Yield calculator
What is really left over?
Many calculators only show income minus management. This one also accounts for purchase costs, fixed annual costs, personal use and tax, and shows a cautious and an optimistic case next to the base case.
Purchase price taken from property · Back to the property
Illustrative calculation, not a yield promise. All values are assumptions and can be changed; occupancy, rates, costs and taxes depend on season, location, licence, community rules and your situation. Legal and tax review is carried out by independent specialists.
Result
- Gross income per year
- –
- Management and platform
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- Fixed costs
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- Profit before tax
- –
- Tax
- –
- Profit after tax
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- Total investment (price + costs)
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- Return before tax
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- Return after tax
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- Gross yield on purchase price
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- Payback (after tax)
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Three scenarios
| Cautious | Base | Optimistic | |
|---|---|---|---|
| Return after tax | – | – | – |
Cautious: occupancy −15 points, rate −15%. Optimistic: occupancy +15 points, rate +15%.
How the calculator works
- Rentable days: 365 days minus your personal use.
- Gross income: rentable days × occupancy × average nightly rate.
- Profit before tax: gross income minus management, platform fees and cleaning (as a percentage of revenue) and minus fixed annual costs.
- Profit after tax: the tax on the profit is deducted.
- Return: profit divided by the total investment, i.e. purchase price plus purchase costs. Many calculators divide by the purchase price only, which makes the result look better.
Worked example with the starting values
A studio for €130,000 costs €146,900 in total with 13% purchase costs. The assumptions: 55% occupancy, €80 per night, 25% for management and platform, €1,800 fixed annual costs and 19% tax. The result:
- Gross income: €16,060
- Profit before tax: €10,245
- Profit after tax: €8,298
- Return after tax: 5.6% on the total investment
- Range across the three scenarios: 3.1% (cautious) to 8.7% (optimistic)
This is why we never promise a single percentage: occupancy and nightly rate move the result more than any other value.
Which assumptions are realistic
Occupancy on the Costa Blanca varies strongly with the season. In summer good locations are almost fully booked; in winter a lot depends on long-stay guests. Proximity to the beach, a pool, air conditioning and professional photos have a clear effect on occupancy and nightly rate. Test your assumptions against comparable listings in the same location, not against peak-season figures.
Costs that are often forgotten
Fixed annual costs include:
- Community fees (comunidad)
- Property tax (IBI) and waste charges
- Electricity, water and internet
- Insurance
- Maintenance of pool and air conditioning
On top come reserves for replacements such as bed linen, appliances and furniture. For new builds, purchase costs are usually around 12–14% of the price depending on the region (VAT, stamp duty, notary, land registry, lawyer); for resale properties, transfer tax applies instead of VAT.
Tax as a non-resident
If you are not tax-resident in Spain, rental income is taxed there. Owners from the EU and EEA currently pay a rate of 19% on the profit after deductible costs in most cases. In addition, the income is declared in your home country under the applicable double taxation agreement. An independent tax adviser checks your personal situation; the calculator only shows the basic mechanism.
Licence for tourist rentals
To let a property to holiday guests on a short-term basis, it must be registered as tourist accommodation, and the community statutes must not exclude such rentals. We check both before every recommendation. An attractive return is worthless if renting is not permitted.
Frequently asked questions about yield
What yield is realistic on the Costa Blanca?
Net of costs and tax, many holiday apartments land in the low to mid single-digit percentage range. Figures of 7–10% in brochures are usually gross values without costs and tax.
What counts as the total investment?
The purchase price plus all purchase costs. You can include furnishing as part of the fixed costs or reserves.
How does personal use affect the result?
Every week you use the property yourself is lost as rentable time. In summer this is particularly costly.
Is financing taken into account?
No. Interest and repayments change the return on equity and should be calculated separately.
Does the calculator replace advice?
No. It puts assumptions into perspective. Kamila checks the location, licence and figures for a specific property with you.
What this calculator does not cover
- Financing and interest
- Furnishing, replacements and reserves
- Value development and selling costs
- Whether the property has a tourist-rental licence and whether the community statutes allow it
- Your personal tax situation (e.g. residency, double taxation)
Would you like your numbers assessed?
Kamila checks with you whether a property is suitable for rental and goes through the assumptions together with independent specialists.