Fallon Real Estate Investment Guide For 2026

Naval Air Station Fallon is one of the most strategically unique military installations in the United States for several reasons that directly affect its permanence and stability as an investment anchor:

• NSAWC/Top Gun: NAS Fallon is home to the Naval Strike and Air Warfare Center (NSAWC), which operates the Strike Fighter Tactics Instructor Program (SFTI), commonly known as Top Gun. This program trains the Navy’s most elite tactical aviators and is nationally recognized for its strategic importance to US air power.
• Unique airspace: The installation controls access to the Fallon Range Training Complex (FRTC), approximately 12,000 square miles of restricted airspace and ranges that constitute the largest contiguous military airspace in the United States. This airspace cannot be replicated elsewhere. It is the reason NAS Fallon exists and the reason it cannot be closed without catastrophic impact to Navy tactical training.
• Capital investment: The Navy has made substantial recent capital investments in NAS Fallon’s infrastructure, including facilities expansions and range upgrades. When the military is actively investing capital, it signals long-term operational commitment.
• BRAC history: NAS Fallon has not been on any BRAC closure or realignment list for its primary Top Gun mission. The unique airspace and training complex make it strategically irreplaceable.
• Scale: Approximately 4,500 military and civilian personnel, making it the dominant employer in Churchill County with an economic impact that exceeds its raw headcount through contractor, service, and multiplier effects.

For real estate investors, the practical implication is straightforward: an installation that controls irreplaceable airspace, trains the Navy’s elite, and has seen consistent capital investment is about as close to permanent employment as federal government facilities get.

The Servicemembers Civil Relief Act (SCRA) allows active-duty military tenants to terminate a lease early under specific circumstances. Here is what Fallon investors need to understand:

• When it applies: The early termination right triggers when a servicemember receives Permanent Change of Station (PCS) orders to a new duty location or deployment orders for 90+ days. This is the most common scenario for NAS Fallon tenants rotating to their next assignment.
• How it works: The tenant must provide written notice plus a copy of their orders. Termination is effective 30 days after the next rent payment due date following notice delivery. So if they give notice on April 15, termination is effective May 31 (assuming rent is due May 1).
• Landlord protection factors: You always get at least 30 days additional rent after notice. Tenant must provide actual orders, not just a verbal statement of intention to move. The process is defined and predictable, not arbitrary.
• Practical management: Military tenants at NAS Fallon typically receive their PCS orders 30 to 90 days before their departure date. Begin marketing the property as soon as notice is received. Incoming military personnel from the next assignment cycle often fill vacancies quickly, particularly in June and July when most PCS moves occur.
• Why it is not a significant problem: Experienced Fallon landlords report that the predictable nature of military transitions, combined with the steady flow of incoming personnel needing housing, means vacancy between military tenants is typically very short, often less than 30 days. The SCRA termination right is understood, planned for, and well-managed by investors who know the market.

Pricing military rentals in Fallon requires understanding the BAH system rather than just looking at comparable civilian rentals:

• Look up the BAH rate: Go to the DoD BAH calculator at militaryonesource.mil or the Defense Travel Management Office website. Enter the Fallon zip code (89406) and the pay grade of your target tenant. BAH rates are published annually and updated each January.
• Target rent below BAH: Military tenants receive BAH in their paycheck and pocket the difference between BAH and their actual rent. A property priced $50 to $100 below the applicable BAH rate is highly attractive because the tenant effectively earns that difference as extra income. Properties priced at or just below BAH for E-5 or E-6 with dependents (the largest NAS Fallon demographic) typically rent fastest.
• Bedroom tier matters: BAH is calculated per bedroom count (1BR, 2BR, 3BR, 4BR). A 3-bedroom home receives the 3BR BAH rate, not the 4BR rate. Adding a bedroom category increases your eligible BAH tier significantly and can justify higher rent. Verify the bedroom count qualifies for the appropriate BAH tier under DoD criteria.
• Annual adjustments: BAH rates adjust each January. In years when local rents increase significantly, BAH increases accordingly. You can adjust rent annually to track BAH movement, giving your Fallon property a built-in inflation hedge mechanism.
• Cross-check with civilian comps: BAH is the ceiling. Verify that market-rate civilian rents for comparable properties are in a similar range. If civilian rents are significantly below BAH, you may be overpricing; if they are above BAH, military tenants may go civilian rental at that tier.

Elko and Fallon are both strong northern Nevada markets but serve fundamentally different investor profiles:

• Economic stability: Fallon wins decisively. Federal military employment does not cycle with commodity prices. During the 2015 to 2018 gold downturn that hurt Elko, Fallon’s rental market was unaffected. This stability advantage is the core reason to choose Fallon over Elko.
• Yield potential: Elko offers slightly higher cap rates on average and more cyclical upside during gold price peaks. If your primary focus is maximizing return when conditions are favorable, Elko has the edge.
• Tenant reliability: Fallon wins decisively. BAH-paying military tenants have essentially guaranteed housing income. Mining workers earn well but face layoff risk during downturns. For investors who prioritize never having a missed rent payment, Fallon is the clear choice.
• Location access: Elko has commercial air service. Fallon is closer to Reno (60 miles vs. 290 miles) but does not have commercial flights. Investors who need regular in-person access find Fallon easier to visit despite having no flights.
• Market depth: Elko has more transaction volume, more management options, and more rental properties as comparables. Fallon is a smaller, thinner market with fewer options but also fewer competing investors.
• The combined answer: Many experienced Nevada investors hold both. Elko provides cyclical upside and slightly better yields. Fallon provides recession-proof stability and the most reliable tenant demographic in the state. They complement each other in a diversified portfolio.

Nevada’s summary eviction process applies in Churchill County. For military tenants, SCRA adds a layer to be aware of:

• Standard non-payment process: 7-day notice to pay or quit. File with Churchill County Justice Court if no compliance. Uncontested cases resolve in 3 to 4 weeks. Total cost $300 to $600.
• SCRA eviction considerations: SCRA does not generally prevent eviction for non-payment of rent during active military service. However, courts must take military service into account and can stay (postpone) eviction proceedings if the military service materially affects the servicemember’s ability to pay or appear in court. In practice, this means eviction of a deployed servicemember may be delayed, not prevented.
• The real-world context: Military tenants in Fallon essentially never face eviction for non-payment because BAH provides guaranteed housing funds for as long as they are in the military. In all the years that experienced Fallon landlords have operated, eviction of a military tenant for non-payment is an extraordinary rare event. The process exists and is important to know, but the probability of needing it is far lower than with civilian tenants.
• The more common scenario: The far more common transition challenge is a military tenant receiving PCS orders mid-lease and invoking SCRA early termination (covered in the previous FAQ). That is a managed, predictable transition, not an adversarial legal proceeding.