties built using stone from the region.
0:31:25 > 0:31:28This area is not just a lovely place to live,
0:31:28 > 0:31:30but it's popular with holiday-makers,
0:31:30 > 0:31:33so I'm hoping to find something interesting.
0:31:33 > 0:31:37Now, the property I'm here to see is this. It's a three-bed cottage,
0:31:37 > 0:31:42over three floors with a guide price of £78,000 plus.
0:31:42 > 0:31:44It's raining, so I'm going inside.
0:31:44 > 0:31:49# And a little rain never hurt no-one... #
0:31:51 > 0:31:55All right, so we're in, and straight into the front room.
0:31:55 > 0:31:59Good size, actually. Wasn't expecting it to be this big at all.
0:31:59 > 0:32:03Fireplace here, gas fire, nice high ceiling.
0:32:03 > 0:32:05Central heating as well.
0:32:05 > 0:32:06It does...
0:32:06 > 0:32:10OK, I'm taking a guess, that WAS the colour of the wallpaper.
0:32:10 > 0:32:13So, yes, it hasn't been touched in some time.
0:32:13 > 0:32:15Through across a small hallway,
0:32:15 > 0:32:17there are the stairs going up to the bedrooms.
0:32:17 > 0:32:20I'll get up there later. Into the second reception room,
0:32:20 > 0:32:25and you've got some... you could call it vintage.
0:32:25 > 0:32:27Some people might call it retro.
0:32:27 > 0:32:29Whatever it is, get rid of it.
0:32:29 > 0:32:32This is '80s. We don't want '80s now, we want modern.
0:32:32 > 0:32:36Get rid of this, more space in here, good size room again.
0:32:36 > 0:32:40I recognise that stadium - West Ham's old ground, called Upton Park.
0:32:40 > 0:32:43Scored there many times, I've got to say, thank you very much.
0:32:43 > 0:32:46And then you stroll into the kitchen.
0:32:46 > 0:32:48Galley kitchen, good size again.
0:32:48 > 0:32:52And there is a lean-to just out here as well.
0:32:52 > 0:32:54But, like everything else I've seen so far,
0:32:54 > 0:32:57this place needs a bit of TLC.
0:32:57 > 0:33:00Needs a bit of effort and a bit of love given to it.
0:33:00 > 0:33:03Modernise it - that's all it needs so far.
0:33:11 > 0:33:15Upstairs, there are more rooms in need of TLC,
0:33:15 > 0:33:18two bedrooms and a bathroom, to be precise.
0:33:18 > 0:33:20And wow, an avocado suite.
0:33:20 > 0:33:23Now I've heard that these are sought-after again.
0:33:23 > 0:33:27Just shows you, hang onto something long enough, and...
0:33:27 > 0:33:29No, take it out.
0:33:29 > 0:33:32And there's a lot of wood panelling on show, and I would definitely
0:33:32 > 0:33:35get rid of it and take this house up a level.
0:33:35 > 0:33:37Speaking of upper-level...
0:33:38 > 0:33:43So this is your third bedroom in the loft space. Now, it's
0:33:43 > 0:33:48quite unusual you've got this much headroom in a loft space bedroom.
0:33:48 > 0:33:49But it's good, it's a double size.
0:33:49 > 0:33:51You'd get a double bed in here, no problem at all.
0:33:51 > 0:33:54You've got some wardrobes here...
0:33:54 > 0:33:56Which aren't too bad, bit of cupboard space.
0:33:56 > 0:34:01You could also use this as an office if you were to work from home.
0:34:01 > 0:34:04Have this as your office space, get rid of the wardrobes,
0:34:04 > 0:34:06you won't need those. Make it just that little bit bigger.
0:34:06 > 0:34:10I'm happy with the size of this room. And, if you are...
0:34:12 > 0:34:17..6' 2" plus, on your tip-toes, you can enjoy the view.
0:34:17 > 0:34:22# Peekaboo! Peekaboo! #
0:34:23 > 0:34:27You might only get a peek at the Peak District from here,
0:34:27 > 0:34:29but it's better than nothing.
0:34:29 > 0:34:31And although we're at the top of the house,
0:34:31 > 0:34:34we haven't peaked yet at this property.
0:34:34 > 0:34:36So let's have a look out the back, see what we've got.
0:34:38 > 0:34:40That's Dublin!
0:34:40 > 0:34:42And he's scored again!
0:34:42 > 0:34:45Anyway, the back garden is long and thin. It's a decent size.
0:34:45 > 0:34:47But it's the back of the house I wanted to look at,
0:34:47 > 0:34:50and I know what you're thinking. You're thinking the same as me.
0:34:50 > 0:34:52DOG BARKS What about...?
0:34:52 > 0:34:54And the dog is thinking the same thing as well.
0:34:54 > 0:34:56A bit of an extension, not that simple.
0:34:56 > 0:35:00This is a conservation area. This is the Derbyshire Dales -
0:35:00 > 0:35:03you can't just stick up a conservatory wherever you want.
0:35:03 > 0:35:09# Change is hard, I should know... #
0:35:11 > 0:35:15A chat with your local planning officer is a good way to find out
0:35:15 > 0:35:18what you can and can't do in a conservation area.
0:35:18 > 0:35:22There are normally restrictions on anything to do with the exterior,
0:35:22 > 0:35:25such as types of materials used in cladding,
0:35:25 > 0:35:28external walls, chimneys, and windows.
0:35:28 > 0:35:32This ensures that all buildings in a conservation area remain in keeping
0:35:32 > 0:35:36with the area's special architectural quality.
0:35:36 > 0:35:40The building isn't listed, though, so work can be done internally
0:35:40 > 0:35:42to this house to get it fully modernised.
0:35:42 > 0:35:45We've asked along an agent from the auction house that sold it
0:35:45 > 0:35:48to see what he thinks of this place.
0:35:48 > 0:35:50Having seen the property myself,
0:35:50 > 0:35:53internally, it needs a good scheme of improvements, really,
0:35:53 > 0:35:56ranging from a new kitchen and bathroom to re-plastering,
0:35:56 > 0:35:59perhaps a new central heating system,
0:35:59 > 0:36:00some windows will need replacing.
0:36:00 > 0:36:05So overall, a comprehensive scheme of improvements that is needed,
0:36:05 > 0:36:07and will surely bring it up to a nice, modern day standard.
0:36:09 > 0:36:10And once fully modernised,
0:36:10 > 0:36:13what could this house guided at 78 grand plus be worth?
0:36:14 > 0:36:17On the open market, it's likely to achieve in the region of
0:36:17 > 0:36:19£165,000-£170,000.
0:36:24 > 0:36:27So this cottage needs a bit of money spending on it,
0:36:27 > 0:36:31and it's in a conservation area, so you are restricted somewhat
0:36:31 > 0:36:34on what you can do to the outside of this place.
0:36:34 > 0:36:37But you're in the Peak District, it's beautiful here.
0:36:37 > 0:36:40This should appeal to a lot of people.
0:36:40 > 0:36:44So, why don't we find out who peaked at the right time
0:36:44 > 0:36:46when it went under the hammer?
0:36:46 > 0:36:47Highly desirable location.
0:36:47 > 0:36:49I know lots of you have been to see this property.
0:36:51 > 0:36:53So, guide price here is 78,000.
0:36:53 > 0:36:56Who will start me off on the guide at 78?
0:36:56 > 0:36:5775?
0:36:57 > 0:36:59We'll go further away than this.
0:36:59 > 0:37:0272? We've got 72,000 to put this into the bidding.
0:37:02 > 0:37:04She has, thank you, at £72,000 we're away.
0:37:04 > 0:37:0772, I have, 73 now?
0:37:07 > 0:37:0972,000, 73?
0:37:09 > 0:37:12There was plenty of interest in this lot,
0:37:12 > 0:37:16but eventually, it boiled down to two bidders at the back of the room.
0:37:16 > 0:37:20They soon took the bids up to £102,000.
0:37:20 > 0:37:23102? It's back at 102 and a half.
0:37:23 > 0:37:26And a half again. 103. And a half?
0:37:26 > 0:37:29104. And a half?
0:37:29 > 0:37:30105?
0:37:30 > 0:37:33Fair warning, the hammer is up at £104,500.
0:37:33 > 0:37:36It goes to the gentleman right in front of me seated.
0:37:36 > 0:37:40Sold. Well bought, sir, at 104 and a half.
0:37:40 > 0:37:41Thank you.
0:37:41 > 0:37:43And, after a tensely-fought lot,
0:37:43 > 0:37:49the purchaser who paid £104,500 for this was Daniel, who was seated.
0:37:49 > 0:37:52Stood behind him was property broker Abdul. Abdul has been on the show
0:37:52 > 0:37:56before when he renovated a house in Swadlincote.
0:37:58 > 0:38:01In his role as a property broker, Abdul searches for
0:38:01 > 0:38:05suitable properties to purchase and renovate for his investors.
0:38:05 > 0:38:08In this case, he's working for Daniel.
0:38:08 > 0:38:10I met him back at the house to find out more.
0:38:10 > 0:38:13- Abdul.- Nice meeting you again. - You've been on the show before,
0:38:13 > 0:38:15- and you're still at it.- I source the properties for the investors,
0:38:15 > 0:38:17so this is for another investor.
0:38:17 > 0:38:19Is this what they were looking for?
0:38:19 > 0:38:21Yeah, they're looking for flip projects.
0:38:21 > 0:38:23So buy something run down like this,
0:38:23 > 0:38:26you know, spend a bit of money, and sell it on.
0:38:26 > 0:38:29OK, so have your clients seen this?
0:38:29 > 0:38:32Yes. I always advise my clients to come and view the property...
0:38:32 > 0:38:34- Clever.- ..prior to auction. - Good work, good work, yes.
0:38:34 > 0:38:36- I'll take a handshake on that one, good work.- Thank you.
0:38:36 > 0:38:39- Good work. Good work, don't let your clients down.- No. Never.
0:38:39 > 0:38:41Now when they seen it, were they happy? Did they say, "Well done"?
0:38:41 > 0:38:45Yeah, there's bags of potential on this property.
0:38:45 > 0:38:49We've had a value of about £185,000.
0:38:49 > 0:38:53- OK.- Similar properties have sold for about £190,000.
0:38:53 > 0:38:56So if we achieve 185, then the investor is going to be very happy.
0:38:56 > 0:38:58So you've done your research in the area, you know what
0:38:58 > 0:39:01- properties are going for? - Yeah, that's what we expertise in.
0:39:01 > 0:39:02So we don't just source it,
0:39:02 > 0:39:05we do all the evaluation reports etc for the investor.
0:39:05 > 0:39:08So, it saves them a lot of the legwork and the tension
0:39:08 > 0:39:09and the headache.
0:39:09 > 0:39:13There are plenty of people who want to invest their savings in property,
0:39:13 > 0:39:16but don't have the time or expertise to do so.
0:39:16 > 0:39:19So they go through brokers like Abdul or other companies
0:39:19 > 0:39:21offering a similar service.
0:39:21 > 0:39:25As always, it's important to make sure the companies are reputable.
0:39:25 > 0:39:29And also remember that there is always a risk that you could
0:39:29 > 0:39:33lose out on any project. The one thing that can minimise that risk is
0:39:33 > 0:39:37making sure that for every project, you do something I'm always
0:39:37 > 0:39:42banging on about - research, research, and more research.
0:39:42 > 0:39:44So, in the Peak District here, very pretty place.
0:39:44 > 0:39:47You get a lot of holiday-makers here as well.
0:39:47 > 0:39:50Was that in the thinking with the client?
0:39:50 > 0:39:53That's one thing that impressed the investor,
0:39:53 > 0:39:58because there's lots of tourism, and we've studied the market quite well,
0:39:58 > 0:40:00and the properties are selling very fast.
0:40:00 > 0:40:02So that's what appealed to the investor most.
0:40:02 > 0:40:05Well, this is in a conservation area first and foremost,
0:40:05 > 0:40:08so you're kind of restricted. Did they know that? Do they mind?
0:40:08 > 0:40:10That's right, yeah, no, that's what they used me for.
0:40:10 > 0:40:13And, of course, it's a restricted area.
0:40:13 > 0:40:16- We can't change the outside.- Uh-huh. - We can't do an extension.
0:40:16 > 0:40:19But interiorly, we've been given advice we can change it,
0:40:19 > 0:40:22- bring it to a modern standard.- It's just all old-fashioned, isn't it?
0:40:22 > 0:40:26That's right, strip it all bare. You know, bring it back to freshness.
0:40:26 > 0:40:29- That's the plan. - What's your budget for this project?
0:40:29 > 0:40:31Maximum budget, £20,000.
0:40:31 > 0:40:35- OK.- But there's always unforeseen things popping up.
0:40:35 > 0:40:38- Of course.- But we're going to tend to stick to the budget, £20,000.
0:40:38 > 0:40:41OK, 20 grand, and what's it going to be spent on?
0:40:41 > 0:40:43I know you want to refurb it, and just change it all.
0:40:43 > 0:40:48Yes, so rewiring the place. You know, decorating the whole place.
0:40:48 > 0:40:50- Probably going to put a coal burner there.- OK.
0:40:50 > 0:40:52Changing the doors, etc.
0:40:52 > 0:40:54So everything's just going to come back to the bare brick.
0:40:54 > 0:40:58- Bare brick?- Yeah, bare brick, and style all over again.
0:40:58 > 0:40:59Are you getting involved in this one?
0:40:59 > 0:41:01Are you getting your hands dirty on this one?
0:41:01 > 0:41:03No, I might take the tie off, though.
0:41:03 > 0:41:05- Is that the lot? - Yeah, that's the lot!
0:41:05 > 0:41:07No, I project manage the repairs for the investor.
0:41:07 > 0:41:10So 20 grand budget - how long is it going to take you to do?
0:41:10 > 0:41:12We're looking at about three months. Three months timescale.
0:41:12 > 0:41:14- Start to finish? - Yeah, start to finish.
0:41:14 > 0:41:16OK, and you're happy with this project moving forward?
0:41:16 > 0:41:18Very, very happy, yeah. Very happy.
0:41:18 > 0:41:20- Can't wait to start. - I can't wait to see it.
0:41:20 > 0:41:21I really can't. I wish you all the best.
0:41:21 > 0:41:24- Thank you, sir.- Good luck, Abdul. - Thank you very much.
0:41:25 > 0:41:28Well, it's good to see Abdul again, and as per usual,
0:41:28 > 0:41:30he's as confident as ever.
0:41:30 > 0:41:33He's talking the talk, but can he walk the walk?
0:41:33 > 0:41:34He's happy with this project,
0:41:34 > 0:41:37but will his clients be happy with the end product?
0:41:37 > 0:41:40You can find out how he gets on later in the programme.
0:41:43 > 0:41:46Well, earlier on we saw how one property turned out,
0:41:46 > 0:41:47but what about the other two?
0:41:47 > 0:41:50Yes, will they look any different and will all that time and money
0:41:50 > 0:41:52have been well spent? Let's find out.
0:41:55 > 0:41:57Back to Folkestone in Kent now,
0:41:57 > 0:41:59where Lucy looked around a mixed use lot.
0:41:59 > 0:42:03A shop on the ground floor, and a two-storey flat above,
0:42:03 > 0:42:06all guided at between £80,000 and £82,000.
0:42:06 > 0:42:11The main problem with the property got up Lucy's nose straightaway.
0:42:11 > 0:42:14Damp - you can just smell it the minute you walk in.
0:42:14 > 0:42:16It hits you in the face.
0:42:16 > 0:42:22The property was bought for £98,000 by local Folkestone cabbie, John.
0:42:22 > 0:42:24This was his first property purchase to save him from
0:42:24 > 0:42:27paying rent, and to get on the property ladder.
0:42:27 > 0:42:29But the premises weren't mortgageable,
0:42:29 > 0:42:33and John had taken out a bridging loan to finance the purchase.
0:42:34 > 0:42:36And is that worrying you at all?
0:42:37 > 0:42:39Not hugely.
0:42:39 > 0:42:43But, as long as I can get something sorted fairly quickly, yeah.
0:42:43 > 0:42:45Time is of the essence with bridging loans,
0:42:45 > 0:42:49as they are one of the most expensive ways to borrow money,
0:42:49 > 0:42:52and John had ploughed all his money into the property,
0:42:52 > 0:42:57so financing the refurbishment and the cost of the loan concerned Lucy.
0:42:57 > 0:42:59There was expensive roof work to be done,
0:42:59 > 0:43:02and the windows weren't in good nick.
0:43:02 > 0:43:05About a grand apiece on those sash windows.
0:43:05 > 0:43:08So I take it you're probably not going to be changing the windows?
0:43:08 > 0:43:10No, no, not in the short-term, no.
0:43:10 > 0:43:12How long do you think it's going to take you?
0:43:12 > 0:43:16It's probably going to take a year to sort the place out.
0:43:16 > 0:43:18I work on weekends and in the evenings,
0:43:18 > 0:43:22so I just have to try and do a bit during the day.
0:43:22 > 0:43:25With lots of damp and the financial and time pressures,
0:43:25 > 0:43:27John certainly had a challenge on his hands.
0:43:29 > 0:43:31Well, it's nearly 16 months on,
0:43:31 > 0:43:33and we've returned to see how he's getting on.
0:43:33 > 0:43:36But don't get your hopes up before we arrived,
0:43:36 > 0:43:41he warned us it was at the, "worse before it gets better," stage.
0:43:42 > 0:43:45Yep, I'd say that looks worse.
0:43:47 > 0:43:51John's taken the back to brick approach in spades,
0:43:51 > 0:43:53and in the process, revealed a fireplace in the living room
0:43:53 > 0:43:55just by the shop window.
0:44:01 > 0:44:04Let's take a look at the top floor, where John's currently living.
0:44:05 > 0:44:09Unfortunately, the boiler blew up just after John moved in,
0:44:09 > 0:44:11so there's no heating or hot water,
0:44:11 > 0:44:14apart from the electric shower, now behind this screen.
0:44:17 > 0:44:21Up here, I've took all the walls out.
0:44:21 > 0:44:23There was a bedroom there, main bedroom,
0:44:23 > 0:44:26small box room there, and bathroom at the back.
0:44:27 > 0:44:32What I would like to do is put a bathroom in the middle,
0:44:32 > 0:44:37and have the back of the building as a small second bedroom.
0:44:37 > 0:44:39And before he can tackle reroofing,
0:44:39 > 0:44:42there's a problem up here with rotting joists.
0:44:42 > 0:44:46Yeah, I'm going to have to replace all the joists there
0:44:46 > 0:44:48before anyone can do anything, really.
0:44:48 > 0:44:54And just probably get somebody in to actually put the actual roof on.
0:44:54 > 0:44:57The joist ends have rotted - they were resting on this wooden
0:44:57 > 0:45:00wall plate, which has also rotted in places.
0:45:02 > 0:45:06John is hoping to make a lot of the internal changes himself,
0:45:06 > 0:45:08but he's wise to be calling in specialist roofers
0:45:08 > 0:45:10to fix and secure the roof's structure.
0:45:12 > 0:45:14He's repointing the old walls,
0:45:14 > 0:45:17because the mortar has turned to dust.
0:45:17 > 0:45:19The rotting joists and the sandy mortar story
0:45:19 > 0:45:22continues on the first floor.
0:45:23 > 0:45:26John's new layout sounds good, but do remember,
0:45:26 > 0:45:29while it's OK to knock down non-supporting walls,
0:45:29 > 0:45:32supporting walls need to be removed by the book.
0:45:33 > 0:45:37Structural engineers' calculations are required by building control
0:45:37 > 0:45:41to determine the type of steel support required to keep
0:45:41 > 0:45:43the upper floors from falling through.
0:45:44 > 0:45:48John's tackling the jobs he feels he can do himself.
0:45:48 > 0:45:53Obviously, that involves dust getting on both floors,
0:45:53 > 0:45:58and it's a bit awkward when I'm actually living here,
0:45:58 > 0:46:00to try and work around myself.
0:46:02 > 0:46:05It can be a fine balance between getting in the professionals
0:46:05 > 0:46:07for some jobs, and economics,
0:46:07 > 0:46:10which often dictate what you can afford to do.
0:46:11 > 0:46:14But some building works - electric and gas work, for instance -
0:46:14 > 0:46:17should never be carried out by unqualified people.
0:46:18 > 0:46:22Whoever does the work, it will all need to be inspected and passed
0:46:22 > 0:46:25by building regulations. Some of the windows
0:46:25 > 0:46:29have had to be replaced by Perspex sheets, as they weren't secure
0:46:29 > 0:46:33in the rotting frames, and fell out, including the bathroom.
0:46:33 > 0:46:35Lucy was right to be worried about them.
0:46:38 > 0:46:40On the face of it, it looks bad.
0:46:40 > 0:46:44It is, but with stripping out, John's cured the damp problem.
0:46:47 > 0:46:51There was a pipe running from the next-door neighbour's roof,
0:46:51 > 0:46:54which was going into the corner of my guttering as well.
0:46:54 > 0:46:57I had to move the pipe, because even with the gutter cleared,
0:46:57 > 0:46:58it still wouldn't cope with it all,
0:46:58 > 0:47:01and it was just running down that back wall there.
0:47:01 > 0:47:05# Here I am, stuck in the middle with you... #
0:47:05 > 0:47:08Above this lobby area on the first floor, John is planning on making
0:47:08 > 0:47:11a roof terrace, and as for the leaky main roof...
0:47:11 > 0:47:14Being up there, I've patched it up a little bit.
0:47:14 > 0:47:17Seagulls were in there last year.
0:47:17 > 0:47:19But the scaffolding to repair the neighbour's chimney pot
0:47:19 > 0:47:23got in John's way. It stayed there until the gulls had gone away,
0:47:23 > 0:47:25and come back again.
0:47:25 > 0:47:28# Here I am, stuck in the middle with you... #
0:47:29 > 0:47:33Since 1981, seagulls, like all UK wild birds,
0:47:33 > 0:47:36have been protected under the Wildlife and Countryside Act.
0:47:37 > 0:47:41It's illegal to take, damage or destroy the nest of any wild bird
0:47:41 > 0:47:44whilst it's in use or being built.
0:47:47 > 0:47:49John's certainly tenacious,
0:47:49 > 0:47:53stripping the debris and even taking it to the tip in his car.
0:47:53 > 0:47:56Despite a catalogue of issues, and with no definite budget,
0:47:56 > 0:47:59he's managing to put a positive spin on living in this shell
0:47:59 > 0:48:02and paying an expensive loan.
0:48:04 > 0:48:08Maybe I'm saving on the rent with what I was paying before,
0:48:08 > 0:48:13but it's still sort of a...
0:48:13 > 0:48:14Quite a bit.
0:48:16 > 0:48:17With the bridging loan,
0:48:17 > 0:48:21don't forget you only pay off interest, and they are high rates,
0:48:21 > 0:48:23and involve costly entry and exit fees.
0:48:25 > 0:48:28Should be worth it in the end, hopefully.
0:48:30 > 0:48:33Let's find out, as we invite a commercial property
0:48:33 > 0:48:35and a residential property expert in
0:48:35 > 0:48:38for their valuations on the shop and on the flat.
0:48:39 > 0:48:44It's most likely to be some type of food or drink establishment,
0:48:44 > 0:48:46I would say, rather than a retail shop.
0:48:46 > 0:48:49Something like a micro-pub or wine bar.
0:48:49 > 0:48:53Oh, a micro-pub downstairs, I like the sound of that,
0:48:53 > 0:48:55so long as the flat is well soundproofed.
0:48:55 > 0:48:58Anyway, the entrance to the flat is also going to be improved,
0:48:58 > 0:49:01as John plans to section it off from the rear of the shop.
0:49:06 > 0:49:08By doing the work on the shop himself,
0:49:08 > 0:49:11John has kept the renovation costs to a bare minimum,
0:49:11 > 0:49:14on top of his £98,000 purchase price.
0:49:14 > 0:49:17But what's the end value of the property likely to be?
0:49:17 > 0:49:21Certainly once it's all complete, I would expect the owner to be
0:49:21 > 0:49:25able to receive a figure in the region of £5,000 per annum,
0:49:25 > 0:49:29which equates to roughly £415 per calendar month.
0:49:30 > 0:49:34Yes, quite a bit more than what I thought it might have been.
0:49:34 > 0:49:37Yeah. Didn't think it would be worth that much.
0:49:37 > 0:49:40We know that John's intention is to live above the shop
0:49:40 > 0:49:43- that's why he bought it - but could that rental value,
0:49:43 > 0:49:47added to the shop's potential income, sway him to rent out both?
0:49:47 > 0:49:51As a one bed, I would expect it to achieve around £700 a month.
0:49:52 > 0:49:57As a two bed, slightly more, around £750.
0:49:57 > 0:50:01For the flat rental values alone, would John be tempted to move out?
0:50:03 > 0:50:07For that sort of money, yeah. Yeah, that's, a bit high, isn't it?
0:50:08 > 0:50:10Well, John seems chuffed with that.
0:50:10 > 0:50:13Perhaps he's beginning to see the light at the end of the tunnel.
0:50:13 > 0:50:16But this is a bit of a cautionary tale.
0:50:16 > 0:50:19It's really, really not good practice to bid for a property
0:50:19 > 0:50:22without having your finance and your budget in place.
0:50:22 > 0:50:26In this case, with the bridging loan, time literally is money
0:50:26 > 0:50:30and there's still a long way to go. Just how long, John?
0:50:32 > 0:50:36Hopefully, sort of the middle of next year,
0:50:36 > 0:50:41hopefully sort of pretty much be getting towards getting it done,
0:50:41 > 0:50:44hopefully. Fingers crossed.
0:50:45 > 0:50:47We've all got our fingers and toes crossed.
0:50:52 > 0:50:55Time to head back to the Peak District, where I saw a property
0:50:55 > 0:50:57that was quite jolly from the outside,
0:50:57 > 0:51:00but the inside was a little bit dated and tired.
0:51:01 > 0:51:04But I had a prescription for that.
0:51:04 > 0:51:06This place needs a bit of TLC,
0:51:06 > 0:51:09needs a bit of effort and a bit of love given to it.
0:51:09 > 0:51:14# Can you feel a little love? #
0:51:15 > 0:51:18What I did love about it is the space on offer.
0:51:18 > 0:51:22Not only did it have two bedrooms and a bathroom on the first floor,
0:51:22 > 0:51:25there was a lot more space on offer in the third bedroom in the loft.
0:51:27 > 0:51:30And, if you are...
0:51:31 > 0:51:36..6' 2" plus, on your tip-toes, you can enjoy the view.
0:51:36 > 0:51:39# Can you see what I see? #
0:51:39 > 0:51:42Someone who DID see what I saw was Abdul,
0:51:42 > 0:51:46a property broker who recommended this to one of his investors.
0:51:47 > 0:51:49Have your clients seen this?
0:51:49 > 0:51:52Yes, I always advise my clients to come and view the properties...
0:51:52 > 0:51:54- Clever, good work. - ..prior to auction.
0:51:54 > 0:51:57Good work, good work, yes, I'll take a handshake on that one, good work.
0:51:57 > 0:51:59- Don't let your clients down. - No, never.
0:51:59 > 0:52:02Now when they seen it, were they happy? Did they say, "Well done"?
0:52:02 > 0:52:06Yeah, there's bags of potential on this property.
0:52:06 > 0:52:10Well, Abdul hoped to unleash all the potential that this dated cottage
0:52:10 > 0:52:14could offer, for a 20 grand budget and in three months.
0:52:15 > 0:52:17But now, six months later, we're back.
0:52:25 > 0:52:29Wow, I can see why things have taken a little longer.
0:52:29 > 0:52:32Opening up this lounge wasn't part of the original plan,
0:52:32 > 0:52:33but I'd say it's been worth it.
0:52:34 > 0:52:38Abdul's team of builders had discovered a load-bearing joist that
0:52:38 > 0:52:43was already in place, so at some stage, this was an open-plan area,
0:52:43 > 0:52:47then separated by a stud wall, now it's open-plan again.
0:52:47 > 0:52:50Just goes to show, it's all about personal preference.
0:52:50 > 0:52:53I'm also glad to see some original features have been uncovered.
0:52:56 > 0:53:00Although, I do like an ultra-modern kitchen, so I hope some of these
0:53:00 > 0:53:02dated units have been given the heave-ho.
0:53:15 > 0:53:17This fresh modern look continues upstairs.
0:53:19 > 0:53:21They may not have laid out the red carpet,
0:53:21 > 0:53:23but I'm hoping a replacement for the avocado bathroom
0:53:23 > 0:53:25is awaiting its premiere.
0:53:27 > 0:53:28Nice.
0:53:36 > 0:53:39The bedrooms have also had the star treatment,
0:53:39 > 0:53:40and been freshly decorated.
0:53:45 > 0:53:48And up in the loft, the cupboards have gone,
0:53:48 > 0:53:51to create more space.
0:53:51 > 0:53:53I'd like to say, "Let's enjoy the view,"
0:53:53 > 0:53:55but it's another wet day out there.
0:53:56 > 0:53:59But Abdul has given us another surprise,
0:53:59 > 0:54:02as there is now off-street parking.
0:54:02 > 0:54:05When it comes to turning your garden into a driveway,
0:54:05 > 0:54:07always check whether you need planning permission.
0:54:07 > 0:54:10Different councils have different rules,
0:54:10 > 0:54:12but you will need permission for a dropped kerb.
0:54:13 > 0:54:17Abdul's enthusiasm for developing properties hasn't been dampened,
0:54:17 > 0:54:19despite the weather.
0:54:19 > 0:54:21When it comes to being a project manager,
0:54:21 > 0:54:23it's not just about sourcing the property.
0:54:23 > 0:54:26It's about sourcing the property and making sure the builders do a
0:54:26 > 0:54:29good job, so the amount of times I've travelled to this property,
0:54:29 > 0:54:34to make sure things are right, I've lost count. But that's my job.
0:54:34 > 0:54:35With the front of the property,
0:54:35 > 0:54:37we needed a stamp of approval from the investor,
0:54:37 > 0:54:39because we thought this was a conservation area,
0:54:39 > 0:54:42and we might not be able to take a brick wall out.
0:54:42 > 0:54:46But we managed to find out it's not under the conservation area,
0:54:46 > 0:54:50so we managed to take that off and created a driveway which adds value
0:54:50 > 0:54:53to the property. I managed to convince the investor,
0:54:53 > 0:54:55even though he's spending a little bit more.
0:54:55 > 0:54:59But that adds a lot of value, so we're hoping he'll achieve
0:54:59 > 0:55:04much more profit due to that having a car parking spot.
0:55:04 > 0:55:07So, a bit of give and take with the investor. At the end of the day,
0:55:07 > 0:55:11it's in Abdul's interest to maximise the investor's return,
0:55:11 > 0:55:14but it can't be at the expense of the budget.
0:55:14 > 0:55:16So, did he stick to it on this project?
0:55:17 > 0:55:21Million-dollar question. On this one the budget was £20,000.
0:55:21 > 0:55:24Well, we've gone lower than that. Including the landscaping
0:55:24 > 0:55:27and everything, we're looking at about £19,000.
0:55:27 > 0:55:31Well done on that, and also well done on the timescale.
0:55:31 > 0:55:34The work has been done in three months,
0:55:34 > 0:55:36but they didn't start right away.
0:55:36 > 0:55:38That's why we're coming back six months on.
0:55:39 > 0:55:42It has taken a bit of a while. That's because the investor,
0:55:42 > 0:55:44he had different minds about this property,
0:55:44 > 0:55:47to do with the budget, etc, so we've managed to convince him.
0:55:47 > 0:55:51We've finished, we've completed the project and we're just waiting for
0:55:51 > 0:55:54the end result now. We do understand there's a high demand in the area
0:55:54 > 0:55:57for properties, so we're hoping for him to achieve a very big profit
0:55:57 > 0:55:59on this one.
0:55:59 > 0:56:01Well, it's time to find out if it's all gone to plan
0:56:01 > 0:56:05for Abdul and his client. We asked along two local estate agents
0:56:05 > 0:56:09to have a look at the property, and give us their thoughts.
0:56:09 > 0:56:11First, let's hear from the agent who saw it last time.
0:56:13 > 0:56:16Now, seeing it for the second time, I'm pleasantly surprised.
0:56:16 > 0:56:19Done very well, nice neutral colours,
0:56:19 > 0:56:23and good quality fitments. So, yeah, good job.
0:56:23 > 0:56:26It's a traditional cottage,
0:56:26 > 0:56:29obviously surrounded by lovely countryside.
0:56:29 > 0:56:33But it's been done to a nice specification, modern.
0:56:33 > 0:56:35So the big thing, really, for a potential buyer,
0:56:35 > 0:56:37they haven't got to spend anything,
0:56:37 > 0:56:39which at this level, is important to people.
0:56:40 > 0:56:46It's a hit with the agents, but will this £123,500 investment
0:56:46 > 0:56:50hit the profit margins Abdul and his client are looking for?
0:56:51 > 0:56:53If we were to place it on the open market,
0:56:53 > 0:56:57I would say in the region of £170,000 £180,000.
0:56:57 > 0:57:03I would anticipate marketing this property in the region of £180,000.
0:57:03 > 0:57:04I think that's a good price.
0:57:04 > 0:57:07We were aiming to achieve a little bit more because there's a property
0:57:07 > 0:57:10that's come on the market a few doors away.
0:57:10 > 0:57:14It was marketed for £199,500. It didn't last that long in the market,
0:57:14 > 0:57:16it's been sold. And this is a better property,
0:57:16 > 0:57:18so we're aiming to achieve a little bit more.
0:57:18 > 0:57:21But even with the figures that they've, you know, given you,
0:57:21 > 0:57:23I think that's a very good profit.
0:57:23 > 0:57:25£50,000-60,000 profit - that's amazing.
0:57:28 > 0:57:32Taking the agent's top evaluation means a potential profit of £56,500,
0:57:32 > 0:57:37minus taxes and fees, including Abdul's, of course.
0:57:37 > 0:57:41But there's more to it for Abdul than making money.
0:57:41 > 0:57:43The passion has grown for me,
0:57:43 > 0:57:45and the family's involved into the business as well.
0:57:45 > 0:57:47So at times when I'm going to view the properties,
0:57:47 > 0:57:49I take my little ones with me, and I tell them,
0:57:49 > 0:57:52"All right, you're going into a property - look for faults.
0:57:52 > 0:57:54"Look for cracks, look for faults, and that's what we're here for".
0:57:54 > 0:57:57So particularly, this property, I had my two sons come around
0:57:57 > 0:58:00when I sourced the property, and that's what they were doing.
0:58:00 > 0:58:02They were looking for cracks and faults.
0:58:02 > 0:58:04And now, when they see the end result,
0:58:04 > 0:58:06it creates a passion with them as well.
0:58:06 > 0:58:08So they feel like, "You know what, Dad? You've done a great job,"
0:58:08 > 0:58:11and it brings smiles to the family as well.
0:58:15 > 0:58:18We hope you've enjoyed today's projects, and maybe even picked up
0:58:18 > 0:58:21- a tip or two. - Yes, we hope we have inspired you.
0:58:21 > 0:58:24And we'll have lots more where that came from next time,
0:58:24 > 0:58:26- here on Homes Under The Hammer. - See you.- Goodbye.