One of Australia’s leading creators of over 55s living solutions, Ingenia Lifestyle, has been recognised for its innovative land lease model, placing as a finalist in Asia Pacific’s Eldercare Innovation Awards.
Announced last month at the Ageing Asia Innovation Forum in Singapore, the awards celebrate organisations that demonstrate innovation for ageing-in-place solutions and recognised Ingenia Lifestyle’s innovative land lease ownership model for answering the increasing demand from Australian downsizers seeking more suitable and affordable homes.
The land lease ownership model enables downsizers to purchase a new home and lease the land, offering a more affordable upfront price point with no stamp duty to pay and no exit or deferred management fees, allowing residents to keep 100 per cent of any capital gains.
Ingenia Communities Group CEO Simon Owen said providing the land lease model was a game changer which allowed over 55s the opportunity to make an affordable and sustainable housing decision.
“Many downsizers struggle to fund a comfortable retirement – the average age pension is just over half what the average Australian couple needs to fund a comfortable retirement ($60,843) ,” Mr Owen said.
“Smart and savvy downsizers recognised early the unique innovation that comes with owning your home and leasing the land and have embraced our ownership model.”
ABS data showed 82 per cent of older Australians own their homes outright with no mortgage, however at the same time four in five of these have less than $100,000 in superannuation.
Ingenia’s land lease model enables the asset-rich, cash-poor Australians to free up their home equity for a more comfortable retirement fund.
“Downsizing in a land lease community provides a way for Australians with less superannuation to live comfortably in a new home they love,” Mr Owen said.
“In our lifestyle communities we provide brand new high quality, low maintenance homes in a secure environment – allowing residents more time and money to spend on things they enjoy.”
Despite working against the slowing residential market, Mr Owen said the lifestyle community industry and Ingenia’s sales and enquiries have remained strong.
“In Australia, Ingenia is working with a diverse residential market, yet the underlying fundamentals that make this industry so attractive remain strong,” Mr Owen said.
“These include an ageing population with a desire to downsize in attractive coastal locations and the compelling lifestyle proposition that land lease communities offer.
“Our markets are generally more resilient than Sydney and other capital city markets and we are seeing ongoing demand from downsizers for the affordable lifestyle our communities offer.”