Home Airbnb and Short-Term Rental Yield Calculator
Airbnb and Short-Term Rental Yield Calculator
Work out what an Airbnb or holiday rental could return before you buy. Enter the purchase price, average nightly rate, expected occupancy and yearly running costs, and the calculator shows gross and net yield. It is free, works for any Australian property, and gives an estimate from your numbers, not a guarantee.
Free calculator
Calculate your short-term rental yield
Enter the purchase price, the average nightly rate across the year, your expected occupancy and your yearly running costs. The calculator works out booking income, gross yield and net yield, so you can compare a short-term rental with a long-term lease on the same property. Results are estimates from the numbers you enter.
How it works
How short-term rental yield is worked out
Gross yield is yearly booking income divided by the purchase price, where income is the average nightly rate multiplied by the nights booked (365 multiplied by occupancy). Net yield takes the running costs out of that income first, so it shows what the property keeps. Both are worked out before the loan and before tax.
Gross yield is the yearly booking income divided by the purchase price. Yearly income is the average nightly rate multiplied by the nights booked in a year (365 multiplied by occupancy).
Net yield takes out the costs a short-term rental carries that a long-term lease does not: cleaning, linen, management, platform fees, utilities, internet, insurance, council rates, strata and maintenance.
Example only: a $650,000 property at an average $280 a night and 62% occupancy books about 226 nights and earns about $63,400 a year, a gross yield of about 9.7%. If cleaning, linen, platform fees, management, utilities, insurance, rates and repairs total $27,000, net income is about $36,400 and the net yield is about 5.6%. Your own numbers will differ, so use real booking data for your area.
Use it to compare a short-term rental against a long-term lease on the same property, anywhere in Australia, from Sydney, Melbourne, Brisbane, Perth, Adelaide, Hobart, Canberra and Darwin to regional and coastal towns.
What to include
Costs that belong in net yield
Net yield should count every cost a short-term rental carries: cleaning and linen, platform and management fees, utilities and internet, insurance, council rates, strata, and an allowance for repairs and wear and tear. Leave one out and the yield looks better than it is, so use real quotes where you can.
- Cleaning and linen
Cleaning and laundry after every stay. Guests often pay a cleaning fee, so count what you receive and what you pay.
- Platform and management fees
Airbnb or Booking.com fees, plus a manager or co-ordinator if you do not run it yourself.
- Utilities and supplies
Power, water, internet, streaming, toiletries and consumables.
- Insurance, rates and repairs
Short-term rental insurance, council rates, strata and an allowance for wear and tear.
Before you rely on the result
Tips for realistic numbers
Use the yearly average nightly rate, not the peak-season rate, and test a quieter year with lower occupancy as well. Count every cost, and check council and strata rules for short-term letting before you rely on the result. A yield that still works in a quiet year is a safer number to plan around.
- 1Use the yearly average
Use the average nightly rate across the whole year, not the peak-season rate.
- 2Check the rules
Check council and strata rules for short-term letting before you rely on the result.
- 3Test a quiet year
Try a lower occupancy as well, so you know the result still works.
- 4Count every cost
Include cleaning, linen, platform fees, utilities and management.
Results are estimates from the numbers you enter. They are general information, not financial advice.
Compare
Short-term or long-term rental?
Run the same property through the rental yield calculator to see the long-term lease number next to this one, then use the Airbnb cashflow calculator to add the loan and see the monthly result. All our tools are on the property calculators page.
Already own a short-term rental and want a higher nightly rate and occupancy? See our Airbnb revenue management. Buying one? Our Airbnb buyers agent team models income from real booking data first.
Short-term rental yield: common questions
Common questions about short-term rental yield: how it is calculated, which costs belong in net yield, which nightly rate and occupancy to use, whether Airbnb earns more than a long-term lease, and whether the result includes the mortgage. The calculator gives general information, not financial, tax or legal advice.
How is short-term rental yield calculated?
Gross yield is the yearly booking income divided by the purchase price. Net yield takes the running costs out of that income first. Yearly income is the average nightly rate multiplied by the nights booked in a year.
How do I work out Airbnb income for a property?
Multiply the average nightly rate by the nights you expect to be booked (365 multiplied by occupancy). Then take off cleaning, linen, platform fees, management, utilities, insurance, rates and repairs to get the net income.
Which costs does a short-term rental have that a long-term lease does not?
Cleaning, linen, platform fees, management, utilities, internet and furnishings, on top of insurance, council rates, strata and maintenance.
Which nightly rate and occupancy should I use?
Use the average nightly rate across the whole year, not the peak-season rate, and test a lower occupancy too. Occupancy depends on the area, the season and how well the listing is priced.
Is Airbnb more profitable than a long-term rental?
It can earn more, but it also carries more costs and more work. Compare the net yield of both on the same property, using the rental yield calculator for the long-term lease.
Does the yield include the mortgage?
No. Yield is worked out on the purchase price before the loan and before tax. To see the monthly result after the loan, use the Airbnb cashflow calculator.
Can I run a short-term rental anywhere?
Not always. Council and strata rules for short-term letting differ by state and area, and some places need a registration or cap the nights. Check them before you buy.
Do I need a manager for a short-term rental?
Not necessarily, but someone has to handle pricing, guest messages, cleaning and changeovers. If you pay a manager, include the fee in your costs so the net yield is realistic.
Facts checked 28 October 2026.
- The Reserve Bank cash rate target is 4.60%, after a 0.25 percentage point rise that took effect on 30 September 2026 (RBA, checked 28 October 2026).
- Airbnb Help Centre says most hosts pay a single 15.5% service fee, deducted from the host payout, so allow for it in your platform costs (Airbnb service fees, checked 28 October 2026).
- From 1 July 2027 the 50% CGT discount for individuals, trusts and partnerships is replaced by cost base indexation and a 30% minimum tax rate on capital gains, and it applies only to gains that accrue after that date (ATO: tax reform, checked 28 October 2026).
- Consumer prices rose 4.3% over the year to September 2026, so check that your cleaning, insurance and utility figures are current (ABS, checked 28 October 2026).
Want the numbers checked?
Our Airbnb buyers agents model income from real booking data before you buy, and our revenue management team helps owners lift the nightly rate and occupancy. Book a free 15-minute call, or phone 0434 211 016 during business hours, Monday to Friday 8 am to 5:30 pm and Saturday 8 am to 12 pm.