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, 1-bathroom apartment of 101 m², energy rating D. Located on avenida da República S / N, Olhão parish, Olhão municipality, Faro district. The property features a closed terrace ideal for outdoor dining, enhancing the living space, and is conveniently located near local commerce and services.
The valuation. The asking price of €259,000 is significantly above fair value, which is assessed at €200,800, resulting in a discrepancy of €58,200 (22.5%). Verdict: overpriced. Buy-to-flip angle. A potential buy-to-flip strategy could involve minor renovations to enhance appeal, targeting resale in a thriving market, potentially yielding a profit beyond the initial outlay. Buy-to-let angle. The estimated monthly rental income of €1,014 equates to a gross yield of 4.7%, making it a viable option for stable, long-term cash flow in a tourist-heavy region.
Fair value modelled at €185,143 from the area baseline, adjusted for condition and location. Asking €259,000 sits €73,857 (28.5%) above — overpriced versus fair value.
Asking €259,000 versus the avenida da República S / N area baseline of €173,417 (€1,717/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 73/100 (Condition 72 · Materials 76 · Room dimensions 75). Below-median condition lowers fair value versus a renovated baseline unit. Full condition report →
Neighbourhood score 71/100 (Housing Market 75 · Amenities 65 · Economic 70 · Tenant Quality 75). Strong amenities and housing-market momentum support a premium to baseline. Full location report →
avenida da República S / N
Area baseline €173,417 + condition -€2,841 + location +€14,567 = modelled fair value of €185,143 (€1,833/m²), a €73,857 (28.5%) gap versus the €259,000 asking price.
Short-term vacation rental This property is marked at €259,000, resulting in a 22.5% premium above its fair value of €200,800, which limits its attractiveness as a vacation rental due to lower potential returns. With a gross yield of 4.7% and the high acquisition cost, the risk of underperformance in a saturated market is significant. Buy-and-hold The current valuation of €259,000 puts this property 22.5% above its fair value, making it a less compelling long-term investment opportunity. Given the gross yield of 4.7%, future appreciation may not justify the elevated initial investment in a tourism-driven market. Family rental Retailing at €259,000, this apartment is priced 22.5% higher than its fair value, which diminishes its market competitiveness for family rentals in the area. With the neighbourhood scoring 71/100, the overall cost may not provide sufficient tenant stability to justify the investment in a potentially fluctuating rental market.
Economic Instability Risk The economic stability score of 70 indicates a moderate risk that fluctuations in the local economy could impact rental income, potentially affecting profitability.
