Calculate the gross and net rental yields on a rented property with our rental yield calculator.
To calculate rental yield, use our rental calculator above and:
Rental yield is the amount of returns you can expect to receive annually for a property you let. It’s shown as a percentage figure and gives you an indication of whether or not a property you want to purchase would be a good investment. Rental yield can also help when it comes to reviewing the rent you charge for a property you own.
Gross rental yield is the rental income you receive before expenses are considered, whereas net rental yield is the percentage of everything after expenses are included.
The average rental yield in the UK is between 5% and 8%, but anything around 5-6% is considered a ‘good’ rental yield. It’s worth noting that you may get a lower yield in areas where property prices are high, such as London or the South East.
Start off by researching and thinking carefully about where you want to invest. Look at local rental markets, employment rates and infrastructure. Once you’ve decided on a property, make simple renovations and ensure the property is well-furnished and well-designed – this will help attract and retain long-term tenants. Ensuring you maintain an honest and friendly relationship with tenants will help reduce your turnover rate, ultimately maximising your rental yield.
Whether you need let only, rent collection or a fully managed letting service, we’re here to help with our landlord services – tailored to meet your needs.
