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.
3-bedroom, 4-bathroom townhouse of 143 m², built in 1982, energy rating B. Located Quarteira parish, Loulé municipality, Faro district. Noteworthy Features: The townhouse features a built-in electric fireplace in the living room, enhancing both ambiance and comfort, alongside an integrated outdoor kitchen ideal for entertaining.
The valuation. The asking price of €970,000 is significantly above the fair value of €752,829, resulting in an overstated difference of €217,171 (22.4%). This valuation reflects the property as overpriced. Buy-to-flip angle. The strategy for resale focuses on maximizing profits through renovations and marketing, targeting buyers willing to invest for a more modern coastal lifestyle. Quick turnover in this desirable Algarve location enhances profit potential. Buy-to-let angle. With a gross yield of 3% and an estimated rental income of €2,425/month, the property can attract long-term tenants seeking quality finishes in a prime tourism area. Stable cash flow and investment appreciation are anticipated in this market.
Fair value modelled at €730,744 from the area baseline, adjusted for condition and location. Asking €970,000 sits €239,256 (24.7%) above — overpriced versus fair value.
Asking €970,000 versus the Quarteira, Loulé, Faro area baseline of €665,236 (€4,652/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 81/100 (Condition 77 · Materials 82 · Room dimensions 80). Above-median finish quality lifts fair value versus a baseline unit needing CapEx. Full condition report →
Neighbourhood score 70/100 (Housing Market 80 · Amenities 70 · Economic 60 · Tenant Quality 70). Strong amenities and housing-market momentum support a premium to baseline. Full location report →
Quarteira, Loulé, Faro
Area baseline €665,236 + condition +€12,289 + location +€53,219 = modelled fair value of €730,744 (€5,110/m²), a €239,256 (24.7%) gap versus the €970,000 asking price.
Short-term vacation rental The property's high listing price of €970,000 represents a 22.4% gap from the fair value of €752,829, suggesting that it may not attract the necessary rental demand to generate a profitable return. With a gross yield of only 3%, investing in a short-term vacation rental in this market appears to be a risky financial endeavor given the current valuation. Long-term rental At a listing price of €970,000, the expected gross yield of 3% is insufficient to counterbalance the significant overpricing compared to the fair value of €752,829. Therefore, investing in a long-term rental strategy may lead to suboptimal returns and increased financial strain over time. Buy-and-hold Holding the property at its current pricing of €970,000, which is 22.4% above its fair value, diminishes the potential for long-term capital appreciation and profitability. This investment strategy is likely to underperform due to the inflated valuation and modest yield of only 3%.
Economic Vulnerability The economic stability score of 60/100 suggests a moderate risk of economic downturns affecting property values and rental income.
