The vast majority of retirement village residents choose to buy the lease of their properties, but there are often a range of purchasing options available.
Try before you buy
Some retirement villages offer a ‘try before you buy’ package, where you can commit to purchasing a property but choose to live in the village and rent for a period of time. This can give you the opportunity to settle in, get to know your neighbours, try out the facilities and experience everything the local area has to offer.
Many villages charge for assignment fees – this is when a property is re-sold and the provider charges a percentage of what you sell it for (on average in the UK around 10%). This money often helps recover the cost of building the shared facilities, for example a swimming pool. It It may also cover the fees for marketing the property when you come to sell, or be used to cover long-term maintenance – thus reducing the service charge that residents pay each month. It is important to find out exactly what the assignment fees are to be used for and that you get something definitive in return. First and foremost, the Anchor Group is a not-for-profit organisation, which means every penny we make is reinvested into our retirement properties, ensuring the best facilities and expert care are on hand.
You will need to budget for a service charge, which covers the cost of the manager service, 24-hour emergency service and the heating and lighting of all communal areas. You will be given information on these charges when you view a property. You will be responsible for your own council tax, phone bills and electricity bills for your property. For those residents who purchase a property, a ground rent charge may also be applicable.