See Gross yield and Net yield. When agents quote 'yield' they almost always mean gross. Always ask: 'Is that gross or net, and what assumptions have you used for voids and costs?'
Investment term
Yield
Annual rental return expressed as a percentage of property value.
Related investment terms
More from this category
BTL
Buying residential property to rent to tenants.
Cash-on-cash return
Annual net cashflow as a percentage of the total cash you invested.
Gross yield
Annual rent as a percentage of property price, ignores costs.
HMO
A single house let to 3+ unrelated tenants sharing facilities.
NHBC
The UK's leading new-home 10-year warranty provider.
Off-plan
Buying a property before it's built.
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