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.
5-bedroom, 6-bathroom villa of 407 m², built in 2005, energy rating B. Located Almancil parish, Loulé municipality, Faro district. This villa boasts a bespoke outdoor courtyard with a striking fireplace, ideal for alfresco gatherings, and private, west-facing terraces offering serene garden views.
The valuation. The asking price of €3,995,000 exceeds the fair value of €2,542,873 by €1,452,127 (36.3%), indicating that the property is overpriced. This discrepancy suggests a potential challenge in achieving a profitable investment.
Fair value modelled at €2,542,873 from the area baseline, adjusted for condition and location. Asking €3,995,000 sits €1,452,127 (36.3%) above — overpriced versus fair value.
Asking €3,995,000 versus the Almancil, Loulé, Faro area baseline of €2,282,049 (€5,607/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 88/100 (Condition 84 · Materials 90 · Room dimensions 87). Above-median finish quality lifts fair value versus a baseline unit needing CapEx.
Neighbourhood score 73/100 (Housing Market 75 · Amenities 70 · Economic 65 · Tenant Quality 70). Strong amenities and housing-market momentum support a premium to baseline.
Almancil, Loulé, Faro
Area baseline €2,282,049 + condition +€50,875 + location +€209,949 = modelled fair value of €2,542,873 (€6,248/m²), a €1,452,127 (36.3%) gap versus the €3,995,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Almancil · 25f5b0 | Subject | €3,995,000 | €9,816 | — | 84 | 73 |
| Almancil · bf27d0 | Active | €3,995,000 | €9,816 | 0% | 90 | 61 |
| Quarteira · 96c17d | Active | €1,300,000 | €6,500 | 33.8% | 80 | 66 |
| Almancil · 090284 | Active | €1,700,000 | €5,519 | 43.8% | 85 | 70 |
| Almancil · 4bbf27 | Active | €1,390,000 | €9,858 | 0.4% | 85 | 63 |
| Median comp | €1,545,000 | €8,158 | 16.9% | 85 | 65 |
Short-term vacation rental Given the property’s listing price of €3,995,000, which is 36.3% above its fair value of €2,542,873, the opportunity for robust returns in short-term vacation rentals is diminished. With a gross yield of only 3.1%, the investment does not justify the high asking price in such a seasonal market steeped in tourism. Buy-and-hold While the villa is situated in a desirable tourist region of Algarve, the significant gap from fair value indicates that the strategy of holding this property long-term may not lead to favorable appreciation rates. Holding an overpriced property at €3,995,000 creates substantial risk against market volatility and economic reliance on seasonal tourism. Family rental The current price point of €3,995,000 does not align with the expectations for a family rental, especially given that it's priced a steep 36.3% above fair value. With the local housing environment exhibiting potential tenant rotation due to its seasonal nature, investors may find it challenging to maintain consistent income at this inflated valuation.
Economic Vulnerability The economic stability score of 65/100 indicates a potential risk of economic downturn affecting property demand and rental income stability.
