Renting can allow you to access a home when you can’t afford to buy, or you don’t want to buy. It can also allow you to move and test different lifestyles without expensive costs like stamp duty. The downside is that you can’t do modifications to change the look or functionality of the home and you don’t have control over how long you can stay beyond the term of your rental agreement.

Buying a home gives you greater control and stability. But you have to invest a large amount of your savings into the place where you live. If you need additional income to live on, you might be able to use the equity in your home to borrow additional income or a lump sum. There are commercial reverse mortgage options and the government offers a low-interest home equity access scheme.

In your own home, you have responsibility to maintain both the outside of the home and all aspects inside your home. If you are renting some of these expenses may be the owner’s responsibility and if it is strata title, strata may take care of maintenance.

Knowing what in-home care services and support are available, and when to access them, may help you to live at home for longer. Government-subsidised options may also help to make care more affordable, regardless of whether you are an owner or a renter.

This sounds like a win-win. And it can be. But it can also be disastrous if you don’t enter with eyes wide open and a good legal agreement. ​

We love our families, but things can go wrong, needs can change and relationships can break down. So make sure you have an exit strategy which is legally documented so everyone knows what to expect. This won’t avoid all the problems, but it may help. ​

These arrangements are commonly called granny flats. When you think of granny flats you might think of a small apartment at the back of a child’s home, but there are other variations where a parent can transfer money to the child in exchange for the right to live with the child and their family. If set-up properly, this might have advantages for age pension entitlements. ​

Even though your family may be on-hand to help with your care needs, you can still access private or government-subsidised home care services for extra support.

In a retirement village the operator owns both the land and the home. In most cases, you will have a licence or lease type agreement which gives you the right to live there, but other models also exist. Each provider sets their own pricing, accommodation options and range of available services. The rules can vary from one provider to another. So these are not quick decisions and you should get legal advice to understand the contracts.​

A land-lease community is a bit different as you own the home, but lease the land it sits on from the operator. Sometimes you might be able to rent instead of buy. The costs depend on the buying and selling price of the home as well as ongoing ownership costs.

From a Centrelink assessment there are differences with the way Centrelink assess your pension entitlements. In a land lease community if you buy the home you will be assessed as a homeowner but may still qualify for rent assistance. In a retirement village, whether you are a homeowner or not depends on how much you paid for your unit and you cannot qualify for rent assistance unless you are a non-homeowner.​

When looking at the finances, you need to check what it will cost to buy the place to live, the ongoing service fees and what you will get back when you leave. Financial advice can help you to understand what you can afford, as well as whether you will have enough cashflow to meet your ongoing fees and lifestyle and what happens when you leave. ​

Services and accommodation provided in a retirement village or land-lease community are not subsidised by the Government, so you need have all the costs covered. However, you may be able to access government-subsidised home care services to help with the cost of your ongoing care.

Residents have high care needs and are no longer able to live at home. Sometimes younger people with a serious debilitating illness might also live there. Staff are available 24 hours a day, 7 days a week to help you with:​

• Daily activities and personal care (ie meals, bathing, dressing, continence and mobility)​
• Cleaning and laundry​
• Entertainment​
• Nursing care, including medication administration and wound dressing.​

Essentially, the aged care provider is responsible for the home’s running costs (such as food, electricity, staff etc). The staff are there to help you with personal and health-related activities that you might have previously done for yourself, or with help from a friend or family member. How much you pay for this care is determined by Services Australia based on your financial capacity (income and assets) and the government pays the rest of the cost. In discussion with the care provider, you will need to agree on a room (accommodation) price. However, if you have low financial capacity the government may help with this cost. ​

Choosing the right provider is an important decision. Think about what location will work best for you and your family, and then contact providers in the area to arrange a tour so you can get a feel for life living there. Remember to ask lots of questions.

Respite can be provided at a community centre for a few hours, or in residential care for a few days or weeks. ​

If you rely on friends or family to help you day-to-day, it is a good idea to contact myagedcare.gov.au and arrange an assessment for residential respite care just in case you need it. This approval means the government will pay most of the cost for up to 63 days of respite care in a residential environment, making it more affordable for you.​ You will just need to pay the basic daily care fee plus any additional service fees charged by the provider.

If you are making the move into permanent care, respite might come in handy to give you access to full-time care while you are sorting out the paperwork for a permanent move.