How do you calculate your net rental yield return?

percentage wrapped

A simple example:

Purchase Price: $300,000
Weekly Rent: $300 X 50 weeks
(Allow for a vacancy factor)
Gross Total Rent: $15,000
Less Expenses: $ 5,000

(E.g. Maintenance, insurance, management fees, cleaning, interest costs, depreciation)
Net Rent: $10,000
$10,000 / $300,000 X 100
Net rental yield return = 3.3%

For a detailed more accurate return on your property that takes all expenses and depreciation into consideration, we recommend that you speak with your accountant or financial advisors. ■