Buying real estate as a service member is a significant decision that comes with unique considerations and opportunities. Whether you're an active-duty soldier, a veteran, or a member of the reserves, navigating the real estate market can be a bit different compared to civilian life. 

From specialized financing options to understanding the impact of military relocations, it's crucial to be well-informed and prepared when embarking on this journey. In this blog, we will explore what service members should know when buying real estate, providing valuable insights and guidance to help you make informed choices and secure a home that suits your needs and military lifestyle.


Guam, with its strategic location and substantial military presence, has long been a sought-after destination for service members. Consequently, the prospect of buying real estate on the island holds undeniable allure. Still, before diving into property investments, it's crucial to grasp both the potential challenges and the enticing benefits associated with purchasing real estate as a service member in Guam.

One notable opportunity that service members should be aware of is making the most of the Overseas Housing Allowance (OHA). Rather than diverting funds toward a landlord's mortgage, understanding how to strategically utilize OHA can be a game-changer, allowing you to build equity and secure your financial future while stationed on this beautiful island. Ultimately it is so important to truly understand the world of Guam real estate, and what special opportunities are available to service members.

Read Guam Buying For Military FAQs.

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Buying real estate in Guam as a service member offers a multitude of benefits, making it an enticing investment opportunity:

Growing Real Estate Market: Guam's real estate market is on the rise, particularly with the ongoing military build-up. The demand for housing consistently outpaces the available supply, ensuring the potential for property appreciation and a robust market.

Potential for Rental Income: The scarcity of housing in Guam provides a prime opportunity for service members to invest in properties and generate rental income. With a steady influx of military personnel and civilian contractors, renting out your property can be a lucrative venture.

Tax Benefits: Military personnel stationed in Guam can enjoy significant tax advantages, including exemptions on certain property taxes and a favorable tax environment. These benefits can help service members save money while building equity.

Attractive Location: Guam's appeal to military personnel is multifaceted. Its proximity to military bases ensures a convenient commute, while the island's rich cultural diversity and amenities offer a unique and enriching lifestyle experience. The tropical climate and leisurely pace of island life make Guam an attractive location for those seeking a vibrant yet relaxed lifestyle.

Investing in real estate in Guam not only promises financial gains but also provides a chance to immerse oneself in a thriving community with a blend of cultures, all while enjoying the island's pleasant climate and surroundings.

In Guam, the real estate market has competitive property prices and rental rates, offering opportunities and challenges for buyers and investors. You'll find various property types like single-family homes, condos, and townhomes to suit different preferences.

Several factors shape Guam's real estate market. The local economy's health is a big one, affecting jobs and income, which in turn influence housing demand. Guam's bustling tourism and military presence also impact the market. However, it's crucial to understand that real estate prices here can be relatively high because of some unique challenges.

Shipping costs for building materials are expensive, which drives up construction expenses. Most insurable homes must be fully concrete, except for a few exceptions. Finding skilled labor can be tough, and the island's terrain often requires extra expenses for land preparation. These factors lead to higher property prices, so working with a knowledgeable real estate agent in Guam can be invaluable for making informed purchase decisions.

To help guide service members considering buying real estate in Guam, let's address some common questions:

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Q. What are the eligibility criteria for military personnel to buy real estate in Guam?

A. Eligibility criteria for military personnel looking to buy real estate in Guam typically include active duty or veteran status, with specific requirements related to length of service. Creditworthiness is important, as lenders assess the borrower's ability to manage mortgage payments based on income and debt ratios. 

For VA loans, obtaining a Certificate of Eligibility (COE) is necessary. Some programs may require the intention to occupy the purchased property as the primary residence, and property requirements can apply. Meeting residency requirements, working with local lenders, and completing the relevant loan applications are also key considerations in the eligibility process.

Q. How does the VA loan process work for buying in Guam?

A. The VA loan process for buying real estate in Guam follows a standard procedure. Military personnel first need to obtain a Certificate of Eligibility (COE) to confirm their eligibility for the loan. They can then work with a VA-approved lender in Guam to complete the application, including credit checks and property appraisal, ultimately securing financing for their home purchase with the backing of the U.S. Department of Veterans Affairs.

Q. Are there any restrictions on owning property in Guam as a non-resident?

A. Individuals who are not citizens of the United States and haven't indicated their intent to seek permanent residency, such as applying for a green card, are typically restricted to purchasing a single property in their own name, and this property must be used as their primary residence. However, if the purchase is intended for investment purposes, non-U.S. citizens have the option to establish a Guam corporation, which must include at least one local shareholder, to facilitate property ownership.

Q. What should military personnel consider when choosing a real estate agent in Guam?

A. Military personnel in Guam should prioritize several factors when choosing a real estate agent: seek experienced agents with local expertise and a strong grasp of VA loan processes. Local connections and a network in the community are valuable for finding suitable properties. Effective communication and accessibility, along with client references, reflect an agent's reliability. Familiarity with military relocations is crucial. Additionally, agents should possess knowledge of local legal and tax considerations, and maintain a transparent and professional online presence while demonstrating integrity throughout the buying process.

A VA loan is a specialized mortgage option extended to veterans and active-duty service members of the United States Armed Forces. This type of home loan is backed and insured by the U.S. Department of Veterans Affairs, an agency responsible for offering various benefits, including educational assistance and disability compensation, to eligible military personnel. In locations like Guam, VA loans are often the preferred choice for individuals looking to purchase homes, given the substantial presence of military personnel, both current and retired, who call the region their home.

VA loan process

Additional things to know about VA loans include:

  • Eligibility requirements
  • Private mortgage insurance is not necessary
  • No downpayment required
  • Loan amounts are limited
  • Interest rates can be competitive
  • Closing costs
  • VA loans are reusable
  • VA loans are assumable
  • Some homes are not eligible
  • Only Guam-approved lenders can do VA mortgages on Guam

For military personnel considering real estate in Guam, thorough research is paramount. Listed below are tips to guide you in your real estate journey:

Thorough Research: Research the local market, property values, and neighborhoods thoroughly.

Location Proximity: Consider the location's proximity to military bases for convenience and lifestyle.

Home Inspection: Prioritize a comprehensive home inspection to identify potential issues.

Local Expertise: Seek guidance from experienced local real estate agents who understand Guam's market intricacies.

Challenges: Be prepared for challenges like high construction costs and the need for fully concrete homes.

Flexibility: Stay flexible in your property preferences and work closely with local experts to overcome challenges.

Navigating the legal and tax aspects of purchasing real estate in Guam, especially as a service member, requires a good understanding of the local rules. Whether you're in the military or not, you'll need to follow Guam's property acquisition laws, which typically involve title searches and compliance with environmental and zoning rules. Regarding taxes, Guam imposes property taxes based on property value.

However, for military personnel stationed in Guam, there are potential tax benefits and deductions due to the island's substantial military presence. These benefits might include lower property taxes and even income tax exemptions, depending on your specific situation and eligibility. To make the most of these advantages and ensure you're following the local tax laws, it's advisable for service members considering real estate investments in Guam to consult with local tax authorities and seek professional advice.

For service members thinking about real estate investments in Guam, there are abundant opportunities. Now is an ideal time to explore Guam's real estate listings and secure your future home. With thorough research, expert guidance, and the right assistance, you can set yourself on the path to financial success and ownership of a piece of paradise in Guam. Begin your journey today and uncover the beauty and potential of real estate in Guam for military personnel.

A local Guam real estate agent is ready to help you find your next home!