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 54 m², energy rating E. Located Portimão parish, Portimão municipality, Faro district. This apartment boasts a charming balcony with a direct river view, enhancing its appeal for both daily living and vacation rentals.
The valuation. The asking price of €255,000 is significantly above the fair value of €106,324, indicating a premium of €148,676 (58.3%). This property is deemed overpriced and not a favorable investment at this price point.
Fair value modelled at €106,324 from the area baseline, adjusted for condition and location. Asking €255,000 sits €148,676 (58.3%) above — overpriced versus fair value.
Asking €255,000 versus the Portimão, Portimão, Faro area baseline of €92,718 (€1,717/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 78/100 (Condition 75 · Materials 80 · Room dimensions 76). Above-median finish quality lifts fair value versus a baseline unit needing CapEx.
Neighbourhood score 81/100 (Housing Market 82 · Amenities 80 · Economic 75 · Tenant Quality 85). Strong amenities and housing-market momentum support a premium to baseline.
Portimão, Portimão, Faro
Area baseline €92,718 + condition +€2,109 + location +€11,497 = modelled fair value of €106,324 (€1,969/m²), a €148,676 (58.3%) gap versus the €255,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Portimão · 49b8f0 | Subject | €255,000 | €4,722 | — | 75 | 81 |
| avenida das Comunidades Lusíadas, 3 | Active | €195,000 | €4,063 | 14.0% | 71 | 67 |
| rua Frei Manuel Sepúlcro | Active | €295,000 | €3,172 | 32.8% | 78 | 72 |
| avenida São João de Deus | Active | €249,000 | €3,662 | 22.5% | 80 | 73 |
| rua Frei Manuel Sepúlcro | Active | €275,000 | €2,957 | 37.4% | 73 | 62 |
| Median comp | €262,000 | €3,417 | 27.6% | 76 | 70 |
Short-term vacation rental The pricing of this 2-bed apartment at €255,000 presents a significant gap of 58.3% compared to its fair value of €106,324, indicating it is overpriced. Given the Algarve's tourism-driven economy, the investment could become unsustainable during off-seasons, leading to decreased profitability for short-term vacation rentals. Buy-and-hold With the property's yield at 3.7% gross, the high purchase price may limit long-term capital appreciation potential as it reflects a significant overvaluation against its fair value. Investors may face challenges in covering costs and achieving desirable returns given the economic variability tied to tourism in the region. Long-term rental At €255,000, the apartment is overpriced compared to its fair value, which could hinder the ability to generate stable long-term rental income. The reliance on tourism may also pose risks, as economic fluctuations could affect tenant demand in periods of lower travel activity.
Economic Fluctuation Risk With an economic stability score of 75/100, there is potential vulnerability to economic downturns affecting tenant demand and rental income stability.
