Rental yield calculator
Calculate gross and net rental yield for an Australian investment property. Add rent, vacancy, strata, rates and management fees to see the real return.
How do you calculate rental yield?
Gross rental yield is annual rent divided by the purchase price. Net yield subtracts holding costs such as strata, council rates, insurance, management fees, maintenance and vacancy first. Net yield gives a truer picture for properties in Sydney, NSW and across Australia, but it excludes loan interest, tax and capital growth, so it is only one input.
Gross yield flatters most properties
Listings often quote gross yield because it looks higher. Two properties with the same gross yield can produce very different net results once strata levies, insurance and repairs are included. Always compare on net yield.
Where to get reliable inputs
Use a written rental appraisal from a local property manager, actual strata and council notices from the contract, and a landlord insurance quote. Allow for at least a few weeks of vacancy each year unless you have evidence otherwise.
What yield does not tell you
Yield ignores financing, tax and future value. Run the cash flow calculator next to see what the property costs or earns after loan repayments.
Frequently asked questions
What is a good rental yield in Australia?
There is no single good figure. Yields vary by location, property type and risk. Compare net yield against your own costs and goals.
Should I include vacancy?
Yes. Including a realistic vacancy allowance avoids overstating income.
Does yield include capital growth?
No. Yield measures income relative to price only.