We’ve all heard that location, location, location is important when planning a move, but for most of us, a bigger consideration is cost, cost, cost. It’s all well and good to plan for the perfect retirement, but big dreams can come crashing down if our bank accounts can’t keep up with our lifestyle. The cost of living in retirement can be a concern but there are ways to manage our cash flow to make retirement living more cost-effective. One way to consolidate your living costs is to take advantage of a retirement living community. Here are some of the ways that retirement communities can help you save on living costs.
If you’re considering downsizing, getting the best value for your new home is paramount. But a smaller private residence may not always be the best option. 2021’s Retirement Census revealed that buying into a retirement community is more affordable than ever before. Homes in retirement communities were found to be on average 55% of the median price of private homes in the same postcode. This has dropped from the 67% of previous years. It’s no wonder that homes in retirement communities are so popular.
Leisure and Lifestyle
The true cost of living in retirement in Australia will vary for each of us, depending on lifestyle. Do you want to live an active life? Be involved in your community? How much access will you need to services such as libraries, health centres, hairdressers or shops? It might surprise you to hear that research has shown that the cost of retirement community living can be considerably less than the cost of remaining in your family home. This comes down to access to lifestyle options that are part of the retirement community experience. Consider, for instance, the cost in petrol or public transport, and entry fees to access the local swimming pool or gym, cinema, or café. As many retirement communities include these types of facilities on site, you can see how much more cost-effective retirement living could be.
Maintenance and Security
One of the biggest costs associated with living in the family home as we age is maintenance. Lawns need to be mown, gardens kept up, not to mention all the repairs and improvements that need to be made on an ongoing basis. Similarly, the peace of mind that comes with ensuring your home is safe and secure can come with an unexpected price tag. These costs can quickly eat into the day-to-day budget, especially when unexpected expenses pop up due to the need for urgent repairs. Compare this with the cost to live in a retirement village, where yard and home maintenance is included and you have the increased security provided by the close-knit community and on-site staff.
If seeing the benefits of retirement living has got you thinking, what’s the next step? How do you decide if the cost of retirement living will be more affordable for you?
- Explore your options. List the pros and cons of a private home compared to a home in a retirement community.
- Make a list of your current living expenses so that you have a realistic idea of how much you spend to maintain your current lifestyle.
- Consider your current usage of services and amenities. Check how much you might save by having some of these included in a retirement community setting.
- Ask the right questions. Read an article answering common retirement living cost question, take the time to book a tour or make an appointment with a retirement living community to find out the exact costs and benefits involved.
For more information on how retirement living could work for you, don’t hesitate to contact us at TriCare and see how our Retirement Living communities can help you afford the retirement lifestyle you want.