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Hombuyer report for leasehold retirement home

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  • AskAsk
    AskAsk Posts: 2,481 Forumite
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    edited 21 February at 10:27PM
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    eddddy said:
    Emmia said:

    So if your parents would like control of this stuff, I'd avoid leasehold

    I think part of the appeal of retirement property leases is that you don't need to control (or deal with) anything.

    In the retirement property leases I've seen, the management company will do everything including...
    • Repair a dripping tap in your flat
    • Change a light bub in your flat
    • Fix the heating in your flat
    • Sweep the paths
    • Do the gardening
    • Repair/replace the roof
    • Resurface parking area
    • Do 2 or 3 calls a week to make sure that you're ok

    But that's why the service charges are so high.


    in another complex nearby, we know someone who lives there.  she says the freeholder fix the boiler and replace it if needed.

    on this complex there is an on site warden and they do the garden for you.  yeah, roof repair and estate road surfacing is also the free holder's responsibility.  i don't think you are responsible for much in these retirement properties as everything is done for you, which is why the service charge is high as residents are elderly and have no ability to be sorting these sort of things out.
  • NameUnavailable
    NameUnavailable Posts: 2,865 Forumite
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    AskAsk said:
    eddddy said:
    Emmia said:

    So if your parents would like control of this stuff, I'd avoid leasehold

    I think part of the appeal of retirement property leases is that you don't need to control (or deal with) anything.

    In the retirement property leases I've seen, the management company will do everything including...
    • Repair a dripping tap in your flat
    • Change a light bub in your flat
    • Fix the heating in your flat
    • Sweep the paths
    • Do the gardening
    • Repair/replace the roof
    • Resurface parking area
    • Do 2 or 3 calls a week to make sure that you're ok

    But that's why the service charges are so high.


    in another complex nearby, we know someone who lives there.  she says the freeholder fix the boiler and replace it if needed.

    on this complex there is an on site warden and they do the garden for you.  yeah, roof repair and estate road surfacing is also the free holder's responsibility.  i don't think you are responsible for much in these retirement properties as everything is done for you, which is why the service charge is high as residents are elderly and have no ability to be sorting these sort of things out.

    Indeed and for some people they are the perfect option, nothing to worry about with regards to the property, people on call, neighbours of the same generation, no issues with disruptive/noisy neighbours plus usually social events, day trips out etc.

    It also gives the relatives comfort to know that the parents (or whatever) are safe and have someone looking out for them.

    One issue however, although it's not for the OP to decide, is that these properties can be difficult to sell and those service charges are still payable each month.
  • AskAsk
    AskAsk Posts: 2,481 Forumite
    First Anniversary First Post Name Dropper Photogenic
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    AskAsk said:
    eddddy said:
    Emmia said:

    So if your parents would like control of this stuff, I'd avoid leasehold

    I think part of the appeal of retirement property leases is that you don't need to control (or deal with) anything.

    In the retirement property leases I've seen, the management company will do everything including...
    • Repair a dripping tap in your flat
    • Change a light bub in your flat
    • Fix the heating in your flat
    • Sweep the paths
    • Do the gardening
    • Repair/replace the roof
    • Resurface parking area
    • Do 2 or 3 calls a week to make sure that you're ok

    But that's why the service charges are so high.


    in another complex nearby, we know someone who lives there.  she says the freeholder fix the boiler and replace it if needed.

    on this complex there is an on site warden and they do the garden for you.  yeah, roof repair and estate road surfacing is also the free holder's responsibility.  i don't think you are responsible for much in these retirement properties as everything is done for you, which is why the service charge is high as residents are elderly and have no ability to be sorting these sort of things out.

    Indeed and for some people they are the perfect option, nothing to worry about with regards to the property, people on call, neighbours of the same generation, no issues with disruptive/noisy neighbours plus usually social events, day trips out etc.

    It also gives the relatives comfort to know that the parents (or whatever) are safe and have someone looking out for them.

    One issue however, although it's not for the OP to decide, is that these properties can be difficult to sell and those service charges are still payable each month.
    yeah, the warden helps you with general DIY stuff in your house.  there is a free to use laundry room with washing machines and dryers, which is open 24/7

    there is a large lounge with TV where residents can go to have tea and coffee and getogthers, it does seem quite prefect if you are elderly and don't have relations close by.  moving into these sort of establishment is perfect as they also offer 24/7 emergency careline.

    it is very peaceful and residents must be at least 60.  yeah, it can take a while to sell as demand for these aren't always great and there can be high exit fees.  the advantage for my in-laws is that these bungalows are a lot cheaper than your standard bungalow because only a limited market, there is a stigma to living in a retirement home and the high service charge means only those who need these sort of properties would be interested in paying.

    also there are high exit fees but it suits people who can't afford a traditional bungalow.
  • eddddy
    eddddy Posts: 16,526 Forumite
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    edited 22 February at 12:51AM
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    AskAsk said:

    also there are high exit fees but it suits people who can't afford a traditional bungalow.

    'Reputable' care home management companies put the exit fees into the service charge fund / sink fund.

    So the theory is that they charge you a lower service charge while you're living there, because you pay a lump sum into the service charge fund when you eventually sell instead. (Because that's easier for some pensioners who only have low incomes, and would struggle to pay the full service charge while they live there.)


    But some 'less reputable' care home management companies just pocket the exit fee themselves.

    The lease should explain which applies.


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