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.
1-bedroom, 1-bathroom apartment of 66 m², energy rating B. Located Albufeira e Olhos de Água parish, Albufeira municipality, Faro district. Noteworthy Features: The property includes expansive garden areas and a communal pool, enhancing the outdoor experience for families seeking relaxation in the Algarve's sunny climate.
The valuation. The asking price of €420,000 sits €198,628 above the fair value of €221,372, representing a staggering 47.3% premium. This property is considered overpriced based on current market analyses.
Fair value modelled at €221,372 from the area baseline, adjusted for condition and location. Asking €420,000 sits €198,628 (47.3%) above — overpriced versus fair value.
Asking €420,000 versus the Albufeira e Olhos de Água, Albufeira, Faro area baseline of €200,244 (€3,034/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 78/100 (Condition 76 · Materials 80 · Room dimensions 78). Above-median finish quality lifts fair value versus a baseline unit needing CapEx.
Neighbourhood score 72/100 (Housing Market 75 · Amenities 80 · Economic 65 · Tenant Quality 68). Strong amenities and housing-market momentum support a premium to baseline.
Albufeira e Olhos de Água, Albufeira, Faro
Area baseline €200,244 + condition +€3,506 + location +€17,621 = modelled fair value of €221,372 (€3,354/m²), a €198,628 (47.3%) gap versus the €420,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Albufeira e Olhos de Água · 49b926 | Subject | €420,000 | €6,364 | — | 76 | 72 |
| rua das Alfarrobeiras, 158 | Active | €385,000 | €4,936 | 22.4% | 75 | 66 |
| Albufeira e Olhos de Água · 99f3a2 | Active | €295,000 | €6,146 | 3.4% | 76 | 71 |
| Albufeira e Olhos de Água · 9567b4 | Active | €350,000 | €4,667 | 26.7% | 80 | 76 |
| avenida Sá Carneiro | Active | €290,000 | €4,462 | 29.9% | 74 | 64 |
| Median comp | €322,500 | €4,802 | 24.5% | 76 | 69 |
Short-term vacation rental Given the Algarve region's strong tourism sector and the property's proximity to the coast, it may attract short-term renters despite its high price. However, with a gap of 47.3% from fair value, the potential returns at a gross yield of 3.1% do not justify the current listing price. Buy-and-hold While the area has a decent neighborhood score, the property’s high price tag signifies that it may not appreciate significantly over time. The current valuation gap suggests that holding this asset could yield disappointments rather than growth. Family rental Although the neighborhood offers amenities that could support a family rental market, the significant overvaluation diminishes the attractiveness of holding this property long-term. At a gross yield of 3.1%, the financial metrics do not align well with the community dynamics. Not ideal for: Given its pricing, this property is not well-suited for the student housing market, where value is critical, nor is it aligned with the expectations of the luxury market due to its significant overpricing.
Potential tenant turnover The tenant stability score of 68 indicates a moderate risk of tenant turnover, which could lead to increased vacancy rates and associated costs for property management.
