How to use the rental yield calculator
Enter the property price and the monthly rent to get the gross yield. Open Costs to add running costs, buying costs, empty periods and agent fees for the net yield. Open Mortgage to see your monthly cash flow and the return on the cash you put in.
Rental yield formulas
Gross yield = Yearly rent ÷ Property price × 100
Net yield = (Rent collected − Agent fees − Running costs) ÷ (Price + Buying costs) × 100
Cash-on-cash return = Yearly cash flow after the mortgage ÷ Cash you put in × 100
Worked example
A 300,000 property rented for 1,500 a month: yearly rent 18,000, so the gross yield is 6%.
With 5% of the year empty (rent collected 17,100), an 8% agent fee (1,368), 3,000 of running costs and 9,000 of buying costs: net income is 12,732, so the net yield is 4.12%.
With a 1,100 a month mortgage, cash flow is −468 a year (−39 a month), so the rent doesn't quite cover everything.
What is a good rental yield?
It varies widely by country, city and type of property. City-centre flats often have lower yields but may rise more in value; cheaper areas often have higher yields. Compare the net yield with what you could earn elsewhere, such as a savings account, and remember that property also has risks: empty months, repairs and changes in rent and interest rates.
Check the mortgage payment with the mortgage calculator.
Frequently asked questions
What's the difference between gross and net yield?
Gross yield uses the rent alone. Net yield takes off running costs, empty periods and fees, and adds buying costs to the price, so it's closer to what you actually earn.
Does it include tax?
No. Income tax on rent depends on your country and situation.
Formulas checked 29 October 2026. How we test our calculators. This calculator is for planning and education, not financial, tax or legal advice.