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 116 m², energy rating E. Located Luz de Tavira e Santo Estévão parish, Tavira municipality, Faro district. This property features a terrace with a pleasant view of Ria Formosa and a backyard equipped with a BBQ area, ideal for outdoor entertaining.
The valuation. The asking price of €440,000 is €43,582 (9.9%) above the fair value of €396,418. Given this discrepancy, the property is considered overpriced.
Fair value modelled at €396,418 from the area baseline, adjusted for condition and location. Asking €440,000 sits €43,582 (9.9%) above — overpriced versus fair value.
Asking €440,000 versus the Luz de Tavira e Santo Estévão, Tavira, Faro area baseline of €367,604 (€3,169/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 53/100 (Condition 58 · Materials 55 · Room dimensions 50). Below-median condition lowers fair value versus a renovated baseline unit.
Neighbourhood score 60/100 (Housing Market 70 · Amenities 55 · Economic 50 · Tenant Quality 60). Strong amenities and housing-market momentum support a premium to baseline.
Luz de Tavira e Santo Estévão, Tavira, Faro
Area baseline €367,604 + condition -€40,781 + location +€16,815 = modelled fair value of €396,418 (€3,417/m²), a €43,582 (9.9%) gap versus the €440,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Luz de Tavira e Santo Estévão · 001a0b | Subject | €440,000 | €3,793 | — | 58 | 60 |
| jardim Pechão | Active | €550,000 | €6,875 | 81.3% | 72 | 64 |
| autoestrada EM516 | Active | €375,000 | €3,099 | 18.3% | 80 | 63 |
| autoestrada EM516 | Active | €375,000 | €3,099 | 18.3% | 75 | 66 |
| Moncarapacho e Fuseta · 49b7ff | Active | €850,000 | €4,474 | 17.9% | 65 | 63 |
| Median comp | €462,500 | €3,787 | 0.2% | 74 | 64 |
Short-term vacation rental The property is overpriced at €440,000, given the fair value of €396,418 and a yield of only 3.6%. This gap makes it less attractive for short-term vacation rentals in the tourism-driven Algarve market. Long-term rental With a listing price that surpasses fair value by 9.9%, this property is not an ideal candidate for long-term rental investments. The gross yield of 3.6% further demonstrates that the pricing does not support sustainable rental income expectations. Buy-and-hold Although the Algarve is a popular region for investment, the current asking price of €440,000 places this 2-bed house above its fair value, indicating a potentially poor buy-and-hold investment. The fundamentals of the neighbourhood, rated 60/100, do not compensate for the price premium being asked for the property.
Economic Vulnerability The property faces a significant investment risk due to a low economic stability score of 50/100, indicating potential challenges in the local economy that could affect rental income and property value.
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