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.
3-bedroom, 3-bathroom house of 213 m². Located Loulé (São Clemente) parish, Loulé municipality, Faro district. Noteworthy Feature: The property includes a vineyard and a vegetable garden, enhancing its appeal for those interested in sustainable living and outdoor activities. Condition Notes: Despite minor wear, the overall condition remains good with modern amenities integrated into traditional design.
The valuation. The asking price of €985,000 sits significantly above the fair value of €788,099, making the property overpriced by €196,901 (20.0%). This premium is not supported by current market conditions.
Fair value modelled at €788,099 from the area baseline, adjusted for condition and location. Asking €985,000 sits €196,901 (20.0%) above — overpriced versus fair value.
Asking €985,000 versus the Loulé (São Clemente), Loulé, Faro area baseline of €766,161 (€3,597/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 69/100 (Condition 70 · Materials 65 · Room dimensions 73). Below-median condition lowers fair value versus a renovated baseline unit.
Neighbourhood score 64/100 (Housing Market 70 · Amenities 60 · Economic 65 · Tenant Quality 60). Strong amenities and housing-market momentum support a premium to baseline.
Loulé (São Clemente), Loulé, Faro
Area baseline €766,161 + condition -€20,967 + location +€42,905 = modelled fair value of €788,099 (€3,700/m²), a €196,901 (20.0%) gap versus the €985,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Loulé (São Clemente) · 4202ae | Subject | €985,000 | €4,624 | — | 70 | 64 |
| rua das Amendoeiras | Active | €695,000 | €4,317 | 6.7% | 75 | 68 |
| rua Manuel da Luz Afonso, 46 | Active | €675,000 | €1,650 | 64.3% | — | 63 |
| Loulé (São Clemente) · 90d853 | Active | €1,150,000 | €3,686 | 20.3% | 75 | 72 |
| Loulé (São Clemente) · 956bf4 | Active | €769,000 | €3,315 | 28.3% | 75 | 60 |
| Median comp | €732,000 | €3,501 | 24.3% | 75 | 66 |
Short-term vacation rental The property is overpriced at €985,000, which is 20% above its fair value of €788,099, presenting significant risk for potential investors. Given a gross yield of just 3.1%, the financial viability of utilizing this property as a short-term vacation rental in a tourist-friendly area appears limited. Buy-and-hold Investors considering a buy-and-hold strategy should be aware that the property is overvalued, with a valuation gap of 20% compared to fair market value. With a condition rating of 69/100 and a neighborhood rating of 64/100, the potential for long-term appreciation is diminished by the current price status. Family rental As a family rental investment, this property is priced excessively at €985,000, which is well above its fair value. The 3.1% gross yield and neighborhood ratings suggest that families may find more appealing rental options, making this investment less favorable in the current market.
Tenant turnover risk: With a tenant stability score of only 60/100, there is a significant risk of increased vacancies and turnover costs associated with leasing the property.
