Move into an Australian Retirement Village for $110,000, Get $100,000 Back After 6 Years? Can Korea Learn From This? -1

A deep blue gradient geometric carpet, wooden tables and chairs, rows of pendant lights, and large floor-to-ceiling windows. Pushing open the doors of Bella Vista Haven, a retirement community in New South Wales, Australia, gives the illusion of stepping into a hotel lobby. A gym, swimming pool, bar, and even a small cinema are all available, further blurring the lines. It's not until two large tables of seniors chatting with hot tea and coffee in hand that one is pulled back to reality. "It's quite happy living here," one resident says with a smile. Australians love retirement villages so much that they are the second largest in the world, trailing only the United States in number and market size. An analysis by Oxford Economics in 2024 indicates that as many as 5.3% of Australians aged 65 and over live in retirement villages. In fact, the populations of South Korea and Australia differ by only 20%, yet Australia has over 100 times more retirement villages than South Korea, reaching 2,300. While South Korea lacks a clear definition for retirement villages and is regulated by a mix of laws, each Australian state has a distinct 'Retirement Villages Act.' Australians Value Independence, Koreans Prefer Homeownership Why is the gap between Australia and South Korea so large? The primary reason lies in customs and culture. Mo Shi-wei, Executive Vice President at KPMG, who has researched retirement village systems in various countries, mentioned that in Chinese societies, influenced by traditional filial piety, children often have concerns about arranging for elders to move into nursing homes or retirement villages. Even if the elders themselves are willing, they might consider external perceptions and lean towards being cared for by family or aging at home.