Rhodotorula yeast was isolated from various local sources. Fifty isolates were collected during the years 2012-2013 where 13 were isolated from soil, 23 from tree leaves and 14 from food. The isolates AUX system. Were classified into three Rhodotorula species: R. mucilaginosa, R. glutinis and R. minuta with 76%, 20% and 4% respectively using API 20c. Six methods were applied in breaking down the yeast cells and extracting the carotenoids. It was shown the quantity of carotenoides extracted with the modified method by adding DMSO to the yeast biomass and incubating for 24 hrs at 4˚C yielded in higher quantities when compared with the other five methods. All isolates were able to produce carotenoides but they varied in their efficiency where the isolate A24 (R.mucilaginosa) isolated from food was distinguished by its high level of production which reached 658.23 μg/g dry weight compared with the others.