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 113 m², built in 2010, energy rating B. Located on rua Doutor Coelho de Carvalho S / N, Ferragudo parish, Lagoa municipality, Faro district. Noteworthy Feature: This apartment uniquely boasts an outdoor terrace complete with a jacuzzi, enhancing its luxury appeal and connection to the surrounding garden views.
The valuation. The asking price of €585,000 is significantly above the fair value of €222,116, with a difference of €362,884 (62.0%). This property is overpriced and does not present a favorable investment opportunity.
Fair value modelled at €222,116 from the area baseline, adjusted for condition and location. Asking €585,000 sits €362,884 (62.0%) above — overpriced versus fair value.
Asking €585,000 versus the rua Doutor Coelho de Carvalho S / N area baseline of €425,445 (€3,765/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 84/100 (Condition 85 · Materials 90 · Room dimensions 80). Above-median finish quality lifts fair value versus a baseline unit needing CapEx.
Neighbourhood score 68/100 (Housing Market 70 · Amenities 65 · Economic 65 · Tenant Quality 70). Strong amenities and housing-market momentum support a premium to baseline.
rua Doutor Coelho de Carvalho S / N
Area baseline €425,445 + condition +€14,125 + location +€13,970 = modelled fair value of €222,116 (€1,966/m²), a €362,884 (62.0%) gap versus the €585,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| rua Doutor Coelho de Carvalho S / N | Subject | €585,000 | €5,177 | — | 85 | 68 |
| rua da Vila Rosa S / N | Active | €647,000 | €5,882 | 13.6% | 80 | 74 |
| Portimão · 99f185 | Active | €515,000 | €3,679 | 28.9% | 75 | 78 |
| Portimão · 96c64b | Active | €785,000 | €5,858 | 13.2% | 75 | 71 |
| Portimão · 090095 | Active | €495,000 | €3,536 | 31.7% | 75 | 75 |
| Median comp | €581,000 | €4,769 | 7.9% | 75 | 75 |
Short-term vacation rental\nThe property is priced significantly above its fair value, resulting in a 62.0% gap that diminishes the potential returns from short-term rentals, which are reliant on consistent occupancy rates. Additionally, with a gross yield of only 2.8%, the financial outlook for this investment strategy is unappealing, making it a less favorable option in the competitive Algarve tourism market.\n\nLong-term rental\nInvesting in this property for long-term rental purposes is not advisable given its substantial overpricing, as indicated by the fair value determination. The combined low yield of 2.8% and a neighbourhood score of 68/100 suggest a limited potential for reliable rental income.\n\nBuy-and-hold\nThe buy-and-hold strategy is undermined by the property's significant overvaluation, with a market price far exceeding its fair value. Given the 2.8% yield and the property’s location in a tourist-heavy area, the long-term capital appreciation prospects may not justify the initial purchase price.
Economic fluctuation risk The economic stability score of 65/100 indicates a moderate risk of economic downturns that could affect rental income and property value.
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