Thinking of moving to New Mexico? The state has a $107.9 billion economy, with growing jobs in the food preparation, healthcare, and construction sectors. With its affordable housing and year-round pleasant climate, it’s a great place to move in 2025.
But the move comes with trade-offs. Due to its arid climate, New Mexico faces a high risk of wildfires and frequent droughts. Still, many are choosing cities like Albuquerque, Santa Fe, and Las Cruces for their lower living costs and better quality of life.
👉 Download the Houzeo mobile app and start your New Mexico home search today.
AT A GLANCE:
- New Mexico has a $107.9 billion economy, with growing jobs in the food preparation, healthcare, and construction sectors.
- The cost of living in New Mexico per month is 5% below the national average. Housing in the state also costs significantly less.
- With a combined state and local sales tax rate of 7.67%, the state has one of the highest sales tax burdens in the country.
- Expect to pay between $2,200 and $6,400 for your move, depending on how far you’re moving and the size of your belongings.
- New Mexico has a dry, arid climate with low annual precipitation, making drought and wildfires common concerns in the state.
3 Reasons to Move to New Mexico
Why settle for just sunny beaches when you can also enjoy the high life? Browse through over thousands of mansions, high-rise penthouses, and spacious luxury homes for sale in New Mexico, and enjoy the finest the state has to offer.
1. Affordable Housing
New Mexico has one of the most affordable housing markets in the country. The median house price in New Mexico is $315K, which is 14.5% lower than the national average. Rent in New Mexico is also 17% less expensive.
Recent trends show that over 22% of listed homes in the state have seen a price drop. A property spends an average of 77 days on the market, compared to the 56-day US average. These market conditions give buyers more negotiating power to secure a better deal.
2. Jobs in New Mexico
The Land of Enchantment has over 51,000 new job openings and aims to add 95,632 more jobs in New Mexico by the end of 2033. Food prep, healthcare, and construction are among the fastest-growing job sectors in the state.
- Food Prep & Serving: With over 13,200 workers currently working across the state, this is the largest and one of the fastest-growing job sectors in New Mexico. The roles of cooks and counter workers are consistently in high demand.
- Healthcare: The healthcare sector in New Mexico employs over 11,930 people, and is expected to grow by 21.8% over the next few years. High-demand roles include home health & personal care aides, as well as registered nurses.
- Construction & Extraction: With over 7,270 workers, the construction and extraction sector is the 3rd-fastest-growing job sector in the state. Maintenance and repair workers, and heavy & tractor-trailer truck drivers continue to be in high demand.
3. Retirement-Friendly Policies
Retirement in New Mexico is an appealing choice for many, thanks to its retiree-friendly tax policies. The state does not tax Social Security benefits for individuals earning less than $100,000 or couples earning less than $150,000.
Railroad Retirement benefits are fully exempt, and New Mexico has no estate or inheritance taxes. Retirees aged 65 or older can also apply for a property tax valuation freeze. This can become permanent after 3 years and offer long-term financial relief.
Pros and Cons of Living in New Mexico
Here are the benefits and drawbacks of relocating to New Mexico:
| ✅ Pros | ❌ Cons |
|---|---|
| 1. You have growing job opportunities in the food preparation, healthcare, and construction sectors. | 1. Summers in New Mexico are very hot, with temperatures ranging from 56°F to 93°F. |
| 2. The cost of living in New Mexico is 5% below the US average. Housing costs are also significantly lower. | 2. New Mexico sees 7.8 violent crimes per 1,000 residents, compared to 4 incidents nationally. |
| 3. With over 167 sunny days yearly, outdoor opportunities in New Mexico are abundant. | 3. Job options in rural New Mexico are limited. |
Things to Know Before Moving to New Mexico 📌
Here are some things to keep in mind before relocating to New Mexico:
1. Cost of Living in New Mexico
The cost of living in New Mexico is 5% lower than the national average. This means you’ll spend less on daily expenses like utilities, food, and transportation. However, healthcare can get expensive.
New Mexico is an attractive option compared to more popular states like California and New York, where living costs are 58% and 30% above the national average.
2. Infrastructure and Transportation
New Mexico faces several challenges with its aging and overburdened infrastructure. 56% of the roads in the state are in poor or fair condition. Additionally, there are 222 high-hazard dams located across the state.
However, state officials are actively working to improve its infrastructure. The state is expected to receive around $2.5 billion in federal funding for highways, and an additional $225 million to improve bridge infrastructure.
3. Climate Concerns
New Mexico has a dry, mild climate. In summer, the days are hot, while the nights are cold. Temperatures during summer range from 56°F to 93°F. On the other hand, winters see temperatures between 9°F and 27°F, with mild snow in mountainous regions.
However, due to its warm and dry climate, New Mexico is prone to wildfires, flooding, thunderstorms, large hail, and tornadoes. It’s crucial to check FEMA-designated high-risk zones and local guidelines before buying a house in New Mexico.
4. Laws and Regulations
- Vehicle and Driver’s License Registration: You have 60 days to register your vehicle and obtain a driver’s license after moving to New Mexico. You will need proof of residency, insurance, and title documents for registration.
- Moving to New Mexico with a Gun: No license is required for open carry of a firearm for adults aged 19 and up. However, carrying a concealed firearm requires a license, which is issued by the state.
- Recreational Marijuana: Adults aged over 21 years can possess up to 2 ounces and cultivate up to 6 mature plants for personal use. Distribution of any amount is illegal, and any violation of the law can lead to penalties and jail time.
- Pet Registration Laws: New Mexico doesn’t have a statewide requirement for pet registration or vaccination, but local regulations vary by city. Check your city’s official website for specific rules and requirements.
5. Tax Burden in New Mexico
New Mexico is known to have some of the highest individual tax burdens in the country. Here’s a detailed breakdown:
- Income Tax in New Mexico: The state has a graduated income tax rate ranging from 1.70% to 5.90%, depending on your annual income. Cities in New Mexico are not allowed to levy any local income taxes.
- Sales Tax in New Mexico: There’s a flat 4.875% state sales tax in New Mexico. However, cities often levy an additional local sales tax, which brings the combined state sales tax rate up to 7.67%.
- Property Tax in New Mexico: The state levies a 0.61% property tax on the assessed value of your residential property. Cities in New Mexico often levy an additional local property tax, so make sure to visit your city website for specific details.
How to Move to New Mexico?
Before buying a house in New Mexico, follow this step-by-step guide for a seamless move:
1. How to Plan Your Logistics?
- If you want to skip all the heavy lifting, consider hiring a professional mover. You can expect to pay around $80 per hour. However, this amount can vary depending on the size of your belongings and the distance.
- If you’re big on DIY, renting a truck is a better option. The average cost to rent a mid-sized truck with a load capacity of 4,000 to 6,000 lbs ranges between $40 and $80 per day. Be sure to factor in additional charges for mileage, fuel, and insurance.
2. How to Set Up Utilities?
Getting your utilities set up is a straightforward process in New Mexico:
- Electricity and Gas: Public Service Company of New Mexico (PNM) is the primary electricity provider, and New Mexico Gas Company (NMGCO) is the largest natural gas provider. Visit their websites to check service availability in your area and set up an account.
- Water and Sewer: In New Mexico, these services are usually handled by local or regional utility providers. Check your city’s official website to find the right provider for your area.
- Internet and Cable: Major providers in New Mexico include Xfinity, CenturyLink, and T-Mobile. Monthly costs typically range from $20 to $80, depending on the plan and provider.
3. How to Enroll Your Kids in Schools in New Mexico?
Most schools in New Mexico offer online registration:
- For Kindergarten: Children must be at least 5 years old by September 1 to enter kindergarten. You will need the child’s birth certificate, vaccination records, proof of residency, and a photo ID.
- For Older Kids: You will need all the above-mentioned documents, in addition to transcripts and a withdrawal form from their previous school. If your kids are high school athletes, check their eligibility first to avoid any complications.
- Transfers and Special Cases: These are usually managed by the local school districts in New Mexico. You can visit their website or directly contact their office for assistance in the process.
4. How to Transfer Your Job or Find a New One?
- Work From Home: Over 20% of employees in New Mexico work from their homes. If you work remotely, you can ask your employer about state-specific tax and employment laws.
- Find a New Job: New Mexico Workforce Connection is a state-run portal for job matching, career planning, and unemployment benefits. You can also visit job portals like Indeed and LinkedIn to search and apply for jobs in your city.
5. How to Find the Perfect House?
The New Mexico housing market leans in favor of buyers. 22.5% of listed homes have seen price drops, while inventory has increased by 19.7%. This gives buyers more negotiating power to secure better deals.
- In popular cities like Albuquerque, Santa Fe, and Las Cruces, the average rent is around $1,750. It depends on the neighborhood you’re moving to, and the available amenities.
- If you plan to buy a home in a popular city, homes for sale in Albuquerque cost around $343K. On the other hand, cities like Portales and Deming offer more affordable options, with median home prices of $134K and $159K respectively.
Should I Move to New Mexico?
Yes, you should definitely move to New Mexico. The state combines new opportunities, a good quality of life, and friendly communities. However, relocating to New Mexico isn’t easy. It takes time, careful planning, and effort to find the perfect place to call your home.
With Houzeo, New Mexico’s best home-buying website, buying a house in the Land of Enchantment is simple. You can browse through the latest listings, save your favorites, schedule showings, and submit offers, all at your fingertips.
» NEED MORE CLARITY? Read these exclusive Houzeo reviews and learn why the platform is the best in America’s competitive housing market.
Data Sources
To help you make a smart move to New Mexico, we analyzed key data points that impact relocation costs, lifestyle, and employment prospects. We’ve sourced reliable, up-to-date data across the following categories:
- Statistical Atlas: Major employers
- Zillow: Average rent, Median home price
- MoveBuddha: Estimated moving costs
- Thisoldhouse: DIY truck rental rates, Average cost of moving
By backing our insights with real numbers, we give you a clear picture of what it really takes to relocate to New Mexico, long before the moving boxes are packed.
