Rental yield tells us how much income a property earns each year. It is a percentage of the total money invested. There are two kinds of rental yield.
- Gross yield – the rent earned before paying any expenses.
- Net yield – the rent left after paying costs like maintenance and property tax.
The math is simple. Divide the yearly rent by the total cost of the flat. Then multiply by 100. That gives the gross rental yield.
Below are the steps involved in the calculation of the rental yield for Purva Northern Lights:
Step 1: Find the Total Cost of the Flat
The base price in KIADB Aerospace Park is about ₹11,000 per sq. ft. For a 1,100 sq. ft. 2 BHK, the base price is ₹1.21 crore. But an investor also has to pay stamp duty, registration fees, and GST. After adding all those charges, the total cost comes to about ₹1.35 crore.
Always use the full cost when doing the math. That gives a true picture of the returns.
Step 2: Estimate the Monthly Rent
Many people who work at Boeing, Airbus, and Shell live near the Aerospace Park. This keeps rental demand high. In 2026, a 2 BHK flat in this area can earn between ₹35,000 and ₹42,000 per month.
For financial planning, a sensible monthly rent to work with is ₹38,500.
Step 3: Work out the yearly rent
Multiply that monthly figure by 12.
₹38,500 × 12 = ₹4,62,000 per year.
That is the total rent the property would bring in over a full year, before subtracting any expenses.
Step 4: Calculate the Gross Yield
Divide the yearly rent by the total cost.
₹4,62,000 ÷ ₹1,35,00,000 = 0.0342
Multiply by 100 = 3.42%
The average for Bangalore is about 3.2%. This project does better than most areas.
Step 5: Figure Out the Net Yield
Gross yield leaves out some important costs. To get the real picture, an investor has to subtract yearly expenses.
Take a 2 BHK flat as an example:
- Maintenance fees come to ₹60,000 a year.
- Property tax adds another ₹15,000 a year.
- That makes the total yearly costs of ₹75,000.
Net income = ₹4,62,000 – ₹75,000 = ₹3,87,000
Net yield = ₹3,87,000 ÷ ₹1,35,00,000 × 100 = 2.86%
This is the actual cash an investor takes home after paying all expenses.