Understanding Retirement Village Fees & Costs at Warrigal

Making the choice to live in a retirement village is more than just about choosing a new place to live; it’s about selecting a new way of life. As you make this significant decision, it’s important to understand the financial side of things. At Warrigal, we prioritise transparency and work hard to make it easy for you to grasp the costs associated with your retirement. Here’s a breakdown of the expenses you might encounter:

1. When you move in

Similar to the lump sum or ingoing contribution seen in many retirement villages, at Warrigal we refer to it as a Registered Lease (contract). Here’s what it involves:

• You’ll pay an upfront fee which grants you the right to occupy an Independent Living Unit (ILU) in our retirement village.
• It’s important to understand that this doesn’t translate to owning the property. Instead, it provides you with the right to occupy the ILU for the duration of the agreement.
• Ongoing service fees are linked to your agreement and cover maintenance and services aimed at ensuring your comfort and security.

2. When you’re living at the village

These contributions are essential for the upkeep of the village and to ensure that residents enjoy a comfortable, hassle-free lifestyle. Here’s what’s included:

• Annual auditing of the accounts of the village
• Cleaning and maintenance of common areas and facilities
• Insurance of the village to full replacement value
• Maintenance and care of common area lawns and gardens
• Management and administration services
• Payment of all rates, taxes, and charges including charges for gas, water, and electricity relating to common areas and facilities
• Public liability cover to the value of $20 million

At Warrigal, these contributions are exclusively allocated to the maintenance and upkeep of village facilities, with no profit gained from them.

3. When you move out

At Warrigal, this is referred to as the Deferred Management Fee (DMF) or Exit Fee. The Deferred Management Fee (DMF) or Exit Fee is income to the operator and can be used at the operator’s discretion. Typically, DMF is used to fund the replacement of capital items (as listed in the Asset Management Plan) or for improvements to the village, the expansion of village services, the refurbishment of premises (where necessary), or more generally any expenditure item that is not able to be funded from the village budget.
Here are the key points to keep in mind:

• Depending on your chosen contract and the retirement village’s specific fees, you might be required to pay a DMF when you vacate the ILU.
• The DMF can vary across different villages, so it’s essential to discuss specifics with us to understand the exact amounts and how they are calculated.

4. The Extras

While the above contributions cover the primary expenses, there could be additional services or amenities that come with extra charges. These are optional charges, and range from specialised recreational activities to tailored services designed to fit your unique preferences.
We do recommended you chat with us so you can gauge any associated costs.

Retirement should be a time of relaxation and enjoyment. At Warrigal, our goal is to ensure that while you enjoy the community, comfort and conveniences of our villages, you remain informed and confident about the financial aspects. Don’t hesitate to get in touch with our team if you have any questions – we’re here to walk you through it all.

Your rights:

All our retirement villages are governed by the Retirement Villages Act 1999 and the Retirement Villages Regulation 2017. Dive into the details about your rights and responsibilities:
NSW: https://www.fairtrading.nsw.gov.au/housing-and-property/retirement-villages
ACT: Retirement Villages Act 2012 & ACT Retirement Village Legislation