Detailed Answer

When a person dies without a will (intestate) in New Mexico, whether a bank account or piece of property passes directly to a survivor or must go through probate depends mainly on how the asset is titled and whether a beneficiary designation exists.

1. Assets that usually pass outside probate

• Joint accounts with right of survivorship. If an account or deed is held as joint tenants with right of survivorship (or similar language giving survivorship rights), the surviving joint owner typically becomes the sole owner automatically. The bank or county recorder will usually require a death certificate and ID before transferring control.
• Payable-on-death (POD) or transfer-on-death (TOD) designations. Accounts or securities with a valid POD/TOD beneficiary pass directly to the named beneficiary and do not go through probate.
• Some beneficiary-designated retirement or insurance accounts. Accounts with named beneficiaries (IRAs, life insurance) pass to those beneficiaries outside probate.

2. Assets that often go through probate (intestate succession)

Assets titled only in the decedent’s name and without a beneficiary designation must generally be distributed through New Mexico probate under the intestacy rules. That includes:

• Real estate held solely in the decedent’s name.
• Bank accounts or investments titled only in the decedent’s name without POD/TOD.
• Personal property with no named transferee.

3. Who inherits under New Mexico’s intestacy rules?

New Mexico’s intestacy (probate) law sets the order and shares of inheritance when there is no will. Which relatives inherit — and how much — depends on who survives the decedent (spouse, children, parents, siblings, etc.) and on whether property is community or separate property. The full rules are in New Mexico’s probate statutes (see Title 45). For the exact statutory allocation, review the New Mexico statutes or consult an attorney:

New Mexico Statutes (search Title 45 — Probate Code)

4. Common scenarios (hypotheticals)

Hypothetical A — Joint bank account titled as “A and B, with right of survivorship”: B presents the decedent’s death certificate to the bank. The bank releases funds to B. The account usually does not enter probate.

Hypothetical B — Parent listed an adult child on an account to help manage finances, but title did not explicitly create survivorship rights: The bank may freeze the account and ask for probate or documentation. A court could later review whether the child received the account as a gift or merely as a convenience.

Hypothetical C — House titled solely in the decedent’s name: The house normally goes through probate. Under intestacy, the house may pass to the surviving spouse, the decedent’s children, or both, depending on family structure and whether the property is separate or community property.

5. Practical steps for survivors

1. Notify banks and institutions and provide a certified death certificate.
2. Check account titles and look for POD/TOD beneficiary names.
3. If assets appear to be jointly titled with survivorship or have beneficiaries, ask the institution what documents it needs to transfer ownership.
4. If assets are titled only in the decedent’s name or institutions refuse to release funds, you may need to open a probate case in New Mexico probate court.
5. Consider a small estate procedure if the estate qualifies; courts or the New Mexico Courts website can explain available streamlined processes.

6. Complications and potential disputes

Common issues that lead to disputes include:

• Unclear or informal account title changes (someone added to an account for convenience).
• Claims that a joint-owner was added due to undue influence or as part of an informal agreement.
• Conflicts between beneficiary designations and a will (beneficiary designations generally control for those specific accounts).
• Uncertainty whether property is community or separate property (this affects a surviving spouse’s share).

7. Where to find official New Mexico guidance

For general procedural information and forms, review New Mexico Courts materials on probate and intestacy. For the statutory text, consult the New Mexico statutes (Title 45 — Probate Code):

• New Mexico Courts — Probate & Guardianship Self-Help
• New Mexico Statutes (search Title 45 — Probate Code)

Bottom line: Joint accounts and assets with valid beneficiary or survivorship designations usually pass outside probate to the named survivor. Assets held only in the decedent’s name generally go through New Mexico probate and distribute under intestacy rules.

Helpful Hints

• Get multiple certified copies of the death certificate early. Many institutions will ask for one.
• Ask each bank or title company whether the account is considered “payable on death,” “transfer on death,” or “joint with survivorship” — terminology matters.
• If the bank freezes an account, request a written explanation of what they need to release funds.
• Keep detailed records of how and when someone was added to an account — those facts matter if there is a later dispute.
• If the estate seems small, ask the court clerk about small estate or summary probate procedures to save time and cost.
• Contact a New Mexico probate attorney if you encounter title disputes, possible undue influence, or if significant real estate or complex family situations are involved.