• Over 600 member enquiries for the year to date
• Surveys and reports issued or upcoming:
  • 2025/6 budgets and finance issues
  • National survey of residents in retirement villages to determine their level of knowledge and understanding prior to signing their contract and their level of satisfaction and understanding since they have moved in. Over 3900 responses to date with a report on findings available in January. (See summary in this Bulletin).
• Growing the Education Centre and establishing it at the forefront of resident information and education in NSW:
  • Videos and webinars
  • Resident Committee training modules
  • Bulletins on issues facing residents.
• Liaison with other State and ACT RVRAs to further best practices and common issues discussion and resolution.
• Multiple meetings with:
  • The Department of Fair Trading
  • Commissioners for Fair Trading and Strata and Property Services
  • The Office of the Minister for Better Regulation and Fair Trading
  • The Minister for Seniors and Shadow Minister for Fair Trading
  • Government officials and other politicians and policy bodies
  • Property Council and Retirement Living Council and their operator members
  • Village residents and resident committees
  • Village managers.
• Participation in Roundtables for Strata and Retirement living, Home Building Act and Retirement Village Regulation reforms.
• Improvements to website and member reporting.
• Seeking funding from the State Government for the ongoing operations of the Education Centre.
• And so on…

None of this could have happened without your continued support and encouragement.

The RVRA has now become a recognised consumer voice and advocate for the ageing population and, with this, comes even more responsibility to ensure that retirement villages remain a viable and affordable living sector with a voice with policy decision makers.

When we look around us at the present time, how do we see the place of retirement villages going forward?

Multiple sources tell us that:

• Retirement villages are nearly fully occupied and there are many long waiting lists
• The average age of villages is approaching 30 years – is this the “effective life” of a village – is redevelopment or change of use the response?
• Average age of residents is close to 80 and the population is ageing
• Very few new villages are being built and those that are being developed incorporate the facilities now needed to cope with ageing-in-place.
• Aged care facilities are full and overstretched in resources
• The currently envisaged new build of aged care beds for the anticipate tsunami of needs is not going to be sufficient by any calculations
• Hospital beds are in short supply and the hospital system is fully stretched, and
• The aged care legislation has changed and will lead to even more financial pressure on the elderly as they seek medical and hospital care in home.

The result, in not just our opinion, will be that retirement villages will become a safety net for ageing in place. The average age of the population will increase and the issues arising in old age – such as dementia, loss of ability and acuity, will become more pronounced in our villages.

We may well see the function of retirement villages as a lifestyle of independent living changing to that of caring for the elderly.

For the RVRA and its members and Board – what does that potentially mean?

1. The average age of our members will increase - turnover of membership will still be 7% to 8% annually and we will need to jump over hurdles just to maintain our current membership, much less increase it.
2. As a result, our funding sources are going to be very much aimed at government support.
3. We will be more focused on issues arising within villages because of increasing mental and physical disabilities and issues.
4. Our advocacy efforts will need to ensure that the frailty of residents is even more of a focus of governments and policy makers.
5. Members of the RVRA Board will need to be even more aware of the alternatives to retirement villages, Federal and State resources, and other bodies who will need to contribute to meeting the problems of ageing. The breadth of member support will increase.
6. Families will be seeking to find a village for their parents and/or siblings, and they will need resources of information – your Association.

In other words – 2025 will be another year of hard work and reliance on members, residents, governments, operators and collaboration with other peak bodies representing tenants, strata owners and the elderly.

This year we have been supported by you and many others who have invested time and effort on our and your behalf.

In particular the Board gives special thanks and acknowledgement to:

• Bishop Collins – our honorary auditors – Martin Le Marchant and the team.
• Peter Hill and his team as our legal counsel and resident advocate.
• Leon Shohmelian and his team for their continued legal and advocacy support
• DCM and the DCM Institute for providing resources and opportunities for our growth as a resource for information and education for all the participants in the retirement village sector.
• Members of operator peak bodies for the honest and frank exchanges that have taken place – in the greater interest of a stable and fair sector for all concerned.

There are many others – too many to mention here – but they know who they are.

In conclusion on behalf of the members of the Board I wish all of you a festive season filled with joy, peace and goodwill. May 2025 see yours and our dreams fulfilled.

Craig Bennett
President

During October and November RVRA Board members met with representatives from the Property Council, the Retirement Living Council, Fair Trading, Do Come Monday (DCM),and various Operators. Board members attended conferences and Forums and contributed to a range of committees within the sector.

Members Enquiries

Board members answered 40 enquiries from members in October covering a total of 60 categories (some enquiries covered 2 or more call categories). The largest number of calls categories were about Resident Committees this month and topics covered included the management of residents’ funds, requests for information on how to set up a Resident’s Committee, and the roles and procedures of a Residents Committee. Members can access Information Sheets dealing with these and many other topics in the Members Only section of the RVRA website.

The Retirement Villages Education Centre

The video series “Life in a Retirement Village” is in full production and the first video “Why Choose a Retirement Village” can be viewed here - https://www.rvra.org.au/education/videos

The RVRA 2024 Budget and AMP Survey Report (see below) went out to our members and the Sector during November. It and the preceding 2 years Surveys plus our data from our calls desk provide the basis of the Education Centre’s main project in 2025 – “Finances in Retirement Villages”.

We have planned an informative program which will assist residents to navigate these tricky waters.

Residents Committee training will continue to be a major project for the Education Centre with the workshops for Residents Committees now being run in villages. If you think your Residents Committee could benefit from a workshop, please contact us - info@rvra.org.au.

The NSW RVRA Retirement Village Education Centre can be accessed at www.rvra.org.au/education

Village Visits

We are planning our visits for the start of 2025, so if you wish your village to be included in the Village Visit schedule, please contact Cathy on 1300 787 213 (option 1) if you have not already done so.

The National Retirement Village Residents Association - Survey Summary

A preliminary report is included further in the Bulletin below.

Judy Mayfield, President of Association of Residents of Queensland Retirement Villages (ARQRV), expressed frustration, saying, “We are tired of the media painting all residents in retirement villages as incapable of making their own decisions, implying they didn’t understand what they were signing, and suggesting they are being exploited.”

Helen Betros, President of Residents of Retirement Villages Victoria (RRVV), shared that “among the associations, there was a feeling that, while some of the issues raised had merit, they didn’t accurately represent the whole picture.” She added, “People were upset by the portrayal of older individuals as frail, elderly, possibly demented, and not savvy.”

Craig Bennett, President of NSW Retirement Village Residents Association (RVRA) commented “to say that I am disheartened is an understatement. My concern is that the ABC Report will paint such a disastrous picture of retirement villages that it will put back several years all the advances that the RVRA, the main body of operators, and Fair Trading have made in this sector”.

In response to this negative portrayal, Retirement Village Associations across Australia and the Australian Capital Territory conducted a survey to gather feedback directly from residents. This independent survey was designed, managed, analysed, and reported to provide an authentic reflection of their experiences. Residents were invited to “Have your say!!”

And You Have Spoken!

The survey had a great response, with over 4,000 residents responding from right across Australia.

Overall, the results of the survey indicated that residents understood the terms and conditions of the contract that they had signed, and that they were satisfied or very satisfied living in their village.

• Over 90% of respondents understood the difference between buying into a retirement village versus purchasing a home on the open market.
• Over 84% expressed being satisfied or very satisfied living in their village.
• 90% would consider recommending a retirement village to others.
• The primary reasons for choosing to move into a retirement village included downsizing, reduced maintenance, available facilities and services, a safe and secure environment, and lifestyle opportunities.
• The majority of respondents recalled receiving a disclosure document from sales staff, with only 6.5% indicating they did not receive one. 72% reported having a good, or very good, understanding of the information in the document.
• Most residents sought assistance with their contracts from family and friends, solicitors, financial advisors, accountants, village managers, or other residents. Only 13% made the decision on their own.
• 83% of residents discussed contract conditions, including exit fees, with their families.
• The majority understood the terms regarding ongoing costs, village rules (including pet policies), and the availability of current and future facilities.
• 61% reported they had a good, or very good understanding, of how exit fees would be calculated when leaving the village.
• Only 8% did not realise there would be regular recurrent charges.

The survey identified a number of areas of confusion for residents, where additional information would be helpful.

• Half of all respondents found the contract difficult or very difficult to understand.
• 41% did not feel they had a good understanding of the calculation of capital gain.
• A substantial number of respondents indicated that they were concerned about the financial impact of costs that would be incurred when leaving the village. 45% of respondents were concerned about the impact of exit fees, and 51% were worried about the additional charges they would need to pay to prepare their unit for sale.

Conclusion

This preliminary summary of the survey results provides a snapshot of the experiences of 4,000 retirement village residents. Contrary to the negative media reports, the majority of respondents are satisfied living in their village and have a good understanding of the terms and conditions of their contract. Shifting into a retirement village met their need for a safe and secure environment, with good facilities and services, allowing them to downsize and reduce maintenance.

The report identified a number of areas of confusion and concern amongst residents. Many found their contracts a challenge to understand, particularly in relation to the capital gain and the fees associated with preparing their village for sale.

A detailed report with comprehensive findings will be released in the coming weeks, which will include recommendations for improvements to ensure that residents, and prospective residents, have a good understanding of the terms of their contracts.

Roger Pallant
NSW RVRA Vice President

On behalf of all State RVRAs and the ACT RVRA

Unfortunately, the bathrooms and kitchens are refurbished with much lower quality replacements, and these often require repairs within the first few weeks of the new resident moving in. The costs of bringing these items up to standard is then borne by the Capital Works Fund – that is to say the residents.

Could you clarify for me the refurbishment expenses for which outgoing residents are responsible?

A1: Under the Retirement Villages Act 1999, outgoing residents have not been responsible for refurbishment since commencement of the relevant section (1 July 2000) (s164).

Non-registered interest holders must leave the premises in “as nearly as possible in the same condition (fair wear and tear excepted) as set out in the condition report.” (s163 (3)).  See NSW Fair Trading for examples of fair wear and tear (scroll down to the end of the page). This NSW Fair Trading section stresses the importance of the Condition Report.

A Condition Report is a report relating to the condition of the premises at the commencement of the prospective resident’s occupation of the premises (s 38 (1)), and must be given to the resident before occupying the premises.

Registered interest holders (see definitions: s7) share the costs of the sale, including any refurbishment, with the Operator, in the same proportion (if any) as they are to share any capital gains on the sale in accordance with their contract (s170).

If the outgoing resident entered into a contract before the commencement of the section, and is required under the contract to pay for the costs of refurbishment, there are requirements in the legislation which must be followed, including the supply of a work schedule and at least three quotations for the work and a fully itemized account for payment after the refurbishment is complete (s 165).

Q2: At a recent village meeting one of the residents objected to another being present as she said that, despite him having lived in the village for some years, he was not a resident and shouldn’t be there! This confuses me. The gentleman in question rents a unit from the Operator, as do several residents in the village.  Why can’t they attend resident’s meetings?

A2: Under the Retirement Villages Act 1999 (s4(1)) a resident is defined as a retired person (one who has reached the aged of 55 or has retired from full-time employment) with a residence right.

A person has a residence right if they are named on the contract or other form of agreement except a tenancy agreement; are the spouse or de facto of the resident; have purchased the residence (strata) or shares entitling them to occupy the residence; or have been provided with the residence or are a former occupant with rights and liabilities under a village contract.  (See RVRA Member Information Sheets - 'IS12: Who is a resident' - for a full definition.)

The Retirement Villages Act specifically excludes a tenant (that is, a person residing in the village under the Residential Tenancies Act 2010, or containing a term to the effect that the Retirement Villages Act does not apply) from being a resident.

This is important since, under s75 (2) a person who is not a resident may not attend resident’s meetings unless the residents give their consent. There are exclusions – see s75 (3).

Diane Hart
RVRA Board Member & Chair Education Centre