We regularly advise clients who are considering downsizing and relocating into aged care facilities, including advising them on their residential accommodation agreements in their selected retirement village.
There are different ways to own or occupy premises in a retirement village or aged care facility. You can enter a retirement village under a long-term lease, under a license; or by purchasing strata title ownership.
Under a long-term lease, the occupier has the right to live in the property for a period of time pursuant to the lease (usually 99 years). The retirement village owner retains ownership of the Property but the lease is normally in the occupier’s name in order to provide security of tenure. In addition to the lease agreement, a service agreement commonly sets out the terms of the services provided by the village owner or operator.
A substantial ingoing contribution fee is usually required under the lease, in addition to ongoing recurrent charges each week. Many retirement villages co-operate with incoming residents to enable them to sell their primary residence in order to fund their transition into the retirement village.
Call us to make an appointment on (02) 9199 0666