A property expert who appeared on Homes Under the Hammer has revealed what it's like flipping houses in Scotland.
The popular BBC property programme inspected properties in the Scottish city of Dunfermline during a visit there in May.
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Holmes Under the Hammer comes to Dunfermline. Photo credit: BBC
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Martell Maxwell meets with real estate guru Jordan Robb Credit: BBC
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He told how he transformed an “unlivable” house into a home worth nearly £100,000. Photo credit: BBC
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He exposed industry secrets for aspiring property owners. Credit: BBC
Presenter Martell Maxwell, 47, met Jordan Robb, a developer who has made a name for himself by renovating homes.
The Scotsman awed fans with his vast knowledge of the property business, revealing that he made his first investment aged just 19.
Jordan added that many people underestimate the real estate deal.
“Everybody thinks this is a really simple process, but it's not,” he said.
“Some people think they’re just going to buy one or two properties, and I have some friends who are at the moment, and they’re trying to do that.
“They've been looking at this for the last eight months and it hasn't worked out yet because everything they're looking at doesn't line up.”
Viewers of the show saw how Jordan completely transformed an “unlivable” house into a nearly £100,000 home.
The guide price for this dilapidated property was incredibly low at just £5,000, but a developer paid £52,000 to buy it.
The house had no kitchen, the plaster was crumbling and parts of the ceiling appeared to be missing.
But he has completely renovated the house and it is now worth between £85,000 and £95,000.
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This home is set to be a real money-maker for real estate agents, who have revealed they already have a tenant lined up.
But he is now opening up some trade secrets for anyone wanting to get into the home flipping business.
He gave some important financial tips to people who want to own property in the future.
“We need to look at specific renovations and rental rates,” Jordan told the Express.
“A lot of people think that if they invest in real estate they can just sit back and make money, but that's not the case.”
“Everybody thinks it's a really simple process, but it's not.”
Jordan Robb
The TV commentator acknowledged that people often don't take into account the extra costs that come with renting a property.
“What they don’t realise is that the mortgage is probably only a few hundred pounds.
“Then there's all the operating costs. What people don't think about is there's insurance and other costs for the property.”
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“Obviously you need to have room for repairs and maintenance, you need to find tenants who will pay the rent, there's vacant rooms between tenants and so on.
“So with so many things to consider, £650 can quickly go down to £250. And if the property ends up needing a couple of repair works by the end of the lease, it's not such good value for money.”