Fairer fees
All retirement villages charge their residents fees. These fees should be good value for money and a fair reflection of the benefits you enjoy while you live here.
Facilities fee
The Deferred Management Fee (or DMF, which is sometimes also referred to as a facilities fee) covers the cost of providing the shared infrastructure of the village, such as wastewater, roading and the social hub. This fee is taken out of the sale price of your home when you leave the village.
At Karaka Pines Villages, the standard DMF is 12.5%* of the sale price of your home when you leave, and you get the capital gain, not us. In contrast, most other village operators charge up to 30% of the initial purchase price, plus they retain 100% of your capital gain. We don’t think that’s fair, do you?
At the three Karaka Pines villages that are owned by the residents themselves – Roseland Park in Hamilton, Kempton Park in Tauranga and Woodcroft Estate in Christchurch – there is no facilities fee.
*Please be aware that you have a choice of how you pay your fees, and villages in our group where the fees vary.
Weekly fees
Running the village requires us to pay ongoing costs, like those shown below. It also includes a long-term maintenance fund that covers all big costs, so you won’t get a large, unexpected bill at any stage.
The weekly fee you contribute towards this varies from village to village. You’ll see specific details on the webpage for the Karaka Pines Village you’re interested in. At some locations, we offer a fixed weekly fee, offset by a higher DMF of 25%.
In villages that are still under construction, a discount is offered on the weekly fee until the clubhouse is built. The discount varies by village but is between 15 and 30% of the weekly fee.
The weekly fee covers:
- Land rates
- Full replacement insurance
- Rubbish collection
- Gardening and lawns
- Security and lighting
- Exterior window washing
- Management costs
- Legal compliance required by the Retirement Villages Act
- A long-term sinking fund to cover major village renovation costs.
Renovation and selling costs
We take pride in the quality of our villages and want everyone who buys here to share that feeling. That’s why when you decide to sell your home, it needs to be restored to nearly new condition before it goes on the market. Depending on what needs to be done, there will be a cost, but you’ll benefit from its beautiful condition through a higher selling price.
We can either sell your home for you, or you can do it yourself. You’re welcome to use an agent of you like.
You set the selling price and decide whether or not to accept an offer. If you want us to manage the sale for you, there may be a small administration fee, plus the costs of marketing and advertising. You’ll also need to cover your lawyer’s conveyancing fee.
Other costs
Just as you would in your home outside the village, you pay for your own power, water, phone and internet services.
More to gain
Get in touch with our friendly team to learn how you could be better off living at a Karaka Pines village.