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 79 m², built in 1988, energy rating C. Located on rua Diogo Cão, 2, Monte Gordo parish, Vila Real de Santo António municipality, Faro district. This apartment features a versatile partially covered terrace that functions as a third bedroom, enhancing functional living space and offering lateral sea views.
The valuation. The asking price of €470,000 significantly exceeds the fair value of €140,207, representing an overpricing of €329,793 or 70.2%. This valuation positions the apartment as a high-risk investment given its substantial markup.
Fair value modelled at €140,207 from the area baseline, adjusted for condition and location. Asking €470,000 sits €329,793 (70.2%) above — overpriced versus fair value.
Asking €470,000 versus the rua Diogo Cão, 2 area baseline of €317,975 (€4,025/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 77/100 (Condition 74 · Materials 78 · Room dimensions 77). Above-median finish quality lifts fair value versus a baseline unit needing CapEx.
Neighbourhood score 55/100 (Housing Market 55 · Amenities 60 · Economic 40 · Tenant Quality 60). Strong amenities and housing-market momentum support a premium to baseline.
rua Diogo Cão, 2
Area baseline €317,975 + condition +€1,852 + location +€2,713 = modelled fair value of €140,207 (€1,775/m²), a €329,793 (70.2%) gap versus the €470,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| rua Diogo Cão, 2 | Subject | €470,000 | €5,949 | — | 74 | 55 |
| Monte Gordo · 956f3a | Active | €300,000 | €4,286 | 28.0% | 75 | 58 |
| Monte Gordo · 6fbafd | Active | €250,000 | €3,846 | 35.4% | 70 | 65 |
| autoestrada N125 | Active | €225,000 | €4,891 | 17.8% | 80 | 53 |
| Monte Gordo · 96c3cc | Active | €260,000 | €3,562 | 40.1% | 85 | 54 |
| Median comp | €255,000 | €4,066 | 31.7% | 78 | 56 |
Long-term rental This property is not an ideal candidate for long-term rental investment, given its overpriced valuation of €470,000 against a fair value of €140,207. The gross yield of 2.2% further exacerbates concerns about its financial viability, especially in a neighbourhood with a lower tenant quality rating of 55/100. Value-add renovation Pursuing a value-add renovation strategy may not justify the current asking price of €470,000, as extensive capital would be required to elevate the property’s condition from 77/100. Investing in renovations in an overpriced property carries significant risk, particularly in a rural Algarve market dominated by tourism and agriculture where potential returns are uncertain.
Economic Risk The economic stability score of 40/100 suggests a high risk of market fluctuations that could negatively impact property value and rental income potential.
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