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, 2-bathroom villa of 74 m², built in 1950. Located on rua da Igreja, 6, Porches parish, Lagoa municipality, Faro district. Noteworthy Features: This villa boasts high ceilings with double windows that enhance natural light and provide superior thermal insulation, contributing to a sophisticated living atmosphere.
The valuation. The asking price of €425,000 is significantly above the fair value of €147,489, with a difference of €277,511 (65.3%). This property is clearly overpriced based on market standards.
Fair value modelled at €147,489 from the area baseline, adjusted for condition and location. Asking €425,000 sits €277,511 (65.3%) above — overpriced versus fair value.
Asking €425,000 versus the rua da Igreja, 6 area baseline of €127,058 (€1,717/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 86/100 (Condition 84 · Materials 88 · Room dimensions 83). Above-median finish quality lifts fair value versus a baseline unit needing CapEx.
Neighbourhood score 72/100 (Housing Market 75 · Amenities 70 · Economic 65 · Tenant Quality 70). Strong amenities and housing-market momentum support a premium to baseline.
rua da Igreja, 6
Area baseline €127,058 + condition +€9,250 + location +€11,181 = modelled fair value of €147,489 (€1,993/m²), a €277,511 (65.3%) gap versus the €425,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| rua da Igreja, 6 | Subject | €425,000 | €5,743 | — | 84 | 72 |
| Lagoa e Carvoeiro · 49b71c | Active | €130,000 | €1,083 | 81.1% | 80 | 60 |
| Lagoa e Carvoeiro · 96c54c | Active | €740,000 | €4,774 | 16.9% | 85 | 73 |
| autoestrada EM530-1, 54 | Active | €580,000 | €4,328 | 24.6% | 67 | 72 |
| rua de Vala | Active | €835,000 | €5,880 | 2.4% | 78 | 64 |
| Median comp | €660,000 | €4,551 | 20.8% | 79 | 68 |
Short-term vacation rental The property’s pricing at €425,000 presents a significant gap of 65.3% from its fair value of €147,489, indicating that it is overpriced for a short-term vacation rental strategy. With a gross yield of only 2.8%, the investment does not support sustainable profitability in the competitive Algarve tourism market. Buy-and-hold Investing in this 2-bed villa as a buy-and-hold opportunity is challenging, given its current asking price of €425,000, which surpasses its fair value by 65.3%. The low gross yield of 2.8% signals that this property is overpriced and would not generate adequate returns for long-term investment. Family rental While family rentals might be a viable market in the Algarve, the property’s price of €425,000 is excessively high compared to its fair value of €147,489, marking a 65.3% disparity. This excessive pricing coupled with a gross yield of 2.8% suggests that the villa is overpriced for families seeking long-term rental options.
Economic Sensitivity Risk Given an economic stability score of 65, this property may be vulnerable to economic downturns, potentially leading to decreased rental income and increased vacancy rates.
