All Topics / Heads Up! / What to include in “Rental Yield” ?

Viewing 2 posts - 1 through 2 (of 2 total)
  • Profile photo of michartemicharte
    Member
    @micharte
    Join Date: 2004
    Post Count: 2
    May 18, 2005 - 4:36 am

    This is new to me so forgive any mistakes.
    When working out “Rental Yield”, for rental income should I deduct agents fees, building insurance or rates (Essential or compulsory costs)
    And on the other side of the equation do you use the “Sale Price” or the total buying cost which includes stamp duty and legals? Is there a Standard for the equation that everyone works to?
    Thanks in anticipation. Michael

    Profile photo of Investment DetectiveInvestment Detective
    Member
    @investment-detective
    Join Date: 2004
    Post Count: 105
    May 23, 2005 - 12:58 pm

    Hi Michael

    To calculate rental yield you need to use the raw purchase price and rent figures.

    Regards

    Philip Batey
    JATPAC Designs

    Author of Investment Detective

Viewing 2 posts - 1 through 2 (of 2 total)

You must be logged in to reply to this topic. If you don't have an account, you can register here.