Fees & Charges
Entering retirement can often enable you to get into a new home that is suited to your lifestyle at an affordable price.
A unique advantage of retirement village living is, in many cases, the ability to defer a large part of the cost until after you leave a village, which for most people is well after they have a need for significant financial resources. This is a major benefit of retirement living.
There are many different models and, as with any decision of this type, you should consult your financial advisor, accountant or lawyer before making any decision so as to ensure you fully understand the costs and structure of any agreement entered into. Involving your family in the decision is also a good idea.
To be sure that retirement living is for you, it’s very important to be clear about your current financial circumstances.
You need to be aware of three different types of costs before deciding to live in a retirement village. These include:
- The entry fee or purchase price
- The service or maintenance fees
- The exit fee, also known as a departure fee or deferred management fee.
This section seeks to explain the costs and fees payable in respect of the most common forms of retirement village unit ownership.