Investor tool
Rental Yield Calculator
Work out the gross and net yield of a Phuket condo or villa from its price, rent, vacancy and running costs. Every field can be changed; nothing is stored.
Gross yield is the annual rent divided by the purchase price. Net yield subtracts management, common fees, maintenance, insurance and tax from the rent, and divides by everything you paid — price, buyer’s transfer costs and furnishing. Net is the figure to compare with other investments.
Your yield
7.7 %
Gross yield
5.6 %
Net yield
- Rent per year
- ฿770,000
- Running costs per year
- − ฿177,000
- Net income per year
- ฿593,000
- Total invested
- ฿10,600,000
- Payback
- 17.9 years
Before income tax and before any mortgage. Example figures only — rents and costs vary by building, area and season. Check the rent you assume against comparable listings.
Gross or net yield: which one to compare
Developers and sellers usually quote gross yield, sometimes on the best months of the year. It ignores vacancy and every running cost, so two properties with the same gross yield can earn very different amounts. Net yield is closer to what reaches your account: it is the figure to compare with a deposit, a bond or a property at home.
A guaranteed rental return offered by a developer is a separate thing: it is a contract, often priced into the sale price, and only as safe as the company behind it. Our guide to buying off-plan explains what to check.
What moves the result most
Vacancy first: two empty months cut the rent by a sixth. Then the letting model — a licensed holiday let earns more per month when occupied but costs more in management, cleaning and wear, and in Thailand renting for less than 30 days requires a hotel licence or an exemption. Then the running costs of the building: common-area fees in a resort condo, or a pool, garden and maintenance budget for a villa.
The price you pay matters as much as the rent. A cheaper unit in a building with a full foreign quota, a leasehold villa or a resale below the developer’s list price can all change the yield more than a few thousand baht of rent.
Taxes not included
The calculator stops before income tax. Rental income from a Thai property is taxable in Thailand, and may also be taxable where you are resident; withholding rules differ for individual and company landlords. Ask a tax adviser for your situation.