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.
2-bedroom, 1-bathroom apartment of 84 m², built in 1976, energy rating D. Located on rua Almirante Reis, Quelfes parish, Olhão municipality, Faro district. Noteworthy Features: This apartment features a continuous balcony that enhances outdoor living space and offers good natural lighting, creating a bright and airy atmosphere throughout the home.
The valuation. The asking price of €240,000 is significantly higher than the fair value of €126,528, marking a discrepancy of €113,472 (47.3%). This property is overpriced and does not represent a sound investment compared to market expectations.
Fair value modelled at €126,528 from the area baseline, adjusted for condition and location. Asking €240,000 sits €113,472 (47.3%) above — overpriced versus fair value.
Asking €240,000 versus the rua Almirante Reis area baseline of €144,228 (€1,717/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 56/100 (Condition 60 · Materials 50 · Room dimensions 60). Below-median condition lowers fair value versus a renovated baseline unit.
Neighbourhood score 63/100 (Housing Market 70 · Amenities 60 · Economic 50 · Tenant Quality 60). Strong amenities and housing-market momentum support a premium to baseline.
rua Almirante Reis
Area baseline €144,228 + condition -€25,200 + location +€7,500 = modelled fair value of €126,528 (€1,506/m²), a €113,472 (47.3%) gap versus the €240,000 asking price.
Long-term rental The property's current listing price of €240,000 represents a significant 47.3% gap from its fair value of €126,528, indicating it is overpriced for long-term rental purposes. With a gross yield of only 5%, the investment returns do not justify the asking price in a market that is heavily reliant on seasonal tourism. Short-term vacation rental With the neighborhood receiving a score of 63/100, the demand for short-term vacation rentals in Quelfes, Olhão may be impacted by the property's inflated price of €240,000, far exceeding its fair value of €126,528. Despite the vacation potential in the Algarve, the significant pricing gap makes this a less attractive investment opportunity. Buy-and-hold The buy-and-hold strategy may not be advisable for this property, as it is overpriced at €240,000 when the fair value is determined to be €126,528, leading to a concerning 47.3% disparity. The economic reliance on seasonal tourism may not yield sufficient long-term appreciation to justify the overvaluation. Not ideal for: Student housing, Luxury market, Industrial investment This property is not suitable for student housing or the luxury market due to its condition score of 56/100 and high price point. Additionally, as an investment in industrial real estate, it does not meet the criteria for success due to the lack of compatibility with the local economic landscape.
Market volatility risk The economic stability score of 50 indicates a significant risk of market fluctuations, which may lead to potential income instability for the property, especially with a tenant stability score of 60 suggesting moderate turnover risk.
