In short
Net yield in Dubai is the annual return left after deducting all costs from rental income: building service charges, management, maintenance and vacancy. On a well-selected property it runs between 6% and 10%, against a brochure gross yield that's often higher but less meaningful.
Gross and net are not the same
When a brochure says 8% yield, it usually means gross: annual rent divided by purchase price. It's a useful number for comparing, but it's not what reaches your pocket. Net is what's left after deducting the costs the property generates each year.
The costs that eat the gross
- Service charge: the building fee, calculated per square metre
- Management and property management, usually a percentage of the rent
- Routine maintenance and small repairs
- Vacancy: the periods when the property isn't rented
These costs vary a lot by area and property type. A tower with pool, gym and concierge has higher service charges than a plain building. Short-term rental earns more but has costlier management and turnover.
Why net is the number that counts
Two properties with the same gross yield can have very different net. Net tells you what your capital actually produces, and it's the number to base any serious comparison between deals on.
Want to see the real net yield of your next investment?
On your specific case we build the full P&L before signing: gross yield, recurring costs, vacancy, maintenance. Real numbers, no brochure.