What is a good rental yield in Sydney?

In Sydney, a gross rental yield of 3-4% is typical for established suburbs, while 4-6% is considered good. Net yield (after expenses) is usually 1-2% lower than gross yield.

What is the difference between gross and net yield?

Gross yield is calculated as annual rent divided by property value. Net yield subtracts all expenses (council rates, insurance, strata, maintenance, management fees) from the annual rent before dividing by property value.

What is cash-on-cash return?

Cash-on-cash return measures the annual pre-tax cash flow relative to the total cash invested (deposit plus purchase costs like stamp duty). It shows the actual return on your out-of-pocket investment.

Property Yield Calculator

Calculate gross yield, net yield, and cash-on-cash return for your investment property

Property Details

Property Value

Current market value or purchase price

Deposit / Cash Invested

Your cash contribution (typically 20%)

Rental Income

Weekly Rent

Expected weekly rental income

Vacancy Weeks (per year)

Average vacancy between tenants

Annual Expenses

Council Rates (annual)

Typically $1,500 - $3,000/year

Insurance (annual)

Landlord insurance: $800 - $2,000/year

Strata Fees (annual)

$0 for houses, $2,000 - $6,000+ for units

Maintenance (annual)

Rule of thumb: 1% of property value

Property Management

Management Fee (%)

Est. $2,275/year based on rental income

Gross Yield

4.23%

Net Yield

2.78%

After all expenses

Cash-on-Cash

11.58%

Return on your cash

Annual Cash Flow

$22,225

$1,852/month • $427/week

Income vs Expenses

Net Income68%

Total Expenses32%

$22,225

$10,275

Yield Benchmark

Bank Term Deposit~4.5%

Your Net Yield2.78%

Your Cash-on-Cash11.58%

Annual Summary

Gross Annual Rent$33,800

Less Vacancy (2 weeks)-$1,300

Effective Rental Income$32,500

Council Rates-$1,800

Insurance-$1,200

Strata Fees-$3,000

Maintenance-$2,000

Management (7%)-$2,275

Net Annual Cash Flow$22,225

Cash Invested

Deposit$160,000

Est. Stamp Duty (~4%)$32,000

Total Cash Invested$192,000

This calculator provides estimates only. It doesn't include mortgage interest, tax implications, or capital growth. Consult a financial advisor for comprehensive investment analysis.

Looking for High-Yield Investment Properties?

Let me help you find investment properties in Sydney's St George area with strong rental returns and growth potential.

Discuss Investment Options