Calculate gross and net rental yield on your investment property
What This Means For You
Get a personalized explanation of these results — what they actually mean for your situation, and how small changes would affect them.
How it works
Shows what a rental property returns as a percentage of its price, on both a gross and a net basis. Gross yield is a quick screen; net yield after expenses is the number that reflects what you actually keep.
Gross yield = (Monthly rent × 12) / Purchase price × 100 Net yield = (Annual rent − Annual expenses) / (Purchase price + Buying costs) × 100
Annual rentmonthly rent times 12, before any deductionAnnual expensesmanagement, maintenance, insurance, property tax, vacancy allowanceBuying costsstamp duty or transfer tax, legal fees, survey, initial repairs
- Annual rent: 1,650 × 12 = 19,800
- Gross yield: 19,800 / 285,000 = 6.95%
- Net income: 19,800 − 8,600 = 11,200
- Total invested: 285,000 + 9,000 = 294,000
- Net yield: 11,200 / 294,000
- Expenses commonly run 25-40% of gross rent once vacancy, management, and maintenance are all counted. A yield quoted without expenses is a marketing number.
- Yield says nothing about capital growth. High-yield areas often show the weakest appreciation, and the total return can favour the lower-yield property.
- Budget vacancy as a rate rather than an event: one month empty per year is an 8.3% hit to gross rent on its own.
- Cap rate and net yield are close cousins. The usual difference is that cap rate divides by market value while net yield divides by what you actually paid including costs.
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Frequently Asked Questions
Yes. Rental Yield Calculator costs nothing, needs no account, and runs right in your browser. There is no paywall, no watermark on the results, and no limit on how many times you can run the numbers.
Rental Yield Calculator uses the standard formula for this kind of calculation, so the output is only as good as the figures you type in. Rates, fees, and rules in finance shift over time, and we review the underlying assumptions on a regular schedule; check the "Last reviewed" date above for the most recent pass. Spotted something off? There's a feedback button in the bottom-right corner.
Treat the output of Rental Yield Calculator as a starting point, not final advice. Tax filings, loan approvals, insurance claims, property deals, and legal matters all depend on details a calculator cannot see: your full financial picture, local rules, and the specifics of your paperwork. Run the numbers here, then confirm anything consequential with an accountant, lawyer, or licensed advisor.