Many investors have unrealistic expectations about rental property yields. The average gross yield in Belgrade ranges from 4% to 6% annually, but the net yield is usually 1-2 percentage points lower when you factor in rental income tax (20%), maintenance costs, insurance, and vacancy periods.
In Vracar, a 30m² studio purchased for EUR 90,000 can be rented for EUR 350-400 per month. That's a gross yield of about 4.7%. In New Belgrade, a one-bedroom apartment of 45m² purchased for EUR 100,000 brings in rent of EUR 380-450, a gross yield of about 5%. The best yields traditionally come from smaller apartments in attractive locations.
Short-term rental through platforms like Airbnb can bring higher yields — up to 8-10% in premium locations — but requires more engagement, a furnished apartment, and regular cleaning. Regulations for short-term rentals are tightening, so it's important to follow legal changes.
