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What is considered good rental yield?

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In the context of Singapore's real estate market, a good rental yield can vary depending on the type of property, its location, and current market conditions. Here are some general guidelines:
- For condominiums and apartments, a rental yield of around 2.5% to 3.5% per annum is often considered reasonable. However, yields can be higher in certain areas with strong rental demand, such as the Central Region (CR) or Rest of Central Region (RCR), where yields might range from 3% to 4%.
- For Executive Condominiums (ECs), the rental yields can be slightly lower due to the larger unit sizes and higher purchase prices, typically ranging from 2% to 3%.
- Landed properties generally have lower rental yields, often between 1.5% to 2.5%, due to their higher purchase prices and lower rental income relative to the property value.
It's important to note that these are general benchmarks, and actual rental yields can vary significantly based on factors such as the property's age, condition, amenities, and proximity to amenities like MRT stations and schools.
To get a more accurate and up-to-date assessment of rental yields for specific properties, you can use the tools and research features available on EdgeProp Singapore, which provide detailed data on past transactions, price trends, and rental yields for various types of properties.
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