HOA and condo association foreclosure in New Mexico

HOA and condo collection rules in New Mexico, step by step

• Which law covers your community

  Check your declaration

  The Homeowner Association Act applies to all homeowner associations created and existing in New Mexico, but it does not apply to a condominium governed by the Condominium Act. For associations created before July 1, 2013, the Act does not cancel existing rules in the declaration or bylaws, and a few sections, including the one on attorney fees, do not apply.

  NMSA 1978, § 47-16-15

• The lien is automatic

  From the day an assessment or fine is due

  The association has a lien on your lot for any assessment and for fines imposed on you from the time each comes due. If an assessment is payable in installments, the full amount is a lien once the first installment is due. Recording the declaration with the county clerk is the notice that perfects the lien, so the association does not have to record a separate lien first.

  NMSA 1978, § 47-16-6(B), (C)

• Ask for a statement of what you owe

  Answer due within 10 business days

  If you ask in writing, the association must give you a recordable statement of the unpaid assessments on your lot within 10 business days, and the statement binds the association and the board. Also ask for an itemized ledger that separates assessments, fines, late fees, interest and legal fees.

  NMSA 1978, § 47-16-6(D)

• Foreclosure goes through the court

  After you fall behind; no minimum set by the Act

  The Act says the association's lien may be foreclosed in like manner as a mortgage, and New Mexico mortgage foreclosures are court cases. You will be served and can file an answer. The Act sets no minimum amount, waiting period, notice before foreclosure, payment plan right or cap on collection fees, so check your declaration and collection policy and ask for a payment plan in writing.

  NMSA 1978, § 47-16-6(B)

• Fines can be part of the lien

  When a fine is imposed

  Because the lien covers fines as well as assessments, the Act does not stop an association from foreclosing over fines. House Bill 440 in the 2025 session would have barred foreclosing a lien less than 12 months delinquent, under $5,000, or made up only of fines, but it died in committee. Read your declaration for any hearing or notice steps before a fine.

  NMSA 1978, § 47-16-6(B); H.B. 440, 57th Leg., 1st Sess. (N.M. 2025) (not enacted)

• Attorney fees and your mortgage

  If there is a lawsuit

  For associations created on or after July 1, 2013, a court may award attorney fees and costs to whichever side wins, but only if the declaration or bylaws let at least one side recover them. The Act does not say whether the association's lien comes ahead of your mortgage, so keep paying your mortgage, which is a separate debt.

  NMSA 1978, §§ 47-16-14, 47-16-15(B)

Common questions in New Mexico