Seems like a volatile situation with what seems to be inconsistent pay, a move in girlfriend, and no deposit.

The Midwest is very stable and does not generally see bubbles like more volatile markets such as Phoenix, Las Vegas, Atlanta etc.

We saw this in 07 - Areas closer to Boston were less volatile than the average market (excluding some class B/C areas with tougher neighborhoods like revere,lynn, etc.).

Given the recent market volatility, are people that used asset backed LoCs getting wiped out now?

I understand that these add to risk:Not understanding your niche Not having a solid team Buying bad deals Lacking the general education needed to succeed in this fieldLacking self confidence and hope for a prosperous future But what I truly do not understand and feel that I cannot prepare for is market volatility. 

Wait until you leave the Navy or get stationed at a base where the prices aren't as high an volatile as California.

All properties - even your own home - have challenges.Mutual funds are more risky and volatile than real estate.There are no risk-free investments.

In other words, you are free to take full advantage of market volatility in a way that most repeat home buyers are not. 

Real estate can be hedge against market volatility when stocks take a tumble, and there are many perks associated with owning an investment property.

Just like during the housing collapse, there will be deals on all kinds of investments: Be fearful when others are greedy, and greedy when others are fearful.If you are in the short range, I would just look at high dividend low volatility investments.