After 39 years living on a farm, this couple took their daughter’s advice

When farmer Phillip Gant suffered two massive strokes in 2022 and his wife Ann had to help care for him and tend to the animals and gardening on their 14-hectare property, their daughter had a word.“She suggested we have a look at downsizing and suggested Lincoln Lifestyle Mudgee Spring. While it was really hard to give up the property, we’re settling into our new lifestyle here and enjoying it,” Ann said.Since making the move in October last year, 84-year-old Ann said living at the community had made life easier in more ways than one, placing them close to everyday conveniences and offering some financial relief. “Being so close to town, we have easy access to all of the medical services, which has become really important,” she said.“Our property was about a 20-minute drive from town, but now, everything is so accessible, and we’re even closer to our daughter and grandchildren.“The financial benefits were also one of the reasons moving here was so appealing. Mudgee can be a bit of an expensive area, and as pensioners, purchasing a home in town was not financially viable for us, but through the land lease model at Lincoln Lifestyle Mudgee Spring we’re better off.”Under Lincoln Place’s land lease model, residents own their home and any capital gains while leasing the land it occupies. For residents at Mudgee Spring, it means no stamp duty, council rates and entry or exit fees, offering significant financial advantages for residents seeking to downsize without compromise.Ann said their two-bedroom home met Phillip’s new needs and was a comfortable, relaxing space for the pair within a vibrant community of friendly, like-minded neighbours.“Our home design is The Crest and it’s so perfect for us,” Ann said. “We especially love the open plan layout at the back of the house, which is beautiful and makes it easy to get around.“While I spend a lot less time gardening than I did before, my lovely garden at the back of the house is coming along nicely.“The community is great too and we have a lot of lovely neighbours, including people we knew long before we moved here who also lived in the area, as well as new friends.”“We get involved in the community when we can, we’ll go to the regular Friday catch ups, and sometimes we’ll just ask our friends to come and have a little drink with us at home.” The welcoming Lincoln Lifestyle community, located at 38 Spring Flat Road, Spring Flat, provides secure living, complemented by facilities including a competition-size bowling green, pickleball court, bbq area and caravan storage. A range of new resort-style facilities are planned with a clubhouse under construction. Homes are selling now from $640,000. Return to Newsletter

Five things to look for when joining a retirement village or seniors housing community

Across Australia, almost 200,000 older Australians call a retirement village home and another 130,000 live in land lease communities.It is a major decision and Aged and Community Care Providers Association (ACCPA) CEO Tom Symondson has listed five key factors to consider to ensure you choose the best retirement village.Amenities / facilities“Consider what amenities and facilities are important to you in a retirement village. Many villages offer recreational options such as swimming pools, gyms and bowling greens. On-site services such as hair salons, libraries and cafes can add convenience and enhance the community atmosphere. Identify which amenities are most important to you and ensure the village you choose meets those needs. Many new developments and service models have emerged and grown in popularity, such as Land Lease Communities. These communities are known for their access to premium amenities,” Tom said.        2) Health and Support Services  “Healthcare and support services may be essential to you as you age. Investigate the care services provided within the village. With the increasing popularity of home care in retirement village settings, it is worth exploring whether the village operates its own home care services or partners with reputable third-party providers to deliver these services. Some villages have co-located facilities with residential aged care. This can ensure a seamless transition if you care needs change over time. This integrated approach can ensure peace of mind and allows you to age in place.” Tom Symondson (right) with South Australian Health Minister Chris Picton            3) Financial Considerations “A big hurdle for downsizers is the confusion around exit fees, which are standard in retirement villages. The exit fee is simply the ‘lease payment’ for the period of time you spend at the village. Most states in Australia now provide village comparison documents to help prospective residents make informed decisions and compare different villages based on standardised criteria, making it easier to understand the financial obligations and benefits each village offers . For those considering other options such as land lease communities, Commonwealth Rental Assistance may be available to help offset rental fees. It is essential to do thorough research and figure out what is best for you, considering both the financial implications and the lifestyle benefits each option provides.”               4) Sense of Community  “The sense of community and overall culture of the village can significantly impact your quality of life. Spend time visiting the village, talking to current residents and getting a feel for the spirit and atmosphere. Research increasingly shows that retirement living is associated with a positive quality of life, bringing significant benefits such as a sense of safety, companionship and access to support. This supportive community environment can enhance emotional well-being and provide a network of friends and neighbours who share similar interests and experiences, making your retirement years more fulfilling and enjoyable.”                 5) AccreditationThe Property Council’s division Retirement Living Council has the Code of Conduct, which is a commitment to high standards and ensuring that residents have the experience they deserve.ACCPA has the Australian Retirement Village Accreditation Scheme (ARVAS), an accreditation program that assesses various aspects of village operations, including governance, communication, corporate systems and service delivery.“Choosing the right retirement village or seniors housing option involves careful consideration of various factors to ensure it aligns with your lifestyle, health needs, financial situation, accommodation preferences and social desires. Everyone is different, so there is no wrong or right answer – what works for one person may not work for another,” Tom said.

PwC/Property Council Retirement Census shows affordability of retirement living

Finance must be a consideration before deciding to move into a retirement living lifestyle.The annual village PwC/Property Council Retirement Census, released on Tuesday, stated that the price of the average two-bedroom Independent Living Unit (ILU) increased by 8.3% from $516,000 to $559,000 over the 2023 calendar year.Over the same periods, national house prices only rose by 1.1%, according to the Census. CoreLogic states house prices rose 8.6% in 2023.  However, ILUs in retirement villages cost just 57% of the median house price in the same suburb.If the contract includes capital gains, ILUs achieved a compound annual growth rate of 4.7% over the past six years which indicates they are a stable form of investment relative to residential properties based on historical data, according to the census, which is from information supplied by 63 retirement living operators with a total of 862 villages.For example, the 197sqm two-bedroom, one bathroom house in Hallett Street, Adelaide (main picture), is for sale through Harcourts with a price guide of $980,000 to $1,020,000.The owner may look at Holdfast Gardens Retirement Village in Camden Park with the minimum price of a home $560,000 and a maximum of $600,000.If the homeowner bought in Holdfast Gardens Retirement Village, they would have a substantial amount of savings, which they may use for whatever their heart desires.Five benefits of retirement living are many:Connection and connectivity;Low or no maintenance;Independent living for longer;An active lifestyle; andSafety and security.The Census also stated the average age of entering retirement living is 75 years, with the average stay nine years.

“I just don't understand why retirees who are fortunate enough to have a property stay in it but then don't have the means to enjoy life”

Widow Judi White’s life began a new chapter when she sold her apartment and moved into a retirement village.“Honestly I couldn’t be happier, I really do love my life,” she said.She sold her home in Sans Souci, 17km south of Sydney’s CBD, and moved into Southern Cross Care NSW and ACT’s Thomas Dunlea Court Retirement Village at Kirrawee, 8km further south.“Once my husband Warren passed away, I found myself alone looking out at the ocean from our beautiful apartment when all I wanted to do was get out there and sail on it but didn’t have the money,” Judi said.“So, I decided to sell and move into Thomas Dunlea Court which has not only been an absolutely beautiful place to live, but enabled me to cruise three to four times a year.“I just don’t understand why retirees who are fortunate enough to have a property stay in it but then don’t have the means to enjoy life.“After all these cruises, people often ask me which is the best one to do and I always say the one I’m currently on, but seriously, the 35-day trip to Hawaii would have to be up there.“I have started a whole new chapter in my life.”Judi, who is off on her 31st voyage next month, said unlocking the capital in her family home meant she can live life rather than just watch it pass her by.Village liaison officer, Retirement Living Sydney, East and South, Jane Hurst, said retirement villages are designed to offer a sense of community, security, and independence.“You move into your home with the peace of mind that maintenance, gardens, and grounds are all taken care of so you can go and enjoy doing what you want,” Jane said.“Many of our residents use the capital they have released from the sale of their family home like Judi and do all the things they have always wanted, like travel.“They can do what they like without a worry in the world about their home.”

Talent never goes to waste when moving into a retirement village

Norm Neilson operated a picture gallery before moving with wife Jean to Benetas’ Dalkeith Heights retirement village in the town of Traralgon in the Latrobe Valley in the Gippsland region of Victoria.His love for photography is alive and well and the retirement village is holding an exhibition to highlight his works.More than 50 people attended its opening in the village’s community centre on Friday, 12 April, with a number of the 83-year-old’s photographs sold on the night.The exhibition includes more than 50 framed images taken from across 36 countries as well as items from Norm’s antique camera collection also on display.The self-taught photographer says his philosophy has always been “to wait for the very best light, either early in the morning sunrise, or late afternoon at sunset, adhering to these principles has seldom let me down.”Originally from Traralgon, Norm operated a gallery in Metung in East Gippsland before moving with Jean to Benetas’ Dalkeith Heights retirement village in March 2022. He has now moved to the adjoining Benetas’ Dalkeith Gardens aged care home in November 2023 for medical reasons.Norm is thrilled to have his works exhibited in the community, allowing friends and neighbours to enjoy some of his life’s work.“I’ve had the good fortune to travel the world, from Antarctica to the Artic, so it’s great to be able to share these images with the Dalkeith Gardens and Dalkeith Heights communities,” he said.View Norm’s work at normneilson.com.au/gallery.html.

A sign of a happy retirement: village operator Keyton's Annesley Bowral named its Village of the Year

If living in the NSW Southern Highlands appeals to you, you may want to check out Keyton’s 73-unit Annesley retirement village in Bowral.Keyton owns and operates 76 retirement villages across Australia and chose Annesley Bowral as its Village of the Year.“Bowral put an exceptional event to celebrate their Village of the Year win. We started with champagne in the gardens with all the resident dressed up and eager to tell me why they loved Bowral so much,” said Keyton CEO Nathan Cockerill, who was on hand to present the award.“Moving inside for a sit-down lunch the conversation continued around how great the staff were, the gardens and the location. Residents love the new cinema and the overnight stay room. The village has come a long way in the last three years. One resident stood up late in the day and passed a motion that staff at Bowral were to stay and it was unanimously passed.  Days like this, spending time with residents and staff go to the heart of why we do what we do.” He added deciding on a winner for Village of the Year was an “easy choice”, and that Annesley Bowral’s collaboration with residents was the key.For the award, villages had to meet criteria regarding resident engagement, survey results, sales, leadership, performance, and collaboration. Village manager Sarah Dayball (pictured) said the village was the overall winner of the resident satisfaction survey and had the biggest jump in its net promoter score.Commercial landscaping services operator SureGreen, the team behind the village’s gardens, also won a gold medal at the 2023 Landscape Excellence Awards.

Why we decided to move into a retirement village

“The thing about life is that as your kids get older so do you, however, it seems at a much quicker pace,” said Roger Pallant.He had been working 9am to 5pm in Melbourne, with two hours commuting each way in unpredictable weather.“It starts to wear you down as you get older. The weekends did not provide relief. Living on four acres, lawns to mow, trees to chainsaw, weeds to pull and don’t forget volleyball practice and birthday parties,” he said.“Melbourne was the tree change for Julie and I so it was time to find a sea change. My sister lived in Ballina, close to Byron Bay (Far North NSW), and we would visit as often as we could always looking forward to the uncomplicated lifestyle and slow pace, not to mention the glorious weather.“We bought a small two-bedroom transportable in an over 50s complex as our “holiday home” and base for exploring the area. After a year or so doing research, we stumbled across a showroom in the local shopping centre marketing a Palm Lake Resort Over 55s retirement village in Ballina. It was still under development, and we purchased off the plan and chose our block and style of house. We watched the slab, the frame and the finishing until completion and we moved in June 2016,” he said. “There was around 200 people in the village at the time and the new clubhouse had just been opened. The atmosphere was vibrant as new people arrived daily. I worked in the bar which was an excellent way to meet people and be known. I also spent four years on the resident committee during the development period and the challenging times of COVID-19. When the village was complete, and 480 plus people were in residence, the mood of the village changed from constantly changing to a more settled environment.“There is so much to do in our village from water aerobics, line dancing, cards, tennis, bowls, and the list goes on. Happy hour on a Friday night can attract over 100 people and every second month our resident band entertains us and the dance floor is quite packed.“The social committee organises special events such as Melbourne Cup, New Year’s Eve, Trivia nights, etc and arrange professional bands/acts to put on shows. I have run the Trivia nights since 2019 and often get over 120 people attend. These nights allow me to show off my alter ego as Elvis, Village People, Blues Brothers, Pirates, Black and White (Collingwood supporter) and the 70s.”“Planned bus trips go to shopping centres, golf courses, entertainment shows, and anywhere the residents want to go. Most events/trips are organised by the residents with minimal input from the management. “I found my four years on the residents committee very rewarding and fulfilling. Our resident committee/s play such an important role in village life. They are the conduit between the residents and management in such areas as financial matters, compliance with legislation, maintenance of services and common areas and facilities. “Since stepping down from the resident committee I have joined the Retirement Villages Resident Association (RVRA) and am currently the Secretary. I am enjoying the “big picture” aspect of the retirement village sector. The RVRA is the only lobby group on behalf of residents, and we speak to the key stakeholders on a regular basis.”Yet another great example of why retirement villages are a winner.

With over 30 years of working in senior’s living, Elroy built a village for people living with dementia

A two-hectare village built for people living with dementia – a first in Canada – is thriving.The Village is the brainchild of Elroy Jespersen and his team at Verve Senior Living. Located in Langley, British Colombia, it is designed to feel like a neighbourhood, including colourful houses, a community centre and a farm.“Having society, first of all, realise that people with dementia are first and foremost people. They are your family in many cases. They can live a good life, a different life, perhaps, but still a good life,” Elroy told Global News.One of the key principles at The Village is called, “roam free.”“Many of the people living with dementia become very agitated because they can’t move about as they wish. So, we said we need to build a community where people can walk out the door, walk around, come and go as they please and still remain safe,” Elroy said.Eitaro Hirota, The Village project architect with NSDA Architects, said one of the principles of designing for people with dementia is that you don’t want dead-end corridors or paths.“If you have a dead end, it goes to a destination so that it doesn’t seem that the path ends and there’s nothing there,” he said.A person living with dementia who comes up against a dead end can experience heightened anxiety. In some cases, it can lead to the person going through the door to the other side in what’s called ‘eloping.’“If you create an environment like The Village, that urge is diminished,” Hirota said. “They have options. They have a variety of destinations to go to.”The Village is not the first dementia village to be built. It’s inspired by De Hogeweyk, the world’s first dementia village that opened in The Netherlands in 2009.The concept is also gaining traction in Australia. Super fund HESTA’s Social Impact Investment Trust in partnership with Not For Profit operator Glenview, spent $19 million building Korongee, a dementia village in Tasmania which opened in July 2020.https://www.youtube.com/watch?v=t2abiCtrGbEAged care provider HammondCare also opened a 70-place dementia care village at the Repat Health Precinct in Daw Park, Adelaide, in partnership with the Federal and State Government, last year.Emmaus Village, operated by St Agnes’ Catholic Parish, Port Macquarie, in the NSW Mid North Coast, is another dementia village expected to open in early 2024.A sign that providers are thinking outside the square when it comes to supporting people living with dementia.

Why retirement living is the ideal housing option as you age

A recent survey of 3,700 American adults about their retirement plans by US investment firm Merrill has revealed people’s top priorities for retirement – and delivered some interesting insights.The eight things people most wanted to do in retirement were:Get or stay healthy: 83%Relax: 72%Connect with family: 58%Have fun: 57%Make or expand social connections: 56%Learn: 47%Grow spiritually: 43%Give back: 41%Rather than viewing retirement as the finish line, nine out of ten (88%) retirees now describe it as an opportunity for new beginnings, bringing greater freedom and flexibility and often an entirely new state of mind.This is what today’s retirement villages offer.The Property Council of Australia’s Retirement Living Council in November last year released the Better Housing for Better Health report, which outlines the sector’s contribution to housing, healthcare and the 250,000 people who live in age-friendly communities across the nation.“People who live in retirement communities are less lonely and less depressed than older Australians who live independently because retirement communities encourage physical well-being and social interaction – which all translates to economic benefits for governments,” Retirement Living Council Executive Director Daniel Gannon said.The report claimed people in retirement living were”15% more physically active.41% happier, and both physically and mentally healthier.Five times more socially active.Twice as likely to catch up with family or friends.Have reduced levels of depression and loneliness, saving governments almost $5 million in additional healthcare costs.Keyton, Lendlease Retirement Living’s rebranded portfolio, has also released a new video which highlights what retirement living is all about. Enjoy.https://www.youtube.com/watch?v=9Wwq9nqH3zg

Dispelling five myths of retirement living

Retirement living has long been surrounded by misconceptions that paint a limited, often grim picture, according to Rami Kamel, Chief Operating Officer of one of Australia’s largest village operators Ryman Healthcare Australia. However, as the landscape of senior living evolves, so do the realities within these communities.“Let’s dispel some common myths that might hinder people from exploring the vibrant possibilities of retirement living because one of the most common things I hear is “I wish I had made the move sooner”,” said Rami. Myth #1: It’s too expensive – only rich people can afford it “Contrary to popular belief, retirement communities cater to a diverse range of budgets. While some offer luxurious amenities, others provide affordable yet comfortable living arrangements. From cosy apartments to spacious villas and penthouses, retirement communities actually provide an affordable option for older Australians with entry prices on average 48% lower than median house prices in similar areas – at a national average of $516,000 per unit. [1]“Furthermore, at Ryman our weekly fees are fixed for residents for the entire duration of their occupancy, meaning unlike our continually growing interest rates, residents know exactly what they’ll be paying from the day they move in.” Myth #2: The food is terrible – I don’t want hospital-style dinners served at 5pm! “Gone are the days of bland, monotonous meals. Modern retirement communities boast culinary experiences that rival high-end restaurants. Skilled chefs, like Lawrence Manohara-Seelan at our Nellie Melba village, craft diverse menus featuring fresh, flavourful dishes served at flexible hours, ensuring residents enjoy satisfying meals tailored to their tastes. Think crispy chicken and mango salad or a decadent helping of Jambalaya.“We also regularly hold fine dining events where everyone frocks up for a lavish three-course meal expertly matched with some of Australia’s finest wines.” Myth #3: I’m fit and healthy and these places are for old folks who can’t look after themselves at home “Retirement communities today celebrate vitality and independence. They offer a range of activities and amenities designed to engage active residents. From fitness classes and excursions to creative workshops and communal gardens, these communities foster an environment where individuals can thrive and continue pursuing their passions.“Furthermore, this type of move reduces the burden of home maintenance and daily chores, freeing up time, money, and resources for residents to focus on their wellbeing and personal interests, which in turn can improve health outcomes no matter residents’ level of fitness, and reduce reliance on allied and emergency health services.”. Myth #4: I want to keep traveling the world, not be stuck in a retirement village “Far from confining residents, retirement communities actually make it easier to travel whenever you want. Residents can explore new horizons at their leisure, knowing they can simply lock and leave and everything be taken care of while they’re away. We have onsite security and home maintenance which means there’s no need to arrange timed lights, or a neighbour/relative to check your mail and water your garden or plants – that’s all done for you in a village. So, you can take off for three days, three weeks or three months!“Retirement communities are launching pads for adventures, not barriers to travel.” Myth #5: I’m an animal lover and I could never live anywhere without my pet “Recognising the importance of companionship, many retirement communities now embrace pets. From designated pet-friendly areas to grooming services and even community pet events, these places welcome furry and feathery friends, understanding the vital role they play in residents’ lives.”“The therapeutic benefits of pet ownership are far from anecdotal, with research published in the Journal of Personality and Social Psychology among hundreds of studies to find older pet owners have greater self-esteem, are fitter, less lonely and more socially outgoing.”Five great reasons to consider retirement living today.

Do you need extra support to keep living at home? A serviced apartment may be the answer

Retirement living is all about living independently – but if you need additional help, there are options available.Some retirement villages also offer serviced apartments as a way to support residents whose care needs are increasing but want to stay in a village environment.Serviced apartments, agedcare101 states, are exactly what they are called – an apartment or unit where a person in need receive services ranging from cleaning, fresh linen and meals. Some serviced apartments also provide low-level allied care support.Generally, serviced apartments have a separate bedroom and include a private bathroom, kitchenette, and living area.The village operator does the housekeeping, maintenance, and provides meals every day, while allowing the resident to maintain their independence. Serviced apartments are for when your care needs are increasing.The essential message is that the resident continues to live independently but with assistance.More retirement living operators now offer access to home care services, which means along with housekeeping and meals, could include help with showering and dressing, medication management or wound management. This can be funded privately or through a Government-funded Home Care Package.Services apartments do cost more than traditional retirement living, depending on the package the resident chooses. It’s important to check what options are available before you agree to enter the community.All fees paid before, during and after living in a retirement village must be specified in your entry agreement contract.

If Baby Boomers expect luxury in retirement living, Generation X and Y will want the ultimate

Australians with over 20 years left in the workforce are twice as likely to expect a more luxurious standard of living in retirement than they have today, according to new research by Aware Super.“Over a quarter (27 per cent) of those one year out from retirement, understand clearly what they want their lifestyle to be and therefore have a specific number in mind for their income needs. Having a keen understanding of your financial circumstances and those specific goals, makes it easier to feel confident about achieving them,” said Jacki Ellis (pictured), Head of Retirement at Aware Super.The research, garnered from almost 30,000 users of the fund’s personalised digital advice tool, My Retirement Planner, showed that Australians should understand their circumstances so they can more realistically plan for the future.”Over one third (31%) of users said they would make voluntary contributions to improve their confidence score, rather than delaying retirement (24%), which reinforces the importance of understanding your retirement lifestyle goals and the actions needed to achieve them,” said Jacki.A public-access version of My Retirement Planner is in development with Aware Super anticipating launch in 2024.

Retirement communities offer a unique housing option

Retirement Living Council Executive Director Daniel Gannon and Nathan Cockerill, Chief Executive of Keyton, one of the leading retirement living operators, have extolled the benefits of moving into retirement living in a paid advertisement in the Australian Financial Review.Nathan said people living in retirement villages are a lot healthier than people living outside of retirement villages, and on average, they’re “20% less likely to need hospitalisation”.“It is a huge benefit to the public health sector that the retirement living sector is providing at this point in time,” Cockerill says.“There are plenty of studies highlighting that if you’re both physical and mentally active, you live a healthier and happier life and that’s what retirement living provides to residents.”Daniel said, “Retirement communities offer a unique housing option that enhances wellbeing and lifespan for older Australians, and delays – and can even prevent – entry into aged care.”He added research published by the Australian Institute of Health and Welfare (AIHW) has indicated that people entering permanent residential aged care from retirement communities tended to do so later than those in regular rentals or owned homes.This reduced interaction with GPs and hospitals results in significant savings for governments to the tune of almost $3.5 billion per annum, he claimed.

Second season of ABC's Old People’s Home for Teenagers starts on 3 October

A new group of teenagers and seniors who live in a retirement village will join forces for a feel-good intergenerational experience.This is the second series of Old People’s Home for Teenagers, and the teenagers will spend six weeks with the residents.Across six episodes, the series is narrated by Annabel Crabb.The first series showed the joy it gave the residents: remember not everyone is fully mobile and never gets a daily visit from a family member or close friend.Although the residents live in close proximity, they speak about being lonely, feeling isolated and suffering signs of depression.The teenagers are at that age when they too are navigating a difficult time of life, as they struggle to develop their independence and self-worth.Together they will participate in a series of activities to learn more about each other, challenge the way they think, and break down ageist beliefs in both groups.The hope is that this experiment will find a way to keep the elderly active, become more connected to their local communities, have a deeper self-worth and regain a sense of purpose and in turn, encourage our teenagers to be more resilient, confident and form genuine friendships within their own age bracket and beyond.Old People’s Home for Teenagers is produced by Endemol Shine Australia and narrated by Annabel Crabb.Trailer: https://www.youtube.com/watch?v=2De2Srv26Z0 If you’re looking for retirement villages, you can find them more easily at villages.com.au.

Fewer retirement villages are offering capital gains – but it’s far from bad news

73% of retirement village operators surveyed in the 2022 PwC Property Council Retirement Census did not offer residents an opportunity to share in any capital gains or capital losses, more than triple the number in 2017. The number of retirement villages no longer offering capitals gains in a Deferred Management Fee (DMF) is increasing rapidly. However, village operators are offering a number of DMF contracts that provide certainty over price. For example, leading retirement village operator Aveo Group is offering three different types of contracts entitled Now, Later and Bond. The Now payment option gives the prospective resident and their family a discounted management fee if they pay upfront. This means that there is no need to pay a DMF when the resident leaves. The Later payment option affords the prospective resident the benefit of deferring their management fee until they leave their community. The resident makes a one-time entry payment of the listed property price upon moving in and the DMF is capped at 35% of the entry price. The Bond allows the prospective client to pay a premium entry fee, along with a non-refundable 3% establishment fee, when entering the village. Aveo Group guarantees the resident the premium entry payment will be returned when the resident leaves. These payment options give potential residents the ability to pay in a way that suits them – and provide clarity about the true price of living in a retirement village. This model also allows residents the option to move between villages run by the same operator without restarting their exit fee calculation, which can happen as residents move closer to family or their circumstances change. The move away from contracts that share capital gain with residents may appear to be a huge disadvantage, but it’s important to understand the distinct differences between retirement villages and the broader property market. The Census also shows that the average price of a two-bedroom unit increased by $32,000 to $516,000, an increase of 6% for the year. The price increased from $398,000 in 2016, with no negative years, so retirement village units are averaging a gain of about 4% per annum. Retirement village contracts that give you some or all of the capital gain normally require you to meet some or all of the costs associated with achieving it such as renovation costs, marketing expenses and selling fees. The Census showed 49% of renovations for retirement village units more than 15 years old cost at least $40,000 with 6% exceeding $80,000. This is often where disputes take place and removing this uncertainty is a win for both village operators and residents.

Can I afford to retire and enjoy the lifestyle?

Is your partner starting to talk about retirement, or are you beginning to feel it is time to step back from work? Whatever the reason, you may be asking: can I afford to retire? It is a personal decision that requires a lot of thought and the need to understand the realities of retirement. The issue, of course, is how much money do you need so that you can sustain yourself into later life. A good starting point is being aware of the balance of their superannuation and looking at the option to salary sacrifice. A financial adviser can help you project how much superannuation you will have at your planned age of retirement and advise on whether you will be able to access a part or full Age Pension. The Association of Superannuation Funds of Australia’s Retirement Standard states an average single person needs approximately $595,000 in superannuation before retiring, whereas a couple should have around $690,000. But this will vary based on your personal cirscuumstances. The other issue to consider is your housing. You may own a family home, which holds great memories, but may require more maintenance and upkeep than you are willing to manage in retirement. The median house price (the sale price of the middle home in a list of properties ranked from highest sale price to lowest over a set period of time) in Australia’s capital cities is currently, $787,815 and in regional areas, $587,851. Today, the family home is a key financial asset, and there are a number of ways the proceeds can fund your retirement. You could look at downsizing to a retirement village – where the average two-bedroom unit sells for 55% of the median house price – and free up some capital. After the age of 55, there are also a range of incentives to downsize including the tax-free downsizer concession and the Commonwealth Home Equity Access Scheme (HEAS). When people put together their retirement budget, it is advisable to think about having sufficient money for one-off expenses – a new car, a boat and trailer, or holidays. Remember: more money is always needed in the first 10 or 15 years of retirement than later on. In short, try and calculate how much money you will need per year in retirement and assess it over a realistic lifetime. Then, compare against this amount against your income-generating assets. Money is not the be all and end all of retirement – but it helps.

The five types of tenancy in a retirement village

When looking into buying an independent living unit in a retirement village, there are lots of things to consider – cost, choosing the contract that most suits the buyer’s situation and the tenancy. Here are the following types of tenancy, which the buyer will be confronted with: Leasehold arrangement This is when the village operator owns the unit and a resident signs a lease. Leases in retirement villages are commonly for 99 years or more. These leases will be registered on the title deed held by Land Registry Services. What are the costs associated? The buyer will pay an “entry payment” (e.g.: an ingoing contribution or interest-free loan). At some villages, the buyer can enter into a village contract and pay the ingoing contribution or purchase price at a later date once their home is sold. In this instance, you might be asked to pay a deposit. There will be legal and conveyancing costs as with any property purchase. The operator must register your lease with Land Registry Services. Generally, the buyer pays this one-off registration fee. Ongoing charges These cover the running costs of the entire village. Costs might include the upkeep of facilities, water rates from common areas, security, staffing costs, insurance (including workers compensation and public liability), contents insurance for common areas, as well as village building insurance. Loan or licence arrangement These are mainly offered by Not For Profit organisations such as religious or charitable village operators, and allow the buyer to live in the unit, but the buyer does not own the unit or have a registered interest in it. What are the costs associated? The buyer will pay an entry payment. It might be similar to an ingoing contribution or interest-free loan. At some villages, you can enter a village contract and pay the ingoing contribution or purchase price at a later date, such as once your home is sold. In such an instance, the buyer might be asked to pay a deposit. The buyer will also pay regular ongoing charges under a loan or licence arrangement. Check thoroughly the contract to know what the buyer is agreeing to There will be legal and conveyancing costs as with any property agreement. Ongoing costs The buyer will also pay ongoing charges in a loan or licence arrangement. These cover the running costs of the entire village. Costs might include the upkeep of facilities, water rates from common areas, security, staffing costs, insurance (including workers compensation and public liability), contents insurance for common areas, as well as village building insurance. Strata or community schemes Buying a unit in a strata or community scheme is where the buyer pays the agreed purchase price to the owner of the unit under a sale of land contract, making the buyer the owner of the unit and automatically becoming a member of the owners corporation or community association. The initial costs The buyer pays a purchase price to own the unit under a sale of land contract. There will be legal and conveyancing costs as with any property purchase. The buyer will also pay recurrent charges in a strata or community scheme arrangement. These cover the running costs of the entire village. Costs might include the upkeep of facilities, water rates from common areas, security, staffing costs, insurance (including workers compensation and public liability), contents insurance for common areas, as well as village building insurance. Company title schemes (you have shares in the village) A small number of villages operate under company title, which means it is owned by a company, and the buyer can buy shares at market value. The shares give the buyer the right to occupy the unit. The buyer has similar selling rights as strata villages. A Board of Directors, appointed by the shareholders, manages the property and the buyer will need to comply with the company’s constitution. The initial costs The buyer will pay a price to purchase shares, which are at market value. There will be legal and conveyancing costs as with any property purchase. The buyer will also pay ongoing charges in a loan or licence arrangement. These cover the running costs of the entire village. Costs might include the upkeep of facilities, water rates from common areas, security, staffing costs, insurance (including workers compensation and public liability), contents insurance for common areas, as well as village building insurance. Rentals A growing number of operators offer units for rent to retired people. Generally, these types of arrangements are the same as private rental agreements. What are the costs associated? The buyer will generally pay a rental bond (maximum four weeks’ rent), regular rent payments and water usage (if you have a separate meter). There are no fees and charges to pay when you leave. When a potential buyer first visits a retirement village Retirement village operators must provide a general enquiry document within 14 days of receiving an initial enquiry from (or on behalf of) a prospective resident. This sets out basic information about the village, including the village type, facilities and costs, as well as whether village rules are in force. In NSW, operators must maintain a 10-year asset management plan for each village they manage or operate and make the plan available to prospective residents. The asset management plan documents the costs of purchase, and ongoing maintenance, repairs and replacement of a retirement village’s major items of capital, including shared major items of capital and, who will pay for them.

Get yourself ready to move into a retirement village

So, this is it: you’ve decided to say goodbye to the family home and downsize to a retirement village or land lease community. It’s a big change, and you may be looking forward to it with a mixture of anticipation and anxiety – but we have a few tips for you to minimise the anxiety so you can start living your new life as smoothly as possible. Organise your lifeFirst things first: you’ll want to get a list together of everything you need to do. Add new items as you go, and definitely check them off or cross them out as you complete them – it’s both helpful and very satisfying.Another list should include all the people and organisations you’ll need to notify about your change of address – friends, family, government, utilities, subscriptions, other companies, and so on. Australia Post offers a helpful mail redirection service starting at just over $20 for concession card holders, and can notify some people and agencies on your behalf.You’ll also need to make some tough choices about what you’re taking with you, because chances are your new home won’t be as big as your old (after all, that’s why it’s called ‘downsizing’!). Get a floor plan of your new home to make sure everything you want to bring along will fit, and then sort the stuff you’re not taking into three piles: sell, donate/give away, and throw out. Sort out the movers – then pack rightIf you’re planning on using removalists, check with friends and family to see if they have any recommendations. Get at least three quotes as well, and not just to compare prices: you’ll want to know if they pack and unpack as part of the fee, for example, and if you’ll need to buy extra insurance.When it comes time to pack, your job should be made easier since you’ve offloaded everything you didn’t want – but remember you’ll still probably need more boxes than you think you will, so plan around that. Clearly label every box, wrap fragile items well, use tools like vacuum bags to save space on clothes, and put similar items together – and if you’ll be wanting a cup of tea at the other end, be sure to note where the kettle is!Make sure you look after your pets during the process as well, as packing will likely stress them out; it’s a good idea to have them stay at a boarding kennel or with friends until you’re done. Moving dayThe most important thing to do the day before you make the move is to get some sleep – you don’t want to greet the removalists early in the morning after you’ve pulled an all-nighter packing those last few boxes.Be sure to move all the heaviest items first, because you’ll have more energy earlier in the day, and it’ll be a lot easier than having to manoeuvre the couch around piles of boxes once you arrive. If you’ve clearly labelled all those boxes, as well, this is where your diligence will be rewarded – after all, if you know exactly where a box goes, you’ll only need to move it once.And that’s it! You’ve left your big old house behind, moved into a smaller and more welcoming home in your new community, and it’s time to find the box with the kettle, put on a cuppa, kick back, and enjoy your new lifestyle.Congratulations, and good luck! Feeling overwhelmed?Try our free online service, YourConcierge101. All you need to do is answer some simple questions and we’ll provide you with your own toolkit tailored to your specific circumstance. Click the button below to find out more today.