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 46 m², energy rating C. Located Portimão parish, Portimão municipality, Faro district. Noteworthy Features: The apartment boasts a panoramic balcony with uninterrupted views of the Monchique Mountains, enhancing its appeal in the heart of the Algarve. Investment Potential: Ideal for seasonal rental due to its proximity to Praia da Rocha and local amenities.
The valuation. The asking price of €229,000 is significantly above the fair value of €88,864, indicating an overvaluation of €140,136 (61.2%). This property is clearly overpriced.
Fair value modelled at €88,864 from the area baseline, adjusted for condition and location. Asking €229,000 sits €140,136 (61.2%) above — overpriced versus fair value.
Asking €229,000 versus the Portimão, Portimão, Faro area baseline of €148,948 (€3,238/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 78/100 (Condition 75 · Materials 82 · Room dimensions 78). Above-median finish quality lifts fair value versus a baseline unit needing CapEx.
Neighbourhood score 74/100 (Housing Market 75 · Amenities 78 · Economic 65 · Tenant Quality 72). Strong amenities and housing-market momentum support a premium to baseline.
Portimão, Portimão, Faro
Area baseline €148,948 + condition +€2,300 + location +€7,582 = modelled fair value of €88,864 (€1,932/m²), a €140,136 (61.2%) gap versus the €229,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Portimão · 82c682 | Subject | €229,000 | €4,978 | — | 75 | 74 |
| rua dos Lusíadas | Active | €255,000 | €4,048 | 18.7% | 78 | 71 |
| rua de São Tomé e Príncipe, 31 | Active | €238,000 | €5,289 | 6.2% | 80 | 70 |
| avenida das Comunidades Lusíadas, 3 | Active | €245,000 | €5,213 | 4.7% | 80 | 76 |
| rua Engenheiro Francisco Bívar S / N, 2 | Active | €206,000 | €5,150 | 3.4% | 82 | 71 |
| Median comp | €241,500 | €5,182 | 4.1% | 80 | 71 |
Short-term vacation rental Given the property’s high asking price of €229,000—significantly above the fair value of €88,864—the short-term vacation rental strategy presents substantial risks. Additionally, with a gross yield of only 4.2%, this investment could fail to deliver the expected return on investment in a market with strong competition. Buy-and-hold The buy-and-hold strategy is compromised by the property being overpriced at €229,000 when its fair value is clearly €88,864, leaving a 61.2% gap that may not provide adequate capital appreciation over time. Given the current condition score of 78/100 and neighbourhood score of 74/100, this apartment may struggle to maintain value in a fluctuating market. Family rental As a family rental, the property’s inflated price of €229,000 compared to its fair value of €88,864 suggests that potential cash flow may not meet expectations, posing risks for long-term rental sustainability. Moreover, with only a 4.2% gross yield, this investment may fall short in providing adequate returns relative to market standards. Not ideal for: Student housing, Industrial relocation, Luxury market The current price point renders the property unsuitable for student housing, as affordability becomes a significant barrier for tenants. Furthermore, the luxury market does not align with the characteristics of this apartment, making it less attractive for high-end renters.
Economic volatility risk The economic stability score of 65 indicates potential vulnerabilities in local economic conditions that could affect rental income and property value.
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