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.
3-bedroom, 3-bathroom townhouse of 157 m², built in 1950, energy rating C. Located Estômbar e Parchal parish, Lagoa municipality, Faro district. Noteworthy Features: The townhouse boasts a modern open-plan kitchen which seamlessly connects with the generous living area, enhancing the sociability of communal spaces, and easy access to local amenities including schools and cafes within walking distance.
The valuation. The asking price of €375,000 is significantly above fair value, which is assessed at €179,100. The difference of €195,900 represents a 52.2% overshoot of the property's true market value, making it overpriced. Buy-to-flip angle. Given its condition score of 79/100, the townhouse could warrant aesthetic upgrades to appeal to prospective buyers. Flipping for a profit would be challenging due to its current asking price far exceeding market value. Buy-to-let angle. With an estimated rental income of €1,594 per month, this property offers a gross yield of 5.1%. However, potential returns may not justify the asking price compared to standard market rates in the vicinity.
Fair value modelled at €179,100 from the area baseline, adjusted for condition and location. Asking €375,000 sits €195,900 (52.2%) above — overpriced versus fair value.
Asking €375,000 versus the Estômbar e Parchal, Lagoa, Faro area baseline of €449,334 (€2,862/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 79/100 (Condition 75 · Materials 82 · Room dimensions 78). Above-median finish quality lifts fair value versus a baseline unit needing CapEx.
Neighbourhood score 67/100 (Housing Market 70 · Amenities 70 · Economic 60 · Tenant Quality 65). Strong amenities and housing-market momentum support a premium to baseline.
Estômbar e Parchal, Lagoa, Faro
Area baseline €449,334 + condition +€9,077 + location +€10,825 = modelled fair value of €179,100 (€1,141/m²), a €195,900 (52.2%) gap versus the €375,000 asking price.
Short-term vacation rental The current listing price of €375,000 is significantly higher than the fair value of €179,100, indicating that the property is overpriced for a short-term vacation rental strategy. With a gross yield of only 5.1%, investors may struggle to recoup their costs given the inflated purchase price in a competitive tourist market. Long-term rental At €375,000, this townhouse is overpriced relative to its fair value of €179,100, limiting its appeal for a long-term rental strategy. The property’s condition rating of 79/100 and neighborhood score of 67/100 suggest modest tenant quality and amenities, which may not justify the high investment required. Buy-and-hold With a listing price of €375,000 far exceeding the fair value of €179,100, this property is overpriced for a buy-and-hold investment strategy. The anticipated yield of 5.1% does not adequately compensate for the excessive entry cost, raising concerns about long-term appreciation potential in a fluctuating market.
Market Volatility Risk With an economic stability score of 60/100, the property may face potential fluctuations in market demand impacting rental income and occupancy rates.
