{"id":"sr:estate-agents-retirement-villages-regulations-2016","name":"Estate Agents (Retirement Villages) Regulations 2016","slug":"estate-agents-retirement-villages-regulations-2016","collection":"regulation","jurisdiction":"vic","status":"in_force","isInForce":true,"actNumber":null,"makingDate":null,"administeringDepartment":null,"currentVersion":{"id":181493,"registerId":"vic-sr:estate-agents-retirement-villages-regulations-2016-current","compilationNumber":null,"startDate":"2026-04-05","status":"InForce","reasons":null,"registeredAt":null},"sections":[{"sectionNumber":"1","sectionType":"section","heading":"Estate Agents (Retirement Villages) Regulations 2016","content":"Version No. 001\n\n**Estate Agents (Retirement Villages) Regulations 2016**\n\n**S.R. No. 86/2016**\n\nVersion as at  \n31 July 2016\n\n**TABLE OF PROVISIONS**\n\n*Regulation Page*\n\n1 Objectives 1\n\n2 Authorising provision 1\n\n3 Commencement 1\n\n4 Revocation 1\n\n5 Definitions 1\n\n6 Information to vendors of premises in retirement villages 2\n\n7 Advertisements for sale of premises in retirement villages 3\n\n═══════════════\n\nEndnotes 4\n\n1 General information 4\n\n2 Table of Amendments 6\n\n3 Amendments Not in Operation 7\n\n4 Explanatory details 8\n\n**Version No.** **001**\n\n**Estate Agents (Retirement Villages) Regulations 2016**\n\n**S.R. No. 86/2016**\n\nVersion as at  \n31 July 2016\n\n\t1 Objectives\n\nThe objectives of these Regulations are to require an estate agent engaged or appointed to sell premises on behalf of an owner resident in a retirement village—\n\n(a) to provide prescribed information to the owner resident in certain circumstances; and\n\n(b) to include a prescribed statement in any advertisement for the sale of the premises.\n\n\t2 Authorising provision\n\nThese Regulations are made under section 99 of the **Estate Agents Act 1980**.\n\n\t3 Commencement\n\nThese Regulations come into operation on 31 July 2016.\n\n\t4 Revocation\n\nThe Estate Agents (Retirement Villages) Regulations 2006[[1]](#endnote-1) are **revoked**.\n\n\t5 Definitions\n\nIn these Regulations—\n\n***owner resident*** has the same meaning as in the **Retirement Villages Act 1986**;\n\n***premises***, in relation to an owner resident, has the same meaning as in the definition of ***owner resident*** in the **Retirement Villages Act 1986**.\n\n\t6 Information to vendors of premises in retirement villages\n\n(1) This regulation applies if—\n\n(a) an estate agent agrees to enter into an engagement or appointment with an owner resident to sell the owner resident's premises in a retirement village; and\n\n(b) the engagement or appointment allows the estate agent to charge a commission for selling the owner resident's premises, even if the sale is not completed because the purchaser does not enter into a contract for services with the manager of the retirement village.\n\n(2) Before obtaining the signature of the owner resident to the engagement or appointment, the estate agent must—\n\n(a) inform the owner resident in writing that the engagement or appointment provides for a commission to be payable to the estate agent, even if a sale of the premises cannot be completed because the purchaser does not enter into a contract for services with the manager of the retirement village; and\n\n(b) include a reference in the information referred to in paragraph (a) to any clause of the engagement or appointment in which the commission arrangements are set out; and\n\n(c) obtain the owner resident's dated signature on the page on which the information referred to in paragraphs (a) and (b) is given.\n\nPenalty: 20 penalty units.\n\n\t7 Advertisements for sale of premises in retirement villages\n\n(1) An estate agent who holds a written engagement or appointment to sell premises in a retirement village must include the following statement in any advertisement in respect of the premises that is published or caused to be published—\n\n\"Buyer must also enter into separate contract with retirement village.\".\n\nPenalty: 20 penalty units.\n\n(2) An estate agent to whom subregulation (1) applies must ensure that the statement is printed or typed—\n\n(a) in plain text in point type no smaller than the smallest point type otherwise appearing in the advertisement; and\n\n(b) in a form that is easily legible.\n\nPenalty: 20 penalty units.\n\n═══════════════\n\nEndnotes\n\n1 General information\n\nThe Estate Agents (Retirement Villages) Regulations 2016, S.R. No. 86/2016 were made on 12 July 2016 by the Governor in Council under section 99 of the **Estate Agents Act 1980**, No. 9428/1980 and came into operation on 31 July 2016: regulation 3.\n\nThe Estate Agents (Retirement Villages) Regulations 2016 will sunset 10 years after the day of making on 12 July 2026 (see section 5 of the **Subordinate Legislation Act 1994**).\n\nSee [www.legislation.vic.gov.au](http://www.legislation.vic.gov.au) for Victorian Bills, Acts and current Versions of legislation and up-to-date legislative information.\n\nINTERPRETATION OF LEGISLATION ACT 1984 (ILA)\n\nStyle changes\n\nSection 54A of the ILA authorises the making of the style changes set out in Schedule 1 to that Act.\n\nReferences to ILA s. 39B\n\nSidenotes which cite ILA s. 39B refer to section 39B of the ILA which provides that where an undivided regulation, rule or clause of a Schedule is amended by the insertion of one or more subregulations, subrules or subclauses the original regulation, rule or clause becomes subregulation, subrule or subclause (1) and is amended by the insertion of the expression \"(1)\" at the beginning of the original regulation, rule or clause.\n\nInterpretation\n\nAs from 1 January 2001, amendments to section 36 of the ILA have the following effects:\n\n• Headings\n\nAll headings included in a Statutory Rule which is made on or after  \n1 January 2001 form part of that Statutory Rule. Any heading inserted in a Statutory Rule which was made before 1 January 2001, by a Statutory Rule made on or after 1 January 2001, forms part of that Statutory Rule.  \nThis includes headings to Parts, Divisions or Subdivisions in a Schedule; Orders; Parts into which an Order is divided; clauses; regulations; rules; items; tables; columns; examples; diagrams; notes or forms.  \nSee section 36(1A)(2A)(2B).\n\n• Examples, diagrams or notes\n\nAll examples, diagrams or notes included in a Statutory Rule which is made on or after 1 January 2001 form part of that Statutory Rule. Any examples, diagrams or notes inserted in a Statutory Rule which was made before 1 January 2001, by a Statutory Rule made on or after 1 January 2001, form part of that Statutory Rule. See section 36(3A).\n\n• Punctuation\n\nAll punctuation included in a Statutory Rule which is made on or after  \n1 January 2001 forms part of that Statutory Rule. Any punctuation inserted in a Statutory Rule which was made before 1 January 2001, by a Statutory Rule made on or after 1 January 2001, forms part of that Statutory Rule.  \nSee section 36(3B).\n\n• Provision numbers\n\nAll provision numbers included in a Statutory Rule form part of that Statutory Rule, whether inserted in the Statutory Rule before, on or after  \n1 January 2001. Provision numbers include regulation numbers, rule numbers, subregulation numbers, subrule numbers, paragraphs and subparagraphs. See section 36(3C).\n\n• Location of \"legislative items\"\n\nA \"legislative item\" is a penalty, an example or a note. As from 13 October 2004, a legislative item relating to a provision of a Statutory Rule is taken to be at the foot of that provision even if it is preceded or followed by another legislative item that relates to that provision. For example, if a penalty at the foot of a provision is followed by a note, both of these legislative items will be regarded as being at the foot of that provision. See section 36B.\n\n• Other material\n\nAny explanatory memorandum, table of provisions, endnotes, index and other material printed after the Endnotes does not form part of a Statutory Rule. See section 36(3)(3D)(3E).\n\n2 Table of Amendments\n\nThere are no amendments made to the Estate Agents (Retirement Villages) Regulations 2016 by statutory rules, subordinate instruments and Acts.\n\n3 Amendments Not in Operation\n\nThere are no amendments which were Not in Operation at the date of this publication.\n\n4 Explanatory details\n\n1. Reg. 4: S.R. No. 100/2006.\n\n  ——\n\n  **Penalty Units**\n\n  These Regulations provide for penalties by reference to penalty units within the meaning of section 110 of the **Sentencing Act 1991**. The amount of the penalty is to be calculated, in accordance with section 7 of the **Monetary Units Act 2004**, by multiplying the number of penalty units applicable by the value of a penalty unit.\n\n  The value of a penalty unit for the financial year commencing 1 July 2016 is $155.46.\n\n  The amount of the calculated penalty may be rounded to the nearest dollar.\n\n  The value of a penalty unit for future financial years is to be fixed by the Treasurer under section 5 of the **Monetary Units Act 2004**. The value of a penalty unit for a financial year must be published in the Government Gazette and a Victorian newspaper before 1 June in the preceding financial year. [↑](#endnote-ref-1)","sortOrder":0}],"analysis":{"summary":{"complexity_score":4,"scope_assessment":{"changed":false,"description":"Based on the available text, the regulation appears consistent with its stated purpose of regulating estate agent conduct specifically within the retirement village sector. There is insufficient detail in the provided text to identify any scope creep or unintended broadening from the original intent."},"complexity_factors":["Operates at the intersection of two specialist areas: estate agency law and retirement village law, requiring knowledge of both","Retirement village transactions involve atypical legal arrangements (licences to occupy, deferred management fees) that differ significantly from standard property sales","As a subordinate instrument (regulation made under an Act), it must be read alongside the parent Estate Agents Act and the Retirement Villages Act to be fully understood","The document provided is heavily truncated and appears to contain formatting/duplication errors, making substantive analysis difficult","Likely contains technical definitions and compliance obligations that require professional interpretation"],"plain_english_summary":"This Victorian regulation governs how estate agents must sell and market retirement village units and licences. It applies to agents, retirement village operators who use them, and current or prospective residents, setting tailored rules because these transactions involve licences, entry and exit fees, and ongoing charges rather than ordinary property ownership.  \n\nIt matters because those deals are complex and financially significant for older Australians; the rules aim to ensure agents act transparently and competently to protect vulnerable consumers."},"issue_detection":{"absurdities":[],"contradictions":[]},"flash_summary":{"complexity_score":2,"scope_assessment":{"changed":false,"description":"The instrument is narrowly focused on disclosure and advertising requirements for estate agents selling retirement village premises. It revokes the 2006 Regulations and replaces them with a concise set of rules that preserve the same targeted purpose (requiring prescribed vendor information and a prescribed advertising statement) rather than expanding into new subject-matter. It therefore does not materially broaden the statutory scope beyond the original consumer‑information objective; it mainly updates and consolidates obligations and formatting/penalty detail (regs 1, 4, 6–7)."},"complexity_factors":["Short instrument (7 substantive regulations plus endnotes)","Only 2 defined terms provided in the regulations (owner resident; premises) (reg 5)","Two principal operative obligations: written vendor disclosure with dated signature (reg 6) and prescribed advertisement statement with legibility/type requirements (reg 7)","Limited conditional logic: reg 6 applies only where the engagement allows commission to be payable even if purchaser does not enter into separate contract with village manager (reg 6(1)(b))","Fixed penalties referenced (20 penalty units) with cross-references to external Acts for penalty valuation (Sentencing Act 1991; Monetary Units Act 2004) — minor cross-referencing","Revocation of earlier regulations (reg 4) — administrative change","No nested exceptions or extensive schedules; limited prescribed wording requirement increases operational precision but not legal complexity"],"plain_english_summary":"**What this regulation does (mechanically)**\n\n- Requires estate agents who are engaged to sell a resident's premises in a retirement village to give a written, signed warning to the owner resident if the agent's engagement allows the agent to claim a commission even where the sale cannot be completed because the purchaser does not enter into a separate contract for services with the retirement village manager (reg 6(1)–(2)).\n- Requires estate agents who hold such an engagement to include the exact statement \"Buyer must also enter into separate contract with retirement village.\" in any advertisement for the premises, and to print that statement in plain, legible text at no smaller a font size than the smallest type otherwise used in the advertisement (reg 7(1)–(2)).\n- Sets a penalty of 20 penalty units for failures to comply with the disclosure or advertisement requirements (regs 6(2)(c), 7(1)–(2)). The regulation revokes the 2006 Regulations on the same topic (reg 4). Definitions refer to the Retirement Villages Act 1986 (reg 5).\n\n**Who this affects**\n\n- Owner residents (as defined in the Retirement Villages Act 1986) who engage an estate agent to sell their retirement village premises.\n- Estate agents who enter into an engagement or appointment to sell such premises.\n- Retirement village managers indirectly, because the existence of a separate contract for services with the manager is central to whether a sale completes.\n\n**Why it matters**\n\n- The rules are about consumer information and advertising transparency. They do not themselves change what commissions can be charged or alter the substantive contract between an owner resident and an estate agent. Instead, they force estate agents to disclose, in writing and with a signed acknowledgement, that they may still be entitled to commission even if the purchaser never signs the separate services contract with the village manager (reg 6(2)(a)–(c)). They also force adverts to make clear to potential buyers that a separate contract with the retirement village is required (reg 7(1)).\n\n**Official stated purpose and a practical assessment**\n\n- The instrument states its objectives as requiring (a) prescribed information to be provided to an owner resident in certain circumstances and (b) a prescribed statement to appear in advertisements for the premises (reg 1). That is, its stated goal is increased disclosure and clearer advertising.\n\n- Costs and incentives: the regulations create a modest compliance cost for estate agents (documenting the disclosure, collecting a dated signature, and ensuring advertisement layouts meet the type/legibility requirement). Those costs fall on agents and, indirectly, the owners who engage them (through fees and possible changes in agent willingness to take listings under particular commission terms). The regulation does not prohibit commission clauses that make commission payable where the purchaser does not complete the separate village contract; it only requires agents to disclose that possibility (reg 6(2)(a)).\n\n- Trade-offs and private choice: the rules increase transparency (reducing information asymmetry) at the expense of added administrative steps. Estate agents retain freedom to negotiate the engagement terms; the regulation constrains only disclosure and advertisement content. If agents consider the disclosure too costly or reputationally unattractive, they may alter contract terms (e.g. change commission triggers) or adjust advertising strategies to reduce exposure to the required statement.\n\n- Implementation and enforcement risk: compliance depends on agents following a specific procedure (written information, reference to the clause in the engagement, dated signature on the same page) and on adverts using a specified phrase in a minimum legible font. Failure attracts a fixed-penalty sanction (20 penalty units) (regs 6(2)(c), 7(1)–(2)). The instrument cross-refers to definitions in the Retirement Villages Act 1986 (reg 5) and to penalty unit valuation and calculation in other Acts (endnotes), which means administrators must apply those external rules when calculating fines.\n\n**Concrete behavioural effects (who pays, who decides, what changes)**\n\n- Who pays: primarily estate agents (for compliance work) and owner residents indirectly (if agents adjust commission rates or decide not to accept certain instructions because of disclosure obligations); potential fines payable by non‑complying agents (20 penalty units; value per unit set by the Monetary Units Act and noted in the endnotes for the 2016 year).\n- Who decides: estate agents decide how to operate their businesses within the disclosure and advertising rules; owner residents decide whether to sign an engagement after receiving the written disclosure; potential buyers are informed that they will face a separate contract with the village manager.\n- Behaviour change required: estate agents must (a) add the written disclosure and obtain a dated signature on the relevant page before the owner signs the engagement (reg 6(2)), and (b) include the specified advertisement statement in legible, not-too-small type in any advert (reg 7(1)–(2)).\n\n**Other practical notes**\n\n- The regulations are short and narrowly targeted to listings of retirement village premises. They repeal the 2006 Regulations on the same topic (reg 4). Definitions are limited and drawn from the Retirement Villages Act (reg 5). The instruments reference penalty unit valuation arrangements in the Monetary Units Act 2004 and Sentencing Act 1991 (endnotes), so the monetary cost of non‑compliance varies over time as the value of a penalty unit changes."},"flash_summary_failed":{"failed":true,"reason":"Unauthenticated. Configure AI_GATEWAY_API_KEY or use a provider module. Learn more: https://ai-sdk.dev/unauthenticated-ai-gateway","source":"analysis-cron"},"kimi_summary":{"content_quality":"ok","complexity_score":2,"scope_assessment":{"changed":false,"description":"The legislation remains tightly focused on its original purpose. The 2016 version is a direct replacement of the 2006 regulations (revoked by regulation 4) with identical scope: protecting retirement village residents in property transactions. No mission creep or expansion beyond the two core consumer protection mechanisms."},"complexity_factors":["Only 7 regulations total, with 2 substantive operational provisions (regulations 6 and 7)","Minimal defined terms: only 2 definitions in regulation 5, both referencing external legislation (Retirement Villages Act 1986)","No nested exceptions or conditional logic beyond simple 'if-then' structures","Straightforward penalty structure: flat 20 penalty units per offence","Single layer of subregulations (maximum depth of (1) and (2))","No cross-references to other regulations or complex transitional provisions","Clear, prescriptive language with specific mandated wording for disclosures"],"plain_english_summary":"**What this legislation does:**\n\nThese regulations create two specific rules for real estate agents (called \"estate agents\" in Victoria) when they sell properties in retirement villages:\n\n1. **Disclosure requirement**: Before an owner resident signs a contract with an estate agent, the agent must clearly explain in writing that the owner will still owe commission fees even if the sale falls through because the buyer refuses to sign a separate contract with the retirement village manager. The owner must sign and date this disclosure.\n\n2. **Advertising requirement**: Every advertisement for a retirement village property must include the statement: *\"Buyer must also enter into separate contract with retirement village.\"* This must be in plain text, at least as large as the smallest text in the ad, and easy to read.\n\n**Who it affects:**\n- **Estate agents** selling retirement village properties in Victoria\n- **Owner residents** (people who own their unit/lot in a retirement village and live there)\n- **Prospective buyers** of retirement village properties\n\n**Why it matters:**\nRetirement village sales are different from regular property sales. Buyers must sign two contracts: one to buy the property, and a separate \"contract for services\" with the village manager (covering ongoing fees and services). These regulations protect owner residents from surprise commission bills if the sale fails due to the second contract issue, and ensure buyers understand the dual-contract nature of retirement village purchases upfront.\n\n**Penalties:** Breaking these rules carries a fine of 20 penalty units (approximately $3,109 as of 2016)."}},"importantCases":[],"_links":{"self":"/api/acts/estate-agents-retirement-villages-regulations-2016","history":"/api/acts/estate-agents-retirement-villages-regulations-2016/history","analysis":"/api/acts/estate-agents-retirement-villages-regulations-2016/analysis","conflicts":"/api/acts/estate-agents-retirement-villages-regulations-2016/conflicts","importantCases":"/api/acts/estate-agents-retirement-villages-regulations-2016/important-cases","documents":"/api/acts/estate-agents-retirement-villages-regulations-2016/documents"}}