Property Taxes to Skyrocket 30% or more!

Short-term rental owners in Santa Fe County and City of Santa Fe:Santa Fe County Tax Assessor’s plan will increase your property taxes 30% or more

Santa Fe County Tax Assessor Isaiah Romero is gunning for short-term rental (STR) owners in the county and city of Santa Fe.“

For people whose property could change from residential to nonresidential,  

it’s not a question of whether their property taxes will increase, but rather how much.”

- Santa Fe New Mexican, October 19, 2023

Romero’s new plan will reclassify properties with short-term rentals as “non-residential” (commercial)        – just like liquor stores, auto body shops and massage parlors.

This drastic change will cause your property taxes to skyrocket 30% or more.

• Your entire property will be reassessed to its FULL CURRENT market value· 
• You will be taxed at the commercial rate – up to 30% higher than residential rates
• The 3% annual cap will be eliminated, so your taxes will increase at least 10% every year 

In a couple of years, you could be paying twice as much in property taxes as your next door neighbor, just because you have an STR.

How can they do this?

Romero says he has the authority based on his interpretation of NM Statute 7-35-2 of the Tax Administration ACT, which says residential property “does not include structures when used primarily for temporary or transient human habitation such as hotels, motels and similar structures.”

Are you running a hotel?

Of course not. Under established New Mexico state law, STRs are not commercial operations. The New Mexico Appellate Ruling of 2013 stated that STRs are “primarily residential, no different from primary, vacation, or long-term rental homes.”

But that doesn’t matter to Isaiah Romero. He’s going to push through his tax plan anyway.

TAX INCREASE NOTICES ARRIVE IN NOVEMBER

When you receive the November notification, you will have to respond and tell Romero if you plan to continue to operate your STR in 2024.  Our Legal Team advises that you hold off on responding until they have reviewed the notice and provide us with guidance.

If you say you plan to keep hosting guests, you could see a massive property tax increase next year. If you can't afford the tax increases, you are out of the STR business.

This clearly is a backdoor attempt to put STRs out of business in the County and in the City.

Help us fight for your property rights.  

If you’re not happy your property taxes are about to go up 30% or more, you are not alone.

Homeowners of Santa Fe County are fighting to protect your property rights and force the County to change its unfair, unjust laws. Stay informed about our progress and new challenges facing homeowners in Santa Fe County, ask to be added to our email update list