Location: Burlington-South Burlington, VT | Metro: Burlington-South Burlington, VT MSA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,600 |
| 1 Bedroom | $1,780 |
| 2 Bedrooms | $2,240 |
| 3 Bedrooms | $2,830 |
| 4 Bedrooms | $2,940 |
| 5 Bedrooms | $3,410 |
| 6 Bedrooms | $3,819 |
| 7 Bedrooms | $4,125 |
| 8 Bedrooms | $4,331 |
The analysis for ZIP code 05453 in Vermont reveals some limitations due to incomplete data. However, we can still provide a preliminary overview based on the available figures.
The Fair Market Rent (FMR) for a two-bedroom apartment in ZIP 05453 for fiscal year 2024 is set at $1950 per month. This figure represents the maximum amount that a landlord can charge under the Section 8 program. To annualize this, we multiply by 12 months, yielding an annual rent of $23,400.
The median home value in ZIP 05453 is currently unavailable, which means we cannot calculate a precise gross yield for market rent versus FMR. Additionally, the market rent for the area is also not provided, making it impossible to compare directly against the Section 8 rates. Without these key metrics, it's challenging to derive a comprehensive cap-rate picture.
Given the lack of specific market rent data, we cannot provide an accurate comparison between the gross yields of renting under Section 8 and renting at market rates. The implied gross yield for a property rented under Section 8 would be based on the $1950 monthly rate, while the market rate gross yield would require additional information to determine.
The renter density percentage and the days on market (DOM) are also not specified, which are important factors for understanding the local rental market dynamics. These figures would help us assess whether Section 8 rents are competitive and if there is a significant risk of vacancy.
In conclusion, while we have the Section 8 FMR at $1950 per month for a two-bedroom unit, the absence of median home values and market rent rates for ZIP 05453 makes it difficult to provide a definitive cap-rate analysis. Landlords and investors should gather more detailed local market data to make informed decisions about participating in the Section 8 program.
Data Sources: FMR data from HUD (2027).
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.