Rental yield & cashflow calculator
Gross yield, net yield and weekly cashflow on a new build or granny flat, so you can see whether an investment pays for itself before you commit.
Last updated 14 June 2026
Rental yield & cashflow calculator
Work out the gross yield, net yield and weekly cashflow on a new build or granny flat investment. New builds and granny flats often run a stronger yield than established stock because of depreciation and lower maintenance.
6.0%
Net yield and weekly cashflow shown below. Figures are pre-tax and exclude depreciation benefits.
This is general information only and does not take into account your objectives, financial situation or needs. It is not credit assistance or a credit quote. Consider whether it is right for you and seek advice. Finance is arranged through Central Lending Solutions, the licensed credit partner The Property Plug works with (Australian Credit Licence or credit representative number [TBC]).
Want this run against a real design and suburb?
Pressure-test an investment →A rental yield and cashflow calculator shows the return and the weekly cash position on an investment property. The Property Plug tool computes gross yield (annual rent over cost), net yield (after holding costs) and pre-tax weekly cashflow after loan interest and a vacancy allowance. It excludes tax and depreciation and is general information, not advice.
Yield, net yield and cashflow
Investors who only look at gross yield get caught out by holding costs. The three numbers tell the full story: yield for comparing properties, net yield for the true operating return, and weekly cashflow for whether you fund the property or it funds itself.
- Gross yield equals annual rent divided by total cost. A quick way to rank suburbs and stock.
- Net yield takes off rates, insurance, management and maintenance, so it reflects real operating return.
- Weekly cashflow subtracts loan interest and a vacancy allowance, showing what lands in or leaves your pocket each week.
A $560,000 new build at $650 a week
A $560,000 new build renting at $650 a week is a gross yield around 6.0%. After about $5,200 a year of holding costs the net yield eases, and after interest-only loan repayments on a $448,000 loan at 6.34% the property runs close to neutral on a pre-tax basis. Add a new-build depreciation schedule and the after-tax position typically turns positive, which is the investor case for building new over buying established.
| Measure | Figure |
|---|---|
| Purchase or build cost | $560,000 |
| Rent | $650 / week |
| Gross yield | about 6.0% |
| Annual loan interest (interest only) | about $28,400 |
| Pre-tax weekly cashflow | roughly neutral, before depreciation |
Illustrative figures, pre-tax, excluding depreciation. Last updated 14 June 2026.
Adding a second income to a block
A granny flat (an ancillary dwelling up to 70m2 in WA, which can be rented separately) lets you put a second income on land you may already own. The added cost is far below a second purchase, so the combined yield on the block often jumps well above a single dwelling. Run the granny flat as its own cost and rent in the calculator to see the standalone return, then we can model the combined block on a call.
This is general information only and does not take into account your objectives, financial situation or needs. It is not credit assistance or a credit quote. Consider whether it is right for you and seek advice. Finance is arranged through Central Lending Solutions, the licensed credit partner The Property Plug works with (Australian Credit Licence or credit representative number [TBC]).
What is the difference between gross and net yield?
Gross yield is annual rent divided by the property cost, before any expenses. Net yield subtracts holding costs like rates, insurance, management and maintenance, so it reflects what you actually keep before loan interest and tax. Net yield is the more honest number, and our calculator shows both.
Why do new builds and granny flats often yield better?
New builds carry low maintenance and strong depreciation, which lifts after-tax return even when the headline yield looks similar to established stock. A granny flat adds a second income to a block you may already own, often pushing the combined yield well above a single dwelling. The calculator handles either as a standalone cost and rent.
Does this include tax and depreciation?
No. The cashflow shown is pre-tax and excludes depreciation deductions, which can materially improve the after-tax position on a new build. Treat the result as the cash position before your accountant applies negative gearing and depreciation. This is general information, not tax advice.
Is positive cashflow always better?
Not necessarily. Some investors deliberately accept a small negative cashflow on a high-growth suburb, using depreciation and tax to offset it, betting on capital growth. Others want the property to pay for itself from day one. The right answer depends on your goals and tax position, which we work through on a call.
Pressure-test an investment
Book a free call. We bring suburb rent and growth data, model the after-tax cashflow, and match a design and finance built for return.