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 100 m², built in 1989. Located São Gonçalo de Lagos parish, Lagos municipality, Faro district. This property includes a terrace with captivating views, perfect for outdoor relaxation and enhancing the living experience.
The valuation. The asking price of €475,000 is substantially higher than the fair value of €385,280, creating a gap of €89,720 (18.9%). This indicates the property is overpriced and may require negotiation to reach a more justifiable price.
Fair value modelled at €385,280 from the area baseline, adjusted for condition and location. Asking €475,000 sits €89,720 (18.9%) above — overpriced versus fair value.
Asking €475,000 versus the São Gonçalo de Lagos, Lagos, Faro area baseline of €349,200 (€3,492/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 82/100 (Condition 80 · Materials 85 · Room dimensions 78). Above-median finish quality lifts fair value versus a baseline unit needing CapEx.
Neighbourhood score 68/100 (Housing Market 78 · Amenities 70 · Economic 65 · Tenant Quality 60). Strong amenities and housing-market momentum support a premium to baseline.
São Gonçalo de Lagos, Lagos, Faro
Area baseline €349,200 + condition +€10,938 + location +€25,142 = modelled fair value of €385,280 (€3,853/m²), a €89,720 (18.9%) gap versus the €475,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| São Gonçalo de Lagos · 6d5485 | Subject | €475,000 | €4,750 | — | 80 | 68 |
| rua Professor Joaquim Alberto Taquelim, 9 | Active | €350,000 | €5,000 | 5.3% | 78 | 71 |
| urbanização Marina Marina de Lagos | Active | €665,000 | €4,750 | 0% | 82 | 66 |
| rua Doutor Francisco Sá Carneiro, 4 | Active | €360,000 | €5,000 | 5.3% | 78 | 74 |
| São Gonçalo de Lagos · 956963 | Active | €380,000 | €4,750 | 0% | 76 | 80 |
| Median comp | €370,000 | €4,875 | 2.6% | 78 | 73 |
Short-term vacation rental Given the current listing price of €475,000, the potential gross yield of 3.1% does not justify the investment as the property is overpriced at 18.9% above its fair value of €385,280. Additionally, while the location near the Algarve coast typically supports tourism-driven demand, the price point could limit profitability in a competitive short-term rental market. Buy-and-hold With the property being overpriced by 18.9% at €475,000 compared to the fair value of €385,280, the investment does not present a compelling case for long-term hold with a gross yield of only 3.1%. The current market conditions suggest difficulty in realizing adequate appreciation rates, as the neighborhood rating of 68/100 reflects various socio-economic challenges. Family rental Investing in this 2-bed apartment at €475,000 is unfavorable since it is positioned 18.9% above its fair value of €385,280, resulting in a mediocre yield of 3.1%. The neighborhood's rating of 68/100 signals a less desirable living environment, further complicating the potential for attracting quality long-term tenants at this price point.
Economic Fluctuation Risk With an economic stability score of 65/100 and a tenant stability score of 60/100, there is a heightened risk of economic fluctuations impacting tenant retention and rental income.
