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.
6-bedroom, 7-bathroom villa of 420 m², built in 2000, energy rating D. Located Almancil parish, Loulé municipality, Faro district. This villa features a spacious semi-covered terrace with a barbecue that runs along the entire facade, perfect for outdoor entertaining near the pool and lush gardens.
The valuation. The asking price of €3,000,000 is significantly above the fair value of €2,079,407, representing a premium of €920,593 (30.7%). This property is considered overpriced in the current market. Buy-to-flip angle. The resale strategy focuses on aiming for a higher return by renovating and marketing the villa as a luxury short-term vacation rental, capitalizing on Algarve’s tourism appeal. Buy-to-let angle. The rental income strategy targets long-term family rentals or short-term vacation leasing, with a gross yield of 3.3%, generating an estimated €8,250 per month, despite the current high asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Almancil · 388b83 | Subject | €3,000,000 | €7,143 | — | — | 73 |
| Loulé (São Clemente) · 23f39b | Active | €2,240,000 | €4,187 | 41.4% | — | 63 |
| Almancil · 96c146 | Active | €2,900,000 | €4,662 | 34.7% | 76 | 73 |
| Almancil · 6d5135 | Active | €1,995,000 | €5,955 | 16.6% | 84 | 70 |
| travessa Room. | Active | €4,950,000 | €12,162 | 70.3% | — | 76 |
| Median comp | €2,570,000 | €5,309 | 25.7% | 80 | 72 |
Short-term vacation rental Given the €3,000,000 listing price, which is 30.7% above the fair value of €2,079,407, this property is positioned as overpriced for short-term vacation rentals, where competitive pricing is crucial to attract tourists. The gross yield of 3.3% does not justify the high initial investment in a region deeply reliant on tourism. Buy-and-hold The current price of €3,000,000 represents a significant premium over the fair value of €2,079,407, indicating that the property is overpriced for a buy-and-hold strategy. With a gross yield of only 3.3%, investors may struggle to realize sufficient returns over time in a market driven primarily by tourism. Family rental At €3,000,000, this villa is priced 30.7% above its fair value of €2,079,407, suggesting it is overpriced for a family rental strategy where affordability and competitive pricing are essential. The gross yield of 3.3% reinforces the concern that rental income will not adequately cover the disproportionate initial expenditure in this tourist-centric market.
Economic Vulnerability The economic stability score of 65/100 indicates potential volatility in the local economy, which may impact tenant retention and rental income stability.
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Comparables, condition and location workings, yield and time-to-sell. Written up and emailed to you.
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