About the Rental Yield Calculator
Rental yield measures how much income a property generates relative to its value, and is one of the quickest ways to compare investment properties. This calculator works out both gross yield (before costs) and net yield (after annual running costs). For example, a property worth $600,000 renting for $600 a week brings in $31,200 a year — a gross yield of 5.2%. Once you subtract council rates, insurance, strata fees and property management costs, the net yield is usually a percentage point or two lower.
How it works
- Annual rent is calculated as the weekly rent multiplied by 52.
- Gross yield = annual rent ÷ property value × 100.
- Net yield = (annual rent − annual property costs) ÷ property value × 100, giving a more realistic picture once expenses like rates, insurance and property management are factored in.
Assumptions and behaviour
- Assumes the property is rented for the full year with no vacancy periods.
- Annual property costs are optional — leave at zero to see gross yield only, or enter council rates, insurance, strata/body corporate fees and property management costs for a net yield estimate.
- Property value should reflect current market value or purchase price, not the original loan amount.
Limitations
- Doesn't account for vacancy periods, loan interest costs, depreciation, capital growth, or tax effects — yield is a snapshot of rental income relative to value only.
- Net yield here uses whatever costs you enter — for a full investment view including loan repayments, see the Property Investment Cash Flow Calculator.
- This is general information only, not financial or investment advice.
Privacy
The calculation runs entirely in your browser. Nothing is uploaded or stored.
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