OUR PATCH FEBRUARY 2014
OUR PATCH FEBRUARY 2014
MAKING
GOOD
A ‘shell’ actually goes no way to
describing the state the property
was in – ‘dump’ was probably a
more apt description
BEFORE
& AFTER
The rough diamonds in the property market
are in higher demand than the finished product.
So are we all property developers now?
asks expert estate agent John Horton
H
I was unsure of what to expect but
excited to see what the new owner had
made of it, however I was not prepared
for the transformation I walked into...
18 / 19
as the renovation bug bitten
you? Thanks to property
programmes such as
Grand Designs and Homes
Under the Hammer, it’s an
increasingly profitable way
to shop for a property. And locally,
un-modernised properties are now in far
higher demand than the finished article.
I’ve seen a few examples in my
17 years as a local estate agent, with
varying results. But no doubt the most
spectacular transformation I’ve ever
seen is a house I have sold – twice!
The property is in Hammersmith’s
Southerton Road. A ‘shell’ actually
goes no way to describing the state the
property was in – ‘dump’ was probably
a more apt description. It was so bad you
had to wipe your feet on the way out!
It was clear from the beginning
that it was going to take a buyer with
some imagination. After all, it was
being squatted and was completely
dilapidated as a result. It lacked heating
and electrics – even the windows had
been replaced by breezeblocks.
Viewings began in January which
meant a torrid few weeks with freezing
visits by torchlight. But thankfully, it
paid off and we sold the property to a
professional developer for £620,000.
A few months passed and I was very
pleased to receive a call to go in and
re-value the property. I was unsure of
what to expect but excited to see what
the new owner had made of it.
However, I was not prepared for the
transformation I walked into… Not only
had they put the windows back in, but
they had transformed the entire interior
and exterior of the house. The most
impressive addition was a new floor
with an excellent west-facing roof
terrace and a new kitchenette to enable
convenient outdoor entertaining.
After a few weeks of marketing we
achieved a sale of £1.225m to a young
local couple. Obviously, the vendor
achieved a healthy margin, but I can
only look back and wonder what the
house would have achieved in today’s
market. My guess would be significantly
more based on our sale of a flat in
Southerton Road just last year which
attracted no fewer than 70 viewings
and 20 offers.
What was really interesting to
observe, however, was that the house
achieved significantly more interest in
its un-modernised state compared to
the second time round. With today’s
competitive market and the wave of
new buyers arriving in W6 and W12,
many prospective buyers already have
their architect, builder and interior
designer ready to go. So, if you decide
to take on your own ‘grand design’
project, be prepared for intense
competition and be sure you’re ready.
No buyer wants to pay asking
price or above, however it is the buyers
who can dig deeper and who have
extra spending power that are closing
the deals and when it comes to an
un-modernised property, there’s a
good chance it could be money very
well spent.