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, 1-bathroom house of 92 m², built in 1973, energy rating E. Located on via Alameda em Olhão, Quelfes parish, Olhão municipality, Faro district. Noteworthy Features: The property boasts authentic Olhanense vaults, a rare architectural detail that enhances its interior charm, alongside a spacious terrace perfect for entertaining or relaxation. Investment Potential: With renovation, this home could significantly appreciate in value due to its unique historical elements and prime location.**
The valuation. The asking price of €230,000 is significantly above the fair value of €156,226, resulting in an overpriced status of €73,774 (32.1%). This discrepancy raises concerns about the potential investment viability. Buy-to-flip angle. A buy-to-flip strategy would require investing in renovations to enhance the property before resale, with the goal of capitalizing on the Algarve's tourism-driven demand, though the current overvaluation poses a significant risk. Buy-to-let angle. The property can be positioned for a long-term rental strategy, where estimated monthly rent of €1,016 presents a gross yield of 5.3%, appealing to the steady demand from locals and tourists alike.
Fair value modelled at €156,226 from the area baseline, adjusted for condition and location. Asking €230,000 sits €73,774 (32.1%) above — overpriced versus fair value.
Asking €230,000 versus the via Alameda em Olhão area baseline of €250,056 (€2,718/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 65/100 (Condition 58 · Materials 70 · Room dimensions 75). Below-median condition lowers fair value versus a renovated baseline unit.
Neighbourhood score 70/100 (Housing Market 75 · Amenities 70 · Economic 65 · Tenant Quality 70). Strong amenities and housing-market momentum support a premium to baseline.
via Alameda em Olhão
Area baseline €250,056 + condition -€14,375 + location +€12,637 = modelled fair value of €156,226 (€1,698/m²), a €73,774 (32.1%) gap versus the €230,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| via Alameda em Olhão | Subject | €230,000 | €2,500 | — | 58 | 70 |
| Olhão · 1e6029 | Active | €400,000 | €4,124 | 64.9% | 76 | 70 |
| Quelfes · 65a805 | Active | €410,000 | €3,761 | 50.5% | 50 | 60 |
| Quelfes · 99f3f9 | Active | €500,000 | €2,101 | 16.0% | 70 | 63 |
| Quelfes · 6fbc8e | Active | €570,000 | €2,591 | 3.6% | 70 | 59 |
| Median comp | €455,000 | €3,176 | 27.0% | 70 | 62 |
Short-term vacation rental This property, listed at €230,000, is significantly overpriced compared to the fair value of €156,226, presenting a 32.1% gap. While the Algarve is a bustling tourist destination, the high initial investment dilutes potential returns from gross yields of 5.3%. Long-term rental At a listing price of €230,000, this property is overpriced compared to the fair value of €156,226, leaving a concerning 32.1% premium that impacts long-term cash flow. Although the neighborhood scores 70/100, the property's condition of 65/100 raises concerns about tenant satisfaction and retention, further complicating the investment. Buy-and-hold With the property's asking price at €230,000, the valuation is 32.1% over its fair value of €156,226, limiting upside potential in long-term appreciation. The Algarve's economic reliance on tourism may support property values, but the significant overpricing restricts substantial returns in a buy-and-hold strategy.
Economic Vulnerability With an economic stability score of 65 out of 100, there is a risk that local economic fluctuations could negatively impact tenant demand and rental income stability.
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