WAH TOOL
Rental yield calculator: Dubai, Abu Dhabi, Marrakech
Calculate the net yield of a short term or long term rental in seconds, in UAE dirhams (AED) or Moroccan dirhams (MAD). Default assumptions reflect the market levels observed across the assets we analyse.
The calculator includes acquisition costs, management fees and annual running costs, so you get a realistic net yield rather than a flattering gross number.
Market
Rental type
Total acquisition cost
1,908,000 AED
Gross annual revenue
197,100 AED
Costs and management
- 84,420 AED
Net annual result
112,680 AED
Monthly cash flow
9,390 AED
Gross yield
10.9 %
Net yield
5.9 %
Payback period
16.9 years
Indicative simulation, excluding local taxation and financing. Net yield is calculated on the total acquisition cost, fees included. To be validated asset by asset.
How to read the results
Gross yield
Annual income divided by the purchase price. Useful to compare two properties fast, but it ignores costs and fees.
Net yield
Income after management and running costs, measured against the total acquisition cost. This is the number to base a decision on.
Monthly cash flow
What the property actually leaves each month before tax and before financing. That is what funds your lifestyle or your next purchase.
Payback period
Years needed to recover your capital, excluding capital gain. In the UAE, a solid asset often sits between 14 and 20 years.
What changes from one market to another
Dubai (AED)
The most liquid market in the region, no personal income tax on rental income, acquisition costs around 6 % including the 4 % DLD fee. Short term rentals require a DET licence and perform best in tourist locations.
Abu Dhabi (AED)
Lower entry prices than Dubai, lower acquisition costs (around 4 %), rental demand driven by institutional employers. Long term letting is often more relevant here than short term.
Marrakech (MAD)
Strong seasonality, realistic occupancy between 55 and 65 %, management fees of 20 to 25 %, acquisition costs of 6 to 8 %. Rental income is taxable in Morocco.
Frequently asked questions
How do you calculate rental yield on a Dubai property?
Gross yield is the annual rent divided by the purchase price. Net yield, which matters more, removes management fees, service charges and maintenance, and factors in acquisition costs (around 6 % in Dubai, including the 4 % DLD fee). An apartment bought at AED 1,800,000 and rented at AED 10,500 per month sits around 7 % gross and close to 5.5 % net.
Short term or long term rental in the UAE?
Short term rentals generate 20 to 40 % more gross revenue in high demand locations (Downtown, Marina, Palm), but with a 15 to 25 % management fee, higher running costs and real seasonality. Long term secures a stable flow with one annual or quarterly cheque and very little management. Run both scenarios before deciding.
What yield should you target on a Marrakech short term rental?
On a well positioned villa or riad, a realistic annual occupancy sits between 55 and 65 %, with a 20 to 25 % management fee. Net yield usually lands between 4 and 7 % depending on the purchase price, the location and the level of running costs.
Which acquisition costs should you include?
In Dubai, budget around 6 % of the price (4 % DLD, registration fees, agency fees). In Abu Dhabi, around 4 %. In Marrakech, expect 6 to 8 % with registration duties, land registry and notary fees. The simulator includes these in the total cost.
Does the simulator include taxation?
No. Results are shown before tax. In the UAE there is no personal income tax on rental income, though a municipality fee may apply. In Morocco, rental income is taxable. Your tax residency changes the final outcome, so have your case reviewed.
Is a good yield enough to invest?
No. Yield is one criterion. At WAH, every asset is scored on location, developer, entry price, liquidity and risk, which produces the WAH Score and a BUY, WAIT or PASS verdict. A high yield on an illiquid asset is still a bad investment.
A simulation is not an analysis
Our assets are scored on location, developer, entry price, liquidity and risk. Every opportunity comes with its WAH Score and verdict.