The 5 most common retirement living options

Like any big decision, it is best made when you have all the relevant information. To help you with your research, we’ve summarised the 5 most common types of retirement living in Australia to take some of the guesswork out of where to call home, both now and in the future.

1. Staying in the family home

Staying in your family home ensures you stay in the neighbourhood you’re familiar with, close to the social networks you’ve built over many years.

It suits people who value their independence, love their surroundings and enjoy their established routines. It works best for those with strong family and social networks, as loneliness and isolation are a higher risk for those ageing in their own home.

Considerations:

• Repairs and maintenance: You will still need to coordinate your own home repairs and house and garden maintenance, so it’s worth thinking about how you’ll feel about this in the years to come. By the time Australians retire, many of them have lived in their homes for over 20 years, if this sounds like you, you should consider that the costs of maintaining older homes can be significant.
• Accessibility and safety: How well will you be able to navigate your home if your mobility is compromised? Being open-minded about home modifications is important to ensure that your home continues to be a safe place for you as you age.
  A home can be full of fall hazards, as well as other potential safety problems. Getting a home safety assessment for ageing in place will give you peace of mind about this. It will also help you make an informed decision about what changes are needed to ensure your home is safe.
• Isolation: You could become lonely and isolated living alone if your mobility or activity is ever limited.
• Care and support: As the years go by, you may find you need help managing daily tasks and at some point, you may even need some level of nursing care. A great resource for understanding what options are available to you is the My Aged Care website.

2. Downsizing into an apartment or townhouse

Downsizing has many positives in retirement, not least having less space to maintain which frees up more time to do the things you enjoy most.

Moving into an apartment or townhouse generally offers similar security as a detached house, but they have smaller yards and lower upkeep costs, while still giving you privacy in balconies, courtyards and perhaps even a small garden.

Considerations:

• Home modifications: Before moving in, consider making some minor modifications in preparation for the future. For example, installing handrails in critical locations and making sure the hallways are wide enough to accommodate someone walking with a cane or a wheelchair user. Most townhouses are designed with stairs to maximise land use, so it pays to think about how long you’ll be happy with going up and down the stairs.
• Ownership: The titles for some units and townhouses may be different, and you will want to understand the term ‘strata title’. This title is a certificate of title for a lot, and a share of common property. It is worth the investment to get legal advice to assist you in reviewing the ‘strata scheme’ to ensure that you will own what you think you will own. You will also need to take into consideration the body corporate fees for which you will be liable for the maintenance of common areas.
• Downsizing: With less space comes the task of deciding what to do with all the possessions that you’ve spent years accumulating. The prospect of sorting through a lifetime of possessions and memories can be overwhelming and can take on a negative connotation. This has a lot to do with how emotionally attached we can get to our possessions and the memories associated with those items.

We’ve put together a list of handy downsizing tips to make the process a little easier. Unfortunately, there’s no denying it is a big task and it could take you a lot longer than you think, so tackling it early on and giving yourself plenty of time is key.

3. Retirement villages

Retirement villages are the most common and well-known retirement living option in Australia. A major feature of this style of retirement living is the sense of community, with residents creating an informal support network and social groups. Increasingly, retirement villages also offer access to flexible care and support. This will give peace of mind, knowing that should your needs change in the future you can receive suitable care. Having the right support also means that you can stay safely in your home for longer.

Retirement villages are especially popular with both older singles and couples, who want more security and support while living independently. You can have an active life and focus on the things you love, without worrying about day-to-day property maintenance or gardening needs that are taken care of by village staff.

Designed to provide safe and secure homes as we age, retirement villages should have no, or very few steps in the home (or the village), corridors and doorways are wider, bathrooms are adapted for mobility devices and each home is fitted out with a 24-hour personal response system.

Considerations:

• Choice: There are several different types of retirement village, and each offers a different range of accommodation choices from single family homes, townhouses, villas, and apartments.Retirement villages can also have an array of amenities ranging from gyms, heated indoor swimming pools and billiards rooms through to tennis courts and bowling greens. Many offer services such as cleaning and laundry services, and transportation, as well as a diversity of sporting and social activities and facilities.In many villages, small pets are welcome and residents love inviting family and friends to visit.

  With so much choice, it is important to educate yourself on what each village offers and what suits your lifestyle. Be sure to visit a number of them before making a decision.

• Costs and ownership: The most common type of contract arrangement in retirement villages is lease or licence, where you purchase a long-term lease (usually 99 years) to live in your home. Just like buying an apartment or townhouse, it is important that you read your contract and seek independent legal and financial advice before you sign on the dotted line.
  Having a complete understanding of upfront, ongoing and outgoing village costs is also important. One of the attributes of RetireAustralia’s contract that many people find attractive is the certainty it offers. There are no hidden costs, and from the day you move in, you will know how much you will receive when you leave. In uncertain times, you may find it comforting to know where you stand financially. If that is you, a RetireAustralia village could be the right choice.
• Care and support: It’s important to consider how your care needs will be supported as you get older. Many retirement villages offer some form of onsite care, while others are co-located with an aged care facility. While you may not need care now, you may in the future and the type of care and support offered in your preferred retirement village will determine if you can stay in your home and community for as long as possible.

4. Land lease communities

A land lease community, also known as a lifestyle community, manufactured home estate, over 55s village or residential park, is typically nestled in scenic locations, often on the sites of former caravan parks. Here, residents own their ‘manufactured home’ or ‘moveable dwelling’ but lease the land it sits on. They have two agreements: one for purchasing their home and another for renting the land. Regular site fees contribute to maintaining community facilities and grounds.

Considerations:

• Contract: Each operator is free to develop their own contract for the rent and rental agreement contract covering the land.
• Costs and ownership: Most homes are considered affordable and in nearly all cases you will buy a new home from the operator. However, the weekly fees are controlled by the operator and they can vary the fees as they wish.
  Also, while the manufactured home will be your own, you don’t own the land your home is positioned on and will be required to pay rent for this land. This rent can be increased by the park owner and there is no guarantee that the park owner will operate the park indefinitely, which may require you to remove your home and vacate the land.
• Care needs and ageing in place: Unlike retirement villages and residential aged care, there is no requirement for land lease communities to be age friendly, so you need to consider accessibility and mobility if things change later in life. Land lease communities also do not offer any care, but you can arrange for home care services to be delivered into your home.

5. Residential aged care

Deciding whether residential aged care is right for you or a loved one is one of the toughest decisions a person can make. If you find yourself facing this choice, consider the following pros and cons.

Residential aged care facilities, also known as aged care or nursing homes, are a live-in option for people requiring full-time care. Most aged care facilities focus on clinical-based care for older Australians who are unable to live independently in their own homes.

Considerations:

• Quality of care: residential aged care facilities are evaluated, and these reports are available through the Aged Care Quality and Safety Commission. Do your homework and read the reports about the homes you are considering, so you can be sure that you or your loved one will be staying in a safe home that delivers high quality care.
• Proximity of partner/ family: You may have to travel lengthy distances to visit your loved one if there isn’t a nursing facility near your home. And, unlike other retirement living options, partners don’t get to share apartments or rooms in an aged care facility.
• Social activities and community: Residential aged care facilities provide differing levels of social activities and social connection. A sense of community is important at all ages and stages of retirement, so finding out what’s on offer and getting a sense of the community will be important.
  Every person’s situation is unique and you will know what is right for you. The key is to think about your preferences and set a plan that suits you and takes into account what is important to you. Don’t shy away from factoring in the unknown by building in contingencies and sharing your plan with close family and friends.

If comfort and security in retirement are important to you, take a look at Tarragal Glen Retirement Village on the NSW Central Coast – featuring classic retirement village villas, serviced apartments and brand-new independent living apartments. A well-established retirement community where you can relax and enjoy your well-earned freedom now, safe in the knowledge that as your needs change your future is secure. Speak to us today, to discover what makes Tarragal Glen special and the perfect choice to live life the way you want.