I knew my house (Humberton Close) had gone up a lot in value so I planned to re-mortgage it after my mortgage offer term was up and use the equity to buy another.
I had only just started looking when an estate agent said I might be interested in one that had just come on the market in Plaistow. I went there and it needed modernisation inside and value could be added. But the property itself was nothing special. What made it different was the very large garden/driveway to the side, with the potential for another, same sized, house!
I put it an offer and had it accepted, but as I'd only just started looking I thought I'd keep searching and could always withdraw my offer if necessary. However, the estate agents wanted a £1000 deposit to take the property of the market. So I quickly arranged for my mum to come and see it too (she is my trusted second opinion) and she said 'you'd be stupid NOT to buy it'.
As always, it has ended up more work than I thought and taken longer, but it's all so I can build my first house so I don't mind. And I've promised myself that once the new house is finished I'll treat myself to a pair of Louboutin shoes - so it'll all be worth it!
Purchase price £415,000
Refurb expenses £65,000
Total cost £480,000
Value 2018 £450,000
New build cost £270,000
Value 2018 £500,000
Total cost £750,000
Total value 2018 £950,000