New Mexico Airbnb and Short-Term Rental Regulations (2026 Guide)

New Mexico's Taos Ski Valley, Santa Fe arts scene, White Sands National Park, and Route 66 heritage create a unique and growing STR market in the Southwest. Whether you already own a vacation rental in New Mexico or are evaluating your first investment, understanding the regulatory landscape is essential. STR laws in New Mexico vary significantly by city and county — and getting compliance wrong can mean fines, forced delistings, or lost income.

This guide covers New Mexico's approach to short-term rental regulation at the state level, then breaks down the rules in key markets investors and hosts need to know. Regulations as of 2026 — always verify current rules directly with your local municipality before listing.

If you'd like help navigating STR compliance in New Mexico, Awning's property management team operates in Santa Fe, Taos, and Albuquerque and helps hosts stay compliant while maximizing revenue.

How New Mexico Defines a Short-Term Rental

For regulatory and tax purposes, a short-term rental in New Mexico is generally defined as a residential property rented for 30 consecutive days or fewer. Any rental longer than this threshold is typically treated as a long-term rental and subject to different rules.

Does New Mexico Require a Statewide STR License?

New Mexico does not require a statewide STR permit. Local governments regulate STRs, with significant variation between tourist-heavy cities and rural areas.

New Mexico Short-Term Rental Taxes

New Mexico levies a 5.125% gross receipts tax on STR income, plus local rates that push the effective total to 7–9.9% depending on location. Santa Fe and Taos add significant local lodging taxes. Airbnb collects and remits New Mexico gross receipts tax automatically.

Regardless of which booking platform you use, it is your responsibility as a host to ensure all applicable taxes are collected and remitted correctly. Failure to comply can result in penalties, back taxes, and potential loss of your ability to operate.

STR Regulations by City in New Mexico

Below are the key STR markets in New Mexico and their current regulatory requirements. City regulations change frequently — check with your local planning or licensing department for the most current rules before investing.

Santa Fe

Santa Fe requires STR operators to obtain a Short-Term Rental License from the Development Review Bureau. Owner-occupied and non-owner-occupied STRs are treated differently, with stricter rules for investment properties. Santa Fe has debated caps on STRs in historic neighborhoods.

Taos

Taos requires STR registration and compliance with local zoning. Properties near Taos Ski Valley face strong seasonal demand and must comply with strict noise and occupancy ordinances during peak winter season.

Albuquerque

Albuquerque requires STR operators to register with the city and comply with local zoning. The Old Town and Nob Hill neighborhoods have seen increased STR activity and additional scrutiny from city planners as the market has grown.

Key Questions to Ask Before Listing an STR in New Mexico

• Does your city or county require an STR permit or license?
• Are there caps on the number of STR permits in your neighborhood or zone?
• Is your property owner-occupied or non-owner-occupied — and does that distinction affect your eligibility?
• What occupancy, noise, and parking rules apply to your specific property?
• Which taxes are you responsible for collecting and remitting vs. what the platform handles?
• Does your HOA or condo association allow short-term rentals?

The Bottom Line

New Mexico's STR regulatory environment ranges from investor-friendly rural counties to tightly regulated resort towns and urban cores. Understanding the specific rules in your target market — not just at the state level — is what determines whether your rental operates smoothly or faces costly disruptions.

Staying on top of changing regulations is one of the most valuable things a professional property manager brings to your operation. Awning manages short-term rentals in Santa Fe, Taos, and Albuquerque and monitors local regulatory changes so you don't have to. Reach out to learn how we can help you operate compliantly and profitably in New Mexico.