Rental Yield Calculator — DHA Lahore

Every field, the formula behind it, and a worked example.

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What the property earns in a year against what it cost — before costs, and after them. The second number is the honest one.

When to use it

When you are choosing between buying to live in and buying to rent out, or comparing two properties that earn different rents.

What the property cost (Rs)	What you actually paid, or what you would pay today. Include transfer cost if you want a true picture — many people leave it out and flatter the answer.
Rent you get each month (Rs)	The rent in hand, not the rent you hope for.
Months empty in a year	How many months a year it sits empty between tenants. Zero is optimistic; one is realistic for most houses.
Yearly costs — maintenance, tax, repairs (Rs)	Everything the property costs you in a year. The monthly cost calculator gives you this figure — run it first and bring the yearly total here.

Rent in a year = monthly rent × (12 − months empty).
Gross yield = that yearly rent ÷ what the property cost, as a percentage. It ignores costs, which is why it always looks good.
Net yield = (yearly rent − yearly costs) ÷ what the property cost. This is the number to compare against a bank deposit or anything else you could do with the money.

A worked example — 10 marla house

Gross yield 4.4%, net yield 3.6%. In DHA Lahore that is normal — property here has historically earned its return from price, not from rent.

Putting months empty at zero. Almost no house is rented every single month of every year.
Leaving yearly costs empty, which makes net yield equal gross yield and the whole point is lost.
Using an empty plot. A plot earns no rent at all — its yield is zero by definition.
Comparing gross yield in one city with net yield in another. Compare like with like.

It says nothing about whether the property's price will rise. In DHA that has historically been the bigger half of the return, and no calculator can promise it.
It does not include the tax you pay on rental income.
It does not include what you spent on furnishing or getting it ready.
It does not know rents in your block — search For Rent on the properties page for that.