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.
0-bedroom, 1-bathroom studio of 43 m², built in 1983, energy rating C. Located Albufeira e Olhos de Água parish, Albufeira municipality, Faro district. Noteworthy Features: This studio includes a private balcony with views of the pool area, creating a tranquil outdoor space despite its compact size.
The valuation. The asking price of €185,000 significantly exceeds the fair value of €130,335, resulting in an overvaluation of €54,665 (29.5%). This discrepancy suggests the property is overpriced in the current market. Buy-to-flip angle. Given the property’s condition rating of 59/100, a buy-and-flip strategy could involve minor renovations to update fixtures and enhance appeal, aiming for a resale price that capitalizes on the local market’s demand. Buy-to-let angle. With an estimated gross yield of 5.6%, the property presents a viable rental income opportunity. Monthly rental income around €863 aligns well with the popular tourist influx in the Algarve region, promising consistent occupancy.
Fair value modelled at €130,335 from the area baseline, adjusted for condition and location. Asking €185,000 sits €54,665 (29.5%) above — overpriced versus fair value.
Asking €185,000 versus the Albufeira e Olhos de Água, Albufeira, Faro area baseline of €148,350 (€3,450/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 59/100 (Condition 54 · Materials 62 · Room dimensions 60). Below-median condition lowers fair value versus a renovated baseline unit.
Neighbourhood score 71/100 (Housing Market 75 · Amenities 70 · Economic 65 · Tenant Quality 75). Strong amenities and housing-market momentum support a premium to baseline.
Albufeira e Olhos de Água, Albufeira, Faro
Area baseline €148,350 + condition -€11,086 + location +€10,959 = modelled fair value of €130,335 (€3,031/m²), a €54,665 (29.5%) gap versus the €185,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Albufeira e Olhos de Água · 0238c6 | Subject | €185,000 | €4,302 | — | 54 | 71 |
| Albufeira e Olhos de Água · cfdeef | Active | €265,000 | €4,141 | 3.8% | 60 | 72 |
| rua dos Pardais, 4 | Active | €350,000 | €5,469 | 27.1% | 70 | 70 |
| Albufeira e Olhos de Água · 9371a2 | Active | €185,000 | €4,512 | 4.9% | 70 | 71 |
| Albufeira e Olhos de Água · 001626 | Active | €270,000 | €4,909 | 14.1% | 68 | 74 |
| Median comp | €267,500 | €4,711 | 9.5% | 69 | 72 |
Long-term rental The property is overpriced at €185,000 compared to a fair value of €130,335, translating to a notable gap of 29.5%. With a gross yield of 5.6%, the investment does not present an attractive long-term rental opportunity given its premium price. Short-term vacation rental Similarly, the €185,000 price tag does not align with the fair value of €130,335, resulting in a 29.5% gap that suggests overpricing. While the property is located in the tourist-friendly Algarve region, its high cost undermines its potential for competitive short-term rental returns. Buy-and-hold The buy-and-hold strategy is less appealing here due to the €185,000 listing being significantly above the €130,335 fair value, indicating it is overpriced by 29.5%. Investing in a property at this elevated price risks reducing the long-term appreciation potential, especially in a fluctuating housing market. Not ideal for Due to its high listing price, this property is not suitable for the student housing, luxury market, or industrial investments, which require more competitive pricing to attract the right tenants and buyers.
Moderate Economic Instability The economic stability score of 65/100 indicates that there may be fluctuations in local economic conditions, potentially affecting tenant demand and rent collection.
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