Glossary · Market & investment
Net yield (rentabilidad neta)
Definition
Net yield is a rental property's real return after expenses: HOA fees, property tax, insurance, vacancy, and management. In Panama City it typically lands 1.5–2 points below gross: a 7% gross is ~5%–5.5% net, well managed.
In practice
It's the number an investment is decided on — and the one almost nobody shows. The typical premium-area breakdown: PH fee $180–280/month, property tax per registered value and exemptions, 4%–8% of the year lost to vacancy between leases, and 8%–10% of rent if third-party managed. Before a client offers, we run this calculation with that specific finca's real numbers; if the net doesn't hold the thesis, we say so and keep searching.
Related terms
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Real estate investment service →General information, not legal or tax advice. Every transaction is confirmed with an attorney and accountant.
Term reviewed as of July 2026 · Vaca Group Real Estate, Lic. PN 5904