Should I invest in Washington DC or Bremerton WA?

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Should I invest in Washington DC or Bremerton WA?

John Brinson
New to Real Estate · Bremerton WA · Member since 2018 · 5 posts · 1 vote

Hi im John, soon to be an investor. I have a few questions wonder if anyone could help. So im in the military, with 3 years left on my contract. I will be stationed in Washington, Berminton for 16 -24 months. Im from Washington DC and im planing on moving back once im out of the Navy. My question is should I invest in DC this December while on leave for 25 days? My fiancee lives in DC. My plan for that was to house hack, have my fiance live in one and rent out others. So she can pay off her student loans. Or should I invest in Bermerton WA? With the same plan house hack. Also have student loans of 23k. I'm paying 2k/month for student loans. Also saving 1k/month for down payment and closing cost. Should I be focuse more on paying less on student loans and more towards closing or just keep doing what im doing. VA loan should be available to me so down payment may not be a issue. Need some strong advice. Thanks for taking time out your day and reading this.

John 

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Russell BrazilBusiness Member
Moderator
Real Estate Agent · Washington, D.C. · Member since 2012 · 17k+ posts · 30k+ votes
8y

Washington DC

[email protected]301-893-4635Podcast Guest on Show #192
District Invest Group545 Reviews
WebsiteView Page
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  • Account Closed
    Specialist · Paradise Valley, AZ · Member since 2018 · 3k+ posts · 2k+ votes
    8y
    Originally posted by @John Brinson:

    Hi im John, soon to be an investor. I have a few questions wonder if anyone could help. So im in the military, with 3 years left on my contract. I will be stationed in Washington, Berminton for 16 -24 months. Im from Washington DC and im planing on moving back once im out of the Navy. My question is should I invest in DC this December while on leave for 25 days? My fiancee lives in DC. My plan for that was to house hack, have my fiance live in one and rent out others. So she can pay off her student loans. Or should I invest in Bermerton WA? With the same plan house hack. Also have student loans of 23k. I'm paying 2k/month for student loans. Also saving 1k/month for down payment and closing cost. Should I be focuse more on paying less on student loans and more towards closing or just keep doing what im doing. VA loan should be available to me so down payment may not be a issue. Need some strong advice. Thanks for taking time out your day and reading this.

    John 

     Hi John, thanks for your service. I  like Bremerton for investing but if you are determined to be in D.C. you should really consider investing within a day's drive of your properties. Trying to keep a handle on investments across country can be painful.

    1Reply
  • Allan Bishop Jr.Pro Member
    Rental Property Investor · Harker Heights, TX · Member since 2018 · 212 posts · 182 votes
    8y

    @John Brinson - With a VA loan you have to have the intent to live in the property after closing. I'm 99% sure it's that way with FHA loans too. That being the case you can't house hack in DC. Doesn't mean you can't invest there first. You could do a traditional 20% down loan, BRRRR, seller financing, etc. Or she could look into getting a FHA loan and you could "gift" her the down payment.

    If none of that is a viable option then there is nothing wrong investing where you are. You'll have plenty of time to learn the area, find a good deal, and house hack with your VA loan. You can also reuse your VA loan (depending on propety prices) when you move back to DC. You can research that for the specifics.

    [email protected]
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  • Matthew RaylPro Member
    Rental Property Investor · Imperial Beach, CA · Member since 2017 · 54 posts · 21 votes
    8y
    @Allan Bishop Jr. You are incorrect about his eligibility for a FHA loan in Washington, DC. @John Brinson You could invest in both, assuming you could qualify. You could do a VA in Bremerton and an FHA in DC. HUD 4000.1 pg 133 (ii,7,a), specifically states that a military member in your case would qualify for a FHA loan back in Washington, DC with your soon to be spouse (congrats btw!). You will most likely need to close one loan in order to utilize the rental income so as to qualify for the other. As always, run your numbers and make sure what you buy will cash flow because you will most likely be paying retail prices with your VA loan especially. Good luck!
    1Reply
  • Allan Bishop Jr.Pro Member
    Rental Property Investor · Harker Heights, TX · Member since 2018 · 212 posts · 182 votes
    8y

    @Matthew Rayl - Thanks for the information! I learned something new today. Perfect example of how BP can be so beneficial.

    @John Brinson - I concur with Matthew; you’ll want to close one deal before the other. Using both will be a great way to invest!

    [email protected]
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  • Russell BrazilBusiness Member
    Moderator
    Real Estate Agent · Washington, D.C. · Member since 2012 · 17k+ posts · 30k+ votes
    8y

    Washington DC

    [email protected]301-893-4635Podcast Guest on Show #192
    District Invest Group545 Reviews
    WebsiteView Page
    2Reply
  • Rachel Luoto
    Lake Oswego, OR · Member since 2015 · 174 posts · 115 votes
    8y

    John, I live in Bremerton. If you need a recommendation for a military AND investor friendly loan officer or agent, I can introduce you to my friends here :) PM me

    1Reply
  • John Brinson
    OP
    New to Real Estate · Bremerton WA · Member since 2018 · 5 posts · 1 vote
    8y

    Thank you all so much for the advice. I will take everything in consideration, and do more research on FHA loans. Just a little nervous to buy my first rental property.

    0Reply
  • John Brinson
    OP
    New to Real Estate · Bremerton WA · Member since 2018 · 5 posts · 1 vote
    8y
    @Mike M. Thanks for the advice
    0Reply
  • John Brinson
    OP
    New to Real Estate · Bremerton WA · Member since 2018 · 5 posts · 1 vote
    8y
    @Allan Bishop Jr. Thanks for the advice
    0Reply
  • John Brinson
    OP
    New to Real Estate · Bremerton WA · Member since 2018 · 5 posts · 1 vote
    8y
    @Matthew Rayl thanks for the help
    0Reply
  • Shadonna N.
    Developer · . · Member since 2014 · 520 posts · 162 votes
    8y

    @John Brinson thank you for your service. Is it possible you can restructure the student loan, 2K a month is a lot. I vote for DC. Your VA load is a good option that you may want to save for later. If you are looking for something where you can live in one unit and rent the other check out NACA. Their program is low downpayment, low closing, no PMI, no upper income limit. Congrats on the engagement. Good luck.

    1Reply
  • Juan Lopez
    Real Estate Broker · Gig Harbor, WA · Member since 2018 · 1 post · 1 vote
    8y
    @John Brinson Bremerton should be your choice. Price appreciation and current price points in Bremerton are primed for investors. Most surrounding areas like Seabeck, Manchester, Port Orchard are great investments. I’m a realtor in the area and could provide you with information on the area. The Washington DC area may be a greater challenge to find affordable investment properties that are within 45 minutes of downtown. From Bremerton you can take the Super Ferry and be in Seattle in less than 30 minutes.
    1Reply
  • Brendan Mullenholz
    Real Estate Agent · Washington, DC · Member since 2025 · 157 posts · 77 votes
    1y
    Quote from @John Brinson:

    Hi im John, soon to be an investor. I have a few questions wonder if anyone could help. So im in the military, with 3 years left on my contract. I will be stationed in Washington, Berminton for 16 -24 months. Im from Washington DC and im planing on moving back once im out of the Navy. My question is should I invest in DC this December while on leave for 25 days? My fiancee lives in DC. My plan for that was to house hack, have my fiance live in one and rent out others. So she can pay off her student loans. Or should I invest in Bermerton WA? With the same plan house hack. Also have student loans of 23k. I'm paying 2k/month for student loans. Also saving 1k/month for down payment and closing cost. Should I be focuse more on paying less on student loans and more towards closing or just keep doing what im doing. VA loan should be available to me so down payment may not be a issue. Need some strong advice. Thanks for taking time out your day and reading this.

    John 


    Investing where you live, or know best typically limits risk. DC however has been one of the steadiest markets in the country for the last quarter century.
    0Reply
  • William Kulow
    Investor · Kitsap County, WA · Member since 2022 · 8 posts · 1 vote
    1y

    John,

    As an active investor in the area and fellow Sailor, I think Bremerton is always going to have strong rental potential and growth. I house hacked for my first investment there and now cash flow over $1.5k each month. Military presence in an area is a huge part of why. It also helps when you speak military/shipyard language for understanding's sake. If you would like to hear more about the area and how I got started (as an E-4 with no BAH), feel free to shoot me a message or email.

    Will

    0Reply
  • Martin DempseyPro Member
    Boulder CO, USA · Member since 2023 · 4 posts · 2 votes
    11mo

    Hi @John Brinson

    If you look at the data, the two are very different.
    Data: realtor.com, starts July 2016 (median listing price) & HUD (rental)...
    Using median listing price (for all houses) and the HUD Fair Market Rent for a 4 bedroom...
    District of Columbia has positive cash flow of $503/mo.
    Kitsap county has negative cash flow of $257/mo.
    Using 2 bedroom Fair Market Rent, the rent in Kitsap county has compound annual growth rate (since July 2016) of 8.9% whereas DC has 3.6%.
    Looking at appreciation, DC has a compound annual growth rate of 0.2% (since 2016) whereas Kitsap county is 6.6%.
    Population growth annually in Kitsap 0.8%, DC 0.2% (latest data is 2024)...
    DC has 0.4% fewer homes in mortgage delinquency than the national average, Kitsap has 0.9% fewer homes in mortgage delinquency than the national average.
    Job creation (net) in Kitsap is 1% annually, DC is 0.1% (and that's before all the DOGE layoffs.)
    Climate risk (per pro-publica evaluation) is 6 out of 10 in DC vs. 4 out of 10 in Kitsap.

    Thanks for your service. Best wishes on your engagement.

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