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, 2-bathroom house of 97 m², energy rating D. Located Vila Nova de Cacela parish, Vila Real de Santo António municipality, Faro district. Noteworthy Features: This townhouse features a spacious outdoor patio with barbecue and shower, perfect for outdoor entertaining, and an enclosed balcony that adds extra storage space to the second bedroom.
The valuation. The asking price of €360,000 is significantly above the fair value of €167,631, which indicates it is overpriced by €192,369 (53.4%). This considerable discrepancy suggests potential investors may be better served exploring other opportunities. Buy-to-flip angle. Given the property's condition rating of 70/100, a buy-to-flip strategy may not yield substantial profits due to the notable upfront cost and market competitiveness. Investors should be cautious of the current asking price versus potential resale margins. Buy-to-let angle. With a gross yield of 3.4% and estimated rental income of €1,020 per month, a buy-to-let strategy could provide a steady, albeit modest, income. The Algarve's tourism sector may enhance short-term rental possibilities for increased revenue.
Fair value modelled at €167,631 from the area baseline, adjusted for condition and location. Asking €360,000 sits €192,369 (53.4%) above — overpriced versus fair value.
Asking €360,000 versus the Vila Nova de Cacela, Vila Real de Santo António, Faro area baseline of €312,146 (€3,218/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 70/100 (Condition 68 · Materials 73 · Room dimensions 72). Below-median condition lowers fair value versus a renovated baseline unit.
Neighbourhood score 63/100 (Housing Market 70 · Amenities 60 · Economic 60 · Tenant Quality 60). Strong amenities and housing-market momentum support a premium to baseline.
Vila Nova de Cacela, Vila Real de Santo António, Faro
Area baseline €312,146 + condition -€7,578 + location +€8,661 = modelled fair value of €167,631 (€1,728/m²), a €192,369 (53.4%) gap versus the €360,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Vila Nova de Cacela · 001578 | Subject | €360,000 | €3,711 | — | 68 | 63 |
| Vila Nova de Cacela · 0dcf5b | Active | €466,000 | €3,641 | 1.9% | 72 | 64 |
| rua do Oriente | Active | €645,000 | €5,039 | 35.8% | 80 | 63 |
| rua do Oceano S / N C | Active | €465,000 | €3,207 | 13.6% | — | 57 |
| Altura · 00150f | Active | €495,000 | €3,056 | 17.7% | 78 | 54 |
| Median comp | €480,500 | €3,424 | 7.7% | 78 | 60 |
Long-term rental The property is priced at €360,000, significantly above its fair value of €167,631, resulting in a 53.4% gap that suggests it is overpriced. With a gross yield of only 3.4%, this investment does not align with the competitive return expectations for long-term rentals in the area. Short-term vacation rental Given its listing price of €360,000, which is far higher than the fair value of €167,631, the property is overpriced by 53.4%. The combination of a moderate yield of 3.4% and the neighborhood's rating of 63/100 may hinder its attractiveness as a short-term vacation rental. Family rental At a listing price of €360,000, which exceeds the fair value of €167,631 by 53.4%, this property is deemed overpriced for family rental purposes. The neighborhood conditions reflected in the housing market and tenant quality ratings further suggest that the investment may not yield sufficient returns in this category.
Economic Dependency Risk The property is exposed to potential economic instability, reflected by a moderate economic stability score of 60/100, which may lead to fluctuating rental income and increased vacancy rates. Additionally, a tenant stability score of 60/100 indicates a lack of long-term tenants, further increasing the risk of income volatility.
