Rental Yield Calculator
Calculate gross and net rental yield on your Australian investment property.
| Net Rental Yield | — |
| Annual Rental Income | — |
| Net Annual Income | — |
| Weekly Return | — |
Understanding Rental Yield
Rental yield is the annual return you receive from a property as a percentage of its value. It's one of the most important metrics for evaluating an investment property — alongside capital growth potential and cash flow.
Gross Rental Yield
The simplest measure: (Annual Rent ÷ Property Value) × 100. It tells you the raw income return without accounting for any costs. Useful for quickly comparing properties but doesn't reflect actual profitability.
Net Rental Yield
A more realistic measure: ((Annual Rent − Annual Expenses) ÷ Property Value) × 100. Expenses typically include:
- Property management fees: 7–10% of gross rent
- Council rates: $1,000–$2,500/year
- Water rates: $800–$1,500/year
- Landlord insurance: $1,200–$2,000/year
- Maintenance and repairs: 1% of property value/year (rule of thumb)
- Strata/body corporate levies (for units): varies widely
A worked example
A $700,000 property renting at $600 a week collects $31,200 a year — a gross yield of 4.46%. Take $5,000 of annual expenses out and the net figure is $26,200, or 3.74%. The gap between the two is the number agents rarely quote.
What's a Good Yield in Australia?
Rental yields vary significantly by location and property type:
- Sydney/Melbourne: 2.5–3.5% gross (expensive markets, lower yields)
- Brisbane/Adelaide/Perth: 4–5.5% gross
- Regional areas: 5–8% gross (higher yields, lower capital growth)
- Units vs houses: Units generally yield 0.5–1% more than houses