Rental yield calculator for Limassol property

How the calculation works

Gross yield divides a full year of asking rent by the purchase price. It ignores vacancy and every running cost, which is why two apartments with identical gross yields can behave very differently once managed.

Net yield starts from the rent you realistically collect after a vacancy allowance, then deducts common expenses, management, insurance and a maintenance reserve. On a well-run Limassol apartment the difference between gross and net is commonly 1 to 1.5 percentage points.

• Vacancy allowance: 4% is roughly two weeks a year, which is a fair assumption for a long let in an established residential area.
• Common expenses: charged per unit by the building's management committee and typically higher where there is a pool, lift and landscaped grounds.
• Management: 6–10% of collected rent for a long let; short lets cost considerably more and carry different rules.
• Maintenance reserve: budget for servicing air conditioning, water heating and appliances rather than assuming a zero-cost year.

What moves yield most in Limassol

Specification and location do more for net yield than headline rent. A home that lets quickly, holds a tenant for years and needs little intervention beats one that achieves a higher rent between longer voids.

Scarcity matters too. Small developments in established districts such as Columbia, Ekali and Ayios Athanasios draw professional tenants who stay, which keeps vacancy and re-letting costs down.

Before you rely on a figure

Rental income is taxable in Cyprus and the treatment depends on your residency and structure, so model returns after tax with your accountant. Yield also says nothing about capital growth, which is often the larger part of the return on a new build held for several years.