Property Value Limitations        

65 OR OVER VALUATION LIMITATION 
If you were 65 or over as of the first of the year and your total modified  household income, the previous year, did not exceed $21,000 you may be eligible for a valuation limitation. Refer to section 7-36-21.3.  This means the current assessed value of your property cannot be raised as long as you qualify for the limitation. You must apply each year to qualify.  For an application and instructions use the following link. 65 and over Application PDF 

LIMITATION ON VALUE INCREASES OF RESIDENTIAL PROPERTIES There are limits to increases in value an assessor can apply to your residential property. These limits may or may not apply to your residential property.  Limits in value can be influenced by a change in ownership, improvements to the property or changes in use or zoning.  Refer to section 7-36-21.2. Call your local County Assessor's office to determine if these limits apply to your property.  

Right to Protest - Election of Remedies 

As regulated by Section 7-38-21 NMSA 1978, a property owner may protest the value, classification, allocation of value, denial of a claim for an exemption, or for a limitation on increase in value as determined for his property for property taxation purposes by one of the following remedies:

OR

Click here for more information regarding the protest procedure through the assessor.

Questions and Answers    

Agricultural Land

Q: How does land used for agricultural purposes qualify for a Special Method of Valuation?
A: Depending on concurrence of the county assessor, a bona fide primary use of and the capacity to produce agricultural products, the property owner must initially make application for this classification.  Refer to Section 7-36-20 NMSA 1978 for more information.

Valuation and Protest Procedures

Q: What is the valuation basis of my commercial or non-residential assessment?
A: As required by Section 7-36-16 NMSA 1978 property is valued as Current and Correct. Current and Correct would be based on a 1999 market level for the tax year 2001 and  for each two succeeding property tax years, the valuation level in the preceding odd-numbered year.

Q:  What is the valuation basis of my residential assessment?
A:    If the following limits do not apply to your property, the property will be valued  Current and Correct as required by Section 7-36-16 NMSA 1978, until the county sale ratio study measurement is met as determined by Section 7-36-18.D NMSA 1978.   Limits as regulated by Section 7-36-21.2 NMSA 1978 on residential property valuations are summarized as follows: 

The value of a property for the 2001 and subsequent tax year shall not exceed the higher of 103% of the value in the tax year prior to the tax year in which the property is being valued or 106.1% of the value in the tax year two years prior to the tax year in which the property is being valued depending on the county sales ratio study measurement as regulated by Section 7-36-18 NMSA 1978. 

This limitation on increases in value does not apply to:

1. a residential property in the first tax year that it is valued for property taxation purposes;

2. any physical improvements made to the property during the year immediately prior to the tax year; or

3. valuation of a residential property in any tax year in which:

   A change of ownership of the property occurred in the prior year, or the use or zoning of the property has changed in the prior year.

Q:  What affect on valuation does the 65 and older limitation have? 
A:  If a qualifying applicant is granted the limitation increase, the value of the property cannot increase from the prior year.  The applicant must file yearly and provide to the assessor proof of age, occupancy and income information for the tax year for which application is made.   

Q:  I am not in agreement with the valuation notice, denial of exemption or classification of property that I received from my county assessor, what can I do?
A: You are entitled by law (Section 7-38-24 NMSA 1978) to file a petition of protest with your county assessor within thirty (30) days after receipt of your valuation notice, if your disagreement is not resolved, you will be scheduled for a Protest Hearing to be heard by the County Valuation Protests Board.  Protests shall be decided within 180* days of the date that the protest was filed, and a written order made within 30** days of the hearing. 

*Unless extended by Director's Order
**Unless extended by agreement of the board and the Protestant

Q: I have filed a petition of protest with my county assessor, what do I need to do to support my case?
A: You may request an informal conference (Section 7-38-24.D NMSA 1978 and 3.6.7.33.B.1,2,3.) prior to the scheduled hearing date.  At the informal conference you and the county are to exchange information each has to support value, classification or exemption.  Information can range from a current appraisal, purchase agreement, or market analysis; if an income producing property, your income and expense reports.  Many times your concerns will be resolved during the informal conference, if not, you will proceed to the Valuation Protest Hearing. 

Q: I have received the Valuation Protest Board's decision for my protest and am not in agreement, can I appeal the decision?
A: Yes, by law you have the right to file an Appeal.  As of   7/98 appeals are filed in District Court, refer to Section 7-38-28 NMSA 1978.  The appellee (the assessor or commission of your county) must be named.  Filing of the appeal under the provisions of Section 12-8A-1 [39-3-1.1], and must be done no later than 30 days from the date of decision.   

Manufactured Homes

Q: I have a manufactured home, in order to refinance it and the land it sits on, I was told by the finance company that I have to deactivate the title.  Is this so, what do I have to do?
A: Revised regulation (3.6.5.33.D.1,2,3 MANUFACTURED HOMES - WHEN VALUED AS REAL PROPERTY) addresses the property owner's request for the county assessor to value the unit as real property.  In order to make this request, the owner must also own the land where the home will be situated.  There are certain restrictions as set by the Manufactured Housing Division (14 NMAC 12:2) which must be met prior to approving the request, such as removing the tongue and axle.  Also, the title of the unit has to be deactivated in accordance with 18 NMAC 19.3.18 of the Motor Vehicle Code before the change in valuation will occur.

NM Property Tax Code 

Q: Where can a copy of the NM Property Tax Code be obtained?
A: You may contact the Tax Information and Policy Department at (505) 827-0908 or by e-mail at poffice@state.nm.us or purchase a copy from Conway Greene.  You can also access the New Mexico Property Tax Code (Chapter 7, Articles 35-38, NMSA 1978) through the Internet at http://www.conwaygreene