Age Restriction Excesses
2009/06/21 Originally published in the Vernon Morning Star.
Recently I was showing property to a nice couple from Alberta. They want to retire here in beautiful Vernon in 2011. They are coming here to enjoy golfing, boating and our more tolerable weather. But there is one hurdle they met that robbed them of being able to move into our desirable adult communities. The problem is that he is 55 years old, but she is only 51 years old. That small factor made them have to rule out the majority of complexes. Not good. In fact I think this situation is not what the various strata corporations meant to create when they voted in the 55+ age restriction a few years ago.
It's my opinion that there were misunderstandings when that age restriction was popularized. There was, I believe, a misconception that the only enforceable age restriction was 55+. It was said that the courts were upholding that 55+ restriction to the exclusion of other age restrictions as the Courts upheld the right of seniors to enjoy a quiet retirement atmosphere but didn't acknowledge any other kind of age restriction. It was believed that the Human Rights Code would not support it. There is only a partial truth in this. The only age restriction you can enforce against a tenant is 55+. So if there are no rentals allowed it's a non-issue. Most complexes voted in both 55+ age restriction and no rentals allowed. If they had only voted for "no rentals allowed", they could have set a less onerous age restriction, such as 40+ or even 19+. Most seniors want to live in an atmosphere of only visiting children and no teenagers driving, shall we say, energetically on the roads within their development. They have no contest with a resident who is 35, 40 or 55 years of age.
There are two other factors that would be considered. Firstly, owners can always rent to a family member no matter what rent restrictions are in place. If the age restriction is kept at 55+, then that family member who is the tenant must be 55+. If it's any less, there cannot be any control of the age of the tenant. No doubt this would be an extremely unusual occurrence, but still, it's a point to consider.
Another point to note is that if the original Developer filed a Rental Disclosure Statement, the original purchaser always maintains the privilege of renting out their unit. Then of course, there is the subject of Hardship Rentals. I will expand on these issues in a future article.
However, to improve the marketability of these developments, I think it would be timely to either convert to 40+ age restriction or at the very least to re-word the By-Laws so that only one of the owners needs to be 55 years of age.
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We are in tougher times now. Selling homes in the adult communities is far less easy than it was. To have an overly restrictive bylaw such as 55+ is actually impacting resale. You see, there are few enough buyers around without turning away perfectly good citizens who happen to be 40 or 50 years of age.
If you are in a 55+ community, perhaps it's worth considering making a motion to amend your bylaws to increase the resale ability and thus the value of your property.
Jane Field works with RE/MAX Vernon. Jane has over 30 years experience in the Real Estate business. To suggest topics for future articles or to ask Jane questions, email her or call 503-3755.
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