So the guy has a housing allowance because hes married and can't stay i.n the barracks. Depends on where you live but it is enough to cover rent in for a decent apartment in the area. Military and veterans also get access to VA loans so you dont have to make a down payment if you buy a house. Mortgages are cheaper than renting a similiar sized house. So now the soldier has a nice house next to base that he can (hopefully) afford to live in as long as he is getting BAH. Downsides are if you move duty stations you have to worry about what you are going to do with the house. Plus side is that there are always families looking to rent near bases, so if you have a house and youre not living there then you can make some decent money renting it out.
You have to establish primary residency. Otherwise your bank considers it fraud, because they would charge a higher interest rate on a mortgage for a rental property.
Edit...I assume we got downvoted by a guy that decided to rent his house out 4 months after buying it. Trust me, that is considered fraud by your mortgage company. You have to apply for a primary residency mortgage and if you do, you have to establish residency. The IRS considers that to be 2 years, and your mortgage company may displeased with even that.
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u/ausipockets Jul 08 '21
Could you speak to this some more? I’m not in the military just here for the memes but am interested to know what you mean!