Work out the gross yield, net yield and cap rate on any rental property in seconds. Just enter the purchase price, monthly rent and running costs.
Net yield (cap rate) = annual net operating income ÷ property price. Gross yield ignores expenses. Figures exclude mortgage costs — use the cash flow calculator for that.
Gross yield = (annual rent ÷ property price) × 100. Net yield, also called the capitalization rate (cap rate), = (annual rent − annual expenses) ÷ property price × 100. Cap rate is the figure investors use to compare properties because it reflects real running costs.
It varies by market, but many investors target a net yield (cap rate) of 5–8%. High-growth cities often have lower yields with more capital appreciation.
No — yield and cap rate measure the property's return independent of financing. To see your actual monthly profit after the loan, use the cash flow calculator.
Gross yield uses rent only. Net yield subtracts running costs (insurance, management, maintenance, taxes) before dividing by the price.
RentFlow records rent, expenses and occupancy per property and shows your live yield and cash flow. Free to start.
Get RentFlow — App StoreMore calculators: Rental Cash Flow Calculator · Rent Increase Calculator & Legality Checker · Prorated Rent Calculator · Late Rent Fee Calculator · Mortgage Payment Calculator · Cash-on-Cash Return Calculator · 1% Rule Calculator · Security Deposit Calculator · Gross Rent Multiplier (GRM) Calculator · Net Operating Income (NOI) Calculator · Rent-to-Income Ratio Calculator · Vacancy Rate Calculator · Operating Expense Ratio (OER) Calculator
→ All calculators · Rent increase laws · Landlord guides