Introduction to retirement villages
A retirement village is the perfect way to downsize your home and upsize your life.
Across Australia, almost 200,000 older Australians call a retirement village home.
Moving into a retirement village can be a great way to kick back and enjoy life in your later years, but with so many different options out there it can be confusing to figure out the best way to go.
We’ve prepared this simple guide to help you understand the ins and outs of retirement village living.
What's a retirement village?
A retirement village is an age-appropriate housing development that offers a range of accommodation options, services and facilities for older Australians. You live independently in your own home while enjoying the benefits of community living.
Homes are specifically designed to make life easier and more enjoyable and site maintenance and landscaping are taken care of. What’s more, there are communal areas and you can usually access support such as home care services.
Retirement villages are not aged care centres or nursing homes.
What type of homes and facilities do retirement villages have?
The properties, usually referred to as independent living units (ILUs), come in many shapes and sizes, including villas, high or medium-rise apartments, serviced apartments and terrace houses.
Services and facilities vary too, and can range from golf courses and theatres to organised social events and 24-hour emergency assistance.
Retirement villages are ideal if you require little or no assistance with daily activities, but want to enjoy the benefits of living in a community with other older Australians.
ILUs are usually cheaper than similar-sized homes in the same area, although there are other costs associated with living in a retirement village.
At IRT we have a range of accommodation across our retirement villages, from apartment buildings (Howard Court at IRT Pioneer Place) to villas at our Queensland villages, from one to three bedrooms in size.
Are there different types of retirement villages?
In Australia, there are generally two types of retirement village providers – for-profit and not-for-profit.
Not-for-profit providers
A not-for-profit aged care service provider, like IRT, means any profit made is invested back into the organisation’s purpose.
For-profits providers
A for-profit organisation means any surplus or profit made goes back to the owners or shareholders of the organisation.
What else can a retirement village provide?
Retirement villages come in various formats, each catering to different needs and financial situations:
1. Retirement villages with home care services
To help retirement village residents age in place, aged care providers can support retirement village residents with care in the home – from cleaning to personal care.
2. Retirement villages with residential aged care
Some retirement villages also have a co-located residential aged care centre, which supports older people with high care needs. An assessment by the Aged Care Assessment Team, or ACAT, is required to move into an aged care centre.
3. Resident-funded villages
Residents pay an ingoing contribution for their unit and contribute to the ongoing costs of village maintenance and services. This model is prevalent and offers a sense of ownership and community.
4. Donor-funded villages
These are often run by non-profit organisations or charities. They may offer lower entry costs and are designed to accommodate residents who need financial assistance.
5. Villages with home care services
These villages allow residents to live independently while receiving varying levels of home care support, from help with daily tasks to medical care, tailored to their changing health needs.
Each type of village offers unique benefits, and your choice will depend on personal circumstances, health considerations, and financial capacity. Understanding these differences can help ensure that the retirement living option you choose will align with your lifestyle, provide the appropriate level of care, and adapt to your needs as they evolve over time.
How old do I have to be to live in a retirement village?
As long as you’re 55 or over, you can join a retirement village! Despite the name, you don’t need to be retired to live in a retirement village. In fact, many of our residents are still working.
Choosing a retirement village
Selling your home and moving to a retirement village is a big financial and emotional decision, so it’s essential you choose wisely.
As you move into the next phase of your life, the most important thing to consider is whether the retirement village will suit your lifestyle now and as your needs change into the future.
We all have different needs and wants so it helps to make a list of the things that matter to you before seeking out a village that will make you happy.
Here’s a few thoughts to guide you:
- What type of village will suit your lifestyle? Do you like open space living or apartment city living?
- What community facilities (e.g. tennis court, cafe, swimming pool, gym, golf course) will support your lifestyle?
- What kind of social activities do you enjoy? (e.g. movie nights, sports clubs, wine groups)?
- Is the village pet friendly?
- What services does the village offer to support my health, wellbeing and security?
- If my health needs change, is the village co-located with a residential aged care centre that would make it easier for me to access a high level of care?
At IRT we want to make your aged care journey as easy and stress-free as possible, so we’ve put together a step-by-step guide to the ACAT process.
Benefits of a retirement village
Retirement villages are purpose-built for older people, so they offer many advantages. Here are just a few:
Convenience
Retirement living offer low maintenance living, meaning residents have fewer home and garden chores to deal with, and common areas are looked after by the operator. This frees up time to spend with family and friends and makes it easy to go on holidays.
Social connection
Retirement villages provide lots of opportunities for residents to interact and connect, through shared recreational facilities, community rooms and organised social activities.
Many residents report that the social aspect of living in a retirement village is the main reason they are happy with their new living arrangements.
Safety
Feeling safe and secure in your home is really important. Retirement villages have real benefits on this front, both in terms of your health and your physical security. Many offer quick and easy access to help in an emergency, including 24-hour health monitoring.
In terms of physical security, you can have peace of mind knowing your neighbours are close by. Many villages are protected by security gates or, at night, security guards.
Independence
There is some evidence that retirement village residents remain independent longer than their counterparts who stay in their own homes. According to the Retirement Living Council’s 2023 Better Housing for Better Health Report, retirement village residents delay their entry into aged care, with the report’s key findings showing that: retirement village residents interact less frequently with healthcare systems than older Australians who live independently; they are 15% more physically active; and are five times more socially active, all which help to contribute to a person remaining independent.
Other frequently asked questions
What are the costs involved?
There are many ways to pay for your new home and the costs will depend on which village you choose and where it’s located.
Remember, don’t sign any contract before getting independent legal and financial advice. It’s essential you get a really good understanding of the different payment options and any ongoing fees, which must be specified in the contract.
You’ll need to consider deposits, the different types of tenure arrangements, any type of management fee and what happens when you vacate.
For a good overview of the costs associated with retirement village living, check out our pricing and rates page which explains a number of pricing options you can choose from.
Are there security measures in place for the residents?
Most retirement villages in Australia have some level of security in place for residents.
Generally you'll find that villages have CCTV, access control to buildings and apartments and overnight security patrols.
It’s best to ask your village sales consultant about the specific security measures in place at the village you’re considering as your new home.
Are pets allowed?
Many retirement villages allow you to have small pets, but they usually need to be approved before you move in. What’s allowed varies from village to village, and in some cases pets aren’t allowed at all, so it’s always best to check with the specific village you’re considering before moving in.
What is the Retirement Villages Act?
Each state has its own Retirement Villages legislation, which is designed to protect your rights.
It is very important for you to understand your rights and the Retirement Villages legislation outlines the obligations that residents and operators owe to each other.
If you would like a copy of the Retirement Villages legislation that will apply to you, please contact the appropriate legislative body in your state or give us a call on 134 478.
Who runs retirement villages?
Retirement villages are owned and operated by private operators as well as not-for- profit and community organisations, such as churches and charities.
What happens if my needs change?
If your needs change, you can choose to receive additional support through home care services, whether it’s a hand around the house with cooking and cleaning or help with transport and getting out and about.
Unlike most family homes, many villas and apartments at retirement villages feature age-friendly design. This means there’s plenty of room for mobility aids, and easy-grip door knobs and taps.
If either you or your loved one ends up needing 24/7 support, some retirement villages are co-located with an aged care centre where you can receive ongoing professional care.
You'll need to get an ACAT assessment and you can find out more about that process on our ACAT process page.
What is the difference between a retirement village and an over 55 community?
In a retirement village, the resident purchases the right to live in a unit or villa. In an over 55s community, the resident owns the home (usually a manufactured home or a moveable dwelling) but leases the land for a recurring fee.
Can you rent in a retirement village?
Yes, you can rent in a retirement village. While many residents choose to buy their units, rental options are available, offering the same access to facilities, services, and community activities without the commitment of ownership. This flexibility can be particularly appealing for those looking to preserve capital or who are uncertain about their long-term plans.
Some retirement village providers, like IRT, have affordable homes to rent to older people on low incomes. Seniors can enquire and pending availability in their preferred area may find a home to rent. At 30 June 2023 IRT had 55 affordable and social housing units, managed by Age Matters, and more details are available on the Age Matters’ housing support page.
At what age do most people move into retirement villages?
At IRT, the average age of a new resident moving into one of our retirement villages is 75 years old. Some people move into our retirement villages aged in their mid-50s, while others are older when they make the move. It’s when the time is right for you – a retirement village offers an environment which supports people as they age, provides opportunities for social interaction, safety and convenience.
Discover the benefits of living in a retirement village
Choosing a retirement village
Selling your home and moving to a retirement village is a big financial and emotional decision so it’s essential you choose wisely.
As you move into the next phase of your life, the most important thing to consider is whether the retirement village will suit your lifestyle now and as your needs change into the future.
We all have different needs and wants so it helps to make a list of the things that matter to you before seeking out a village that will make you happy. Here’s a few thoughts to guide you:
- What type of village will suit your lifestyle. Do you like open space living or apartment city living?
- What community facilities (e.g. Tennis court, cafe, swimming pool, gym, golf course) will support your lifestyle?
- What kind of social activities do you enjoy? (e.g. movie nights, sports clubs, wine groups)?
- Is the village pet-friendly?
- What services does the village offer to support my health, wellbeing and security?
- If my health needs change, is the village co-located with a residential aged care centre that would make it easier for me to access a high level of care?
What are the costs involved?
There are many ways to pay for your new home and the costs will depend on which village you choose and where it’s located.
Remember, don’t sign any contract before getting independent legal and financial advice. It’s essential you get a really good understanding of the different payment options and any ongoing fees, which must be specified in the contract.
You’ll need to consider deposits, the different types of tenure arrangements, any ongoing fees and what happens when you vacate.
For a good overview of the costs associated with retirement village living, check out our pricing and rates page which explains a number of pricing options you can choose from.
Retirement living at IRT
If you’re interested in downsizing your house and upsizing your life, IRT has more than 30 retirement villages across NSW, Qld and ACT. Find out more about the possibilities of village life and how one of our independent living communities can suit you and your unique needs.
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