Dec. 19 – A state housing finance board filed an ordinance to change the definition of who is considered “moderate income” to include more people.
Housing New Mexico, formerly the New Mexico Mortgage Finance Authority, had proposed raising the moderate income limit to New Mexicans who make up to 200% of the region’s median income. But board Chairman Angel Reyes removed the topic from Wednesday’s board agenda, spokesperson Kristie Garcia confirmed in an email Thursday.
“In recent days we have heard concerns from lawmakers and stakeholders about the proposed change that we would like to address and allow time for discussions,” she wrote. “We want to make sure we understand their concerns. We would like more time to provide more information to lawmakers about how funds are allocated across the housing continuum to provide a better understanding of where and how resources are used.”
The quasi-governmental agency provides financing through bonds, tax credits and other sources to make housing affordable for low- and moderate-income New Mexicans through down payment assistance, affordable mortgages, rental assistance and more.
The agency increased the definition of “moderate income” from 120% to 150% of the region’s median income in 2023. Some lawmakers who serve on the Mortgage Finance Authority Act Oversight Committee said they were concerned that a second increase would leave New Mexicans at the bottom of the income spectrum.
In an email, Daniel Werwath, housing policy advisor to Gov. Michelle Lujan Grisham, said he was encouraged by Housing New Mexico’s decision to delay the change.
“Overall, we believe that expanding limited public housing resources to higher income groups is not the best way to address the historic housing shortage,” he wrote. “Instead, we would like to see a concerted effort to close the supply gap, with a focus on creating more starter homes that New Mexicans can afford without subsidies.”
Several lawmakers, including Reps. Angelica Rubio, D-Las Cruces, and Andrea Romero, D-Santa Fe, have said they are working on affordable housing legislation that they plan to introduce when the legislative session begins in January.
