MULTIFAMILY HOUSING VALUATION

This bill establishes a special property tax valuation method for multifamily housing (defined as residential buildings with five or more units regularly rented for 30+ days) in New Mexico. It limits annual value increases and caps the per-unit tax value at 40% of the total property value divided by the number of units, excluding amenities like pools or gyms from valuation. For newly constructed multifamily housing, the tax value is set at the lower of the market value or actual construction and land costs, requiring owners to provide proof to county assessors. These changes apply to property taxes starting in 2026.