Rental Yield Calculator
Measure rental income as a percentage of a property's value or total cost, gross and net of vacancy and operating costs.
Rental Yield Calculator
Net Rental Yield
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Gross Rental Yield
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Net Annual Rental Income
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Base Used
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Years of Net Income to Equal Base
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Where a year of rent goes
Yield on Each Base
| Base | Value (₹) | Gross yield | Net yield |
|---|
Assumptions & method
- Gross annual rent = monthly rent × 12, assuming the property is let all year at that rent.
- Gross rental yield = gross annual rent ÷ base value. Vacancy and costs are not deducted.
- Vacancy loss = gross annual rent × vacancy %. Rent collected = gross annual rent − vacancy loss. The management fee is charged on rent collected.
- Net annual rental income = rent collected − management fee − property tax − insurance − maintenance & repairs − other operating costs. Mortgage interest, loan repayments, income tax and depreciation are excluded.
- Net rental yield = net annual rental income ÷ base value. A negative net yield means costs exceed rent collected.
- Base options: current market value (what the property is worth now), or purchase price plus acquisition costs (what you paid in total). The table shows both so you can compare.
- Costs are entered as constant yearly amounts. Rent growth, price growth and changing costs are not modelled.
Results are estimates based on the figures you enter. They are not guarantees and not financial advice.
What is rental yield?
Rental yield expresses a property's rent as a percentage of what it is worth or what it cost, which makes properties of different sizes comparable. Gross yield is the quick headline figure: a year of rent divided by the base. Net yield is more honest, because it subtracts the months the property sits empty, the agent's fee and the yearly bills for tax, insurance and repairs. The base matters too. Dividing by current market value shows what the asset yields today, while dividing by purchase price plus acquisition costs shows what your own money earned. The chart shows how a year of rent splits between costs and income you keep. Yield does not include financing or price growth, so pair it with a return calculator for the full picture.