Browse content similar to Episode 78. Check below for episodes and series from the same categories and more!
Line | From | To | |
---|---|---|---|
Hello and welcome. Now, you don't have to have bags of experience | 0:00:02 | 0:00:04 | |
to give property developing a go. | 0:00:04 | 0:00:06 | |
But if you have good contacts in the trade, | 0:00:06 | 0:00:09 | |
or are even quite handy yourself, you could save time and money. | 0:00:09 | 0:00:13 | |
Yes, so, do you fancy it? | 0:00:13 | 0:00:15 | |
Well, why not pop down to your local property auction and give it a go? | 0:00:15 | 0:00:18 | |
Well, no matter how experienced you are in property there'll always be | 0:00:45 | 0:00:48 | |
things that pop out of the woodwork, literally, and catch you unawares. | 0:00:48 | 0:00:51 | |
That's both the exciting and terrifying part of it. | 0:00:51 | 0:00:54 | |
So, let's find out how it worked out for buyers on today's show. | 0:00:54 | 0:00:57 | |
In Derbyshire, the floor plans in this house get the thumbs up from me. | 0:00:59 | 0:01:03 | |
Although this is basically your only main downstairs living room, | 0:01:03 | 0:01:06 | |
it actually works. | 0:01:06 | 0:01:08 | |
Whereas on a trip to Wales I'm rather baffled by this house's layout. | 0:01:09 | 0:01:13 | |
So, the kitchen, I'd imagine, is through here. | 0:01:13 | 0:01:15 | |
No, you've got a set of stairs. | 0:01:16 | 0:01:19 | |
And in Kent, Lucy discovers some important information about a property we first saw in 2014. | 0:01:19 | 0:01:24 | |
There is something I haven't told you yet that could affect planning permission here. | 0:01:24 | 0:01:29 | |
All these properties have been sold at auction and we'll find out who | 0:01:30 | 0:01:34 | |
bought them and what they paid for them when they went under the hammer. | 0:01:34 | 0:01:38 | |
Sold, it's yours, sir. | 0:01:38 | 0:01:40 | |
This is Langley Mill, a small market town in Derbyshire's Amber Valley. | 0:01:43 | 0:01:48 | |
It has its own train station and is close to the M1. | 0:01:48 | 0:01:52 | |
Langley Mill is very well-placed indeed, | 0:01:52 | 0:01:54 | |
being close to both Derby and Nottingham. | 0:01:54 | 0:01:57 | |
And it's also the joining point of three canals and two towns, | 0:01:57 | 0:02:00 | |
Langley Mill and Aldercar, | 0:02:00 | 0:02:03 | |
and I have a meeting of my own with what I hope will be an interesting property lot. | 0:02:03 | 0:02:08 | |
So, what was up for auction? | 0:02:10 | 0:02:13 | |
Well, a two-bed terrace, pretty much like these, | 0:02:13 | 0:02:16 | |
guide price of £50,000 plus. | 0:02:16 | 0:02:18 | |
You can't go wrong with these kind of properties. | 0:02:18 | 0:02:21 | |
Or can you? Let's find out. | 0:02:21 | 0:02:23 | |
The outside suggests a bit of TLC might be needed | 0:02:26 | 0:02:28 | |
and I'd want to know who owns the passageway and if there's a flying freehold. | 0:02:28 | 0:02:34 | |
That's when part of a building is above another part belonging to someone else. | 0:02:34 | 0:02:38 | |
Lenders may ask for indemnity insurance to cover any repair disputes etc. | 0:02:38 | 0:02:44 | |
So, what have we got in this instance? | 0:02:44 | 0:02:46 | |
Well, quite surprised actually, because you walk through the door, | 0:02:46 | 0:02:49 | |
very open-plan room. | 0:02:49 | 0:02:51 | |
Obviously been adapted over time. | 0:02:51 | 0:02:53 | |
Which actually creates a nice impression. | 0:02:53 | 0:02:55 | |
You've got the staircase in the middle there, which, yeah, actually works for me. | 0:02:55 | 0:03:00 | |
Hm, one thing that doesn't work, though, is the state of the stairs. | 0:03:00 | 0:03:03 | |
The gaps in the balustrade will not comply with building regulations so those need filling in. | 0:03:03 | 0:03:08 | |
But in terms of layout I do like this open-plan feel. | 0:03:10 | 0:03:14 | |
You know, if you've got a smaller house then, you know, | 0:03:14 | 0:03:17 | |
make your one main living room as big as you possibly can by knocking | 0:03:17 | 0:03:20 | |
down walls and taking out unnecessary features. | 0:03:20 | 0:03:23 | |
And then it feels a lot bigger than it actually is. | 0:03:23 | 0:03:26 | |
Although this is basically your only main downstairs living room, | 0:03:26 | 0:03:29 | |
it actually works. | 0:03:29 | 0:03:31 | |
Classic kind of layout for this kind of property where you've got your | 0:03:31 | 0:03:34 | |
kitchen there at the back and then further on through to the only bathroom in the property. | 0:03:34 | 0:03:38 | |
That's not ideal but it's sort of what people expect | 0:03:38 | 0:03:40 | |
from these kind of properties, so not too much of an issue. | 0:03:40 | 0:03:43 | |
And again, coming back to that guide price... | 0:03:43 | 0:03:45 | |
..it's good. It's good. | 0:03:47 | 0:03:49 | |
# So far, so good | 0:03:49 | 0:03:53 | |
# So far, so nice... # | 0:03:53 | 0:03:55 | |
It's an area that's popular with renters so you could turn this into a nice little earner, | 0:03:55 | 0:04:00 | |
particularly if you get it close to that £50,000 plus guide price. | 0:04:00 | 0:04:03 | |
Hopefully, there are no nasty surprises upstairs. | 0:04:03 | 0:04:07 | |
So, up those centrally located stairs to the upper floor. | 0:04:10 | 0:04:15 | |
Now, the first thing you notice when you come up here is something a bit strange. | 0:04:15 | 0:04:19 | |
It feels wider than it is downstairs. | 0:04:19 | 0:04:22 | |
Well, that's because this bit of the property is actually above | 0:04:22 | 0:04:25 | |
that little passageway, which is downstairs, | 0:04:25 | 0:04:29 | |
and runs to the back of the property. | 0:04:29 | 0:04:31 | |
Now, that's fine as long as you know who owns that passageway, | 0:04:31 | 0:04:34 | |
otherwise you get into the realms of flying freehold. | 0:04:34 | 0:04:36 | |
That's something your solicitor would need to check out. | 0:04:36 | 0:04:39 | |
But the bonus is that actually upstairs feels really spacious. | 0:04:39 | 0:04:43 | |
There are only currently two bedrooms. | 0:04:43 | 0:04:45 | |
A large one at the front and a really big one at the back. | 0:04:45 | 0:04:48 | |
Now, given that you've got a couple of windows here and also the size of it, | 0:04:48 | 0:04:52 | |
surely you could either get another bedroom in here, | 0:04:52 | 0:04:55 | |
or move that bathroom, | 0:04:55 | 0:04:57 | |
and then you could create some kind of utility room downstairs. | 0:04:57 | 0:05:00 | |
Either way, I think it's an easy thing to do | 0:05:00 | 0:05:02 | |
that's going to add value to the house. | 0:05:02 | 0:05:04 | |
So, all in all, really great. | 0:05:04 | 0:05:06 | |
# Come on and make it | 0:05:06 | 0:05:10 | |
# Come on and make it | 0:05:10 | 0:05:14 | |
# Just better... # | 0:05:14 | 0:05:18 | |
Out the back, there is even more opportunity to add value | 0:05:21 | 0:05:23 | |
with a rather tired flat roof extension | 0:05:23 | 0:05:26 | |
perhaps being better replaced with a bigger two-storey extension, | 0:05:26 | 0:05:31 | |
which would potentially allow you to have even more bedrooms upstairs. | 0:05:31 | 0:05:35 | |
To help with these decisions and more we asked along an agent | 0:05:37 | 0:05:40 | |
from the auction house that sold it | 0:05:40 | 0:05:43 | |
for his opinion on this property, guided at £50,000 plus. | 0:05:43 | 0:05:46 | |
# Come on and make it just better... # | 0:05:48 | 0:05:52 | |
First impressions of the property is it's tired, it's exhausted, | 0:05:52 | 0:05:55 | |
it requires a fair amount of work. | 0:05:55 | 0:05:58 | |
There is scope. There is good size bedroom space upstairs. | 0:05:58 | 0:06:02 | |
There may be potential to convert it into three bedrooms, | 0:06:02 | 0:06:06 | |
even put in a shower room. | 0:06:06 | 0:06:08 | |
-But the property's tired. -I agree, it is tired. | 0:06:08 | 0:06:11 | |
But it does look as though you could do a basic refurbishment if you | 0:06:11 | 0:06:15 | |
wanted to and you have here an opportunity to add value | 0:06:15 | 0:06:19 | |
with a third bedroom or a shower room. | 0:06:19 | 0:06:22 | |
The agent thinks you could spend between £10,000-£20,000, | 0:06:22 | 0:06:25 | |
depending on how far you wanted to go with it. | 0:06:25 | 0:06:28 | |
So, is there any money to be made here? | 0:06:28 | 0:06:31 | |
Once this property's finished, hopefully to a high standard, | 0:06:31 | 0:06:33 | |
as a two-bed you're looking in the region of £75,000-£80,000. | 0:06:33 | 0:06:37 | |
If it's three-bedroom then you are looking slightly higher. | 0:06:37 | 0:06:41 | |
You're looking within the region of £80,000-£90,000. | 0:06:41 | 0:06:44 | |
So, what kind of rental could it make? | 0:06:44 | 0:06:46 | |
With regards to rental, | 0:06:46 | 0:06:48 | |
as a two-bedroom property you're looking within the region of 425-450 per calendar month. | 0:06:48 | 0:06:53 | |
As a three-bedroom property that may open the market to a family, | 0:06:53 | 0:06:57 | |
so you are looking within the region of 450, maybe, maximum, | 0:06:57 | 0:07:02 | |
£500 per calendar month. | 0:07:02 | 0:07:04 | |
Assuming you got it for £50,000 and spent £20,000 on it, | 0:07:04 | 0:07:08 | |
£500 per calendar month would see a yield of around 8%. | 0:07:08 | 0:07:13 | |
Now, that's pretty healthy. | 0:07:13 | 0:07:14 | |
So, keep the budget nice and tight and you'd end up with a really good | 0:07:16 | 0:07:21 | |
home for not very much money, | 0:07:21 | 0:07:22 | |
or a potentially very profitable rental property. | 0:07:22 | 0:07:26 | |
Let's see who bought it when it went under the hammer. | 0:07:26 | 0:07:28 | |
A two-bedroom mid-terraced house, | 0:07:31 | 0:07:33 | |
bay-fronted, scope for some improvement. | 0:07:33 | 0:07:36 | |
Start me on the guide, 50. | 0:07:36 | 0:07:37 | |
50, I'm looking for. 45. | 0:07:37 | 0:07:39 | |
Bid me. 45, I'm bid, thank you very much. | 0:07:39 | 0:07:41 | |
At £45,000 we're away. | 0:07:41 | 0:07:43 | |
46. And seven. 47 is bid. | 0:07:43 | 0:07:45 | |
And eight. 47. | 0:07:45 | 0:07:47 | |
48. 48 is bid. | 0:07:47 | 0:07:50 | |
49 is bid. Thank you. | 0:07:50 | 0:07:52 | |
49. Take the half. | 0:07:52 | 0:07:53 | |
49 and a half. Treat you the same, madam. | 0:07:53 | 0:07:56 | |
50. Another half. | 0:07:56 | 0:07:58 | |
At £50,000. | 0:07:58 | 0:08:00 | |
Looking for 50 and a half elsewhere. | 0:08:00 | 0:08:02 | |
And a half. 51. | 0:08:02 | 0:08:05 | |
And a half. 52. | 0:08:05 | 0:08:08 | |
And a half. 53. | 0:08:08 | 0:08:11 | |
And a half. 54. | 0:08:11 | 0:08:13 | |
And a half. | 0:08:14 | 0:08:16 | |
55. And a half. | 0:08:16 | 0:08:18 | |
55,500 at the back of the room. | 0:08:20 | 0:08:23 | |
56. 56 and a half. | 0:08:23 | 0:08:25 | |
No? At £56,000, make no mistakes, on my right, lady's bid, | 0:08:25 | 0:08:30 | |
at £56,000 for the first time. | 0:08:30 | 0:08:32 | |
At £56,000 for the second time. | 0:08:32 | 0:08:35 | |
If you're sure and all done, hammer's up, it goes at £56,000. | 0:08:35 | 0:08:39 | |
Sold. It's yours, madam, bidder number 72. | 0:08:39 | 0:08:41 | |
Thank you. | 0:08:41 | 0:08:43 | |
So the hammer fell on the two-bed terraced house in Langley Mill at | 0:08:43 | 0:08:47 | |
56,000, and it was bought by husband and wife team Barbara and Stephen. | 0:08:47 | 0:08:52 | |
I met the couple back at their new property to find out the plan. | 0:08:52 | 0:08:55 | |
-Stephen, Barbara, good to meet you both. -Hello. -Congratulations. | 0:08:57 | 0:09:01 | |
Tell me why you wanted to buy this place. | 0:09:01 | 0:09:03 | |
We wanted to buy it really towards our pension. | 0:09:03 | 0:09:08 | |
OK. Is it something you've done before? | 0:09:08 | 0:09:10 | |
-Yes. -Yes. -OK, and that went well, or not so well? | 0:09:10 | 0:09:15 | |
-Well, reasonably well. -Reasonably well. | 0:09:15 | 0:09:17 | |
Reasonable enough that you're still here and wanting to buy this one. | 0:09:17 | 0:09:21 | |
-Yes. -Yes. -What was it about this house that you particularly like? | 0:09:21 | 0:09:24 | |
We came to look at it the day before it went up for auction. | 0:09:24 | 0:09:27 | |
-Oh, wow. -And it just spoke to me. | 0:09:27 | 0:09:31 | |
And it sort of... "Please, please buy me." | 0:09:31 | 0:09:34 | |
-Aww. -And it's got a feature on the front - | 0:09:34 | 0:09:38 | |
it looked as if it had got raised eyebrows. | 0:09:38 | 0:09:41 | |
And I thought, I like it, it's quirky. | 0:09:41 | 0:09:44 | |
# It spoke to me | 0:09:44 | 0:09:47 | |
# Yea-ea-eah. # | 0:09:47 | 0:09:50 | |
Well, maybe not the most conventional reason | 0:09:50 | 0:09:53 | |
for buying a property but if it works for them, who am I to argue? | 0:09:53 | 0:09:58 | |
But I'm now intrigued to know how they're going to | 0:09:58 | 0:10:01 | |
make this house speak to would-be buyers or tenants. | 0:10:01 | 0:10:04 | |
So, tell me what you're going to do to it then. | 0:10:04 | 0:10:07 | |
-Most of it's going to get ripped out. -Right. -New kitchen, bathroom, rewire. | 0:10:07 | 0:10:11 | |
Right. Keep the layout as it is with the stairs in the middle here? | 0:10:11 | 0:10:14 | |
-I think so. -Yes, I think so. -You wouldn't swap them round, perhaps? | 0:10:14 | 0:10:18 | |
-I don't think so. -No, no. We'll do something with the stairs. | 0:10:18 | 0:10:21 | |
Do something with them? Like what? | 0:10:21 | 0:10:23 | |
-They're not safe for a start, are they? -No, we've realised that. | 0:10:23 | 0:10:26 | |
-No, no. -We've realised that. You can't have big holes through the sides. | 0:10:26 | 0:10:28 | |
No, ideally not, no, small children... | 0:10:28 | 0:10:30 | |
-We'll work something out. -We've got a few ideas. -You have? -Yes. | 0:10:30 | 0:10:33 | |
Fair enough. Bathroom, of course, | 0:10:33 | 0:10:35 | |
traditional layout of these kind of houses right at the back, through the kitchen. | 0:10:35 | 0:10:38 | |
-Yes. -Any plans to try and move that anywhere else, | 0:10:38 | 0:10:40 | |
or is it going to stay where it is? | 0:10:40 | 0:10:42 | |
-I don't think so. -I don't think so, no. Don't think so. -We'll leave it where it is. -Maybe not. | 0:10:42 | 0:10:45 | |
-We might look at it. We don't know. -Who's going to do the work? | 0:10:45 | 0:10:49 | |
-Most of it will be us. -Right. | 0:10:49 | 0:10:51 | |
-So... -Are you fairly handy, both of you, then? | 0:10:51 | 0:10:54 | |
-Qualified tradesman, carpenter, so... -Oh, OK, great. | 0:10:54 | 0:10:57 | |
-That works. -But I've done, you know, plumbing, bricklaying. | 0:10:57 | 0:11:00 | |
-Right. -All the lot all my life. | 0:11:00 | 0:11:03 | |
And is the idea then to do it up and sell it on, or what? | 0:11:03 | 0:11:06 | |
No, we shall just rent it out, I think. | 0:11:06 | 0:11:08 | |
-Right. -So, I don't think we're going to sell it when it's done because it's part of our pension. | 0:11:08 | 0:11:13 | |
So, what's the budget for the work you've got planned? | 0:11:13 | 0:11:15 | |
-Well... -About... What we said, about 10,000, didn't we? | 0:11:15 | 0:11:19 | |
OK. And the timescale? | 0:11:19 | 0:11:21 | |
I think it's going to take me probably nine months to a year. | 0:11:22 | 0:11:26 | |
That's with you working on it most of the time, is it? | 0:11:26 | 0:11:28 | |
-Yes. -Without any help? Mostly you, then? | 0:11:28 | 0:11:31 | |
I will get, obviously some people. | 0:11:31 | 0:11:33 | |
-Gas and electric. -Gas and electric stuff like that. | 0:11:33 | 0:11:35 | |
-Right. -And my daughter. -Your daughter's going to help out as well? | 0:11:35 | 0:11:38 | |
-Yes. -Well, listen, congratulations. | 0:11:38 | 0:11:40 | |
Good luck with it. Look forward to seeing how you get on. | 0:11:40 | 0:11:42 | |
-Thank you. -I'm sure you will, Martin. | 0:11:42 | 0:11:46 | |
So, slightly unconventional reasons for choosing a property | 0:11:46 | 0:11:49 | |
but actually I think they've got a pretty good one here. | 0:11:49 | 0:11:51 | |
How will they get on sorting it out? | 0:11:51 | 0:11:53 | |
You can find out later in the show. | 0:11:53 | 0:11:56 | |
Next up, I'm in Wales in the village of Tylorstown in the Rhondda Valley, | 0:12:00 | 0:12:04 | |
with Cardiff to the east and Swansea to the west. | 0:12:04 | 0:12:07 | |
The village's namesake happens to be a Londoner - Alfred Tylor, | 0:12:09 | 0:12:12 | |
who opened the first mine here. | 0:12:12 | 0:12:15 | |
But, ever since, Tylorstown has been Welsh through and through. | 0:12:15 | 0:12:19 | |
# I'm gonna name it | 0:12:21 | 0:12:23 | |
# After yo-o-o-o-ou | 0:12:23 | 0:12:27 | |
# After you... # | 0:12:28 | 0:12:31 | |
I'm here to see a three-bedroom mid-terraced house | 0:12:32 | 0:12:35 | |
with a guide price of £25,000 plus. | 0:12:35 | 0:12:38 | |
This is it. Now, the auction catalogue says it's split over three floors. | 0:12:38 | 0:12:43 | |
But what's not immediately obvious is how. | 0:12:43 | 0:12:46 | |
This needs further investigation. | 0:12:46 | 0:12:48 | |
Well, inside the first thing you notice is that it's a lot brighter | 0:12:51 | 0:12:54 | |
than you might expect with these sorts of houses. | 0:12:54 | 0:12:57 | |
Through to a reception room. | 0:12:57 | 0:12:59 | |
You know what? It's a really good size. | 0:12:59 | 0:13:01 | |
Often it can feel cramped. | 0:13:01 | 0:13:03 | |
And considering no-one's lived here for a while, it would seem, | 0:13:03 | 0:13:05 | |
it doesn't smell too bad and it doesn't have that mouldy smell. | 0:13:05 | 0:13:08 | |
You have a feminine touch with the wallpaper. | 0:13:08 | 0:13:11 | |
Really good news, which is not always the case, | 0:13:11 | 0:13:13 | |
you've got central heating, double glazing. | 0:13:13 | 0:13:15 | |
So far so good. | 0:13:15 | 0:13:17 | |
Walking along the hallway you go round in a bit of a maze. | 0:13:17 | 0:13:22 | |
Let's see. | 0:13:22 | 0:13:25 | |
You know, it feels solid. | 0:13:25 | 0:13:26 | |
Everything feels pretty solid. | 0:13:26 | 0:13:29 | |
And then you have a bathroom, which needs taking out, | 0:13:29 | 0:13:32 | |
but you know, it's a pretty decent size. | 0:13:32 | 0:13:35 | |
You could get your shower, your bath, in there. | 0:13:35 | 0:13:37 | |
So, the kitchen, I'd imagine, is through here. | 0:13:38 | 0:13:40 | |
No, you've got a set of stairs. | 0:13:41 | 0:13:43 | |
Now, this could explain and solve the mystery of the three floors. | 0:13:43 | 0:13:48 | |
Let's go and find out. | 0:13:48 | 0:13:49 | |
Ah. Indeed it does solve the mystery. | 0:13:51 | 0:13:55 | |
So, downstairs here in what you might call the basement you have the kitchen. | 0:13:55 | 0:13:59 | |
But what's wonderful is it's kind of flooded with light. | 0:13:59 | 0:14:02 | |
It's not your normal basement feeling where it's poky and dingy. | 0:14:02 | 0:14:06 | |
And the great thing about these Welsh valleys | 0:14:06 | 0:14:09 | |
is that you can build this third floor right at the bottom | 0:14:09 | 0:14:12 | |
into the incline of the hills and yet you'd never know from the front of the house. | 0:14:12 | 0:14:16 | |
Ah, not so great. | 0:14:16 | 0:14:19 | |
You have quite a lot of damp patches, kind of black and mouldy, round the door. | 0:14:19 | 0:14:23 | |
On the plus side it is around the door, | 0:14:23 | 0:14:25 | |
so perhaps that's a sign that it's a ventilation problem. | 0:14:25 | 0:14:28 | |
You know, somebody's not lived here for a long time. | 0:14:28 | 0:14:31 | |
Hopefully not too bad. | 0:14:31 | 0:14:33 | |
You definitely want to get it checked out with a damp specialist. | 0:14:33 | 0:14:36 | |
The kitchen is a great size. | 0:14:36 | 0:14:39 | |
It probably needs taking out to modernise it. | 0:14:39 | 0:14:42 | |
And I'm thinking it's not ideal to have your kitchen, | 0:14:42 | 0:14:45 | |
it wouldn't be to everyone's taste to have it down here. | 0:14:45 | 0:14:47 | |
What do you do? Do you make your supper and carry it up the stairs on a tray? | 0:14:47 | 0:14:51 | |
Not very sociable. | 0:14:51 | 0:14:52 | |
But then again, you have a great garden area, and what a view of the hills. | 0:14:52 | 0:14:58 | |
Absolutely stunning. | 0:14:58 | 0:15:00 | |
So, you could make it sociable, you know, by taking a wee G&T outside, | 0:15:00 | 0:15:04 | |
enjoying it, or your cup of tea in the morning, | 0:15:04 | 0:15:06 | |
or a gathering with friends. | 0:15:06 | 0:15:08 | |
# Oh, now tell me where can you party, child, all night long? | 0:15:08 | 0:15:13 | |
# In the basement Down in the basement | 0:15:13 | 0:15:17 | |
# That's where it's at... # | 0:15:17 | 0:15:19 | |
I know we've seen properties with this kind of configuration on the show before. | 0:15:19 | 0:15:23 | |
I rather like it. | 0:15:23 | 0:15:26 | |
I can imagine decking, or even a little conservatory, | 0:15:26 | 0:15:29 | |
to make use of that amazing view. | 0:15:29 | 0:15:31 | |
But having all these stairs wouldn't suit everyone. | 0:15:31 | 0:15:35 | |
Time to get to the top floor. | 0:15:35 | 0:15:37 | |
Upstairs to our bedrooms, and the floral theme on the wallpaper continues. | 0:15:37 | 0:15:43 | |
The wallpaper's hanging off but, you know, just cosmetic. | 0:15:43 | 0:15:47 | |
And I can see through to a smaller box room. | 0:15:47 | 0:15:50 | |
It's not actually as titchy as you might find in some of these terraced houses. | 0:15:50 | 0:15:54 | |
You might want to use it as a nursery, or maybe an office. | 0:15:54 | 0:15:58 | |
And through to a really decent-sized bedroom here. | 0:15:58 | 0:16:02 | |
But one thing I'm noticing as I'm walking around, | 0:16:02 | 0:16:04 | |
and particularly on this floor, is the slope. | 0:16:04 | 0:16:07 | |
It feels like you're at sea. It's quite discombobulating. | 0:16:07 | 0:16:10 | |
Allow me to demonstrate. | 0:16:10 | 0:16:11 | |
I could borrow this bottle of water from the crew... | 0:16:11 | 0:16:14 | |
# On a roll again | 0:16:14 | 0:16:17 | |
# Rock and roll again... # | 0:16:17 | 0:16:20 | |
Now, THAT'S a slope. | 0:16:20 | 0:16:22 | |
# On a roll again | 0:16:22 | 0:16:26 | |
# Rock and roll again... # | 0:16:26 | 0:16:29 | |
So, there are certainly some ups and downs with this house | 0:16:29 | 0:16:32 | |
but it's a good size and it's pretty solid, | 0:16:32 | 0:16:35 | |
so I would be inclined to giving it the thumbs-up. | 0:16:35 | 0:16:38 | |
But, what's a local estate agent's angle on this three-bed house? | 0:16:39 | 0:16:43 | |
If I had this property I would definitely give it a lick of paint. | 0:16:47 | 0:16:50 | |
I wouldn't change any of the room layouts | 0:16:50 | 0:16:52 | |
because they're all pretty decent. | 0:16:52 | 0:16:53 | |
As soon as I walked in the property, | 0:16:53 | 0:16:55 | |
the first room I went into, you could actually feel the angles. | 0:16:55 | 0:16:58 | |
It does feel like you're walking slightly up a hill. | 0:16:58 | 0:17:01 | |
And that's not too different from some of the other houses on this street, | 0:17:01 | 0:17:04 | |
which doesn't seem to affect purchases or renters. | 0:17:04 | 0:17:07 | |
OK, so that's good to know. | 0:17:07 | 0:17:09 | |
So, let's crack on with some figures for this house that was guided at £25,000 plus. | 0:17:09 | 0:17:15 | |
Once this property's renovated, | 0:17:15 | 0:17:17 | |
I would put it on the market for 90/95,000 | 0:17:17 | 0:17:20 | |
if it was done up to a really high standard. | 0:17:20 | 0:17:23 | |
And its rental potential? | 0:17:23 | 0:17:25 | |
This property would definitely achieve £450 per calendar month. | 0:17:25 | 0:17:29 | |
There are properties that we rent on this street | 0:17:29 | 0:17:31 | |
for £400 per calendar month but this is quite large. | 0:17:31 | 0:17:33 | |
I really like this house. | 0:17:37 | 0:17:39 | |
You feel like you are getting a surprise bonus third floor. | 0:17:39 | 0:17:43 | |
But speaking of floors, well, it really is quite slopey in there. | 0:17:43 | 0:17:48 | |
Let's hope that doesn't mean enthusiasm sloped off at auction when it went under the hammer. | 0:17:48 | 0:17:54 | |
Going price, 25,000 plus. | 0:17:58 | 0:18:00 | |
You get a three-bedroomed house, put me in, 20,000. | 0:18:00 | 0:18:03 | |
OK, I've got 20 there, will you go 21? | 0:18:04 | 0:18:07 | |
22. 23. 24. 25. 26. 27. | 0:18:07 | 0:18:12 | |
28, 29. 30... | 0:18:12 | 0:18:14 | |
So there was a flurry of activity on the three-bed house and we rejoin | 0:18:14 | 0:18:18 | |
with bidding at 36 grand. | 0:18:18 | 0:18:20 | |
36, 37, madam? | 0:18:20 | 0:18:22 | |
37, will you go 38, sir? | 0:18:22 | 0:18:24 | |
No, right, 37 and a half here. 38? 38, madam. | 0:18:24 | 0:18:27 | |
And a half. 39. | 0:18:27 | 0:18:30 | |
And a half. 40? | 0:18:30 | 0:18:31 | |
And a half? No. 40, to the lady on the steps. | 0:18:31 | 0:18:34 | |
40,000 to the lady at the steps. | 0:18:34 | 0:18:36 | |
I'll take half anywhere else in the room otherwise, | 0:18:36 | 0:18:38 | |
to the lady on the steps at 40,000. For the first time? | 0:18:38 | 0:18:41 | |
40,000 for the second time. | 0:18:42 | 0:18:45 | |
Last chance, £40,000, sold, madam. | 0:18:45 | 0:18:47 | |
£40,000, number 135. | 0:18:47 | 0:18:50 | |
No, the successful bid wasn't the lady in the glasses, | 0:18:50 | 0:18:53 | |
but tucked away in the stairs was Joanna, who bought it for 40 grand | 0:18:53 | 0:18:58 | |
as a joint project with husband, Romel. | 0:18:58 | 0:19:00 | |
They live a two-hour drive away from this, | 0:19:00 | 0:19:03 | |
their first step in property development. | 0:19:03 | 0:19:05 | |
# The first step is the hardest | 0:19:05 | 0:19:10 | |
# The first step is the hardest. # | 0:19:10 | 0:19:15 | |
I caught up with them after they had been reunited with baby Ira. | 0:19:15 | 0:19:19 | |
-Joanna, hello. -Hi, there. -Romel. -Hello. -Congratulations. | 0:19:19 | 0:19:23 | |
-Thank you. -How old is Ira? | 0:19:23 | 0:19:25 | |
-She's just going to be... -Four months. -Four months, nearly. | 0:19:25 | 0:19:28 | |
And is she your first or does she have siblings? | 0:19:28 | 0:19:31 | |
She's got a bigger sister and brother, six and three. | 0:19:31 | 0:19:34 | |
-Six and three? -Yes. | 0:19:34 | 0:19:36 | |
So six and three and four months, and a new property. | 0:19:36 | 0:19:40 | |
That's exactly what it is. | 0:19:40 | 0:19:42 | |
OK, so we have a family who have a two-hour drive, | 0:19:43 | 0:19:46 | |
three young kids and a three-storey house. | 0:19:46 | 0:19:48 | |
So, it is safe to say they like a challenge, and it would seem they | 0:19:48 | 0:19:52 | |
like spontaneity and risk taking, too. | 0:19:52 | 0:19:55 | |
The night before the auction, she just did tell me, | 0:19:58 | 0:20:01 | |
"Oh, there is an auction tomorrow morning, would you like to go?" | 0:20:01 | 0:20:04 | |
So, I thought of coming to the auction, | 0:20:04 | 0:20:07 | |
see how it was going to go on, | 0:20:07 | 0:20:09 | |
just to get an idea about the auction, but she had a different idea. | 0:20:09 | 0:20:12 | |
-I had done a bit of research. -She had done a bit of research, | 0:20:12 | 0:20:15 | |
I didn't know, and she ended up buying the house. | 0:20:15 | 0:20:17 | |
So, Joanna, you had a different idea. | 0:20:17 | 0:20:20 | |
It doesn't sound like you massively shared this idea with your... | 0:20:20 | 0:20:23 | |
No, we had an idea that we wanted to invest in property. | 0:20:23 | 0:20:26 | |
-Yeah. -Romel wasn't sure. | 0:20:26 | 0:20:29 | |
-I am kind of a driving force. -True. | 0:20:29 | 0:20:33 | |
And we are a team, so we are working as a team, but someone needs to, | 0:20:33 | 0:20:37 | |
-you know, push the wagon. -Sometimes it does need someone... | 0:20:37 | 0:20:41 | |
Initiative. Because we've been always saying, | 0:20:41 | 0:20:43 | |
"We're going to go to auction, we're going to see, we're going to buy, | 0:20:43 | 0:20:46 | |
-"we're going to do this," but it never happens. -It never happens. | 0:20:46 | 0:20:49 | |
We just needed that little push and maybe just finally start it. | 0:20:49 | 0:20:52 | |
There is initiative and then there is real courage, | 0:20:52 | 0:20:55 | |
which slightly gives me the fear that you would buy somewhere and | 0:20:55 | 0:20:58 | |
you didn't...you hadn't been there and you could have come in here and the walls were falling down! | 0:20:58 | 0:21:02 | |
So what made you say, "Yes, I'm going to go for it"? | 0:21:02 | 0:21:05 | |
I'm kind of an optimistic person, if that makes sense? | 0:21:05 | 0:21:09 | |
I know, in terms of investment and business, | 0:21:09 | 0:21:11 | |
you need to be more bold and do your homework and things, | 0:21:11 | 0:21:15 | |
but I got something like a gut feeling and I really felt... | 0:21:15 | 0:21:18 | |
..that this should be a good thing. | 0:21:19 | 0:21:22 | |
So, you know, even if things don't turn out always our way, | 0:21:22 | 0:21:26 | |
we will make it our way. | 0:21:26 | 0:21:28 | |
# Oh, we're gonna make it our way... # | 0:21:28 | 0:21:34 | |
Joanna, originally from Poland, | 0:21:34 | 0:21:36 | |
met Bangladesh-born Romel when she was studying in London to become a | 0:21:36 | 0:21:40 | |
dentist, while Romel works as a night manager in a hotel | 0:21:40 | 0:21:44 | |
and plans to take time out to work on the property. | 0:21:44 | 0:21:47 | |
They've given themselves two to three months for the refurb | 0:21:48 | 0:21:53 | |
and a 10-15 grand budget, | 0:21:53 | 0:21:55 | |
but what do they hope to get done in that time and with that money? | 0:21:55 | 0:21:58 | |
Flooring, bathroom, kitchen, as usual. | 0:22:00 | 0:22:04 | |
We are going to put something sleek, | 0:22:04 | 0:22:06 | |
shiny stuff and make it look presentable. | 0:22:06 | 0:22:09 | |
The kitchen, slightly unusually, is downstairs. | 0:22:09 | 0:22:13 | |
-Yes. -Do you want to keep it that way? | 0:22:13 | 0:22:15 | |
-I think so, yeah. -We want to, because it goes out to the garden. | 0:22:15 | 0:22:18 | |
So, if someone wants to do barbecue or anything, | 0:22:18 | 0:22:21 | |
then it's quite nice to be able to go out straight. | 0:22:21 | 0:22:24 | |
There's some damp downstairs. What did you make of that? | 0:22:24 | 0:22:27 | |
Yeah, there is obviously, as you said, there is damp, | 0:22:27 | 0:22:30 | |
but we are hoping it is not anything very major. | 0:22:30 | 0:22:33 | |
-It probably... -It's been locked down for quite a long time. | 0:22:33 | 0:22:37 | |
So hopefully it is a condensation kind of thing. | 0:22:37 | 0:22:40 | |
But we will take some advice from specialists and make sure we deal | 0:22:40 | 0:22:43 | |
-with that before we do anything else. -Do anything else. | 0:22:43 | 0:22:45 | |
When I went upstairs, especially, | 0:22:45 | 0:22:48 | |
I was aware that there was a real slope. | 0:22:48 | 0:22:50 | |
Are you concerned about that? | 0:22:50 | 0:22:52 | |
-Not really. -Not really. -I'm going to make it even. I know. | 0:22:52 | 0:22:56 | |
You guys. You're pretty super-confident about it. | 0:22:57 | 0:23:00 | |
-Yeah. -Better to be. -I am not very like, a handyman, you know, | 0:23:00 | 0:23:04 | |
but I do a little bit of stuff in my house and things, | 0:23:04 | 0:23:08 | |
I just recently done, with the help of a friend, we did the loft. | 0:23:08 | 0:23:13 | |
-Conversion and things. -Now I feel that things are easy. | 0:23:13 | 0:23:16 | |
You just need to start it. | 0:23:16 | 0:23:19 | |
We will obviously have help from professionals. | 0:23:19 | 0:23:21 | |
It is not like we're going to be, you know, | 0:23:21 | 0:23:24 | |
trying handiwork or DIY in here, | 0:23:24 | 0:23:26 | |
but obviously, if we are going to have a professional on-site, | 0:23:26 | 0:23:31 | |
Romel definitely can, you know, | 0:23:31 | 0:23:33 | |
A, he can manage and make sure that they do the job. | 0:23:33 | 0:23:36 | |
-Yeah. -And I can do, like the garden and things, obviously. | 0:23:36 | 0:23:40 | |
I'm going to strip it of everything, lay out grass, | 0:23:40 | 0:23:44 | |
make it look presentable. | 0:23:44 | 0:23:46 | |
Well, I cannot wait to see what you do with the place. | 0:23:46 | 0:23:48 | |
I can't wait as well. | 0:23:48 | 0:23:50 | |
-Congratulations again. -Thank you very much. | 0:23:50 | 0:23:52 | |
-Good luck. -Thank you. Thank you very much. | 0:23:52 | 0:23:54 | |
Good luck, wee girl. | 0:23:54 | 0:23:57 | |
So, this was Joanna, Romel and Ira's first auction. | 0:24:00 | 0:24:04 | |
Not only that, but they decided to buy a property without even seeing it! | 0:24:04 | 0:24:08 | |
But then, Joanna said she just followed her instincts. | 0:24:08 | 0:24:11 | |
Was that gut reaction right? | 0:24:11 | 0:24:14 | |
You can find out later in the show. | 0:24:14 | 0:24:16 | |
Coming up, we return to a large property development in Kent | 0:24:17 | 0:24:22 | |
that we first saw back in 2014. | 0:24:22 | 0:24:25 | |
So, now, is it finally finished? | 0:24:25 | 0:24:27 | |
And in Wales, I think there might be a new property developer in town. | 0:24:27 | 0:24:32 | |
It was a fantastic experience, first time. | 0:24:32 | 0:24:34 | |
Hopefully I'm going to have more and more. | 0:24:34 | 0:24:37 | |
Equidistant from Derby and Nottingham, | 0:24:41 | 0:24:43 | |
the small Derbyshire town of Langley Mill was where we first saw | 0:24:43 | 0:24:47 | |
a terraced house with its own entrance to the back, | 0:24:47 | 0:24:50 | |
great for a terrace. | 0:24:50 | 0:24:52 | |
Inside was a large open-plan living space which I liked, | 0:24:52 | 0:24:55 | |
whereas upstairs had plenty of room for improvement. | 0:24:55 | 0:24:59 | |
There are only currently two bedrooms, | 0:24:59 | 0:25:02 | |
a large one at the front and a really big one at the back. | 0:25:02 | 0:25:05 | |
Now, given that you've got a couple of windows here, | 0:25:05 | 0:25:07 | |
and also the size of it, surely you can either get another bedroom in here or move that bathroom | 0:25:07 | 0:25:13 | |
and then you can create some kind of utility room downstairs. | 0:25:13 | 0:25:17 | |
So, two beds could become three, | 0:25:17 | 0:25:20 | |
which meant there was an opportunity to add value and potentially make money. | 0:25:20 | 0:25:24 | |
Although that wasn't what first attracted maintenance engineer | 0:25:24 | 0:25:28 | |
Stephen and his wife Barbara when they bought it for £56,000 at auction. | 0:25:28 | 0:25:33 | |
We came to look at it the day before it went up for auction. | 0:25:34 | 0:25:38 | |
-Oh, wow. -And it just spoke to me. | 0:25:38 | 0:25:41 | |
-And it sort of looked, "Please, please buy me." -Aw! | 0:25:41 | 0:25:45 | |
And it's got a feature on the front that looked as if it's got raised eyebrows. | 0:25:45 | 0:25:50 | |
And I thought, I like it, it's quirky. | 0:25:50 | 0:25:54 | |
-# Cos you've got -Personality | 0:25:54 | 0:25:56 | |
-# Walk -With personality | 0:25:56 | 0:25:58 | |
-# Talk -With personality | 0:25:58 | 0:26:00 | |
# Smile... # | 0:26:00 | 0:26:02 | |
Well, I guess we all like houses for different reasons, | 0:26:02 | 0:26:05 | |
but if the outside spoke to Barbara, the inside shouted to me, | 0:26:05 | 0:26:08 | |
"full refurbishment". | 0:26:08 | 0:26:10 | |
Update, update, update! | 0:26:10 | 0:26:12 | |
And with plans to do the majority of the work themselves, | 0:26:12 | 0:26:15 | |
they hoped a £10,000 budget and a nine-month to maybe a year timescale | 0:26:15 | 0:26:21 | |
would give the property a sparkling, bright new personality. | 0:26:21 | 0:26:24 | |
# What more can I do? # | 0:26:29 | 0:26:31 | |
But now over 18 months have passed and we are finally back. | 0:26:32 | 0:26:36 | |
Well, the yellow paintwork has certainly lifted it, | 0:26:40 | 0:26:43 | |
giving it perhaps more of a smile now than a frown. | 0:26:43 | 0:26:47 | |
But what about the inside? What tale will that tell? | 0:26:47 | 0:26:51 | |
It's clean, modern, it's so much more welcoming. | 0:27:00 | 0:27:03 | |
New kitchen. New bathroom. | 0:27:07 | 0:27:09 | |
And what about upstairs? | 0:27:13 | 0:27:15 | |
Well, two is now three. | 0:27:18 | 0:27:20 | |
With a large bedroom split into two. | 0:27:24 | 0:27:26 | |
And the third bedroom now has its own en suite | 0:27:29 | 0:27:32 | |
and they've even found space for a separate upstairs toilet. | 0:27:32 | 0:27:35 | |
So what's the story with that? | 0:27:35 | 0:27:37 | |
# We need to talk... # | 0:27:37 | 0:27:40 | |
A little light bulb moment, that was. | 0:27:42 | 0:27:44 | |
He was just nodding off and I just gave him a poke and I said, | 0:27:44 | 0:27:47 | |
"We can put the toilet and the shower over the entry," | 0:27:47 | 0:27:51 | |
because we own the entry. | 0:27:51 | 0:27:53 | |
And it made sense because all the pipework could go there and if | 0:27:53 | 0:27:58 | |
anything leaks or anything, we can get at it. | 0:27:58 | 0:28:01 | |
That was a moment of pure genius from Barbara. | 0:28:01 | 0:28:04 | |
She also had a hand in turning the garden around, | 0:28:04 | 0:28:07 | |
landscaping it while Stephen sorted out the shed. | 0:28:07 | 0:28:10 | |
Repairing it using materials donated by a friend | 0:28:10 | 0:28:14 | |
and recycling old and new was a bit of a theme in this house. | 0:28:14 | 0:28:17 | |
# Let's go round again | 0:28:17 | 0:28:20 | |
# Maybe we'll turn back the hands of time... # | 0:28:22 | 0:28:25 | |
-The staircase, well... -It was dark and horrible, wasn't it? | 0:28:25 | 0:28:29 | |
It was dark and dismal. We thought, well, "How can we make it sort of safe?" | 0:28:29 | 0:28:33 | |
Because the current regulations are there's got to be some sort of balustrade in it, | 0:28:33 | 0:28:37 | |
so I thought about it and I looked down the shed | 0:28:37 | 0:28:39 | |
and we'd got these bits and pieces that came off another staircase, | 0:28:39 | 0:28:42 | |
so I altered and adapted them... | 0:28:42 | 0:28:44 | |
And then I painted it silver. | 0:28:44 | 0:28:46 | |
Painted it all up, and cleaned it all up and that's what it looks like now. | 0:28:46 | 0:28:49 | |
And with tiles found in the garden used in the fireplace and a rather special clock | 0:28:49 | 0:28:53 | |
dedicated to what I hope is their favourite TV programme, | 0:28:53 | 0:28:58 | |
Barbara and Stephen have been imaginative with the materials and space they found in this property. | 0:28:58 | 0:29:03 | |
But at one point it did seem that all their hard work might turn to dust. | 0:29:03 | 0:29:08 | |
I started to walk over from the kitchen and I got halfway across | 0:29:08 | 0:29:13 | |
this room and I heard this creaking and I thought, | 0:29:13 | 0:29:17 | |
"That doesn't sound very good." | 0:29:17 | 0:29:19 | |
So I quickly retraced my steps to the doorway | 0:29:19 | 0:29:21 | |
as this half of the ceiling came down. | 0:29:21 | 0:29:24 | |
Just one almighty crash. | 0:29:24 | 0:29:26 | |
Steve rushed down and I was standing in the doorway and I was sort of | 0:29:26 | 0:29:31 | |
all black and sooty and all of the mess, you know? | 0:29:31 | 0:29:34 | |
Unfortunately I didn't take a picture of her | 0:29:34 | 0:29:36 | |
and I should have done, but ever since that... | 0:29:36 | 0:29:38 | |
-He laughed at me. -Ever since... | 0:29:38 | 0:29:40 | |
I couldn't help but laugh, I'm sorry. | 0:29:40 | 0:29:43 | |
Ever since that happened, for the rest of the job she wore a hard hat. | 0:29:43 | 0:29:47 | |
-I did. -THEY LAUGH | 0:29:47 | 0:29:51 | |
Well, I don't blame her. | 0:29:51 | 0:29:53 | |
And with Stephen being busy with other work commitments, | 0:29:53 | 0:29:56 | |
the timescale also bit the dust. | 0:29:56 | 0:29:58 | |
# Another one bites the dust... # | 0:29:58 | 0:30:01 | |
But did the budget go the same way? | 0:30:01 | 0:30:03 | |
# Another one bites the dust... # | 0:30:03 | 0:30:05 | |
Well, we'd set a budget of about £10,000, | 0:30:05 | 0:30:09 | |
we've come in I think round about eight and a half for the actual | 0:30:09 | 0:30:12 | |
renovation and then it was about two and a half for fees and council tax, | 0:30:12 | 0:30:18 | |
that sort of thing. | 0:30:18 | 0:30:20 | |
So we aren't much over, really. | 0:30:20 | 0:30:23 | |
With an £11,000 spend on top of their £56,000 purchase price, | 0:30:25 | 0:30:29 | |
Barbara and Stephen have £67,000 invested into this house. | 0:30:29 | 0:30:34 | |
And it's certainly been quite a journey to get it all finished, | 0:30:34 | 0:30:37 | |
but was it worth it? | 0:30:37 | 0:30:39 | |
What did two local property experts think? | 0:30:39 | 0:30:42 | |
I think they've made a really nice job. | 0:30:44 | 0:30:47 | |
It's very clean, very tidy, very neutral, | 0:30:47 | 0:30:49 | |
but got a warm sort of cosy feel to it. | 0:30:49 | 0:30:52 | |
I think it would be really nice for a family. | 0:30:52 | 0:30:54 | |
My first impressions of the renovations are that they've all | 0:30:54 | 0:30:57 | |
been done to a good standard and I'm really impressed | 0:30:57 | 0:30:59 | |
with the changes made to this property. | 0:30:59 | 0:31:01 | |
The fireplace is really nice. | 0:31:01 | 0:31:03 | |
It's got a rustic look which is very in at the moment. | 0:31:03 | 0:31:05 | |
My favourite feature is the window seat. | 0:31:05 | 0:31:08 | |
I think the conversion back to a three-bedroom, which was what it was originally built as, | 0:31:08 | 0:31:12 | |
will certainly add value whether it be to the rental market or to the sales market. | 0:31:12 | 0:31:15 | |
Barbara and Stephen want to hang on to this house | 0:31:18 | 0:31:21 | |
and see it as part of a long-term pension plan. | 0:31:21 | 0:31:24 | |
But currently how much is their £67,000 investment worth? | 0:31:24 | 0:31:28 | |
For resale I think the property could achieve | 0:31:29 | 0:31:32 | |
somewhere in the region of £100,000. | 0:31:32 | 0:31:34 | |
If I were looking to offer this property to the resale market | 0:31:34 | 0:31:37 | |
I would look to offer it somewhere in the region of 90 to £95,000. | 0:31:37 | 0:31:41 | |
So a possible 23 to £33,000 pre-tax profit on the resale market. | 0:31:41 | 0:31:47 | |
But what about the all-important rental potential? | 0:31:47 | 0:31:50 | |
As a rental I think you'd probably get around £475 per calendar month. | 0:31:53 | 0:31:57 | |
I would suggest that if this property were offered | 0:31:57 | 0:32:00 | |
to the rental market it would achieve somewhere in the region of 525 to £550 per calendar month. | 0:32:00 | 0:32:05 | |
-Quite happy with that. -On the top end, yes. | 0:32:05 | 0:32:09 | |
So quite a variation on those rental figures but an average around £500 | 0:32:09 | 0:32:13 | |
per calendar month would see a rental yield close to 9% which, | 0:32:13 | 0:32:17 | |
as a pension fund, is pretty good. | 0:32:17 | 0:32:20 | |
So, for Barbara and Stephen, are there more property developments on the horizon? | 0:32:20 | 0:32:25 | |
No more plans to do any more, or I didn't have... | 0:32:28 | 0:32:31 | |
..but my daughter bought me a house at Christmas... | 0:32:33 | 0:32:36 | |
..but it's a doll's house. | 0:32:38 | 0:32:40 | |
So hopefully that won't take 17 months! | 0:32:40 | 0:32:44 | |
THEY LAUGH | 0:32:44 | 0:32:46 | |
Now, roll your mind back to 2014 and the historic suburb of Milton Regis | 0:32:49 | 0:32:56 | |
in Kent, where Lucy saw a property guided | 0:32:56 | 0:33:01 | |
between 85 and £90,000 that was the order of the day. | 0:33:01 | 0:33:04 | |
Inside you can tell straightaway this floor here | 0:33:04 | 0:33:07 | |
was used as a hot food takeaway. | 0:33:07 | 0:33:09 | |
Right here was the servery, | 0:33:09 | 0:33:12 | |
and through here I think this may have been the restaurant area. | 0:33:12 | 0:33:16 | |
I wouldn't fancy ordering my food here as it is at the moment. | 0:33:16 | 0:33:20 | |
A little bit tatty and needs everything doing. | 0:33:20 | 0:33:23 | |
Through here you've got the kitchen area. | 0:33:23 | 0:33:25 | |
That's quite a big space and I'm sure some of that equipment still might work. | 0:33:25 | 0:33:30 | |
But as a hot food takeaway, | 0:33:30 | 0:33:32 | |
this floor has A5 business classing, | 0:33:32 | 0:33:35 | |
which gives you more flexibility than if it had previously | 0:33:35 | 0:33:38 | |
been used as a shop for example. | 0:33:38 | 0:33:41 | |
Now, that is because under current regulations | 0:33:41 | 0:33:44 | |
you're allowed to convert it into a shop, a restaurant, | 0:33:44 | 0:33:46 | |
or a cafe without applying for change of use from the local authority. | 0:33:46 | 0:33:51 | |
Now, there are plenty of other commercial businesses | 0:33:51 | 0:33:54 | |
all along the street so I would advise doing your research | 0:33:54 | 0:33:57 | |
and finding out what sort of business really would work best here. | 0:33:57 | 0:34:01 | |
There was a lot on the menu at this former takeaway. | 0:34:05 | 0:34:09 | |
Directly above the commercial unit was living accommodation. | 0:34:09 | 0:34:12 | |
On the first floor were three rooms to the front of the building and one | 0:34:14 | 0:34:19 | |
that had no windows, which connected the two at the other end. | 0:34:19 | 0:34:22 | |
Through this room was a hall that led to a back bedroom followed by a | 0:34:24 | 0:34:28 | |
bathroom and another larger room. | 0:34:28 | 0:34:31 | |
The top floor had four rooms but with no kitchen or bathroom. | 0:34:32 | 0:34:37 | |
Lots of plumbing would be needed for the most obvious option | 0:34:37 | 0:34:40 | |
of converting the top two floors to self-contained flats. | 0:34:40 | 0:34:44 | |
You'd also need to create separate access | 0:34:46 | 0:34:49 | |
as the only way in was through the commercial unit. | 0:34:49 | 0:34:52 | |
But Lucy had some ideas for the mixed-use premises. | 0:34:52 | 0:34:55 | |
What about taking this whole property and turning it into residential? | 0:34:58 | 0:35:02 | |
How about a couple of houses? | 0:35:02 | 0:35:04 | |
However, there is something I haven't told you yet | 0:35:04 | 0:35:07 | |
that could affect planning permission here. | 0:35:07 | 0:35:09 | |
This property is Grade II listed. | 0:35:11 | 0:35:13 | |
Now, don't get too excited because that means there'll be extra | 0:35:13 | 0:35:16 | |
restrictions on any changes you want to make | 0:35:16 | 0:35:19 | |
on the inside as well as the outside. | 0:35:19 | 0:35:22 | |
That listed building status meant this was likely to be an expensive | 0:35:23 | 0:35:27 | |
renovation, and whoever bought it would need to keep in close contact | 0:35:27 | 0:35:31 | |
with the local conservation officer | 0:35:31 | 0:35:34 | |
to ensure all building work was sympathetic to the original design. | 0:35:34 | 0:35:37 | |
# You can try to please me | 0:35:40 | 0:35:42 | |
# But it won't be easy | 0:35:42 | 0:35:45 | |
# And you don't stand an outside chance | 0:35:45 | 0:35:47 | |
# Don't stand an outside chance | 0:35:47 | 0:35:48 | |
# Don't stand an outside chance | 0:35:48 | 0:35:51 | |
# But you can try... # | 0:35:51 | 0:35:53 | |
So lots of space to play with but would that listed building status | 0:35:53 | 0:35:57 | |
make the bidders go cold when it went under the hammer? | 0:35:57 | 0:36:00 | |
Another takeaway premises but a big 3-story commercial residential and | 0:36:03 | 0:36:08 | |
well worth the refurb that's needed. | 0:36:08 | 0:36:10 | |
Start me, where you will, on that one. | 0:36:10 | 0:36:12 | |
Really attractive guide price, I thought. | 0:36:12 | 0:36:14 | |
Give me 80, then, got to start somewhere. | 0:36:14 | 0:36:16 | |
80,000... 80,000, I'm obliged. | 0:36:16 | 0:36:19 | |
At 82, 85, 85, 87. | 0:36:19 | 0:36:22 | |
I've got 85,000 and I'm looking for 87. | 0:36:22 | 0:36:25 | |
You can't believe it's going to be sold for that but it will be. | 0:36:25 | 0:36:28 | |
I will set it for the first time. | 0:36:28 | 0:36:30 | |
I will... 87, thank you. | 0:36:30 | 0:36:31 | |
87. At 90. | 0:36:31 | 0:36:33 | |
92, 92, 95, 97, 97. | 0:36:33 | 0:36:40 | |
And 100, 102, 102 and five and seven. | 0:36:40 | 0:36:47 | |
107. 107. | 0:36:47 | 0:36:49 | |
If you don't buy it, what are you going to do with those men that were booked to go in there Monday? | 0:36:49 | 0:36:53 | |
107, can I say? Well, you've completed my money, of course. | 0:36:53 | 0:36:56 | |
107, 110? 110? | 0:36:56 | 0:36:59 | |
No? 108, because you've been with it all this time. 108? | 0:36:59 | 0:37:02 | |
Put in a white screen instead of a coloured one. That'll save a grand. | 0:37:02 | 0:37:05 | |
108, 109? | 0:37:05 | 0:37:07 | |
You could buy it for that. 109? | 0:37:07 | 0:37:09 | |
110? It's just £1,000 now. | 0:37:09 | 0:37:12 | |
It's not a big gap. For the first time at £109,000. | 0:37:12 | 0:37:17 | |
Second time at £109,000. | 0:37:17 | 0:37:19 | |
Third and final time. | 0:37:19 | 0:37:21 | |
Yours at 109, G280, thank you. | 0:37:21 | 0:37:24 | |
# I say... Take me out... # | 0:37:24 | 0:37:29 | |
Taking away the listed property from auction for 109 grand was Paul. | 0:37:29 | 0:37:34 | |
Paul, who runs his own building firm, | 0:37:34 | 0:37:36 | |
had already picked up his main dish in the shape of a neighbouring | 0:37:36 | 0:37:40 | |
property for 130,000 before he went for the side dish, | 0:37:40 | 0:37:45 | |
but unfortunately he broke some Homes Under The Hammer golden rules. | 0:37:45 | 0:37:49 | |
I didn't bother to investigate inside or look into any of the details of it, | 0:37:49 | 0:37:53 | |
but I turned up at the auction and the bidding was going so slowly | 0:37:53 | 0:37:57 | |
that I bought it on impulse. | 0:37:57 | 0:38:00 | |
You just bought it for 109,000? | 0:38:00 | 0:38:02 | |
-Yeah. Yeah. -Were you a bit shocked and surprised? | 0:38:02 | 0:38:05 | |
Yeah, I was a bit because I hadn't gone there intending to buy it at all. | 0:38:05 | 0:38:09 | |
So I just spent, you know, over a quarter of million pounds just on impulse. | 0:38:09 | 0:38:14 | |
This impulse buy was hardly a packet of sweets at the checkout. | 0:38:14 | 0:38:18 | |
So with two commercial premises, | 0:38:18 | 0:38:20 | |
two times two residential storeys and a barn out back, | 0:38:20 | 0:38:25 | |
Paul had a lot of property. | 0:38:25 | 0:38:26 | |
So come on then, tell me. What are your plans? | 0:38:28 | 0:38:30 | |
Subject to planning, this will turn into two houses. | 0:38:30 | 0:38:34 | |
The shop that I bought next-door we turned into two three-bedroom houses. | 0:38:34 | 0:38:37 | |
And hopefully the barn will turn into a pair of semis. | 0:38:37 | 0:38:39 | |
How are you going to do that, and how are you going to do that without | 0:38:39 | 0:38:42 | |
tampering too much, because it is listed? | 0:38:42 | 0:38:46 | |
It will actually improve it because it was always two properties | 0:38:46 | 0:38:49 | |
and they took the spine wall out to make it into one. | 0:38:49 | 0:38:52 | |
So we will put that back and that will improve the stability of the building. | 0:38:52 | 0:38:57 | |
So not flats? | 0:38:57 | 0:38:59 | |
No, we originally thought about flats but the council's policy is to turn shops into houses. | 0:38:59 | 0:39:03 | |
But because it's listed I'm sure you're going to have a | 0:39:03 | 0:39:05 | |
lot of involvement with the planners, aren't you? | 0:39:05 | 0:39:08 | |
Yeah, yeah, the conservation officer will be involved from the beginning. | 0:39:08 | 0:39:12 | |
And we will get a lot of delays | 0:39:12 | 0:39:14 | |
talking to them about what they will allow and what they won't allow. | 0:39:14 | 0:39:19 | |
Paul seemed confident he knew what he was getting into. | 0:39:19 | 0:39:22 | |
After all, he did have extensive experience | 0:39:22 | 0:39:25 | |
dealing with English Heritage and period properties. | 0:39:25 | 0:39:29 | |
He initially thought the building work would take about six months | 0:39:29 | 0:39:33 | |
and had 80 grand to spend on each unit | 0:39:33 | 0:39:35 | |
but when we returned almost three years later, | 0:39:35 | 0:39:39 | |
things hadn't exactly gone to plan. | 0:39:39 | 0:39:40 | |
# Maybe sometime sooner or later | 0:39:42 | 0:39:47 | |
# But I don't think I'm ready yet | 0:39:49 | 0:39:53 | |
# Not feeling up to it now | 0:39:55 | 0:40:00 | |
# Just not that steady yet | 0:40:02 | 0:40:04 | |
# And I don't need you telling me how... # | 0:40:07 | 0:40:11 | |
Sadly, nothing about this project had been simple. | 0:40:17 | 0:40:19 | |
And the reason for the delay was of course because the building was Grade II listed. | 0:40:19 | 0:40:24 | |
It's been a bit of a roller-coaster. | 0:40:27 | 0:40:29 | |
We kept thinking that we'd reached a point where we could go ahead | 0:40:29 | 0:40:33 | |
but we kept getting rejections. | 0:40:33 | 0:40:36 | |
Normal planning permission only takes eight weeks and... | 0:40:36 | 0:40:40 | |
..this took three years, which kind of set us back a bit. | 0:40:42 | 0:40:45 | |
During this time we've had problems with the security, | 0:40:45 | 0:40:49 | |
we've had three arson attacks. | 0:40:49 | 0:40:51 | |
People have been in and stolen all the cables and pipework. | 0:40:52 | 0:40:56 | |
The fire damage wasn't only restricted to this house. | 0:40:57 | 0:41:01 | |
The other lot he bought next-door had its barn set on fire and all the | 0:41:01 | 0:41:05 | |
buildings suffered from the same delay in planning. | 0:41:05 | 0:41:08 | |
But Paul and his team were granted permission | 0:41:09 | 0:41:11 | |
to strip the former takeaway restaurant back to the bare brick | 0:41:11 | 0:41:14 | |
so they could see the condition of the old timber-framed building. | 0:41:14 | 0:41:18 | |
Sadly, hiding underneath the plaster were a few nasty surprises. | 0:41:19 | 0:41:23 | |
We've got the main structural beam running through | 0:41:26 | 0:41:30 | |
but the valley has given way over the years and rotted this beam out. | 0:41:30 | 0:41:35 | |
So this beam wasn't sitting on anything and | 0:41:36 | 0:41:40 | |
this is the, this is the structure of the beam. | 0:41:40 | 0:41:43 | |
It's no longer serving its purpose and we need to replace this completely. | 0:41:43 | 0:41:51 | |
And pick up this beam at the same time. | 0:41:51 | 0:41:53 | |
# Stay with me I need support... # | 0:41:53 | 0:41:57 | |
Once the beams were sorted Paul would be able to get down to fitting out the houses. | 0:41:57 | 0:42:01 | |
On the ground floors, there would be a lounge and a modern kitchen | 0:42:01 | 0:42:05 | |
with direct access to a small garden at the back. | 0:42:05 | 0:42:09 | |
The first floor was going to have two bedrooms | 0:42:09 | 0:42:12 | |
and a family sized bathroom with the other two bedrooms in the attic. | 0:42:12 | 0:42:17 | |
Paul had spent 20 grand of his budget so far | 0:42:17 | 0:42:20 | |
and expected to spend another 120 on the rest of the project. | 0:42:20 | 0:42:24 | |
This was well under his initial budget of 80 grand per unit. | 0:42:24 | 0:42:28 | |
So with the budget on track and planning passed, | 0:42:28 | 0:42:32 | |
would Paul be able to stick to his original six-month build time? | 0:42:32 | 0:42:36 | |
The timescale should be the same from now, | 0:42:37 | 0:42:41 | |
providing that we don't come up against any problems | 0:42:41 | 0:42:46 | |
with the authorities. | 0:42:46 | 0:42:48 | |
We've got a bit of a challenge | 0:42:48 | 0:42:50 | |
because the building regs have different requirements | 0:42:50 | 0:42:54 | |
to the planning people. | 0:42:54 | 0:42:56 | |
So we have to try and meet the building regs | 0:42:56 | 0:42:59 | |
but at the same time not destroy the fabric of the building. | 0:42:59 | 0:43:03 | |
More challenges to come on this character property. | 0:43:03 | 0:43:06 | |
So would Paul be able to satisfy both building regs and planning | 0:43:06 | 0:43:09 | |
and manage it all in his timescale? | 0:43:09 | 0:43:11 | |
You can find out later in the show. | 0:43:11 | 0:43:14 | |
Well, earlier on in the show we saw how one property turned out. | 0:43:23 | 0:43:26 | |
But what about the other two? | 0:43:26 | 0:43:28 | |
Yes, we've still got two more to see, | 0:43:28 | 0:43:30 | |
so let's find out what happened. | 0:43:30 | 0:43:31 | |
It was in Tylorstown in the Rhondda Valley | 0:43:34 | 0:43:37 | |
where we first saw a three-bed, three-storey mid-terraced house | 0:43:37 | 0:43:41 | |
built into the hill with a kitchen on the bottom floor, | 0:43:41 | 0:43:44 | |
living space at street level | 0:43:44 | 0:43:46 | |
and the three bedrooms on the top floor. | 0:43:46 | 0:43:49 | |
There were certainly some ups and downs with this property. | 0:43:49 | 0:43:53 | |
Now THAT'S a slope. | 0:43:53 | 0:43:55 | |
And in addition, there were signs of damp. | 0:43:55 | 0:43:59 | |
So there were a few issues to contend with in the house. | 0:43:59 | 0:44:02 | |
Not that married couple Joanna and Romel would have known any of that, | 0:44:02 | 0:44:07 | |
having bought it at auction for 40 grand unseen | 0:44:07 | 0:44:10 | |
as a spur of the moment purchase and their first major renovation. | 0:44:10 | 0:44:15 | |
What made you say yes, I'm going to go for it? | 0:44:16 | 0:44:19 | |
I'm kind of an optimistic person, if that makes sense. | 0:44:19 | 0:44:22 | |
And I know it's in terms of investment and business | 0:44:22 | 0:44:25 | |
you need to be more bold and do your homework and things, | 0:44:25 | 0:44:30 | |
but I got something like a gut feeling | 0:44:30 | 0:44:32 | |
and I really felt that this should be a good thing. | 0:44:32 | 0:44:35 | |
# Oh sometimes | 0:44:35 | 0:44:37 | |
# I get a good feeling | 0:44:37 | 0:44:39 | |
# Yeah | 0:44:39 | 0:44:41 | |
# I get a feeling that I never, never, never, never, had before | 0:44:43 | 0:44:46 | |
# Oh, no, I get a good feeling. # | 0:44:46 | 0:44:48 | |
With a proposed budget of 10 to 15 grand | 0:44:48 | 0:44:51 | |
and a timescale of two to three months, | 0:44:51 | 0:44:54 | |
fingers crossed that gut feeling was right. | 0:44:54 | 0:44:57 | |
Well, nine months on, and it's time to find out. | 0:44:57 | 0:45:00 | |
So, as you walk in we've knocked down the hall wall, | 0:45:11 | 0:45:14 | |
we've made it open-plan. | 0:45:14 | 0:45:16 | |
We tried to put laminating but the floor was a bit uneven, | 0:45:20 | 0:45:24 | |
so we had to sand it off. | 0:45:24 | 0:45:26 | |
And along with the lounge, the bathroom on this floor | 0:45:27 | 0:45:30 | |
has also been completely refurbished. | 0:45:30 | 0:45:32 | |
Going upstairs in the three bedrooms, | 0:45:35 | 0:45:37 | |
we have renovated it all thoroughly. | 0:45:37 | 0:45:39 | |
Put new central heating everywhere. | 0:45:39 | 0:45:42 | |
And with no layout changes, | 0:45:47 | 0:45:48 | |
the bedrooms remain at the top of the house, | 0:45:48 | 0:45:51 | |
quite a distance from the kitchen. | 0:45:51 | 0:45:53 | |
Then, downstairs, the whole kitchen as you can see, | 0:45:55 | 0:45:59 | |
is renovated to a high standard, I believe. It's all new kitchen. | 0:45:59 | 0:46:03 | |
The kitchen really looks great and the damp here has been eliminated | 0:46:05 | 0:46:09 | |
with a damp proof plaster and paint. | 0:46:09 | 0:46:12 | |
And outside garden, we cleared up as much as we could. | 0:46:14 | 0:46:19 | |
And with a small patio area to sit and soak up the views, | 0:46:25 | 0:46:29 | |
this house definitely has more ups than downs. | 0:46:29 | 0:46:33 | |
# Sometimes I get a good feeling. # | 0:46:35 | 0:46:37 | |
The biggest trouble was the time. | 0:46:39 | 0:46:41 | |
Timekeeping with the children's schools, nursery, our job, | 0:46:41 | 0:46:47 | |
and also the travelling far away. | 0:46:47 | 0:46:52 | |
Yes, living 90 miles away with a two-hour journey time, | 0:46:52 | 0:46:56 | |
this house wasn't exactly on their doorstep, | 0:46:56 | 0:46:59 | |
so a lot of coordination had to be done from afar. | 0:46:59 | 0:47:02 | |
And though they did try to get to the house at least once a week, | 0:47:04 | 0:47:07 | |
their role was more hands-off than hands-on and talking of roles, | 0:47:07 | 0:47:12 | |
what did they do about those sloping floors in the bedroom? | 0:47:12 | 0:47:16 | |
For the sloping floors on the upstairs bedrooms, | 0:47:16 | 0:47:20 | |
we've done a bit of research | 0:47:20 | 0:47:22 | |
and asked a few neighbours if they got the same. | 0:47:22 | 0:47:26 | |
This road unusually is on the mountainside | 0:47:26 | 0:47:29 | |
so we just wasn't bothered much to do it up, | 0:47:29 | 0:47:33 | |
where it was costing us also a bit of extra money, | 0:47:33 | 0:47:36 | |
so we just left it as it is and tidied it up. | 0:47:36 | 0:47:41 | |
# Keep on rolling | 0:47:41 | 0:47:43 | |
# Keep on rolling. # | 0:47:43 | 0:47:46 | |
And that was probably for the best because property developing | 0:47:49 | 0:47:52 | |
is all about trying to keep the bottom line in check | 0:47:52 | 0:47:55 | |
and seeing the bigger picture. | 0:47:55 | 0:47:57 | |
So, did they keep to their 10 to 15 grand budget? | 0:47:57 | 0:48:00 | |
We did to spend over that, to be honest, | 0:48:00 | 0:48:03 | |
because we had to open up the living room | 0:48:03 | 0:48:07 | |
and dealing with the damp and also the garden was full of rubbish. | 0:48:07 | 0:48:12 | |
We had to lay patio and things | 0:48:12 | 0:48:16 | |
so altogether I believe we touched about the 20 grand mark. | 0:48:16 | 0:48:22 | |
And a 20 grand spend on top of the 40,000 purchase price | 0:48:25 | 0:48:30 | |
means that Romel and Joanna have 60 grand invested here. | 0:48:30 | 0:48:34 | |
So have they got their changes right? | 0:48:34 | 0:48:36 | |
What do two local estate agents think? | 0:48:36 | 0:48:39 | |
First, the agent who saw it last time. | 0:48:39 | 0:48:41 | |
I've come back to the property a second time. | 0:48:43 | 0:48:45 | |
They've done some work to it and the work is average. | 0:48:45 | 0:48:49 | |
It's decent enough for a rental. | 0:48:49 | 0:48:51 | |
The standard of finish, first impressions are pretty good. | 0:48:51 | 0:48:54 | |
I've seen much worse, I've seen slightly better, | 0:48:54 | 0:48:56 | |
but I think it's overall a very good standard of finish. | 0:48:56 | 0:48:59 | |
I think with the layout changes it's pretty decent. | 0:48:59 | 0:49:01 | |
Some people will like it, some people won't, but I think it's quite modern living now. | 0:49:01 | 0:49:05 | |
I like the original flooring. It's nice that they've kept that touch. It's nice and open-plan. | 0:49:05 | 0:49:10 | |
The kitchen being downstairs and separate is, you know, it maximises use of space. | 0:49:10 | 0:49:14 | |
Well, let's hope the quality of the finish isn't a big issue, | 0:49:14 | 0:49:18 | |
as this has always been a resale project for Romel and Joanna. | 0:49:18 | 0:49:22 | |
So will they see much profit in their 60 grand investment? | 0:49:22 | 0:49:26 | |
I think this property would sell at the current market | 0:49:26 | 0:49:29 | |
for 75 to £80,000. | 0:49:29 | 0:49:32 | |
I would value the property between 85 and £90,000. | 0:49:32 | 0:49:35 | |
The agent who said 75 to 80, | 0:49:35 | 0:49:38 | |
I believe that is reasonable and that's what we're looking for | 0:49:38 | 0:49:42 | |
at the moment. | 0:49:42 | 0:49:44 | |
But on the other hand, 85 to 90, if we can get that, wow, | 0:49:44 | 0:49:49 | |
that would be really great. | 0:49:49 | 0:49:52 | |
So, a possible 15 to 30 grand pre-tax profit on the resale market, | 0:49:52 | 0:49:57 | |
and the agents also thought a rental figure in the region | 0:49:57 | 0:50:02 | |
of £420 per calendar month would be possible, | 0:50:02 | 0:50:05 | |
which equates to a yield of around 8%, | 0:50:05 | 0:50:08 | |
which wouldn't be bad as a last resort. | 0:50:08 | 0:50:11 | |
But how does Romel feel about their first major property renovation? | 0:50:11 | 0:50:16 | |
From starting with the buying, that was... | 0:50:16 | 0:50:19 | |
We had no clue that we were buying a house, and then we bought a house. | 0:50:20 | 0:50:24 | |
Now it's everything done up, waiting to sell. | 0:50:24 | 0:50:29 | |
It's a fantastic experience, first time, | 0:50:29 | 0:50:32 | |
and hopefully I'm going to have more and more. | 0:50:32 | 0:50:35 | |
With roots that can be traced back to Roman times, | 0:50:39 | 0:50:42 | |
the Kent village of Milton Regis is steeped in history, | 0:50:42 | 0:50:46 | |
and it was here that we had our own little bit of history to catch up on | 0:50:46 | 0:50:49 | |
in the form of a Grade II listed property | 0:50:49 | 0:50:53 | |
that Lucy first saw in 2014. | 0:50:53 | 0:50:55 | |
Formerly two town houses, | 0:50:55 | 0:50:57 | |
the large lot had been combined to accommodate a takeaway restaurant | 0:50:57 | 0:51:01 | |
downstairs, with residential accommodation upstairs. | 0:51:01 | 0:51:05 | |
And it was bought for £109,000 at auction by experienced local builder | 0:51:05 | 0:51:09 | |
Paul, although that was just half the story. | 0:51:09 | 0:51:13 | |
-Have you bought anything else locally? -The shop next door. | 0:51:13 | 0:51:16 | |
And he was hoping to convert the two former shops into four houses, | 0:51:16 | 0:51:20 | |
with a budget of £80,000 per house. | 0:51:20 | 0:51:22 | |
But when we first returned, | 0:51:22 | 0:51:24 | |
it was a case of best laid plans and all that. | 0:51:24 | 0:51:27 | |
Normal planning permission only takes eight weeks, | 0:51:29 | 0:51:32 | |
and this took three years, which kind of set us back a bit. | 0:51:32 | 0:51:38 | |
Yeah, you could say that, Paul! | 0:51:38 | 0:51:40 | |
But finally, after dealing with all the planning and listed building | 0:51:40 | 0:51:44 | |
consent, as well as the buildings nearly being burned down, | 0:51:44 | 0:51:47 | |
it was time to get the show on the road. | 0:51:47 | 0:51:49 | |
# Get this party started | 0:51:49 | 0:51:53 | |
# Get this party started right now. # | 0:51:53 | 0:51:58 | |
And now, a further ten months on, we're back. | 0:52:00 | 0:52:03 | |
Outside, and we have four smart doors. | 0:52:05 | 0:52:08 | |
So, four completed houses? Here's hoping... | 0:52:08 | 0:52:12 | |
Well, inside the former Chinese restaurant, | 0:52:15 | 0:52:18 | |
everything has been taken away and the property has now been equally | 0:52:18 | 0:52:22 | |
divided again into two houses. | 0:52:22 | 0:52:24 | |
In the left-hand house, | 0:52:27 | 0:52:30 | |
there's a lounge at the front and a large open-plan kitchen at the back, | 0:52:30 | 0:52:33 | |
with patio doors to a garden. | 0:52:33 | 0:52:37 | |
Upstairs on the first floor are two bedrooms and a bathroom, | 0:52:37 | 0:52:41 | |
all with a lovely mix of modern and old. | 0:52:41 | 0:52:44 | |
And on the top floor are two further bedrooms. | 0:52:48 | 0:52:51 | |
Paul's done a great job here and I think he's pleased, too. | 0:52:51 | 0:52:55 | |
Yeah, I've decided to move here. | 0:52:57 | 0:52:59 | |
I live on a farm at the moment, which is very nice, | 0:52:59 | 0:53:02 | |
but there's a nice village community here | 0:53:02 | 0:53:05 | |
and it's a good location and everything. | 0:53:05 | 0:53:09 | |
And the buildings, it's like being part of history living here. | 0:53:09 | 0:53:14 | |
# History so strong | 0:53:16 | 0:53:19 | |
# History so strong | 0:53:19 | 0:53:22 | |
# History so strong. # | 0:53:22 | 0:53:26 | |
So this will be Paul's home, | 0:53:26 | 0:53:28 | |
while in the other half of the building there's a four-bedroom | 0:53:28 | 0:53:32 | |
house which has the kitchen in the front upstairs, | 0:53:32 | 0:53:35 | |
a large lounge at the rear | 0:53:35 | 0:53:38 | |
and then four bedrooms and bathrooms across the upper two floors. | 0:53:38 | 0:53:42 | |
# History so strong. # | 0:53:42 | 0:53:45 | |
Paul also purchased the next-door building, | 0:53:47 | 0:53:50 | |
and he's converted that into two three-bed houses. | 0:53:50 | 0:53:53 | |
And the good news for him is he's found tenants for both of them. | 0:53:53 | 0:53:57 | |
But it did mean we were unable to film inside. | 0:53:57 | 0:54:01 | |
All four properties share a large parking area at the rear. | 0:54:01 | 0:54:04 | |
Wow, this has been quite some project, | 0:54:04 | 0:54:07 | |
but after all the delays getting the consent, | 0:54:07 | 0:54:09 | |
were there many problems doing the actual work? | 0:54:09 | 0:54:13 | |
# History so strong. # | 0:54:13 | 0:54:15 | |
Once the structure was taken care of, | 0:54:15 | 0:54:17 | |
once we knew we had a stable building, | 0:54:17 | 0:54:20 | |
then it was just pretty much standard building work, | 0:54:20 | 0:54:23 | |
apart from not using a level, | 0:54:23 | 0:54:27 | |
because nothing's square or straight. | 0:54:27 | 0:54:30 | |
# But I'm actually good | 0:54:30 | 0:54:33 | |
# Can't help it if we're tilted | 0:54:33 | 0:54:36 | |
# I am actually good | 0:54:36 | 0:54:38 | |
# Can't help it if we're tilted. # | 0:54:38 | 0:54:41 | |
But if the buildings themselves weren't always on the level, | 0:54:41 | 0:54:44 | |
did Paul manage to balance the books, | 0:54:44 | 0:54:46 | |
with a proposed total budget of £320,000 across the four houses? | 0:54:46 | 0:54:52 | |
I think we probably spent about 360 on the four properties, | 0:54:52 | 0:54:56 | |
and there's still a little bit more to spend. | 0:54:56 | 0:55:00 | |
By the time we've finished, I think we'll probably be 10% over that. | 0:55:00 | 0:55:03 | |
And with the total purchase price for the two separate buildings | 0:55:03 | 0:55:07 | |
being £239,000, along with the likely £400,000 spent | 0:55:07 | 0:55:11 | |
on the renovation work, | 0:55:11 | 0:55:13 | |
Paul will have £639,000 invested into this project. | 0:55:13 | 0:55:18 | |
And having taken nearly four years, was it worth the wait? | 0:55:18 | 0:55:22 | |
What do two local estate agents think? | 0:55:22 | 0:55:24 | |
The changes have been very well done. | 0:55:24 | 0:55:27 | |
The layouts flow really nicely. | 0:55:27 | 0:55:29 | |
I like the kitchen's open-plan, | 0:55:29 | 0:55:30 | |
and the little snug lounges at the front work really well as well. | 0:55:30 | 0:55:34 | |
It's amazing. They've maintained some of the traditional features, | 0:55:34 | 0:55:37 | |
like the beams and the fireplaces. | 0:55:37 | 0:55:39 | |
But he's added great value by using every space he can, | 0:55:39 | 0:55:44 | |
like with the en suites, and come up with a really, really nice product. | 0:55:44 | 0:55:49 | |
With one of the houses being Paul's new home, | 0:55:51 | 0:55:53 | |
he intends to rent out the other three properties, | 0:55:53 | 0:55:56 | |
but he does have a sizeable £639,000 investment tied up here. | 0:55:56 | 0:56:01 | |
The agents agree on the valuations for both types of houses, | 0:56:01 | 0:56:04 | |
so is there a profit to be made? | 0:56:04 | 0:56:07 | |
For the two four bedroom properties I would value at £350,000 each. | 0:56:07 | 0:56:12 | |
I would market the two three-bedroom properties at £300,000 each. | 0:56:12 | 0:56:17 | |
So, the combined development is worth £1.3 million, | 0:56:17 | 0:56:22 | |
which could see a potential pre-tax profit of £661,000. | 0:56:22 | 0:56:28 | |
Wow! But for Paul, it's the rental income he's interested in. | 0:56:28 | 0:56:32 | |
We'd market the two four-bedroom properties | 0:56:32 | 0:56:36 | |
at £1,375 per calendar month, | 0:56:36 | 0:56:39 | |
and we'd market the two three-bedroom properties | 0:56:39 | 0:56:42 | |
at £1,100 per calendar month. | 0:56:42 | 0:56:45 | |
If I was to market the four bedrooms, | 0:56:45 | 0:56:48 | |
on the rental market they'd be £1,200 per calendar month each. | 0:56:48 | 0:56:51 | |
If I was to put the three-bedroom properties on the rental market, | 0:56:51 | 0:56:55 | |
I'd value them at £1,000 per calendar month each. | 0:56:55 | 0:56:58 | |
I think the original expectations was about 1,200 per property, | 0:56:58 | 0:57:04 | |
so that's good. | 0:57:04 | 0:57:06 | |
We're in between, so that's very good. | 0:57:06 | 0:57:09 | |
An average rent of £1,200 per calendar month | 0:57:09 | 0:57:12 | |
would see a yield of around 9% per property. | 0:57:12 | 0:57:15 | |
Not a bad return, even if it did take a while to get there. | 0:57:15 | 0:57:19 | |
Mind you, four years' wait for a property | 0:57:19 | 0:57:23 | |
that in part is 500 years old, well, it's just a drop in the ocean. | 0:57:23 | 0:57:27 | |
I've enjoyed working on this property, | 0:57:28 | 0:57:31 | |
and there's more of a connection to history | 0:57:31 | 0:57:34 | |
and leaving something behind on working on a period property. | 0:57:34 | 0:57:37 | |
So although there's challenges with it, | 0:57:37 | 0:57:40 | |
I would always choose something with character rather than a box. | 0:57:40 | 0:57:46 | |
# I'm going to be | 0:57:46 | 0:57:49 | |
# A history maker in this land | 0:57:49 | 0:57:53 | |
# I'm going to be | 0:57:55 | 0:57:57 | |
# A history maker in this land. # | 0:57:57 | 0:58:02 | |
We'll have more action from the auction rooms around the country very soon. | 0:58:07 | 0:58:12 | |
Yes, you won't want to miss it. | 0:58:12 | 0:58:13 | |
Make sure you join us then for more Homes Under The Hammer. | 0:58:13 | 0:58:16 | |
-Bye-bye. -Goodbye. | 0:58:16 | 0:58:18 |