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.
5-bedroom, 5-bathroom villa of 191 m², built in 2010, energy rating C. Located Bensafrim e Barão de São João parish, Lagos municipality, Faro district. Noteworthy Features: The villa's design incorporates high-quality insulation and humidity-controlled air conditioning, while the private heated pool with strategically designed outdoor areas emphasizes luxurious outdoor living. Focal Points: Modern Portuguese architecture enhances its aesthetic and structural resilience.
The valuation. The asking price of €1,750,000 is significantly above the fair value of €994,986, representing an overpricing of €755,014 (43.1%). This disparity indicates a potential challenge for investors seeking value in this property.
Fair value modelled at €994,986 from the area baseline, adjusted for condition and location. Asking €1,750,000 sits €755,014 (43.1%) above — overpriced versus fair value.
Asking €1,750,000 versus the Bensafrim e Barão de São João, Lagos, Faro area baseline of €889,296 (€4,656/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 86/100 (Condition 82 · Materials 88 · Room dimensions 85). Above-median finish quality lifts fair value versus a baseline unit needing CapEx.
Neighbourhood score 73/100 (Housing Market 80 · Amenities 75 · Economic 65 · Tenant Quality 70). Strong amenities and housing-market momentum support a premium to baseline.
Bensafrim e Barão de São João, Lagos, Faro
Area baseline €889,296 + condition +€23,875 + location +€81,815 = modelled fair value of €994,986 (€5,209/m²), a €755,014 (43.1%) gap versus the €1,750,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Bensafrim e Barão de São João · 6d51e1 | Subject | €1,750,000 | €9,162 | — | 82 | 73 |
| Bensafrim e Barão de São João · 956b76 | Active | €995,000 | €3,827 | 58.2% | 75 | 73 |
| Bensafrim e Barão de São João · 6d51da | Active | €420,000 | €5,185 | 43.4% | 86 | 71 |
| Bensafrim e Barão de São João · 261f93 | Active | €290,000 | €4,531 | 50.5% | 75 | 77 |
| Bensafrim e Barão de São João · 6d52e7 | Active | €290,000 | €4,531 | 50.5% | 80 | 64 |
| Median comp | €355,000 | €4,531 | 50.5% | 78 | 72 |
Short-term vacation rental The villa is overpriced at €1,750,000 compared to the fair value of €994,986, resulting in a significant 43.1% gap. At a gross yield of only 1.7%, the investment's return potential in the short-term vacation rental market appears limited, especially given the typical volatility of seasonal tourism. Buy-and-hold With a fair value of €994,986, the purchase price of €1,750,000 indicates this property is overpriced, creating a considerable gap. The low yield of 1.7% suggests inadequate returns for a buy-and-hold strategy in the current market, especially in a predominantly tourist-oriented area. Long-term rental The property's asking price of €1,750,000 is 43.1% higher than the fair value of €994,986, signifying that it is overpriced for long-term rental purposes. Additionally, with a gross yield of just 1.7%, the financial viability for long-term tenants appears compromised in this coastal market dominated by tourism.
Moderate Economic Risk The economic stability score of 65/100 indicates potential vulnerability to market fluctuations, which may impact tenant retention and rental income.
