What qualifies as a short-term rental?

Short-term rentals are a type of lodging sometimes called vacation rentals. A house, condo, or apartment (or a part of one) that is rented for a fee for fewer than 30 consecutive nights is a short-term rental. Examples of short-term rentals are those rented through platforms such as Airbnb and VRBO. All Village short-term rentals are required to obtain a CRS Business Registration Number, a Short-Term Rental Permit, and comply with all the provisions , as adopted by Village Council in Ordinance 2019-03 in March 2019. To begin the application process, be prepared to provide the following:

  1. Proof that your Short Term Rental uses a Village-issued Address (a photo of your house with the street number visible)

  2. A letter from the State of NM showing your CRS Business Registration Number.

  3. To apply for a Short Term Rental Permit or to pay Lodger’s Tax, click Host Compliance to the registration site

What isn’t a short-term rental?

This section does not cover:

  • Rooms or apartments rented out for more than a month at a time

  • Traditional bed and breakfasts

  • Hotels and motels

  • Rules about business licensing, taxes, limits on number of units, and other provisions for short-term rentals that are currently in effect.

Rules to Follow

Short-term rentals ARE allowed in:

  • Most structures established as dwelling units

Short-term rentals are NOT allowed in:

  • RVs, tents, garages, boats, and other spaces that are not considered dwelling units

  • Floating on-water residences, waterfront residences, and other areas where lodging activities are prohibited.

  • Dwellings in commercial or industrial buildings.

  • Live-work units.

Requirements for all short-term rentals:

  • Ruidoso is a fire-wise community - it is your responsibility as a property owner that your renters are aware of the current fire restrictions.

  • The Village of Ruidoso recommends that as a property owner you consider purchasing short term rental insurance.

  • No more than eight people total may occupy a dwelling unit (with some exceptions).

  • You must meet the parking, noise, housing and building maintenance, and other code requirements that apply to your property,

  • If the short-term rental is not within your own home, you must register with the New Mexico’s Host Compliance program.

  • If you serve food to your guests, you must meet all applicable state and county health regulations.

  • All short term rentals rented 29 days or less are required to collect Lodger’s Tax and Gross Receipts Tax (GRT) on the gross charge to the guest.

Licensing and tax requirements:

  • You must have a permit to operate a short-term rental in the Village of Ruidoso.

  • The state Department of Health may also require you to get a transient accommodation license.

  • The state Department of Taxation and Revenue requires you to pay certain types of taxes for your short-term rental.

Read the Code


If you receive notice of a Short-Term Rental hosting violation and don’t fix the problem in a timely manner, we may fine you. We will also charge you for inspections.