January 25th, 2023

Retirement/Lifestyle Village Checklist
From Aged Advisor    www.agedadvisor.com

Use this as a reference.
You may wish to either tick if it applies, add ‘yes’ or ‘no’ or give a personal rating
​from 1-5 to help compare your options.

Questions

​Financial

• Entry Price? (eg $570,000)
• Weekly fee cost? And is it fixed (F), CPI linked (CPI) or increasable by Operator (I)?    

           (eg $120 F)

• Maximum DMF (Deferred Management Fee)? 
• Over how many years? (eg 25%, 5 years?)
• Share of Capital Gain? Exposed to Capital Loss? (eg yes – 50%, 5 years)​
• Fees for transferring to another unit, if required?
• Does a 2nd DMF apply? (eg $1000, no)

Location

• ​Near friends, family? (eg yes)
• Close to shops, transport, church, social clubs etc (eg some)
• Is it on flat land?  Do internal roads, kerbs and footpaths have easy walker access?  (eg yes)
• Nice green spaces? Gardens?
• Proximity from unit to village community centre?

Social / General

• Are there social activities that appeal?
• Are staff / management approachable / friendly?
• Were other residents friendly?
• Is there a resident’s committee?
• Overall atmosphere in the village?

Care

• Are there support services? Call bell? Care onsite?
• What do these services cost?
• Is there respite or short-term care offered as part of your ORA?
• What levels of care are offered, if required?
• Do residents get priority for any care services onsite?

On Exit

• ​When do fees stop? (eg on exit)
• When is capital returned? (eg on sale of unit)
• What if it doesn’t sell? (eg repay 20% in 3 months)
• Any costs for refurbishment?  (eg no)​
• Any other costs I should know about? (eg admin fees)

Glossary of Terms
 
Retirement Commission
This is an organisation focused on helping retirees with the financial and legal obligations of entering into a retirement village.
 
COP – Code of Practice
This refers to a legal document that sits under the Retirement Villages Act 2003 called the ‘Retirement Villages Code of Practice 2008).
 
DMF - Deferred Management Fee
This is a cost paid after a resident leaves or terminates their unit in a village.
 
Disclosure Statement
This document must be provided to an intending resident and normally accompanies an ORA.
 
LTO – License to Occupy
While this license gives you legal access to live in the unit or home you will move into.  It doesn’t give you ownership of this space.
 
ORA – Occupation Right Agreement
This refers to the contract you sign with a village operator before you move in.
 
RORV – Register of Retirement Villages
The Registrar of Retirement Villages main function is to maintain the Retirement Villages Register.
 
RVA – Retirement Villages Association
A national membership body representing residents living in retirement villages
 
RVR or RVResidents Retirement Village Residents Association of NZ
A national membership body representing living in retirement villages.
 

To print a list of the questions go to Information/Infomation and Handy Hints