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MarketsVermontBarreRental Property Investment Guide

Rental Property Investment Guide: Barre, VT

Updated 2026 · Based on median market data for Barre, VT

Cap Rate
2.29%
Median Price
$380K
Rent/Mo
$1,540
1% Rule
0.41%
Fails

Market Snapshot

Barre sits in the Northeast with a population of 50,000 growing at 0.3% annually. The median home costs $380,000 while rents average $1,540/mo, producing an estimated cap rate of 2.29%. Cash flow investing here requires creative strategies like BRRRR or value-add approaches.

Who Should Invest Here

Barre works best for experienced investors with a clear strategy — Section 8, student housing, or deep value-add rehabs. The 2.29% cap rate at median prices is tight, so success depends on buying below market, forcing appreciation through renovation, or accessing above-market rent streams through niche tenant bases.

Deal Criteria for Barre

Target properties priced 15-25% below the $380,000 median — around $304,000 or less. At this price point with $1,540/mo rents, your cap rate improves to roughly 3.5%. Factor in 1.59% property taxes ($6,042/yr), budget 5% of gross rent for maintenance, and underwrite to a 3.8% vacancy rate. On a 20% down conventional loan at 7%, monthly PITI will run approximately $2,625.

Risks and Considerations

Property taxes at 1.59% are notably high — this is a significant drag on NOI that some investors underestimate. Higher price points mean more capital at risk and tighter cash flow margins — ensure you have adequate reserves. Every deal should be evaluated individually using our calculator tools. Median data provides a starting point; actual returns depend on the specific property, financing, and your management approach.

Next Steps

Run the numbers on a specific Barre property using our cap rate calculator (pre-filled with Barre data). Compare Barre against similar markets in the Northeast region. If you're considering a value-add approach, try our BRRRR calculator to model a rehab scenario.

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How Barre Compares

Barre vs Vermont state average and national average across key investment metrics. Barre's cap rate is below both benchmarks — deal sourcing is critical here.

Metric
Barre
Vermont Avg
National Avg
Cap Rate
2.29%
2.64%
3.81%
Median Price
$380K
$398K
$333K
Median Rent
$1,540
$1,743
$1,524
Property Tax
1.59%
1.59%
1.08%
Vacancy
3.8%
3.8%
5.6%
Pop. Growth
0.3%/yr
0.3%/yr
0.9%/yr

Nearby Northeast Markets

City
Cap Rate
Price
Rent
Tax
Barre, VT
2.3%
$380K
$1,540
1.59%
Hartford, CT
3.1%
$380K
$1,890
1.68%
Wilmington, DE
4.3%
$375K
$1,860
0.56%
Philadelphia, PA
3.5%
$375K
$1,860
1.36%
Lancaster, PA
2.4%
$375K
$1,510
1.35%

Frequently Asked Questions

Is Barre, VT a good place to invest in rental property?
Barre has an estimated cap rate of 2.29%, which is below the national average of 3.81%. With median home prices at $380K and rents of $1,540/mo, pure cash flow investing in Barre is challenging at median prices, but value-add strategies can work. Population growth of 0.3% and 3.8% vacancy rate indicate healthy tenant demand.
What is the average cap rate in Barre?
The estimated cap rate for Barre is 2.29%, based on median home prices of $380K, median rents of $1,540/mo, a 1.59% property tax rate, and 3.8% vacancy. This compares to a 2.64% average across Vermont and 3.81% nationally. Cap rates for individual properties will vary based on purchase price, actual rents, and property condition.
How much does a rental property cost in Barre?
The median home price in Barre is $380,000, which is 14% above the national average of $333,419. A 20% down payment would be approximately $76,000. Investment properties in Barre range significantly — targeting properties 15-25% below median can improve your cap rate substantially.
What are Barre property taxes for investors?
Barre's effective property tax rate is 1.59%, which is above the Vermont average of 1.59% and above the national average of 1.08%. On a $380K property, annual taxes are approximately $6,042 ($504/mo). Higher property taxes are one of the largest operating expenses — model this carefully.
Full Barre Analysis →Cap Rate CalculatorBRRRR Calculator

Explore Barre & Related Markets

More Barre Guides

Rent AnalysisProperty Tax GuideCost of Living & AffordabilityAppreciation & Growth ForecastNeighborhood Investment Guide

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