A New Mexico mechanic’s lien is a legal document that contractors, subcontractors, and material suppliers can use to demand compensation from property owners for unpaid work and supplies. By filing a lien with the clerk of the count in which the property is located, the claimant (the contractor/tradesperson) secures a financial interest in the property for the amount they are owed by its owner.

Putting a lien on the property diminishes the owner’s ability to sell because a buyer would need to assume the debt to the claimant. If the claimant is not paid the amount owed and doesn’t begin legal action against the property owner within two (2) years of the lien filing date, their claim will no longer be legally valid. If the claimant doesn’t have a direct contract with the owner or original contractor, the claim is for an amount greater than $5000, and the property has more than four (4) dwellings, the owner must be given notice of the claimant’s right to file a lien within sixty (60) days of the date the services or materials were provided before a lien can be recorded (§ 48-2-2.1(B)).