A rental provider specialising in property for older tenants has attacked what he calls “hidden costs” involved when people buy purpose-built retirement units.
Jamie Turnbull, business director at Girlings Retirement Rentals, says a recent survey by BLP Insurance revealed that 46 per cent of over-60s were worried about the cost of moving to a purpose-built retirement ‘village’ with 44 per cent expressing reservations about hidden fees and some 25 per cent regarding complex contracts as a “major pain point.”
Turnbull claims renting rather than buying avoids such hidden costs.
“When people consider downsizing they often think the only option is to buy, as they’ve always been home owners. But we’re finding more retirees are realising that renting can be a great alternative, without the hidden fees or complex contracts that can come with buying in a retirement village.”
He continues: “Downsizing and renting enables people to move to a more manageable sized property and no longer have to worry about upkeep and maintenance. People can also free up capital in their home which they can invest or spend enjoying their retirement.
“Renting makes budgeting easier as people know what they are paying every month. Our fees are very transparent and the rent includes services and maintenance, with no hidden extras. People often save on their bills as well as they are in a smaller property. Renting saves on stamp duty costs too which can be significant in some parts of the country.”
And he adds: “One of the main benefits of renting in one of our purpose built retirement developments is that most come with assured ‘lifetime’ tenancies, which means people have the same security of tenure as they would if they bought.
“Knowing they can have an assured tenancy is often the turning point for people when considering renting and it suddenly becomes a viable option. People don’t want to keep moving when they are older and so assured tenancies are a big plus for many people.”