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 103 m², built in 1994, energy rating D. Located Faro (Sé e São Pedro) parish, Faro municipality, Faro district. Noteworthy Features: This apartment features a private parking space in the basement and a sunroom with aluminum frames and double glazing, enhancing both convenience and energy efficiency.
The valuation. The asking price of €399,000 is significantly above fair value, which is estimated at €285,386, resulting in an overpriced rating of €113,614 (28.5%). This discrepancy necessitates careful consideration before any purchasing decision.
Fair value modelled at €285,386 from the area baseline, adjusted for condition and location. Asking €399,000 sits €113,614 (28.5%) above — overpriced versus fair value.
Asking €399,000 versus the Faro (Sé e São Pedro), Faro, Faro area baseline of €294,786 (€2,862/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 61/100 (Condition 63 · Materials 60 · Room dimensions 65). Below-median condition lowers fair value versus a renovated baseline unit.
Neighbourhood score 61/100 (Housing Market 70 · Amenities 60 · Economic 55 · Tenant Quality 60). Strong amenities and housing-market momentum support a premium to baseline.
Faro (Sé e São Pedro), Faro, Faro
Area baseline €294,786 + condition -€22,370 + location +€12,971 = modelled fair value of €285,386 (€2,771/m²), a €113,614 (28.5%) gap versus the €399,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Faro (Sé e São Pedro) · 25f629 | Subject | €399,000 | €3,874 | — | 63 | 61 |
| estrada Loulé | Active | €399,000 | €3,874 | 0% | 63 | 74 |
| Faro (Sé e São Pedro) · 1e6017 | Active | €305,000 | €2,905 | 25.0% | 60 | 70 |
| Faro (Sé e São Pedro) · 25f545 | Active | €285,000 | €4,071 | 5.1% | 70 | 64 |
| Faro (Sé e São Pedro) · 6d5230 | Active | €675,000 | €3,261 | 15.8% | 70 | 63 |
| Median comp | €352,000 | €3,568 | 7.9% | 67 | 67 |
Short-term vacation rental\nThe property is not positioned to provide a significant return on investment due to its 3% gross yield and a 28.5% gap from fair value, indicating it is overpriced. Therefore, potential rental income may not justify the high purchase price in a competitive vacation rental market in Faro.\n\nBuy-and-hold\nDespite the long-term potential in the Algarve market, this property is overpriced, which limits its appeal for a solid buy-and-hold strategy. The 61/100 condition rating and similarly low neighborhood score suggest further investment might be needed to maintain attractiveness over time.\n\nFamily rental\nWhile the family-oriented environment in Algarve suggests steady demand, the property’s overpriced status at €399,000 does not align with the fair value of €285,386. Consequently, families may seek affordable alternatives, diminishing the viability of this property as a long-term family rental investment.
Economic and Tenant Risk The low economic stability score of 55 coupled with a tenant stability score of 60 indicates potential challenges in maintaining consistent rental income and tenant retention, which could negatively affect cash flow.
