Mortgage Rates in New Mexico

Buying a home in New Mexico is a major financial commitment. Before deciding to purchase, you should check rates and loan terms with several mortgage lenders. This will enable you to find the best mortgage rate. When borrowing for a large purchase such as a home, even a small difference in interest has a big impact on monthly payments and total costs. So make sure you keep track of today's mortgage rates in New Mexico.

Here you'll find some of the state's most affordable cities and towns.

5 affordable places to live in New Mexico

The cost of living can vary from one place to the next in New Mexico. Here are five locations recognized as being among the most affordable.

1. Las Cruces

Las Cruces is the most affordable city in New Mexico, according to Niche. It has also been recognized as one of the best cities in which to retire, and one of the healthiest cities in America. About 54% of residents own their homes, and prices fall below the national average of $217,500 at $155,200. In Dona Ana County, residents also benefit from some of the lowest property taxes in the U.S., averaging just 0.57% of assessed fair market value, according to Tax-rates.org.

2. Albuquerque

Albuquerque is recognized by Niche as a healthy city and as a great place for outdoor activities. Sandia Peak Tramway and the ABQ BioPark are just a few of the many outdoor attractions residents can enjoy here. Median home value is higher here at $198,200, and 60% of residents own their homes. Property taxes are higher here, with an average of 0.81% of assessed fair market value.

3. Lovington

Lovington is a town of just under 11,500 that presents an affordable alternative to urban life. It comes in 16th out of 104 locales in New Mexico ranked for lowest cost of living, and it's also the 12th best place in the state to buy a house, according to Niche. An impressive 71% of residents own their own homes here, with a median value of $116,800. Residents benefit from even lower property taxes here than in other cities on our list -- Lea County has average rate of just 0.44% of assessed fair market value.

4. Hobbs

The town of Hobbs has a population of more than 38,000. It's in the top 30 places to buy a home in New Mexico, according to Niche, and it's also identified for its diversity and for being a great place for young professionals. Median home value is a bit higher here than in Lovington at $140,600, but that didn't stop 60% of residents from becoming homeowners. Like Lovington, Hobbs is in Lea County, so residents benefit from the same low property tax rate, averaging just 0.44% of assessed fair market value.

5. Roswell

Roswell is the largest of the towns on the list, with a population just under 48,000, and it's No. 22 on the list of places in New Mexico with the lowest cost of living. Perhaps best known for its connection to UFO lore, Roswell is home to the International UFO Museum and Research Center. But there are also plenty of other kinds of attractions for residents to enjoy, including the Roswell Museum and Art Center and the Bitter Lake National Wildlife Refuge. Median home values are $105,100, and 66% of residents are owners rather than renters. Chaves County has average property taxes of 0.59% of assessed fair market value.

Buying a home is a big commitment. By looking at the cost of living in the place where you plan to purchase and shopping for the best mortgage rates in New Mexico, you can make a financially responsible choice that should help you stay happy with your home for a long time to come.