Rental Property Yield Calculator
Measure the gross and net rental yield on a property before you buy it as an investment.
Enter your numbers
Example: 8000000
Example: 25000
Example: 60000
Example: 95
Recent
Formula
How the calculation works
Gross yield is the annual rent as a share of the price, before any costs are taken off.
Net yield uses the rent you actually collect at the given occupancy, minus annual expenses, so it is the honest measure of the return.
The gap between gross and net shows how much the expenses and empty months eat into the headline number.
Common mistakes
- Comparing gross yields across properties and ignoring expenses, when net yield is the number that pays you.
- Assuming full occupancy every month, which overstates the income on a property that sits empty between tenants.
When to use it
- Use it to compare a rental property against other investments before you buy.
- It is not a cash-flow forecast; it ignores loan repayments if you borrowed to buy.
Worked example
A 8,000,000 property rented at 25,000 with 60,000 annual expenses and 95% occupancy yields 3.75% gross and 2.81% net, with 225,000 net income.
Common questions
What is the difference between gross and net yield?
Gross uses rent alone, while net subtracts expenses and vacant months.
Why use an occupancy rate?
Real properties are empty for part of the year, so occupancy makes the estimate realistic.
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