Is retirement living really half the price of a house? What families should weigh up

New research from a major retirement operator says a home in a retirement community can cost around half the price of a house in the same area. The figure is striking, and for families weighing up options it helps to understand what sits behind it.

Keyton, one of Australia’s largest retirement living providers, compared prices across 66 of its villages. It found an average residence price of about $660,000, against an average local median house price of about $1.26 million. On that basis, a Keyton home is priced at around 52% of the surrounding median.

The research lands at a time when many people approaching retirement living are looking past the house itself and thinking about how they want to live, with lifestyle, social connection and financial certainty high on the list.

Why more people are looking

Demand is climbing. Daniel Gannon, Executive Director of the Retirement Living Council, said the 2025 PwC RLC Retirement Census recorded almost 27,000 waitlist registrations nationally.

“Nearly 27,000 waitlist registrations show that more Australians are recognising the benefits of retirement living and want the lifestyle it offers,” Mr Gannon said.

“Retirement villages are about much more than just a place to live. They provide connection, independence, support and a better quality of life, all within a genuine community.”

He said the growth is also a signal to plan ahead. “Importantly, growing waitlists are also a reminder that people considering retirement living should start thinking about the move sooner rather than later. As the Census shows, demand is growing faster than supply, and the last thing you want is to make the decision to move only to find yourself stuck on a waitlist.”

If you are starting to look, you can search and compare retirement villages by location on the Aged Care Guide, or read our guide to what retirement villages are and whether they are a good option.

What residents say

Keyton’s 2025 resident satisfaction survey of more than 7,100 residents found people reported higher life satisfaction, future security, personal relationships and personal safety than retirees living in the broader community.

In the survey, 62% said their sense of wellbeing improved after moving in, and 90% felt positive about the community spirit and sense of belonging. On the practical side, 93% were positive about how their home was designed for easy living, and 92% reported easy access to transport and green spaces.

Keyton Acting Chief Executive Paul Martin said retirement living was increasingly seen as a lifestyle choice with immediate benefits. “Retirement living is about quality of life, independence and connection. That’s reflected in our resident satisfaction results, where residents report stronger wellbeing, personal relationships and future security than retirees in the broader community,” Mr Martin said.

“Combined with the financial certainty that comes from having more choice and flexibility, it’s easy to see why so many residents tell us the same thing: ‘I wish I’d made the move sooner’.”

Property expert and television presenter Andrew Winter said many people overestimate how hard the move is. “The wonderful benefit you have with a retirement village is that in most cases you’ll be able to reserve the home you want, be given the time to sell your existing home, and get assistance through the process,” Mr Winter said. “It doesn’t need to be anywhere near as stressful as it can be perceived to be.”

The part to read closely

The half-price comparison is not quite like for like, and this is where families should slow down. In most villages you are not buying the home the way you buy a house. You pay an ingoing contribution for a lease or licence to live there, and the contract carries costs that a standard home purchase does not. Our guide to how retirement villages work explains the main ones.

The main cost is the deferred management fee, also called an exit fee. It is charged when you leave, and in the early years it grows the longer you stay. Consumer group CHOICE gives the example of a fee set at 3% a year, which adds up to 15% of the sale price after 5 years.

There are also ongoing service fees, paid weekly or monthly, that can rise over time. On the way out, residents may face refurbishment costs and a wait to get their money back, because in many contracts the fees keep running until the home is re-sold.

None of this makes retirement living a poor choice. It means the entry price is only part of the story. The comparison that matters is the total cost over the years you expect to live there, set against the lifestyle, security and support that come with it.

Making the decision

For anyone considering the move, the advice from both providers and consumer advocates points the same way: look early, and look closely. Compare the fee structures of different villages, ask exactly how the exit fee is calculated, and have the contract reviewed before signing. It can also help to get independent financial advice, and state fair trading bodies and the federal Moneysmart service offer free guidance on retirement village contracts.

Mr Martin framed the choice around timing. “For many people, the biggest risk isn’t making the move, it’s waiting too long to enjoy the benefits that come with living in a community designed for this stage of life.”

The research was commissioned by Keyton, which is home to more than 15,000 people across 66 communities. For families, the figures are a useful starting point, and the fine print is where the real decision is made.

Compare retirement villages near you: Search retirement villages on the Aged Care Guide