EP 65: VA Loan + Midterm Rentals: How Katie Newman Made It Work in DC episode artwork

EPISODE · Feb 19, 2026 · 1H 2M

EP 65: VA Loan + Midterm Rentals: How Katie Newman Made It Work in DC

from The Breakthrough with Stephen Husted · host Stephen Husted

What if your first house could pay most of your mortgage… without becoming a full-time landlord?In this episode, Stephen sits down with Katie Newman, a real estate investor and healthcare professional who has quietly built a powerful portfolio using house hacking, midterm rentals, and VA loans in a high-cost market near Washington, DC.Katie walks through how she bought an $800,000 home with zero money out of pocket, converted the basement into a fully separate midterm rental for around $10,000, and now rents it for $2,100 per month. She breaks down exactly how she structured the layout, screened tenants, priced rent, and avoided common mistakes that cost investors time and money.Stephen and Katie also get honest about contractor issues, tenant horror stories, security deposits, background checks, and why being slightly under market rent can actually protect your cash flow. This episode is packed with real numbers, real systems, and real lessons for anyone serious about house hacking or midterm rentals.Stephen and Katie talked about: 📌 How Katie used the VA loan multiple times to acquire properties with little to no money out of pocket📌 The exact basement conversion strategy that turned a single-family home into a cash-flowing house hack📌 Why midterm rentals outperform long-term rentals in high-cost, transient markets📌 How to identify the perfect tenant pool (healthcare, military, government, police academy)📌 Tenant screening process using TurboTenant, background checks, and job verification📌 Why Katie keeps security deposits low to reduce friction and vacancy📌 The importance of professional photos for Furnished Finder listings📌 Real contractor mistakes, how she handled them, and what she’d do differently📌 Why chasing max rent can backfire and how longer stays reduce headaches📌 Stephen’s real-world lesson on tenant damage and why midterm rentals still require systemsFind Katie‘s IG here: https://www.instagram.com/midshift_investor/reels/LinkedIn: https://www.linkedin.com/in/kathrynenewman/Follow Stephen on IG: ⁠⁠⁠⁠https://www.instagram.com/stephenhusted/⁠⁠⁠⁠Follow our Podcast on IG:⁠ ⁠@thebreakthrough.podcast⁠⁠Connect on LinkedIn:⁠ https://www.linkedin.com/in/stephenhusted/⁠and YouTube: ⁠⁠⁠⁠https://www.youtube.com/channel/UCsdNkau-5DUE9rGUIHrpfXA⁠⁠

What if your first house could pay most of your mortgage… without becoming a full-time landlord?In this episode, Stephen sits down with Katie Newman, a real estate investor and healthcare professional who has quietly built a powerful portfolio using house hacking, midterm rentals, and VA loans in a high-cost market near Washington, DC.Katie walks through how she bought an $800,000 home with zero money out of pocket, converted the basement into a fully separate midterm rental for around $10,000, and now rents it for $2,100 per month. She breaks down exactly how she structured the layout, screened tenants, priced rent, and avoided common mistakes that cost investors time and money.Stephen and Katie also get honest about contractor issues, tenant horror stories, security deposits, background checks, and why being slightly under market rent can actually protect your cash flow. This episode is packed with real numbers, real systems, and real lessons for anyone serious about house hacking or midterm rentals.Stephen and Katie talked about: 📌 How Katie used the VA loan multiple times to acquire properties with little to no money out of pocket📌 The exact basement conversion strategy that turned a single-family home into a cash-flowing house hack📌 Why midterm rentals outperform long-term rentals in high-cost, transient markets📌 How to identify the perfect tenant pool (healthcare, military, government, police academy)📌 Tenant screening process using TurboTenant, background checks, and job verification📌 Why Katie keeps security deposits low to reduce friction and vacancy📌 The importance of professional photos for Furnished Finder listings📌 Real contractor mistakes, how she handled them, and what she’d do differently📌 Why chasing max rent can backfire and how longer stays reduce headaches📌 Stephen’s real-world lesson on tenant damage and why midterm rentals still require systemsFind Katie‘s IG here: https://www.instagram.com/midshift_investor/reels/LinkedIn: https://www.linkedin.com/in/kathrynenewman/Follow Stephen on IG: ⁠⁠⁠⁠https://www.instagram.com/stephenhusted/⁠⁠⁠⁠Follow our Podcast on IG:⁠ ⁠@thebreakthrough.podcast⁠⁠Connect on LinkedIn:⁠ https://www.linkedin.com/in/stephenhusted/⁠and YouTube: ⁠⁠⁠⁠https://www.youtube.com/channel/UCsdNkau-5DUE9rGUIHrpfXA⁠⁠

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EP 65: VA Loan + Midterm Rentals: How Katie Newman Made It Work in DC

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This episode was published on February 19, 2026.

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What if your first house could pay most of your mortgage… without becoming a full-time landlord?In this episode, Stephen sits down with Katie Newman, a real estate investor and healthcare professional who has quietly built a powerful portfolio using...

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