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Rental yield is the amount of money a real estate owner makes on an investment property by measuring the gap between their overall costs and the income they receive from renting out the property.
When you are buying a real estate property to let, you'll want to know the rental yield expressed as a return on your investment. Knowing the percentage return on the money spent to invest in the property (ROI) is the only way of deciding whether the purchase is worth it and makes for a good investment. The rental yield projection needs to be known before investing in the property.
Extra reading:
https://www.landlordvision.co.uk/rental-yield-calculator.html
https://www.globalpropertyguide.com/rental-yields
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