ganak.appRental Yield Calculator
Free global rental yield calculator. Work out gross and net rental yield, cap rate, and cash-on-cash return in 11 currencies with weekly, monthly, or annual rent.
Income & Expenses
Annual breakdown based on your inputs
| Property Tax / Council | $3,000 |
| Insurance | $1,200 |
| Maintenance & Repairs | $1,500 |
| Management Fee | $1,843 |
| Vacancy Allowance | $960 |
| Other Expenses | $500 |
| Total Operating Expenses | $9,003 |
Key Metrics
Yield, cap rate, and cash flow indicators
Yield Benchmark
How your yield compares against common thresholds
What Rental Yield Means
The annual rental return on a property, as a percentage of its price
Rental yield tells you how much of a property's purchase price is returned each year in rent. Investors use it to compare buy-to-let deals quickly, alongside capital-growth expectations, and to spot positively-geared properties where rent exceeds ownership costs.
Gross Rental Yield
Gross Yield % = (Annual Rent / Property Price) × 100
Gross vs Net Rental Yield
Gross is quick to quote; net is what you actually earn
Gross yield uses the rent directly. Net yield subtracts real operating expenses — property tax, insurance, maintenance, management fees, and a vacancy allowance — before dividing by price. Net yield is typically 1–3 percentage points lower than gross.
Net Rental Yield
Net Yield % = ((Annual Rent − Operating Expenses) / Property Price) × 100
How This Calculator Works
Inputs, processing, and outputs used by this page
Enter the property price in your local currency — the calculator supports 11 currencies with region-aware defaults.
Enter the rent amount and choose weekly, monthly, or annual. The frequency toggle auto-converts to annualised rent.
Switch on expenses to add tax, insurance, maintenance, management fee, vacancy rate, and other costs.
See gross yield, net yield, and cap rate instantly — plus a rating against common global benchmarks.
Optionally add a mortgage (deposit, rate, term) to see cash-on-cash return and monthly cash flow.
Real World Example
Worked example: $300K property, $2,000 monthly rent, $6,200 annual expenses
You buy a property for $300,000 and rent it for $2,000 per month, giving an annual rent of $24,000. Gross yield = 24,000 ÷ 300,000 × 100 = 8.00%. After $6,200 in annual expenses (tax, insurance, maintenance, management), net operating income is $17,800, so net yield = 17,800 ÷ 300,000 × 100 = 5.93%.
Inputs
- Property price: $300,000
- Rent: $2,000 / month
- Annual expenses: $6,200
- Frequency: Monthly
Outputs
- Annual rent: $24,000
- Net operating income: $17,800
- Gross yield: 8.00%
- Net yield: 5.93%
What Counts as a Good Rental Yield?
Benchmarks vary widely by country and city
There is no single number. Premium capital cities have lower yields because prices are capital-growth driven; emerging markets and regional areas typically offer higher yields to compensate for slower growth.
Under 3% — Low Yield
Typical for premium capital cities like London, Sydney, and San Francisco. Investors hold these properties primarily for capital appreciation, not rental income.
3% – 5% — Average Yield
Typical for major metros across the US, UK, Australia, and New Zealand. Properties here usually require positive equity growth to outperform other asset classes.
5% – 7% — Good Yield
Regional cities, emerging neighbourhoods, and smaller properties often land here. These deals are typically positively geared — rent covers ownership costs with cash flow left over.
Above 7% — Excellent Yield
Common in Dubai, regional Australia, US Midwest, Indian tier-2 cities, and UK HMO deals. Higher yield often reflects higher tenant risk, vacancy, or slower capital growth — stress-test carefully.
Assumptions and Limits
What this calculator includes and what it does not
- Rental yield ignores capital appreciation — combine with your expected price growth for a full return picture.
- Mortgage interest is handled separately as cash-on-cash return, not inside net yield. Yield is traditionally un-levered.
- Net yield includes vacancy allowance and management fees only when you enable expenses.
- Does not include income tax on rental income, depreciation, or one-off repair surprises — pad expenses conservatively.
Common Mistakes
Frequent errors that distort property return decisions
Comparing gross yields between properties without checking net yield — running costs vary significantly.
Using asking rent instead of achievable rent for the suburb. Check comparable listings before buying.
Ignoring vacancy — always assume 2–6 weeks per year unoccupied, not 100% tenancy.
Forgetting to annualise weekly rent using × 52 (not × 48 or × 50).
Confusing rental yield with ROI — yield is income-only; ROI includes capital appreciation.
Frequently Asked Questions
Common questions about rental yield, cap rate, and property returns
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Last updated Apr 17, 2026