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 apartment of 132 m², built in 2000, energy rating D. Located on rua Hermano M. Seromenho, Luz parish, Lagos municipality, Faro district. This top-floor apartment boasts not only spacious rooms but also a charming fireplace in the living room, enhancing its comfort and appeal for relaxation or entertaining.
The valuation. The asking price of €430,000 sits significantly above the fair value of €227,789, indicating an overvaluation of €202,211 (47.0%). This property is considered overpriced and not aligned with current market trends.
Fair value modelled at €227,789 from the area baseline, adjusted for condition and location. Asking €430,000 sits €202,211 (47.0%) above — overpriced versus fair value.
Asking €430,000 versus the rua Hermano M. Seromenho area baseline of €595,452 (€4,511/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 73/100 (Condition 70 · Materials 75 · Room dimensions 75). Below-median condition lowers fair value versus a renovated baseline unit.
Neighbourhood score 72/100 (Housing Market 80 · Amenities 75 · Economic 65 · Tenant Quality 70). Strong amenities and housing-market momentum support a premium to baseline.
rua Hermano M. Seromenho
Area baseline €595,452 + condition -€5,156 + location +€18,841 = modelled fair value of €227,789 (€1,726/m²), a €202,211 (47.0%) gap versus the €430,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| rua Hermano M. Seromenho | Subject | €430,000 | €3,258 | — | 70 | 72 |
| Luz · 28b9cd | Active | €435,000 | €2,825 | 13.3% | 75 | 70 |
| Luz · f35f5f | Active | €465,000 | €5,813 | 78.4% | 72 | 76 |
| São Gonçalo de Lagos · 0022fe | Active | €460,000 | €5,055 | 55.2% | 72 | 75 |
| Luz · 6ebb79 | Active | €520,000 | €4,643 | 42.5% | 78 | 73 |
| Median comp | €462,500 | €4,849 | 48.9% | 74 | 74 |
Short-term vacation rental The property’s asking price of €430,000 reflects an overvaluation compared to the fair value of €227,789, suggesting limited profitability as a short-term vacation rental despite a gross yield of 6%. Given the high demand for rental properties during the tourist season in the Algarve, the significant gap from fair value raises concerns about achieving sustainable returns. Family rental With the fair value estimated at €227,789, the €430,000 listing price indicates that the apartment is overpriced and may limit appeal to families seeking reasonably priced rentals. While the apartment's condition is rated 73/100, the current pricing could deter potential long-term tenants looking for affordable housing. Buy-and-hold The buy-and-hold strategy may be less viable for this 2-bed apartment given its listing price of €430,000, significantly above the fair value of €227,789. Although the property is located in a desirable area for rentals, the substantial overprice raises questions about the long-term appreciation potential and overall investment viability.
Potential Economic Decline The economic stability score of 65/100 indicates a moderate risk of downturns that could adversely affect property profitability and tenant retention.
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