2009 Business Award
Excellence in Professional Services - Northland
Where will you live when you retire?
Recent years have seen some significant changes in the local market for retirement living. The Retirement Villages Act has changed the law on how units in retirement Villages are dealt with and Whangarei has seen the development of a number of major villages. These complement the existing options of long established villages and other informal options available in the numerous small semi-detached units in and around Whangarei.
Choosing the right option for retirement is a matter of choice. Some people prefer a new unit in a large modern village. Some will prefer a less formal village with older units. Some people will be concerned to find the right community in which they feel comfortable. Price will be a factor too.
There are also a range of legal issues too. Sometimes these can be quite complicated. One of the key points to understand is what you get back if you leave the village. In other words, what have you got to sell at the end? There are numerous options. Many villages operate on the basis that when you leave you get back your purchase price less a percentage, depending on how long you stay. You always get back less than you pay. Because of this some people describe retirement villages as the worst financial investment you will ever make. That may be true at a financial level, but it is important to understand that moving into a retirement village is not just a financial investment. It is also a choice about how you want to live. There is a cost to that, it is not just a financial investment. It is also a lifestyle choice.
Some of the structures for retirement villages are very complicated. It is important that you understand what it is you are paying and what you will get back. There are usually ongoing fees and costs as well as the sometimes complicated arrangements relating to ownership. Each village is different. The changes brought in by the Retirement Villages Act require a lawyer to explain what it is you are buying. When explaining a retirement village to a client lawyers are required to provide information in an understandable way. If you don’t understand what you lawyer is saying speak up and ask for a clearer explanation.
Like any major decision, before making a decision about a retirement village you should consider what it is you are wanting and expecting. Look around at alternatives and consider the differences. Discuss the options with friends and family, and where appropriate take good legal advice.
Contact Jamie McGregor if you would like to discuss your options further.
About Henderson Reeves
Henderson Reeves is one of Whangarei's leading law firms. With our expert legal advice and dependable quality service, we've been providing peace of mind to individuals, families and businesses in Northland, Auckland and beyond for over 25 years.
Text Size