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Changes to retirement villages legislation

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Housing Legislation (Building Better Futures) Amendment Act 2017

​The Housing Legislation (Building Better Futures) Amendment Act 2017 was passed by Parliament on 25 October 2017 and assented to on 10 November 2017.

This legislation contains amendments to the Retirement Villages Act 1999.

These amendments:

  • strengthen the regulatory framework for retirement villages
  • improve consumer protection for prospective and current residents of retirement villages.

What has changed?

Changes to the Retirement Village Act will ensure operators provide more information to prospective and current residents.

In February 2019, we introduced:

  • an improved two-stage 21 day pre-contractual disclosure process that makes it easier for prospective residents to obtain information earlier and seek financial and legal advice
  • a new Village Comparison Document and Prospective Costs Document (replacing the Public Information Document (PID)) that make it easier for prospective residents to compare villages and know the costs of entering, living in and leaving a village
  • increased access to village operational documents for residents and prospective residents
  • a clearer and more predictable process for reinstatement or renovation of a unit, supported by entry and exit condition reports
  • an improved process for a resident and operator to agree the resale value of a unit.

From November 2019

Final amendments to the Retirement Villages Act commenced in November 2019. These changes introduced:

  • a new process and plans for a village closure, redevelopment or transition to a new operator
  • the power to initiate more standardised residence contracts
  • the power to initiate standardised requirements for retirement village financial statements and budgets.
  • a requirement for operators to create a separate fund for general services charges
  • tighter restrictions on increases to the total general services charge.

Amendments to the Retirement Villages Regulation to implement these changes to the law will occur in stages through to 2020.

We are consulting with residents, seniors and industry groups to develop regulation amendments for standardised residence contracts and requirements for financial statements and budgets.

Health and Other Legislation Amendment Act 2019

The Health and Other Legislation Amendment Act 2019 was passed by the Queensland Parliament on 3 April 2019.

This legislation contains amendments to the Retirement Villages Act 1999, which commenced on 11 April 2019.

These amendments:

  • improve consumer protections for retirement village residents who hold a freehold interest of their unit
  • give residents in freehold units certainty about the maximum time they’ll have to wait to receive their funds after they terminate their right to reside.
  • require the village operator to purchase the unsold freehold unit, within a specified time frame, by entering into a contract with the former resident.

What has changed?

The village operator must:

  • enter into a contract to purchase the former resident’s freehold property in certain conditions
  • complete the purchase within a particular time frame.

The Retirement Villages Act states how a resident can terminate their right to reside. This includes giving one month’s written notice to the village operator, by their death.

If the resident doesn’t terminate their right to reside in a freehold unit, the village operator isn’t required to purchase the unit.

The mandatory purchase provisions also apply to units where a former resident terminated their right to reside before the provisions started, but their freehold interest remains unsold. The village operator must complete the purchase of these units by either of these dates at the latest:

  • 23 May 2019—which is 6 weeks after proclamation of the Health and Other Legislation Amendment Act
  • the date that’s 18 months after the termination date.

An operator may apply to the Queensland Civil and Administrative Tribunal for an extension of time to purchase the unit if the purchase will cause them financial hardship.

They may continue to market the unit for sale to an incoming resident during any approved extension.

Read more exit entitlement information for residents and for operators.

Advocacy and support for residents

Community organisations have been funded to conduct advocacy and support to help residents of retirement villages and residential (manufactured home) parks:

  • understand their rights
  • represent their interests to village operators, service providers, park owners and government. See the Right Where You Live website for more details.

Get more information

Contact us for more information.​​

Last updated 11 November 2019    Creative Commons Attribution 4.0 International (CC BY 4.0)

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