Location: Windsor County, VT | Metro: Windsor County, VT
Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,410 |
| 1 Bedroom | $1,420 |
| 2 Bedrooms | $1,660 |
| 3 Bedrooms | $2,170 |
| 4 Bedrooms | $2,270 |
| 5 Bedrooms | $2,633 |
| 6 Bedrooms | $2,949 |
| 7 Bedrooms | $3,185 |
| 8 Bedrooms | $3,344 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,660 | $305,985 | 0.54% | F |
U.S. Census Bureau data (2024)
The investment landscape in ZIP code 05001, located in Hartford, VT, presents several challenges for landlords considering participation in the Section 8 program. One significant issue is tenant turnover, which can be higher due to the disparity between the market rent of $1,938 and the Fair Market Rent (FMR) of $1,460 for fiscal year 2026 in the metro area. This gap may lead to tenants seeking higher subsidies, increasing the likelihood of frequent moves.
Vacancy exposure is another concern. With an average Days on Market (DOM) being unavailable, it's difficult to predict how long properties might remain vacant, especially if they are priced above the FMR. Landlords should prepare for potential extended vacancy periods that could impact cash flow.
Deferred maintenance is also a risk factor. The typical home value in the area is $401,500, while the median income is $78,092. This combination suggests that many residents may struggle to afford substantial home repairs or upgrades, leading to higher maintenance costs for landlords over time.
Despite these risks, there are mitigating factors that make ZIP 05001 a potentially viable investment. The renter share of the population is 32.8%, indicating a high concentration of renters who may rely on housing vouchers. This high renter density often translates into a robust demand for rental properties, particularly those that accept Section 8 vouchers, thereby reducing the overall risk of vacancy.
Verdict: Moderate risk for a first-time Section 8 landlord.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-08-31). Demographics from U.S. Census (2024).
About FMR: Fair Market Rent (FMR) is used to determine payment standards for the Section 8 Housing Choice Voucher program, initial renewal rents for some expiring project-based Section 8 contracts, and rent ceilings for HOME Investment Partnerships.