Location: Addison County, VT | Metro: Addison County, VT
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,010 |
| 1 Bedroom | $1,020 |
| 2 Bedrooms | $1,300 |
| 3 Bedrooms | $1,590 |
| 4 Bedrooms | $2,160 |
| 5 Bedrooms | $2,506 |
| 6 Bedrooms | $2,807 |
| 7 Bedrooms | $3,032 |
| 8 Bedrooms | $3,184 |
U.S. Census Bureau data (2024)
The ZIP code 05748 represents a rural area in Vermont, known for its quiet, serene neighborhoods. With a total population of 435, it's a small community where over 40.5% of residents are renters. The median household income in this area stands at $76,250, indicating a relatively affluent demographic. However, the median home value is notably lower at $249,425, suggesting that while residents have decent earning power, the cost of homeownership isn't excessively high.
Moving into the specifics of rental economics, the Fair Market Rent (FMR) for ZIP 05748 as set by HUD for metro FY 2026 is $1,270. This figure contrasts sharply with the actual market rent, which is recorded at $939 according to the Census ACS. This discrepancy presents an opportunity for landlords and small-portfolio investors, as it suggests that there is potential to increase rents without exceeding the voucher limits, thereby improving profitability.
The question then becomes whether ZIP 05748 suits a hands-off voucher operator or requires a hands-on approach for a value-add buyer. Given the low population density and the significant gap between the FMR and market rent, this area is likely more suitable for a hands-on value-add buyer. Such an investor would benefit from the ability to raise rents closer to the FMR, enhancing cash flow. Additionally, the relatively low median home value offers a chance to acquire properties at a lower price point, making renovations and improvements more feasible financially.
In conclusion, ZIP 05748 presents a niche investment opportunity. It's a small, affluent community with room for rental rate increases. For investors looking to actively manage their properties and add value, this ZIP code could be particularly rewarding. However, those seeking a passive investment strategy might find limited upside in simply collecting rents at the current market levels.
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.