Ancho was established in 1899 with the coming of the railroad. At one time there were brick kilns , but the brick proved to be of an inferior quality. The town served as a trading center for cattle and sheep ranchers and miners who scratched the gullies and streams of the Jicarilla Mountains.

The public school closed in 1954 and the main highway between Vaughn and Carizozo bypassed the town in 1955 and the railroad ceased all stops in 1959. In 1963, Jackie Silvers opened a museum, "My House of Old Things" in the old railroad depot, which she had purchased and relocated near her home.