Arizona Couple Loses Home Over $977 HOA Debt

Toby Newton and Sherri Patten, a couple residing in Mesa, Arizona, have lost their four-bedroom home, purchased for $475,000 in 2022, due to foreclosure initiated by their homeowners association over an outstanding debt of $977. The situation escalated in 2024 when Newton lost his job and was diagnosed with diabetes, leading to difficulties in meeting financial obligations, including HOA assessments of approximately $170 per quarter. Newton stated he contacted the HOA in 2024 to propose a payment plan, initially offering $50 per month towards the principal, which was rejected. He subsequently offered $133.70 per month, followed by an offer of $200 per month, both of which were also denied by the HOA. By November 2024, the HOA, represented by its lawyer Augustus Shaw IV, had commenced foreclosure proceedings. The foreclosure was officially finalized in the Superior Court of Arizona in July 2025. Court documents indicated that by this time, Newton owed $1,311 for missed HOA assessments, $1,042.09 in plaintiff's fees, and $3,345 in attorney's fees. The property was subsequently sold at a public auction in October 2025 to the Superstition Springs Community Master Association for $8,172. At the time of the auction, the total debt amounted to $6,579. Newton was informed by The Mesa Tribune that he had a six-month window to reclaim his home by paying off the debt. However, shortly thereafter, his partner, Sherri Patten, was diagnosed with aggressive breast cancer in both breasts, leading her to go on long-term disability. This compounded their financial strain, and the HOA payments were again deferred. The six-month redemption period expired before the couple could secure the necessary funds. The HOA then approached Newton with a revised offer to extend the redemption period to May 15, 2026, but the redemption fee had increased to $10,484. The Superstition Springs Community Master Association is a governing body responsible for maintaining common areas and enforcing community rules within a specific neighborhood in Mesa, Arizona. Homeowners associations typically collect regular assessments from residents to fund these services and can take legal action, including foreclosure, to recover unpaid dues.