Rates & sources
SDLT/LTT/LBTT bands vary between England, Wales, Scotland and Northern Ireland. Use the appropriate calculator.
Source: HMRC / Welsh Revenue / Revenue Scotland — figures refreshed at the start of each tax year.
When to use this calculator
- Before buying, renting, refinancing, or reviewing a property investment.
- When you want to compare cash flow, yield, growth, and ownership costs side by side.
- When you need a fast estimate before speaking to an agent, lender, or adviser.
- When you are assessing whether a rental property still makes financial sense after a mortgage rate change.
- When you want to compare the total cost of renting against owning over a five- or ten-year horizon.
A realistic New Zealand planning example
Use these sample inputs as a quick scenario test, then change one variable at a time to compare outcomes.
Annual Rent (NZ$)
NZ$1,400
Property Value (NZ$)
NZ$750,000
After entering these figures, review rental yield and monthly rent together rather than in isolation — each metric tells a different part of the story. Then rerun the tool with one input adjusted to see which variable has the biggest effect on all three outputs before you settle on a plan.
How to read your results
Rental Yield
Use this metric to compare scenarios side by side and understand how changes in the key inputs drive the final outcome. If the figure surprises you, isolate one variable at a time and rerun the calculation to identify which assumption is responsible.
Monthly Rent
Use this metric to compare scenarios side by side and understand how changes in the key inputs drive the final outcome. If the figure surprises you, isolate one variable at a time and rerun the calculation to identify which assumption is responsible.
Method & assumptionsAuthoritative sources
This calculator produces two figures: gross rental yield and monthly rent. Gross yield is calculated by dividing annual rent by the property value and multiplying by 100. It is the headline figure used to compare properties quickly, but it does not account for running costs, void periods, or financing. A property with a higher gross yield is not necessarily more profitable once costs are deducted.
To build a complete picture, subtract letting agent fees (8–15%), an allowance for maintenance (often modelled at 1% of property value per year), landlord insurance, and an estimate for void periods (one month per year is a common assumption). The result is your net yield. For mortgaged properties, also model your Interest Coverage Ratio against current stress-test rates to confirm lender affordability. Always consider your personal tax position, particularly the Section 24 restriction on mortgage interest deductibility for individual landlords.
Common mistakes
- !Comparing rent and ownership costs without including taxes, fees, and maintenance.
- !Using purchase price alone without testing the impact of financing or vacancy assumptions.
- !Relying on yield or growth in isolation instead of reviewing the full property case.
- !Forgetting Stamp Duty Land Tax (or its Scottish and Welsh equivalents), which can add thousands to the true cost of purchase.
- !Using optimistic rental growth figures without also testing a flat or declining rent scenario to check downside resilience.
What to do next
- Run a second scenario with a higher rate or lower rental yield to check downside resilience.
- Compare the result with a buy-versus-rent or stamp duty calculator before making an offer.
- Use the related guides below to understand agent fees, legal costs, and ongoing maintenance budgets.
- If you are assessing a buy-to-let, check the gross yield against the net yield after mortgage interest, voids, and management fees.
- Note down the key figures from this scenario to share with your solicitor or mortgage broker so they are working from the same assumptions.
Frequently asked
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End-of-article next steps
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