Thinking about moving into a Retirement Village?

Moving into a retirement village can be an exciting time for many people, and in most cases that excitement continues once an individual has moved into a village.  However, if you are thinking about moving into a retirement village, it is important to make sure you are fully aware of the personal and financial implications involved with such a decision. 

Buying into a retirement village is not like buying a house. In the majority of situations, you are only purchasing a ‘licence to occupy’ a particular unit, without ever being granted ownership rights.  Also, in most cases you will be responsible for any ‘capital loss’ that the unit may suffer, so it is important to treat the decision to move into a retirement village as a lifestyle choice, rather than as an investment.

The New Zealand government has implemented numerous statutes, regulations and codes to protect residents who live, or intend to live, in retirement villages.  There is also a requirement that each resident be advised by a solicitor before they sign the documentation required to move into the village.  This helps to ensure that the resident is fully aware of all of the potential costs (which can be significant), rights and obligations on both the resident and the village before the resident moves into the village. 

At Davenports, we are experts in advising residents who are thinking of moving into a retirement village. For more information, or to speak with one of our specialists, contact us today.