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Rental Yield Calculator Canada

Canadian rental yields are among the lowest in the world — often just 3–4% gross in Toronto and Vancouver. See your gross and net yield before you commit.

Educational calculators — always consult a licensed professional before making financial decisions.

Current market value or what you'd pay.

$
$10K$50M

Gross rent you collect each month.

$
$1$500K

For net yield. Estimate as a % of rent, or enter your own total.

Typical range 20–25% for long-term rentals.

%
0%80%

Tax + insurance + maintenance + management + repairs. Exclude mortgage.

$
$0$5M

Net Rental Yield

4.0%

Gross yield 5.2% · $33,600 rent/yr

Gross yield5.2%
Net yield4.0%
Annual rent$33,600
Annual costs−$7,392
Net monthly income$2,184
Healthy net yield. This sits inside the 4–6% band considered solid for this market.
0%Healthy: 46%9%+

Net yield   Gross yield — versus the CA healthy band.

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A full PDF breakdown of these numbers — yours to keep or hand to a contractor.

Yield excludes mortgage payments and income tax. Net yield uses your cost estimate — refine it for a precise figure. Estimate only; consult a licensed professional.

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Rental yield in a high-price market

Gross rental yield is annual rent divided by property value; net yield subtracts the running costs — property tax, insurance, condo/strata fees, maintenance, and management — but not the mortgage. In Canada, both are compressed: Toronto and Vancouver frequently show gross yields of just 3–4%, while Calgary, Edmonton, and Montreal reach 4–6%. A net yield around 4–6% is considered solid here.

Low yields are the flip side of strong long-run price growth — Canadian investors have historically been paid in appreciation rather than income. Knowing the net yield tells you how much the property carries itself while you wait. To fold in your 20%-down investor mortgage, use cash-on-cash return or the cap rate calculator.

How it works

1

Enter value and rent

Input the property value and monthly rent.

2

Set annual costs

Estimate as a percentage of rent, or enter your own total including condo fees.

3

Compare gross vs net

See both yields against the Canadian healthy band.

Typical gross rental yield by Canadian city

CityGross rental yield
Vancouver3.0–4.0%
Toronto3.5–4.5%
Ottawa / Montreal4.5–5.5%
Calgary / Edmonton5.0–6.5%

Directional ranges; Canadian multifamily national average cap rate was ~4.4% (CBRE Q4 2025). Net yield runs below gross after costs.

Frequently asked questions

What is a good rental yield in Canada?+

Canadian yields run low by global standards. Toronto and Vancouver often show gross yields of just 3–4%, while Calgary, Edmonton, and Montreal can reach 4–6%. A net yield of roughly 4–6% is considered solid. Because prices have outpaced rents, many Canadian investors accept modest yields in exchange for long-term appreciation.

What is the difference between gross and net rental yield?+

Gross rental yield is annual rent divided by the property's value — a headline figure that ignores costs. Net rental yield subtracts the yearly running costs (property tax, insurance, maintenance, management, and repairs, but not the mortgage) before dividing by value, so it reflects what the property actually earns. Net yield is always lower than gross, and the gap is typically 20–35% of gross rent depending on the property.

How do I calculate rental yield?+

Gross yield = (monthly rent × 12) ÷ property value × 100. Net yield = (annual rent − annual running costs) ÷ property value × 100. For example, a property worth $350,000 renting for $2,500/month has a gross yield of about 8.6% ($30,000 ÷ $350,000); if running costs are $6,600 a year, net yield is about 6.7%.

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Cost ranges and rates here are checked against contractor quotes and published industry data. If a number still looks off, email Support@RealCostIQ.com and we'll review and fix it.