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 70 m², built in 1995. Located Vila Nova de Cacela parish, Vila Real de Santo António municipality, Faro district. This apartment is located in a private condominium featuring landscaped green areas and a barbecue, promoting a tranquil lifestyle just minutes from the beach.
The valuation. The asking price of €300,000 is significantly above the fair value of €246,681, representing a premium of €53,319 or 17.8%. This property is therefore deemed overpriced, reflecting an inflated market expectation.
Fair value modelled at €124,016 from the area baseline, adjusted for condition and location. Asking €300,000 sits €175,984 (58.7%) above — overpriced versus fair value.
Asking €300,000 versus the Vila Nova de Cacela, Vila Real de Santo António, Faro area baseline of €120,190 (€1,717/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 76/100 (Condition 73 · Materials 78 · Room dimensions 75). Above-median finish quality lifts fair value versus a baseline unit needing CapEx. Full condition report →
Neighbourhood score 55/100 (Housing Market 60 · Amenities 55 · Economic 45 · Tenant Quality 60). Strong amenities and housing-market momentum support a premium to baseline. Full location report →
Vila Nova de Cacela, Vila Real de Santo António, Faro
Area baseline €120,190 + condition +€1,422 + location +€2,404 = modelled fair value of €124,016 (€1,772/m²), a €175,984 (58.7%) gap versus the €300,000 asking price.
Short-term vacation rental The current asking price of €300,000 is significantly above the fair value of €246,681, resulting in a gap of 17.8%, indicating that the property is overpriced. With a gross yield of only 3.3%, the return on investment for short-term vacation rental may be insufficient to justify this premium. Long-term rental At €300,000, the property is overpriced compared to the fair value of €246,681, creating a challenging environment for long-term rental profitability. The combination of a modest gross yield of 3.3% and a below-average neighborhood rating of 55/100 raises concerns about tenant retention and rental demand. Buy-and-hold Given the significant price gap of 17.8% between the listing and fair value, a buy-and-hold strategy appears risky as the investment is overpriced at €300,000. The property’s gross yield of 3.3% and moderate condition score of 76/100 suggest that long-term appreciation may not be as attractive as other investment options in the area.
[Economic downturn risk] With an economic stability score of 45/100, there is a significant risk of adverse market conditions affecting property value and tenant demand.
