Gross & Net Rental Yield Calculator
This rent yield calculator lets you work out the gross and net rental yields on any property you own or are thinking of buying.
Rental yield helps you to see if the property is a good investment and gives you a good idea of whether or not the deal stacks up. You might use it if you’re considering refinancing your property or considering a buy to let mortgage or if you’re just curious as to what your home might rent out for.
How to work out Gross & Net Rent Yield
To work out the gross rental yield, you need to divide the annual rent (r) by the purchase cost (p) and multiply this figure by one hundred to convert the figure into a percentage value:
( r / p ) * 100 = Gross Yield
To work out net rental yield, you need to do as above, but also factor in all of your other costs (c) which are subtracted from the annual rent:
( ( r – c ) / p ) * 100 = Net Yield