All you need to know
Deferred management fee
What is a Deferred Management Fee?
Our Deferred Management Fee (DMF) is applicable when a Lifestyle Communities homeowner decides to move out of the community.
It is a scaled percentage of 4% of your final selling price, applicable per year that you are a Homeowner with Lifestyle Communities and is capped at a maximum of 20% from the 5th year. Regardless of how many years a homeowner stays with us in one of our communities, you'll never have to pay more than 20% of your final selling price.
As per our Smart Buy Guarantee, if for any reason you decide to move out within the first 12 months of purchasing your home in the community, we will waive the DMF fee.
Why have a Deferred Management Fee?
Our Deferred Management Fee (DMF) helps us to keep the entry prices of our homes more affordable at the start of your journey with Lifestyle Communities. The "DMF" is applicable for developing, running and maintaining the community and is recovered when a homeowner chooses to leave the community.
Lifestyle Communities also believes that the DMF ensures we have a vested interest in the capital growth and maintenance of the communities and how it presents over time. We are committed to investing in the ongoing improvement and refurbishment of our facilities to ensure the best possible experience and enjoyment of our homeowners. We’ve seen many examples where a DMF is not charged and it can lead to the company not being as committed to investing back into the future of the community and its facilities.
We are proud that the ongoing investment in the presentation of our communities and choice to develop in key growth areas across Victoria has resulted in an average capital growth across our communities of between 10-12% over the last five years.