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Fair Price or Marketed Price: How to Judge Value From a Distance

PublishedAugust 20267 min read
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Every asking price you are shown from a distance arrives with a story attached: the view, the renovation, the airport that is opening. None of it is checkable from your desk. One thing is.

Work backwards from the price to the yield

Any income property implies a yield. Take the realistic annual letting income, divide by the asking price, and you have the gross yield that price assumes. Compare that with what the market actually pays, and the difference is the premium you are being asked to accept.

The arithmetic is deliberately crude. A property asking $600,000 that would realistically gross $30,000 a year implies 5%. If comparable stock in that market runs at 6–10% gross, the asking price is roughly a fifth above where the income supports it. That does not make it a bad buy — prime position and prestige stock routinely price below their income band, because people are buying something other than income. It makes the premium visible, which is the whole objective.

What you must not do is take the agent's income figure. Use occupancy and nightly rates you can verify from live listings in the same town, in the same month, and cut the result for the weeks nobody books.

Four checks before you take a viewing trip

1. Anchor to a band, never a number. There is no single right price for a market, only a range. The table below gives ours for every market we cover.

2. Compare like with like on lens, not just location. Our factbooks price each market three ways — prestige, income and rural — because they behave differently. A villa priced against prestige comparables and sold to you on rental income is the most common sleight of hand in this business.

3. Add the purchase costs before you compare. Transfer taxes, stamp duty and fees swing the real entry price by several per cent and vary enormously by market. Each factbook states them.

4. Check what you may actually own. A leasehold with 30 years to run and a freehold are not comparable at any price — see foreign-ownership rules across 65 markets.

Indicative income bands and gross yields (65 markets)

Two representative locations per market, with the price band and the gross yield band the factbook records for each. Use them as the anchor for the calculation above.

North & Central America

MarketLocationIndicative priceGross yield
BelizeAmbergris Caye STR$300k–$900k6–10% gross
Placencia village$300k–$1m6–9% gross
CanadaMont-Tremblant, QuebecC$500k–$2m5–8% gross
Blue Mountain, OntarioC$600k–$1.6m5–7% gross
Costa RicaTamarindo & Flamingo, Guanacaste$350k–$1.5m6–10% gross
Manuel Antonio (Quepos)$400k–$1.8m6–9% gross
MexicoTulum & Playa del Carmen, Quintana Roo$250k–$900k6–9% gross
Puerto Vallarta, Jalisco$300k–$1.2m5–8% gross
PanamaPanama City high-rises$180k–$700k5–7% gross
Coronado / Gorgona beaches$200k–$700k5–8% gross
United StatesOrlando / Kissimmee, Florida$400k–$900k6–10% gross
Gulf Coast: 30A & Destin, Florida$700k–$2.5m5–8% gross

The Caribbean

MarketLocationIndicative priceGross yield
Antigua & BarbudaJolly Harbour$300k–$1.2m5–8% gross
Dickenson Bay / north coast$400k–$1.5m5–8% gross
BarbadosSouth Coast (Christ Church, St. Lawrence Gap)$350k–$1.2m5–8% gross
West-coast managed villas$1.5m–$6m4–7% gross
Cayman IslandsSeven Mile Beach condos$800k–$4m4–7% gross
George Town / Camana Bay$500k–$1.5m4–6% gross
DominicaCBI-approved resorts (Anichi, Tranquility/Hilton)$200k–$1m3–6% gross
Roseau & eco-lodges$150k–$800k4–7% gross
Dominican RepublicPunta Cana / Bávaro$150k–$600k6–9% gross
Las Terrenas (Samaná)$200k–$800k6–9% gross
GrenadaCBI-approved resorts (Silversands, Six Senses)$270k–$1.5m4–7% gross
Grand Anse condos$300k–$900k5–7% gross
JamaicaMontego Bay (Rose Hall)$300k–$1.5m5–8% gross
Negril$250k–$1m5–8% gross
Saint BarthélemyManaged villas (island-wide)€3m–€20m5–10%+ gross (peak season)
Saint Kitts & NevisCBI-approved resorts (Park Hyatt, Four Seasons Nevis)$325k–$2m4–6% gross
Frigate Bay (St. Kitts)$300k–$900k5–7% gross
Saint LuciaRodney Bay / Cap Estate (north)$300k–$1.5m5–8% gross
CBI-approved resort residences$200k–$1m4–7% gross
The BahamasParadise Island / Nassau$500k–$2.5m5–8% gross
Exuma (Emerald Bay)$500k–$2m5–8% gross
Turks & CaicosGrace Bay resort condos$600k–$3m5–10%+ gross
Long Bay (Provo)$1m–$4m5–9% gross

South America

MarketLocationIndicative priceGross yield
ArgentinaBuenos Aires (Palermo, San Telmo)$120k–$450k6–9% gross (USD)
Mendoza city$120k–$400k6–8% gross
BrazilFlorianópolis (Santa Catarina)$200k–$900k6–9% gross
Porto de Galinhas / Pipa (Nordeste)$150k–$700k7–10% gross
ChileViña del Mar / Reñaca$180k–$700k5–7% gross
Pucón (Lake District)$200k–$900k5–8% gross
ColombiaMedellín (El Poblado / Laureles)$150k–$500k8–12% gross
Cartagena old town$250k–$1m7–10% gross
ParaguayAsunción (Villa Morra, Recoleta)$55k–$300k6–9% gross (STR 12–15%)

Western & Southern Europe

MarketLocationIndicative priceGross yield
CroatiaSplit & the Makarska Riviera€300k–€1.2m5–8% gross
Istria (Rovinj, Poreč)€350k–€1.5m5–8% gross
CyprusLimassol€300k–€1m5.5–7% gross
Paphos & Ayia Napa/Protaras€250k–€900k5–7% gross
DenmarkWest Jutland (Blåvand, Henne)DKK 3m–8m4–6% gross
BornholmDKK 2.5m–6m4–6% gross
FranceNice & Antibes (Riviera)€350k–€1.5m4–6% gross
French Alps (Morzine, Chamonix)€500k–€2m4–6% gross
GermanyBavarian Alps (Garmisch, Berchtesgaden)€500k–€1.8m3–5% gross
Baltic islands (Rügen, Usedom)€300k–€900k4–6% gross
GibraltarOcean Village£600k–£750k (1–2 bed)3.5–4.5% gross
Midtown & city-centre apartments£400k–£800k4–6% gross
GreeceMykonos & Santorini villas€800k–€5m6–10% gross (season)
Paros, Naxos, Crete€300k–€1.2m6–9% gross
ItalyFlorence, Rome, Venice€400k–€1.5m6–10% gross (STR)
Puglia (Salento)€250k–€1.2m6–9% gross
MaltaSliema & St Julian's€350k–€1.2m4–5.5% gross
SDA resorts (Portomaso, Tigné, Fort Cambridge)€450k–€2m4–6% gross
MontenegroBudva Riviera€200k–€900k5–8% gross
Kotor & Tivat€250k–€1.2m5–7% gross
PortugalCentral Algarve (Albufeira–Lagos)€300k–€1m5–8% gross (10%+ peak)
Lisbon & Porto€350k–€1.2m5–7% gross
SpainCosta del Sol (Estepona–Fuengirola)€300k–€1.2m5–7% gross
Costa Blanca (Alicante, Jávea)€250k–€800k5–7% gross
United KingdomCornwall (St Ives, Padstow)£450k–£1.5m4–7% gross
Lake District£400k–£1.2m4–6% gross

Eastern Mediterranean & Caucasus

MarketLocationIndicative priceGross yield
GeorgiaBatumi$40k–$200k7–10% gross
Tbilisi (Old Town, Vake)$60k–$250k6–9% gross
TurkeyAntalya & Alanya$120k–$500k6–9% gross
Fethiye & Kalkan (Turquoise Coast)$250k–$900k6–9% gross

The Gulf & Middle East

MarketLocationIndicative priceGross yield
JordanAqaba (Ayla, Saraya)JOD 120k–600k5–8% gross
AmmanJOD 90k–350k4–6% gross
OmanAl Mouj apartmentsOMR 120k–350k5–7% gross
Jebel SifahOMR 130k–400k5–7% gross
QatarThe Pearl apartmentsQAR 1.5m–5m6–8% gross
Lusail CityQAR 1.2m–4m7–9% gross
United Arab EmiratesDubai Marina & JBRAED 1.2m–4m6–8% gross
Jumeirah Village Circle (JVC)AED 700k–1.6m7–9% gross

North Africa

MarketLocationIndicative priceGross yield
EgyptEl Gouna$120k–$700k8–12% gross
Hurghada & Sahl Hasheesh$60k–$400k7–10% gross
MoroccoMarrakech riads & villas€300k–€1.5m5–8% gross
Agadir & Taghazout€150k–€600k5–8% gross

East Africa & the Indian Ocean

MarketLocationIndicative priceGross yield
KenyaDiani Beach$150k–$700k6–9% gross
Watamu & Malindi$120k–$600k6–9% gross
MaldivesBranded resort residences$800k–$4m8–10% projected
Hulhumalé / greater Malé apartments$200k–$700k6–9% gross
MauritiusGrand Baie apartments$400k–$1.2m3–5% gross
West coast (Tamarin, Flic-en-Flac)$400k–$1.5m3–5% gross
RéunionSaint-Gilles / Boucan Canot€300k–€900k4–6% gross
Cilaos & Salazie (cirques)€200k–€600k4–6% gross
SeychellesEden Island villas & apartments$500k–$2m5–8% gross
Branded resort residences (Meliá etc.)$490k–$1.6m5–8% gross
São Tomé & PríncipeBoutique eco-lodges (both islands)$200k–$1.5mEco-tourism (nascent)
Tanzania (Zanzibar)Paje & Jambiani (east)$150k–$600k10–15% gross
Nungwi resort condos$150k–$500k8–12% gross

South & Southeast Asia

MarketLocationIndicative priceGross yield
CambodiaPhnom Penh (BKK1/Toul Kork)$120k–$400k7–11% gross
Siem Reap$100k–$500k6–9% gross
IndiaGoa (Assagao–Vagator belt)₹2cr–₹15cr6–10% gross
Rishikesh / Himalayan foothills₹1cr–₹6cr6–9% gross
Indonesia (Bali)Canggu & Pererenan$300k–$700k8–12% gross
Uluwatu & Bingin$250k–$700k10–14% gross
MalaysiaKuala Lumpur (KLCC, Bangsar)RM800k–3m4–6% gross
Penang islandRM700k–2.5m5–7% gross
PhilippinesMetro Manila (BGC, Makati, Ortigas)₱6m–25m5–7% gross
Cebu & Mactan₱5m–20m5–8% gross
SingaporeCore Central Region condosS$1.5m–6m3–4% gross
City-fringe (Districts 3, 14, 15)S$1.2m–3m3–4.5% gross
Sri LankaWeligama & Ahangama$250k–$1.2m6–10% gross
Mirissa & Unawatuna$200k–$900k6–9% gross
ThailandPhuket (Bang Tao, Layan, Rawai)$150k–$2m5–8% gross (villas 6–8%)
Koh Samui$150k–$1.2m5–8% gross
VietnamDa Nang & Nha Trang$120k–$600k5–7% gross
Ho Chi Minh City$150k–$700k4–6% gross

East Asia & the Pacific

MarketLocationIndicative priceGross yield
AustraliaGold Coast (QLD)A$700k–$3m4–6% gross
Sunshine Coast (Noosa)A$900k–$4m4–6% gross
JapanNiseko condos¥40m–¥300m4–7% gross
Kyoto & Tokyo machiya/apartments¥40m–¥200m4–6% gross
New ZealandQueenstown (eligible buyers)NZ$1.2m–$5m4–6% gross
Wanaka & TekapoNZ$1.2m–$4m4–6% gross
Pacific IslandsDenarau & Coral Coast, Fiji$400k–$2m5–8% gross
Tahiti & Moorea pensions$400k–$2m4–7% gross
VanuatuPort VilaAUD 200k–1.2m5–8% gross

What the bands are and are not

These are indicative 2025–26 planning bands drawn from our Destination Factbooks, not quotes and not valuations. They move, they vary street by street, and a gross yield is not a return — it is before management, cleaning, tax, void weeks and the roof.

Their job is narrower and more useful than a valuation: to tell you whether the number in front of you sits inside the range a market normally trades in, or outside it. If it sits outside, ask why, and get an answer before you book the flight.

#valuation#rental yield#buying abroad#due diligence#property guide
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