Want to know if a rental property stacks up financially? Whether you’re eyeing up a buy-to-let or comparing multiple options, our Rental Yield Calculator gives you a quick snapshot of the property’s return.
Just plug in the purchase price and monthly rental income, and we’ll show you the gross rental yield — one of the key measures used by lenders and investors alike.
Calculate your buy-to-let property return and compare investment opportunities
Amount | Calculation | |
---|---|---|
Purchase Price | £150,000 | Investment amount |
Monthly Rent | £1,000 | Per month income |
Annual Rent | £12,000 | Monthly rent × 12 |
Gross Yield | 8.0% | Annual rent ÷ Purchase price |
Rental yield shows how much income your property generates as a percentage of its value. It helps you compare properties and understand whether a deal is financially worthwhile.
Formula:
(Monthly Rent x 12) ÷ Purchase Price × 100 = Gross Yield %
Just enter:
You’ll get:
Tip: Want to factor in expenses like mortgage costs or maintenance? Ask us for a net yield version or full investment ROI calculator.
Purchase price: £150,000
Rent: £1,000/month
Annual income: £12,000
Gross yield: 8.0%
Purchase price: £325,000
Rent: £1,100/month
Gross yield: 4.06%
A: It depends on your goals. In general, 5%+ is strong in the South, while 7–10% is common in Northern cities and HMOs. But yield alone doesn’t tell the full story — always factor in demand, voids, and resale potential.
A: This calculator shows gross yield, before expenses like mortgage, management, and maintenance. Net yield requires a more detailed calculator (ask us if you’d like one).
A: Yes — just use the total monthly rent across all rooms or bookings. Want help finding a lender who supports high-yield properties? We can help.
A: They use rental income vs loan size, stress-tested at a specific rate — but high yields can certainly help meet lender affordability.
A: Absolutely. Use the calculator side-by-side with your property shortlist to compare yield and narrow down your best options.
Use our free Rental Yield Calculator to test the numbers — then speak to Mortgage Knight to access specialist lenders, stress-tested borrowing, and funding that works for your portfolio.
We don’t just run the numbers — we help you make them work.