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.
4-bedroom, 5-bathroom house of 300 m², energy rating A+. Located Alcantarilha e Pêra parish, Silves municipality, Faro district. Property Features: This home includes an advanced heating system with underfloor heating and a dedicated terrace designed specifically for a jacuzzi and shade sails.
The valuation. The asking price of €1,450,000 exceeds the fair value of €637,908 by €812,092, or 56.0%. This property is considered overpriced according to the current market analysis.
Fair value modelled at €637,908 from the area baseline, adjusted for condition and location. Asking €1,450,000 sits €812,092 (56.0%) above — overpriced versus fair value.
Asking €1,450,000 versus the Alcantarilha e Pêra, Silves, Faro area baseline of €558,000 (€1,860/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 87/100 (Condition 85 · Materials 90 · Room dimensions 85). Above-median finish quality lifts fair value versus a baseline unit needing CapEx.
Neighbourhood score 69/100 (Housing Market 80 · Amenities 70 · Economic 55 · Tenant Quality 65). Strong amenities and housing-market momentum support a premium to baseline.
Alcantarilha e Pêra, Silves, Faro
Area baseline €558,000 + condition +€37,500 + location +€42,408 = modelled fair value of €637,908 (€2,126/m²), a €812,092 (56.0%) gap versus the €1,450,000 asking price.
Short-term vacation rental This property presents a challenging investment for short-term vacation rental due to its significant gap of 56% from fair value, indicating it may not perform well against rental market standards. With a low yield of 2.2%, potential returns could fall short of investor expectations in a seasonal tourism market. Buy-and-hold Investing in this property for a buy-and-hold strategy may be unwise, as its current price is substantially above the fair value of €637,908 by 56%. This discrepancy points to potential long-term concerns about capital appreciation and cash flow sustainability. Value-add renovation While a value-add renovation could enhance property appeal, the high price tag of €1,450,000 suggests significant risk given the 56% overvaluation compared to fair value. The anticipated costs of renovations may not justify an investment in an overcrowded and highly seasonal market like Algarve. Not ideal for student housing This property is not suitable for student housing given its high price point and low yield in a predominantly seasonal tourism economy. The reliance on seasonal visitors rather than a consistent student population limits its potential profitability in that segment. Not ideal for luxury market Targeting the luxury market with this property may prove ineffective as it is overpriced at €1,450,000, raising doubts about demand against quality ratings and comparable listings. Additionally, the neighborhood's average rating of 69/100 may not meet luxury buyer expectations, further amplifying the risk of investment.
Economic Vulnerability The economic stability score of 55 indicates a potential for economic downturns, which may affect tenant retention and rental income reliability.
