Section 8 Fair Market Rent (FMR) for ZIP 05661 - 2027

FY 2027 Fair Market Rent Rates

Unit Size	Monthly FMR
Studio	$1,270
1 Bedroom	$1,270
2 Bedrooms	$1,580
3 Bedrooms	$2,190
4 Bedrooms	$2,190
5 Bedrooms	$2,540
6 Bedrooms	$2,845
7 Bedrooms	$3,073
8 Bedrooms	$3,227

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Based on the provided data, the analysis for ZIP 05661 in Vermont reveals that the Fair Market Rent (FMR) for the metro area in fiscal year 2026 is $1,330, while the market rent based on Census ACS data is $1,211. This indicates a positive gap of $119 between FMR and market rent, representing an increase of approximately 10%. Given this scenario where FMR exceeds market rent, landlords and small-portfolio investors can leverage Section 8 vouchers to achieve higher yields compared to renting at open-market rates. Voucher tenants pay a portion of their income towards rent, typically 30%, and the government covers the remainder up to the FMR. In ZIP 05661, with a median income of $67,052, this means voucher holders will contribute around $167.63 per month towards rent, significantly below the FMR. Thus, landlords receive the difference between the tenant’s contribution and the FMR, which is guaranteed by the government. This ensures a steady cash flow and reduces the risk of vacancy or non-payment. Moreover, the median home value in ZIP 05661 is $468,897, indicating a relatively stable local economy. However, with only 33.2% of residents being renters, the demand for rental properties might be lower. Therefore, landlords should focus on maintaining properties to meet the standards required for Section 8 participation, ensuring they attract and retain voucher tenants. In conclusion, the positive gap between FMR and market rent makes ZIP 05661 a favorable location for landlords seeking to maximize their investment returns through Section 8 participation. The guaranteed government payments bridge the gap, providing a predictable and higher yield compared to market rents. However, landlords must be prepared to manage properties effectively to comply with the program requirements and serve the needs of voucher tenants.

Note: The analysis is anchored in the broader context of Vermont, where ZIP 05661 is located.

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.