Location: Rutland County, VT | Metro: Addison County, VT
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,040 |
| 1 Bedroom | $1,180 |
| 2 Bedrooms | $1,490 |
| 3 Bedrooms | $1,780 |
| 4 Bedrooms | $2,490 |
| 5 Bedrooms | $2,888 |
| 6 Bedrooms | $3,235 |
| 7 Bedrooms | $3,494 |
| 8 Bedrooms | $3,669 |
U.S. Census Bureau data (2024)
In ZIP code 05760, the economics of Section 8 housing can be clearly defined using the SAFMR (Small Area Fair Market Rent) and local market rent data. For a two-bedroom apartment, the SAFMR for FY 2026 is set at $1,290. This figure represents the maximum amount that the Housing Choice Voucher program will pay towards the rent for a unit in this ZIP code. However, the local market rent for a similar two-bedroom unit, according to the Census ACS, is lower at $1,122.
The actual payment made by the Section 8 program to a landlord includes the tenant's portion of the rent plus any utility allowances. Typically, the tenant is responsible for paying 30% of their adjusted income towards rent. If we assume an average adjusted income of $1,500 per month, the tenant would contribute $450 towards the rent. The remaining balance, up to the SAFMR, is covered by the voucher.
In ZIP 05760, if a landlord charges the SAFMR rate of $1,290, the voucher would cover the difference between the tenant's contribution and the total rent. In this case, the voucher would pay $840 ($1,290 - $450). Utility allowances vary but generally range from $100 to $300 per month depending on the size of the unit and regional costs. For simplicity, let's assume an allowance of $200, bringing the total reimbursement to $1,040 ($840 + $200).
This means that for a two-bedroom unit priced at the SAFMR rate of $1,290, a landlord would receive a reimbursement of $1,040 from the voucher program, leaving a gap of $250 per month. Conversely, if the landlord sets the rent at the local market rate of $1,122, the reimbursement would still be $1,040, creating a smaller gap of $82 per month. Alternatively, if the local market rate were higher than the SAFMR, landlords could potentially see a surplus.
In ZIP 05760, where the local market rent is below the SAFMR, landlords should expect a reimbursement gap. By setting the rent at $1,122, landlords can minimize this gap to $82 per month, ensuring a closer alignment with the economic realities of the area while still participating in the Section 8 program.
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.