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Updated 2025 Tax Year

Lea County
Property Tax Guide

Everything you need to know about property taxes in Lea County, NM. Rates, due dates, exemptions, and how it affects your monthly payment.

10 Official Sources
8 min read
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Quick Facts
Tax Rate
0.88% effective rate (varies by district due to special levies for municipalities, fire districts, library districts)
Exemptions
4+ Available
Section 1

How Property Tax Works

Lea County property taxes fund essential local services including schools, county government operations, fire protection, and infrastructure maintenance. The county's property tax system operates on a mill levy basis, where one mill equals $1 for every $1,000 of assessed value. Property is assessed at approximately 33.33% of market value for residential properties.

The effective tax rate in Lea County for FY 2025-2026 is approximately 0.88% of assessed value, though actual rates vary significantly by location within the county due to special taxing districts. Properties within incorporated municipalities or special districts may face additional levies for services like municipal bonds, fire districts, or library districts. Homeowners should verify their specific tax rate based on their property's location and applicable special assessments.

The county assessor determines property values annually, with tax bills typically issued in the fall for the following calendar year. All property tax credits and exemptions require separate applications and are not automatically applied to your assessment.

Section 2

What Makes Up Your Tax Bill

ComponentRate (Mills)Description
County General Fund~3.5Basic county services and operations
School Districts~4.0-6.0Local school district operations (varies by district)
Debt Service~1.5-2.0County and school bond payments
Special Districts~0.5-2.5Fire, library, hospital districts (location dependent)
Total Effective Rate~8.8Approximately 0.88% of assessed value

Rates shown are for FY 2025-2026 levy year and represent typical ranges. Actual rates vary by specific location within Lea County based on applicable special taxing districts. Properties in Hobbs, Lovington, Eunice, Jal, and Tatum may have additional municipal assessments. Contact the Lea County Assessor's Office for your property's exact tax rate breakdown.

Section 3

When Are Property Taxes Due?

For the 2025/2026 tax year in Lea County, property taxes are due in two installments:

Pro tip: If you pay through mortgage escrow, your lender splits these payments across your monthly mortgage. If you pay directly, set calendar reminders to avoid late penalties.
Section 4

Supplemental Tax Bills

Supplemental taxes in Lea County are additional property tax bills issued when there are changes in property ownership, completion of new construction, or significant improvements that increase assessed value during the tax year. These taxes cover the difference between what was originally assessed and the new assessment, prorated for the remaining months in the tax year.

Common triggers include: purchasing a newly constructed home, completing major renovations that add square footage, adding structures like garages or pools, or when the assessor discovers unreported improvements. The supplemental tax is calculated by determining the difference in assessed value, applying the current tax rate, and prorating based on the number of months remaining in the fiscal year.

For example, if you complete a $50,000 home addition in March that increases your assessed value by $16,665 (at 33.33% assessment ratio), and your tax rate is 0.88%, you would owe approximately $147 in supplemental taxes ($16,665 × 0.0088) prorated for the remaining 9 months of the fiscal year, resulting in a supplemental bill of about $110.

Example Calculation

Example 1: $300,000 Home

  • Market Value: $300,000
  • Assessed Value (33.33%): $100,000
  • Less: Homestead Tax Credit (if applied): -$4,000
  • Net Taxable Value: $96,000
  • Annual Tax (0.88%): $845
  • Monthly Payment: $70

Example 2: $600,000 Home

  • Market Value: $600,000
  • Assessed Value (33.33%): $200,000
  • Less: Homestead Tax Credit (if applied): -$4,000
  • Less: Veterans Exemption (if qualified): -$4,000
  • Net Taxable Value: $192,000
  • Annual Tax (0.88%): $1,690
  • Monthly Payment: $141

Example 3: $1,000,000 Home

  • Market Value: $1,000,000
  • Assessed Value (33.33%): $333,333
  • Less: Homestead Tax Credit (if applied): -$4,000
  • Net Taxable Value: $329,333
  • Annual Tax (0.88%): $2,898
  • Monthly Payment: $242

Note: All tax credits require separate applications and approval. Homestead credit limits assessment increases rather than providing a flat reduction. Veterans exemptions require proof of qualifying military service and disability rating.

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Section 5

Escrow & Property Taxes

Most mortgage lenders in Lea County require borrowers to establish an escrow account for property taxes, especially when the down payment is less than 20%. The lender collects monthly payments equal to 1/12 of the annual property tax bill and pays the county directly when taxes are due. Lenders typically collect an initial escrow deposit of 2-3 months of estimated taxes at closing.

Property taxes in Lea County are paid in two installments: the first half is due November 10th and the second half is due April 10th of the following year. Lenders usually pay these installments on behalf of borrowers from the escrow account. The Lea County Treasurer's office at 100 N. Main Ave Suite 3C, Lovington, NM 88260 handles all tax collections.

Homeowners should review their annual escrow analysis statement to ensure adequate funds are being collected. If property values increase significantly or tax rates change, the monthly escrow payment may need adjustment. You can verify your property's tax payment status and view your account balance online through the Lea County Treasurer's website or by contacting their office directly.

How HonestCasa Helps
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Section 6

Frequently Asked Questions

Q: When are property taxes due in Lea County for FY 2025-2026? A: The first installment is due November 10, 2026, and the second installment is due April 10, 2027. Payments are considered late if not received by 5:00 PM on the due date.

Q: What tax credits are available and do I need to apply? A: Common credits include the Homestead Tax Credit (up to $4,000 assessed value reduction), Veterans Exemption (for qualifying disabled veterans), and Senior/Disabled Person Credit. ALL credits require separate applications filed with the County Assessor's office by the statutory deadline, typically March 1st annually.

Q: How does the Homestead Tax Credit work? A: The Homestead Credit doesn't reduce market value but limits how much your residential assessment can increase each year (typically capped at 3% annually). You must file an application and the property must be your primary residence. This credit requires annual certification of continued eligibility.

Q: When does the county assess properties and how can I appeal? A: The Lea County Assessor conducts annual assessments with notices typically mailed by April 1st. Property owners have 30 days from the notice date to file a protest with the County Valuation Protest Board. Appeals must be filed in writing with supporting documentation.

Q: What are the penalties for late payment? A: Interest accrues at 1% per month on unpaid taxes starting the day after the due date. After May 10th (one month after the second installment), additional penalties apply and the property may be subject to tax lien proceedings.

Q: Can I pay my property taxes online? A: Yes, the Lea County Treasurer accepts online payments through their official website. Credit card payments typically incur a processing fee of 2.5-3%. E-check payments usually have lower fees.

Q: How do special district taxes affect my bill? A: Properties within fire districts, library districts, or municipal boundaries pay additional levies for those services. Your location determines which special districts apply. Contact the Assessor's office to determine your property's specific district assignments.

Q: What happens if I disagree with my assessed value? A: File a written protest with the County Valuation Protest Board within 30 days of receiving your assessment notice. Include comparable sales data, recent appraisals, or evidence of property condition issues. Informal reviews with the assessor's office are also available before formal protests.

Verified Sources

Backed by 10 Official Government Sources

Every fact in this guide is sourced from official county, state, and federal documents.

01
County
County Net Taxable Valuesnmdfa.state.nm.us
02
County
County Data Classificationnmlegis.gov
03
Tax Doc
Certificates of Property Tax Ratesnmdfa.state.nm.us
04
State
SECRETARY OF STATE Dec, 2016cfis.state.nm.us
05
IMPORTANT DATEStax.newmexico.gov
06
Money Mattersnmlegis.gov
07
Tax Doc
Property Taxes in New Mexiconmlegis.gov
08
Tax Doc
Property Tax : Individualstax.newmexico.gov
09
relating to general obligation bondsnmlegis.gov
10
Submittal of Responses to Environmental Report RAIs ...nrc.gov
All sources verified as of 2025 Tax Year

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