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.
1-bedroom, 1-bathroom apartment of 95 m², energy rating C. Located on avenida Beira Mar, Armação de Pêra parish, Silves municipality, Faro district. Unique Feature: The apartment boasts a private balcony with unobstructed ocean views, ideal for enjoying sunsets and the soothing sound of the sea, enhancing the coastal living experience.
The valuation. The asking price of €420,000 is significantly above the fair value of €156,574, representing an overpricing of €263,426 (62.7%). This makes it a poor investment choice for potential buyers.
Fair value modelled at €156,574 from the area baseline, adjusted for condition and location. Asking €420,000 sits €263,426 (62.7%) above — overpriced versus fair value.
Asking €420,000 versus the avenida Beira Mar area baseline of €356,820 (€3,756/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 64/100 (Condition 68 · Materials 62 · Room dimensions 66). Below-median condition lowers fair value versus a renovated baseline unit.
Neighbourhood score 65/100 (Housing Market 75 · Amenities 65 · Economic 55 · Tenant Quality 65). Strong amenities and housing-market momentum support a premium to baseline.
avenida Beira Mar
Area baseline €356,820 + condition -€16,328 + location +€9,787 = modelled fair value of €156,574 (€1,648/m²), a €263,426 (62.7%) gap versus the €420,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| avenida Beira Mar | Subject | €420,000 | €4,421 | — | 68 | 65 |
| rua das Embarcações, 8A | Active | €289,000 | €4,738 | 7.2% | 65 | 69 |
| rua General Humberto Delgado | Active | €215,000 | €4,135 | 6.5% | 64 | 71 |
| via Dorsal de Armação de Pêra | Active | €270,000 | €5,192 | 17.4% | — | 67 |
| rua Coronel Joaquim Santos Gomes | Active | €250,000 | €5,000 | 13.1% | — | 72 |
| Median comp | €260,000 | €4,869 | 10.1% | 65 | 70 |
Short-term vacation rental The apartment's high price tag of €420,000 significantly exceeds its fair value of €156,574, creating a daunting barrier to profitability in short-term rentals, as evidenced by a low gross yield of 2.7%. Additionally, the apartment's condition and neighbourhood ratings suggest limited appeal to vacationers seeking quality accommodations. Buy-and-hold Holding this property as a long-term investment does not justify the substantial price over the fair value; with a yield of only 2.7%, returns may not cover the initial investment risk in a rapidly fluctuating market. Moreover, the overall condition and neighbourhood ratings indicate that appreciation may be limited in the long run. Family rental Despite the potential for steady demand from families in the tourist-centric Algarve region, the listing price of €420,000 is far too high relative to its fair value, reflecting an unattractive rental yield of 2.7%. Considering the average quality of the building and the surrounding area, this property may fail to attract long-term family tenants. Not ideal for Student housing and Luxury market. The high price point and relatively low yield make the property unsuitable for students and unlikely to meet the demands of the luxury market.
Economic Vulnerability With an economic stability score of 55/100, there is a heightened risk that local economic downturns could adversely affect tenant demand and rental income.
