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, 3-bathroom house of 199 m², built in 2011, energy rating C. Located Loulé (São Clemente) parish, Loulé municipality, Faro district. Noteworthy Features: This property features a stunning outdoor leisure area complete with a summer kitchen and bar, perfect for year-round enjoyment of the Algarve climate.
The valuation. The asking price of €925,000 exceeds the fair value of €762,029 by €162,971 (17.6%). This positions the property as overpriced in the current market. Buy-to-flip angle. A buy-to-flip strategy would involve refurbishing the high-quality finishes and leveraging the popular Algarve location to resell at a premium, despite current overvaluation. Buy-to-let angle. A buy-to-let approach could generate estimated rental income of €2,775 per month, translating to a gross yield of 3.6%, especially appealing in a tourist-favored area like Algarve.
Fair value modelled at €762,029 from the area baseline, adjusted for condition and location. Asking €870,000 sits €162,971 (17.6%) above — overpriced versus fair value.
Asking €870,000 versus the Loulé (São Clemente), Loulé, Faro area baseline of €614,512 (€3,088/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 79/100 (Condition 80 · Materials 78 · Room dimensions 82). Above-median finish quality lifts fair value versus a baseline unit needing CapEx.
Neighbourhood score 58/100 (Housing Market 70 · Amenities 50 · Economic 55 · Tenant Quality 55). Strong amenities and housing-market momentum support a premium to baseline.
Loulé (São Clemente), Loulé, Faro
Area baseline €614,512 + condition +€23,320 + location +€22,906 = modelled fair value of €762,029 (€3,829/m²), a €162,971 (17.6%) gap versus the €870,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Loulé (São Clemente) · b7b815 | Subject | €870,000 | €4,372 | — | 80 | 58 |
| rua das Amendoeiras | Active | €695,000 | €4,317 | 1.3% | 75 | 68 |
| Loulé (São Clemente) · 956bf4 | Active | €769,000 | €3,315 | 24.2% | 75 | 60 |
| Loulé (São Clemente) · cfe060 | Active | €445,000 | €2,557 | 41.5% | 80 | 64 |
| Loulé (São Clemente) · cfe0dc | Active | €895,000 | €3,086 | 29.4% | 78 | 65 |
| Median comp | €732,000 | €3,201 | 26.8% | 77 | 65 |
Short-term vacation rental The 3-bed house in Loulé is listed at €925,000, exceeding the fair value of €762,029 by 17.6%, indicating it is overpriced. Given the gross yield of 3.6%, potential short-term rental returns may not justify this premium price in a suburban area. Long-term rental The property is priced at €925,000 but holds a fair value of €762,029, showcasing a significant overpricing of 17.6%. With the current yield at only 3.6%, it may not meet the returns typically expected from long-term rental investments in the region. Buy-and-hold At €925,000, the 3-bedroom house is clearly overpriced compared to its fair value of €762,029, representing a 17.6% gap. The property’s gross yield of 3.6% suggests that long-term appreciation might struggle to offset the high initial investment cost in a suburban setting.
Economic and Tenant Stability Risk The scores of 55/100 for both economic and tenant stability indicate a significant risk of volatility in rental income and tenant retention, as below-60 scores suggest potential challenges in the local market.
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Comparables, condition and location workings, yield and time-to-sell. Written up and emailed to you.
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