Do I 'buy' or 'lease' my accommodation unit?
Just as there are many different types of retirement villages offering different services and facilities, there are many different types of tenure schemes available.
The most common form of tenure available in most retirement villages is leasehold tenure. A lease is, usually, for 99 years or more and is registered with the Titles Office, with you registered as the ‘lessee’. A lease terminates automatically on the death of the surviving resident or when the unit is on-sold to a new resident.
Another common tenure scheme is the loan/loan/licence arrangement. This is quite similar to a lease, however it is not registered with the Titles Office. Some villages are freehold/strata title tenure – you purchase the accommodation unit and are registered on the title deed.
Regardless of the tenure scheme offered at the village of your choice, you are protected by relevant state legislation. Retirement villages offering leasehold, loan/ loan/licence and freehold/strata titles are governed by the Retirement Villages Act 1999.
The most common form of tenure available in most retirement villages is leasehold tenure. A lease is, usually, for 99 years or more and is registered with the Titles Office, with you registered as the ‘lessee’. A lease terminates automatically on the death of the surviving resident or when the unit is on-sold to a new resident.
Another common tenure scheme is the loan/loan/licence arrangement. This is quite similar to a lease, however it is not registered with the Titles Office. Some villages are freehold/strata title tenure – you purchase the accommodation unit and are registered on the title deed.
Regardless of the tenure scheme offered at the village of your choice, you are protected by relevant state legislation. Retirement villages offering leasehold, loan/ loan/licence and freehold/strata titles are governed by the Retirement Villages Act 1999.