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, 3-bathroom house of 161 m², built in 1981, energy rating D. Located on rua das Amendoeiras, Loulé (São Clemente) parish, Loulé municipality, Faro district. This property features a rooftop terrace with panoramic views of the sea and Algarve, complemented by a private pool, making it ideal for leisure and relaxation.
The valuation. The asking price of €695,000 exceeds the fair value of €629,367 by €65,633 (9.4%). This property is classified as overpriced based on current market assessments.
Fair value modelled at €629,367 from the area baseline, adjusted for condition and location. Asking €695,000 sits €65,633 (9.4%) above — overpriced versus fair value.
Asking €695,000 versus the rua das Amendoeiras area baseline of €579,117 (€3,597/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 78/100 (Condition 75 · Materials 80 · Room dimensions 79). Above-median finish quality lifts fair value versus a baseline unit needing CapEx.
Neighbourhood score 68/100 (Housing Market 70 · Amenities 75 · Economic 65 · Tenant Quality 60). Strong amenities and housing-market momentum support a premium to baseline.
rua das Amendoeiras
Area baseline €579,117 + condition +€8,553 + location +€41,696 = modelled fair value of €629,367 (€3,909/m²), a €65,633 (9.4%) gap versus the €695,000 asking price.
Short-term vacation rental The property's yield of 3.8% gross makes it less attractive for short-term rental purposes, particularly considering the fair value of €629,367 compared to the listing price of €695,000. In a competitive tourist market like coastal Algarve, an overpriced property could struggle to meet investor expectations for returns. Buy-and-hold Holding this property is not advisable due to its 9.4% gap from fair value, which suggests a potential for continued depreciation. The 78/100 condition score also indicates that while the home is decent, it may require significant upkeep to maintain desirable rental characteristics. Family rental Although the location in Loulé is appealing for families, the property's current listing price does not align with its fair value, making it a less favorable investment for long-term tenants. Additionally, the neighbourhood rating of 68/100 suggests it may lack some desirable characteristics, further complicating the attractiveness of this investment strategy.
Tenant turnover risk Higher tenant turnover is likely due to a tenant stability score of 60/100, which suggests potential difficulties in maintaining consistent occupancy and rental income.
