This listing includes AI condition scoring, neighbourhood intelligence, and market valuation data — giving you a complete picture before you visit. Compare rental yield, price per square metre, and location strength against the broader Portuguese market to assess whether this property fits your investment strategy.
0-bedroom, 0-bathroom mix_use_building of 160 m², built in 1986, energy rating E. Located on rua de Sao Pedro, Faro (Sé e São Pedro) parish, Faro municipality, Faro district. Noteworthy Features: The property boasts a prime location with excellent solar exposure and convenient access to various local amenities, including schools, commerce, and public transport, ensuring high occupancy potential.
The valuation. The asking price of €700,000 is significantly above the fair value of €473,732, marking an overvaluation of €226,268, or 32.3%. This indicates that the property is overpriced. Buy-to-flip angle. The property could be renovated to enhance its appeal in the rapidly growing market, aiming for a quick resale at a competitive price point in the thriving Algarve region. Buy-to-let angle. Due to the high tourist demand in this coastal area, long-term or short-term vacation rentals could generate steady income, although current gross yield stands at 0% pending rental engagement.
Fair value modelled at €473,732 from the area baseline, adjusted for condition and location. Asking €700,000 sits €226,268 (32.3%) above — overpriced versus fair value.
Asking €700,000 versus the rua de Sao Pedro area baseline of €520,160 (€3,251/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 72/100 (Condition 70 · Materials 75 · Room dimensions 69). Below-median condition lowers fair value versus a renovated baseline unit.
Neighbourhood score 63/100 (Housing Market 60 · Amenities 65 · Economic 60 · Tenant Quality 70). Strong amenities and housing-market momentum support a premium to baseline.
rua de Sao Pedro
Area baseline €520,160 + condition -€8,000 + location +€23,812 = modelled fair value of €473,732 (€2,961/m²), a €226,268 (32.3%) gap versus the €700,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| rua de Sao Pedro | Subject | €700,000 | €4,375 | — | 70 | 63 |
| Faro (Sé e São Pedro) · 60331d | Active | €3,050,000 | €3,359 | 23.2% | 68 | 70 |
| Faro (Sé e São Pedro) · 603322 | Active | €1,290,000 | €2,638 | 39.7% | 79 | 64 |
| Faro (Sé e São Pedro) · 8d9fcc | Active | €1,290,000 | €2,638 | 39.7% | 78 | 59 |
| rua Brito Cabreira, 11 | Active | €634,000 | €3,108 | 29.0% | — | 66 |
| Median comp | €1,290,000 | €2,873 | 34.3% | 78 | 65 |
Long-term rental The potential long-term rental market for this property seems limited given its current price point far above fair value. With a fair value of €473,732 and a significant gap of 32.3%, it may struggle to attract renters due to its high cost compared to local housing options. Short-term vacation rental While the coastal location near Algarve is attractive for tourism, the property is overpriced at €700,000, limiting its appeal for short-term vacation rentals. The unsustainable expectation of yield in a market where the fair value is significantly lower could deter travelers looking for competitive pricing. Family rental The assessment of this property reveals it is overpriced, presenting challenges for its viability as a family rental. Families seeking long-term accommodations are unlikely to opt for a property priced 32.3% higher than its fair value, especially with the neighborhood's condition rating at a modest 72/100. Not ideal for: This property is clearly not suited for the student housing market, given its inflated pricing relative to fair value. Moreover, targeting the luxury market would be misaligned as the value expectations of affluent renters are unlikely to be met in a property noted as overpriced.
Economic Vulnerability: With an economic stability score of 60/100, the investment faces potential challenges as economic fluctuations could negatively impact tenant occupancy rates and rental income.
