Understanding Rental Yield

Rental Yield = (Annual Rental Income / Property Price) × 100. Gross yield ignores expenses. Net yield = (Annual Rental Income - Expenses) / Property Price × 100. Good residential rental yield in India: 3-5% gross, 2-4% net depending on city and expenses.

Calculate Yield

Property Price (₹)₹50,00,000
Monthly Rent (₹)₹20,000
Annual Expenses (₹)₹50,000

Results

Annual Rent
₹2,40,000
Gross Yield
4.8%
Net Yield
3.8%
Annual Profit
₹1,90,000