Free Rental Yield Calculator

Calculate the overall rental yield of a property including both gross and net yield percentages.

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Gross Rental Yield

10.00%

Net Rental Yield8.00%
Annual Net Income$24,000

Gross Rental Yield vs Monthly Rental Income

View formula & how it works →

Rental Yield Explained

Rental yield measures the annual return a property generates from rent relative to its purchase price.

Formulas

Gross Yield = (Annual Rent / Property Price) x 100

Net Yield = (Annual Rent - Expenses) / Property Price x 100

Key Differences

  • Gross yield ignores expenses and gives a top-line view
  • Net yield subtracts operating costs for a more realistic picture
  • Neither accounts for financing costs or capital appreciation

    • Example Calculation

    A $300,000 property rents for $2,500/month with $6,000 annual expenses.

    1. 01Annual rent: $2,500 x 12 = $30,000
    2. 02Gross yield: $30,000 / $300,000 x 100 = 10.00%
    3. 03Net income: $30,000 - $6,000 = $24,000
    4. 04Net yield: $24,000 / $300,000 x 100 = 8.00%

    Frequently Asked Questions

    Related Calculators

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    Net Rental Yield Calculator

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