Annual rent ÷ purchase price × 100A fast comparison before vacancy and operating expenses. It should not be treated as the investor's actual return.
Dubai property investment tool
Compare Dubai rental yield beyond the headline percentage.
Enter two property scenarios and compare gross yield, net income and net yield after vacancy, service charges, maintenance, management fees and acquisition costs.
Side-by-side calculator
Test two Dubai property scenarios.
Use annual figures in AED. The calculator runs entirely in your browser, and the values you enter are not sent or stored.
Scenario A
Property oneAcquisition costs are user-entered so the comparison can reflect the actual transaction, financing and furnishing assumptions.
Scenario B
Property twoChange the assumptions to match the exact unit, building, service-charge statement and expected tenancy.
Comparison results
Enter two scenarios to compare their net yield on total cost.
Measure
Scenario A
Scenario B
Gross rental yield
Net yield on property price
Net yield on total acquisition cost
Estimated annual net income
Estimated monthly net income
Vacancy and annual operating costs
Income absorbed by vacancy and costs
Illustrative calculation only. Results depend entirely on the figures entered and exclude financing, tax, capital appreciation, resale costs and changes in rent or occupancy. This is not investment, valuation, mortgage, legal or tax advice.
Direct answer
How should a Dubai rental yield be calculated?
Gross yield is annual rent divided by the property price. Net yield should first reduce the rent for vacancy and deduct service charges, maintenance and management. For a more conservative comparison, divide the net income by the total capital committed, including acquisition costs, instead of using the advertised property price alone.
- Use achievable annual rent, not the highest listing.
- Check the current building service-charge statement.
- Allow for vacancy, repairs and management.
- Compare the same cost categories for every property.
The formulas
Gross yield is quick. Net yield is more useful.
A high headline yield can narrow sharply when a property has high service charges, recurring maintenance or unreliable occupancy.
Net annual income ÷ purchase price × 100Net annual income is effective rent after vacancy, service charges, maintenance and management costs.
Net annual income ÷ (price + acquisition costs) × 100This tests the income against more of the capital committed at purchase and can change which property appears stronger.
Before trusting the result
Use property-level evidence for every input.
The calculator makes assumptions visible, but the quality of the result still depends on the quality of the evidence entered.
Compare registered or recent building-level rents for the same unit type, size, condition and furnishing level. Asking rent can overstate achievable income.
Use the latest statement for the building or community. Similar purchase prices can produce very different net yields when annual charges differ.
Allow for tenant changeover, leasing time, management, repairs and periods when income may not be collected. Zero-cost assumptions rarely survive ownership.
Dubai rental yield questions
Questions investors should ask about rental yield
How do you calculate gross rental yield in Dubai?
Divide annual rent by the property purchase price and multiply by 100. For example, AED 100,000 rent divided by an AED 2 million property produces a 5% gross yield before costs.
How do you calculate net rental yield?
Reduce annual rent for expected vacancy, deduct service charges, maintenance and management, divide the remaining annual income by the property price and multiply by 100.
Why compare yield against total acquisition cost?
The advertised property price is not always the full capital committed. Adding transaction, financing or furnishing costs entered by the user produces a more conservative comparison.
Should mortgage payments be deducted from net rental yield?
Net property yield and financed cash flow answer different questions. This calculator measures the property's operating yield before debt. Mortgage interest, principal, insurance and financing fees should be assessed separately for a cash-flow or cash-on-cash calculation.
Does this calculator predict future Dubai property returns?
No. It calculates the assumptions entered. It does not predict future rent, occupancy, capital appreciation, financing costs or resale value.