Rental yield calculator
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Rental yield helps you understand how much rental income a property generates compared with its value. Whether you're assessing a potential investment or reviewing a property you already own, calculating rental yield can make it easier to compare opportunities and understand how your property is performing.
Rental yield is generally calculated by taking the annual rental income, dividing it by the property's value or purchase price, and multiplying the result by 100 to give you a percentage.
Our rental yield calculator does the maths for you, giving you a quick way to assess the potential income-generating performance of a property.
There's no single rental yield that's right for every property. What represents a good rental yield can vary depending on location, property type, purchase price, demand, expenses and your wider investment strategy.
Yield is therefore best considered alongside factors such as potential capital growth, ongoing costs, vacancy risk and the condition of the property.
Rental yield focuses primarily on the rental income a property generates relative to its value. Return on investment, or ROI, provides a broader view of investment performance by considering the money invested and other relevant costs.
Looking at both can give you a more complete picture of how an investment property is performing.
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