Investment Property Calculator
Investment Property Calculator: Yield and Cash Flow
Enter the price, rent, loan and costs to estimate the property’s rental yield and how much it may cost or return you each week before tax.
Your investment
Use your own figures. Management fee and vacant weeks start at assumptions you can change.
Enter the price and weekly rent to see the yield. Add the loan and your rate to see cash flow.
Results are estimates only, based on the figures you enter, and are before tax. They aren’t a quote, an approval, a loan offer or tax or financial advice, and they don’t consider your objectives, financial situation or needs. Any rate should be compared using its comparison rate. Rates are subject to change and lending criteria apply.
Reading the result
Yield, cash flow and the loan.
Gross yield
Yearly rent ÷ price × 100. A quick way to compare properties, but it ignores costs.
Net yield
Rent after vacancy, management and running costs, ÷ price × 100. Closer to the real return.
Cash flow before tax
What’s left after costs and loan repayments. Some investment properties cost their owners money each week before tax. Lenders will check you can cover that from your income.
Structuring the loan
Keeping investment borrowing separate from your home loan, and each property on its own security, can keep things clear and flexible. If you’re using equity for the deposit, try the equity calculator.
Questions
Common questions, straight answers.
What’s the difference between gross and net yield?
Gross yield is the yearly rent as a percentage of the price. Net yield takes off running costs such as management, rates, strata, insurance and maintenance, and allows for vacant weeks, so it’s a truer picture of the return.
Does the result include tax?
No. Results are before tax. Deductions, depreciation and negative gearing depend on your circumstances, so speak to a registered tax agent about the tax side.
Interest-only or principal and interest for an investment loan?
Interest-only repayments are lower for a set period, which helps cash flow, but the loan doesn’t reduce and rates can be higher. Which suits depends on your plans and your other debts. We can compare both across lenders on our panel.
Planning your next investment?
No obligation. No pressure. Just honest answers.
We don’t charge you for our service. Lenders pay us a commission if you go ahead with a loan.