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.
3-bedroom, 4-bathroom house of 339 m², energy rating D. Located Alvor parish, Portimão municipality, Faro district. Noteworthy Features: Set within the prestigious Penina Golf Resort, this villa boasts a private saltwater pool and dedicated children's area, perfect for family enjoyment and outdoor entertaining.
The valuation. The asking price of €1,850,000 is considerably above the fair value of €666,347, creating a discrepancy of €1,183,653 (64.0%). This property is overpriced and does not present a sound financial opportunity. Buy-to-flip angle. With the current high-quality finishes, a targeted renovation could enhance appeal for resale; however, the significant gap between asking and fair value complicates a profitable flip strategy. Buy-to-let angle. Estimated rental income is about €2,312 per month, yielding a gross return of just 1.5%. Given the seasonal tourism focus, a buy-and-hold strategy may struggle for consistent cash flow.
Fair value modelled at €666,347 from the area baseline, adjusted for condition and location. Asking €1,850,000 sits €1,183,653 (64.0%) above — overpriced versus fair value.
Asking €1,850,000 versus the Alvor, Portimão, Faro area baseline of €1,170,906 (€3,454/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 86/100 (Condition 80 · Materials 88 · Room dimensions 85). Above-median finish quality lifts fair value versus a baseline unit needing CapEx.
Neighbourhood score 68/100 (Housing Market 75 · Amenities 65 · Economic 60 · Tenant Quality 70). Strong amenities and housing-market momentum support a premium to baseline.
Alvor, Portimão, Faro
Area baseline €1,170,906 + condition +€42,375 + location +€41,909 = modelled fair value of €666,347 (€1,966/m²), a €1,183,653 (64.0%) gap versus the €1,850,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Alvor · 25f688 | Subject | €1,850,000 | €5,457 | — | 80 | 68 |
| urbanização Alto Club | Active | €1,290,000 | €5,287 | 3.1% | 70 | 67 |
| Portimão · 65a74c | Active | €1,360,000 | €5,667 | 3.8% | 85 | 71 |
| Alvor · 99f3a4 | Active | €555,000 | €3,535 | 35.2% | 72 | 72 |
| Alvor · 893460 | Active | €1,500,000 | €7,009 | 28.4% | 80 | 73 |
| Median comp | €1,325,000 | €5,477 | 0.4% | 76 | 72 |
Short-term vacation rental The property is overpriced by 64.0%, which limits potential profitability in the competitive short-term rental market. With a gross yield of only 1.5%, this investment fails to meet the financial expectations typically associated with vacation rentals in the Algarve. Buy-and-hold Given the significant gap between the listing price and fair value, this buy-and-hold strategy is unlikely to yield satisfactory returns. The property’s relatively low gross yield of 1.5% and its overpriced status make it a poor long-term investment. Value-add renovation Investing in a value-add renovation strategy is risky, as the house is currently overpriced at €1,850,000, well above its fair value of €666,347. The potential for increased equity post-renovation is overshadowed by the high initial purchase price, limiting the feasibility of this strategy.
Economic Vulnerability A score of 60/100 in economic stability indicates potential susceptibility to market fluctuations that could impact rental income and property value.
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