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.
4-bedroom, 4-bathroom house of 300 m², built in 2012. Located Loulé (São Sebastião) parish, Loulé municipality, Faro district. Noteworthy Features: The property boasts a striking glass wall that maximizes natural light and provides a seamless connection between the indoor and outdoor living spaces, enhancing the home's elegant design.
The valuation. The asking price of €1,800,000 is significantly above the fair value of €1,202,928, representing an overvaluation of €597,072 (33.2%). This makes the property overpriced in the current market.
Fair value modelled at €1,202,928 from the area baseline, adjusted for condition and location. Asking €1,800,000 sits €597,072 (33.2%) above — overpriced versus fair value.
Asking €1,800,000 versus the Loulé (São Sebastião), Loulé, Faro area baseline of €1,079,100 (€3,597/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 86/100 (Condition 80 · Materials 87 · Room dimensions 90). Above-median finish quality lifts fair value versus a baseline unit needing CapEx.
Neighbourhood score 70/100 (Housing Market 75 · Amenities 70 · Economic 65 · Tenant Quality 70). Strong amenities and housing-market momentum support a premium to baseline.
Loulé (São Sebastião), Loulé, Faro
Area baseline €1,079,100 + condition +€37,500 + location +€86,328 = modelled fair value of €1,202,928 (€4,010/m²), a €597,072 (33.2%) gap versus the €1,800,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Loulé (São Sebastião) · 6d5523 | Subject | €1,800,000 | €6,000 | — | 80 | 70 |
| Loulé (São Clemente) · ba3fc6 | Active | €1,950,000 | €5,462 | 9.0% | 75 | 73 |
| Loulé (São Clemente) · cfe05d | Active | €1,900,000 | €6,149 | 2.5% | 80 | 66 |
| Loulé (São Clemente) · 937444 | Active | €1,950,000 | €5,462 | 9.0% | 72 | 71 |
| Loulé (São Sebastião) · ba582d | Active | €699,900 | €4,666 | 22.2% | 70 | 74 |
| Median comp | €1,925,000 | €5,462 | 9.0% | 74 | 72 |
Short-term vacation rental The property, listed at €1,800,000, is significantly overpriced when compared to its fair value of €1,202,928, representing a 33.2% gap. Additionally, with a gross yield of only 3%, it may not provide the expected return on investment during the seasonal fluctuations of tourism in the Algarve. Long-term rental At a listing price of €1,800,000, this property is overpriced relative to its fair value of €1,202,928, resulting in a 33.2% discrepancy. The gross rental yield of 3% suggests that the potential income does not justify the high asking price, especially given the economic instability associated with seasonal tourism. Family rental Priced at €1,800,000, the property is above its fair value of €1,202,928 by 33.2%, indicating a lack of alignment with realistic market expectations. With a gross yield of only 3%, this investment fails to deliver competitive rental income against its inflated purchase price, making it less appealing for families seeking stable housing. Not ideal for: Student housing, Industrial investment This property does not meet the investment criteria for student housing or industrial use due to its excessive pricing and lower yield potential. Given its overpriced valuation and the economic conditions of the area, both strategies would likely underperform expectations.
Inconsistent Economic Growth The economic stability score of 65/100 suggests potential volatility in local economic conditions that could impact tenant demand and rental income.
