Gross Rental Yield Calculator
Instantly See Your Rental Property's Estimated Gross Rental Yield
Gross Rental Yield Definition, Formula, and Example
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Gross Rental Yield Definition, Formula, and Example
p>Rental yield is a measure of the return on a property based on its rental income relative to the property's purchase price.
Gross Rental yield does not account for any operating expenses, and net rental yield takes the operating expenses into account.
What is a good Gross Rental Yield in real estate?
Generally, 7-9% gross yield and 4-6% net yield are often seen as good, but it depends on the specifics of the market and your investment strategy.
For short-term rental strategy, 14-18% gross rental yield and 8-12% net rental yield are considered high.
To evaluate a good rental yield, you also need to consider the property's appreciation factor, risks, and opportunity cost.
Gross Rental Yield vs ROI
Rental yield doesn't take property appreciation into account. Your actual annual return on investment is net rental yield combined with annual property appreciation.