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.
1-bedroom, 1-bathroom apartment of 59 m², energy rating E. Located on rua da Alvorada, 15, Alvor parish, Portimão municipality, Faro district. Noteworthy Features: This apartment includes an active Local Accommodation License, making it a prime investment opportunity for short-term rentals in the desirable Alvor area.
The valuation. The asking price of €255,000 is significantly above the fair value of €122,646, representing an overpriced condition with a premium of €132,354 or 51.9%. Buy-to-flip angle. The resale strategy targets a quick turnaround by capitalizing on the high-quality finishes in the apartment, aiming for a profit following renovation and marketing in the attractive Algarve market. Buy-to-let angle. With an estimated gross yield of 3.5%, the rental income strategy focuses on leveraging the region's tourism by offering the apartment as a short-term vacation rental to maximize monthly returns.
Fair value modelled at €113,500 from the area baseline, adjusted for condition and location. Asking €255,000 sits €141,500 (55.5%) above — overpriced versus fair value.
Asking €255,000 versus the rua da Alvorada, 15 area baseline of €101,303 (€1,717/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 79/100 (Condition 74 · Materials 82 · Room dimensions 80). Above-median finish quality lifts fair value versus a baseline unit needing CapEx. Full condition report →
Neighbourhood score 71/100 (Housing Market 75 · Amenities 80 · Economic 60 · Tenant Quality 60). Strong amenities and housing-market momentum support a premium to baseline. Full location report →
rua da Alvorada, 15
Area baseline €101,303 + condition +€3,688 + location +€8,509 = modelled fair value of €113,500 (€1,924/m²), a €141,500 (55.5%) gap versus the €255,000 asking price.
Short-term vacation rental Given the property's listing price of €255,000, which is 51.9% above its fair value of €122,646, the potential for a competitive yield of only 3.5% gross is significantly diminished. The high price relative to local fair values suggests that this investment may not generate sufficient returns and could risk being uncompetitive in the vibrant vacation rental market. Buy-and-hold With a listing price that far exceeds its fair value, the 3.5% gross yield does not justify the high initial investment of €255,000. As the tourism market stabilizes, the elevated purchase cost could impede long-term appreciation and curtail overall profitability. Family rental At €255,000, which is substantially over the fair value of €122,646, the apartment's gross yield of 3.5% indicates a poor fit for families seeking value for money. The inflated price may limit access for quality tenants, suggesting that the investment could underperform in a family rental strategy.
Potential Decline in Tenancy The economic and tenant stability scores of 60/100 indicate a moderate risk of fluctuations in tenant occupancy and potential income instability due to varying local economic conditions.
