New Mexico Short-Term Rental Laws (2026)
New Mexico regulates short-term rentals primarily at the state level — below is the verified statewide rule set: whether Airbnb-style rentals are legal, what registration or permits apply, the lodging taxes owed, and how the rules are enforced. Each fact is quoted from official sources and stamped with the date we last verified it.
New Mexico has no statewide short-term rental permit, registration, or operating law — STR regulation is left entirely to cities and counties, and no state statute preempts local restrictions, so localities are free to cap or restrict STRs (Taos County, for example, caps permits at 400). Statewide, STR income is subject to gross receipts tax (4.875% state rate plus local increments that vary by location), which marketplaces like Airbnb must collect and remit once they exceed $100,000 in New Mexico receipts, and municipalities/counties may layer on a local lodgers' tax of up to 5% under the state Lodgers' Tax Act. A 2025 legislative work group (HM 52) studied STRs and recommended uniform residential property-tax classification, but no statewide STR statute was enacted in the 2026 session.
Reviewed by the STR Rule Watch research team against 10 official sources. How we verify data
New Mexico statewide STR rules at a glance
| Legal status | Unregulated |
|---|---|
| Permit required | No |
| Owner occupancy required | No |
| Primary residence only | No |
| Total occupancy taxes | ~9.88% of gross revenue |
| Enforcement | State-level enforcement is tax enforcement only: the Taxation and Revenue Department administers gross receipts tax (registration and filing via the Taxpayer Access Point, Form TRD-41413). |
State law & local authority
The state imposes no zoning or land-use rules on STRs and does not preempt local control. Cities and counties retain full authority to zone, cap, or restrict STRs — e.g., Taos County limits the county to 400 STR permits, and Santa Fe and Albuquerque run their own permit programs. The 2025 HM 52 work group discussed, but the legislature has not enacted, uniform statewide standards.
State-level taxes
| Tax | Rate | Who collects |
|---|---|---|
| New Mexico Gross Receipts Tax (state + local increments)4.875% is the state rate; combined rates vary by location because county and municipal increments are added (use TRD's Gross Receipts Location Code and Tax Rate Map). Marketplace providers (Airbnb, Vrbo) with over $100,000 in NM receipts in the prior calendar year must register and pay GRT on facilitated bookings; hosts must still file returns but may deduct marketplace-facilitated receipts on which the platform remits tax (Section 7-9-117 NMSA 1978). | 4.875% | varies |
| Local Lodgers' Tax (occupancy tax authorized by state Lodgers' Tax Act)State law (NMSA 1978 Section 3-38-15) authorizes municipalities and counties to impose an occupancy tax of up to 5% of gross taxable rent; actual rates are set locally. Since a 2019 amendment (effective 2020-01-01) removed the under-three-rooms exemption, STRs of any size owe lodgers' tax where imposed. It is a local tax not administered by the state; platforms collect it only in jurisdictions where they have voluntary agreements, otherwise the host must register and remit locally. | 5% | host |
Enforcement & penalties
State-level enforcement is tax enforcement only: the Taxation and Revenue Department administers gross receipts tax (registration and filing via the Taxpayer Access Point, Form TRD-41413). Lodgers' tax is administered and enforced by each municipality or county, not the state. TRD offers marketplace providers a voluntary Marketplace Provider Data Sharing Agreement (Form TRD-31117) to report the sellers they facilitate; there is no mandatory statewide STR data-sharing or platform-liability law.
No statewide STR-specific penalties exist. Standard tax penalties apply: hosts who fail to file timely gross receipts tax returns face late-filing penalties even when a marketplace remits the tax on their behalf.
Statewide sources
- FYI-206: Gross Receipts Tax and Marketplace Sales (NM Taxation and Revenue Department, Rev. 7/2023)retrieved July 20, 2026
- 2025 HM 52 Report — Short-Term Rental Work Group (NM Legislature, Economic and Rural Development and Policy Committee handout, Dec. 8, 2025)retrieved July 20, 2026
- NMSA 1978 Section 3-38-15 — Lodgers' Tax Act; occupancy tax authorization (FindLaw-hosted statute text)retrieved July 20, 2026
- NMSA 1978 Section 3-38-16 — Lodgers' Tax Act; exemptions (FindLaw-hosted statute text)retrieved July 20, 2026
- Gross Receipts Tax Rates — NM Taxation and Revenue Departmentretrieved July 20, 2026
- Gross Receipts Tax Overview — NM Taxation and Revenue Departmentretrieved July 20, 2026
- Bill Finder — New Mexico Legislatureretrieved July 20, 2026
- New Mexico law requires all vacation rentals to collect lodging taxes (Avalara, 2019 — secondary lead for the 2019 Lodgers' Tax Act amendment)retrieved July 20, 2026
- New Mexico legislators debate standard statewide property tax for short-term rentals (Source New Mexico, Dec. 9, 2025 — secondary)retrieved July 20, 2026
- Year-end 2025 state short-term rental bills and what's ahead in 2026 (Rent Responsibly — secondary corroboration that no NM statewide STR framework bill had been filed heading into the 2026 session)retrieved July 21, 2026
City-level coverage in New Mexico
We haven't published city-level rule pages for New Mexicoyet — statewide rules above are the operative layer we've verified. Cities may still impose zoning, business-license, or tax requirements on top. Request coverage for a specific New Mexico city with a Pro account.
Compare every state at once in short-term rental laws by state or track New Mexico rule changes on the change tracker.
This page is informational only and is not legal, tax, or financial advice. Regulations change frequently — verify current requirements with each jurisdiction before operating. HOA and condo rules may prohibit short-term rentals regardless of city law.