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.
4-bedroom, 2-bathroom apartment of 151 m², built in 1988, energy rating E. Located on estrada de Alvor, Portimão parish, Portimão municipality, Faro district. Noteworthy Features: This apartment boasts a large terrace perfect for outdoor entertaining, and its proximity to essential services enhances daily convenience for residents.
The valuation. The asking price of €395,000 is significantly above the fair value of €305,946, presenting an overpricing of €89,054 (22.5%). This indicates that the property may not be a sound investment at its current listing. Buy-to-flip angle. A buy-to-flip strategy could involve targeting the luxury market in Portimão, aiming to enhance curb appeal and capitalize on seasonal demand. However, the initial price suggests limited profit potential in flipping this property. Buy-to-let angle. Implementing a rental income strategy could generate earnings through short-term vacation rentals, taking advantage of the Algarve's high tourist influx. Nevertheless, the gross yield of 0% indicates that current rental income won't cover investment costs effectively.
Fair value modelled at €281,935 from the area baseline, adjusted for condition and location. Asking €395,000 sits €113,065 (28.6%) above — overpriced versus fair value.
Asking €395,000 versus the estrada de Alvor area baseline of €259,267 (€1,717/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 72/100 (Condition 75 · Materials 70 · Room dimensions 70). Below-median condition lowers fair value versus a renovated baseline unit. Full condition report →
Neighbourhood score 78/100 (Housing Market 80 · Amenities 80 · Economic 75 · Tenant Quality 80). Strong amenities and housing-market momentum support a premium to baseline. Full location report →
estrada de Alvor
Area baseline €259,267 + condition -€6,370 + location +€29,038 = modelled fair value of €281,935 (€1,867/m²), a €113,065 (28.6%) gap versus the €395,000 asking price.
Short-term vacation rental The property, listed at €395,000, is overpriced by 22.5% compared to its fair value of €305,946, making it a less attractive option for short-term vacation rentals, especially in a competitive market like Algarve. With a gross yield of 0%, the investment lacks immediate cash flow potential, further diminishing its viability as a vacation rental. Buy-and-hold This apartment is overpriced at €395,000, reflecting a gap of 22.5% from the fair value of €305,946, which poses a significant hurdle for long-term investors seeking sustainable growth. The current condition rating of 72/100 suggests that ongoing maintenance may erode returns further, making this a suboptimal choice for a buy-and-hold strategy. Luxury market Even in Portimão's desirable location, the apartment's pricing of €395,000 is 22.5% above the fair value of €305,946, limiting its appeal in the luxury market segment. The combination of a gross yield of 0% and a condition score of 72/100 indicates that this property may struggle to attract high-end buyers seeking quality and profitability in their investments.
Tenant turnover risk: With a tenant stability score of 80/100, there remains a 20% potential for turnover, which could disrupt income and increase vacancy costs.
