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Show Summary
In this conversation, Chad Bowman (NMLS 191475) emphasizes the importance of sharing knowledge about VA loans to empower others and build a successful business. He discusses how engaging with potential clients through informative content can lead to business opportunities.
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Investor Fuel Show Transcript:
Chad Bowman (00:00)
Explaining how the VA program works showing them every step of the way. I was able to get that loan done for them I was able to help them feel comfortable. I know months and years down the road I still would go and visit them at their house and stuff. It was amazing that we became friends and That experience was so good for me. Just that first time that from there on out. I was like, I’m just gonna help veterans That’s it. I’m just gonna work with fellow veterans. I’m a Marine Corps veteran myself So it just made sense to hey, you know, this is what I do I enjoy teaching. So part of that is teaching realtorshow a program works. ⁓ And that’s what really got me tied into it. And I think that happens with anybody in any kind of business. Once you find something that’s like, wow, that was incredible, I want to do that again. I want to help somebody else. And so that’s how I got into this. And that’s why I’m still doing it.
Dylan Silver (02:22)
Hey folks, welcome back to the show. Today’s guest is a VA home loan specialist who really helps realtors as well be better educated on the process so that folks can serve the veteran community. Please welcome Chad Bowman. Chad, welcome to the show.Chad Bowman (02:40)
Thanks Dylan, I appreciate it. Happy to be here.Dylan Silver (02:42)
It’s great to connect with you here. know you’re in Texas. I’m a Texas licensed realtor. So one of the beautiful things about Texas is the really large veteran community, of course, all the military bases and the large constituency. I’m curious, we were talking bit before hopping onto the show here. There’s still, I’d say, a lot of room to grow when it comes to awareness and knowledge for the average realtor.to navigate the system. I’m sure you must see a lot of that as well.
Chad Bowman (03:13)
We do it, you know, it’s been that way for years. I’ve been doing VA loans for over 21 years now and Literally, we still hear all these same things as far as VA loans are too hard. They take more time You can only use it once I mean all kinds of myths and misconceptions about the VA program some of those just come from the internet, know people just looking things up and some from the realtors that they’re consulting with and some just from your favorite uncle that seems to know everything about everything and has no idea what they’re talking about when it comes to VA loans, soYeah, so I’m out there just doing my best to share the information about VA loans how they actually work You know in the field day to day to help a veteran get in the house
Dylan Silver (03:49)
have some granular questions that I am ignorant on. So I would love to be able to ask you here. Maybe give away some of the gold, Chad, but not all of it, as I like to say. Are the children of folks who served also eligible in every case for VA home loan?Chad Bowman (03:53)
Okay.Actually in no case no, they’re not it’s only going to be the veteran and their spouse so There is an exception where if the veteran were to pass away under certain circumstances connected to their military service or if they’re a hundred percent disabled veteran at the time they pass away ⁓ The widow or widower could use the VA loan themselves, but otherwise it’s just a program for veterans to use That being said sometimes they want to move in with their kids or their kids want to move in with them And they want to get a house together
Dylan Silver (04:58)
Okay.Chad Bowman (05:24)
They can use a VA loan in that case to do it However, it would be a twelve and a half percent down payment because you’re putting somebody on that loan who’s not a veteran and not your spouse So but yes, it is for veterans. That’s the that’s the eligibility. That’s the entitlement. YeahDylan Silver (05:33)
Okay.I
was actually unaware of that. I’ve spoken with some investors who’ve given me other information. So I’m glad to have this information here and, you know, coming from the source as well. I think, again, there’s good information, there’s not good information, and there’s just flat out false information when it comes
Chad Bowman (05:46)
Okay. Yeah.It’s either accurate
or not accurate, honestly. That’s how I look at it. It’s either true or false. Yeah.
Dylan Silver (06:01)
Black andwhite. When you have, of course there’s gonna be a wide range of people relocating, looking for their forever home. Do folks typically go to, when they are eligible, go to the VA home loan as their first source, hey, I have this resource to use? Or do they sometimes feel like, because of the lender that they’re working with or their realtor?
that that process may be more difficult and they’re gonna bypass that entirely, what do you see as the general kind of warmth to using a VA loan first?
Chad Bowman (06:34)
Yeah, it’s a great question. It’s kind of across the board. Some people know, hey, VA is the best thing on the planet. I’m going to use it. And that’s all that you know, that’s their first place to go. Some folks, they’ve used it before and only think you can use it once. So they don’t even think about using it again, even though you can have it multiple times. I even had a veteran with four VA loans at the same time. So there’s a lot more that you can do a lot with VA. People are surprised to hear it. But many times it’s just whoever they go to for advice to buy that house. And if it’s a realtor that doesn’t have VA experience.Even worse had a VA loan go bad years ago and it’s like they had a bad experience So they’re like no. No, you don’t want to go VA I mean, that’s all it takes sometimes to push somebody into a different program Or simply lenders who are really focused on other programs like FHA loans I have veterans calling a regular basis trying to refinance their FHA loans and it’s like Why did you have an FHA loan to begin with? He should had a VA loan, you know, so this kind of across the board That’s why we try to get to people try to get the word out. I can only talk to so many veterans. So
Dylan Silver (07:24)
in the first place.Chad Bowman (07:32)
Spend when I can at least once a month teaching a VA class across Texas where I can get to realtors Then they can spread the word, you know and put it out there to the to the networkDylan Silver (07:41)
I want to ask you about the lending space when it comes to VA. I would like to believe that most lenders in Texas are aware of the process, but is that true or is it really dependent on the lender?Chad Bowman (07:55)
You know, I’m aware of the process how to do a USDA loan But I would never do a USDA loan for somebody like don’t send them to me because I don’t really know how to do it I just got the general idea But with the market the last couple years being a little tougher than usual, you know, lot of lenders are just saying hey I do everything right I do everything I can do it I know how it works The thing is everything is not a vanilla loan if it was you could do everything But there’s a lot of things that come up on VA loans and other loan programs as wellDylan Silver (08:22)
You know.Chad Bowman (08:22)
whereyou have to be a specialist or an expert to really get it right. And we step in and save loans on a regular basis, know, VA loans that fall out from other lenders. And then sometimes we step in and it’s like this person isn’t even eligible for a VA loan. how did you get two weeks to closing and you’re not even eligible? So it’s kind of crazy. I wish it wasn’t that way. I wish everybody that was doing VA really knew how to do it because they’d be serving our veterans better. So I’m doing my small part to try to fix that.
Dylan Silver (08:39)
Yeah.You know, when you talk about serving people at the highest level, and of course veterans, want to take care of our military community, the thing that comes to mind for me is that there’s this massive opportunity, really, right? But you mentioned really being specialized and niching down into it. When you were deciding to go down this path and really specialize on VA loans,
Was there lots of guidance and information and how did you become competent in yourself and then expand your business as a business owner?
Chad Bowman (09:58)
Yeah, that’s a great question. Really the story goes back to the first customer I ever had back in 2004 I did technically do a refinance for somebody in a real estate class. I was in that was my first loan I wish I hadn’t done that because I could say my first loan was VA but my first purchase loan that I ever did was for a retired husband and wife and They had had their entire life savings stolen by a financial advisor the whole thing. I mean they were just wiped outAnd then they moved back to Texas to live with family. They like really didn’t have any money because of that and they didn’t trust anybody and I their realtor got him contact with me and I just sat down with them and I realized wow, this is gonna be and keep in mind This is my first real purchase customer veteran customer and I’m new to the business and but I do understand how VA loans work because I learned as much as I possibly could before I even sat down with them And anyhow, it was just working through with them gaining their trust
Dylan Silver (10:40)
Yeah.Chad Bowman (10:52)
Explaining how the VA program works showing them every step of the way. I was able to get that loan done for them I was able to help them feel comfortable. I know months and years down the road I still would go and visit them at their house and stuff. It was amazing that we became friends and That experience was so good for me. Just that first time that from there on out. I was like, I’m just gonna help veterans That’s it. I’m just gonna work with fellow veterans. I’m a Marine Corps veteran myself So it just made sense to hey, you know, this is what I do I enjoy teaching. So part of that is teaching realtorshow a program works. ⁓ And that’s what really got me tied into it. And I think that happens with anybody in any kind of business. Once you find something that’s like, wow, that was incredible, I want to do that again. I want to help somebody else. And so that’s how I got into this. And that’s why I’m still doing it.
Dylan Silver (11:35)
I wanna ask you about scaling and building a business and the marketing funnels that you’ve found and then also comparing that to maybe some other strategies that I’ve heard from guests on the show. I can imagine that a large part of your business is word of mouth and through the realtors and the connections that you’ve made as well. Through the years, you mentioned the course that you teach for realtors. What has been the biggest or maybe…one to punch the biggest and then the next biggest source for leads and referrals for you in general as a business.
Chad Bowman (12:07)
So you want the secret sauce? that what you want? Just give it away. Honestly, for me, it’s been teaching. So I really can’t say that that’s just like, that’s number one, go to number two. That’s been the main focus. And the reason it’s not so much straight out of the class that I get referrals or something. It’s that they know after spending a three hour CE class with me that I can answer their VA questions any time in the future if they have them or they can call into my team. We’re all VA specialists. And by doing that, people reach out on a regular basis. And it’s like kind of like where the VA help desk.Dylan Silver (12:09)
The secret sauce, yeah.Chad Bowman (12:36)
Now we’re not the VA obviously we’re a private company but they can reach out with questions and when they do that and eventually they have a customer that has questions then they send them to us and then that’s how we grow the business and it’s really that’s all I’ve really been doing for years I’ve tried a lot of other things at the end of the day people just want to know that you have the information they need that you can help them that you can explain it in a way that makes sense and That they can trust you and when somebody calls in and they’re like, do I pick person on where I’m like just find somebody you trust if you if they know what they’re doing and you trust themDylan Silver (12:38)
when.Yeah.
Chad Bowman (13:06)
I mean, that’s all you really need.Dylan Silver (13:07)
I mean, I can say as ⁓ a Texas licensed realtor, I need a VA course to learn about all the ins and outs of it. think, you you mentioned on really that network of networks, the course that you teach, but then also they’ve the realtors feel like, hey, I have a trusted person where I can go to and sort through some of these issues. I have experienced that before I was a licensed realtor, I was involved in distressed real estate and I felt likeChad Bowman (13:12)
youRight, right.
Dylan Silver (13:34)
the only way to get through a lot of those deals, which were very hairy and thorny, was to have a mentor or someone who’s already been there and done it. Otherwise, I’m gonna be figuring it out on the fly and who knows how it’s gonna go. Do you get the sense that, I don’t wanna say all realtors, because that’s a blanket statement, but that a lot of realtors who may be newer to it tend to almost shy away from it unless they have that.Chad Bowman (13:39)
Yeah, yeah.Dylan Silver (14:01)
kind of connection to someone like yourself who isn’t a trusted person where they can understand the process a little bit better because they might have no exposure to it.Chad Bowman (14:50)
Yeah, sometimes it’s just a matter of experience and then maybe they haven’t come across a VA buyer before they didn’t know a lot of times you’re new to the business. don’t know that financing matters. Like as a realtor, you’re focused on buying and selling you and then down the road experience realtors find out real quick that, Hey, your lender matters. Your financing matters. You don’t get paid if it doesn’t close, you know, so it really matters that they hold it together and get it done. And so that’s what we built our reputation on because you need to be consistent and you need to be somebody they didn’t count on.And not just know how VA loans work, but know how to get them done. So I’d say the experience wise, it’s across the board. I do try to get in on like Austin Board of Realtors and some other associations and their new member orientations and try to get to people early and explain how important it is for them to take the time to learn about VA, learn about FHA, learn about conventional, know, learn about all the programs so that they can feel comfortable enough to talk with people about it. And also I mentioned a lot of times in my classes that I’ve had plenty of
veterans that I’m working with that have fired their realtors simply because they just didn’t know anything about a VA loan or worse they were talking down about the VA loan and trying to discourage them from using it and so they lose a transaction you know and a deal that they could have had a great opportunity and potentially future future business so I will mention one thing too as far as being able to expand being able to grow ⁓ outside in addition to the class I have a monthly VA newsletter that I put a lot of time into
Dylan Silver (15:54)
different.Yeah.
Chad Bowman (16:12)
And whatit is is free content for the realtors. And so once a month, like this month, it’s the ⁓ common VA contract errors. So the errors we see over and over in VA contracts. I put that in a newsletter. detail. It’s real straightforward. It’s kind of conversational as you would. So it’s easy to understand. And then it’s something they can take and they can do whatever they want on social media. They can break it down and send it out. They can forward it as a newsletter, brand it for themselves, do whatever they want with it. But I think
My success plan I tell realtors is one you learn about VA second thing stay up to date which happens to be my newsletter That’s my recommendation and the third thing is share the knowledge if I if I teach you everything I know Dylan about VA loans and then you don’t share it with your network Then who is that helping right? So so that thing is just pushing the content out to where you can get people asking questions and people ask you questions like hey Dylan I saw you boasted something about multifamily properties with a VA loan. I can be an investor with a VA loan. How do I do that?
Next thing you know, you’ve got yourself a buyer, and you’re building your business. So that’s how I help veterans and realtors alike. ⁓
Dylan Silver (17:14)
I want to ask you about the regionality of lending. I’ve been seeing this trend just from from guests on the show. You know, this is the Texas Real Estate Pros podcast, but we’ve had so many guests from from across the country on our sister podcast. One of the things that I’ve seen is that lenders seem to be going across state lines more and more and more. And I’ve often been curious about that because I thought, well, as someone who’s worked a lot with investors, that seems challenging.Do you go across state lines? Are you, is a majority of your business focused in Texas? And then also, what do you make of this trend where you have, you know, smaller lenders lending every.
Chad Bowman (17:51)
Yeah, it’s a good one because I do see that too. I see things changing out there and that happens with the markets right things have to change ⁓ I just stay within Texas. I don’t go outside of Texas I think Texas is plenty big for me to try to keep up with ⁓ I do go statewide so you know I think sometimes I’ve had people work with me in Houston that work with me because I’m local even though I’m in Austin I’m like, I’m not really local but because I’m in Texas they can connect with that more than they can with somebody in Colorado, you know, ⁓ butDylan Silver (18:18)
Yeah.Chad Bowman (18:19)
I do think it helps when the pre-approval letter goes out and you have a local lender on that pre-approval letter or somebody at least in Texas that’s a specialist. I think it has a lot more value and a lot more pull than somebody in another state on another time zone or something trying to say, hey, yeah, I can do it loans anywhere. And that being said, my biggest competitor is our corporate office in Missouri. You know, they do a lot of business online. That’s who we’re up against. ⁓ But when it comes down to it, I’m here in the trenches. I’m meeting with the realtors. I’m teaching them how VA loans work.I’m talking to the veterans and I think that makes the difference and I think that’s hard to do if you’re in another state and you’re trying to cover all 50 states. I think that’s, you’re spread pretty thin, you know, so.
Dylan Silver (18:57)
Itend to agree. I initially was surprised, but now I’ve seen so much of it that I say, ⁓ this must be a trend. We are coming up on time here, Chad. Where can folks go if maybe they are interested in a VA loan for themselves? They know they’re eligible, but they don’t know too much about the process. Or if they’ve got general questions, they may be a realtor and they’d like to reach out to you or your team.
Chad Bowman (19:07)
Yeah.sure. Yeah, the best way to reach me is just Chad Bowman dot com at ch ad Bo w man.com. That’s it I’ve got my classes there. I’ve got my newsletter there They can sign up for any time and that’s for veterans or realtors They can text or call me it then all my contact info is right there So it’s easy to find and if you want to apply for pre-approval, you can do that I mean certainly be great if we have a conversation first But if you just want to hop online and do it all of that is right at Chad Bowman comm That’s it
Dylan Silver (19:45)
Chad, thank youso much for coming on the show here today.
Chad Bowman (19:48)
Happy to be here. Thank you, Dylan. I appreciate it.
