The NZ Herald is reporting the country’s second largest village operator will stop charging weekly fees from the date a unit is vacated.
Like in Australia, departing residents are generally responsible for fees until the home is re-let.
Previously Metlifecare charged full fees until six months after a resident moved out and then half fees until the unit was re-sold or settled.
NZ Retirement Villages Residents Association executive member Colin Porter applauded the change.
“Under the code, they can carry on for six months, then be reduced by 50 per cent. That’s part of the code. We don’t think it’s fair,” he said.
Metlifecare has also introduced an Occupation Right Agreement from February 26 where residents or their families will be able to access $20,000 of their capital sum on vacation of their unit.
The NZ village market is experiencing some ‘softness’ for the first time in memory.
Will it attract new residents? Watch this space.