Cost of Living in New Mexico [2025]
New Mexico is calling your name if you've got your sights set on wide-open skies, desert landscapes, and a rich cultural tapestry woven with Native American, Hispanic, and Anglo influences. The Land of Enchantment offers a combination of scenic beauty and unique traditions—but also a cost of living that makes it an appealing choice for renters and homeowners alike.
From the artsy streets of Santa Fe to the relaxed desert vibes of Las Cruces, New Mexico blends affordable living with soul-stirring scenery. But how affordable is it? Let’s dig into what life really costs in New Mexico and why it could be the budget-friendly move you’re looking for.
Cost of Living in New Mexico
What Is the Cost of Living in New Mexico?
Good news for renters: New Mexico offers a more affordable lifestyle compared to many U.S. states. According to the latest data from Sperling’s Best Places, New Mexico’s cost of living is 11.6% lower than the national average, with especially affordable housing options. Here’s a quick look at how key categories compare and what to expect when budgeting for your new lifestyle:
| Cost of Living | New Mexico | U.S. |
|---|---|---|
| Overall | 88.4 | 100 |
| Grocery | 93.3 | 100 |
| Health | 82.6 | 100 |
| Housing | 84.3 | 100 |
| Median Home Cost | $267,100 | $338,100 |
| Utilities | 100.4 | 100 |
| Transportation | 84.6 | 100 |
| Miscellaneous | 85.5 | 100 |
There are some exception of home prices aggressively climbing in some metro areas, but overall, New Mexico offers more financial breathing room compared to the rest of the national average.
Where Is the Cost of Living Highest in New Mexico?
Let's take a look at where the cost of living in New Mexico is the highest. Santa Fe tops the charts as one of the priciest places to live in New Mexico. According to the latest data, Santa Fe is 12.0% higher than the U.S. average and 26.7% higher than the state average.
It's easy to se why with its vibrant art scene, historic adobe architecture, and mountain surroundings that attracts transplants seeking a creative and relaxed lifestyle.
| Cost of Living | Santa Fe | NE | U.S. |
|---|---|---|---|
| Overall | 112.0 | 88.4 | 100 |
| Grocery | 101.0 | 92.2 | 100 |
| Health | 82.2 | 82.6 | 100 |
| Housing | 161.1 | 84.3 | 100 |
| Median Home Cost | $541,100 | $267,100, | $338,100 |
| Utilities | 99.6 | 100.4 | 100 |
| Transportation | 80.2 | 84.6 | 100 |
| Miscellaneous | 107.6 | 85.5 | 100 |
On the upside, Santa Fe’s elevated cost is balanced by its quality of life. Locals enjoy walkable streets, galleries, mountain access, and vibrant culture—all wrapped in adobe charm.
Where Is the Cost of Living Lowest in New Mexico?
If you're looking for a more affordable lifestyle in New Mexico, cities like Clovis and Hobbs stand out as top choices. These smaller communities offer affordable housing, minimal congestion, and strong ties to agriculture and industry.
Take Clovis, for example, which has a cost of living 25.3% lower than the national average and 15.5% lower than the state average.:
| Cost of Living | Clovis | NE | U.S. |
|---|---|---|---|
| Overall | 112.0 | 88.4 | 100 |
| Grocery | 101.0 | 92.2 | 100 |
| Health | 82.2 | 82.6 | 100 |
| Housing | 161.1 | 84.3 | 100 |
| Median Home Cost | $541,100 | $267,100, | $338,100 |
| Utilities | 99.6 | 100.4 | 100 |
| Transportation | 80.2 | 84.6 | 100 |
| Miscellaneous | 107.6 | 85.5 | 100 |
You can stretch your dollar farther, but might need to get creative with remote work or be up for a commute or starting your own business in smaller towns in New Mexico.
How Much Is Rent in New Mexico?
Now let's get into the rental rates in New Mexico, which are generally lower than national averages. As of our latest data from April 2025, the overall rent in New Mexico is $1,094 a month, a one-bedroom apartment is $904, and a two-bedroom is $1,070. Rental prices will vary depending on the exact city or town you live, and the neighborhood.
| City | Median 1-Bedroom Rent | Median 2-Bedroom Rent |
|---|---|---|
| Overall | $904 | $1,070 |
| Santa Fe, NM | $1,236 | $1,548 |
| Albuquerque, NM | $991 | $1,268 |
How Much Does It Cost to Rent a 1-Bedroom in New Mexico?
According to our April 2025 data, renting a one-bedroom apartment in Nebraska's metropolitan areas costs an overall average of $991 per month. Here's a breakdown by city:
| City | Median 1-Bedroom Rent |
|---|---|
| Overall | $904 |
| Santa Fe, NM | $1,236 |
| Albuquerque, NM | $991 |
How Much Does It Cost to Rent a 2-Bedroom in New Mexico?
Renting a two-bedroom apartment in New Mexico will cost around $1,268 on average. Here are the figures for key areas:
| City | Median 2-Bedroom Rent |
|---|---|
| Overall | $1,070 |
| Santa Fe, NM | $1,548 |
| Albuquerque, NM | $1,268 |
How Much Does a House Cost in New Mexico
If you want to eventually transition into home ownership, you can find affordable options in New Mexico. Here are some of the home prices to expect in different areas:
| City | Median Home Price |
|---|---|
| Overall | $267,100 |
| Santa Fe, NM | $541,100 |
| Albuquerque, NM | $308,100 |
| Clovis, NM | $144,600 |
Santa Fe's housing market is still skyhigh, but most of the state offers prices below the U.S. national average of $338,100. You'll find home prices are high in areas like Santa Fe, but you'll score affordable options in more rural areas like Clovis.
What Salary Do You Need to Live in New Mexico?
Now that you have an idea of rental and home prices, you can figure out how to budget for your apartment. We recommend using the 30% rule, where no more than one-third of your income should go to rent. If you pay the average rent for a one-bedroom apartment of $904 in New Mexico, you'll need to earn at least $36,160 per year, $3,013.33 per month, or about $18,30 per hour.
It's also wise to consider MIT's living wage. Their latest data shows the living wage in New Mexico is $21.01 per hour. This figure reflects the bare minimum you need to cover the basics, from housing to food, medical care, transportation, and other essentials. It doesn't consider debt repayments, travel, or an emergency fund.
Now let's consider the U.S. Census Bureau data. Their latest research shows the median household income in New Mexico is $62,125 per year, $5,177.09 per month, or around $30.06 per hour. That's good news for renters when the cost of living is reasonably low, except in more expensive areas like Santa Fe.
How Much Does Transportation Cost in New Mexico?
Transportation in New Mexico will fluctuate significantly depending on where you live and how far you need to commute. According to MIT's living wage data, a single adult in New Mexico will spend an average of $9,690 per year on transportation and that figure goes up to $16,254 for two working adults and two children.
Public transportation isn't going to be widely available outside of areas like Santa Fe and Albuquerque. If you do live in the city, you can take advantage of buses and other public transportation options or ride shares. A monthly bus pass in Santa Fe is around $20 or $200 a year, making it a very affordable option. In Albuquerque, the city's ABQ RIDE bus system implemented a zero-fare program, making it a free option for all. To save the most money on transportation, choose an apartment near your work place and favorite nightlife outlets.
How Much Do Groceries Cost in New Mexico?
Leave some room in your budget to scoop up the delicious local fare in New Mexico, including locally roasted green chiles to fresh tamales. Hit up Farmer's Markets, local food trucks, and food stands to get fresh fare. Dining out won’t break the bank either. We looked at Numbeo's latest data to determine that a three-course meal for two at a mid-range restaurant (not including tip or alcohol) costs an average of:
- Albuquerque: $80
- Santa Fe: $75
- Las Cruces: $50
You'll save money on cooking at home and setting a grocery budget. A single adult in New Mexico will spend an average of $4,139 a year on food. A family of two working adults with two children will spend an average of $12,134 per year.
How Much Is Child Care in New Mexico?
If you have kids, child care is a major line item in your budget. According to MIT’s living wage data, the average childcare costs in New Mexico is $11,741 for one child and $22,559 for two children. That figure will change depending on whether or not you live in the heart of Santa Fe or a more rural area. You can also get creative and stagger your work hours with your significant other or invest in a nanny share with another family to reduce your costs.
How Much Does Healthcare Cost in New Mexico?
Your medical care is vital to your long-term health and keeping your finances in check. Fortunately, healthcare in New Mexico is below the national average. A single adult can expect to spend about $3,083 per year, while a family of four will likely pay around $8,954. You can also save morem by looking into telehealth options, rural healthcare, and free programs to make the most of your healthcare budget. The state also offers Turquoise Care, the New Mexico Medicaid Managed Care program that can help those in financial need.
How Much Are Utilities in New Mexico?
New Mexico is known for its sizzling hot summers and chilly dessert nights. Depending on the area of New Mexico you move to, the average highs are around 49°F in January with lows of 28°F. In July, you'll see highs in the mid 90s and lows of 70s.
Fortunately, utility costs in New Mexico remain pretty steady and close to the national average of $208.42 a month for electricity, heating, cooling, water, and garbage. We looked at Numbeo's data to get a look at what you might expect to pay monthly for basic utilities in your apartment:
- Albuquerque: $190.84 (+ $123.11 per month for mobile phone and Internet with 60 Mbps or more, unlimited data, cable/ADSL)
- Santa Fe: $190.84 (+ $114.01 per month for mobile phone and Internet with 60 Mbps or more, unlimited data, cable/ADSL)
- Las Cruces: $134.50 (+ $114.01 per month for mobile phone and Internet with 60 Mbps or more, unlimited data, cable/ADSL)
You can save more money by bundling your services across phone, cable, and Internet. Or consider splitting your costs with a roommate or significant other to bring down your monthly budget.
Fitness and Entertainment
Staying fit keeps you active, healthy, entertained, and can be affordable or even free. New Mexico offers a wealth of affordable entertainment options, especially for outdoor lovers. From national monuments to local fitness centers, you’ll find ways to stay active without spending a fortune.
Let's take a look at fitness memberships in New Mexico, where you'll spend an average of:
- Albuquerque: $42 per month
- Santa Fe: $48 per month
- Las Cruces: $37 per month
You can also get an idea of what you'll spend on entertainment by looking over average movie ticket prices. These figures reflect tickets only and don't account for snacks, drinks, or extras.
- Albuquerque: $13.50
- Santa Fe: $13.50
- Las Cruces: $10
State Parks in New Mexico
If you want to make the most of your time outdoors, you can enjoy the best of what New Mexico has to offer. At around $5 to $10 per vehicle, you can visit breathtaking sites like:
- White Sands National Park: Explore surreal gypsum dunes.
- Carlsbad Caverns: Underground magic meets desert sunsets.
- Bandelier National Monument: Hike among cliff dwellings and mesas.
The good news is New Mexico’s parks and public lands offer year-round fun, whether you're into hiking, stargazing, or kayaking.
How Much Are Taxes in New Mexico?
New Mexico uses a progressive income tax structure ranging from 1.7% to 5.9%, depending on how much you earn. The state also has a gross receipts tax (similar to sales tax), which averages about 5.13% statewide. You should know that these rates can change depending on the county you live in, so it's important to do your own research. Property taxes are also below average in New Mexico, but if home ownership is important to you, check local tax rates before choosing where to live.
Ready to Move to New Mexico?
Whether you’re drawn to the colorful culture of Santa Fe, the energy of Albuquerque, or the quiet affordability of towns like Clovis and Roswell, New Mexico offers a refreshing mix of affordability and lifestyle perks. If you're ready to make the move, start your rental search today and discover your next adventure in the Land of Enchantment.
FAQs: Cost of Living in New Mexico
How expensive is an apartment in New Mexico?
Rent prices in Nebraska can shift quite a bit based on your location. On average, a one-bedroom apartment across the state costs about $856 per month and $1,069 for a two-bedroom apartment.
What is the cheapest rent in New Mexico?
Rent for a one-bedroom apartment in New Mexico averages around $904 per month statewide. In Santa Fe, prices tend to run higher, with typical one-bedroom units renting for about $1,236 monthly. Albuquerque comes in a bit lower than Santa Fe at $996 per month.
Is it expensive to live in New Mexico?
Rental prices across New Mexico will shift depending on where you live. On average, a one-bedroom apartment in the state runs about $906 per month. In Santa Fe, renters can expect to pay closer to $1,236 for a similar space. Beyond housing, a single adult will spend an average of $4,139 on groceries, $9,690 on transportation, and $3,083 on healthcare each year when living in New Mexico.
What is the population of New Mesico?
According to the U.S. Census Bureau, the population of Iowa as of 2024 was 2,130,256.
What is a good salary in Nebraska?
According to the U.S. Census Bureau, the median household income in New Mexico is $62,125 or around $5,177.08 per month. We advise spending no more than 30% of your income on rent. If the overall average for a one-bedroom apartment in New Mexico is $904 a month, you need to earn at least $36,160 per year, $3,013.33 a month, or around $31.44 per hour.
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