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MarketsVermontBenningtonRental Property Investment Guide

Rental Property Investment Guide: Bennington, VT

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

Cap Rate
2.58%
Median Price
$360K
Rent/Mo
$1,550
1% Rule
0.43%
Fails

Market Snapshot

Bennington sits in the Northeast with a population of 50,000 growing at 0.3% annually. The median home costs $360,000 while rents average $1,550/mo, producing an estimated cap rate of 2.58%. Cash flow investing here requires creative strategies like BRRRR or value-add approaches.

Who Should Invest Here

Bennington works best for experienced investors with a clear strategy — Section 8, student housing, or deep value-add rehabs. The 2.58% 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 Bennington

Target properties priced 15-25% below the $360,000 median — around $288,000 or less. At this price point with $1,550/mo rents, your cap rate improves to roughly 3.8%. Factor in 1.59% property taxes ($5,724/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 $2,492.

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 Bennington property using our cap rate calculator (pre-filled with Bennington data). Compare Bennington 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 Bennington Compares

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

Metric
Bennington
Vermont Avg
National Avg
Cap Rate
2.58%
2.64%
3.81%
Median Price
$360K
$398K
$333K
Median Rent
$1,550
$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
Bennington, VT
2.6%
$360K
$1,550
1.59%
Springfield, MA
3.9%
$360K
$1,900
1.22%
Dover, DE
3.9%
$365K
$1,690
0.55%
Allentown, PA
3.5%
$350K
$1,770
1.38%
Albany, NY
2.7%
$350K
$1,610
1.68%

Frequently Asked Questions

Is Bennington, VT a good place to invest in rental property?
Bennington has an estimated cap rate of 2.58%, which is below the national average of 3.81%. With median home prices at $360K and rents of $1,550/mo, pure cash flow investing in Bennington 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 Bennington?
The estimated cap rate for Bennington is 2.58%, based on median home prices of $360K, median rents of $1,550/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 Bennington?
The median home price in Bennington is $360,000, which is 8% above the national average of $333,419. A 20% down payment would be approximately $72,000. Investment properties in Bennington range significantly — targeting properties 15-25% below median can improve your cap rate substantially.
What are Bennington property taxes for investors?
Bennington'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 $360K property, annual taxes are approximately $5,724 ($477/mo). Higher property taxes are one of the largest operating expenses — model this carefully.
Full Bennington Analysis →Cap Rate CalculatorBRRRR Calculator

Explore Bennington & Related Markets

More Bennington Guides

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

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Providence, RI$505K · $2,090/mo
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Schenectady, NY$350K · $1,610/mo
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