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Thinking of investing in property?

RENTAL YIELDS Rental yield is the annual rent from a property expressed as a percentage of its value. So if a property costing $400,000 to buy earns $385 per week rent, that’s $20,000 per year or 5% of the investment: a 5% gross yield. That gross bit is important because these figures don’t take into account ongoing costs. Yields vary greatly from place to place and property to property, but generally speaking, metropolitan residential property typically yields around 4% to 6% (gross).

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