Rental Yield Calculator
Last Updated: 8 April 2026
Rental Yield Calculator
Calculate annual returns on your property investment
What is Mastering Real Estate Yields?
Rental yield is the measure of the return on investment (ROI) you get from a property through the rent it earns. For Indian investors, this is the most critical metric alongside appreciation to determine if a city or locality is worth the high property prices found in metros like Mumbai, Bangalore, or Delhi.
📊 Practical Example
"If you buy a flat in Pune for ₹80 Lakhs and it earns ₹25,000 monthly rent, your gross yield is 3.75%. After paying property tax and society maintenance of ₹30,000 yearly, your net yield drops to 3.37%."
⚠️ Common Mistake
Ignoring the 'Vacancy' factor. A property is rarely rented 12 months a year for 10 years straight. When calculating yield for serious investment, always assume a 1-month vacancy per year to be safe.
How it Works & Benefits
Dual Yield Analysis
Compare gross and net returns to understand the hidden costs of ownership.
Expense Tracking
Account for maintenance and taxes to see your true take-home rent.
Investment Grading
Instantly see if your property is a high-yield asset or a low-performing one.
Frequently Asked Questions
Common queries answered for you
In India, residential rental yields are typically low, ranging from 2% to 4%. Commercial properties offer higher yields of 7% to 9%. A yield above 4% for a residential home is considered excellent.
Gross Yield is calculated before any expenses. Net Yield subtracts costs like property tax, maintenance, and insurance, giving a more realistic picture of your actual profit.
No. Rental yield only measures the cash flow from rent. Real estate returns are a combination of rental yield and capital appreciation (increase in property value).