Cost of Living in New Mexico in 2025

New Mexico Cost of Living: Quick Takeaways

• Housing Costs: Rent for one-bedroom apartments in New Mexico rose steadily from $700 in 2010 to $1,050 in 2025.
• Transportation Expenses: Public transit fares average $1.50 per ride with monthly passes at $50, and fuel prices hover around $3 per gallon.
• Healthcare Costs: Employer-sponsored health insurance has an average monthly cost of $150, with silver plan premiums around $500.
• Income Levels: Median household income increased from $45,000 in 2010 to $54,400 projected in 2025, reflecting gradual economic growth.

New Mexico's cost of living reflects its unique blend of urban and rural lifestyles. From housing to healthcare, this breakdown clarifies what residents and newcomers can expect financially.

This article presents a detailed overview of living expenses in New Mexico in 2025, spanning housing, utilities, transportation and more.

1. Housing Costs in New Mexico

Housing costs are a major factor in New Mexico's living expenses. Here's a historical look at the average rent for a one-bedroom apartment:

• 2010: $700
• 2015: $800
• 2020: $900
• 2024: $1000
• 2025: $1050

The steady rise in rent indicates growing demand and market adjustments across the state.

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2. Homeownership and Real Estate Trends in New Mexico

For those interested in buying property, median home prices have increased over the years:

• 2010: $150,000
• 2015: $180,000
• 2020: $220,000
• 2024: $279,763
• 2025: $292,822

The rising prices demonstrate a healthy real estate market but also reflect challenges for affordability.

3. Transportation Expenses in New Mexico

Transportation costs in New Mexico include various options:

• Public Transit: $1.50 for a one-way fare with monthly passes at $50.
• Fuel Costs: Average price per gallon is $3.00.
• Vehicle Maintenance: Annual maintenance costs average $1,000.

These figures can vary depending on commuting needs and transportation choices.

4. Utility Costs in New Mexico

Typical monthly utilities expenses in New Mexico are as follows:

• Electricity: $100.00
• Internet: $50.00
• Total Utilities: $150.00

Utility costs remain lower than national averages, influenced by consumption and regional rates.

5. Grocery and Food Expenses in New Mexico

Food costs are generally slightly below the national average.

Monthly grocery expenses per person are estimated at $270.00. Dining out ranges from casual meals at $12 to mid-range restaurant meals costing about $40.

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6. Healthcare Costs in New Mexico

Healthcare expenses include:

• Employer-Sponsored Insurance: Average $150 monthly
• Silver Plan Premiums: Approximate $500 monthly

These are key considerations when budgeting for health-related expenses.

7. Educational Expenses in New Mexico

The educational landscape includes:

• Public Schools: No tuition fee
• Private Schools: Average tuition around $10,000 annually
• In-State University Tuition: Approximate $7,000 per year

Available options cater to a range of academic needs and budgets.

8. Entertainment and Leisure in New Mexico

Entertainment costs include:

• Movie Tickets: $10 each
• Gym Memberships: $30 monthly
• Meals at Mid-Range Restaurants: $40 per meal

The annual spending on entertainment is about $2,000, along with personal care services costing $600 yearly.

9. Taxes and Miscellaneous Fees in New Mexico

New Mexico's tax framework includes:

• State Income Tax: Ranges from 1.7% to 5.9%
• Sales Tax: Combined rates between 5.125% and 9.0625%
• Property Tax Rate: Approximately 0.80%

These taxes affect overall budgeting for residents and businesses.

10. Childcare and Family Expenses in New Mexico

Childcare and related family expenses are significant for many households:

• Daycare: $800 monthly
• After-School Programs: $300 monthly
• Extracurricular Activities: $100 monthly

Planning these costs is essential for families with children.

11. Clothing and Personal Care in New Mexico

Monthly expenditures include:

• Clothing: Approximately $100
• Personal Care Services and Products: $50

These figures can vary by lifestyle and individual preferences.

12. Insurance Costs in New Mexico

Insurance premiums contribute to living costs:

• Health Insurance: Average monthly premium around $500
• Auto Insurance: Annual cost approximately $1,200
• Homeowners Insurance: Costs about $1,000 annually
• Renters Insurance: About $200 annually

Insurance is important for protection and compliance.

Restaurant owners should also consider risks related to their business. Understanding restaurant insurance cost can help protect your investment and meet legal requirements.

13. Miscellaneous Expenses in New Mexico

Other common expenses include:

• Entertainment: Around $2,000 per year
• Personal Care Services: Approximately $600 annually
• Miscellaneous Goods and Services: $500 yearly

These affect the overall cost of living depending on lifestyle choices.

14. Income and Salaries in New Mexico

Median household income in New Mexico has grown over time:

• 2010: $45,000
• 2015: $48,000
• 2020: $51,000
• 2023: $54,020
• 2025: $54,400

Income growth reflects economic changes and development within the state.

For hospitality businesses in New Mexico, knowing what competitive salaries are can help retain valuable employees. Review the hospitality wages in 2025 to stay competitive and attract talent.

15. Comparison with National Averages

When compared to national figures:

• Overall Cost of Living: About 5% lower than the national average
• Housing: Approximately 12% less expensive
• Utilities: Around 14% cheaper
• Food: Roughly 3% lower
• Healthcare: On par with national averages
• Transportation: 11% less costly
• Goods and Services: Slightly (2%) more expensive

These comparisons offer a comprehensive view of New Mexico's affordability relative to the rest of the country.

Our Methodology for New Mexico Cost of Living Figures

We compile data from reliable sources such as government statistics, real estate platforms, and cost of living databases. Estimates are used for missing data, ensuring a comprehensive and accurate representation of living costs.

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New Mexico Cost of Living: Conclusion

New Mexico offers a generally affordable cost of living with housing and utilities costing less than national averages. Transportation and healthcare costs remain manageable, while income growth supports a stable economic environment.

Understanding these detailed expenses helps residents and prospective movers make informed financial decisions about living in New Mexico.