A CALL has been made for changes in lettings procedures after a tenant lost his new Quarry Bank flat when it was repossessed by a building society because the landlord was in mortgage arrears.

Mathew Hall was shocked to discover the property was the subject of repossession proceedings just three days after taking the keys.

Oldswinford-based lettings agent, The Property Shop, told him he could not legally withdraw from his six-month tenancy agreement and it was still possible the landlord would settle his arrears.

But three weeks later, a court order was sent to the Brick Kiln Street flat advising that bailiffs would repossess it on July 26.

The 29-year-old customer service manager at Feridax in Halesowen quickly moved out and was refunded his £500 deposit by the The Property Shop which also then released him from the tenancy agreement.

However, he lost £500 spent on carpets and decorating and expected to forfeit the £395 first month’s rent he had shelled out and a £200 application fee paid to The Property Shop.

Mr Hall was “staggered” to learn that although he had to undergo credit checks by the lettings agent, landlords are not vetted.

He said: “I went through a lettings agent because I thought I would get some protection. It doesn’t seem right that it’s not standard practice to check that the owners are paying their mortgages. I think things need to change.”

Property Shop owner Daniel Thomas told the News it was now possible to refund the £395 rent payment to Mr Hall, which had been held by his company pending the outcome of the re-possession proceedings. The application fee will also be refunded as a “goodwill gesture”.

Mr Thomas added: “We are members of the Association of Residential Letting Agents and it is not their policy for mortgage checks to be carried out nor is it standard practice within the industry.

“However, we view this issue very seriously and are contacting the association to find out why it’s not policy. If we can instigate changes then that will be something good coming out of this.”