Ruidoso Downs is a city in Lincoln County, New Mexico, United States, located within the Lincoln National Forest. As of the 2020 census, Ruidoso Downs had a population of 2,620. Originally incorporated as a village, it became a city in May 2002. Known locally as "the Downs", Ruidoso Downs is a municipality separate from the Village of Ruidoso and is adjacent to the Village of Ruidoso Ruidoso. The city, located along U.S. Route 70, is named after the Ruidoso Downs Race Track, which is located in the city along with the Billy the Kid Casino. The city is home to the Hubbard Museum of the American West.