The Islands — Rio Rancho, NM

55+ townhomes resale • Sandoval County • 102 homes • 20K-20K

The Islands is a small, established 55+ townhome community in Rio Rancho built in the late 1980s and early 1990s. With 102 units, it is the smallest formal 55+ community in the market — fully built-out resale only, no new construction. Average prices around 82,000 make it the most affordable entry point among the fee-simple communities. The townhome format means low exterior maintenance, though buyers should verify HOA reserves carefully in any community this age. Rio Rancho sits in Sandoval County (effective ~0.71%), slightly lower than Albuquerque proper. Access to Cottonwood Mall, Presbyterian Rust Medical Center, and I-25 is straightforward from The Islands.

NM Income Tax Reminder: New Mexico taxes pension, IRA, and 401(k) withdrawals at graduated rates up to 5.9%. Social Security is exempt only if MAGI is under $100,000 (single) or $150,000 (married). This applies to all NM communities including this one. Factor it into your retirement income plan before committing to New Mexico.
NM One-Third Assessment Rule: New Mexico taxes residential property on one-third of appraised value. A $400,000 home is taxed on approximately $133,000 of assessed value. At Sandoval County rates, this produces one of the lower effective property tax rates in the Sun Belt.

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