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Rental Yield Calculator

Estimate the return on your property investment with gross and net yield metrics.

Property Details

£
£

Estimated Annual Costs

Advanced Factors

5%

Gross Yield

6.0%

Net Yield

4.6%

Annual Financial Summary

Annual Rental Income £18,000
Total Annual Costs £4,200
Net Rental Income £13,800
Annual Cash Flow £13,800

What is Rental Yield?

Rental yield is a measure of the return on investment (ROI) for a rental property. It is expressed as a percentage of the property's value. Investors use it to compare different properties and locations to determine which offers the best financial return.

  • check_circle Gross Yield: Based on the purchase price and total rent.
  • check_circle Net Yield: Accounts for expenses like management, maintenance, and taxes.

What is a Good Rental Yield in the UK?

Yields vary significantly by region. Generally, more expensive areas like London have lower yields but potentially higher capital appreciation.

London
3% – 5%
North West / NE
6% – 9%