Gurgaon Rental Yields: The Gap Between Marketed and Realised
Gross yield is a marketing number; net yield is what an owner actually banks after CAM, vacancy, brokerage and tax. This report rebuilds Gurgaon's rental yield map on a net basis, corridor by corridor, using registered lease data rather than portal listings.
Typical gap between quoted gross and realised net yield
1.5-2.0 pts
Best net yield band, SPR/Sohna Road corridor
3.0-3.5%
Net yield band, Dwarka Expressway
2.2-2.7%
Realistic annual vacancy factor across Gurgaon
7-9%
What the data says
SPR and Sector 44/Cyber City-adjacent stock consistently deliver the highest net yields in the city due to strong corporate tenant demand and lower vacancy.
Ultra-luxury (above Rs 10-15 Cr) structurally cannot deliver competitive net yield because rents do not scale proportionally with capital values at that ticket size.
CAM charges on amenity-heavy new-generation societies are rising faster than rent escalation clauses typically allow for, compressing yield over a hold period.
Furnished, managed inventory reduces vacancy and time-to-lease but the furnishing capex must be amortised honestly against the incremental rent achieved.
How EstateVeda executes this
Net yield reconstruction using registered lease deeds, adjusted for CAM, property tax, brokerage and a realistic vacancy factor rather than 100% occupancy assumptions.
Corridor-wise yield benchmarking refreshed quarterly to catch shifts driven by new supply or infrastructure delivery.
Tax-adjusted yield modelling for NRI owners, incorporating TDS and DTAA considerations that materially change the post-tax number.
Risks we underwrite against
Portal-quoted asking rents typically overstate achievable rent by 10-15%, inflating any yield calculation based on them.
Handover clustering (multiple project phases completing in the same year) can suppress corridor rents for several quarters.
EstateVeda verdict
Treat any quoted Gurgaon rental yield above 4.5% net with scrutiny. SPR and corporate-catchment mid-luxury stock genuinely deliver 3.0-4.4% net; most other corridors and ticket sizes fall below that.
Frequently asked questions
What is a realistic net rental yield in Gurgaon?
Most corridors deliver 2.2-3.5% net after CAM, vacancy, brokerage and tax; only corporate-catchment mid-luxury stock on corridors like SPR and Sector 44 consistently exceeds that.
Why do quoted yields differ from what owners actually receive?
Quoted gross yields typically use optimistic asking rents and ignore CAM, vacancy periods, brokerage and tax, which together commonly shave 1.5-2 percentage points off the realised return.
Which Gurgaon corridor gives the best rental yield?
SPR and the Sector 44/Cyber City-adjacent catchment currently lead on net yield, aided by strong corporate tenant demand and comparatively lower vacancy.