Calculate your buy-to-let return
Rental Yield Calculator UK
Calculate the gross and net rental yield on any UK buy-to-let property. Enter the property value, monthly rent, and annual costs to see your actual return.
Enter your details
≈ £299/week · £15,552/year
Rates, insurance, maintenance, property management
% of year property sits vacant
Used for cash-on-cash return (leave 0 to skip)
Gross rental yield
5.46%
Before expenses & vacancy
Net rental yield
3.96%
After expenses, before tax
Annual rent income
£15,552
After vacancy
Annual expenses
£4,275
Net annual income
£11,277
How does your yield compare?
Rent breakdown
Per week
£299
Per month
£1,296
Per year
£15,552
How this calculator works
UK buy-to-let rental yields have come under pressure from rising property prices and tax changes since 2015. The reduction of mortgage interest tax relief (Section 24) means many landlords now pay tax on turnover rather than profit, significantly affecting after-tax returns.
Gross yield remains a useful quick comparison tool. UK residential property typically yields 4–7% gross, with higher yields available in northern cities (Manchester, Leeds, Sheffield, Liverpool) and lower yields in London and the South East.
Net yield subtracts all costs: mortgage interest (no longer fully deductible), letting agent fees (10–15% of rent), maintenance, buildings insurance, landlord insurance, ground rent and service charges (for leasehold), and void periods. For many landlords, net yield after tax can be 2–4% in high-value markets.
Consider also stamp duty surcharge (an additional 3% for second properties in England), which increases your effective purchase cost and reduces your yield unless the property appreciates.
Worked example
- 1Annual gross rent: £1,100 × 12 = £13,200
- 2Effective rent (5% vacancy): £13,200 × 0.95 = £12,540
- 3Gross yield: £12,540 / £250,000 × 100 = 5.02%
- 4Net income: £12,540 - £5,500 = £7,040
- 5Net yield: £7,040 / £250,000 × 100 = 2.82%
Frequently Asked Questions
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Try calculatorDisclaimer: Calculations are estimates for general guidance only and do not constitute regulated financial advice. Rates and costs vary by lender and property location. Stamp Duty Land Tax figures use England rates — Scotland (LBTT) and Wales (LTT) differ. Always consult an FCA-authorised mortgage adviser.