How does Mortgage Mates work for you? Part one- ageing in place.

AHURI defines ageing in place as:

‘Ageing in place means that as people get older they can remain living in their home rather than entering residential aged care, even when the impacts of old age (e.g. the increasing risk of illness or disability) affect their mobility and mental ability.

Ageing in place requires a degree of independent living ability for the older person (with both adequate levels of mental and physical ability), but gives them control over their living space and how they live, as well as ongoing connection to the community that they are used to. It doesn’t necessarily mean they will continue living in the same dwelling throughout their retirement, rather that they won’t be living in a nursing home.’

The reason for co-ownership in this space is threefold.

One the persons pooling their resources can share the financial cost of owning and living in a home. With rents likely to increase by upwards of 20% in Perth alone in 2021 the ability to share both the mortgage repayments, bills and in the future, care costs, mean that individuals can manage on a limit income far more successfully than in an independent tenancy.

The ability to age at home also saves the government money by pooling resources and sharing caring resources.

‘When ageing in place works, it brings a decent quality of life to individuals and families, and saves governments money in providing residential age care facilities. Indeed, the average annual cost of care for older Australians who receive assistance was $15,525 (adjusted to $2018) for those who received In-home formal and informal care and $66,512 (adjusted to $2018) for those in residential aged care.’

Two the ability to co-live with others means an increased feeling of community in the home. We know that one in four Australians face social isolation, and that increases with age. By living with individuals who share the same housing and life style preferences as you, you are able to maintain social connection in the comfort of your own home.

‘Recent AHURI research reveals that between 78 and 81 per cent of older Australians aged over 55 (depending on age cohort) want to live in their own home as they age. An earlier Australia-wide survey of older Australians revealed a host of reasons why older Australians wanted to age in place including suitability of the dwelling, proximity to family and friends, shopping, transport and health services, and because of familiarity with the local community and neighbourhood.’

Very often affordable housing comes at a cost else where. This may be based on location of the property or facilities available in that location. By buying with others individuals can remain in their own community, close to resources such as health care. It also means remaining in a location with community ties, family and friendship connections.

Three, by buying with one or more Mates you can share the cost of care as well as the cost of the home. As you remain at home and care needs increase, packages from My Aged Care and or NDIS can be shared across the individuals living at home, meaning you can receive more care for the cost. As time and needs change the ability to increase care and support can be managed through a shared collaboration of resources.

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