Cost of Living in Taos, NM

With a cost of living index of 95, Taos, NM is slightly more affordable than average. Living here is 5% cheaper than the national average and 9% above the New Mexico state average of 86. Taos is a smaller community of 6,468 residents, where everyday costs can differ substantially from nearby larger cities.

Housing costs are the biggest factor in Taos's cost of living. The median monthly rent is $915 (31% below the US median of $1,319), and the median home value sits at $432,700 (42% above the national median of $304,900). At current prices, the median home costs roughly 9.3x the median household income — a challenging ratio that puts homeownership out of reach for many residents.

The median household income in Taos is $46,579, which is 38% lower than the national median of $75,149. Residents spend roughly 24% of household income on rent. This is a comfortable ratio, well below the 30% threshold that financial experts recommend as a maximum.

Data sources: US Census Bureau (ACS 2023), Zillow Home Values, HUD Fair Market Rents, BEA Regional Price Parities, BLS Average Prices, and NOAA Climate Normals. Updated monthly.