How much does it cost to live in a retirement village?
If you’re considering moving into a retirement village or mature lifestyle estate, you’ll need to have a clear idea of the costs involved beforehand.
Retirement home costs will vary widely depending on the retirement village or estate you’re looking at, and the level of care required.
A 2018 report by Just Retirement on retirement costs in South Africa estimated that retirees will need between R20 000 and R60 000 to rent in a retirement village.
Monthly rental in a middle market retirement village is approximately R9000 per month. Adding levies of around R2000, three meals a day, a hospital plan and frail care facilities brings the cost up to just over R20 000.
The report compared the costs of a retirement village to staying in your own home and opting for home based care. The cost of home based care can vary widely, but on average, retirees spend about R800 per day for the service. This leads to a rough estimate of around R37 000 per month for retirees to stay at home with home care (this figure included an amount towards rates and taxes, groceries and a medical aid hospital plan).
A similar report compared the costs of middle market and high-end retirement estates. The costs of renting in a luxury retirement estate start at around R30 000, with costs increasing to around R60 000 when high-end frail care is included.
What are the true costs of retirement village living?
What costs will you be paying for when you move into a retirement estate? The cost of retirement village living doesn’t just include the cost of your home. Here are some of the basic costs you’ll need to keep in mind:
- Rental or bond repayments
- Monthly levies
- Maintenance costs not covered by levies
- Water and electricity
- Rates and taxes
- Groceries and food costs
- Housekeeping or domestic worker costs
- Gardener or gardening service costs
- Utilities and security
- Medical aid costs
- Medicines and therapy
- Frail care costs
Certain estates will include some of these costs – for example, an estate may pay security costs or cover the cost of a gardening service. When looking at a retirement village, be sure to ask what is included and what isn’t.
The Knysna Lifestyle Estate – Levies
The Knysna Lifestyle Estate offers beautiful full title homes for sale from approximately R3.5 million. A 119 m² home costs R3.49 million, while larger homes ranging from 250sqm to 280sqm are priced between R5.8m to R8.1m.
The levies on each home are set at R16.15 per ² and are payable on the house and garage size only (excluding your patio).
The majority of homes on the estate are sold on a full-title basis, and when a home is sold, a percentage of any capital appreciation on the resale of a house is allocated towards a levy stabilisation fund, to keep levies in the estate as low as possible.
In the Knysna Lifestyle Estate, levies cover your gardening and exterior painting costs.
Because the homes are sold as a freehold title, rates and taxes are payable to the municipality monthly. This amount is based on the current municipal valuation of the property.
Feel secure without extra fees
The monthly levy covers the cost of security at the estate. This includes the manned access facilities and security guards on site.
No extra charge for the lifestyle
The Knysna Lifestyle Estate offers an inviting clubhouse with a lounge, library and billiard room as well as a communal bar. and restaurant. Outdoors you’ll find a beautiful pool, tennis court and boules court. Estate residents can enjoy scenic walking trails as well as the onsite gym and sauna. All these facilities are available to all residents without an extra charge.
Help in your home with our home care services
Sometimes residents require some extra help from a nurse or medical professional. Instead of booking into the frail care, we can offer home care which is charged according to the times required. Residents are also able to request services like food delivery and laundry.
Assisted living at Knysna Lifestyle Estates
The estate offers a number of life-right assisted living units priced between R1.195 million and R1.25 million. These units also benefit from the low levy rate of R16.15 per square meter (units are sized between 33 and 37m²) Additional charges for electricity, meals and laundry apply but no rates and taxes are charged, as the units are sold on a life right basis.
Contact us today to find out more.