Sheltered Housing or Retirement Housing

What is sheltered housing or retirement housing?

Sheltered housing is often called retirement housing. Sheltered housing is housing designed to meet the needs of the elderly. Most sheltered and retirement housing schemes have a scheme manager or warden and an emergency alarm service. There are often communal facilities such as a lounge, laundry, guest flat and garden. Meals are not normally provided but a few schemes include a restaurant or can arrange a hot meal.

There are many different types of sheltered or retirement housing to rent and to buy. Schemes usually consist of between 15 and 60 dwellings which may be bedsitters, self-contained flats, bungalows or luxury apartments.

There is a minimum age, usually 60, sometimes 55 or even 50. Sheltered or retirement housing appeals to people who like living independently but want the reassurance of knowing that assistance is on hand if there is an emergency, or who expect to be away from home for long periods and need to know their home is safe.

The Scheme Manager or Warden

The scheme manager or warden is usually expected to:

Manage the scheme and respond to the emergency alarm when on the site
Get to know older people living in their scheme; making sure the residents know about local services and encouraging them to ask for additional support from statutory and voluntary organisations when appropriate.

However the duties vary considerably between schemes. Some have a resident manager/warden; an increasing number have non-resident staff.

The scheme/warden does not provide personal care for residents, or carry out tasks like shopping and housework. The scheme manager/warden’s salary and overheads account for a large part of the service support charges paid by both tenants and owner-occupiers.

Emergency Alarm Service

Emergency Alarms offer reassurance that help is at hand if needed:

By pressing a button on a pendant or pulling a cord, a message is relayed to a monitoring centre, staffed 24 hours a day
If help is needed the centre will alert relatives or friends, or contact your doctor or the emergency services.
Alarm systems are often used to provide assistance when the scheme manager / warden is not on duty or not on site

Is it right for you?

There are some important issues to consider before deciding whether sheltered or retirement housing is right for you. These include:

If you are looking for extra support or security, is it possible to organise this in your current home? For example an emergency alarm or services from your local council.
Sheltered or retirement housing may be easier to manage but how do you feel about living in smaller accommodation and possibly having to buy smaller furniture, get rid of books, ornaments etc., and the loss of a garden?
How do you feel about living in accommodation occupied exclusively by older people?
If you are considering a move to a new area, think about moving away from friends, family and surroundings you know well, especiallywhen you are older and possibly less mobile.
Although you will probably want to discuss your proposed move with friends and family, make sure the final decision to move is yours. Moving to please someone else is not a good idea.

Choosing a scheme

Once you have decided to move to sheltered housing or retirement housing, you will want to think about which features are important to you. If possible, try and visit several schemes and meet the scheme manager or warden and other residents.

You may want to think about:

The location. Are there shops, banks, parks, doctors, pubs nearby? Are there hills to climb or busy roads to negotiate?
Transport. How far is it to bus stops, stations? What is the frequency of the bus or train? Is parking available?
Is there a lounge or laundry that eveyone can use? Are social events organised?
Are pets allowed?
Design. Is there a lift? Are doorways and corridors wide enough for people who use walking frames and wheelchairs? Doors and windows should be easy to operate. Light switches and electric sockets should be easy to reach.
Noise. How good is the insulation? What about noise from the lift, communal lounge, laundry or neighbours?
Security. How secure is the main entrance (if there is one) and your own front door. Are there security locks on the windows?
Is there a residents or tenants’ association?
What is the rent/service/support charge?
Are any furnishing or appliances provided?
What type of heating system is there, and how is it controlled?
What happens if you become frail and begin to need help with domestic tasks and personal care?

Download our Design Appraisal Guide, a practical checklist with sensible advice.

Renting

Most sheltered or retirement housing for rent is provided by local councils or by non-profit making housing associations (also called Registered Social Landlords or RSLs). Local councils and housing associations generally aim to offer their housing to people in the greatest housing need, at rents which are affordable - perhaps with the help of Housing Benefit. They set criteria describing who qualifies for their housing and which applicants have the highest priority. In most parts of the country, they receive applications from more people than they can assist.

To apply for rented sheltered or retirement housing, contact your local council housing department who will tell you about the application procedure. Many councils and housing association operate choice based lettings and a common housing register.

There is a fair degree of similarity between the criteria adopted by councils and housing associations. Applicants are generally expected to show:

some degree of housing need because of the physical condition of their present home; or
medical and/or social reasons for wanting to move, e.g. poor health, disabilities, loneliness, fear or isolation from friends andfamily; and
that they are not easily able, for whatever reason, to buy rather than rent suitable housing; and
that (if they are not local already) they have good reason for wanting to move to the area they apply for. (Wanting to be nearer family or close friends is usually an acceptable reason).

If you are looking for sheltered or retirement housing to rent and are already a tenant of a council or of a housing association you should first approach your landlord and ask for a transfer. It may also be possible to swap your home with someone in a different area; ask for details of Homeswap currently run by MoveUK.. To apply for council sheltered housing / retirement housing contact your local housing department. You will normally have to have been a resident in their area for one or more years.

The cost of renting is made up of a rent plus a charge to cover the services and support provided. Rents vary significantly betweenlandlords and around the country.

Abbeyfield Houses are run by voluntary organisations and offer supported housing for between 8 and 12 older people.Each house has a paid house manager and provides 2 meals a day and support from local volunteers. Residents have their own rooms, often with en-suite facilities. Some Abbeyfield residents are tenants and some have licences (which means the tenure is less secure). If you are interested in an Abbeyfield house, check the tenancy arrangement and seek advice. Abbeyfield Society website.

Almshouses are independent local charitable trusts that provide affordable housing. Most almshouses have rules as to who they can house. Almshouse Association website.

To apply for housing association sheltered/retirement housing you need either to be referred to a particular housing association by your local council, or to approach them yourself to find out about availability. Although housing associations may overlook residency qualifications there may still be long waits. Some landlords will now consider applications from owner occupiers, depending on their circumstances.

Private renting. A limited amount of privately rented retirement housing is available. Most of the properties are in leasehold schemes which accept tenants over the minimum age (55 or 60). The rent includes the service charge and ground rent and therefore covers the costs of the scheme manager, 24 hour emergency alarm and communal facilities etc. We suggest you check what services are included in the rent and the terms of the tenancy.

Buying

Prices and types of property vary enormously. A small second-hand flat can be found for under £80,000 in some parts of the country. New properties cost more. Luxurious homes on sites with every amenity – swimming pools, golf courses and restaurants – cost well into six figures.

Once all the properties in a new sheltered or retirement housing scheme have been sold, the ongoing management of the scheme is often transferred to a management company, which may be either commercial or non-profit-making. The management company employs the scheme manager or warden and organises the maintenance and cleaning of external and communal areas.

There is usually a minimum age for people living in retirement /sheltered housing (55 or 60), but younger people can often buy properties on behalf of an older person.

The scheme manager or warden and communal facilities are paid for through service and support charges. These range from a few pounds a week where there is no scheme manager to £100 or more a week if meals and extra amenities are provided. However in the majority of ordinary sheltered or retirement housing the charge is in the range of £30 - £50 a week.

In addition you will have to pay ground rent which could vary from £50 a year to £300 a year or more, council tax, water charges, contents insurance, telephone and fuel bills. Optional home care and meal services will normally be charged for separately if they are privately provided.

In Scotland properties are sold freehold, but the majority of properties elsewhere are sold on a long lease. The lease sets out in a legal and binding form the duties and obligations of both the management company and residents, including any restrictions on the use of the property. It is very important that you understand the implications of all the clauses in the lease. You may also like to refer to the Association of Retirement Housing Managers (ARHM) Code of Practice (England only).

Help towards the costs of sheltered housing or retirement housing

Ensure you are receiving all the financial benefits to which you are entitled especially any supplements to your retirement pension including Pension Credit and Council Tax Benefit. People who are renting sheltered/retirement housing and who have a low income and limited capital should check their eligibility for Housing Benefit (which could cover rent and some parts of the service charge eg cleaning of communal areas) and help from the Supporting People Fund (which could cover support costs such as the scheme manager and emergency alarm). Leaseholders in receipt of Pension Credit or on a low income may also be eligible for help with the service charges. Contact the Pension Service or the Supporting People Team at your local authority.

Most leasehold sheltered/retirement housing is purchased at full price on the open market. However a few organisations operate special arrangements for older people with limited income and insufficient capital to buy at market prices.

Leasehold Schemes for the Elderly (LSE) are run by a small number of housing associations and involve you buying a proportion (e.g. 70%) of the equity of the property, the remaining portion being owned by the housing association. When you sell, you receive the same percentage of the market value.

Shared equity/flexible tenure. A small number of housing associations offer the option of buying a proportion of the value of the property (between 5% and 95%) and paying rent on the remainder. The share of the equity can usually be increased or decreased. A service charge has to be paid in addition to the rent (and possibly mortgage). The rent element may be eligible for Housing Benefit.

Life interest plans. A few companies offer an arrangement where you buy the right to live in a retirement property for the rest of your life. The purchase price is well below the normal market price and once you leave the property it reverts back to the company. Life Interest Plans are available to people over 65 (if there are 2 of you, ownership of the property carries on to the surviving partner). Life Interest Plans are available for both new and refurbished properties.

Part exchange. A few developers may offer part exchange deals, especially on new properties. These can be very useful but you are advised to compare the price offered with the full market value.

Each of these options offers opportunities and potential drawbacks especially if you may want to move again. We suggest you seek professional legal and financial advice before signing any contract.

Finding a scheme

This website will help you find sheltered or retirement housing throughout the UK, and to certain extent abroad. Go to Search For/ Retirement housing and follow the easy step by step sequence which allows you to search by postcode, place, county/local area or by landlord/manager. You will be able to refine your search by building types, number of rooms, type of services, or by tenure (rent or buy).