Gross and net rental yield after running costs.
Net yield
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Gross yield
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Net annual income
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Your breakdown
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Gross yield flatters, net yield tells the truth
Yield is the rent expressed as a percentage of what the property cost. Gross yield ignores every running cost, which is why agents quote it. Net yield subtracts the costs you actually carry as a landlord before dividing by the price, and it is the only figure worth comparing two properties on. This tool reports both, but treat the gross number as a headline and the net number as the decision.
One thing to be clear about: this is a yield calculator, not a tax calculator. It deliberately stops before income tax and before mortgage interest, because yield is meant to measure the property itself, not your personal finances. Two investors buying the same flat get the same net yield here even if one pays cash and the other is on the 40 percent tax rate.
Running the numbers on a 320,000 euro flat
Picture a two-bed apartment bought for 320,000 euro and let for 1,800 euro a month, so 21,600 euro a year. Annual costs come to 3,200 euro: the management company service charge, block insurance, Local Property Tax, and a maintenance float. The calculator divides each figure by the purchase price.
The gap between the two bars below is the cost drag. A full percentage point of yield disappears into service charges and upkeep before you have paid a cent of tax or a euro of mortgage interest.
What counts as a strong yield in Ireland right now
City-centre Dublin apartments often trade on gross yields around 5 to 6 percent because prices are high relative to rent. Commuter towns and parts of Cork, Limerick, and Galway can push gross yields toward 7 or 8 percent. A net yield above 5 percent is healthy in the current market. Below 4 percent and you are leaning heavily on capital growth rather than income, which is a different and riskier bet.
A practical tip: be honest about the maintenance line. New investors routinely set it to zero and report a net yield that never survives contact with a broken boiler or a void month between tenants. Budget at least one month of rent a year for repairs and vacancy, and the net figure you see here will hold up in real life.
Questions buyers ask
Should I use the purchase price or the current market value?
Use whichever question you are trying to answer. The purchase price tells you the return on the money you committed. The current market value tells you the return a buyer would get today, which matters when you are deciding whether to keep holding or sell and redeploy the equity elsewhere.
Why is my net yield so much lower once I add the mortgage?
This tool measures the property, so it stops before financing. Once you layer a mortgage on top, the interest comes out of the 18,400 euro net income, and your return on the cash you personally invested can look very different. For the leveraged picture, run the rental profit through the income tax tool as well.
How do I compare two properties with different prices and rents?
Net yield is exactly the tool for that job, because it puts both on the same percentage footing regardless of price. A 250,000 euro house renting at 1,400 euro a month and a 400,000 euro apartment renting at 2,000 euro can look similar on monthly rent, yet their net yields tell you which one works your capital harder. Run each through the calculator, use the same honest cost assumptions for both, and let the net yield rank them. Just remember that yield is only half the story: a lower-yield property in a strong area may still win on long-term capital growth, so weigh the income figure against your view on where prices are heading.