Property Key Measure: Gross Yield
gross yield=gross income/price: this is the gross annual rent. This tells you how much your gross receipts from the properties are in the best case. Note that the actual gross yield will be much lower if the rental is left vacant. One generally includes a statistically realistic estimate for vacancy, but each year will have a different vacancy rate. The gross yield is generally in the 10%-14% range for profitable cashflow properties.
This is one of the property key profitability measures.
