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, 3-bathroom apartment of 151 m², energy rating A. Located Albufeira e Olhos de Água parish, Albufeira municipality, Faro district. Noteworthy Features: This apartment includes a nearly 100 m² private terrace with panoramic views, complemented by a built-in barbecue for excellent outdoor dining experiences.
The valuation. The asking price of €699,000 is significantly above the fair value of €507,289, resulting in an excess of €191,711 (27.4%). This property is clearly overpriced based on current market conditions.
Fair value modelled at €507,289 from the area baseline, adjusted for condition and location. Asking €699,000 sits €191,711 (27.4%) above — overpriced versus fair value.
Asking €699,000 versus the Albufeira e Olhos de Água, Albufeira, Faro area baseline of €458,134 (€3,034/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 80/100 (Condition 78 · Materials 85 · Room dimensions 78). 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.
Albufeira e Olhos de Água, Albufeira, Faro
Area baseline €458,134 + condition +€12,505 + location +€36,651 = modelled fair value of €507,289 (€3,360/m²), a €191,711 (27.4%) gap versus the €699,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Albufeira e Olhos de Água · 1e6357 | Subject | €699,000 | €4,629 | — | 78 | 70 |
| rua do Município S / N N1 | Active | €540,000 | €2,432 | 47.5% | 82 | 73 |
| caminho do Raposo S / N | Active | €895,000 | €5,144 | 11.1% | 85 | 80 |
| Albufeira e Olhos de Água · 001855 | Active | €655,000 | €3,722 | 19.6% | 78 | 65 |
| avenida Sá Carneiro | Active | €290,000 | €4,462 | 3.6% | 74 | 64 |
| Median comp | €597,500 | €4,092 | 11.6% | 80 | 69 |
Short-term vacation rental The property is overpriced by 27.4%, which negatively impacts potential return on investment for short-term vacation rentals. With a gross yield of only 2.4%, the profitability in the tourist-friendly Albufeira may not justify the current valuation. Buy-and-hold Given the significant gap to fair value at 27.4%, this property’s buy-and-hold strategy appears unattractive. The limited gross yield of 2.4% suggests that capital appreciation may not compensate for the initial overvaluation. Family rental As an investment for family rentals, the 27.4% overpricing detracts from the overall appeal, leading to concerns about returns. The neighborhood score of 70/100 indicates some promise, but the low yield of 2.4% further illustrates the challenges posed by the property's current price.
Potential tenant turnover risk: With a tenant stability score of 70/100, there is a moderate risk of tenant turnover, which could impact rental income consistency and property cash flow.
