New Mexico · NM

New Mexico Mortgage Calculator

Pre-filled for New Mexico: median home price $295,000, average property tax rate 0.80%. Adjust any slider to make it yours.

New Mexico housing at a glance

Median home price: $295,000
Effective property tax rate: 0.80% / yr
Annual property tax (median home): $2,360
Est. monthly tax escrow: $197
State income tax: Yes

Sources: regional housing data 2025 (median price), state assessor averages 2024–2025 (tax rate).

Buying a home in New Mexico

The median home price in New Mexico is around $295,000 and the effective property tax rate averages 0.80%of assessed value per year. Most lenders look for a debt-to-income (DTI) ratio under 43%, meaning your total monthly debt payments (including this mortgage) shouldn't exceed 43% of your gross income.

A 20% down payment on the median home in New Mexico is $59,000. Putting down at least 20% eliminates private mortgage insurance (PMI), which typically adds 0.3–1.5% of the loan amount per year to your monthly payment.

Transfer tax & closing costs in New Mexico

New Mexico has no real estate transfer tax.

Beyond transfer taxes, total closing costs in New Mexicotypically range from 2–5% of the purchase price — including lender origination fees, title insurance, appraisal, and prepaid interest. On the median home that's roughly $5,900–$14,750.

Foreclosure & legal context

Foreclosure type: Judicial (court-supervised)
Security instrument: Mortgage
Deficiency liability: Recourse

New Mexico mortgage FAQ

What is the monthly mortgage payment for a median-priced home in New Mexico?: At the current 30-year fixed rate of ~6.81%, a $295,000 home in New Mexico with 20% down ($59,000) carries a principal-and-interest payment of ~$1,540/mo. Add property tax (~$197/mo at 0.80%) and homeowners insurance and your total is roughly $1,737/mo. Use the calculator above to adjust for your exact down payment and rate.
What is the property tax rate in New Mexico?: The effective statewide property tax rate in New Mexico averages 0.80% of assessed value per year. On a $295,000 home, that works out to roughly $2,360 per year ($197/mo). Individual county rates vary.
Does New Mexico have a state income tax?: Yes, New Mexico has a state income tax. This affects your net take-home pay and therefore your effective purchasing power — use our salary calculator to estimate what's left after tax.
What are the closing costs and transfer taxes in New Mexico?: New Mexico has no real estate transfer tax.
What type of foreclosure does New Mexico use?: New Mexico uses judicial foreclosure, meaning a lender must file a lawsuit and obtain a court judgment before selling a property.

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