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🏘️Rental Yield Calculator

Calculate gross and net rental yield on investment properties.

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About Rental Yield Calculator

Evaluate the profitability of a rental property investment with this Rental Yield Calculator. Enter the property value, annual rental income, and ongoing costs to calculate both gross and net rental yield percentages. A critical metric for property investors comparing opportunities across different markets and property types.

How to Use Rental Yield Calculator

  1. 1

    Enter property details

    Input the purchase price of the property and the annual rental income.

  2. 2

    Add annual expenses

    Enter ongoing costs such as maintenance, insurance, property management, and vacancy allowance.

  3. 3

    Compare yield figures

    Review gross and net yield percentages to evaluate the investment's income return.

Common Use Cases

  • Comparing rental returns across different investment properties
  • Deciding whether a property price is justified by its rent
  • Calculating net yield after deducting management fees and costs
  • Benchmarking property performance against other investment options

Frequently Asked Questions

What is rental yield?
Rental yield is the annual rental income expressed as a percentage of the property's purchase price. Gross yield uses income only; net yield deducts expenses like maintenance, insurance, and management fees.
What is a good rental yield?
A gross rental yield of 5–8% is generally considered good in most markets. Net yields of 3–5% after expenses are common. High-yield areas may offer 8–12% but often come with higher risk or lower capital growth.
What is the difference between rental yield and capital growth?
Rental yield measures income return (rent as % of property value). Capital growth measures how much the property's value increases over time. Total return combines both.

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