Location: Rutland County, VT | Metro: Addison County, VT
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,010 |
| 1 Bedroom | $1,130 |
| 2 Bedrooms | $1,430 |
| 3 Bedrooms | $1,710 |
| 4 Bedrooms | $2,390 |
| 5 Bedrooms | $2,772 |
| 6 Bedrooms | $3,105 |
| 7 Bedrooms | $3,353 |
| 8 Bedrooms | $3,521 |
U.S. Census Bureau data (2024)
The analysis of ZIP code 05778 in Rutland County, Vermont reveals several key points regarding its viability for Section 8 real-estate investments.
Firstly, the rent math works favorably. The Fair Market Rent (FMR) for the metro area in fiscal year 2026 is set at $1,270, which exceeds the current market rent of $1,211 according to the Census ACS data. This means that landlords participating in the Section 8 program can expect to receive slightly higher rents than the average market rate, providing a modest cushion against potential maintenance costs and vacancy periods.
Secondly, the acquisition cost is relatively affordable. With a median home value of $368,652, this ZIP code offers a reasonable entry point for investors looking to purchase properties. However, the lack of data on days on market (DOM) and the percentage of homes sold with price cuts suggests that the local real estate market might be less active or less competitive compared to other areas. This could indicate either a stable market or one where pricing adjustments are infrequent, making it harder to gauge how quickly an investment property could be sold if needed.
Lastly, there is sufficient tenant demand to support rental investments. The ZIP code has a population of 990, with 25.4% of residents being renters. This indicates a steady pool of potential tenants who are likely to benefit from the Section 8 program, ensuring a consistent demand for rental units.
In conclusion, ZIP 05778 presents a favorable environment for Section 8 real-estate investments due to the positive rent differential, affordable acquisition costs, and adequate tenant demand. Landlords can confidently expect to cover their expenses and generate a modest profit while serving a community in need. The stability of the market, though lacking in detailed metrics, supports long-term investment strategies.
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.