In Western Australia most people aged 60 years and over live in privately owned houses, units or apartments. Only a small percentage live in non-private dwellings, such as nursing homes or care facilities. Many older people own their own home but some, have always rented.
Whether you rent or own your home, choosing where to live is an important decision to make. Some people choose to move into a smaller home as they get older. The garden may now be too big for their needs, steps may be a worry if they have mobility problems or there could be too much room once the children have left home.
Some people dream of moving to a block in the country or a house near the beach for their retirement. If you are thinking of moving somewhere new for your retirement - do your homework. Your health and mobility or that of your partner may be fine now, but what about in 10 or 20 years? Will you be able to cope with the maintenance of a rural block as you get older? Will there be sufficient specialist services. What about your friends and family – will you be able to stay in contact with them? If relocating involves selling your house or unit, then seek advice on the implications for your pension and or taxation.
If you are moving because you are unable to cope with the housework, gardening and maintenance of your current home, have you looked into what community or government support is available to assist you to stay in your residence. Ask yourself some of these questions before deciding to move:
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What public transport is available at the new location?
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How close are the shops?
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What medical facilities are there?
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What recreational facilities are available?
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Will you see your friends and family as often as you would like?
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Can you afford the costs involved with moving and ongoing costs including petrol or transport to visit family and friends or access medical services?
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Are there any restrictions about keeping pets?
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Will the new home be suitable for a dependent child still living with you?
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How much will council and water rates be and will you get State Government concessions?
In addition, keep in mind what your needs might be if you or your partner’s mobility reduces due to illness or disability. Discuss Access and Universal Design Principles with your builder. Go to the Disability Services Commission website at www.dsc.wa.gov.au for further information.
The Department of Consumer and Employment Protection has produced a publication The Homebuyer’s Survival Guide for WA. The guide contains a wealth of information and tips on building or buying a home, as well as advice about housing options for people over the age of 55. Call 1300 304 054 for a free copy or go to www.docep.wa.gov.au
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There are a number of residential options now available for older people who want to move into a low maintenance home. A retirement village may not appeal to everyone. However, many older people enjoy the sense of community and companionship of these living arrangements.
Before you make a decision, investigate the financial, legal and lifestyle implications of moving. Read all documents carefully, including the fine print, and make sure you understand them. Don’t just rely on friends or family for advice. It is always best to seek legal advice before you sign a legal document so that you fully understand the implications.
Things to consider:
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Will you enjoy living in a small community where the residents are all in the older age group?
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What shared facilities are available?
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What fees and other charges are there for use of the facilities?
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Are you going to get value for money for the use of the facilities?
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Can you be involved with the running of the facilities?
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Is public transport close by?
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Where are the nearest shops?
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What security arrangements are available?
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Where is the nearest medical service?
If you or your partner become ill, is care available on site?
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If considering a retirement village, is it accredited with the Western Australian Retirement Village Association?
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What concessions will you still have access to (ie council rates, water rates)?
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How long is the lease for?
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What happens if you need to cancel your lease or other arrangement?
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Can the owner cancel your lease and what notice will you be given?
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What will you get for your ‘buy-in’ payment? And what form will it take - an interest free loan, pre-payment of rent, refundable deposit or lease premium?
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What other fees and charges are there and what will this cover?
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Some people start down-sizing their accommodation well in advance of retirement. A number of private developers are creating lifestyle villages that target specific age groups, such as people 45 years and over. They are also known as residential parks or leisure villages. Lifestyle villages offer ‘resort style’ living in a community setting by providing a range of activities, facilities and social interaction. Some are managed with resident participation to ensure that the views and interests of residents are included.
Residents of lifestyle villages are likely to include people who have retired but will also include younger people either in or out of the paid workforce.
Arrangements may include a resident purchasing a home and entering into a lease agreement with the company. The agreement may require each resident to pay a weekly fee for the right to occupy the land and for use of the village facilities and services. Arrangements will vary between villages, so you need to read all the information provided to ensure you are getting what you want and that you fully understand the lease agreement. You should also know what impact there will be on your access to your State Government concessions, such as council and water rates.
At the time of writing this publication, the State Government was developing legislation to protect the rights of residents of residential parks, leisure and lifestyle villages. For further information call the Department of Consumer and Employment Protection on 1300 304 054 or go to www.docep.wa.gov.au
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Retirement villages provide accommodation for people over 55 years of age and their partners. In reality, the average age of residents is likely to be higher than 55 years.
There is a variety of accommodation options in retirement villages. These may consist of a combination of different types of accommodation such as self-care units which are either unserviced or serviced, a hostel or nursing home. Units may have a living area, one or more bedrooms, a kitchen, bathroom and laundry facilities. They may be stand alone villas, units or apartments.
You may need to make a payment to secure a place in the village. This may be a once-off or up front payment, or the cost of buying the premises. In addition to this “premium” payment you may be required to sign a residential tenancy agreement, lease or licence arrangement; buy shares in the ownership of the village; buy the premises from the administering body subject to that body having the right or option to repurchase; or buy the premises subject to specific restrictions on the resale of the premises. In addition to an entry contribution, there may also be ongoing fees to cover support services.
Retirement villages are run in many different ways. Some are strata titled units; others are a mix of strata titled and lease-based units; and there are lease-based units. The lease arrangements may have an impact on your access to State Government concessions for council and water rates. Make sure you understand how your entitlements will be affected by the lease arrangement before you sign the final documents.
There are many types of lease agreements and conditions within those agreements vary greatly. Take time to understand the financial arrangements and what amenities and services will be provided. The rights of residents are protected through the Retirement Villages Act 1992. For more information refer to the booklet So you’re thinking about moving into a retirement village produced by the Department of Consumer and Employment Protection. Call 1300 304 054 or go to www.docep.wa.gov.au for further information.
Further information about retirement villages is available from the Retirement Villages Association Ltd Western Australia. Call 9322 9909 or go to www.rvawa.com.au
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If you rent private accommodation, you will not have control over the permanency of the rental arrangement. The rights of tenants of private rental accommodation are covered by the Residential Tenancies Act 1987. For further information call the Department of Consumer and Employment Protection on 1300 304 054 or go to www.docep.wa.gov.au.
If your income will be reduced when you retire, and you live in private rental accommodation, you may be eligible for rental assistance from Centrelink. Call 13 23 00 or go to www.centrelink.gov.au for further details.
Other accommodation arrangements to consider include:
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Before deciding to live with family or friends, think through the options and possible consequences. Some older people sell their home and build a ‘granny flat’ on property owned by one of their children. It is important that you seek financial and legal advice before committing yourself to this sort of arrangement. In addition to needing approval to build the ‘granny flat’ from the local council, you should also consider:
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How will your other children feel about you improving their sibling’s property?
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You may get on with your son or daughter and their partner now, but what if this changes? What if their living arrangements change? What are the implications for you?
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Will you be expected to provide babysitting for your grandchildren on demand?
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Will this affect your pension or your access to State Government concessions?
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Will you have enough privacy?
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Ownership of the property and land?
Friends can provide us with support and companionship and be great fun. But would you be able to live with your friend? Before you make the final commitment to share a home with a friend, consider having a trial run. Sometimes a long week-end together can be enough to realise you don’t want to live with your friend.
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Some older people choose to live in a caravan park. A number of caravan parks provide long-term bays in Western Australia. Things you need to consider include:
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The security of tenure
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How often you can expect a rent increase
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What will your rent cover?
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What other costs will there be?
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Ongoing expenses for use of amenities
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Rules for residents and visitors
The rights of permanent residents of caravan parks will be protected by new legislation being developed by the State Government at the time of writing this publication. For further information call the Department of Consumer and Employment Protection on 1300 304 054 or go to www.docep.wa.gov.au.
Public housing
You may be eligible for public rental accommodation if you meet the Department of Housing and Works (DHW) eligibility criteria. If you are 55 years of age or over with no children living with you, then you may be allocated an apartment, townhouse or duplex. If you have a medical condition that makes it difficult to access a property with stairs or steps, you should discuss your needs with a DHW officer. Call 1800 093 325 for further information.
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For many people the privacy and comfort of their own space is important, so understandably they want to stay at home as long as possible.
Assistance is available if you become sick or unable to physically cope with household chores and personal care. Help includes bathing, meals preparation, laundry, dressing, transport, housework, temporary in-home respite, home maintenance and social activities and is available from the Home and Community Care Program.
For people who require similar care to that being provided in a hostel, Community Aged Care Packages are available. To be eligible to receive a Community Aged Care Package an Aged Care Assessment Team will need to assess your needs. Your doctor can put you in touch with the Assessment Team or you can contact your nearest Commonwealth Carelink Centre on 1800 052 222 or go to www.commcarelink.health.gov.au
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Hostels cater for people who are unable to be cared for in their own home but who do not need ongoing nursing home care. Hostel accommodation is often in a single room with a private or shared bathroom. A hostel provides low care services for frail people, people aged 60 years or over and people with physical or intellectual disabilities. Talk to your doctor about your needs and ask to be put in touch with the Aged Care Assessment Team.
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Nursing homes are an option for people who require 24-hour nursing care and a high level of assistance with personal care. Most nursing homes have shared wards or bedrooms, but there are some with private rooms. Talk to your doctor about your needs and ask to be put in touch with the Aged Care Assessment Team.
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