NM Underwriting Summary

UPL

Title insurance agents provide complete service on all aspects of escrow and title in the closing of a real estate transaction. No state law requires the involvement of an attorney. Attorneys are rarely involved in a typical residential transaction. Some agents use attorneys to prepare legal documents for a closing. Attorneys are frequently retained to represent the parties in a commercial transaction.

Mortgage/Transfer Tax

None

Spousal Joinder Requirements/Homestead

New Mexico is a community property state. All property acquired by husband and wife is presumed to be community property. Sections 40-3-8(B) and 40-3-12(A) NMSA 1978. Joinder of title-holding spouse is required by state statute in the execution of a conveyance deed or a security instrument. If joinder is lacking, the transaction may be ratified by the non-joining spouse, otherwise the deed or security instrument is void. See Section 40-3-13 NMSA 1978. Joinder of the non-title holding spouse is typically added to a conveyance deed and to the security instrument “pro forma”. NM now recognizes same sex marriages and community property laws apply to them in the same way.

Instrument Requirements

Certificates of Release

Title insurance underwriters (not agents) have the authority pursuant to state statute to execute and record releases of mortgages or deeds of trust subsequent to a 90-day period after payment in full of the mortgage or deed of trust and upon 10-day prior written notice to the lender. See Section 48-7-4.1 NMSA 1978.