How profitable is your property? The rental yield explained simply

Note: The following article is for general guidance only. For binding advice, we strongly recommend that you consult an expert. We will be happy to put you in touch with the right experts in our region.

What is the rental yield?

When buying a property as an investment, sooner or later the crucial question arises: How profitable is my investment? The answer is provided by the rental yield - one of the most important key figures for property investors.

The rental yield shows you how much profit you can realise in relation to the capital invested. A distinction is made between two variants:

  • Gross rental yield: Only takes into account the annual rental income in relation to the purchase price.

  • Net rental yield: Also takes into account all costs incurred, such as land transfer tax, notary fees, estate agent's commission and ongoing expenses.

The rental yield provides you with a reliable basis for decision-making. The Gross return enables a quick assessment, while the Net return provides a realistic picture, as it also takes all costs into account. This allows you to better assess whether a property is profitable in the long term.

This is how our rental trend calculator works.

Our calculator is simple, effective and provides you with the key figures in just a few steps. You will receive a comprehensive overview of the profitability of your investment in no time at all.

  1. Enter your data: Enter the monthly basic rent, the purchase price, the land transfer tax, the notary fees, the estate agent's commission and the annual running costs.

  2. Calculation of the return: The calculator automatically determines the gross and net rental yield as well as the total purchase costs.

  3. Results: Get a detailed result immediately and see how profitable your property is.

Further information on capital investments

If you would like to delve deeper into the topic of capital investments, you will find exciting and helpful content here. Click on the relevant topic and delve deeper into the world of investments!

  • The property as a capital investment: Basic knowledge for beginners and important tips for experienced investors.  " more
  • Which investment is right for me? Find out how you can develop the right strategy based on your individual goals and opportunities. " more
  • What strategies are there for investors? From the buy-and-hold approach to short-term investments - discover the best strategies.
  • Risks and challenges of property as an investmentA realistic assessment of potential hurdles and how to overcome them. " more
  • Holiday properties as a capital investmentWhy holiday flats offer an attractive yield opportunity and what you should look out for. " more

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