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, 2-bathroom house of 136 m², built in 1990, energy rating C. Located on estrada do Belmonte S / N, Portimão parish, Portimão municipality, Faro district. This villa boasts a mature garden ideal for relaxation, and the spacious outdoor area offers versatile potential for creating leisure and dining spaces amidst the tranquil Algarve environment.
The valuation. The asking price of €665,000 is significantly above the fair value of €248,630, resulting in a discrepancy of €416,370 or 62.6%. This property is clearly overpriced.
Fair value modelled at €248,630 from the area baseline, adjusted for condition and location. Asking €665,000 sits €416,370 (62.6%) above — overpriced versus fair value.
Asking €665,000 versus the estrada do Belmonte S / N area baseline of €233,512 (€1,717/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 76/100 (Condition 70 · Materials 80 · Room dimensions 75). Above-median finish quality lifts fair value versus a baseline unit needing CapEx.
Neighbourhood score 63/100 (Housing Market 75 · Amenities 65 · Economic 60 · Tenant Quality 55). Strong amenities and housing-market momentum support a premium to baseline.
estrada do Belmonte S / N
Area baseline €233,512 + condition +€2,975 + location +€12,143 = modelled fair value of €248,630 (€1,828/m²), a €416,370 (62.6%) gap versus the €665,000 asking price.
Short-term vacation rental The property is overpriced by 62.6% compared to its fair value, making it a less attractive option in a competitive vacation rental market with a yield of only 3.3%. Additionally, the average neighbourhood condition and tenant quality ratings suggest limited appeal for tourists prioritizing value and amenities. Buy-and-hold With a fair value of €248,630, investing in this property at €665,000 presents significant risks, as the gross yield of 3.3% does not justify the high purchase price. The gap between the listing and fair value indicates a potential long-term capital loss rather than a reliable appreciation in this overpriced market. Value-add renovation While renovation could improve the property's appeal, the 62.6% gap from fair value raises concerns about the feasibility of achieving a profitable exit. The demand for additional features may not sufficiently offset the initial excessive investment, particularly given its current yield and neighbourhood rating. Not ideal for: Student housing, Luxury market, Family rental This property is clearly not suitable for student housing or the luxury market, given its high price point and the average condition ratings. Furthermore, its location and metrics suggest limited family rental potential, reinforcing the notion that this asset is overpriced in multiple contexts.
Economic Vulnerability The economic stability score of 60/100 indicates moderate economic conditions that may pose a risk to long-term property value appreciation. Tenant Instability With a tenant stability score of 55/100, there is a heightened risk of tenant turnover which can lead to increased vacancy rates and fluctuating rental income.
