Rental property return calculator
Price, rent, costs and loan: see if the rent covers the loan payment. Tax is optional.
Result
833.33Cash flow per month
- Gross yield
- 6%
- Net yield after costs
- 5%
- Loan payment
- 0.00
- Cash flow per year
- 10,000.00
- Return on your cash
- 5%
Inputs
- Purchase price
- 200000
- Buying costs
- 0
- Rent per month
- 1000
- Time with no tenant
- 0
- Costs per year
- 2000
- Amount borrowed (optional)
- 0
- Tax on rental income (optional)
- 0
How it is calculated
Gross yield = rent × 12 ÷ price.
Result
Cash flow per month
- Gross yield
- 6%
- Net yield after costs
- 5%
- Loan payment
- 0.00
How it is calculated
- Gross yield = rent × 12 ÷ price.
- Rent received = rent × 12 × (1 − vacancy); net yield = (rent received − costs) ÷ (price + buying costs).
- Cash flow = rent received − costs − loan payments × 12.
- Tax (optional) = rate × (rent received − costs − year-1 interest).
Example
Price 200,000, rent 1,000, costs 2,000 a year, no loan: 6% gross yield, 5% net, cash flow 10,000 a year.
Good to know
- Fixed rent and costs, no surprise repairs.
- Real tax depends on the country and the regime you choose: the tax here is only a guess.
Frequently asked questions
What is this tool used for?
Price, rent, costs and loan: see if the rent covers the loan payment. Tax is optional.
How is the result calculated?
Gross yield = rent × 12 ÷ price.
What should I check before using the result?
Fixed rent and costs, no surprise repairs.