# Rental Yield Calculator

## What is Rental Yield?

Rental Yield is the yearly return on your investment property, expressed as a percentage of the property value. Since Rental Yield is a percentage, it is possible to compare properties. For example a higher priced property may give you more rent, but a different cheaper property with a higher yield may be a better investment depending on your goals. Rental Yield is calculated the same in Australia as everywhere else in the world.

## What is Gross Rental Yield?

Gross Rental Yield is the total yearly rent divided by the value of the property. Property Expenses are not taken into account in the Gross Rental Yield.

## How to Calculate Gross Rental Yield.

• Calculate the total yearly rent.
• Divide the total rent by the value of the property.
• Multiply the result by 100 to get the percentage Gross Rental Yield.

## What is Net Rental Yield?

Net Rental Yield is the total yearly rent minus all expenses, divided by the value of the property. The Net Rental Yield gives you a more accurate view of your return on investment.

## How to Calculate Net Rental Yield.

• Calculate the total yearly rent.
• Calculate the total yearly expenses.
• Subtract the total expenses from the total rent. This the yearly profit.
• Divide the profit by the value of the property.
• Multiply the result by 100 to get the percentage Net Rental Yield.