Rental Yield Calculator
Estimate the gross and net return on your investment property.
Rates, levies, insurance, maintenance, etc.
Estimated percentage of time the property is empty.
Investment Performance
Understanding Rental Yield
What's the difference between Gross and Net Yield?
Gross Yield is the annual rent as a percentage of the property price, ignoring all expenses. Net Yield is more realistic; it subtracts operating costs like levies, rates, insurance, and vacancy loss from the rent before calculating the percentage.
What is a good rental yield in South Africa?
A 'good' yield is subjective and depends on the area, property type, and your investment goals. Generally, many investors in major metro areas aim for a net yield between 5% and 8%. High-demand areas might have lower yields but better capital growth potential.
Which operating costs should I include?
You should include all non-financing costs required to run the property. This includes municipal rates and taxes, body corporate levies (for sectional title), building insurance, and an estimate for routine maintenance (e.g., 1% of the property value per year).
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- Official Amortization Schedule
- Tax Certificate Format