Normally someone may work remotely in a more rural place for cheap housing, but some of the housing in Vermont isn't that cheap.
Burlington has some of the same housing issues that other cities in the county have. I would imagine the vast majority of people who would consider doing this plan would want to live near Burlington. Well, that means Burlington would need to address housing supply and affordability too.
What’s life like in Vermont?
As for rent, a nice 3BR goes for around 2-3k/mo in Burlington and gets substantially cheaper the farther south you look. It's not the cheapest nor most expensive state to live in, but the price:quality of life ratio is excellent.
But let me tell you about Montpelier, the smallest state capitol in the country and the only one without a McDonald's. I think it is the best small community in the world, however this is coming from someone who has not lived many places. Near Montpelier things are a little cheaper (depending on how near) and if you go out 15 minutes drive or more prices begin dropping drastically. Montpelier has at least one of everything you need: Mexican place, one sushi restaurant, one pharmacy, one grocery store, one co-op, etc. It does not have much for shopping, which is true of all of central Vermont but there is a Walmart in neighboring Berlin.
If you want somewhere close to cool community events but super-cheap look into Barre, which is Montpelier's sister community--but it's that sister who has had a bit of a 'failure to launch' and everyone suspects is doing drugs. Houses are dirt cheap in Barre and it is 15-minutes drive to cool things in Montpelier. And while there are more 'bad elements' in Barre, it also has a ton of really cool people not on drugs, raising families and I believe things are starting to happen there.
Both Montpelier and Burlington are great for liberal-minded, community-oriented persons, Montpelier being a bit more into it. Burlington seems to be mostly made up of out-of-staters and can seem quiet transient as they come and go, where more people seem to stick around longer in Montpelier. If you are like this and live in Barre you will have to seek out your kind, but there are plenty there.
Vermont is great if you love the idea of hiking, snowshoeing, cross country skiing, of owning a few acres with your own woods on them. Vermonters, especially rural Vermonters, pride themselves on minding their own business and letting everyone do whatever they want as long as they aren't bothering anyone else too much. Also we just legalized growing a few pot plants at home for your own recreational use, if you're into that.
Source: Vermont resident with a local IT career