Round Rock, TX · Member since 2015 · 24 posts · 5 votes
I'm down here in Texas and through exploring the local area I have found a number of nicely priced duplexes near a military base which got me thinking; Is anyone here willing to share their experience owning rentals in a place where there is only one major employer? My concern in exploring these areas is what could happen if military budgets and needs are shifted. This same concern must apply to others who rent near a single major employer. Anytime there is only one company paying the salaries of the towns people, I wonder if it is smart to invest there. I would love to hear anyone's experience, insight, opinions, etc. Thank you!
Buy & Hold Owner · Redlands, CA · Member since 2015 · 5k+ posts · 2k+ votes
10y
I went on location Ft Campbell to look at opportunities. REagent was kind enough to disclose everything goes great - - until there's a deployment and then the families move back to mom and the town rolls up like a ghost town . . .
Rental Property Investor · Melbourne, FL · Member since 2011 · 3k+ posts · 2k+ votes
10y
Depends on the base. ^^ We have a number of houses near an Air Force training base, also in Texas. Our oil patch tenants are drying up. But the active duty are still there on long stable tours as teachers, and then there are students, and "permanent party."
Alongside @Charlie Fitzgerald's comments, above, you can tell what the local housing allowance is by looking up the BAH rates by ZIP code. BAH by ZIP
Your houses can be featured in the local base inventory...but there are hoops (rigorous safety inspections) to jump through. These comprise items such as the presence of smoke detectors and preventing hazards to small children. Contact the base Housing Office for more information.
We also target our houses for the broadest demographic (i.e. not the one General or Colonel, but the more populous lower ranks, such as E-4s and E-5s, or O-1s...but the very lowest ranks are often still in dorms).
And, of course, we have other tenants than military.
Rental Property Investor · Melbourne, FL · Member since 2011 · 3k+ posts · 2k+ votes
10y
We have houses near Goodfellow AFB in TX, and MacDill AFB and Patrick AFB in FL. We also bought two houses (fixed and sold them) in England.
Other Texas Air Force locations are: San Antonio, with Randolph, Ft Sam Houston, Lackland AFB. Population is about 1.4 M.
These Texas AB bases are in or near communities with about 100,000 in population. Sheppard is a large training base, at Wichita Falls. Dyess has the B1B school house near Abilene. Goodfellow has firefighters and the Intel schoolhouse.
San Antonio, TX · Member since 2013 · 3 posts · 1 vote
10y
Military bases in Texas are larger and their future outlook may seem ok. But just know base closures have occurred in the past, as experienced in San Antonio several years ago. But even after base closures, the San Antonio economy has been so robust there remains a demand for good rental housing.
Honolulu, HI · Member since 2015 · 52 posts · 6 votes
10y
I do think that Ft. Sam Houston will not be going anywhere anytime soon. Lackland AFB is a where many basic trainees start out. I guess it depends on where this duplex is.
If the duplex is near Ft. Sam Houston, there is a company nearby named Rackspace, I think they are known as a tech company. But almost everything in San Antonio is driving distance...
Rental Property Investor · Houston, TX · Member since 2014 · 54 posts · 14 votes
10y
Mike, I think you are wise to consider the effects of a significantly narrow job market. Pulling the trigger then just really boils down to the risk/reward you are comfortable with once you have reviewed all the available facts.
Hanford, CA · Member since 2013 · 5k+ posts · 1k+ votes
10y
We own outside of 3 bases, Hanford, CA, Virginia Beach, VA and Summerville, SC. We have had no trouble keeping our housing filled. The key for us has been to evaluate the job and also the transient nature of the area. We have found that some areas don't make sense because there is not enough renters to make the rents high enough above the mortgage. The more transient areas there is more people than the natural supply of rentals, great ing a much higher rental market.
Round Rock, TX · Member since 2015 · 24 posts · 5 votes
10y
Thank you all for your input. @Charlie Fitzgerald and @Kerry Baird, thank you both for making me aware of base housing approval, I was not aware of those routes. I think the group has made me realize its time to dig deeper into this market, thank you for the confidence. I will have to update here when I get further in the process. Thank you all again
Tucson, AZ · Member since 2016 · 21 posts · 6 votes
9y
@Charlie Fitzgerald can you explain in a bit more detail the process of becoming a housing vendor with Base Housing? Why is this being a housing vendor such a great deal?
Lender · Las Vegas, NV · Member since 2015 · 2k+ posts · 1k+ votes
9y
Because you have an unending stream of tenant prospects and the Base Housing Office assists you with a lot of the issues that come up for most landlords.
Property Manager · Ketchum, ID · Member since 2016 · 277 posts · 132 votes
9y
Whereas my experience was a bit different because there were many major employers around my duplexes, I will share my experience of having rented to military families. I was near McChord Air Base and Fort Lewis Army base. There was not enough housing on base for the military families so they got stipends to find off base housing. I always rented to a family as opposed to a single military person mostly because I had 3 bedroom places. But I do know that when a single military person rents from you, you have to agree to terminate their lease as soon as they get deployed or moved. In my experience, when a member of the family was deployed, the rest of the family stayed in the rental property for the duration of that deployment. However, there may be a situation where the whole family is transferred to another base. In that case, once again there is always a clause the prevents you from penalizing the military family for breaking a lease. I was always happy to accommodate any military personnel or family and did not mind that they may have to break a lease. I will also mention that without exception, the military families who rented from me were some of my best, most reliable tenants. They cared for the property, paid rent on time and were great neighbors. I just thought you would want to know before you buy.