Gross rental yield
8%Full annual rent / purchase price
DUBAI PROPERTY RESEARCH
Dubai Property Deal Analyzer
Test a ready-to-rent property using your purchase price, rent and costs. See net rental yield, a downside scenario and the price ceiling for your own target return.
Illustrative numbers are prefilled, not market quotes or statutory fee estimates. This is a cash-only operating model: no mortgage, resale gain, tax, construction-period cash flows or guaranteed rent. Inputs stay in this page and are not sent to Analytics.
Your assumptions
Compare with an area
The benchmark uses recorded ready-home sales and new leases, not asking prices. It is not adjusted for building, view, floor or condition.
| Metric | Your property | Area median |
|---|---|---|
| Price · AED/sqft | 1,333.3 | 1,217.6 |
| Annual rent · AED/sqft | 106.7 | 96.3 |
| Gross yield | 8% | 7.4% |
A dash means the area sample is insufficient. Price uses the latest three-month window; area gross yield uses separate 12-month sale and rent samples. Do not derive the displayed area yield from the two different-window medians above.
Check actual costs
Confirm registration and transaction charges with the DLD sale-registration service. Check building charges using the Mollak service-charge index. No universal fee rate is assumed by this calculator.
Net rental yield on total cost
5.1%Net operating income / price plus purchase costs
Annual net operating income
AED 54,667After vacancy, management and entered recurring costs
Total acquisition cost
AED 1,070,000Purchase price plus your entered one-off costs
What if rent is lower?
Stress scenario: annual rent falls 10% and vacancy increases by one month, capped at 12. All other assumptions stay unchanged. This is a sensitivity test, not a forecast.
3.9% net yield · AED 42,000 annual net operating income.
Baseline collected rent: AED 73,333. Management cost: AED 3,667.
Your target-yield price ceiling
To reach your 5% target under these assumptions, the maximum purchase price is AED 1,023,333.
Formula: annual net operating income ÷ target yield − one-off purchase costs. The entered purchase costs are held fixed; recalculate them if they depend on the purchase price. This is a budget constraint, not a fair-value estimate.
Operating break-even occupancy is 19.7% before financing, capital recovery or a return on your investment.
Pressure-test the assumptions before the result
- Use rent for the actual unit and building. A nearby asking rent or an area median is not a signed lease.
- Separate one-off buying costs from recurring ownership costs. Avoid counting a management charge twice.
- Review the downside result and a reserve for unexpected costs. The target-yield price ceiling is only as useful as the inputs behind it.
Is net rental yield the same as total investment return?
No. This model considers operating income on acquisition cost. It excludes mortgage financing, tax, sale proceeds, capital gains or losses and the time value of money.
Why can a cheaper target price still be misleading?
The price-ceiling calculation holds the entered rent and costs fixed. A different unit, lease or percentage-based buying fee can change those assumptions. It is a budget constraint, not an estimate of fair market value.
Educational analysis only, not investment advice. Negative net income is possible. Validate the lease, property condition and all charges independently before making a decision. Read the gross vs net rental yield guide.