Commercial Property vs FD — real rental yield or a guaranteed bank rate?
Commercial property can deliver a higher yield than a bank FD once rental income is counted, but with real vacancy, management and liquidity risk an FD doesn't have. Compare both on the same capital.
Commercial Property vs FD Calculator — 15-year comparison
Opens Compare Lab pre-loaded with both, in your own currency — adjust any input and the chart updates instantly.
Compare now →A shop, office, or similar commercial unit purchased for rental income, typically at a higher yield than residential but requiring more capital.
Best for: Investors with more capital who can tolerate longer vacancy risk in exchange for a potentially higher yield.
A lump sum deposited with a bank for a fixed tenure at a fixed, guaranteed interest rate.
Best for: Capital you can't afford to risk — an emergency fund, or a short-term goal within a couple of years.
Is commercial property's yield really higher than an FD's rate?
Often, yes, on paper — but an FD's rate is guaranteed and liquid, while a commercial property's yield depends on staying occupied, and any vacancy period pulls the real return well below the property's on-paper yield.
What about the appreciation on top of rental income?
That's the real case for commercial property over an FD — but appreciation isn't guaranteed the way an FD's maturity value is, so it should be treated as upside, not a certainty, when comparing the two.
Where do these numbers actually come from?
The same calculation engine that powers our standalone calculators and Compare Lab — nothing here is a separate or simplified estimate. Every assumption (rate, tenure, tax) is visible and adjustable once you open the comparison with your own numbers.