A: The estate should be probated where your husband resided. If he lived in New Mexico, payed taxes, utilities, voted etc. the probate the will in New Mexico, if his residence was in another state the estate should be probated in that state.
A: If your mother had a will the proceeds from the sale must be distributed according to the will. If there is no will and no surviving spouse then to her children equally, if the child is deceased then that share goes to that child's children equally.