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Ruidoso Downs, NM
Generally Investor Friendly
Local STR Agent
Local STR Agent

IMPORTANT NOTE: This guide covers STR regulations for both Ruidoso Downs (the City) and Ruidoso (the Village), as these are separate municipalities with different regulatory frameworks.
RUIDOSO DOWNS (City): Short-term rentals ARE allowed with specific regulations and permitting requirements.
RUIDOSO (Village): Short-term rentals ARE allowed but require comprehensive permitting, inspections, and compliance with updated Ordinance 2025-01 adopted February 2025.
Ruidoso Downs hosts earn a median $11,821/year with $161 ADR and 44% occupancy.
Top performers pull in $33,736+ per year.
See the full Ruidoso Downs market breakdown →Step 1: Business Registration
Step 2: Obtain Required Permits
Step 3: Contact Information
Step 1: State Registration
Step 2: Village Permitting
Step 3: Property Preparation
Essential Documents:
Key Contacts:
Additional Requirements:
Essential Documents:
Application Materials:
Safety Requirements:
Zoning & Land Use:
Business Operations:
Fees:
Permitting (Ordinance 2025-01 - Effective February 2025):
Occupancy & Safety Limits:
Tax Requirements:
Prohibited Property Types:
Enforcement:
Business Registration:
Tax Compliance:
Planning Services Department:
Administrative Assistant:
Building Permits:
City Clerk's Office:
STR Administration:
Emergency/Complaints:
Planning Department:
Building Inspector:
Emergency Management:
New Mexico Taxation and Revenue:
Construction Industries Division:
Ruidoso Downs Municipal Information:
Ruidoso Village Information:
State Resources:
Additional Resources:
Ruidoso Downs vs. Ruidoso: These are separate municipalities with different regulatory frameworks. Properties in each jurisdiction follow different rules, fees, and processes.
Regulatory Maturity: Ruidoso Village has more comprehensive and recently updated regulations (Ordinance 2025-01), while Ruidoso Downs maintains simpler business licensing requirements.
Geographic Considerations: Both areas are mountain communities with fire safety concerns and seasonal tourism patterns, but each has developed distinct approaches to STR regulation.
Investment Implications: Understanding which municipality your property falls under is crucial for compliance and operational success.
This guide is based on publicly available information as of 2025. Always verify current requirements with local authorities before making investment decisions.
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Ruidoso Downs is a city in Lincoln County, New Mexico, United States, located within the Lincoln National Forest. The population was 1,824 at the 2000 census and 2,815 at the 2010 census. Originally incorporated as a village, it became a city in May 2002. Known locally as "the Downs", Ruidoso Downs is a suburb of adjacent Ruidoso and is a part of the Ruidoso Micropolitan Statistical Area. The city, located along U.S. Route 70, is named after the Ruidoso Downs Race Track, which is located in the city along with the Billy the Kid Casino and the Hubbard Museum of the American West.
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