Mesa man loses $449,328 home after HOA forecloses over $977 in missed assessments — lawyers say it's not uncommon

On November 15, 2024, Toby Newton lost his home in Mesa's Superstition Springs community after the homeowners association (HOA) foreclosed on a $977 debt of missed assessments. Newton, 53, bought the home in 2022 but experienced financial hardship in 2024 when he lost his job. He missed three quarters of assessments totaling $171, leading to foreclosure proceedings.

Despite efforts to negotiate a payment plan, the HOA rejected offers and proceeded with foreclosure, which was approved by default due to Newton's absence at court. The home was sold at auction for $8,172 to the HOA. Experts say such foreclosures over small debts are not uncommon and may be allowed depending on the state's laws.

Newton's case highlights the importance of proper communication and notice from the HOA, as well as seeking legal advice early to avoid such outcomes.