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, 3-bathroom villa of 429 m², built in 2007. Located Mexilhoeira Grande parish, Portimão municipality, Faro district. The property features a modern barrel-shaped sauna with panoramic ocean views, alongside a versatile wooden house on the hillside, enhancing its appeal for relaxation and versatility.
The valuation. The asking price of €2,750,000 is significantly above the fair value of €840,306, representing a premium of €1,909,694 (69.4%). This property is overpriced, making it a less appealing investment for buyers looking for value.
Fair value modelled at €840,306 from the area baseline, adjusted for condition and location. Asking €2,750,000 sits €1,909,694 (69.4%) above — overpriced versus fair value.
Asking €2,750,000 versus the Mexilhoeira Grande, Portimão, Faro area baseline of €1,282,710 (€2,990/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 88/100 (Condition 85 · Materials 90 · Room dimensions 85). Above-median finish quality lifts fair value versus a baseline unit needing CapEx.
Neighbourhood score 67/100 (Housing Market 70 · Amenities 65 · Economic 60 · Tenant Quality 65). Strong amenities and housing-market momentum support a premium to baseline.
Mexilhoeira Grande, Portimão, Faro
Area baseline €1,282,710 + condition +€53,625 + location +€50,088 = modelled fair value of €840,306 (€1,959/m²), a €1,909,694 (69.4%) gap versus the €2,750,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Mexilhoeira Grande · 90d8e6 | Subject | €2,750,000 | €6,410 | — | 85 | 67 |
| Alvor · 893460 | Active | €1,500,000 | €7,009 | 9.3% | 80 | 73 |
| Mexilhoeira Grande · 38a085 | Active | €895,000 | €5,327 | 16.9% | 77 | 75 |
| Mexilhoeira Grande · f35d95 | Active | €550,000 | €2,941 | 54.1% | 74 | 73 |
| Alvor · 4a8031 | Active | €550,000 | €3,333 | 48.0% | 74 | 73 |
| Median comp | €722,500 | €4,330 | 32.5% | 76 | 73 |
Short-term vacation rental The 4-bed villa in Mexilhoeira Grande, listed at €2,750,000, is overpriced by 69.4% compared to its fair value of €840,306, which undermines its potential as a short-term vacation rental. While the Algarve's tourist appeal could attract guests, the gross yield of only 1.1% suggests limited profitability in this segment. Buy-and-hold Investing in this property as a buy-and-hold strategy is discouraged, as its significant pricing gap indicates it is overpriced at €2,750,000, compared to a fair value of €840,306. With a 1.1% gross yield and a neighbourhood score of 67/100, long-term appreciation prospects are likely diminished. Long-term rental Positioning this villa for long-term rental is not advisable due to its overpriced status, listed at €2,750,000 while the fair value stands at €840,306, marking a substantial 69.4% gap. Despite decent local demand driven by the tourist economy, the property’s 1.1% gross yield reveals insufficient return potential for rental income.
Potential Tenant Turnover The combination of a 60/100 economic stability score and a 65/100 tenant stability score indicates moderate risks of tenant turnover, which could impact cash flow.
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