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 apartment of 100 m², built in 1987, energy rating D. Located on praceta Tossan S / N, Loulé (São Clemente) parish, Loulé municipality, Faro district. Noteworthy Features: The property includes two balconies, providing both southern and northern exposure, enhancing natural light and outdoor space for residents. Valuation Verdict: Fair.
The valuation. The asking price of €365,000 is significantly below the fair value of €477,290, indicating a potential undervaluation of €112,290 (30.8%). This positions the property as an attractive investment opportunity.
Fair value modelled at €350,781 from the area baseline, adjusted for condition and location. Asking €365,000 sits €14,219 (3.9%) above — overpriced versus fair value.
Asking €365,000 versus the praceta Tossan S / N area baseline of €359,700 (€3,597/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 56/100 (Condition 58 · Materials 54 · Room dimensions 60). Below-median condition lowers fair value versus a renovated baseline unit. Full condition report →
Neighbourhood score 64/100 (Housing Market 70 · Amenities 60 · Economic 50 · Tenant Quality 70). Strong amenities and housing-market momentum support a premium to baseline. Full location report →
praceta Tossan S / N
Area baseline €359,700 + condition -€29,063 + location +€20,143 = modelled fair value of €350,781 (€3,508/m²), a €14,219 (3.9%) gap versus the €365,000 asking price.
Short-term vacation rental The property in Loulé is positioned well within Algarve's tourism-driven economy, making it a suitable candidate for short-term vacation rentals, which can capitalize on the region's steady influx of tourists. With a gap of 30.8% compared to its fair value, the potential for appreciation in revenue and property value is significant. Long-term rental Given the stable rental demand in Loulé and a gross yield of 3.7%, this property could serve as a reliable long-term rental investment amidst the area's economic reliance on tourism. The gap from fair value suggests that this asset is poised for value increase over time, supporting sustained rental income. Buy-and-hold As a buy-and-hold investment, the apartment benefits from being in a desirable tourist location, which can lead to both capital appreciation and consistent rental income opportunities. The current pricing under fair value presents a favorable entry point for potential investors, while the economic landscape suggests long-term growth potential. Not ideal for: Student housing, Luxury market, Industrial investment
Increased vacancy risk Given the Economic Stability score of 50/100, there is a potential for higher vacancy rates and tenant turnover, impacting rental income and the overall financial viability of the property.
