// by seankriegler.com
Rental Yield Calculator
Calculate gross and net rental yield on investment property
Rates, levies, insurance, maintenance
% of year property is empty
Property manager commission
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Gross Yield
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Net Yield
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Annual Gross
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Annual Net Income
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Monthly Net
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Cap Rate
// Gross vs Net Yield
Gross yield = annual rent / property value. Net yield deducts expenses, vacancy, and management. Net is the true measure of return.
// Good Yields
SA: 7-10% gross is good. UK: 5-7%. US: 6-10%. Higher yields often come with higher risk areas. Always balance yield against capital growth potential.
// Cap Rate
Capitalisation rate = net operating income / property value. It's the industry standard for comparing investment properties. Higher cap rate = higher return (and usually higher risk).
// Hidden Costs
Don't forget: vacancy periods, maintenance reserves (5-10% of rent), insurance, rates/levies, and agent fees. These can easily eat 30-40% of gross rent.