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.
8-bedroom, 6-bathroom house of 225 m², built in 1985, energy rating C. Located on rua Comandante Matoso, Sagres parish, Vila do Bispo municipality, Faro district. Noteworthy Features: The property includes an independent one-bedroom unit ideal for guest accommodation or rental income, and its spacious garden offers ample potential for outdoor leisure space enhancement.
The valuation. The asking price of €850,000 sits €443,953 (52.2%) above the fair value of €406,047. This property is clearly overpriced given its valuation and market context.
Fair value modelled at €406,047 from the area baseline, adjusted for condition and location. Asking €850,000 sits €443,953 (52.2%) above — overpriced versus fair value.
Asking €850,000 versus the rua Comandante Matoso area baseline of €386,325 (€1,717/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 71/100 (Condition 68 · Materials 75 · Room dimensions 74). Below-median condition lowers fair value versus a renovated baseline unit.
Neighbourhood score 73/100 (Housing Market 80 · Amenities 70 · Economic 65 · Tenant Quality 70). Strong amenities and housing-market momentum support a premium to baseline.
rua Comandante Matoso
Area baseline €386,325 + condition -€15,820 + location +€35,542 = modelled fair value of €406,047 (€1,805/m²), a €443,953 (52.2%) gap versus the €850,000 asking price.
Short-term vacation rental The property in Sagres, priced at €850,000, significantly exceeds its fair value estimate of €406,047, indicating a 52.2% gap and suggesting it is overpriced in the current market. With a gross yield of 0% and the area's dependence on seasonal tourism, the financial return from short-term rentals is unlikely to justify the investment. Long-term rental At a listing price of €850,000, the property is not positioned to generate desired returns as the valuation gap of 52.2% to its fair value of €406,047 highlights it is overpriced. Given the 0% gross yield and moderate condition ratings, long-term rental viability appears compromised by high initial investment costs. Buy-and-hold Investing in this 8-bed house for a buy-and-hold strategy may not be prudent, as it is listed at €850,000 while fair value is only €406,047, revealing a substantial 52.2% discrepancy indicating it is overpriced. The economic influence of seasonal tourism in the region is unlikely to support sufficient appreciation to cover the investment premium.
Potential Economic Decline The economic stability score of 65/100 suggests a moderate risk of economic downturns that could affect future rental income and property value.
