Why over-55s are embracing land lease living for an affordable, eco-friendly retirement
Retirees are discovering a revolutionary way to save money and live sustainably. Find out what’s behind the trend transforming retirement living.
Retirees are ditching high-maintenance homes with soaring energy bills for a new breed of eco-friendly and cash-saving communities.
As downsizing becomes an increasingly practical choice for over-55s, more than 130,000 Australians now call land lease communities home, lured by the financial transparency, low-maintenance lifestyle and social benefits.
Country Club Living, which operates nine communities across Victoria, NSW, and Queensland, reports increased demand for retirement living.
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A spokesman said the pandemic underscored the importance of social connection.
“Our residents are 41 per cent happier, 15 per cent more active, and five times more likely to engage in social activities than those in traditional housing,” the spokesman said.
Real estate investment trust Ingenia is building Australia’s first all Green Star-certified homes in Beveridge, underscoring the drive for financial security under the land lease model, where residents own homes but lease the land.
Ingenia chief executive John Carfi said the model reflects retirees’ priorities.
“These homes reflect the priorities of a generation that wants to live well, save money and reduce their environmental impact,” Mr Carfi said.
Homes in the Beveridge community are priced from $475,000 and residents pay a weekly site fee that covers the rent of the land the house is on, use of shared amenities and the costs associated with the maintenance of common facilities.
Homes at Victorian land lease estates start at less than $400,000 for one-bedroom homes, up to more than $1m for bigger, two and three-bedroom houses.
Buyers avoid paying stamp duty and also potentially saving more than $2000 annually on energy bills.
Residents also retain 100 per cent of any capital gains when they come to sell, offering financial security often missing in traditional retirement options.
But it’s important to check with each developer how the costs are structured.
For homebuyers Paul and Jeanette Stapleton, financial clarity was key.
“We’re not immune to cost-of-living pressures, and saving $2000 a year on bills is a huge help,” Paul said.
“Knowing there are no hidden fees or unexpected surprises made this decision so much easier for us.”
Jeanette said the transparent cost structure gave them confidence.
“We know exactly what we’re paying for and what we’re getting in return, which is a relief when you’re planning for your retirement years,” she said.
“For us, the green features weren’t initially something we focused on, but they’ve become really important – we’re coming from a 43-year-old home, so knowing our new place will be healthier and much more efficient is a big plus.”
Each home features energy-efficient appliances, solar panels, and advanced insulation, achieving an average 7.5-star energy efficiency rating.
The Beveridge community is spread across 10ha, offering resort-style amenities such as a heated indoor pool, yoga studio, gold-class cinema, gym, and courts for croquet and pickleball.
The Stapletons say these facilities played a major role in their decision.
“Having a pool nearby means we can stay active,” she said.
For Paul, the social opportunities were equally appealing.
“We’re looking forward to being surrounded by people in the same stage of life,” he said.
“You’re not going to be best friends with everyone, but having that sense of community makes all the difference.”
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Originally published as Why over-55s are embracing land lease living for an affordable, eco-friendly retirement
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