Rental Yield Calculator
Estimate a property's gross rental yield, then optionally add annual property costs for a more detailed net yield estimate.
Frequently asked questions
What is gross rental yield?
Gross rental yield is the property's annual rent divided by its value, expressed as a percentage. It does not deduct property expenses.
What is net rental yield?
Estimated net rental yield is the annual rent less the annual property costs you enter, divided by the property value. It is only shown when you choose to add costs.
What property value should I use?
For an existing property, use a reasonable current estimated market value. For a potential purchase, the purchase price may be useful, but it answers a slightly different question.
Should mortgage repayments be included?
No. Mortgage principal and interest are not included in this rental yield calculator. Financing is better assessed through a separate cash-flow analysis.
Should strata, council and water costs be included?
Include relevant recurring property costs when you want a more meaningful estimate of net rental yield. Only include costs that apply to the property.
Is a higher rental yield always better?
No. Rental yield is only one measure and does not account for capital growth, property condition, financing, tax, risk or your individual investment objectives.