34 / 100

Otero County, NM

Alamogordo

RANK #655 / 996 NAT  ·  #7 / 11 NM  ·  POP 67,850

1YR FORECAST: +0.9%

5YR OUTLOOK: +20%

#10 Best Rental Yield
Our model projects Otero County's housing market at +0.9% over the next year, underperforming most U.S. counties.

[01] Why Otero County?

Otero County, New Mexico, is perhaps best known for White Sands National Park, a striking landscape of gypsum dunes that draws visitors for hiking, sand sledding, and stargazing. Located in southern New Mexico, the county seat, Alamogordo, is approximately 85 miles from El Paso, Texas. The area offers a blend of desert and mountain environments, with the Sacramento Mountains and Lincoln National Forest providing opportunities for hiking, camping, and skiing at Ski Cloudcroft, the southernmost ski resort in the country. Life in Otero County is shaped by its natural amenities and military presence. Holloman Air Force Base and White Sands Missile Range are significant employers, contributing to a community with a notable number of military retirees. The economy is driven by government employment, tourism, retail trade, and construction. Alamogordo Public Schools serve over 5,000 students across multiple campuses, including those from Holloman Air Force Base. The county has recently explored regional economic development initiatives with neighboring Lincoln County to attract businesses and boost tourism.

[02] Market Snapshot

Housing Ratio
3.2x

Undervalued relative to economy

GDP Growth
-0.5%

Contracting economy

Home Prices
-1.4%

Prices declining

Climate & Terrain
4.0

Favorable climate & terrain

Price/Rent
8x

Strong rental yield

Housing looks undervalued at 3.2x — home prices are low relative to local economic output. Climate and geography support a structural premium. The typical U.S. county is 4–6x.

[03] Top Employers

  1. 1
    Holloman Air Force Base Military
    2,500+
  2. 2
    Otero County Government Government
  3. 3
    Gerald Champion Regional Medical Center Healthcare
    1,000+
  4. 4
    Alamogordo Public Schools Education
  5. 5
    The Lodge in Cloudcroft / Inn of the Mountain Gods Resort and Casino Hospitality
  6. 6
    New Mexico State University-Alamogordo Education
  7. 7
    Walmart Retail

Estimated local headcount ranges. Larger employers shown as floor + "+"; smaller employers show exact counts where reported.

[04] Home Value Growth vs National

Otero County U.S. National

The Numbers

DEMOGRAPHICS
Population
67,850
+0.82% YoY
Median Household Income
$50,833
Median Home Value
$139,100
-1.42% 12mo
Median Rent
$882
Average Annual Pay
$50,017
+3.1% YoY
Employment
17,528
0.0% YoY
Income-to-Home-Value
0.3654
More affordable than average
Migration Inflow
2.38%
of pop. from another state
Bachelor's Degree+
21.0%
of residents (national avg: 33%)

Market Activity

REAL ESTATE
Median Sale Price
$264,900
Days on Market
86
Slower market
Months of Supply
5.9
Buyer's market
Listings w/ Price Drops
17.0%
Building Permits (2024)
6
Single-Family Permits
6

Source: Redfin · Census BPS — Browse sales on Redfin →

[05] Crime & Safety

C
SAFETY
GRADE
Homicide Rate
6.8
per 100K · nat avg 6.3
Firearm Fatalities
25.0
per 100K · nat avg 14.8
Injury Deaths
107.8
per 100K · nat avg 76.3
vs National Average
Near national avg
based on homicide rate

Source: CDC/NCHS vital statistics via County Health Rankings (2020–2022 avg). Rates per 100,000 population. Grade based on homicide rate relative to national average (~6.3). Learn more →

[06] Score Breakdown

GDP Growth -0.5% 6 percentile
Population Growth +0.8% 65 percentile
Income Growth +8.3% 42 percentile
Vacancy Rate 1.7% 14 percentile
Home Price Change -1.4% 18 percentile
Rent Growth +3.5% 60 percentile
Price/Rent 8x 99 percentile

Bars show percentile rank among all 996 counties.

[07] Frequently Asked Questions

Is Otero County, NM a good place to move to?

At 34/100, Otero County faces headwinds that place it in the lower third of the 996 counties we track. Median income of $50,833 suggests the local economy is struggling to keep pace with national trends.

Is Otero County affordable?

By national standards, Otero County is quite affordable. Homes here have a median value of $139,100, and the income-to-home-value ratio of 0.37 is well above the U.S. average — especially with median rent at just $882/month. Residents can generally buy a home without being cost-burdened.

Is Otero County growing or shrinking?

Otero County's population is growing — up +0.8% YoY — while the job market is roughly flat (employment change of 0.0%). Home values shifted -1.4% over the past year. In-migration is outpacing local hiring, which often points to remote workers or retirees driving the headcount.

Are people moving to Otero County?

There's a moderate stream of newcomers. About 2.38% of residents moved from another state, which is above average and suggests Otero County has appeal as a relocation destination — though it's not among the highest-inflow counties nationally.

[08] Similar Counties by Size & Score

Lea County, NM 37 Bernalillo County, NM 29 McKinley County, NM 42 Doña Ana County, NM 42 Sandoval County, NM 17 Santa Fe County, NM 8 La Plata County, CO 34 Coffee County, AL 34