Rental yield is useful only when the rent assumption and all ownership costs are realistic. Pune investors should compare the expected rent with similar occupied units, not only with a developer's projection.
The basic calculation
Gross yield is annual rent divided by the total acquisition cost. For a more useful figure, subtract vacancy, maintenance, property tax, insurance, repairs, management, brokerage and recurring compliance costs before calculating net yield.
Use realistic rent assumptions
Check at least three comparable properties in the same micro-market and building type. Separate quoted rent from achieved rent, and account for rent-free periods, fit-out contributions, escalation clauses, security deposits and tenant turnover.
Model Pune-specific risk
Office demand can differ between Hinjewadi, Baner, Balewadi, Kharadi, Viman Nagar and central Pune. Retail depends more on frontage, footfall and neighbourhood spending. Test a lower-rent and higher-vacancy scenario before borrowing.
Do not call a return guaranteed unless the legal agreement, guarantor, payment history and enforceability have been independently reviewed.
Important: This guide is for general information and is not legal advice. Verify current requirements directly with MahaRERA and consult a qualified property lawyer before signing or paying.