Methodology
Rental yields methodology
How Districts annualises weekly rent and divides by a named price to produce a gross yield.
Last reviewed
What this metric means
Gross rental yield on Districts is weekly rent × 52, divided by the price used for that calculation, expressed as a percentage. It is a simple income-to-price ratio. It is not a forecast of cashflow, and it is not investment advice.
What Districts shows
Suburb pages show a suburb gross yield when the suburb market extract includes that published figure. Districts does not re-derive the suburb-page yield from weekly rent and price.
Property pages may show a property gross yield when Districts has both a rent figure and a price figure for that listing. The rent may be an advertised rent for the listing or a suburb rent used as context. The price may be the listing ask or a recorded sale. The page keeps those sources separate.
The public rental-yield calculator can also show a net yield and cashflow using expenses and interest the user types in. Those calculator outputs are interactive scenarios, not stored market facts.
Data used
Weekly rents used when Districts calculates a yield come from publicly available listing observations collected by districts, from the suburb market extract, or — in some suburbs — from an official rental report median such as the Victorian Department of Families, Fairness and Housing (DFFH) rental report. A leased-median field exists in the property investment path, but Districts does not treat official rental bonds as loaded for an address.
The denominator is the price actually selected for that view: a listing asking price, a recorded sale price, or a suburb median sale price. Districts does not silently swap those denominators.
How Districts calculates it
Source quote: the suburb-page gross yield is the figure stored on the suburb market extract.
Districts calculation (property page, and property-page suburb fallback only): weekly rent × 52 ÷ price × 100. Property yields are rounded to two decimal places. The property-page suburb fallback uses the same arithmetic when the extract yield is missing and both rent and median price exist.
The displayed property and suburb yields are gross. They do not subtract interest, rates, insurance, maintenance, vacancy, strata, property management, land tax, or income tax.
Net yield is not calculated on property or suburb pages. The public calculator can show a user-typed expense scenario; that is not a stored Districts market fact. Intelligence coverage treats net yield as not loaded.
Evidence and missing data
If either rent or price is missing or not a positive number, Districts does not invent a yield.
A suburb rent used as the property yield’s rent is suburb context, not a lease for the address.
A yield calculated from an asking price is not a yield on a signed contract.
Plain-language guide: Gross yield vs net yield: the holding costs investors forget