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 apartment of 171 m², built in 2001, energy rating C. Located on rua do Farol, Quarteira parish, Loulé municipality, Faro district. Noteworthy Features: This apartment boasts three balconies, enhancing outdoor living space, and includes a spacious pantry in the kitchen for added storage and functionality.
The valuation. The asking price of €350,000 sits significantly below the fair value of €884,158, creating a substantial price gap of €534,158 (152.6%). Verdict: underpriced. Buy-to-flip angle. With a favorable acquisition cost, the buy-and-flip strategy can leverage the apartment’s potential for upgrades to attract higher resale prices in the competitive Algarve market. Buy-to-let angle. Targeting long-term rentals, the property can yield an estimated monthly income of €2,071, translating into a gross yield of 7.1%, making it an appealing investment option for landlords in a tourism-heavy area.
Fair value modelled at €857,455 from the area baseline, adjusted for condition and location. Asking €350,000 sits €507,455 (145.0%) below — the upside to fair value.
Asking €350,000 versus the rua do Farol area baseline of €795,492 (€4,652/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 71/100 (Condition 68 · Materials 73 · Room dimensions 75). Below-median condition lowers fair value versus a renovated baseline unit. Full condition report →
Neighbourhood score 73/100 (Housing Market 75 · Amenities 75 · Economic 70 · Tenant Quality 70). Strong amenities and housing-market momentum support a premium to baseline. Full location report →
rua do Farol
Area baseline €795,492 + condition -€11,222 + location +€73,185 = modelled fair value of €857,455 (€5,014/m²), a €507,455 (145.0%) gap versus the €350,000 asking price.
Long-term rental The property in Quarteira presents a compelling opportunity for long-term rental, with a gross yield of 7.1%, making it attractive for stable income generation. Given the demand from tourists and expats in the Algarve region, this property could effectively cater to tenants seeking quality housing. Short-term vacation rental This 2-bed apartment is well-positioned for the short-term vacation rental market, capitalizing on the region's popularity with tourists, especially given the 152.6% gap from fair value. The property's condition and location are suitable for attracting vacationers looking for a comfortable stay in the Algarve. Buy-and-hold Investing in this property as a buy-and-hold strategy could yield substantial returns, as it is currently priced significantly below its fair value of €884,158. The potential appreciation in value, combined with a strong rental yield, positions it favorably for long-term growth in this sought-after area of Quarteira.
Moderate Economic and Tenant Risk Both the economic and tenant stability scores are at 70/100, indicating a moderate risk for potential fluctuations in rental income and occupancy rates should economic conditions change.
