
Residents have their say, and they are capable of making their own decisions
- Categories Key things to help you everyday, Retirement Villages
- Date December 12, 2024
A survey of more than 4,000 retirement village residents indicates that the vast majority understood the terms and conditions of the contract they signed before moving in. Importantly, they are still satisfied with life in their village of choice.
In response to the ABC’s 7;30 Report which suggested retirement village contracts are a form of “corporatised elder abuse”, a coordinated effort by the Residents Associations from across Australia indicates residents do not share this sentiment.

In the preliminary summary report on Retirement Village Contracts, Judy Mayfield, President of 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.”
The survey found that 90% of residents understood the difference between buying into a retirement village, and the open residential market.
The survey found that 90% of residents understood the difference between buying into a retirement village, and the open residential market.
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.

“The largest room in the world, is the room for improvement”, Lisa McInnes-Smith, speaking at VILLAGE SUMMIT.
As a sector we aren’t out of the woods yet. While this survey indicates 90% of residents would consider recommending a retirement village to others – their remains room for improvement.
This does not mean operators are knowingly doing the wrong thing, or neglecting their obligations to potential residents – rather there continues to be more work to be done to ensure all residents know what they are buying into.
8% of respondents reported that they did not realise there would be regular recurrent charges.
The report also identified several areas for improvement, including understanding of contracts; calculation of capital gain; and the fees for preparing a village unit for sale.
17% of residents indicated they did not discuss their contract conditions with their family, with 13% making the decision on their own. This means no assistance from friends, family, solicitors, financial advisors or accountants.
As we have seen time and time again, issues tend to surface on exit when family members who were not involved in the decision-making process, get involved. These are the people that fuel the negative media attention and will do again.
Contract Check Ups = Low hanging fruit
As of December 11, 2024, New South Wales (NSW) is the only Australian state that mandates an annual ‘contract check-up’ for retirement village residents. This requirement was introduced in 2021, allowing residents to request a yearly meeting with their village operator to review and understand their contractual obligations and financial standing.
In Victoria, the Retirement Villages Amendment Bill 2024, introduced on November 27, 2024, proposes several reforms to enhance consumer protections for retirement village residents. Among these reforms is the implementation of annual contract checks, ensuring residents are consistently informed about their obligations. As this legislation is still in the bill stage, the requirement is not yet in effect.
Currently, no other Australian states or territories have specific provisions mandating regular contract check-ups for retirement village residents.
This is good practice. Low hanging fruit. Something every operator should consider in the new year to ensure that residents, and their families, have the ability to ‘check in’ on their contract, and the financial terms on exit.
The Residents Associations will release a more detailed report in early 2025, including recommendations for improvements to ensure residents, existing and prospective, have a good understanding of the terms of their contracts.
The DCM Institute will be working with the Associations to share these results with Village Professionals across the country in the new year.
You can read the full preliminary summary report here.
Author
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With over 20 years of experience in the seniors living sector, James has led operations for both large and small operators. Throughout his career, he has demonstrated a deep commitment to a resident-focused approach, working tirelessly to establish, improve, and transform retirement communities for some of Australia's top owners and operators. James holds a Masters Degree in Commerce and Economics (UNSW) with an advanced specialisation in Human Resource Management. A former member of the NSW Retirement Living Council, he continues to sit on numerous sector Committees.
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With over 20 years of experience in the seniors living sector, James has led operations for both large and small operators. Throughout his career, he has demonstrated a deep commitment to a resident-focused approach, working tirelessly to establish, improve, and transform retirement communities for some of Australia's top owners and operators.
James holds a Masters Degree in Commerce and Economics (UNSW) with an advanced specialisation in Human Resource Management. A former member of the NSW Retirement Living Council, he continues to sit on numerous sector Committees.
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