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Free Rental Yield Calculator
Gross and net yield in real time. No sign-up, no email, no subscription.
In short
This calculator estimates your gross and net rental yield: the gross yield relates the annual rent to the total purchase price (fees and works included); the net yield subtracts operating charges (property tax, condo fees, insurance, management). It is a first profitability gauge, before tax and financing.
Gross yield
4.80%
€9,600 in rent / year
Net yield (before tax)
3.80%
€7,600 net / year
💡 Costs to include: property tax, service charges, landlord insurance (PNO), management fees, rent guarantee (GLI), maintenance. For the after-tax net-net yield (and a comparison of all applicable tax regimes), use the full simulator →
What is rental yield?
Rental yield is the fundamental indicator for any property investment: it measures the ratio between rent received and capital invested. Expressed as a percentage, it allows quick comparison between properties or assessment of whether an opportunity is attractive relative to the local market.
There are three levels: gross yield (gross rent / total purchase price), net yield (after all landlord costs) and net-net yield, which factors in tax. The last one varies widely with the tax regime chosen — 0.5 to 1.5 percentage points between micro-foncier and LMNP réel for the same property.
Gross rental yield formula
// Gross yield
Gross yield (%) = (Monthly rent × 12) ÷ Total purchase price × 100
Example: Property bought for €200,000, rent €800/month → (800 × 12) ÷ 200,000 × 100 = 4.80% gross. The total purchase price includes notary fees (~7.5% on existing property, ~2.5% on new-build) and agency fees. Do not leave them out — they weigh directly on the yield.
Net rental yield formula
// Net yield (before tax)
Net yield (%) = (Annual rent − Annual charges) ÷ Total purchase price × 100
Charges = property tax + service charges + landlord insurance + management + rent guarantee + maintenance + re-letting
Example: Same property at €200,000, rent €9,600/year, charges €2,000/year → (9,600 − 2,000) ÷ 200,000 × 100 = 3.80% net. This is the figure that matters to assess real profitability before tax. Rule of thumb: charges often represent 20 to 30% of gross rent.
Reference table by city
Indicative gross yield ranges — 2024/2025 market data.
| City | Gross yield | Market profile |
|---|---|---|
| Paris | 3–4 % | Patrimonial — valorisation long terme |
| Lyon | 4–5 % | Métropole établie — demande soutenue |
| Bordeaux | 4–5 % | Métropole établie — marché tendu |
| Lille | 5–7 % | Fort rendement — demande étudiante élevée |
| Rennes | 5–6 % | Dynamique — bon équilibre risque/rendement |
Indicative sources: DVF data.gouv.fr + local rent observatories. Acquisition costs and real charges vary by property.
FAQ — Rental yield
What is a good rental yield?
A gross yield of 5–7% is generally considered sound. Below 4%, the property is 'patrimonial' — the focus is long-term appreciation, not immediate cash flow. Above 8%, be cautious: the risk (vacancy, works, location) is often higher. Net yield (after all charges) is the real indicator: aim for 3–5% depending on city.
What is the difference between gross, net and net-net yield?
Gross = gross rent / purchase price. Net = (rent − owner charges) / purchase price. Net-net = (rent − charges − tax) / purchase price. Only net-net reflects what really stays in your pocket — and it depends heavily on the tax regime (micro-foncier, LMNP réel, SCI IS…). A gap of 1–2 points between net and net-net is common.
What charges should be included in the net yield calculation?
Property tax, service charges (non-recoverable from tenant), landlord insurance (PNO), property management fees (~7%), rent guarantee insurance (GLI ~2.5%), re-letting costs, routine maintenance. Don't forget vacancy: about 5% for long-term rental, 15–25% for seasonal.
What is the difference between rental yield and IRR?
Rental yield measures a static annual ratio: rent / price. IRR (Internal Rate of Return) integrates cash flows over time — annual net cash flows, mortgage repayment, leverage effect and estimated resale proceeds. It is the most complete measure for comparing property investment with a PEA, SCPI or savings account.
If your property is a furnished rental (LMNP), also use our free LMNP simulator to model building depreciation and compare micro-BIC with the actual-expenses regime for your situation.
Go further: simulate tax, IRR and cash flow
Gross and net yield is just the starting point. RentValo compares all applicable tax regimes, calculates your IRR on deposit, monthly cash flow and projects the investment over 20 years.
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Indicative analysis tool — does not constitute investment advice under French AMF regulation. Consult a qualified accountant for your personal situation.