NEIGHBOURHOOD SUPPORT NEW ZEALAND

Choosing a Retirement Village

Buying a home in a retirement village is different to buying a home in a residential neighbourhood. As well as location, construction style, and the amenities offered, retirement villages offer different types of occupation right (unit-title, cross-lease or right to occupy). Also, there are joining and weekly charges and then there is the capital return at the end of the contract that varies from village to village.

The key to choosing the right retirement village is preparation, taking time to compare and understand the features of the villages you are considering and whether they will meet your future needs. For example, the ability to access home help services or move into a rest home or hospital may be important to you.

Visit different villages and find out what they have to offer. When seriously considering purchase, visit at different times of the day and night.

Talk to residents. Ask them what are the best and worst features of their village and village life?

Retirement villages are governed by the Retirement Villages Act 2003 and all villages must be registered with the Registrar of Retirement Villages.

The Department of Building and Housing internet site has information for retirement village residents and operators and provides tips on choosing a retirement village, including:

• information on the Retirement Villages Code of Practice 2008
• information buyers must be given by the retirement village
• getting financial and legal advice
• talking to family and friends about your decision and the contract

The Code of Practice contains information that improves consumer protection, customer awareness and provides a minimum standard that all retirement village operators in New Zealand must attain.

About 80% of retirement villages are members of the Retirement Villages Association of New Zealand (RVA). Accredited RVA members are audited against the Code of Practice every three years. Members passing their audits are issued with certificates from an independent accredited auditing organisation and the RVA to display publicly in their premises. The RVA internet site has a list of all its members with links to most.

Sorted, which is the internet site of the Retirement Commission, offers helpful financial, lifestyle and signing up checklists plus other comprehensive information on retirement villages.

The internet site Trade Me has a Property section devoted to properties for sale in Retirement Villages.