Airbnb & VRBO Performance in Taos New Mexico.

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Taos, New Mexico: Airbnb & VRBO Vacation Rental Market Overview

Taos, New Mexico, is experiencing robust short-term rental performance, with an average 56% occupancy rate, a $248 daily rate, and significant revenue growth, making it an attractive destination for both visitors and investors.

Market overview

Thriving Short-Term Rental Market in Taos, New Mexico

Taos, New Mexico, is experiencing a robust short-term rental market, driven by its allure as an artistic community and its stunning natural backdrop. According to recent data, short-term rentals in Taos are boasting an impressive 56% average occupancy rate, indicating a high demand for these accommodations. The average daily rate for these rentals stands at $248, contributing to a significant monthly revenue of $27,643. This strong performance is further highlighted by the growth in active listings, with an 8% increase over the past year. These metrics underscore Taos's appeal as a desirable destination for travelers and a lucrative opportunity for investors in the vacation rental sector.

Short Term Regulations

Short-Term Rental Regulations in Taos, New Mexico for 2024

Taos County Regulations

Effective Date and Application Process

  • The Taos County Short-Term Rental Ordinance (Ordinance 2024-4) is effective as of October 19, 2024. Applications will be accepted starting October 21, 2024.

General Requirements

  • All short-term rental units must comply with the International Building Code, the International Fire Code, and the Uniform Plumbing Code.
  • Home Occupation standards for short-term rentals have been repealed and replaced with new regulations.

Application and Permitting

  • Applications can be submitted by email to str.application@taoscountynm.gov or in person at the Taos County Planning Department (105 Albright Street, Suite H).
  • Applications must include all required documents, preferably in PDF format.

Safety and Health Standards

  • All short-term rentals must meet safety requirements, including operable smoke detectors, carbon monoxide detectors, and fire extinguishers.

Zoning

  • Short-term rentals are subject to specific zoning districts and may require conditional use permits in certain areas.

Town of Taos Regulations

Permitting and Renewal

  • Short-term rental operators must obtain a valid Short-Term Rental Permit, which must be renewed annually.

Prohibited Areas

  • Short-term rentals are prohibited within the Historic Districts, Historic and Hotel Overlay Zones, and the Central Business District (CBD) unless previously permitted and in compliance.

Permitted Zoning Districts

  • Short-term rentals are permitted in zoning districts RA-20, RA-10, RA-6, RA, R-1, R-2, R-3, R-4, R-6, R-14, C-1, and C-2, with some districts requiring a conditional use permit.

Safety and Information Requirements

  • Each rental must provide a rental packet with contact information for the host and a local responsible party, safety information, and relevant Town rules and restrictions.

Taxes

  • Operators must pay a 5.0% Lodger's Tax on reservations of fewer than 30 nights and a Gross Receipt Tax on businesses operating in Taos.

Additional Requirements

Insurance and Local Contact

  • While specific to Taos County, it is advisable to note that many jurisdictions require General Commercial Liability Insurance and a local contact available 24/7, though these are not explicitly mentioned in the Taos County or Town of Taos regulations provided.

HOA Approval

  • For properties within Homeowners Associations (HOAs), prior approval from the HOA may be necessary, though this is not explicitly stated in the provided regulations for Taos.
Neighborhood Performance

Top Neighborhoods Generating Airbnb Revenue in Taos, New Mexico

1. Downtown Taos Historic District

  • This neighborhood is highly appealing due to its proximity to key attractions such as the Taos Plaza, Kit Carson Park, and numerous art galleries and museums. Guests can walk to restaurants, shops, and cultural sites, making it an ideal location for first-time visitors.
  • Properties like La Posada de Taos and Historic District Unit offer traditional styling with Navajo rugs, Spanish tiling, and Kiva fireplaces, enhancing the local cultural experience.

2. El Prado

  • Located just a short drive from downtown Taos and Taos Ski Valley, El Prado is popular for its historic charm and stunning views. Guests love the Adorable Casita with the Best View in Taos, which features handpicked antiques and traditional New Mexican decor.
  • The area offers a peaceful and zen atmosphere, with properties like Adorable Casita in The Enchanted Circle and Recently Built Casa Alegre, providing tranquil accommodations and convenient locations.

3. Ranchos de Taos

  • For those on a budget, Ranchos de Taos offers affordable options without compromising on charm. This area is known for its historic plaza, local neighborhood feel, and proximity to hiking and outdoor spaces.
  • Properties such as the Taos Gate House and Sweet Taos Country Cottage provide cozy, well-equipped accommodations that are ideal for families and couples looking for a more laid-back experience.

Why These Neighborhoods Are Appealing

  • Proximity to Attractions: All these neighborhoods offer easy access to Taos's main attractions, whether it's the historic plaza, art galleries, or outdoor activities.
  • Cultural and Historical Significance: Properties in these areas often feature traditional New Mexican decor, Kiva fireplaces, and historic architecture, providing an authentic cultural experience.
  • Natural Beauty: Guests can enjoy stunning views, tranquil settings, and easy access to outdoor activities such as skiing, hiking, and rafting.
  • Amenities and Comfort: Many of the Airbnbs in these neighborhoods are well-equipped with modern amenities like full kitchens, Wi-Fi, and private patios, ensuring a comfortable and relaxing stay.
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Design Tips

Tips for Furnishing and Design of an Airbnb in Taos, New Mexico

To create an inviting and authentic Airbnb space in Taos, New Mexico, consider the following tips that reflect the city's unique style and charm:

Embrace Southwestern and Adobe Architecture

  • Incorporate traditional adobe-style elements such as earth-colored walls, rounded corners, and kiva fireplaces to maintain the cultural and architectural heritage of Taos.

Use Local and Handcrafted Decor

  • Decorate with handpicked antiques and local artisanal pieces to add a touch of authenticity and uniqueness to the space. This can include handmade pottery, woven textiles, and wooden furniture.

Highlight Natural Beauty

  • Maximize the use of large windows and outdoor spaces to showcase the breathtaking views of the Taos Mountains and the Rio Grande Gorge. This can include expansive patios, hot tubs, and outdoor fireplaces.

Incorporate Earthy Colors and Textures

  • Use a color palette that reflects the natural surroundings, such as earth tones, terracotta, and turquoise. Add warmth with natural textures like wood, stone, and woven fibers.

Modern Amenities with Rustic Charm

  • Balance rustic charm with modern amenities like fully equipped kitchens, fiber-optic WiFi, and steam showers to ensure comfort and convenience for guests.

Create Cozy and Inviting Spaces

  • Design cozy living areas with plush furnishings, comfortable seating, and warm lighting. This can include hammocks, fire pits, and private patios to enhance the relaxing atmosphere.

Respect Local Regulations

  • Ensure that your design and furnishings comply with the Town of Taos's building and housing standards, including fire and safety inspections, and obtain the necessary short-term rental permits.

Blend Indoor and Outdoor Living

  • Design the space to seamlessly transition between indoor and outdoor living. This can include multiple desert patios, gardens, and easy access to hiking trails and other outdoor activities.

Add Unique Touches

  • Incorporate unique architectural features such as geodesic domes or earthships to offer guests a distinctive and memorable experience that is quintessentially Taos.

By following these tips, you can create an Airbnb space in Taos that is both inviting and reflective of the city's unique cultural and natural beauty.

Insider Tips

Discovering Taos, New Mexico: Local Attractions and Insider Tips for Airbnb Hosts

Must-See Attractions

1. Taos Pueblo

  • A UNESCO World Heritage Site and one of the oldest continuously inhabited communities in the United States. Guided tours offer insights into its rich history and culture.

2. Historic Taos Plaza

  • The heart of Taos, surrounded by shops, galleries, and restaurants. Perfect for experiencing local vibe, attending seasonal events, and shopping for unique souvenirs.

3. Taos Art Scene

  • Explore numerous art galleries, studios, and museums like the Harwood Museum of Art and the Taos Art Museum at Fechin House. These showcase local and international artists, including works by Georgia O’Keeffe and Nicolai Fechin.

4. Kit Carson Home & Museum

  • Learn about the life of the legendary frontiersman Kit Carson in this 19th-century home, now a National Historic Landmark.

5. Rio Grande Gorge and Bridge

  • Experience the dramatic landscapes of the Rio Grande Gorge and cross the vertigo-inducing Rio Grande Gorge Bridge, the seventh-highest bridge in the U.S..

Outdoor Adventures

6. Hiking and Camping

  • Explore the Carson and Santa Fe National Forests with over 1,300 miles of trails and 63 campgrounds. Wheeler Peak, New Mexico’s highest point, offers breathtaking views.

7. Whitewater Rafting and Fishing

  • Enjoy rafting through the Rio Grande Gorge and fishing in the Rio Grande and Red River. These activities offer thrilling experiences amidst stunning natural beauty.

8. Horseback Riding and Llama Trekking

  • Discover the scenic beauty of Taos on horseback or with a llama companion. Guided tours provide insights into local ecology and natural history.

9. Hot Air Balloon Rides

  • Take in 360-degree views from 500-4000 feet above, drifting past ancient basalt formations and exploring the sensational terrain of the area.

Cultural and Historical Sites

10. San Francisco de Asis Church

- Famous for its adobe architecture, this church has been a subject of art by Georgia O’Keeffe and Ansel Adams.

11. Earthship Community

- Visit the world's largest off-grid subdivision, built with recycled and natural materials. Offers tours and sleepovers for a unique sustainable living experience.

12. Local Hot Springs

- Relax in the mineral-rich waters of hot springs like the Taos Pueblo Tribal Hot Springs and Ojo Caliente Mineral Springs.

Insider Tips

13. Enchanted Circle Drive

- Take an 83-mile scenic drive around Wheeler Peak, witnessing stunning landscapes, quaint towns, and the highest peak in New Mexico.

14. Local Cuisine

- Don’t miss trying the famous Hatch chilies, a staple in New Mexican cuisine. Enjoy them in various local dishes from enchiladas to burgers.

15. Breweries and Local Brews

- Sample craft beers at Taos’s breweries, offering a range of styles from IPAs to stouts.

16. Day Trips

- Explore nearby attractions like Ghost Ranch in Abiquiu, a quaint village with a rich history and stunning landscapes.

Seasonal Activities

17. Skiing at Taos Ski Valley

- One of the best ski resorts in the Southwest, offering 110 trails and a range of amenities including a spa and ice rink.

18. Festivals and Events

- Check the local calendar for seasonal events and festivals that celebrate the art, culture, and history of Taos.

By sharing these attractions and tips, you can help your Airbnb guests have a memorable and enriching experience in Taos, New Mexico.

Practical Tips

Practical Tips to Run a Successful Short Term Rental Business in Taos, New Mexico

To ensure a smooth and enjoyable experience for both you and your guests in Taos, New Mexico, several practical tips can be invaluable:

Noise Regulations and Quiet Hours

Inform your guests about the local noise regulations and quiet hours to avoid any potential issues. Taos has strict rules, and respecting these can help maintain a positive relationship with neighbors and avoid fines. Include a section in your house manual detailing the quiet hours and any specific noise restrictions.

Comprehensive House Manual

Create both digital and physical house manuals that include essential instructions, such as Wi-Fi passwords, appliance usage, and safety features like the location of smoke detectors, carbon monoxide detectors, and fire extinguishers. This manual should also cover local rules and regulations, such as the 5% lodgers tax and any specific zoning restrictions.

Simplified Check-in Process

Utilize smart locks to streamline the check-in process, eliminating the need for physical key exchanges. Provide clear instructions on how to use the smart locks and ensure that guests have all the necessary access codes before their arrival. Additionally, include detailed parking instructions with photos to help guests navigate the property easily.

By following these tips, you can enhance the guest experience, reduce potential issues, and ensure compliance with local regulations, making your short-term rental business in Taos a success.

Local Vendors

Here is a brief list of house cleaning providers in Taos, New Mexico:

House Cleaning Providers in Taos, NM

Looks Like New

  • Offers janitorial and cleaning services for homes and guests.
  • Committed to supporting community-based non-profit organizations.

She Loves Too Clean LLC

  • Local cleaning business with over 8 years of experience in the cleaning industry.
  • Serves Taos and the surrounding communities.

CLEAN Taos Inc.

  • Family-owned business offering specialty cleaning services with an emphasis on environmental consciousness.

Various Housekeepers on Care.com

  • A list of housekeepers available for hire in Taos, NM, allowing you to compare and select based on your needs.

Top House Cleaners on Angi

  • A list of the top 10 best house cleaners in Taos, NM, with varying costs based on house size and services required.
Management fees

Short-Term Rental Management Fees in Taos, New Mexico

In Taos, New Mexico, the management fees for short-term rentals can vary significantly based on the level of service provided. Full-service management, which includes comprehensive services such as guest communication, marketing, and maintenance, typically ranges from 15% to 30% of the rental revenue. Companies like Awning, for example, charge fees starting at 15% and can go higher depending on factors like property size, type, and location.

On the other hand, basic or half-service management, where the owner handles some of the tasks like cleaning and guest communication, can be less expensive, with fees starting as low as 10% of the revenue, as seen with providers like Evolve.

Additionally, property owners may incur extra fees for services such as cleaning, repairs, or design and furnishing, which can add to the overall cost of managing a short-term rental property in Taos.

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Why choose RedAwning

RedAwning is a tech leader in full-service short-term rental management, powered by our exclusive, unmatched tools.
Other property managers
Cost
Starting at 10%
25-40%
Guest communications
5-15 mins / 24 hours a day
1 hour+
Host communications
Dedicated phone and text line with no time on hold
Chat bots, hold lines and email threads
Insurance
Robust liability and dwelling coverage for every reservation
Spotty coverage with low claim approval rates
Contract
No cancellation fees
No contract lock-in
Just 90 days notice to cancel
Cancellation penalties
Number of Channels Your Listing is On
50+
2-4

Experience in numbers

Rest well knowing your property is managed by an experienced team powered by world-class technology.
+10-30%
in gross revenue
4.8 stars
guest rating
14+ years
managing STRs

Short Term Rental Calculator

Find out how much your property in Taos should generate as a short term rental and look at the performance of properties around yours.

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Furnishing checklist

This comprehensive checklist ensures that your rental is guest-ready with all the essentials to create a comfortable and memorable experience in Taos.

Living Room
Seating: Sofa, armchairs, and ottomans
Coffee Table
Entertainment: Smart TV (with streaming apps) and remote control
Decor: Area rug, wall art, plants, and throw pillows
Lighting: Floor lamp or table lamps
Charging Stations: Power strips or outlets with USB ports
Bedrooms
Beds: High-quality mattress with mattress protector
Linens: At least two sets of sheets per bed
Pillows: Hypoallergenic pillows (2-4 per bed)
Blankets: Extra throw blankets or quilts
Nightstands: With lamps or charging docks
Closet or Storage: Hangers, dresser, or luggage rack
Blackout Curtains or Shades
Bathrooms
Towels: Bath towels, hand towels, washcloths (2 sets per guest)
Shower Curtain & Liner
Toiletries: Shampoo, conditioner, body wash, hand soap
Bathroom Essentials: Toilet paper, tissues, trash bin
Hairdryer
Mirror: Full-length or wall mirror
Dining Area
Dining Table: Seating for the maximum number of guests
Place Settings: Placemats or tablecloths
Centerpiece: Vase with flowers or decorative piece
Kitchen
Appliances: Refrigerator, microwave, toaster, coffee maker, kettle
Cookware: Pots, pans, baking trays
Utensils: Forks, knives, spoons, spatulas, tongs
Dinnerware: Plates, bowls, glasses, mugs (2 sets per guest)
Cutting Board & Knives
Basic Spices & Condiments: Salt, pepper, oil
Cleaning Supplies: Sponge, dish soap, paper towels, trash bags
Outdoor Space (if applicable)
Seating: Outdoor chairs, benches, or lounges
Table: For outdoor dining or drinks
Lighting: String lights or outdoor lanterns
Grill: With necessary utensils and instructions
Outdoor Trash Bin
Extras to Elevate Guest Experience
Welcome Basket: Snacks, water bottles, or wine
Guidebook: Local recommendations and house rules
Board Games or Books: Entertainment for guests
Umbrella & Flashlight
Iron & Ironing Board
Laundry: Washer, dryer, and detergent (if available)
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⇤ Airbnb Statistics for New Mexico