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, 2-bathroom house of 112 m², energy rating D. Located Moncarapacho e Fuseta parish, Olhão municipality, Faro district. The property includes a well water system and two solar panels, enhancing water autonomy and energy efficiency in a tranquil rural setting.
The valuation. The asking price of €495,000 far exceeds the fair value of €187,111 by €307,889 (62.2%), indicating the property is overpriced. This significant gap raises concerns about the investment potential.
Fair value modelled at €187,111 from the area baseline, adjusted for condition and location. Asking €495,000 sits €307,889 (62.2%) above — overpriced versus fair value.
Asking €495,000 versus the Moncarapacho e Fuseta, Olhão, Faro area baseline of €308,336 (€2,753/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 61/100 (Condition 58 · Materials 61 · Room dimensions 65). Below-median condition lowers fair value versus a renovated baseline unit.
Neighbourhood score 55/100 (Housing Market 50 · Amenities 50 · Economic 50 · Tenant Quality 60). Strong amenities and housing-market momentum support a premium to baseline.
Moncarapacho e Fuseta, Olhão, Faro
Area baseline €308,336 + condition -€25,375 + location +€4,166 = modelled fair value of €187,111 (€1,671/m²), a €307,889 (62.2%) gap versus the €495,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Moncarapacho e Fuseta · dbd469 | Subject | €495,000 | €4,420 | — | 58 | 55 |
| Moncarapacho e Fuseta · 96c413 | Active | €850,000 | €5,782 | 30.8% | 65 | 67 |
| jardim Pechão | Active | €550,000 | €6,875 | 55.6% | 72 | 64 |
| Moncarapacho e Fuseta · dbd46a | Active | €420,000 | €2,692 | 39.1% | 65 | 67 |
| rua de Arte Nova | Active | €585,000 | €2,813 | 36.4% | 65 | 61 |
| Median comp | €567,500 | €4,298 | 2.8% | 65 | 66 |
Long-term rental The property is not conducive to a successful long-term rental strategy due to its 62.2% gap from fair value, translating to an overpriced status at €495,000. With a gross yield of only 3.1% and a combined neighborhood condition score of 55/100, prospects for rental income growth in this rural Algarve context appear limited. Family rental Given the current market conditions and the property being overpriced at €495,000, it may struggle to attract family renters who prioritize value and amenities. The neighborhood's overall score of 55/100 does not align with family expectations for a desirable living environment, contributing to lackluster rental potential. Buy-and-hold Investing in this property as a buy-and-hold strategy seems unwise, as its market price is significantly inflated compared to the fair value of €187,111, presenting a 62.2% overvaluation. Additionally, the gross yield of 3.1% is unlikely to generate sufficient returns over time in a moderately diversified economic area like Moncarapacho e Fuseta.
Economic Vulnerability The economic stability score of 50/100 indicates a higher risk of economic fluctuations that may negatively impact rental income and property value.
