We are looking at moving to South Australia to be closer to family, and may look at retirement villages, is any one on the forum living in a retirement village and what are your likes and dislikes that you have encountered
2weis said
07:53 AM May 21, 2021
They are not for everyone.There are many types, retirement ,over 50 , removable. Do a lot of homework, because the fees change and the rules change.
Some you will qualify for rent assistance some have entry fess some have exit fees some have both I believe that some of them you dont realise
on appreciation on sale.
It can be a great lifestyle but make sure you have your eyes wide open and don't be blinded by the amenities most offer, and don't forget they are in it for profit.
Brian
the pie van said
08:24 AM May 21, 2021
worse decision my wife made and i followed last year. always own your own building on your own land. long termers get away with anything. newbies hamstrung by tightly enforced rules. just spent 5 months in SA getting away from the place
tea spoon said
03:58 PM May 21, 2021
my partener lives in the elizabeth one and is happy there ......her son also lives in the village .......pets not allowed in the one she is in but Hillier at gawler has a pet section ........elizabeth has a lot of rules about noise and building rules as well .........to each there own .....ask for pamphlets on each village
oldbloke said
04:07 PM May 21, 2021
Be very carefully. Each state is different. My father got ripped off something terrible when he sold. Truck loads of exit fees.
I would just buy a small unit in the burps if your down sizing. Or even rent if its just for a few years.
msg said
04:29 PM May 21, 2021
You will need more than pamphlets to make an informed decision.
I would also look for a small unit in the burbs. Just be careful of the strata fees.
Personally, I don't care that I have a larger house with extra upkeep. At least I can live here and make my own decisions on what I spend. (Govt. fees & taxes excepted) The one thing that a retirement village will give you is possibly better social activity and some facilities that would be nice if you were to use them.
Cupie said
11:46 PM May 21, 2021
Some people love the lifestyle & are unconcerned about the financial aspects.
Be absolutely certain that you are fully conversant with all of the fees & costs involved for your particular choice. The legislation varies from State to State & several financial conditions may apply even within the same complex. In Qld you are required to declare the you have received Legal advice before contracting to purchase.
One that we looked at had exit fees of 36% of the sale price after 4 years occupancy (9% per year for the first 4 years to a max of 36%) plus 50% of any capital growth plus a fee/cost of refurbishing the unit to meet their standard (eg, painting, flooring, removal of 'non standard' mods et al), by their contractors, plus a monthly fee of $700, plus you paid for power & communications (weren't allowed to install solar & had to use their Internet Service Provider). You were required to use their sales agent for the first 3 months after listing for sale & continue to pay the monthly fee until sale settled. So if you purchased a place for $700,000 & sold for $800,000 your fees on exit would exceed $338,000. BTW, if you sold at a loss then the loss was 100% yours & the base exit fee was calculated on the purchase price.
We think that we'd rather live in a unit or smaller house and give the circa $338,000 to the kids when we fall off the perch.
Sarco Harris said
10:50 PM May 22, 2021
Having seen the issues MIL had in her NSW "Retirement Village" in Albury, I would certainly recommend buy into a free standing small home on its own block in a community of your choice. Avoid any sort of body corporate properties like the plague as ongoing charges and shared costs can be financial killers.
Even though when the MIL moved in, there were only 7 other units, once completed there were 127, she was one of only a handful that actually owned their own units, those coming in later effectively paying the equivalent of an accommodation bond, then renting. The ongoing cost were a hassle (her only income was the age pension).
Eventually she reach the point of needing to be in aged care and the costs of getting out of the village were staggering, with the only buyer (according to the original contract) was the operator which had changed 3 times while she was there (21 years). While they were to get a percentage of the sale price, they dictated that sale price and also were able to take a significant cut for 'refurbishment" of the unit.
HandyWalter said
07:06 AM May 24, 2021
Reading the stories here I am quite shocked. There are rip off merchants everywhere and I must have been lucky when I got a "home" for a friend I am carer for. She is in a 1 bedroom "relocatable" home, with her own enclosed backyard, carport and small shopping centre next door (Coles, Aldi Kmart, doctor, chemist and pub). Tram and bus within 200 metres. No entry fees, Exit fees are 2% of sale price to a max 0f 20% after 10 years. $500 per week "site" fees which allows rent subsidy. $500 covers water and gardening, front and back, no council rates to pay. Only pays for electricity and gas. 150 "homes" on site and a very active social group run by the residents. She paid $115,000 and lives just 2kms from a very large shopping, and 40 minute tram ride to CBD. I dont know anywhere in Melbourne you could get accommodation that cheap with all those amenities close by. People tend to overlook this place as most of the homes are 40+ years old. Hers had been renovated by the previous owner who only lived in it for 2years before falling off the perch. There are 1, 2 and a few 3 bedroom houses. Sale prices vary from $130 to $280K depending on size and location. (not all have their own backyard). So I guess you just have to look around google and ask questions of current residents. We found them very willing to tell you the "issues" rather than the benefits first. Good luck with your hunt
Are We Lost said
03:59 PM May 24, 2021
Paying capital of $115,000 and then site fees of $500 per week would put this out of reach for many people who don't own property already. But at 2% exit fee (per year of occupancy?), it's one of the cheaper ones for that part.
For those who do own real estate but want a bit extra to live on, the government's pension loan scheme is now pretty good after the changes the Liberals put in a couple of years ago.
HandyWalter said
04:14 PM May 24, 2021
Are We Lost wrote:
Paying capital of $115,000 and then site fees of $500 per week would put this out of reach for many people who don't own property already. But at 2% exit fee (per year of occupancy?), it's one of the cheaper ones for that part.
For those who do own real estate but want a bit extra to live on, the government's pension loan scheme is now pretty good after the changes the Liberals put in a couple of years ago.
I would have thought that anybody moving into a retirement village would have some (and maybe substantial) money to pay for entry. Obviously those who have rented all their life and lived close to the wind financially would not even be bothered to looking at retirement villages. When I was looking around last year, all(except the one I got) started in the $200K+ range and upwards. None were near the city or near the amenities that this one is close to. As I said you really need to do a lot of ferreting to find something that is affordable, convenient, and in reasonable condition. They are out there....
Peter_n_Margaret said
05:42 PM May 24, 2021
There are "retirement villages" and "retirement villages". Some give priority to and are attached to residential care homes. Think also about the "next step" after the retirement aspect has passed. Cheers, Peter
Sarco Harris said
08:24 PM May 24, 2021
Peter
Where my MIL was had an attached residential care home once the site was fully developed. However when the time came, while it was part of her "agreement" note, not a contract, though there was available space, it was not within her finances to pay the entry fee.
As such she went into another facility in North Albury, while she is no longer with us (passed away in 2017), this facility had available space allocated to those whose only income was the pension and a minimal entry fee (payed by the BIL by taking a loan).
With current services offered by council etc., there is a push to as much as possible, support people to stay in there own homes as long as possible. Unfortunately this also means that by the time the elderly move into aged care, their needs are often far, far higher than this care is funded to pay. Particularly when they are privately owned and operated for a profit.
jeepnudger said
09:56 PM Jun 3, 2021
We have lived in RV for 6yrs, so iam well versed in the requirements of this lifestyle. It is the exit fees that get me annoyed now. i was fully aware of the fees but i was not well and it seemed the right thing to do when we moved in, ( the fèes really are attrocias.as stated by another advice giver 36% after 6yrs, renovation contribution, 1/2 capita gains) My concern now after 6yrs is monthly recurrent fee , for us cpi increase yrly ( max 3%) and if you turnout tobe a long liver your personal super might be eaten up in monthly fees.
My advice now is buy a single level home on small block and get govt help in the home to keep you comfortable AND if super is running low get a reverse mortgage loan to top up super. As yr home will increas in value and capital gains are yrs.
banjo said
12:06 PM Jun 5, 2021
The last thing I wanted was to move into a retirement village.
But was pressured by the wife and we did heaps of research before moving in 2017. We own our relocatable unit but pay a minimal rent of which we get rent assistance from centrelink.
We have no rates, water rates or other charges, our only outgoings are rent and gas which is minimal as we only use for hot water.
Put solar on from day one and never had an electric bill since. Exit fees are 5% if sold by village or just a transfer of lease fee if sold privately. We can park our motorhome and car in our carport/driveway.
we can lock up and leave anytime to travel knowing all will be secure.
The good :- love the peace and quiet, security 24/7, no screaming kids on skateboards and scooters, lovely quiet neighbors, and finally reasonably cheap after rent assistance.
The bad :- can be clickey, but we keep ourselves to ourselves, pressure to get involved in village activities sometimes, single ladies looking for new partner Lol !
Ours is an older village, but we still have club rooms, swimming pool, bowling green and two mens sheds (one woodwork one metal work) we have a river running round one boundary with lovely walk for our 2 dogs.
The secret is research, our friends did similar but lack of research see them with 30% exit fees from their village, which ok is new with all the bells and whistles. And higher weekly fees/rent.
woolman said
05:14 PM Jun 5, 2021
We are inan over 50s manufactured homes village. Very good life style. You need to research into enty cost and on going costs. We pay $152 per week site fees. We own the house rent the land on a perpetual lease.our fees cover every thing except units of power used, telephone and internt use. Also no stamp duty on purchase price.
We enjoy the life style, but it is horses for courses
PeterX said
05:22 PM Jun 9, 2021
This book sells for about $20 OR borrow from local council library for free ?
Downsizing Made Simple
By: Noel Whittaker, Rachel Lane
5
Rated 5 out of 5 stars
1 ReviewWrite a Review
Published: 26th November 2019
ISBN: 9780648087786
Number Of Pages: 320
.... making the move to a retirement community, listen to the experts, and make it a successful move....
dieseltojo said
05:43 PM Jun 9, 2021
I know three couples who went into a deal with three different places....All got out due to close living conditions etc. All lost money or felt misrepresented in some way. All were diddled on the sale of the property and didn't get the full value of the rise in price of their home from their purchase date.
I tried to tell them on the day but they were infatuated. Too bad....
Sarco Harris said
08:14 PM Jun 11, 2021
There is the differences coming out:
Retirement Village - Means different things in different states and some are even defined by acts of parliament.
Life Style Village - Generally minimal rules/laws, again differs state to state
Manufactured Homes Village - No idea what governs these, probably nothing, but likely, similar to a life style village and seems to be fairly common in "the back" of some caravan parks.
Lots and Lots of research and go in with eyes wide open and no expectations.
Some you will qualify for rent assistance some have entry fess some have exit fees some have both I believe that some of them you dont realise
on appreciation on sale.
It can be a great lifestyle but make sure you have your eyes wide open and don't be blinded by the amenities most offer, and don't forget they are in it for profit.
Brian
I would just buy a small unit in the burps if your down sizing. Or even rent if its just for a few years.
I would also look for a small unit in the burbs. Just be careful of the strata fees.
Personally, I don't care that I have a larger house with extra upkeep. At least I can live here and make my own decisions on what I spend. (Govt. fees & taxes excepted) The one thing that a retirement village will give you is possibly better social activity and some facilities that would be nice if you were to use them.
Some people love the lifestyle & are unconcerned about the financial aspects.
Be absolutely certain that you are fully conversant with all of the fees & costs involved for your particular choice. The legislation varies from State to State & several financial conditions may apply even within the same complex. In Qld you are required to declare the you have received Legal advice before contracting to purchase.
One that we looked at had exit fees of 36% of the sale price after 4 years occupancy (9% per year for the first 4 years to a max of 36%) plus 50% of any capital growth plus a fee/cost of refurbishing the unit to meet their standard (eg, painting, flooring, removal of 'non standard' mods et al), by their contractors, plus a monthly fee of $700, plus you paid for power & communications (weren't allowed to install solar & had to use their Internet Service Provider). You were required to use their sales agent for the first 3 months after listing for sale & continue to pay the monthly fee until sale settled. So if you purchased a place for $700,000 & sold for $800,000 your fees on exit would exceed $338,000. BTW, if you sold at a loss then the loss was 100% yours & the base exit fee was calculated on the purchase price.
We think that we'd rather live in a unit or smaller house and give the circa $338,000 to the kids when we fall off the perch.
Even though when the MIL moved in, there were only 7 other units, once completed there were 127, she was one of only a handful that actually owned their own units, those coming in later effectively paying the equivalent of an accommodation bond, then renting. The ongoing cost were a hassle (her only income was the age pension).
Eventually she reach the point of needing to be in aged care and the costs of getting out of the village were staggering, with the only buyer (according to the original contract) was the operator which had changed 3 times while she was there (21 years). While they were to get a percentage of the sale price, they dictated that sale price and also were able to take a significant cut for 'refurbishment" of the unit.
For those who do own real estate but want a bit extra to live on, the government's pension loan scheme is now pretty good after the changes the Liberals put in a couple of years ago.
I would have thought that anybody moving into a retirement village would have some (and maybe substantial) money to pay for entry. Obviously those who have rented all their life and lived close to the wind financially would not even be bothered to looking at retirement villages. When I was looking around last year, all(except the one I got) started in the $200K+ range and upwards. None were near the city or near the amenities that this one is close to. As I said you really need to do a lot of ferreting to find something that is affordable, convenient, and in reasonable condition. They are out there....
There are "retirement villages" and "retirement villages". Some give priority to and are attached to residential care homes.
Think also about the "next step" after the retirement aspect has passed.
Cheers,
Peter
Where my MIL was had an attached residential care home once the site was fully developed. However when the time came, while it was part of her "agreement" note, not a contract, though there was available space, it was not within her finances to pay the entry fee.
As such she went into another facility in North Albury, while she is no longer with us (passed away in 2017), this facility had available space allocated to those whose only income was the pension and a minimal entry fee (payed by the BIL by taking a loan).
With current services offered by council etc., there is a push to as much as possible, support people to stay in there own homes as long as possible. Unfortunately this also means that by the time the elderly move into aged care, their needs are often far, far higher than this care is funded to pay. Particularly when they are privately owned and operated for a profit.
But was pressured by the wife and we did heaps of research before moving in 2017. We own our relocatable unit but pay a minimal rent of which we get rent assistance from centrelink.
We have no rates, water rates or other charges, our only outgoings are rent and gas which is minimal as we only use for hot water.
Put solar on from day one and never had an electric bill since. Exit fees are 5% if sold by village or just a transfer of lease fee if sold privately. We can park our motorhome and car in our carport/driveway.
we can lock up and leave anytime to travel knowing all will be secure.
The good :- love the peace and quiet, security 24/7, no screaming kids on skateboards and scooters, lovely quiet neighbors, and finally reasonably cheap after rent assistance.
The bad :- can be clickey, but we keep ourselves to ourselves, pressure to get involved in village activities sometimes, single ladies looking for new partner Lol !
Ours is an older village, but we still have club rooms, swimming pool, bowling green and two mens sheds (one woodwork one metal work) we have a river running round one boundary with lovely walk for our 2 dogs.
The secret is research, our friends did similar but lack of research see them with 30% exit fees from their village, which ok is new with all the bells and whistles. And higher weekly fees/rent.
We are inan over 50s manufactured homes village. Very good life style. You need to research into enty cost and on going costs. We pay $152 per week site fees. We own the house rent the land on a perpetual lease.our fees cover every thing except units of power used, telephone and internt use. Also no stamp duty on purchase price.
We enjoy the life style, but it is horses for courses
This book sells for about $20 OR borrow from local council library for free ?
Downsizing Made Simple
By: Noel Whittaker, Rachel Lane
5
Rated 5 out of 5 stars
1 ReviewWrite a Review
Published: 26th November 2019
ISBN: 9780648087786
Number Of Pages: 320
.... making the move to a retirement community, listen to the experts, and make it a successful move....
I know three couples who went into a deal with three different places....All got out due to close living conditions etc. All lost money or felt misrepresented in some way. All were diddled on the sale of the property and didn't get the full value of the rise in price of their home from their purchase date.
I tried to tell them on the day but they were infatuated. Too bad....
Retirement Village - Means different things in different states and some are even defined by acts of parliament.
Life Style Village - Generally minimal rules/laws, again differs state to state
Manufactured Homes Village - No idea what governs these, probably nothing, but likely, similar to a life style village and seems to be fairly common in "the back" of some caravan parks.
Lots and Lots of research and go in with eyes wide open and no expectations.