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/Factsheet_print/Tenants_and_home_owners/Retirement_villages/_Standard_contract_and_disclosure_documents.pdf
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Standard fact sheet.
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Large print fact sheet.

Standard contract and disclosure documents 

The NSW Government has developed a standard contract for retirement villages that is mandatory for village contracts entered into on or after 1 October 2013.

Retirement village operators must also provide prospective residents with the following documents before a resident signs a contract:

  • General inquiry document
  • Disclosure statement

General inquiry document

Retirement village operators must provide a general inquiry document within 14 days of receiving an initial enquiry from (or on behalf of) a prospective resident. The general inquiry document sets out basic information about the village, including the village type, costs to enter the village and the village facilities. The general inquiry document must also state whether village rules are in force (copies of which must be available upon request).

Disclosure statement

An operator must provide a disclosure statement where a prospective resident expresses interest in a unit in the village or requests a copy. The disclosure statement is more detailed than the general inquiry document and contains more specific information on financial arrangements particular to the village and unit.

The disclosure statement must include a standard fees and charges table which sets out the main fees and charges that are payable under the contract.

Use the Standard fees and charges table to use NSW Fair Trading Retirement Village Calculator to work out the estimated cost of living in a retirement village.

From 1 March 2018, the operator must also include an ‘average resident comparison figure’ in the disclosure statement. This figure adds the main charges you are likely to incur when living at a particular village and expresses those charges as a single monthly figure. It is designed to help you understand and compare the financial cost of living in different retirement villages.

Where a village has a higher average resident comparison figure than another, this indicates the contract offered by that particular village is estimated to cost more, overall. It is important to check the terms of your contract before deciding whether a particular village is right for you as the average resident comparison figure is based on assumptions that may differ from your individual circumstances.

The disclosure statement must be provided to prospective residents at least 14 days before they can sign a contract. This assists prospective residents to make informed decisions. Prospective residents should carefully consider the information provided in the disclosure documents and the standard contract, and seek professional advice, before entering into a village contract.

Standard retirement village contract

The standard retirement village contract sets out residents’ and operators’ rights and obligations in a standardised format.

The standard contract covers matters including:

  • residence rights
  • entry costs
  • the settling-in period
  • recurrent charges
  • services and facilities
  • alterations and additions
  • repairs and maintenance
  • sharing of capital gains
  • departure fees.

NSW Fair Trading has developed template contracts for the five most common village types. Operators can freely download and adapt the contract for their village, by adding their logo and including additional terms at the back of the contract.

Additional terms can be added as long as the additional terms don't conflict with the requirements of the retirement village laws or any other laws. The standard terms cannot be changed, although some terms are optional for different village types.

See the prescribed documents below to download copies of template contracts, the general inquiry document and the disclosure statement.

Prescribed documents

The prescribed documents (listed below) are mandatory:

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