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.
1-bedroom, 1-bathroom apartment of 63 m², built in 1972. Located Portimão parish, Portimão municipality, Faro district. Highlight: This apartment uniquely features exclusive access to a terrace, offering an outdoor space perfect for relaxation in the pleasant Algarvian climate.
The valuation. The asking price of €265,000 is significantly above the fair value of €124,047, reflecting a difference of €140,953 or 53.2%. This property is overpriced based on current market conditions. Buy-to-flip angle. A resale strategy could look to capitalize on short-term tourism demand in the Algarve, aiming for a profitable exit within a relatively quick timeframe depending on refurbishment. Buy-to-let angle. With an estimated gross yield of 3.5% at €773 per month, the property could attract steady rental income, especially catering to the vacation rental sector given its prime location in a tourist area.
Fair value modelled at €114,245 from the area baseline, adjusted for condition and location. Asking €265,000 sits €150,755 (56.9%) above — overpriced versus fair value.
Asking €265,000 versus the Portimão, Portimão, Faro area baseline of €108,171 (€1,717/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 72/100 (Condition 72 · Materials 77 · Room dimensions 70). Below-median condition lowers fair value versus a renovated baseline unit. Full condition report →
Neighbourhood score 72/100 (Housing Market 75 · Amenities 80 · Economic 65 · Tenant Quality 70). Strong amenities and housing-market momentum support a premium to baseline. Full location report →
Portimão, Portimão, Faro
Area baseline €108,171 + condition -€3,445 + location +€9,519 = modelled fair value of €114,245 (€1,813/m²), a €150,755 (56.9%) gap versus the €265,000 asking price.
Short-term vacation rental The property is overpriced by 53.2% compared to its fair value, making it a challenging investment for the short-term vacation rental market. With a gross yield of only 3.5% and a moderate condition rating of 72/100, potential returns are unlikely to attract vacationers in a competitive market. Family rental This 1-bed apartment's pricing exceeds fair value, presenting risks for family rental viability given the current market conditions. Despite being in a tourist area, the high price combined with a tenant quality rating that doesn’t fully capitalize on local demand could limit potential rental income. Buy-and-hold As the property is priced significantly above its fair value, long-term buy-and-hold strategies might not yield the expected appreciation or income. The market's reliance on tourism combined with a fair condition rating of 72/100 suggests that holding this property could result in stagnant equity growth over time.
Economic vulnerability With an economic stability score of 65/100, there is a notable risk of economic fluctuations impacting tenant retention and property value.
