Retirement villages are not the same as government-funded residential aged care.
Retirement living
Retirement villages explained: what to check before you sign
A retirement village is a housing and lifestyle choice, not the same thing as an aged care home. Contracts, fees and ownership arrangements can be very different from buying an ordinary home.
Practical guidanceUnderstand the options before making the decision.
At a glance
What to know first
The Australian Government does not subsidise retirement village living.
Entry, ongoing and exit costs can be complex and state or territory law applies.
The practical detail
Work through the part that matters to you.
Understand what you are actually buying
Depending on the village, you may buy a strata or community-title property, purchase a share or enter a lease, licence or loan arrangement. The legal structure affects your rights and costs.
Look beyond the entry price
Ask for a clear explanation of recurring service charges, maintenance costs, refurbishment obligations, deferred management or exit fees, capital gains or losses and what happens when the unit is resold.
Do not assume care is included
Some villages offer support services or have care nearby, but a retirement village is not automatically an aged care provider. Ask what happens if your care needs increase and what services are genuinely available.
Get contract advice before signing
Moneysmart recommends legal advice from a solicitor experienced in retirement village contracts and the rules in your state or territory.
Before you act
Retirement village laws differ by state and territory. Have the specific contract reviewed before you sign.
Check the current rules
Official sources used for this guide.
Government rules and thresholds can change. These links take you to the source material used to prepare this page.
Moneysmart
Your home in retirement
Check the current government information before relying on eligibility, rates or rules.
Open official source →Australian Government Department of Health, Disability and AgeingAbout aged care and retirement villages
Check the current government information before relying on eligibility, rates or rules.
Open official source →Related Later Life guides
Keep going only where it is useful.
Home & housing
Staying at home or downsizing: what should I think about?
There is no automatic point at which a person should downsize. The useful question is whether the home still supports the life you want, the costs you can sustain and the help you may need later.
Read guide →Care & supportWhat help can I get to stay living at home?
Government-funded support can help with personal care, cleaning, nursing, allied health, transport, equipment, home modifications and other assessed needs.
Read guide →When general information is not enough
Talk it through with Liz.
Liz can help connect the general rules to the care and support questions in your own situation. For legal, tax or financial decisions, she will point you back to the appropriate professional or government source.