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Colorado Rental Yield Calculator

Calculate rental yield using Colorado market data. Gross yield uses total rent before expenses; net yield subtracts operating costs — the number that actually matters.

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Property & Income

Operating Expenses(Colorado defaults)

Total Annual Expenses$14,977

Gross vs. Net Rental Yield

Gross rental yield is the simplest comparison metric: annual rent divided by total property cost. It's useful for quick screening but doesn't account for the real cost of ownership.

Net rental yield subtracts operating expenses (taxes, insurance, maintenance, management, vacancy) from income before dividing by cost. This tells you what the property actually earns as a percentage of your investment.

The gap between gross and net reveals your expense ratio — how much of your gross income gets consumed by costs. A tight ratio means more money in your pocket; a wide one means the property is expensive to hold.

Colorado Market Context

Avg Cap Rate

4.8%

Median Price

$582K

Property Tax

0.52%

Vacancy Rate

4.5%

Local Factors

  • -Denver metro area has strong tech and outdoor-lifestyle driven demand
  • -Hailstorm and wildfire risk driving significant insurance cost increases
  • -Gallagher Amendment repeal in 2020 may shift residential property tax burden over time

Net Rental Yield

1.1%

Low

Gross Rental Yield

3.6%

Annual Gross Income$21,780
Annual Net Income$6,803
Total Investment$599,460
Total Expenses$14,977
Expense Ratio68.8%
Monthly Net Income$567
NET YIELD1.1%
Net Income$6,803
Property Tax$3,026
Insurance$3,409
Maintenance$5,820
Management$1,742
Vacancy$980
Other$0

What does this mean?

A net yield below 3% is typical in high-demand markets where appreciation drives returns more than cash flow. You're betting on the asset growing in value.