Updated Real Estate Investment Tool

Rental Yield Calculator

Calculate gross rental yield, net rental yield and cash-on-cash return for rental properties. Factor in expenses, vacancy and mortgage payments to see how your investment really performs.

Gross & Net Rental Yield Vacancy & Expense Impact Cash-on-Cash Return Buy-to-Let Scenario Planning

Interactive Rental Yield & Cash-on-Cash Calculator

Use the tabs to estimate simple gross yield, detailed net yield and cash-on-cash return with financing. This makes it easier to compare rental properties, test different assumptions and see how leverage affects your real estate returns.

Use either purchase price or current market value depending on what you want to analyze.

Gross rental yield compares annual rent to value before expenses. Use the net yield and cash-on-cash tabs to include costs and financing.

Estimated percentage of the year the is vacant and not generating rent.

Net rental yield subtracts expected expenses and vacancy from annual rent to show a more realistic return on value.

Cash you put down at closing. The loan amount is calculated as price minus down payment.
Include lender fees, legal costs and any up-front costs you want counted as part of invested cash.

This mode estimates annual cash flow after operating expenses and mortgage payments, then compares it with your cash invested (down payment plus closing costs) to compute cash-on-cash return.

Rental Yield Calculator – Understand Your’s Real Performance

Rental yield is one of the simplest ways to compare investment properties. It shows how much rent you receiveative to the’s value or purchase price. But real-life rental investing involves more than just the headline percentage — you also have expenses, vacancy and often a mortgage.

The Rental Yield Calculator on MyTimeCalculator combines gross yield, net yield and cash-on-cash return in one place. You can quickly test different rent levels, expense assumptions and financing structures to see how a might perform before you commit capital.

How This Rental Yield Calculator Is Organized

The calculator is split into three modes to match common analysis questions:

  • Gross Rental Yield: How much rent does the generateative to its value before expenses?
  • Net Rental Yield: What is the yield after tax, insurance, maintenance, HOA fees, vacancy and other operating costs?
  • Cash-on-Cash Return: How much annual cash flow do you earn on the actual cash invested after financing and expenses?

Each mode uses the same core idea: compare your income with either value or cash invested, then express it as a percentage to make comparisons easier.

Mode 1: Gross Rental Yield

Gross yield is the simplest measure. In this tab you enter:

  • Property price or current market value
  • Monthly rent

The calculator computes:

  • Annual rent = monthly rent × 12
  • Gross rental yield = annual rent ÷ value × 100
  • Rent-to-price multiple = value ÷ annual rent
  • Monthly rent as % of price = monthly rent ÷ value × 100

This gives you a quick, high-level way to compare different properties on a pure income-to-price basis without worrying detailed expenses.

Mode 2: Net Rental Yield

Net rental yield goes a step further by subtracting realistic operating costs and adjusting for vacancy. In this tab you enter:

  • Property price or value
  • Monthly rent
  • Vacancy rate percentage
  • Annual tax, insurance, maintenance, HOA fees and any other operating expenses

The calculator then works out:

  • Annual gross rent = monthly rent × 12
  • Vacancy deduction = gross rent × vacancy rate
  • Effective annual rent = gross rent − vacancy deduction
  • Total annual expenses = tax + insurance + maintenance + HOA + other
  • Net operating income (NOI) = effective rent − total expenses
  • Net rental yield = NOI ÷ value × 100

Net yield removes a lot of the optimism built into gross yield. It helps you see whether a promising rent level still holds up after typical expenses.

Mode 3: Cash-on-Cash Return with Financing

Most investors use financing for at least part of a purchase. Cash-on-cash return focuses on the return on your own cash rather than on the’s full value. In this mode you enter:

  • Purchase price, down payment and closing costs
  • Interest rate and loan term to estimate monthly mortgage payments
  • Monthly rent and vacancy rate
  • Annual expenses: tax, insurance, maintenance, HOA and other costs

The calculator estimates:

  • Loan amount = purchase price − down payment
  • Monthly mortgage payment based on loan amount, term and interest rate
  • Annual debt service = monthly mortgage payment × 12
  • Effective annual rent and NOI (from the net yield logic)
  • Annual cash flow = NOI − annual debt service
  • Cash invested = down payment + closing costs
  • Cash-on-cash return = annual cash flow ÷ cash invested × 100

You also see gross and net yields alongside cash-on-cash return so you can compare unleveraged and leveraged performance at a glance.

Why Yield and Cash-on-Cash Both Matter

No single metric tells the whole story of a rental. Gross yield is fast and simple, net yield is more realistic, and cash-on-cash shows the impact of leverage on your actual invested cash.

  • Use gross yield to quickly screen many properties.
  • Use net yield to compare properties in the same market after expenses.
  • Use cash-on-cash return to see whether the deal makes sense given your down payment, loan and closing costs.

When you evaluate real estate, it’s helpful to look at all three together, along with non-numeric factors like location, tenant quality and long-term appreciation potential.

Tips for Using the Rental Yield Calculator Effectively

  • Start with realistic rent estimates based on local listings rather than best-case scenarios.
  • Include typical vacancy for your area; even well-managed rentals rarely stay at 0% vacancy forever.
  • Be honest with maintenance and repair assumptions, especially for older properties.
  • Experiment with different down payment sizes and interest rates to see how leverage changes cash-on-cash returns.
  • Use the net yield and cash-on-cash outputs as one input in a broader due diligence process, not the only decision factor.

This calculator is for planning and education. It does not provide investment advice, tax advice or guarantees future performance. Always check assumptions carefully and consider consulting real estate and tax professionals for important decisions.

Rental Yield FAQs

Frequently Asked Questions Rental Yield

Short answers to help you interpret gross yield, net yield and cash-on-cash return when evaluating rental properties.

A higher yield usually means more incomeative to price, but it can also signal higher risk, more maintenance or a weaker location. Some lower-yield properties may offer stronger long-term appreciation or more stable tenants. Always consider yield in the context of risk, location and your strategy.

Net yield is useful for comparing properties regardless of how they are financed. Cash-on-cash return is more focused on your personal financing structure and how efficiently your own cash is working. Many investors use both: net yield to compare deals and cash-on-cash to decide how much to invest in each one.

The formulas are standard, but the accuracy depends on how realistic your assumptions are. Small changes in rent, expenses, vacancy or interest rates can move the results significantly. It’s a good idea to run best-case, base-case and worst-case scenarios instead ofying on a single set of numbers.

No. The calculator focuses on pre-tax cash flow and yields. Income tax treatment for rental varies by country and individual situation, so you should speak with a tax professional to understand how taxes affect your net return.

You can, but you may need to convert nightly rates and occupancy assumptions into an average monthly or annual figure and adjust expenses to reflect higher cleaning, furnishing and management costs. The underlying math still works as long as you express income and expenses consistently on an annual basis.

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