Why A Lease


Leases are widely used by Retirement Village operators in Western Australia as being the most practical and cost effective method for residency contracts.
 
A lease gives you the security of tenure you reasonably expect and ensures that the whole village is maintained to a continually high standard by the Village Managers who are responsible to all residents to ensure this happens.
 
This type of agreement also keeps down the cost of developing such a village as there are no separate titles and there is no GST payable on the lease although there may be stamp duty.  The result is a lower purchase price to you.

Your Interests are Protected

Your lease provides a secure and legally binding interest that is protected by your Residence Agreement, the Retirement Villages Act 1992 and a Memorial which is lodged over the title of the Village land protecting your rights under the Retirement Villages Act.  The village cannot be sold for any other purpose than as a Retirement Village so your investment is secure.

Do I have an Interest in the Land?

Whilst you don’t own the land, when you purchase a Lease, your purchase  means that when there is capital growth on the property upon resale, you can share in this growth.  Naturally, values go up and down over time in much the same way as your current residence.  Village schemes can also vary so you should check as to whether your Residence Agreement allows you to benefit from any capital growth.

What Happens When I Leave?

Seniors Own Real Estate can sell your retirement home for you, or you can appoint your own agent.  Upon resale, you are paid in full, less any costs in accordance with your Residence Agreement.  This allows you to benefit from any growth in the market value of the home when it occurs.