Finance Department

If you have questions or feedback on the administrative rule that the draft materials do not address, please email excisetax@santafenm.gov

What is the High-End Excise Tax?

When the High-End Excise Tax for Affordable Housing (Chapter 18.18) takes effect, anyone purchasing a residential property will need to pay a 3% tax on the sale amount over $1,000,000. All the funds from this excise tax will go into the Affordable Housing Trust Fund.

 

Where does the tax go?

The City of Santa Fe created the Affordable Housing Trust Fund (AHTF) by ordinance in 2007. This ordinance follows state law, the New Mexico Housing Act, to support various affordable housing needs. The City releases an annual funding opportunity to support projects such as:

  • Homeownership assistance
  • Affordable Housing Development and Construction
  • Rental Assistance for low-income renters
  • Acquisition, Conversion, Rehabilitation, or other Preservation costs for existing structures

The City of Santa Fe passed an ordinance (18-18) in the Fall of 2023 to create a dedicated funding stream using this excise tax. Please see the Office of Affordable Housing’s web page for more information about the AHTF or view the ordinance (AHTF City Code 26.3)

 

Documents