<img height="1" width="1" style="display:none" src="https://www.facebook.com/tr?id=1017783349543426&amp;ev=PageView&amp;noscript=1">

Deferred management fee

What is deferred management fee?

Often referred to as a departure fee or exit fee, the deferred management fee (DMF) is an amount that becomes payable when you permanently vacate your village unit.

The deferred management fee gives you the right to occupy your unit and enjoy the village amenities. It is calculated as a percentage of the loan amount (or entry payment) that you pay when you move into your unit.

The deferred management fee can vary significantly depending on your chosen provider, with some charging as much as 35% of the entry payment. Therefore, it pays to check this percentage with each village on your shortlist as well as clarifying whether the deferred management fee is capped.

Ryman’s deferred management fees are capped, with our standard fee of 20% one of the lowest in the industry.


See how our DMF compares with other providers


At Ryman villages, if you live in an independent unit (an apartment or villa) for more than 4 years, the deferred management fee is 20% of the loan amount (entry payment).

This is the maximum you will pay when you move out, even if you move from an independent unit to a serviced unit or to another Ryman village.

So even if you live in your independent or serviced unit for 25 years or more, the maximum you will pay is 20% overall. 

Ryman guarantees that your deferred management fee will not exceed 20% - even if you transfer to another independent or serviced unit within the village, or if you transfer to another Ryman village.

This can vary, so it’s important to understand what each village provider offers. At a Ryman village, you pay the deferred management fee (or exit fee) when you permanently vacate the village. It is deducted from your loan amount (or entry payment) when it is repaid to you.

Many other providers will not repay your entry payment (minus the deferred management fee) until your unit is on-sold. There is no telling how long that process could take.

You will want an assurance that in the event the on-sale is delayed you will be repaid.

At Ryman, we guarantee that we will repay you the balance of the loan amount (entry payment) if the new resident has not settled within 6 months of you permanently vacating your unit.

In over 35 years, the longest time a Ryman resident has waited to be repaid is 6 months. 

It’s not uncommon for residents living in an independent unit to transfer to a serviced unit if their health needs change and they require more support.

But what does that mean for the deferred management fee (exit fee) on the independent unit you’re moving out of?

Many other providers will restart the deferred management fee if you move from an independent unit to a serviced unit. Meaning they will charge an additional fee when you permanently vacate the village.

At Ryman, your deferred management fee will always remain capped at 20% overall.

Therefore, if you've been living in your independent unit for 4 years or more and your deferred management fee is 20%, when you transfer to the serviced unit you won’t have to pay an additional deferred management fee.

In fact, if the entry payment of the serviced unit you’re moving into is more than your exit entitlement on the independent unit, we won’t ask you for any more capital than what you’ve already paid. Ryman will wear the difference.

When it comes to deferred management fees, it pays to check the detail. Our advice: seek independent advice.

Our terms and conditions, underpinned by our resident-friendly Peace of Mind Guarantees, have been designed to protect residents and their families. But don’t take our word for it - speak to an expert.

Moving into a retirement village is a big life decision, so make sure you’re aware of what it means for you and your family. And if, after considering your options, you find that a Ryman village is the right choice for you, welcome, we know you'll love it here. 

Deferred Management Fee Calculator

This is a simplified calculator to help you understand how much the deferred management fee can vary between village providers. At Ryman you will only ever be charged a deferred management fee once, and this is capped at 20% after 4 years for an independent unit. Other providers may differ - including charging an additional deferred management fee when you move into a serviced apartment or care.

To learn more about how the deferred management fee is calculated over time and between different living options, please contact our experienced sales team who can walk you through the process.