The Amendments to the Retirements Villages Act (Qld.) 1999 (and the 2018 Regulations) that come into action on 1 February 2019 are intended to provide greater clarity and certainty to prospective purchasers of Retirement Village Units (and their families). Significant changes to Pre-Contractual Disclosure are designed to increase the information for, and understanding of purchasers prior to committing to purchase of Retirement Living accommodation.
The main new mandatory documents that replace the current Public Information Documents are the Village Comparison Document, and the Prospective Costs Document. These documents, which have only issued in the last week can be accessed here.
They ensure greater clarity of the costs payable by purchasers on entry, during occupation, and on exit from the Retirement Village.
Also introduced is a 21 day cooling off period (up from the usual 14 days) though this can be waived down to 7 days will legal advice, using the specified form.
There is greater certainty about the costs of reinstatement or refurbishment on exit. Condition reports must be provided by the Village Operator, on entry, and within 14 days of exit.
The Retirement Village Industry is booming, and with the age demographics of the baby boomers, and people living longer, this industry will only increase in size and scope. The new provisions are intended to provide greater understanding and comfort for those moving into that phase of their lives.
Whilst the Village Comparison Document and Prospective Costs Document are mandatory, there remain a myriad of other legal and financial aspects that will vary from Retirement Village contract to contract, and from operator to operator, so expert legal advice on any contract is essential for any prospective purchasers and those supporting them.