Calculator
Rental Yield Calculator
Work out the gross and net rental yield on a buy-to-let property. Enter the purchase price, expected monthly rent and your annual running costs to see your return at a glance.
Running costs include management fees, insurance, maintenance and void periods (exclude mortgage interest).
Gross yield
6.6%
£13,200 annual rent
Net yield
5.3%
After running costs
A gross yield of 5%+ is generally considered strong in the UK, though this varies by region.
Frequently asked questions
What is rental yield?
Rental yield measures the annual rental income as a percentage of the property value. Gross yield is annual rent divided by price. Net yield subtracts running costs (but not mortgage interest) before dividing by price, giving a more realistic return.
What is a good rental yield in the UK?
A gross yield of 5% or more is generally considered strong, though this varies widely. Northern cities such as Liverpool, Newcastle and parts of Manchester often deliver higher yields than London and the South East, where higher prices compress yields.
Should I include mortgage costs?
Net yield in this calculator excludes mortgage interest so you can compare properties on a like-for-like basis. To assess cash flow after finance, deduct your mortgage interest separately from the net rental income.
For general guidance only, not financial advice. Figures are estimates. Verify with a qualified adviser or GOV.UK.