A property investor with more than 100 properties under his belt has defended a boastful video during a lavish yacht party celebrating his achievements.
Australian Property Scout founder and director Sam Gordon, 34, invited his staff to a Christmas party on Sydney Harbor last week.
In a clip shared online, each employee shared the number of properties they own before the boss admitted to having 108 in his portfolio.
The short video immediately sparked an online debate that divided viewers, prompting Gordon to respond to some of the negative reactions.
While some viewers found the boast of wealth inspiring, others considered it “rude, selfish” and in poor taste.
However, Gordon remains unconcerned about the backlash, saying he is “proud and honored” to celebrate his “hard-fought” victories.
He also highlighted the importance of assuring his clients that all of his staff are experienced real estate investors.
‘Clients always ask ‘how many properties do you have?’ The way I see it, if someone works for you, you want them to have experience,” Mr. Gordon said. news.com.au.
Sam Gordon (right) told viewers he owned 108 properties in a video aboard a luxury yacht in Sydney Harbour.
“If you go to a surgeon, you want one with experience, not one who just finished college.”
Gordon was just 19 when he began building his property portfolio after saving $30,000 from his $38,000-a-year farming job.
Fifteen years later, it owns a mix of commercial and private properties that include 100 tenants.
Gordon specializes in buying and renovating distressed homes to improve their value.
‘I’m a country boy and have always invested in blue-collar workers. “I used to renovate properties and sleep in a tent in the back,” he said.
While some of Mr. Gordon’s holdings are negatively oriented, he described his overall portfolio as “positive.”
‘I’ve been doing it for so long. “I place special emphasis on creating cash flow,” he said.
Gordon added that his “income wouldn’t be in the millions” but that he hasn’t had to work for several years, allowing him to focus solely on Australian Property Scout.
He estimated his annual passive income at about $2 million, with 60 percent of his portfolio value in stocks.
Gordon (pictured) bought his first property, a two-bedroom unit in Wollongong, in 2009.
After renovating his first property, a two-bedroom unit in Wollongong in 2009, Gordon used the capital to purchase a second unit in Southern Highlands.
He continued to use this strategy of renovating and improving properties himself before using the capital to purchase another and build the huge portfolio he has today.
However, Gordon doesn’t just take just any home; he prefers his investments to be free of structural problems.
He highlighted a difficult project in Perth where he had to replace the kitchen ceiling.
Fortunately, the step outside their comfort zone paid off: the property doubled in value, significantly improving their cash flow for future renovations.
Last year was one of Gordon’s busiest as sky-high interest rates meant there were fewer buyers to compete with.
Gordon (pictured) isn’t worried about the backlash and said he is “proud and honored” to celebrate his “hard-fought” victories.
The online reaction to last week’s video sparked a fierce response from the Australian Property Scout Instagram account.
“Almost none of the properties are in Sydney,” the organization responded in the comments.
Another viewer wrote: “You make it so easy to hate you,” to which owner Mr Gordon responded “the feeling is mutual.”
A third wrote: “The main reason Australia is going through a rental crisis right now is on one boat,” another poster said, prompting Gordon to call their comment “silly and uneducated”.
One asked: “What’s wrong with this damn country?”, while another spoke for many by describing the flaunting of wealth in this way as “so rude and selfish.”
The reaction led other viewers to jump to the investors’ defense.
“A great example for your clients,” wrote one.
But the complaints kept coming.
It only takes one property and people wonder why we have a housing crisis, another viewer fumed.
Gordon responded with a lesson on how real estate investors like him think.
“Australia needs private rental properties, less than 1 per cent provided by the government,” he wrote.
The original commenter responded by saying: “Most people can’t even afford property and small groups of people have several expensive properties that rent at very high prices.”
But Mr Gordon continued his defence, writing: “Okay, what’s the solution?” If every landlord in Australia sold their properties, there would be no rental properties and where would you or I live?
‘The government made the decision in the 1980s to abandon social housing and turned to private investors to provide it.
“To say that all properties are very expensive and rent very expensive is a huge generalization – most landlords lose money maintaining their properties each year compared to the rent they receive.”