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New Mexico · NMSA 1978, §§45-6-401–45-6-417New Mexico transfer on death deed: selling before death, and selling as the beneficiary

A New Mexico transfer on death deed has the formalities of a recordable deed, states that the transfer occurs at the owner's death, and must be recorded with the county clerk before the owner dies (NMSA 1978, §45-6-409). During the owner's life it doesn't affect the owner's right to sell or mortgage the property and creates no interest for the beneficiary, so the beneficiary doesn't sign the sale (§45-6-412). A recorded deed is revoked only by a later acknowledged and recorded instrument – a new transfer on death deed, a revocation, or a deed that expressly revokes it – not by an act on the deed itself (§45-6-411). At the owner's death a surviving beneficiary takes the property subject to all recorded conveyances, mortgages and liens (§45-6-413), and is liable for allowed claims against the estate to the extent §45-6-102 provides (§45-6-415).

The rules

  1. 1. Recording (§45-6-409)

    Recorded with the county clerk before the owner's death.

  2. 2. During life (§45-6-412)

    Owner can sell or mortgage; the beneficiary has no interest.

  3. 3. Revocation (§45-6-411)

    Only by a later acknowledged, recorded instrument.

  4. 4. At death (§45-6-413)

    Beneficiary takes subject to recorded mortgages and liens.

What the TC can do

  • If the title report shows a recorded transfer on death deed, tell the title company the owner is selling during life.
  • If the owner has died, collect the death certificate and the beneficiary's details for the title company.
  • Ask the title company about estate claims under §45-6-415 before closing.

Questions about New Mexico transfer on death deeds

Does the beneficiary have to sign if the owner sells the house?

No, during the owner's life the deed doesn't affect the right to sell and gives the beneficiary no interest (NMSA 1978, §45-6-412).

Does a New Mexico transfer on death deed pass the mortgage too?

The beneficiary takes the property subject to all recorded mortgages and liens (NMSA 1978, §45-6-413(B)).

Related guides

Add the title questions about the transfer on death deed as tasks in ClosingCode.

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Source: NMSA 1978, §§45-6-409, 45-6-411–45-6-413 and 45-6-415 (New Mexico Statutes Annotated 1978 at nmonesource.com, read October 28, 2026).

General information, not legal advice. ClosingCode is software; it is not a law firm or brokerage. This guide is not a substitute for the advice or services of an attorney.