Rental Yield Calculator
Calculate return on investment for rental properties.
Calculate return on investment for rental properties.
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Measure rental return, cash flow, and property yield efficiency.
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The Rental Yield Calculator is the ultimate reality check for any real estate investor. In India, many people buy property purely hoping for Capital Appreciation (price rise). However, smart investors focus on Rental Yield the actual cash income the asset generates today. It measures how hard your money is working for you relative to the cost of the property.
Think of yield as the "interest rate" your property pays you. A ₹1 Crore apartment in Mumbai renting for ₹25,000/month gives a yield of just 3%. Is that better than a Fixed Deposit paying 7%? Without calculating yield, you are flying blind. This tool cuts through the hype of "prime location" and "future growth" to show you the raw financial performance of the asset right now.
Whether you are analyzing a residential flat, a commercial shop, or a vacation rental, this calculator provides the clarity you need to compare different properties on an apples-to-apples basis and avoid low-return traps.
Real estate agents love to quote Gross Yield because it looks impressive. It is simply the annual rent divided by the property price. But you can't spend gross yield. It ignores the reality of owning property: things break, tenants leave, and taxes are due.
Net Yield is your true "take-home" return. It accounts for the "silent killers" of profit: maintenance costs (society charges), property taxes, insurance premiums, and vacancy periods. This calculator forces you to confront these expenses upfront, ensuring your investment thesis is built on profit, not just revenue.
By revealing the gap between gross and net yield, this tool helps you identify properties that are efficient income generators versus those that are expensive liabilities in disguise.
The Rental Property Calculator determines if a property is a boom or a bust. In the US real estate market, buying a rental is more than just collecting rent; it involves taxes, insurance, HOA fees, vacancy, and maintenance.
This tool calculates the three most important numbers for any investor: Cash Flow, Cap Rate, and Cash-on-Cash ROI. Whether you are looking at a single-family home in Texas or a condo in Florida, these metrics tell you the true story.
The rate of return on an investment property irrespective of financing. Calculated as Net Operating Income / Property Value. A higher Cap Rate generally means a better deal.
The return on the actual cash you invested (Down Payment + Closing Costs). This is the best metric if you use leverage (a mortgage).
Monthly fees paid to an association for maintaining common areas. These can kill cash flow in condos.
A quick rule of thumb: If the monthly rent is 1% of the purchase price (e.g., $2,000 rent for a $200,000 house), it is likely clear cash flow positive.
Buying a duplex, living in one side, and renting the other. This tool helps you see if the tenant's rent covers your mortgage.
Assumes vacancy rates are constant. Does not predict appreciation or depreciation for tax purposes.