Selling land with back taxes in New Mexico

How New Mexico handles unpaid property taxes

New Mexico enforces unpaid taxes against the land itself, not just a lien on it. Once your redemption rights end, ownership passes, and in some states that happens before any auction. The rule below says when, so plan to sell before then.

The redemption rule in New Mexico: The state sells delinquent property at public auction after 3 years of delinquency, and the former owner has no right to redeem after the sale. The owner can stop a sale by paying everything due, or by signing an installment agreement, by 5 p.m. the day before. A former owner has 2 years after the sale to sue over the deed, but only on narrow grounds, such as a notice never mailed. A special sale can sell some vacant lots for less than the amount owed. It covers lots delinquent 10 years or more in subdivisions platted on or before 1980 that had at least 5,000 delinquent lots.

Law: NMSA 1978 7-35-2, 7-38-65, 7-38-67, 7-38-67.1, 7-38-70. Rules change, so confirm with the county tax collector.

What to do before the tax sale

• Call the county tax office and get the exact amount owed and the next sale date.
• Decide whether you want to keep the land. If not, selling before the sale stops the interest and penalties from growing.
• Gather the parcel number and any tax bills. A buyer and the title company need them to order a payoff.

New Mexico land at a glance

• Average farm real estate value: $735 per acre (2026, USDA).
• Average property tax on farmland: about $1.51 per acre per year (2022 Census of Agriculture).
• Transfer tax: New Mexico has no state real estate transfer or deed tax. The county clerk charges a recording fee, generally $25 per document (NMSA 1978 14-8-15). Since October 27, 2025, Santa Fe has charged a 3% excise tax on the part of a residential sale price over a threshold. The threshold adjusts each May 1, and the city code exempts undeveloped land.
• Seller disclosure: New Mexico has no statute requiring a seller condition disclosure form, but a lot in a homeowner association needs the association's disclosure certificate. The seller must give the buyer that certificate at least seven days before closing, plus the association's governing documents (NMSA 1978 47-16-11, 47-16-12). The buyer can cancel within seven days after receiving the certificate. For residential property, the seller or seller's broker must give the buyer the county assessor's property tax estimate before accepting an offer (NMSA 1978 47-13-4). Fraud law still applies.

These are statewide averages, not an appraisal. See selling land in New Mexico for county values, or try the land value estimator.

How a cash sale handles this

Liberty Acres is a family-owned cash land buyer. We buy land anywhere in the US, in any condition, including land with back taxes, inherited land and land with no road access. We pay back taxes and all closing costs, use no agents and charge no commissions, and close through a title company, escrow company or real estate attorney who pays you by wire or check.

Common questions