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place I built is on the southeastern corner
of that pocket.”
The estate is perfectly located, he
says, with direct access onto the Stuart
Highway and strong demand from buyers.
He worked out that if he got in quick,
he could build a house and be the only
person with a display home in the area
when land releases were being sold.
It was completed in late 2013 and he put
it on the market to sell to an investor as
a leaseback to his building company. He
had sale price hopes of $815,000.
It was in mid-2012 that he also snapped
up a block of land, again in Zuccoli, for
$270,000 and a little over a year later got
cracking on the build of a four-bed house
at a cost of $335,000.
“I again engaged my building company
to do that. I don’t give myself a discount
for the work either – just standard market
rates. I still work in a profit margin for my
company too so I’m not putting pressure
on the business.”
While he was busy with these two build
projects, Phillip also set his sights on a
land-banking strategy to take advantage
of growing interest in the Northern
Territory capital, which is benefiting from
sharp resource sector growth.
“There’s massive buzz about new
housing developments in Darwin at the
moment. There was one in town where
people were camping on the door of the
sales office two days before the release.
I think 40 lots were brought to market –
they sold out in a day.
“I’ve since bought blocks in Roseberry
Heights and Durack Heights – I’ve got
three vacant blocks all up that I’m waiting
for titles on. When they come through I’ll
begin building four-bedroom houses on
each of them.”
He put down a 10 per cent deposit on
each block of land, which was derived
entirely from his own savings.
Phillip puts away as much spare money
as he can to fund future projects.
It can all be a little difficult to juggle the
finance side of things, given his recently
completed project is awaiting valuation
and the one under way won’t be ready for
a few months yet.
That aside, his focus on hard work,
financial responsibility and precise
planning tends to get him by.
“I’m pretty disciplined. With the
business finances, every invoice payment
that comes in, I put 10 per cent into a GST
account and 10 per cent into savings.
With my personal finances, I put the
majority of the salary I pay myself into an
offset account linked to my mortgages.”
When it’s all said and done, Phillip lives
off about $300 per week. While he says
he and his partner “don’t exactly live
the high life”, he describes their thrifty
lifestyle together as “pretty comfortable”.
Besides, it’s all for a bigger cause –
financial freedom and a lofty but he insists
reachable goal of owning 10 fully paid off
houses in less than 10 years’ time.
“The idea is for every three houses that
we build and sell, we’ll compile enough
profit from each to be able to keep the
fourth. We’ll sell one, put the money into
the next project and by the end of the
cycle, we’ll be in a position to completely
own one without debt.”
And with his intended timeline of builds
over coming years – a few each year at
least – he may just meet that goal.
For Phillip, this strategy is about more
than wealth creation. Pure and simple, he
just loves what he does each day. Building
isn’t work – it’s a hobby.
“Being able to create something is pretty
great. Working in the trade, there are few
opportunities to be part of something
from start to finish – normally you come in
for one component of the build and then
you’re off to the next.
“In this case, I’m doing it all. I get to
start and finish my own projects and see
the whole thing through.” API
THE NUMBERS | PHILLIP HOARE
600sqm block, built 4-bed house
851sqm block, building 4-bed house
Durack Heights, NT
450sqm block, to build 4-bed house
Durack Heights, NT
400sqm block, to build 4-bed house
Rosebery Heights, NT
408sqm block, to build 4-bed house
The first house nearing completion
One of the other blocks being cleared
æThe idea is for every three houses that we build and sell, we’ll
compile enough profit from each to be able to keep the fourth. We’ll
sell one, put the money into the next project and by the end of the
cycle, we’ll be in a position to completely own one without debt.Æ
COVER STORY // TOMORROW’S TYCOONS
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