New Mexico Tenant Law: Security Deposits, Late Fees & Landlord Entry (2026)

Security deposits

Max

If the rental agreement is for less than one year, the deposit may not exceed one month's rent. For an annual (one-year) agreement the statute sets no cap, but if the deposit is more than one month's rent the owner must pay the resident annual interest (passbook savings rate) on it. Prepaid last month's rent is not a deposit.

Return deadline days

30 days

Itemization required

Yes

Interest required

Only where the agreement is annual and the deposit exceeds one month's rent (47-8-18(A)(1)): the owner must pay annual interest equal to the passbook rate. No interest on deposits up to one month's rent.

Source: NMSA 47-8-18(A)-(E)

Late fees

Rule

If the lease provides for a late fee, it may not exceed 5% of the rent for each rental period in default (reduced from 10% by Laws 2025, ch. 122, effective June 20, 2025). It is calculated on rent only, not deposits, fees or utilities, and the owner must give notice of the fee by the last day of the next rental period.

Source: NMSA 47-8-15(D)

Landlord entry

Notice

Unless otherwise agreed, 24 hours' written notice stating the intent to enter, the purpose, the date and a reasonable estimate of the time frame. Notice is not required for repairs or services within 7 days of a resident's request, or when accompanied by a public official or utility representative. Entry without consent is allowed in an emergency; the owner may not abuse the right of access.

Source: NMSA 47-8-24

Ending a month-to-month tenancy

Tenant

At least 30 days' written notice before the periodic rental date specified in the notice (47-8-37(B)).

Landlord

Same: at least 30 days' written notice before the periodic rental date specified in the notice (47-8-37(B)). For nonpayment the owner may end the agreement after a 3-day written notice (47-8-33(D)); for other breaches 7-day notice (47-8-33(A)).

Source: NMSA 47-8-37, 47-8-33, 47-8-15(C)

Rent increases

Rule

Month-to-month: written notice at least 30 days before the periodic rental date; fixed term: at least 30 days before the end of the term (47-8-15(F)). Increases to fees need 60 days' written notice (47-8-19.4).

Statewide rent control

No statewide rent cap found in the Act.

Source: NMSA 47-8-15(F), 47-8-19.4

Repairs & habitability

Rule

The owner must substantially comply with housing codes affecting health and safety, make repairs, and keep plumbing, electrical, heating and similar facilities in good working order (47-8-20(A)). After written notice and 7 days without repair, the resident may terminate or abate rent: one-third of the daily rent, or 100% if the unit is uninhabitable and vacated (47-8-27.1, 27.2).

Source: NMSA 47-8-20, 47-8-27.1, 47-8-27.2

Retaliation

Rule

An owner may not raise rent, cut services or bring or threaten a possession action because, within the previous six months, the resident complained to a code agency, organised, exercised rights (incl. written repair requests), made a fair-housing complaint, was in a lawsuit, testified or abated rent. Uniform increases applied to similar units are allowed. Violations: liable for two times the monthly rent and it is a defense to eviction.

Source: NMSA 47-8-39, 47-8-48(C)

Clauses often unenforceable in New Mexico

• Any clause making the resident or owner waive rights or remedies under the law (47-8-16)
• Guest-occupancy fees for a reasonable number of guests for a reasonable time (47-8-15(E))
• Late fees above 5% of rent, or calculated on deposits, fees or utilities (47-8-15(D))
• Screening or application fees above $50 or any other application-processing fees (47-8-19.2)
• Deposit deductions for normal wear and tear (47-8-18(C))
• Lockouts, removal of belongings or utility shut-offs without a court order (47-8-36)