Quarterly Market Review
Chittenden County & Stowe Real Estate Analysis, July-September 2025
As we move through the final quarter of the year,
the Vermont real estate market continues to evolve in ways that reflect both national economic shifts and local lifestyle trends. Across Chittenden County and Stowe, buyer behavior remains influenced by interest rates, inventory scarcity, and the enduring draw of Vermont’s quality of life. Whether you’re watching for investment opportunities, looking to upsize, or preparing to list your home, this Q3 data and trend analysis paints a picture of where things are heading next.
Single Family Market Overview
KEY: “Greater Bulington” includes the towns of Burlington, South Burlington, Winooski, Essex (Junction and Town), Colchester, Shelburne and Williston.
# Sold = total number of sales in that area for that month; Ave. Sale Price = all sales in the area, averaged; Ave. DOM = Average Days on Market
Not surprisingly, the single-family market is dominated by Greater Burlington, the most populated area. Somewhat surprisingly is the ratio of available properties to those sold. In recent years homes were snapped up as quickly as they hit the market, but a cooling down of the red-hot market is currently taking place. As of this writing, there are 228 single family homes on the market.
Condo Market Overview
Please Note: The Condo Days on Market (DOM) for August and September are skewed because of new construction projects that were on the market for quite some time because, ya know, they had to build. The 17 and 26 DOM for August and September, respectively, exclude those outliers.
Entry-level buyers continue to target the condo market as affordability challenges persist in the single-family segment. That being said, the luxury and vacation condo market remains aspirational for many.
Those looking outside Greater Burlington for a condo will struggle to find any available inventory, as there simply aren’t that many condo developments - or nearly as many as in Greater Burlington - that even exist.
What This Means for Buyers
For buyers, the landscape remains competitive, but not impossible. Longer days on market and price stabilization in some submarkets mean more negotiating room than we’ve seen in recent years. Still, well-priced homes in desirable locations move quickly. Pre-approval remains key, and buyers who can be flexible on timing or location have more leverage than they might think.
In short: the Vermont market still rewards preparedness. Have your financing lined up, know your numbers, and move with confidence when the right property hits.
What This Means for Sellers
For sellers, the story continues to be one of measured opportunity. While the frenzy of 2021–22 has cooled, pricing power remains strong, especially in well-maintained homes and those with updated interiors or energy efficiency improvements. With fewer homes on the market, smart sellers who price strategically and present beautifully (inside and out) continue to attract serious buyers.
Professional marketing, including video, staging, and a strong digital presence, is still making the difference between sold and stale.
Multi-Family Market
Again we see Greater Burlington dominate the stats.
Investor demand remains resilient despite higher borrowing costs. Burlington and Winooski duplex and triplex properties continue to see strong returns with low vacancy rates.
What This Means for Investors
For investors, the long game in Vermont real estate remains compelling. Rising rents, limited new inventory, and stable demand for both residential and commercial space provide a solid foundation for long-term value growth. The key challenge lies in financing, as higher rates compress short-term returns. Savvy investors are focusing on properties with value-add potential, strong location fundamentals, and opportunities for energy upgrades or unit expansion.
Mortgage Rate Insights by Other Brian
We asked our friends at Fairway Home Mortgage to give us their take on recent activity. Loan Officer Brian Vaughan of the Vaughan McHenry Team was happy to oblige:
From early August to early October, average mortgage rates fell from the upper-6% range to the low-6% range. That drop came mostly from weak jobs reports showing little to no job growth - a sign the economy is slowing. A slower economy means less spending, which eases inflation, and mortgage rates tend to follow inflation.
In short: what's bad for the economy is usually good for mortgage rates.
The slide paused after the late-September Fed meeting. Although the Fed cut its benchmark rate by 0.25%, Chair Jerome Powell's cautious comments disappointed investors and nudged rates slightly higher.
Soon after, the government shutdown delayed key economic data releases. With those reports on hold, rates will likely hover near current levels until the data flow resumes - at which point a flood of backlogged information could cause sharper rate swings.
Thanks, Other Brian!
Local Construction Projects
The local landscape is changing, like literally. A few key housing developments worth watching this quarter include:
Downtown Burlington Project aKA “Burlington Square”
This mixed-use project offers hotel and commercial spaces, along with 53 apartments on the top floors, 8-11. These include studios, one- and two-bedroom units. They’re now leasing, with rental rates from $2,050 to $6,800 per month.
The other building is still under construction and is slated for completion in Fall 2027.
Now open!
Winooski Hotel: A major hospitality addition set to reshape the city’s riverfront area
Another mixed-use project is happening in Winooski, just two blocks from the Rotary, and less than a block from Dwellness by Steinmetz.
This project has separated the hotel and “work force” affordable apartments and will have a courtyard between them, and a large shared parking garage, a rooftop bar and retail/ restaurant spaces.
This project is slated for completion by Spring/ Summer 2026.
The project is a combination hotel, parking garage and “work force” housing community.
Former Church Site Redevelopment
The developer of this project located right across from the new Burlington Square and next to the Downtown Transit Center, is being rather secretive. As of now, there haven’t been any official plans submitted to the City nor has the developer revealed precisely who they are or what they plan to do… We’ll await with bated breath!
All we know for sure is the Cathedral of the Immaculate Conception is no more.
My Take on the Market
As 2026 approaches, Vermont’s real estate market continues to show both resilience and restraint. While affordability challenges and borrowing costs remain front of mind, the underlying demand for the lifestyle Vermont offers isn’t going anywhere anytime soon.
Expect a winter market that rewards strategic moves: motivated sellers, creative financing, and buyers who can look beyond the headlines.
No matter which side of the table you’re on, there’s opportunity here. You just need to know where to look.
Thanks for reading.
Your Dwellness Consultant,
Brian Steinmetz
