Rental Yield Calculator
Work out the gross and net rental yield on a Singapore property from its price and monthly rent — after IRAS property tax on the Annual Value at non-owner-occupier rates, maintenance, insurance and a vacancy allowance.
Rental Yield Calculator
Gross & net yield on a property · 2026
Estimates only. Net yield here is before mortgage interest and before your personal income tax on the rent. IRAS taxes net rental income at your marginal rate. Vacancy, repairs and agent figures are assumptions, not fixed costs.
Yield Breakdown
ANNUALWhere the rent goes
Net yield is the rent left after the running costs of letting the property. This shows the split of your annual rent between costs and net income.
Annual cost breakdown
Gross vs net yield
Gross yield uses rent alone; net yield subtracts running costs. Both use the property price as the denominator.
| Measure | Amount | Yield |
|---|---|---|
| Gross (rent only) | SGD 54,000 | 3.60% |
| Net (after costs) | SGD 36,160 | 2.41% |
Property tax on a let-out home
A tenanted residential property is taxed at the non-owner-occupier rates on its Annual Value — the estimated annual market rent set by IRAS. Per IRAS.
| Annual Value band | Rate |
|---|---|
| First SGD 30,000 | 12% |
| Next SGD 15,000 (up to 45,000) | 20% |
| Next SGD 15,000 (up to 60,000) | 28% |
| Above SGD 60,000 | 36% |
Terms used
A quick reference for the inputs and outputs in this calculator.
| Term | Meaning |
|---|---|
| Gross rental yield | Annual rent as a percentage of the property price |
| Net rental yield | Annual rent less running costs, as a percentage of price |
| Annual Value (AV) | IRAS's estimated annual market rent, the base for property tax |
| MCST / maintenance | The monthly management and sinking-fund fee for a strata property |
| Vacancy allowance | An assumed share of rent lost between tenancies |
How the yields are worked out
Both yields divide an income figure by the property price.
| Step | Formula |
|---|---|
| Annual rent | Monthly rent × 12 |
| Gross yield | Annual rent ÷ property price × 100% |
| Annual costs | Property tax + maintenance + insurance + allowance |
| Net income | Annual rent − annual costs |
| Net yield | Net income ÷ property price × 100% |
Gross Yield, Net Yield & the Costs Behind Them
The formulas, running costs, and IRAS tax rules that decide the return on a let-out Singapore property — sourced from IRAS.
The Two Yields
Both divide an income figure by the property price.
What Net Yield Excludes
Net yield here is pre-financing and pre-income-tax.
Two Separate Taxes
A let-out home faces property tax and income tax.
Non-Owner-Occupier Property Tax on the Annual Value
Because the home is let out, IRAS taxes it at the non-owner-occupier rates on its Annual Value — the estimated annual market rent. Per IRAS — Property Tax Rates.
| Annual Value band | Rate | Notes |
|---|---|---|
| First SGD 30,000 | 12% | Lowest non-owner-occupier tier |
| Next SGD 15,000 (to 45,000) | 20% | Applies to the AV between 30k and 45k |
| Next SGD 15,000 (to 60,000) | 28% | Applies to the AV between 45k and 60k |
| Above SGD 60,000 | 36% | Top marginal tier |
Typical Rental Cost Components
The running costs that separate gross yield from net yield. The last three are assumptions you set, not fixed charges. Per IRAS.
| Cost | Typical basis | Notes |
|---|---|---|
| Property tax | 12–36% of AV | Non-owner-occupier rates on the Annual Value |
| MCST maintenance | Monthly fee | Management and sinking-fund fee for a strata property |
| Insurance | Annual premium | Landlord / fire and contents cover |
| Agent commission | ~0.5–1 mth | Assumption — roughly half to one month's rent per tenancy |
| Vacancy allowance | % of rent | Assumption — rent lost between tenancies |
| Repairs | % of rent | Assumption — minor upkeep and replacements |
Gross vs Net — How They Differ
Both yields divide an annual income figure by the same property price; net simply subtracts the running costs first.
| Feature | Gross yield | Net yield |
|---|---|---|
| Numerator | Annual rent | Rent − costs |
| Subtracts costs | No | Yes |
| Includes mortgage | No | No |
| Includes income tax | No | No |
| Best for | Quick listing comparison | What you actually keep |
Rental Yield News & Reference Points
The rules and conventions that shape the return on a let-out Singapore property — IRAS property and income tax, gross versus net yield, and the running costs that separate them.
A let-out home is taxed at non-owner-occupier rates, not owner-occupier rates
When a residential property is rented out, IRAS charges property tax at the higher non-owner-occupier rates of 12% to 36% on its Annual Value — not the lower owner-occupier rates. This is a real running cost that lowers net yield, and it climbs steeply on higher-value lettings.
The rate tiers
12% on the first SGD 30,000 of Annual Value, 20% on the next 15,000, 28% on the next 15,000, and 36% on the portion above SGD 60,000.
Effect on yield
Property tax is deducted from rent to reach net income, so a higher Annual Value widens the gap between gross and net yield.
Gross yield versus net yield — net subtracts the running costs
Gross yield is annual rent divided by the property price. Net yield first subtracts the running costs — property tax, maintenance, insurance and a vacancy allowance — then divides by the same price. Net yield is always lower and reflects what you actually keep.
Gross yield
Annual rent ÷ property price × 100%. Useful for a quick comparison between listings.
Net yield
(Annual rent − annual costs) ÷ price × 100%. Pre-financing and pre-personal-income-tax here.
Rental income is taxable at your marginal rate — with a 15% deemed expense option
Separately from property tax, IRAS adds your net rental income to your assessable income and taxes it at your personal marginal rate. You may claim actual deductible expenses, or elect a deemed 15% of gross rent plus mortgage interest instead. This tool's net yield is before that income tax.
How it is taxed
Net rent is combined with your other income and taxed under the resident income tax brackets at your marginal rate.
Deemed 15% option
Instead of tallying actual expenses, you may deduct a deemed 15% of gross rent plus deductible mortgage interest.
Rental Yield — Frequently Asked Questions
Common questions about gross and net rental yield in Singapore, the costs that reduce it, and how IRAS taxes a let-out property — with current IRAS references.
Rental yield is the annual rent a property earns expressed as a percentage of its value. It lets you compare the income return of different properties on a like-for-like basis, independent of price. It comes in two forms: gross yield, which uses rent alone, and net yield, which subtracts the running costs first.
Gross yield is annual rent divided by the property price, times 100%. Net yield first subtracts the running costs — property tax, maintenance, insurance and a vacancy allowance — then divides the remaining net income by the same price. Net yield is always lower than gross yield and better reflects what you actually keep.
There is no official benchmark for a "good" yield, and what counts as attractive depends on the property type, location, financing and your own objectives. Gross yield is useful for comparing listings quickly; net yield shows the income return after costs. This calculator reports both figures so you can compare properties on the same basis rather than against any fixed target.
Net yield subtracts the running costs of letting the property:
- IRAS property tax on the Annual Value (non-owner-occupier rates)
- MCST management and sinking-fund maintenance fees
- Landlord insurance
- A vacancy allowance for gaps between tenancies
- Agent commission and minor repairs
The agent, vacancy and repair figures are assumptions you set, not fixed charges.
IRAS — Property Tax RatesBecause the home is let out, IRAS charges property tax at the non-owner-occupier rates on its Annual Value (AV) — the estimated annual market rent. The rates are 12% on the first SGD 30,000 of AV, 20% on the next 15,000, 28% on the next 15,000, and 36% on the portion above SGD 60,000. These are higher than the owner-occupier rates.
IRAS — Property Tax RatesYes. Separately from property tax, IRAS treats your net rental income as taxable income. It is added to your other income and taxed at your personal marginal rate under the resident income tax brackets. The net yield in this calculator is worked out before this personal income tax.
IRAS — Rental IncomeWhen declaring rental income, IRAS lets you choose between claiming your actual deductible expenses or a deemed amount of 15% of gross rent, in both cases plus any deductible mortgage interest. The deemed option removes the need to keep receipts for the non-interest expenses. It affects your income tax, not the property tax, and is separate from this tool's net yield.
IRAS — Rental IncomeEither is valid — just be consistent. Using the purchase price shows the return on what you originally paid, and is the default in this calculator. Using the current market value shows the return on the property's value today, which lowers the yield if the property has appreciated. The market-value basis is useful when weighing whether to keep letting the property or sell.
No. The net yield here is pre-financing — it does not subtract mortgage interest or repayments. This keeps the figure comparable across properties regardless of how each is financed. Your actual cash return after a loan will be different, and depends on your interest rate, loan size and repayment structure.
Annual Value (AV) is IRAS's estimate of the yearly rent your property could fetch if let out, excluding furniture and maintenance fees. It is the base on which property tax is charged. When you leave the Annual Value field blank, this calculator approximates it using the annual rent you entered.
IRAS — Property Tax RatesNo. The vacancy allowance, agent commission and repair figures are assumptions, not official or fixed costs. They vary by property, location and tenancy. Agent commission is often around half to one month's rent per tenancy, and a vacancy allowance covers rent lost between tenants — these inputs can be adjusted to reflect a specific property and tenancy.
The relationships behind the gross and net yield estimates. Cost assumptions are yours to adjust.
Annual Rent
Monthly rent scaled to a full year.
The numerator for gross yield
Gross Yield
Annual rent as a share of the price.
Before any running costs
Net Income
Rent left after the running costs.
Pre-financing and pre-income-tax
Net Yield
Net income as a share of the price.
Use price or current market value
Important Disclaimer
For educational and informational purposes only. This tool produces estimates of the gross and net rental yield on a Singapore property from the price and monthly rent you enter. Gross yield is annual rent as a percentage of the property price; net yield subtracts running costs — IRAS property tax on the Annual Value at non-owner-occupier rates (12% / 20% / 28% / 36%), maintenance, insurance and an allowance for vacancy, agent commission and repairs. Net yield here is before mortgage interest and before your personal income tax on the rent.
No warranty of accuracy. While Money Snap sources the property-tax rates and rental-income rules from the Inland Revenue Authority of Singapore, this tool is provided "as is" without any express or implied warranty as to accuracy, completeness, or timeliness. The vacancy, agent and repair figures are cost assumptions you set, not fixed charges, and your actual return will depend on the Annual Value assessed by IRAS, real running costs, financing, and the rent achieved. Tax rates and rules are set by IRAS and may be revised or out of date here.
Not financial advice. Information provided is general in nature only and does not take into account your personal objectives, financial situation, or needs. Results do not constitute financial, tax, property, or investment advice. Before making any decision, verify the property's Annual Value and tax position with IRAS and consider advice from an MAS-licensed financial adviser or a qualified tax professional.
Limitation of liability. To the maximum extent permitted by law, Money Snap accepts no liability for any loss, damage, cost, or expense arising from reliance on this tool or the information it produces. Users are responsible for verifying all figures with IRAS and their own advisers before relying on them. Use is subject to our Terms of Use.
Official data sources
Non-owner-occupier property tax rates (12/20/28/36%) and the deemed 15% rental-expense option are current IRAS figures. Yield formulas are standard; cost assumptions are yours to adjust.