Department of Housing and Community Development Releases the Latest Vermont Five-Year Housing Needs Assessment

For Immediate Release
August 29, 2024

Department of Housing and Community Development Releases the Latest Vermont Five-Year Housing Needs Assessment
Housing Stock and Affordability Remain Leading Factors in Impacting Housing Needs

Montpelier, Vt. - The Department of Housing and Community Development (DHCD) is announcing today the publication of the Vermont 2025-2029 Statewide Housing Needs Assessment, a five-year document the U.S. Department of Housing and Urban Development (HUD) requires from government entities that receive federal funding. The findings in the report show Vermont's statewide housing shortage remains and the affordability gap is growing as costs stretch Vermonters' budgets thin.

"Vermont's affordability crisis is directly tied to a lack of housing," said Governor Phil Scott. "We cannot successfully grow our economy, address significant challenges in our healthcare and education systems, or improve quality of life for Vermonters without an adequate supply of housing across the entire state. My Administration is committed to improving and increasing our housing stock, which this Housing Needs Assessment shows is drastically needed."

DHCD contracted with the Vermont Housing Financing Agency (VHFA) to complete the Vermont 2025-2029 Statewide Housing Needs Assessment. VHFA also completed the Vermont 2020-2024 Housing Needs Assessment and provides robust housing and demographic data online.

Key Findings in the 2025-2029 Report:

• Vermont is likely to need an additional 24,000 to 36,000 homes by 2029.
• Between 2019 and 2023, the purchase price for single-family homes increased 38%.
• Between 2019 and 2023, the purchase price for mobile homes with land increased by 37%.
• Half of all Vermont renters spend more than 30% of their income on housing.
• One quarter of all Vermont renters spend more than 50% of their income on housing.
• The portion of Vermont households that own their homes has remained fairly constant since 2010 at 70-72%.

The Housing Needs Assessment, along with the mandated 2024 Fair Housing Analysis (expected to be published this fall by DHCD), informs the statewide Consolidated Plan that HUD approves for federal funding. The Housing Needs Assessment is also increasingly used by state and local officials to inform policy and spending decisions that address housing needs in our communities.

"Our housing policy should be about creating more opportunities for Vermonters to be able to find a place to live," said DHCD Commissioner Alex Farrell. "Taxpayers dollars alone is not enough to build at least 24,000 units in the next five years, so we need to work with our public and private sector partners to accelerate unit generation in every corner of the state."

To see the Vermont 2025-2029 Housing Needs Assessment click here. On that page, you will also find previous Housing Needs Assessments.

You can also view Fair Housing documents here.

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