Rental yield calculator (UK)
See the gross and net rental yield on a property from its price, rent and running costs.
Management fees, insurance, maintenance, ground rent, service charge and similar. Leave 0 for gross yield only.
- Gross rental yield
- 5.70%
- Net rental yield (after costs and voids)
- 4.28%
- Annual rent
- £11,400
- Annual profit before mortgage and tax
- £8,562
Mortgage interest, tax and purchase costs are not included.
How rental yield is calculated
Gross rental yield is the annual rent divided by the property price, as a percentage. A £200,000 property let at £950 a month earns £11,400 a year, which is a gross yield of 5.7%.
Net yield takes off the costs of owning and letting the property, such as management fees, insurance, repairs and empty periods, before dividing by the price. It is a better guide to what the property really earns.
What is not included
This calculator does not include mortgage interest, income tax or the one-off costs of buying, such as Stamp Duty and legal fees. Add those in your own investment appraisal.
To check what rent a property can achieve, use the rental value calculator before you work out the yield.
Frequently asked questions
What is a good rental yield in the UK?
It depends on the area and strategy. Cheaper northern cities often show higher gross yields than London, where prices are high relative to rents. Compare yields with the risks and costs, not on their own.
What is the difference between gross and net yield?
Gross yield uses the full rent and the purchase price only. Net yield deducts running costs and empty periods first, so it is always lower.
How do I find the right rent to use?
Use the rental value calculator or compare similar properties on listing portals. Using a rent that is too optimistic is the most common reason yields disappoint.
Do void periods matter?
Yes. Two empty weeks a year cuts annual rent by about 4%. Enter your realistic void allowance in the calculator.
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Figures are indicative averages for 2026/27, rounded for planning, and are for information only. They are not financial, legal or housing advice. See our methodology for how the figures are produced. Last reviewed October 2026.