Gross rental yields in Iceland: Reykjavik
| Last Updated: Oct. 27, 2022 | |||
| REYKJAVÍK - Apartments | COST (€) | YIELD (p.a.) | |
| TO BUY | MONTHLY RENT | ||
| Reykjavík (all locations) | |||
| Studio | €299,325 | €1,047 | 4.20% |
| 1-Bedroom | €410,961 | €1,744 | 5.09% |
| 2-Bedroom | €519,108 | €1,883 | 4.35% |
| 3+Bedroom | €529,574 | €2,233 | 5.06% |
| Reykjavík avg. Rental Yields | 4.68% | ||
| ICELAND - Apartments | COST (€) | YIELD (p.a.) | |
| TO BUY | MONTHLY RENT | ||
| Iceland (all locations) | |||
| Studio | €245,626 | €1,395 | 6.82% |
| 1-Bedroom | €387,090 | €1,849 | 5.73% |
| 2-Bedroom | €491,956 | €1,884 | 4.60% |
| 3+Bedroom | €499,628 | €2,023 | 4.86% |
| Iceland avg. Rental Yields | 5.50% | ||
| All yields are gross - i.e., before taxes, repair costs, ground rents, estate agents fees, and any other costs. Net yields (what you'll really earn) are typically around 1.5% to 2% lower. Source: Global Property Guide |
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Research Methodology: To conduct this research, we searched for studio, 1-bedroom, 2-bedroom, 3-bedroom, and 4-bedroom apartments in the largest cities of Iceland. We used the local real estate listing website for both buying and renting prices to determine the average gross rental yields (Monthly Rent x 12 / Purchase Price). The city of Lahti is excluded from our country average yield calculation due to high availability of social housing which provides a skewed picture of the private rental market.
For instance, if the monthly rent is €500 and the purchase price is €100,000, the calculation would be: €500 (Monthly Rent) x 12 / €100,000 (Purchase Price) = 6% (Gross Rental Yield).