Taos, New Mexico Housing Market

What stands out in Taos?

• Listings spend a median 114 days on the market: among the longest times on market of 765 tracked cities. Stale listings are common. Sellers who have waited are open to offers.
• Population is down 5.5% over five years: among the steepest population decline of 765 tracked cities. A shrinking population thins demand over time.
• 23.7% of homes are vacant: among the highest vacancy of 765 tracked cities. Tenants have choices. Budget extra vacancy.

What does a shrinking population mean for Taos landlords?

The population in Taos's ZIP codes fell 5.5% over five years. 23.7% of homes are vacant, higher than 96% of tracked cities. Households still grew 19.7% while the housing stock grew 1.2%. Fewer people living in more households means rental demand has held up better than the population suggests. Check vacancy by ZIP before you buy.

Who will rent from you in Taos?

In Taos, 30 out of every 100 households rent. Most own their home. The renter share is shrinking. Five years ago it was 31 in 100. Renter households average 1.9 people. Singles and couples rent here. Two bedrooms beat four.

The median Taos household earns $57,575 a year. Incomes here have grown 10.1% a year since 2019. Incomes are rising faster than home prices. Affordability is improving. A typical home costs 10.7 times the median income. Most locals cannot buy. That keeps rental demand deep. It also caps the rent they can pay. At 30% of income, a tenant on the median income can pay about $1,439 a month.

To see what one Taos address would rent for and cash flow, run it through the app.

How much can you negotiate in Taos?

Pending-sale counts for Taos were thinly reported until recently, so this page reads demand from how long listings stay on the market, how many sellers cut, and how much is for sale. Few sellers are dropping their price. Your discount will come from one stale listing.

Taos listings spend a median 114 days on the market. There are 129 homes for sale in Taos. That is 4.8 times the tightest month on record, but below the peak of 235. Supply is growing against last year.

What to do about it

• Judge each listing on its own.
• Homes listed 180+ days ago with a price cut are where your discount is.
• Fresh, well-priced homes will not move on price. Do not waste offers on them.

What is the fair market rent in Taos?

HUD sets one fair market rent for Taos County. For fiscal year 2026:

• 1 bedroom: $1,072 a month. Up 15% on last year, up 45% since FY2016.
• 2 bedrooms: $1,279 a month. Up 20% on last year, up 46% since FY2016.
• 3 bedrooms: $1,593 a month. Up 16% on last year, up 46% since FY2016.
• 4 bedrooms: $2,146 a month. Up 19% on last year, up 78% since FY2016.

The figures include tenant-paid utilities and apply to all of Taos County, so one home's rent can sit well above or below them. See fair market rent by city.

Is now a good time to buy in Taos?

The median asking price is 22.6% below its Feb 2021 peak. Per square foot the gap is smaller: 6.2% below the Oct 2024 high. Part of the drop is smaller homes coming to market. Prices are still falling. Waiting has paid off so far. Let listings age, then come back lower. Taos prices have risen in 89 of the last 111 months. Drops here have been short and shallow. Buying in a slow month has rarely hurt a long hold.

This market is turning. Which way is not settled yet. Check the monthly numbers above before you commit.

What numbers should you underwrite a Taos deal with?

• Price growth to assume — +2.6%/yr. Taos grew 6.0% a year over the decade. Ignore that rate. Most of it landed in the 2020 and 2021 boom. Without the boom, Taos grows about 2.6% a year. That is the number to type in. Prices fell 4.7% over the last year. Use it for timing. The five-year rate is the better guide.
• Months of carrying cost — 4. Budget at least 114 days of holding costs, the current median time on market, when you exit or refinance.
• Odds you cut your price to sell — 1 in 7. 15% of Taos listings have cut their asking price. Underwrite your exit below asking.
• Competition when you exit — +30%. Homes for sale in Taos are up 30% on last year, so your resale faces more competition than today's comps did.

Read how population change affects rentals and how we read these numbers, then run the numbers on a deal.

What is the median home price in Taos?

The median asking price in Taos is about $618,000 as of Sep 2026, down 1.8% from a year ago. This is the asking price on homes listed for sale. Sites that report sold prices or estimated home values will show a different number. Our Taos figures cover the 1 ZIP code with a Taos mailing address, which can reach past city limits.

Is Taos a buyer's or seller's market in 2026?

Neither side has the upper hand in Taos right now. We compare Taos with 2017–2019 at this time of year: there are 24% fewer homes for sale; listings spend 25% more days on the market; 15% of sellers have cut their price, against 12% then.

Are Taos home prices going up or down?

The median asking price is 22.6% below its Feb 2021 peak. Per square foot the gap is smaller: 6.2% below the Oct 2024 high. Part of the drop is smaller homes coming to market. Prices are still falling. Waiting has paid off so far. Let listings age, then come back lower.

What is the best month to buy a house in Taos?

Across 9 full years, Taos asking prices ran lowest in May, about 4.8% below the year's average. They peaked in November. The most homes for sale show up in August, about 16% above the yearly average.

What is the fair market rent in Taos?

HUD's fiscal year 2026 fair market rent for Taos County is $1,279 a month for 2 bedrooms and $1,593 for 3 bedrooms. The figures include tenant-paid utilities and cover the whole county.