%
CapRateCity
Free cap rate calculators for every US market
← All markets

Cap Rate Analysis: Burlington, VT

Investment metrics, interactive calculators, and data-driven analysis for Burlington rental properties.

Challenging for pure cash flow
Based on $420,000 median price and $1,750/mo median rent
Est. Cap Rate
2.42%
1% Rule
0.42%
Fails
GRM
20.0x
Price / Income
7.4x

Market Data

Median Home Price$420,000
Median Monthly Rent$1,750
Property Tax Rate1.59%
Population45,560
Population Growth0.3% / yr
Median Household Income$56,800
Vacancy Rate3.8%
Annual Appreciation2.5%

Cap Rate Calculator — Burlington

Pre-filled with Burlington medians. Adjust to match a specific property.

Property Details
$
$
3–8% typical
%
Monthly Expenses
1.59% rate
$
$
8–10% of rent
$
8–12% of rent
$
Cap Rate
1.92%Low
Net Operating Income ÷ Purchase Price
NOI / Year
$8,058
net operating income
Gross Rent Multiplier
20.0x
High (>15)
1% Rule
0.42%
✗ Fails
Monthly Cash Flow
$672
before debt service
Annual Breakdown
Gross Rental Income$21,000
Less Vacancy−$798
Effective Income$20,202
Less Operating Expenses−$12,144
Net Operating Income$8,058

Cash-on-Cash Return — Burlington

Factor in financing to see your actual return on invested capital in Burlington.

$
$105,000
%
%
years
$
taxes + ins + maint + mgmt
$
$
Cash-on-Cash Return
-10.60%Weak
Annual Cash Flow ÷ Total Cash Invested
Total Cash Invested
$117,600
$105,000 down + $12,600 closing
Monthly Mortgage
$2,054
on $315K loan
Monthly Cash Flow
$-1,039
after all expenses
Annual Cash Flow
$-12,463
before taxes
Cash Flow Breakdown
Monthly Rent$1,750
Less Expenses−$735
Less Mortgage−$2,054
Monthly Cash Flow$-1,039

Is Burlington a Good Place to Invest in Rental Property?

Burlington, VT has a population of 45,560 and has been growing at 0.3% annually — roughly in line with national trends, meaning demand is stable but not exceptional. The median home price of $420,000 paired with median rents of $1,750/mo produces an estimated cap rate of 2.42%.

Property taxes at 1.59% are notably high and represent a significant drag on cash flow — model this expense carefully, as it can make or break a deal. The vacancy rate of 3.8% is impressively low, indicating tight rental supply and strong tenant demand — favorable for landlords.

At a price-to-income ratio of 7.4x, homes cost about 7.4 times the local median income of $56,800. This elevated ratio means homeownership is stretched, supporting rental demand but limiting buyer pools. Home values have appreciated at roughly 2.5% annually. Steady appreciation means total returns will be primarily cash flow-driven — the more sustainable model for long-term wealth building.

Bottom line: At current median prices, Burlington is challenging for pure cash flow investing. Consider BRRRR strategies with below-market purchases, or look at neighboring metros with stronger price-to-rent ratios.

Run a BRRRR analysis for Burlington
Model a buy-rehab-refinance deal with Burlington data pre-loaded.
Open BRRRR Calculator →