Rental ROI Calculator for Cape Verde
9.4%
Gross annual ROI
7.3%
Net annual ROI
* Indicative calculation. Actual occupancy, expenses and rent may vary.
What is rental ROI?
Rental ROI (Return on Investment) is the annual percentage you get from your investment just from rental income, without counting property appreciation. It is the most widely used indicator to evaluate whether a property is worth it as a rental investment.
Gross ROI is the percentage before deducting expenses. Net ROI is what really matters: it takes into account community fees, insurance, possible repairs and vacancy periods (months without a tenant).
In Cape Verde, properties in tourist areas such as Sal or Boa Vista can achieve net ROIs of 5-8% thanks to high rental demand from both tourists and service sector workers.
A net ROI above 5% is considered a good investment in the European market. In Cape Verde, with lower maintenance costs and growing demand, it is possible to exceed this threshold with the right property.