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Buy-to-Let Calculator

Calculate rental yield, monthly cash flow, and return on investment for UK buy-to-let properties

💡 Quick Tip

Only enter values that apply to YOUR property deal. Leave fields at 0 if they don't apply (e.g., ground rent for freehold properties).

Property Details

Purchase Details

£

Total property purchase price

£

25.0% of purchase price

Mortgage Details

%

Current market rates 4-6%

Typical term is 25 years

Rental Income

£

Expected monthly rental income

Running Costs

£120/month

Key Metrics

Gross Yield

7.20%

Net Yield

0.05%

Cash-on-Cash Return

0.21%

Monthly Cash Flow

£9

Monthly Breakdown

Rental Income£1,200
Mortgage Payment-£921
Management Fee-£120
Maintenance-£100
Insurance-£50
Net Monthly Income£9

Annual Summary

Gross Rental Income£14,400
Total Annual Costs-£14,294
Net Annual Income£106

Investment Summary

Loan Amount:£150,000
Loan-to-Value:75.0%
Total Investment:£50,000

What is Buy-to-Let?

Buy-to-Let (BTL) is a property investment strategy where you purchase a property specifically to rent it out to tenants. The goal is to generate passive rental income while the property appreciates in value over time.

Key BTL Metrics Explained:

  • Gross Yield: Annual rental income ÷ property price × 100. Shows total return before expenses.
  • Net Yield: Annual profit after all costs ÷ property price × 100. Your actual return.
  • Cash-on-Cash Return: Annual profit ÷ deposit × 100. Shows return on your actual investment.
  • Monthly Cash Flow: Rental income minus all monthly costs. Positive = profit, negative = loss.

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