Independent living and retirement villages both offer housing options for seniors, but differ significantly in ownership and services. Independent living generally involves owning or renting a property within a community, while retirement villages typically involve a loan lease or deferred payment arrangement, granting the right to occupy a dwelling.
As of December 2025, the Melbourne market sees a growing number of downsizers considering both options, particularly in the Eastern Suburbs where family homes are often substantial. Selling a property to fund entry into either requires careful planning. Retirement villages often have entry fees and ongoing service charges, impacting available funds. Currently in Melbourne, the property selling process for these scenarios often involves a longer timeframe to allow for village application processes and financial assessments. We’re seeing sellers in areas like Balwyn and Doncaster preparing for campaigns 4-6 weeks out, factoring in potential delays. Presentation remains key – buyers in 2026 favour light-filled spaces and renovation potential, even in downsizer properties. Styling costs typically range from $2,000 to $8,000, and professional photography is essential. Fletchers’ multi-lingual agents are increasingly assisting families navigating these transitions. It’s important to realise that the financial implications of each option are complex, and independent financial advice is crucial.
Understanding these differences is vital for Melbourne homeowners considering their future living arrangements and the financial implications of selling their current property.