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 house of 147 m², energy rating E. Located Alcoutim e Pereiro parish, Alcoutim municipality, Faro district. Noteworthy Features: This property includes a garage and a terrace, enhancing its outdoor usability for recreation and relaxation in the serene village of Balurcos. Location Benefits: Just 5 minutes from Alcoutim's river beach and town center. Potential: Ideal for customization to suit personal preferences. Access: Good connectivity to public utilities. Market Context: A unique investment opportunity in the tranquil Algarve interior region.
The valuation. The asking price of €150,000 is significantly below the fair value of €223,108, indicating a difference of €73,108 (48.7%). This property is clearly underpriced in the current market. Buy-to-flip angle. A buy-to-flip strategy could capitalize on the property’s underpricing, aiming for a renovation that increases value for resale at a significantly higher price point. Quick renovations targeting basic fixtures could enhance appeal and marketability. Buy-to-let angle. With an estimated gross yield of 0%, this property is not immediately suitable for rental income in its current condition; however, strategic investments in improvements could eventually attract tenants and create steady cash flow.
Fair value modelled at €223,108 from the area baseline, adjusted for condition and location. Asking €150,000 sits €73,108 (48.7%) below — the upside to fair value.
Asking €150,000 versus the Alcoutim e Pereiro, Alcoutim, Faro area baseline of €273,420 (€1,860/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 55/100 (Condition 60 · Materials 55 · Room dimensions 55). Below-median condition lowers fair value versus a renovated baseline unit.
Neighbourhood score 46/100 (Housing Market 40 · Amenities 50 · Economic 35 · Tenant Quality 55). Softer demand indicators apply a discount to baseline.
Alcoutim e Pereiro, Alcoutim, Faro
Area baseline €273,420 + condition -€45,938 + location -€4,375 = modelled fair value of €223,108 (€1,518/m²), a €73,108 (48.7%) gap versus the €150,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Alcoutim e Pereiro · 1e6181 | Subject | €150,000 | €1,020 | — | 60 | 46 |
| Odeleite · 65a719 | Active | €170,000 | €354 | 65.3% | — | 54 |
| Azinhal · 65a72c | Active | €125,000 | €1,238 | 21.3% | 30 | 50 |
| estrada Sem Nome | Active | €270,000 | €971 | 4.8% | — | 51 |
| travessa Primeiro de Maio, 2 | Active | €445,000 | €843 | 17.4% | 75 | 57 |
| Median comp | €220,000 | €907 | 11.1% | 53 | 53 |
Long-term rental The property in Alcoutim e Pereiro is subvalorizada, with a fair value significantly higher than the listing price, indicating a potential for positive cash flow if rented long-term. However, its gross yield of 0% suggests that potential returns may be limited, necessitating careful consideration of tenant quality in this rural area. Buy-and-hold Acquiring this 2-bed house for €150,000 presents a compelling buy-and-hold opportunity due to its 48.7% gap versus fair value, positioning it well for appreciation over time. The property's moderate condition and the neighborhood score imply that long-term investment could yield returns as the region develops and demand increases, provided the investor is mindful of the current amenities and market characteristics.
Economic Weakness The property has an economic stability score of 35/100, indicating significant risk due to a weak local economy that may impact tenant demand and rental income.
