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 house of 55 m², built in 1996. Located on rua do Cabeço do Barro, 26, Colares parish, Sintra municipality, Lisbon district. Location: Just 5 minutes from Praia Grande; the expansive 2,200 m2 land includes a sea view, enhancing its investment potential within a tranquil natural setting. Condition: Requires renovation, particularly in the kitchen and bathrooms, with signs of significant wear and minimal upgrades.
The valuation. The asking price of €348,000 is significantly above its fair value of €88,440, indicating an overpriced property by €259,560 (74.6%). This disparity calls for caution among potential investors. Buy-to-flip angle. The buy-to-flip strategy may not yield attractive returns given the overvaluation, making it challenging to generate a profit on resale in the current market. Quick renovations are unlikely to bridge the valuation gap. Buy-to-let angle. Despite the property being overpriced, the estimated rental income stands at €1,189/month, resulting in a gross yield of 4.1%. However, the location and mixed neighborhood should be considered for long-term stability.
Fair value modelled at €88,440 from the area baseline, adjusted for condition and location. Asking €348,000 sits €259,560 (74.6%) above — overpriced versus fair value.
Asking €348,000 versus the rua do Cabeço do Barro, 26 area baseline of €108,955 (€1,981/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 42/100 (Condition 38 · Materials 45 · Room dimensions 48). Below-median condition lowers fair value versus a renovated baseline unit.
Neighbourhood score 68/100 (Housing Market 70 · Amenities 70 · Economic 70 · Tenant Quality 60). Strong amenities and housing-market momentum support a premium to baseline.
rua do Cabeço do Barro, 26
Area baseline €108,955 + condition -€28,359 + location +€7,845 = modelled fair value of €88,440 (€1,608/m²), a €259,560 (74.6%) gap versus the €348,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| rua do Cabeço do Barro, 26 | Subject | €348,000 | €6,327 | — | 38 | 68 |
| Colares · ba579f | Active | €550,000 | €7,333 | 15.9% | — | 66 |
| Colares · 0014f3 | Active | €479,000 | €3,013 | 52.4% | 52 | 68 |
| Colares · 6d5583 | Active | €900,000 | €7,317 | 15.6% | — | 65 |
| Colares · 25f899 | Active | €1,650,000 | €6,992 | 10.5% | — | 58 |
| Median comp | €725,000 | €7,155 | 13.1% | 52 | 66 |
Long-term rental The property is significantly overpriced, with a fair value of €88,440 compared to the listing price of €348,000, resulting in a gap of 74.6%. The gross yield of 4.1% does not justify the high asking price, indicating a lack of rental viability for long-term tenants in this condition and neighborhood rating. Family rental This 2-bed house in Colares is overpriced at €348,000, far exceeding the fair value of €88,440 and creating a substantial mismatch of 74.6%. The property’s condition score of 42/100 implies it may not meet the expectations of families seeking quality housing, further complicating its attractiveness as a family rental. Buy-and-hold Given that the property has a fair value of only €88,440 while being listed at €348,000, it is overpriced by 74.6%, undermining its long-term investment appeal. The low yield of 4.1% combined with its condition and neighborhood quality suggests that holding this property may not yield favorable returns over time.
Tenant turnover risk The tenant stability score of 60/100 indicates a higher likelihood of tenant turnover, which could lead to increased vacancy rates and associated costs.