Legal Question in Family Law in New Mexico

It appears the answer to your question is contained in the explanation you provided. The Marital Settlement Agreement is a contract entered into by you and your ex-wife. Someone is paying for the house and it sounds like it was a community asset - until you divorced. However, the asset continues to have a debt associated with it. Thus, someone has to pay for the debt. Because you are paying rent I will assume that she is responsible for the loan to the bank. You did not say that your ex is living in the house with you but if she is then I will further assume you both are paying a portion of the debt. If you are living in there by yourself and she got the asset as a part of the divorce settlement and she is responsible for the debt associated with the asset then it is not unreasonable for her to charge rent if you seek to exercise an option to remain in the house. As with any landlord, if she is charging you too much you could move out and then she will be responsible for the entirety of the debt.

You did not mention whether you negotiated a rental agreement with her; if you did not - perhaps that would be a place to start in your attempt to address your situation.

Hope this helps.

Law Guru