Rental Yield & ROI Calculator
See what a property really earns: gross and net rental yield, how many years the rent takes to pay for it, and the total return with price growth — compared with a bank deposit.
2 Crore
80 Thousand
Rental yield, after costs
3.9% a year
The rent brings in Rs 820,000 a year after costs and empty months — the property would pay for itself in 25 years from rent alone.
The rent is low for the price. Homes in Pakistan usually rent for 3–6% of their price a year (before costs: 4.8% here).
After 5 years
What you gain on Rs 2.08 Crore, against keeping it in a bank.
- Rent, after costs Rs 50.72 Lakh
- Price rise Rs 85.87 Lakh
- Bank profit Rs 1.27 Crore
The property earns Rs 9.6 Lakh more than a bank deposit.
Questions people ask
What is a good rental yield in Pakistan?
Homes usually rent for about 3–6% of their price a year. Commercial property — shops and offices — often earns 6–9%. Below 3% the price is high for the rent, and the return depends on price growth.
What is the difference between gross and net yield?
Gross yield is a year's rent divided by the price. Net yield takes off the months it stands empty and the yearly costs, and divides by everything you spent buying it, including transfer costs and taxes.
Should I count price growth?
Price growth can be most of the return, but it is not certain and only counts when you sell. Try a lower growth rate to see how much the deal depends on it.