Location: Windham County, VT | Metro: Windham 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 | $1,120 |
| 1 Bedroom | $1,200 |
| 2 Bedrooms | $1,470 |
| 3 Bedrooms | $1,770 |
| 4 Bedrooms | $2,010 |
| 5 Bedrooms | $2,332 |
| 6 Bedrooms | $2,612 |
| 7 Bedrooms | $2,821 |
| 8 Bedrooms | $2,962 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,770 | $465,037 | 0.38% | F |
| 4BR | $2,010 | $632,867 | 0.32% | F |
U.S. Census Bureau data (2024)
The ZIP code 05356 corresponds to a small, rural neighborhood in Vermont, not Washington. With a total population of 738, it's clear that this area is sparsely populated, making it quite different from urban settings where rental properties might be more common. Only 9.9% of the residents are renters, indicating that homeownership is the predominant form of residence here. The median household income stands at $51,222, which suggests a middle-class community. The median home value is notably high at $484,065, reflecting the desirability and possibly the exclusivity of housing in this ZIP code.
When examining the rental economics, the disparity between the Fair Market Rent (FMR) and the actual market rent becomes evident. The FMR for the metro area in fiscal year 2026 is set at $1,630, whereas the Census ACS reports the market rent at just $528. This significant gap indicates that there is a potential opportunity for landlords who can manage Section 8 properties effectively, as the government subsidy could cover a substantial portion of the rent.
Given these conditions, ZIP 05356 would likely suit a hands-on value-add buyer rather than a hands-off voucher operator. The low percentage of renters and the high median home value suggest that the market for rental properties is limited. However, the substantial difference between FMR and market rent means that an active investor could find profitability in managing Section 8 properties. Such an investor would need to be prepared to engage deeply with the local market, understanding the needs of tenants and working closely with the Housing Authority to ensure compliance and maximize returns.
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.