Skip to content
2xKit

Lease Rent Calculator

Estimate a fair monthly lease rent from a property's market value and expected yield.

Formula v1.0.0IndiaMethodologyReport an issuelease-rent-v1
How this is calculated
Monthly rent = Property value × annual yield % ÷ 12

About this calculator

Landlords setting a lease rent and tenants checking whether an asking rent is fair both need a reference point beyond a gut feeling, and market value combined with an expected rental yield gives that reference, since rental yield is exactly the annual rent a property should reasonably generate as a percentage of its worth. This calculator multiplies a property's market value by an expected annual rental yield percentage, then divides by 12 to convert that annual figure into a suggested monthly lease rent. Enter property value and a yield percentage appropriate to your local market, residential yields commonly run lower than commercial ones, and get a defensible rent figure instead of anchoring purely on what a neighbour happens to be charging. Because achievable yield varies substantially by city, property type and even micro-location within the same city, use a locally researched yield percentage rather than a generic default for a realistic suggested rent.

Worked example

₹60,00,000 property at 3% yield

Result: Suggested monthly rent ≈ ₹15,000

Was this helpful?

Frequently asked questions