Vermont recorded a slight decrease in its homeless population during the January 2026 point-in-time count, WCAX reported.
The annual tally, which serves as a yearly snapshot of the unhoused population, found 3,286 people experiencing homelessness in the state. This represents a nearly 3% decline from the 2025 count, according to a report released Tuesday.
While the dip mirrors a broader national trend—the U.S. Department of Housing and Urban Development reported a more than 6% decrease in homelessness across the country last week—local advocates remain cautious about the implications of the data.
“On its face, this is an encouraging finding,” said Kim Anetsberger, director of the Lamoille Community House and co-chair of the Balance of State Continuum of Care, during a press conference. However, she said that the tally provides limited insight because it is designed as a single-night snapshot rather than a comprehensive census of everyone experiencing homelessness throughout the entire year.
Rising numbers among children and the unsheltered
Despite the overall drop, instability is increasing for specific demographics within the state. The number of people under the age of 18 experiencing homelessness rose by 5% to 667 individuals. According to Vermont Public, these children represent nearly one in five of all people currently experiencing homelessness in Vermont.
The data also shows a shift in how people are living. While the total count fell, the number of people living without shelter—those sleeping in vehicles or outdoors—increased by 5% to 284 people. Chittenden County saw the largest jump in this unsheltered category. Previous data indicates that the number of people sleeping outside in Vermont has more than doubled since before the pandemic.
The divergence between the total count and the unsheltered count has sparked debate over the state’s current strategy. Advocates have pointed to the ongoing scale-back of the state’s motel voucher program as a factor in the rise of people sleeping outdoors, Vermont Public reported.
| Demographic Group | 2026 Count | Change from 2025 |
|---|---|---|
| Total Homeless Population | 3,286 | ~3% decrease |
| Unsheltered Individuals | 284 | 5% increase |
| Children (Under 18) | 667 | 5% increase |
Vermont transitions away from hotel and motel emergency shelters
A central tension in Vermont’s approach involves the transition away from using hotels and motels as primary emergency shelters. Of the 3,200 people experiencing homelessness, 2,100 were living in hotels and motels, a method the state has relied on heavily since the pandemic. Under a bipartisan agreement between the governor and Democrats, the state is attempting to move people toward more permanent, appropriate housing settings.
This shift has created friction between the Scott administration and service providers. Some advocates argue that interim rules are making it harder for people to access emergency shelter, while lawmakers maintain the goal is long-term stability.
“Sheltering people in hotels by themselves is not the answer,” said Rep. Theresa Wood, D-Waterbury, who chairs the Human Services Committee.
Wood told WCAX that while the debate involves policy and money, the core issue remains the human beings affected by these decisions. She emphasized that the working poor—those earning minimum wage or slightly above—are being priced out of the rental market entirely.
While the January 2026 point-in-time count found a modest decrease in the number of people experiencing homelessness overall, it registered a jump in the number of unhoused children and an increase in people without shelter.https://t.co/dFnQttxCp6
Legislative split creates uncertainty for homelessness funding
As the state prepares for a shift in legislative power in January, the future of homelessness funding remains uncertain. Voters have elected a Democratic supermajority while reelecting Republican Gov. Phil Scott. This split will likely define how the state addresses the housing crisis in the coming session.
Rep. Wood stated she remains committed to the compromise bill regarding homelessness, though she did not specify if the Legislature intends to allocate more money for shelter expansion or housing. She noted her focus would be on preventing evictions and incentivizing owners of short-term rentals to convert them into affordable, long-term rentals for low-income Vermonters.
If the legislature and the governor reach a political impasse, Wood indicated that the supermajority would not be afraid to use its power to override a veto.
A panel of lawmakers is scheduled to meet next Thursday to determine if the Scott administration is fulfilling the intent of this year’s agreement.
The 2026 point-in-time count follows a period of rapid growth in Vermont homelessness driven by skyrocketing housing prices and thin rental vacancies in the years immediately following the pandemic.
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