A New Mexico residential lease agreement (“rental agreement”) is a legal contract between a landlord overseeing a rental property and a tenant using the property. State and local laws set the rules for rental agreements, such as laws regulating the use of a tenant’s security deposit.
New Mexico Lease Agreement Disclosures
These disclosures are required for residential lease agreements in New Mexico:
| Disclosure | Applicable To |
|---|---|
| Landlord Name and Address | All Units |
| Late Fees | All Leases Charging Late Fees |
| Lead Paint | All Units Built Before 1978 |
Landlord’s Name and Address
Applies to all New Mexico rentals.
New Mexico leases must contain the name and address of the landlord (or authorized agent). This allows required communication (for example, about repairs) to happen in a smooth way. For this reason, most leases also include phone numbers and email addresses.
Contact information most often is written in the lease agreement, for maximum convenience. The landlord must notify the tenant whenever there’s a change in contact information.
Late Fee Disclosure
Applies to any New Mexico lease charging late fees.
New Mexico will only enforce late fees agreed in the lease, including the fee amount and the timeline for charges. The state caps late fees at 10% of the overdue balance. State law does not set rules for returned check fees before 10 days past due. After 10 days and a demand for payment, the landlord can recover triple the face value of the check, with a minimum of $100 and a maximum of the face value + $500.
This is an example of a late fee section:
LATE FEE. If rent is not paid by the due date outlined in this lease, a late fee of ___% or $___ will be assessed to the balance after notice of late payment is provided.
Lead-Based Paint Disclosure
Applies to any New Mexico rentals built before 1978.
New Mexico residential leases for property built before 1978 must, by federal law, contain a lead-based paint disclosure. This requires landlords to do the following:
- Fill out and attach this lead-based paint disclosure form to the lease agreement
- Provide the tenant with an Environmental Protection Agency (EPA) approved pamphlet about the dangers of lead-based paint
- Provide any additional records or reports about the presence or hazards of lead-based paint in the unit (for multi-unit buildings with common areas, this includes information from building-wide evaluations)
Download: New Mexico Lead-Based Paint Disclosure Form (PDF)
Optional Disclosures and Addenda (Recommended)
The following lease agreement disclosures and addenda are not required by New Mexico law in residential lease agreements, but helps with tenant management and landlord liability.
| Optional Disclosure | Purpose |
|---|---|
| Asbestos | Informs tenants about any asbestos hazards related to the property. Tenants can reduce asbestos risk by not disturbing asbestos fibers. |
| Bed Bugs | Informs tenants whether the property or an adjacent unit has a history of suspected bed bug infestation, and reminds the tenant of the obligation to report suspected infestation immediately. |
| Medical Marijuana Use | Informs tenants about policy related to medical marijuana use on the rental property. Some state laws allow landlords to restrict marijuana usage to non-smoking methods only, or allow use only in designated smoking areas. |
| Mold Disclosure | Informs tenants about actual or suspected mold contamination on the property efforts, plus information about treatments. This helps limit landlord liability. |
| Move-in Checklist | Takes inventory of existing property damage, when the tenant moves into the rental property. This ensures accurate deductions from the security deposit upon move-out. |
| Non-Refundable Fees | Charges not agreed by the tenant in the lease may be refundable when the lease ends. For New Mexico landlords to charge a non-refundable fee, it must be disclosed and agreed as such in the lease. |
| Shared Utilities Arrangements | Sets terms for how to divide utility costs up on properties which share a utility meter with other units. This ensures tenants receive fair charges and understand what uses contribute to their bill. |
| Smoking | Informs tenants of designated smoking areas that do not interfere with the quiet enjoyment of other tenants. |
Consequences of Not Including Mandatory Disclosures
Mandatory disclosures outline important health, safety, and property information for the benefit of both landlord and tenant. A landlord who fails to provide federally or state-mandated disclosures could face legal consequences or monetary penalties, either from a tenant lawsuit or from state officials. Many lease provisions may be unenforceable without legally required disclosures.
Failure to comply with the federal lead-based paint hazard disclosure risks fines of tens of thousands of dollars per violation.
Sources
- 1 N.M. Stat. § 47-8-19(A) & (B)
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A. The owner or any person authorized to enter into a rental agreement on his behalf shall disclose to the resident in writing at or before the commencement of the residency the name, address and telephone number of:
(1) the person authorized to manage the premises; and
(2) an owner of the premises or a person authorized to act for and on behalf of the owner for the purpose of service of process and for the purpose of receiving and receipting for notices and demands.
B. The information required to be furnished by this section shall be kept current, and this section extends to and is enforceable against any successor, owner or manager.
Source Link - 2 N.M. Stat. § 47-8-15(D)
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If the rental agreement provides for the charging of a late fee, and if the resident does not pay rent in accordance with the rental agreement, the owner may charge the resident a late fee in an amount not to exceed ten percent of the total rent payment for each rental period that the resident is in default. To assess a late fee, the owner shall provide notice of the late fee charged no later than the last day of the next rental period immediately following the period in which the default occurred.
Source Link - 3 N.M. Stat. § 56-14-1
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In any civil action against a person for drawing any worthless check, the plaintiff may recover from the defendant damages in the amount equal to one hundred dollars ($100) or triple the amount for which the check is drawn, whichever is greater; provided that damages recovered under this section shall not exceed the amount of the check by more than five hundred dollars ($500) and may be awarded only if:
(1) the plaintiff made written demand of the defendant for payment of the amount of the check not less than ten days before commencing action; and
(2) the defendant failed to tender to the plaintiff prior to the commencement of the action an amount of money not less than the amount demanded.
Source Link
