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    Calculating long term rental yield

    Thanks! Hi All, Thanks for your responses! Thought provoking! I understand this is a complex issue with many variables. For the purposes of forecasting future cashflows, I'm going to assume rents will rise in line with inflation (which is likely to be below 3% for some time). I...
  2. C

    Calculating long term rental yield

    Hi all, I'm doing calculations for a property I'm looking to buy. The current rental yield is 4.5%. For the purposes of my calculations I'm assuming a 5% capital growth each year. How would you calculate increases to rental yield? Do they generally grow in line with the value of the...
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