Location: Windham County, VT | Metro: Windham County, VT
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,260 |
| 1 Bedroom | $1,370 |
| 2 Bedrooms | $1,690 |
| 3 Bedrooms | $2,010 |
| 4 Bedrooms | $2,550 |
| 5 Bedrooms | $2,958 |
| 6 Bedrooms | $3,313 |
| 7 Bedrooms | $3,578 |
| 8 Bedrooms | $3,757 |
U.S. Census Bureau data (2024)
ZIP 05146, located in Windham County, Vermont, presents a unique opportunity for inclusion in a Section 8 portfolio strategy. This area is best categorized as a cash-flow anchor due to the spread between the Fair Market Rent (FMR) and the current market rental rates.
The FMR for ZIP 05146 in the fiscal year 2026 is set at $1,380 for a metro area, while the current market rental rate stands at $1,321. This means that landlords participating in the Section 8 program can expect a slightly higher rent reimbursement compared to what they might charge on the open market. The difference of $59 per unit per month provides a cushion against potential increases in maintenance costs, property taxes, or other expenses, ensuring steady cash flow.
The median home value in ZIP 05146 is $397,552, which suggests a relatively stable housing market. However, the primary focus for Section 8 landlords should be on the rental aspect, where the FMR exceeds the market rate. This scenario is particularly advantageous because it helps mitigate risks associated with rent loss, given that Section 8 tenants have their rent subsidized up to the FMR level.
While ZIP 05146 does not offer significant opportunities for appreciation plays, as there is no data indicating a high percentage of price-cut shares or days on market (DOM), it still serves a valuable role in a diversified investment portfolio. The area has a 12.7% renter share, indicating a moderate demand for rental properties, and the median income is $77,500, suggesting a middle-class demographic that is likely to benefit from affordable housing programs like Section 8.
In conclusion, ZIP 05146 is best suited as a cash-flow anchor within a Section 8 portfolio strategy. Landlords will benefit from the higher reimbursement rates compared to market rents, ensuring consistent and reliable income from their investments. This makes ZIP 05146 an attractive option for those looking to stabilize their rental income streams without the volatility often associated with appreciation plays or highly competitive markets.
Data Sources: FMR data from HUD (2027). 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.