(Last Updated – September 8, 2025)

New Mexico’s moniker, the Land of Enchantment, conjures images of its dramatic landscapes, ranging from sweeping deserts and grasslands to rugged mesas to snow-topped mountains. The state is also known for its unique mix of Native American, Spanish, and Anglo-American cultural traditions, which imbues the state’s architecture, cuisine, and holiday celebrations.

New Mexico’s more than two million residents live here for a wide variety of reasons, including the lure of the sunny southwestern weather, outdoor recreations like hiking, rock climbing, and skiing, and the affordable cost of living. How much does it cost to live in New Mexico? Read on for the details about just how affordable the Land of Enchantment is.

What’s the Average Cost of Living in New Mexico?

Average Cost of Living in New Mexico: $46,076

What is the cost of living in New Mexico? Lower than the national average, according to the data. The Missouri Economic Research and Information Center (MERIC) ranks the state as the 19th most affordable in the country, giving it a Cost of Living Index (COLI) of 94.2 on a scale that uses 100 as the average cost of living in the U.S. And U.S. News and World Report rates New Mexico as the 13th most affordable state in its “Best States Rankings.”

How does that translate into dollars and cents? The average amount a New Mexican spends on all personal expenditures annually is $46,076, according to the Bureau of Economic Analysis. That works out to just $3,840 per month. Bear in mind that many factors can affect what your costs are, including the size of your family, your housing situation, your health care needs, your work commute, and many others. But let’s take a look at how the costs typically break down across major categories.

Housing Costs in New Mexico

Average Housing Cost in New Mexico: $859 to $1,828

Whether you qualify as a first-time homebuyer or are on your fourth house, you’re probably aware that housing is likely to be the biggest line item in your budget. The median monthly mortgage payment in the state is $1,510, and average home value is $314,968, which has increased 1.8% over the past year but still suggests you probably won’t need a jumbo loan. Average home values vary significantly by city, however, as you can see from the list below.

•  Albuquerque: $342,911

•  Las Cruces: $290,266

•  Rio Rancho: $358,394

•  Santa Fe: $590,845

•  Taos: $449,277

If you’re not yet prepared for buying your first home, or if you prefer the ease of renting, the median gross rent in New Mexico is $1,084. Naturally, rent varies by apartment size, as the following chart illustrates.

Bear in mind, too, that buying a place will probably take more lead time and preparation than renting and also require learning more about getting a home loan, including the mortgage preapproval process.

Recommended: Different Types of Home Mortgage Loans

Utility Costs in New Mexico

Average Utility Costs in New Mexico: $297.20

Once you’ve covered your housing costs, you’ll need to consider utilities. Below are the average monthly costs in New Mexico for some standard utilities. Of course, pricing will also depend on your usage, the time of year, the number of people in your household, and other factors.

Food and Beverage

Average Food and Beverage Costs in New Mexico: $336 per month

The average annual expenditure for groceries in New Mexico is $4,031 per person, according to the Department of Economic Analysis. This means that when it comes to food and beverages, the average monthly expense for one person is about $336, and for a family of four, it’s $1,344.

Exactly how much you’ll pay for groceries in New Mexico is influenced by your location. The Council for Community and Economic Research ranks the average food costs in American cities, setting the U.S. average at 100 as the baseline. Here’s how three major urban areas in New Mexico measure up. Note that all three cities score a grocery items index lower than the national average.

Transportation

Average Transportation Costs in New Mexico: $9,690 to $18,031 per year

New Mexico ranks 34th in the country for transportation, according to the U.S. News and World Report rankings. The state has some public transportation, but it’s limited. The New Mexico Rail Runner Express is a commuter train system that connects destinations in central New Mexico, and the state also has bus services both between and within cities. However, most people commute to work and travel by car.

In New Mexico, as everywhere, what your household spends on transportation costs depends heavily on the number of people in your family:

Health Care

Average Health Care Costs in New Mexico: $7,998 per year

Health care can be a major expense wherever you live, and in New Mexico, it averages out to $7,998 annually, according to data from the Bureau of Economic Analysis. That translates to $666.50 per month to cover health insurance premiums, doctor visits, and other health needs.

New Mexicans pay slightly above the average for their neighbors in the southwest region – which is $7,618 per year – but well below the national average of $9,130.

Child Care

Average Child Care Costs in New Mexico: $753 to $1,095 per child, per month

If you’ve got kids, child care can put a significant dent in your budget in any state, and New Mexico is no exception. The costs vary depending on the age of your child and the type of care, as data from CostofChildCare.org demonstrates.

Taxes

Highest Marginal Tax Rate in New Mexico: 5.90%

New Mexico’s state individual tax income rates range from 1.70% to 5.90%. The state charges a 4.88% state sales tax rate – the combined state and local sales tax rate averages 7.62%. The effective property tax rate is 0.67% on owner-occupied housing value, and there are no inheritance or estate taxes.

Miscellaneous Costs

Average Miscellaneous Costs in New Mexico per year: $24,349

Once the necessities are taken care of, you’ll want to get out and enjoy the Land of Enchantment. While many outdoor activities and scenery-gazing opportunities are free, here are typical costs for fun activities you might spend your discretionary dollars on.

•  Albuquerque Hot Air Balloon Ride: From $189 per adult

•  Sandia Peak Tramway: $34 for adults, $29 for young adults, $24 for children

•  White Sands National Park: $25 per vehicle general pass

•  Santa Fe Historical Walking Tour: From $130 per adult

•  Santa Fe Canyon Road Art and History Walking Tour: From $70 per adult

How Much Money Do You Need to Live Comfortably in New Mexico?

U.S. News and World Report ranks New Mexico as the 13th most affordable state, but every household, whether it’s just one person or a large family, has a different definition of what “comfortably” is. That said, according to MIT’s Living Wage Calculator, a living wage for a single person with no children in New Mexico is $21.01 per hour, assuming that they’re working full time. That wage translates to $43,700.80 per year. You may need to make a bit more than that to live comfortably, however you define that, but knowing that number can help you gauge what will work for you. Just bear in mind that, with its low cost of living, New Mexico does offer the chance to live comfortably on less money than you might need in pricier states like California or Hawaii.

Recommended: Best Affordable Places in the U.S.

What City Has the Lowest Cost of Living in New Mexico?

With a COLI of 89.7, Las Cruces, New Mexico, offers low costs but also has a lot more to recommend it. Home to New Mexico State University, the “City of Crosses” strives to be a cultural crossroads, with a vibrant arts scene that celebrates its multiple heritages. The major employer is the federal government, thanks to the White Sands Testing Facility, where NASA tests rocket engines. In contrast to that high-tech installment, the city also enjoys the age-old beauty of the Chihuahuan Desert and the nearby Organ Mountains.

Helpful Resources for Future New Mexico Residents

(Last Updated – September 20, 2025)

Poised at the intersection of the Midwest and the South, Missouri boasts a blend of natural beauty and cultural heritage. It’s home to iconic landmarks like Saint Louis’s Gateway Arch, a vibrant music scene, and plentiful outdoor attractions, from the Mississippi River to the Ozark Mountains.

Culturally it has a proud history, as the birthplace of ragtime, Kansas City jazz, and Saint Louis blues. Area sports fans can root for their choice of four major league teams: baseball’s Kansas City Royals and Saint Louis Cardinals, the NFL’s Kansas City Chiefs, and hockey’s Saint Louis Blues.

The Show-Me State boasts a relatively low cost of living, and people who value community, affordability, and access to nature often find it a rewarding place to call home. Here’s a closer look at the cost of living in Missouri.

What’s the Average Cost of Living in Missouri?

Average Cost of Living in Missouri: $52,097 per year

Missouri is among the best affordable places to live in the U.S. Its average cost of living index of 89.0 is comparable to surrounding Midwestern and Southern states. The state ranks as the sixth most affordable state, according to 2025 data from the Missouri Economic Research and Information Center (MERIC).

Average per capita consumption expenditures totaled $52,097 in Missouri, according to the latest data from the Bureau of Economic Analysis. In other words, the average monthly expenses for one person in Missouri add up to about $4,341.

Here’s a breakdown of the average cost of living in Missouri per year, by expense category.

Housing Costs in Missouri

Median Housing Costs in Missouri: $873 to $1,478 per month

Missouri contains approximately 2.8 million housing units, of which 67.9% are owner-occupied.

The state’s average home loan comes to roughly $170,000, as reported by Experian. Meanwhile, the average home value in Missouri is $261,715 as of mid-2025, according to Zillow. That figure represents a rise of 2.2% over the previous year — and yet the state average is still 29% lower than the national average of $368,581.

As a result, would-be homeowners are less likely to need jumbo mortgages in Missouri than they might be in coastal states.

The other 32.1% of homes are rentals. Census data reveals that more than one-third of Missouri tenants (36.3%) pay at least 35% of their monthly income in rent.

The general cost of housing in Missouri, according to the most recent Census data, is:

•  Median monthly mortgage cost: $1,478

•  Studio: $873

•  1 bedroom: $865

•  2 bedroom: $996

•  3 bedroom: $1,190

•  4 bedroom: $1,416

•  5 or more bedrooms: $1,423

•  Median gross rent: $1,019

Average costs will of course vary by metro area, as some communities and housing are more sought after than others. Here are typical home values for Missouri’s top cities, according to Zillow data for mid-2025.

Utility Costs in Missouri

Average Utility Costs in Missouri: $423.09 per month

Wherever you live, utility costs will likely make up a significant portion of your average monthly cost of living in Missouri. Here’s a look at how much the typical Missourian is likely to pay.

How Much Money Do You Need to Live Comfortably in Missouri?

Missouri has one of the lowest costs of living in the U.S. In fact, economic data from mid-2025 show it’s the sixth cheapest state. According to MIT’s Living Wage Calculator, a working adult with no children would need an annual income of $43,413 before taxes. Two working adults with two children would require an estimated $109,162.

What City Has the Lowest Cost of Living in Missouri?

Joplin

Situated in southwestern Missouri nestled near the state lines of Kansas and Oklahoma, Joplin is the most affordable city in the Show-Me State. Its cost of living is about 14% less than the U.S. average, while its mean home value of $200,299 falls more than 23% below the statewide average. The Ozark region to the east is home to hundreds of picturesque caves for exploring.

Springfield

With a cost of living almost 13% below the national average, Missouri’s third-largest city boasts almost half a million residents in the five-county metro area. Its average home value is about 8% below the state’s average. Local amenities include a zoo, aquarium, several local colleges (including Missouri State University), and ample wild space for hiking, hunting, and fishing. Springfield is also located less than an hour’s drive from Branson, a regional vacation destination ideal for families.

Columbia

Home of the flagship University of Missouri, Columbia sits halfway between the border cities of Saint Louis and Kansas City, roughly two hours’ drive due east or west. Its cost of living also falls midway between the two, coming in at about 10% below the national average. Even so, given the university population’s steady demand for housing, the city’s $319,053 average home value exceeds the overall state figure by more than $57,000.

Helpful Resources for Future Missouri Residents