Part 3 of our editorial series: "Living the Land Lease Lifestyle"
When it comes to downsizing, not all retirement property models are created equal. While each offers unique benefits, it’s important to choose the one that aligns with your lifestyle goals, financial priorities, and support needs.
In this guide, we compare three of the most popular models for Australians aged 50 and over: Land Lease Communities, Retirement Villages, and Strata Title Apartments.
Quick Definitions
-
Land Lease Community: You own the home and lease the land from the community operator. No stamp duty, council rates or body corporate fees.
-
Retirement Village: Typically leasehold or license-based; you occupy a unit and pay entry, ongoing and exit fees (often including a Deferred Management Fee or DMF).
-
Strata Title Apartment: You own both the apartment and a share of the building/common areas. Subject to body corporate rules and fees.
Persona Match Examples
-
Helen – The Independent Urbanite: May prefer a strata apartment close to shops and transport.
-
Maria – The Community Seeker: Likely to find a strong social network in a traditional retirement village.
-
Rob & June – The Sea Change Couple: Benefit from affordability and community feel in a land lease setting.
-
David – The Financial Realist: Prefers the financial clarity and independence of land lease.
Industry Insight
-
CBRE Australia notes the growth of land lease as a retirement solution for asset-rich but income-poor Australians.
-
Millar Merrigan confirms increasing interest from developers and residents alike.
-
Downsizing Made Simple urges buyers to understand the differences between these models before signing.
Final Thoughts
There’s no one-size-fits-all when it comes to downsizing. Use this comparison to help clarify your next step, and be sure to match your choice to your personal and financial goals.
Downsizing.com.au Presents Our Editorials Series - "Living the Land Lease Lifestyle"
- What Is a Land Lease Community?
- The Financial Benefits of Land Lease Living
- Land Lease vs Retirement Villages vs Strata: Which Model Is Right for You?
Dislcaimer: This content is general in nature and not a substitute for professional legal or financial advice. Always seek independent advice before making a retirement living decision.
