Cost of living in New Mexico: Affordable housing options available statewide. Lower utility costs compared to national average. Groceries moderately priced. Reliable public transportation savings. Reasonable healthcare expenses. Limited sales tax exemptions. Variable property taxes by county. Entertainment and dining costs moderate. Economical educational expenses. Cheaper childcare services generally.
Affordable housing options available statewide.
In New Mexico, affordable housing options are scarce, with a significant decline in affordable rental units since 2020 and a substantial increase in rents since 2017, leaving nearly half of all renters cost-burdened. The state has introduced initiatives like the Opportunity Enterprise Housing Development Program to address these issues, providing low-cost financing for workforce housing and traditional affordable housing projects.
Lower utility costs compared to national average.
New Mexico's average utility cost of $342 per month slightly exceeds the national average of $328 per month; however, the state's electricity costs stand out for being relatively low. Specifically, the average electricity bill in New Mexico is only $104 per month, which is lower than many neighboring states and the national average. For a detailed analysis, you can explore the utility costs in New Mexico to understand how these expenses compare to other states.
Groceries moderately priced.
In New Mexico, the average family spends around $286 per week on groceries, which is moderately high but stable. Some food items, such as ground beef and milk, have shown slight decreases or stable prices over recent years. However, others like snacks have experienced significant increases. For more detailed insights on the cost of living in the state, you can visit the website discussing the New Cost of Living in New Mexico. Understanding these dynamics is crucial for budgeting and anticipating changes in household expenses.
Reliable public transportation savings.
New Mexico offers reliable and affordable public transportation options, including the Rail Runner Express, which connects Santa Fe, Albuquerque, and Belen with over 60 bus connections, and various city-specific bus systems like ABQ Ride and Santa Fe Trails, helping residents save on transportation costs by providing alternatives to personal vehicle use. For more detailed information about these transportation services, visit the New Mexico Travel Website.
Reasonable healthcare expenses.
Healthcare services in New Mexico, such as doctor check-ups and dentistry, cost 2% lower than the national average, contributing to the state's overall lower cost of living. For more detailed information on how these expenses compare to the rest of the nation, consider visiting the Cost of Living Calculator, which provides insights into various aspects of living in New Mexico. This tool can be especially useful for those considering a move to the state or simply curious about how their expenses stack up.
Limited sales tax exemptions.
In New Mexico, there are specific exemptions from the Gross Receipts Tax, including receipts from selling agricultural products, wages and salaries, transactions with Indian nations or tribes, and sales to certain non-profit organizations and government agencies. These exemptions do not require reporting, but businesses with deductible receipts must register and maintain proof of deductions. To learn more about these exemptions and requirements, visit the New Mexico Gross Receipts Tax Exemptions page.
Variable property taxes by county.
Property tax rates in New Mexico can vary significantly from one county to another, primarily due to differences in local government needs, the taxable value of properties, and special districts. For instance, Bernalillo County has an average effective property tax rate of 1.18%, which contrasts with Santa Fe County's rate of 0.64%. Some counties, such as McKinley, have even higher rates reaching up to 2.79%. To explore more detailed information about these variations and understand how they might affect your property, you can visit the comprehensive resource at New Mexico Property Tax.
Entertainment and dining costs moderate.
In New Mexico, entertainment and dining costs are generally moderate, with goods and services, including non-necessary expenses like entertainment and grooming services, being 2% lower than the national average. For specific dining experiences, such as the Flamenco Dinner Show in Santa Fe, the cost includes a $70 Prix Fixe menu plus a $40 cover charge per person, excluding drinks, tax, and gratuity. For more detailed comparisons of living expenses, you can explore the Cost of Living Calculator to assess how the state's costs measure against national standards.
Economical educational expenses.
In New Mexico, economical educational expenses are facilitated through expanded 529 education savings plans, allowing up to $10,000 annually for private K-12 tuition, $10,000 for student loan repayments, and coverage for apprenticeship-related expenses, all with tax-advantaged benefits. To learn more about these expansions and how they benefit residents, visit the Education Plan website, which offers detailed information on the most recent legislative changes and their implications for educational financing in New Mexico.
Cheaper childcare services generally.
In New Mexico, childcare services have become significantly cheaper or even free for many families due to the state's expanded child-care subsidy program. This initiative includes families earning up to 400% of the poverty line and waives all co-pays, making childcare free for qualified families. For more details, you can visit the comprehensive article on the Child-Care Subsidy Program on the High Country News website, which explores how the program is transforming access to affordable childcare in New Mexico.