What's a 'good' rental yield?

Net yields above 5% are generally considered strong for residential buy-to-let, though it varies hugely by region. High-yield areas often have lower capital growth.

Why is gross yield misleading?

Gross yield ignores voids, management, repairs, insurance and finance costs. The 'real' return after expenses can easily be half the headline number.

Should I include mortgage costs?

This calculator measures property yield (return on the asset). For return on cash invested with leverage, use the BTL ROI calculator.

Rental Yield Calculator

Compare gross yield (the headline number) with net yield (after voids, management, and running costs).

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Currency

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Purchase priceMonthly rent

Void weeks / yearManagement fee (%)

Maintenance / yrInsurance / yrGround rent / yr

Gross yield

6.72%

Net yield

5.35%

Gross annual rent

$16,800

Net annual income

$13,373

Void loss

$647

Management fee

$1,680

Total annual costs

$3,427

Monthly cashflow

$1,114

Results are estimates for informational purposes only. Not financial advice.

How to use this calculator

1Enter purchase price and expected monthly rent.
2Estimate void periods and management fees.
3Add annual maintenance, insurance, and ground rent.
4Compare gross vs net yield to judge the deal.

Results are estimates for informational purposes only.

Rental Yield Calculator

How to use this calculator

FAQ

Mortgage Calculator

Early Payoff

Affordability

Rental Yield Calculator

How to use this calculator

FAQ

What's a 'good' rental yield?

Why is gross yield misleading?

Should I include mortgage costs?

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