Vermont’s residential market has maintained a level of stability that stands apart from national trends. Demand here is driven less by financial speculation and more by a consistent appetite for a particular way of life – and that distinction is keeping the state’s housing fundamentals intact even as other markets cool.
Darcy Handy, Co-Founder and Licensed Realtor at Elite Real Estate Partners of RE/MAX North Professionals, has spent seven years and roughly 300 transactions building her practice across northwestern Vermont. Her perspective offers a grounded view of what’s actually happening in one of New England’s more distinctive markets.
Lifestyle Over Speculation
Vermont attracts a different kind of buyer. Unlike markets where affordability or investment returns drive most decisions, the state draws people specifically seeking what it offers: outdoor recreation, tight-knit communities, proximity to small cities like Burlington, and a pace of life that’s harder to find elsewhere.
That lifestyle appeal has historically insulated Vermont from some of the sharper swings seen in larger metros. Property values have continued to appreciate even as other regions have seen pullbacks. “When interest rates increase, we don’t see a big shift in our market,” Handy notes. Inventory remains constrained compared to demand, though the gap has narrowed somewhat over the past year, continuing to support pricing even as buyers have become more deliberate.
Out-of-State Buyers
During the pandemic years, Vermont experienced a notable influx of out-of-state buyers relocating from urban centers in search of space and a slower pace. That wave has since settled, but hasn’t disappeared entirely. Handy still regularly works with buyers relocating from other parts of the country – often for family reasons, such as moving closer to aging parents.
The current buyer mix is broader than it might appear. Downsizers, buyers seeking multi-family properties for generational wealth building, and residents relocating within the state all make up a meaningful share of activity. Chittenden County, which includes Burlington and its surrounding communities, remains the most active market in the state, with Franklin, Grand Isle, Addison, Lamoille, and Washington counties rounding out the broader coverage area.
Sellers Adjust Slowly
The seller psychology that defined 2021 and 2022 – multiple offers within days, minimal preparation required – has largely faded, though some sellers have been slower to accept that reality. Properties that are well-maintained and properly marketed are still performing well. Those that aren’t are sitting.
Sellers now need to approach pricing and presentation far more strategically than during the peak frenzy years. “Buyers are definitely more discerning on what they want to buy,” Handy adds. “They want a move-in ready home that they don’t have to do renovations on.” Listings that linger tend to be those that weren’t adequately prepared before hitting the market – putting a premium on pre-listing work and professional presentation.
The digital side of that presentation has grown in importance. With buyers increasingly doing their research online before scheduling a showing, the quality of listing photos and accuracy of online syndication across platforms like Zillow have become meaningful factors in how quickly a property moves.
Deliberate Buyer Behavior
The frenzied pace of the pandemic-era market has given way to something more measured. Buyers are visiting properties multiple times before making offers, reinstating inspection and financing contingencies that were routinely waived just a few years ago, and approaching purchases with more analysis than emotion.
Handy describes the change as a return to a healthier norm – decisions are more informed and slower-paced, with buyers taking time to evaluate rather than reacting under pressure. Deals are still closing, but the timeline from first showing to signed contract has extended.
Investor Opportunities
For investors considering Vermont, opportunities and risks vary sharply depending on strategy. Multi-family properties in high-demand areas like Chittenden County represent the strongest opportunity, supported by consistent rental demand and relatively stable valuations.
Short-term rentals are a different matter. Regulatory pressure on Airbnb-style operations has been building at both the town and state level, creating uncertainty around taxation, licensing, and operational flexibility. For investors seeking predictable returns, that regulatory environment makes short-term rentals a riskier proposition than they were even a few years ago.
Market Outlook
Vermont’s market over the next year is likely to continue moving toward balance – less of a pure seller’s market than the past few years, but not a buyer’s market either. Buyers are gaining more negotiating power and more time to make decisions, but pent-up demand and limited inventory should keep the market from tipping decisively in their favor.
Sellers who properly prepare and price their homes should continue seeing solid results. The biggest risk for sellers is overestimating the market’s willingness to absorb overpriced or underprepared listings – a mistake that was easier to get away with two years ago.
As the market finds its new normal, both buyers and sellers will need to recalibrate expectations. Patience and preparation are becoming the defining traits of successful transactions in northwestern Vermont – a market that has always favored steady commitment over short-term speculation.
About the Expert: Darcy Handy is the Co-Founder and Licensed Realtor at Elite Real Estate Partners, covering northwestern Vermont including Chittenden County and surrounding Franklin, Grand Isle, Addison, Lamoille, and Washington counties.
This article is based on information provided by the expert source cited above. It is intended for general informational purposes only and does not constitute legal, financial, or real estate advice. Readers should conduct their own research and consult qualified professionals before making any real estate or financial decisions.
