Rental Yield Calculator

Enter a property's price, annual rent and running costs to work out its gross and net rental yield. Every step of the calculation is shown under the result.

Your property

The figures filled in are an example. Replace them with your own.

AED
AED / year
% of the year
Annual service charge
AED / sq ft
sq ft
AED / year

Maintenance, management, insurance, etc.

AED

e.g. DLD fee; added to the price for net yield

Your yield

Gross yield

6.00%

Net yield

4.70%

Gross yield = annual rent ÷ price × 100 = AED 90,000 ÷ AED 1,500,000 × 100 = 6.00%

Rent collected = annual rent × (1 − vacancy) = AED 90,000 × (1 − 5%) = AED 85,500

Net income = rent collected − service charge − other costs = AED 85,500 − AED 12,000 − AED 3,000 = AED 70,500

Net yield = net income ÷ (price + purchase costs) × 100 = AED 70,500 ÷ AED 1,500,000 × 100 = 4.70%

Comparing rental properties?

Tell us what you are looking at and an advisor will send you the rent and service charge figures to plug in.

How we calculate

  • Gross yield = annual rent ÷ purchase price × 100.
  • Rent collected = annual rent × (1 − vacancy %).
  • Service charge = rate (AED per sq ft) × size (sq ft), or the yearly total you enter.
  • Net income = rent collected − service charge − other annual costs.
  • Net yield = net income ÷ (purchase price + one-off purchase costs) × 100.

Mortgage interest is not included, so both figures are yields on the full property value. Rent, service charges and costs change over time; use current figures for the specific unit.

Frequently Asked Questions

Gross yield is the annual rent as a percentage of the purchase price, before any costs. Net yield takes off vacancy, the service charge and other running costs, and divides by the price plus any one-off purchase costs you enter.

Vacancy reduces the rent you collect: rent collected = annual rent × (1 − vacancy %). For example, 5% vacancy on AED 100,000 of rent leaves AED 95,000. Gross yield uses the full rent.

Service charges for a unit are usually quoted as a rate in AED per square foot per year, so the calculator multiplies that rate by the unit's size. If you already know the yearly total, choose "Total per year" and enter it instead.

Including them shows the return on all the money you put in, not just the price. Enter one-off costs such as the DLD registration fee in "One-off purchase costs" and they are added to the price for net yield. Leave the field at 0 to measure net yield on the price alone.

No. It does not subtract mortgage interest, so the yields are on the full property value. Use the mortgage section of the off-plan payment plan calculator to estimate repayments.