How to calculate rental yield

Hey there, ever wondered how to calculate the yearly rental yield on a property? It’s easier than you think! Let me break it down for you. 🏡💰

Say you’ve bought an investment property in QLD for $650k and it fetches $650 per week in rent. Here’s what you do:

: “Step 1: Multiply Weekly Rent by 52 Weeks”

Weeks”

Multiply the weekly rental return ($650) by 52 weeks in a year. That gives you the total annual rental income.

“$650 x 52 = $33,800

“Step 2: Divide Weekly Rent by Purchase Price”

Now, divide the weekly rent by the purchase price of the property.

Text: “$33,800 ÷ $650,000 = 0.052”

Step 3: Convert to Percentage”

Multiply the result by 100% to get your annual rental yield percentage.

Text: “0.052 x 100% = 5.2%”

And there you have it – a simple way to calculate your annual rental yield! Have any questions? Drop them in the comments below! #PropertyInvesting #RentalYield