Rentals – WeVett

Crewdogs: The Ultimate Resource for Military Stays

Savannah Stephens — Thu, 07 Nov 2024 13:32:04 +0000

We’ve all been there. The endless doom scrolling of various home rental sites, booking companies, and even campground reservations trying to find the perfect place to stay for a vacation or temporary PCS assignment.

Lucky for us – Crewdogs has taken that burden and created a community unlike any other. As they say, “Stick Together. Stay Military.” Crewdogs allows you to find a home, room, or space owned by a member of the military community. They have done all of the behind-the-scenes vetting for you.

So, how did an idea like this come to be? Meet Adam Hill.

Adam is an Air Force Reserve C-17 pilot who wanted to focus on solving a problem and helping the military community. Crewdogs was born from seeing a need during his military service and finding the solution.

What’s your Air Force career been like?

A: “I grew up in Charlotte, North Carolina, in an all boy household. I played baseball around the clock with my two older brothers and my dad retired from the Air Force as a Master Sergeant. I never saw a traditional Air Force experience though. My grandpa was career Army and met my grandma in a German commissary. My mom’s father marched across Normandy and met his wife in France. My upbringing was filled with stories of my grandparents and I knew I had a heart for service.

I wanted to go to college for aviation and baseball. Lucky for me, I got to do both at the Air Force Academy. I met my beautiful wife Junior year of high school, we dated through USAFA, and married when she graduated from nursing school. I hit the jackpot with C-17s to Charleston following pilot training in Del Rio, Texas, and spent 10 years in Charleston.

I left active duty in the Fall of 2023 to be able to focus on Crewdogs full time.”

What sparked the idea for Crewdogs?

A: “Being an active duty C-17 pilot, I was able to travel the world. Sometimes we would land somewhere for 12-hours and other times it was a few weeks. No matter where we landed, I would try to find a local gym. I loved the community spirit behind local gyms and they almost always let me get a workout in for free due to how short my visit was. I would buy a t-shirt from each gym I went to as a thank you.

I realized during these travels that we were always looking for places to stay and reviews of areas we were exploring. It sparked a thought wondering what it would be like if all of this information existed in one place.”

What need did you fill for military in the short-term rental space?

A: “I realized there was a need for room and home sharing. We launched a website called Crew Dogs Connect and it was basically Yelp for a specific area. You could tag a home or business in that zip code and learn about the surrounding area.

Outside of active duty, I realized how much of the Veteran and retiree community travels, and how many homes we all own. I wanted to create a Space-A network between all of us. Early 2023, we started working on a mobile app that could connect the military community using the places we own or manage. We started to get a ton of demand from short term rental owners.

Almost immediately we realized how much of a need for this network there really was and how hard it is to find and support those you can trust.”

How is Crewdogs different from other short-term rental sites?

A: “First, every guest on Crewdogs is fully vetted and associated with the military either through their military email or ID.me. Hosts can be verified as well, letting our community find and support each other. Currently, more than 13% of hosts on Airbnb are military, but there has been a rise in trust issues. People are worried about trusting their host for a good experience. With Crewdogs, you don’t have to worry about that. Crewdogs eliminates any fears of fraud, scams, and let’s you offer a military discount without high service fees.

I also want money spent being put back into the military community. Everyone on Crewdogs donates money back into a foundation of their choice which can be used as a travel credit to offset lodging expenses or towards and initiative of the foundation’s choice.

You can find a home, vacation rental, roommate, common spaces… or even a Space-available free stay for any type of travel in truly military friendly places. We also know the ins and outs of the Joint Travel Regulation and we’ve made booking a short-term rental compliant with a flexible cancellation policy, per diem matching option, and itemized receipting without the fees. ”

What struggles have you faced along the way?

A: “Really understanding the need and trying to get as close to the need as possible. As someone on active duty, the short term rental market isn’t necessarily the industry you are used to being in. It was hard making cold connections at first with people I did not work with everyday. Trying to get connected into the who and why without being positioned to do that was tough in the beginning.

How can people host a room or house on Crewdogs?

A: “The easiest way is by visiting our website www.crewdogs.com/listings/addplace where you can instantly import your Airbnb or create a new listing.

There are no fees to add a place, and we can make hosting each other easier with an all Veteran team.

More questions and answers can be found in our Help Center.”

What’s the future of Crewdogs?

A: “We just want to keep building trust and transparency. We want to create a platform that supports each other and the causes that support us. We will continue to find ways to support the Veteran foundations who have dedicated their time to our community.

At the end of year, we want to see our community rally around each other and hear the stories of how Crewdogs has made an impact.”

To learn more about Crewdogs, you can visit our website at www.crewdogs.com, or download the app on the Apple App Store or Google Play. You can also connect with them on Instagram and Facebook at @staycrewdogs, or on LinkedIn.

Grow Your Passive Income with the VA Loan

Evan Kaufman — Thu, 06 Jun 2024 19:13:41 +0000

You’ve likely heard it said, buy rental properties while in the military, build your passive income and retire to the high life.

What does that actually look like in practice though? Is that a pipe dream or can it actually happen?

Quick answer, YES! It can actually happen, but only if you take the time to understand investment properties, what makes them profitable and what they will require of you to manage them effectively.

Did we mention, this can all be done using the VA loan too? More on that later.

What Makes a Successful Investment Property

Location

The location of your rental property is imperative. Choose areas with strong rental demand and the potential for property value appreciation.

For example, certain areas in Florida, Arizona, and Texas have recently seen a boom in property values and population growth. In these areas, rental demand is high and income is increasing which is good news for property managers.

Take note of major employers, population trends and school districts. If the major employers are stable, the population is trending up and the school districts are desirable, the area is likely going to be a good candidate for a rental property.

Positive Cash Flow

Ensure that the rental income from the property exceeds the expenses (ie. mortgage, taxes, management, maintenance, etc.)

After that, the amount of necessary cash flow depends on your end goal. If the goal is to hold the property long-term for passive income purposes, then you want the property to have substantial monthly cash flow. If your goal is to only hold long enough for price appreciation to kick in, then cash flow just needs to cover expenses.

Property Condition

Lastly, make sure the homes you choose are in good condition or have the potential for renovation to increase value.

Nothing tanks a rental property’s profitability more than unexpected major expenses. Four major items to look out for are roof, siding, HVAC, and windows. Those things can turn into huge costs that cut deep into rental profits.

Analyzing Investment Opportunities

Tactically, what is the best way to analyze an opportunity to see if it’s going to be a good investment?

We suggest using a pro forma analysis. Here is an example of a pro forma that you can use to determine if buying a specific property is a wise investment.

Buying Rentals with the VA Loan

You cannot buy an investment property with the VA loan. There, we said it.

However, you can buy a primary residence that also serves as an investment. The key is you have to plan on living in the property for the VA to approve the loan.

Three ways we see military members use their VA loan to buy rentals:

Single Family Residence: Buy a home and live in it, rent it out when you PCS
House Hacking: Buy a home, rent out the extra bedrooms
Multi-Unit Properties: Buy a 2, 3 or 4-unit property, live in one unit and rent out the others

VA loan benefits still apply in all of the scenarios above, including low or no down payment, competitive interest rates and no private mortgage insurance.

Buying your second property? Keep in mind that loan limits will begin to kick in. So check your eligibility and check those limits prior to making any offers on a home.

If you are going to use the VA loan, you want to work with someone who gets it. Roughly 10% of all home loans out there are VA loans, and even less are active duty members using the loans. Using a reputable and knowledgeable VA lender can make a world of difference!

A side note: If you use a VA loan, you will have the option to refinance your rental at primary residence rates using the VA Interest Rate Reduction Refinance Loan (VA IRRRL). Huge potential for future savings!

Instantly check your VA IRRRL eligibility >

Setting Financial Goals

What is your “why” behind wanting to build long term wealth?

You have to define your financial objectives with your family. Whether it is passive income, wealth building, or retirement planning, establish clear goals for your real estate investments.

If you are a person who does not do well with negative cash flow, think about the properties you are purchasing and what the cash flow looks like over time. Set yourself up for success with things you know you can handle and things that make you comfortable!

Consider your risk tolerance and timelines when selecting investment properties.

Regularly review and adjust your investment strategy as your circumstances and goals evolve. If you are married, make sure you are on the same page with investing. Take the time and work with your spouse.

The best investment strategies come when you work as a team.

Building Your Real Estate Investment Team

When looking at investments, you are going to need a professional team helping you reach your goals. Ideally, you will have a real estate agent, lender, property manager, and contractors who understand your unique needs and constraints as a military member.

Key Team Members

Real estate agent
Lender
Property manager
Contractors

Leverage your military network to find trusted professionals who have a proven track record with real estate investments. Work smarter and not harder. Let a seasoned professional help you!

As you build your investment portfolio, be sure to keep open and transparent communication with all parties.

Maximizing Returns and Property Value

Be sure to think about value-add strategies to increase rental income and property appreciation.

Renovations

Are there cost-effective renovations that you can do to elevate the property, allowing you to increase rent? Don’t just dive into a renovation because it seems like a good idea. Evaluate the cost of materials, labor and time and compare that to future potential gains before doing a large-scale renovation.

Upgrades

Are there a few minor upgrades you can make to the property to make it more desirable? Landscaping, paint, light fixtures, etc. can all be small improvements that will help your property to rent easier and possibly even at a higher rate.

Reconsider Best-Use

Is your property being used at its highest potential? An example of this would be a single family home that is currently being used at a rental, but would produce a better return if it was sold. If the rental returns don’t cover or barely cover expenses, look instead at selling the home, possibly earning appreciation on the sale, and reinvesting the money in a property that makes better returns as a rental.

Stay proactive with property maintenance and repairs to preserve the property’s value and attract quality tenants.

It is also smart to regularly review rental rates and market conditions to ensure you are charging a competitive amount and maximizing your returns.

Exit Strategies for Real Estate Investments

So what happens when your circumstances change or the rental property just isn’t working out in its current state? Well, you have a few different options.

Sell the Property

Get it listed with a high-quality real estate agent who is well-versed in the type of property you are selling. Ideally, they will help you get the highest price for the home and reduce your headaches in the sales process.

Hopefully you’re in a good market and your home has appreciated. If not though and selling the home will cost you, just remember that it is better to lose money in the short term rather than lose your sanity and drain your funds over an extended period of time. Cut your losses and get out of the rental game or start fresh somewhere else.

Refinance

If a lower monthly mortgage payment will tip your property into profitability, refinance might be a good option here. If you used a VA loan, the VA Interest Rate Reduction Refinance loan is an excellent option for a simple, streamlined refinance.

Transition to a Long-Term Rental

Is your property an Airbnb or VRBO? Did it work well for you when you were physically located in the area, but doesn’t make sense now that you’ve moved? Transitioning it to a long-term rental might be the next step. Long-term rentals are simpler to self-manage or you can hire it out to a property management company.

Transition to a Short-Term Rental

On the other hand, if you are in a market that has a high demand for short-term rentals, transitioning your long-term rental could bring in more cash flow. Research rents, seasonal demand and management companies before making the swap.

Last thing, don’t forget to factor in taxes and capital gains whichever route you choose to go. A tax advisor or financial planner is a great resource to help you examine costs, taxes and other financial implications for your specific situation.

If you are looking for a VA loan or would like more information on anything mentioned above, WeVett will gladly go through resources with you and help build your investment portfolio.

Get started on your VA loan here or visit our education page for additional resources.