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, 1-bathroom house of 130 m², energy rating F. Located on rua das Olarias, 70N, Moncarapacho e Fuseta parish, Olhão municipality, Faro district. Property Features: This property includes three independent units on a generous 830 m² lot, allowing for potential expansion and construction of a pool amidst a private green area.
The valuation. The asking price of €500,000 significantly exceeds the fair value of €162,000 by €338,000 (67.6%). This property is clearly overpriced, presenting a discrepancy that potential buyers should reconsider.
Fair value modelled at €162,000 from the area baseline, adjusted for condition and location. Asking €500,000 sits €338,000 (67.6%) above — overpriced versus fair value.
Asking €500,000 versus the rua das Olarias, 70N area baseline of €241,800 (€1,860/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 30/100 (Condition 25 · Materials 30 · Room dimensions 40). Below-median condition lowers fair value versus a renovated baseline unit.
Neighbourhood score 62/100 (Housing Market 70 · Amenities 60 · Economic 55 · Tenant Quality 65). Strong amenities and housing-market momentum support a premium to baseline.
rua das Olarias, 70N
Area baseline €241,800 + condition -€91,406 + location +€11,606 = modelled fair value of €162,000 (€1,246/m²), a €338,000 (67.6%) gap versus the €500,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| rua das Olarias, 70N | Subject | €500,000 | €3,846 | — | 25 | 62 |
| Moncarapacho e Fuseta · 93742b | Active | €485,000 | €4,491 | 16.8% | 18 | 65 |
| autoestrada EM516-2 | Active | €600,000 | €3,509 | 8.8% | 18 | 56 |
| Moncarapacho e Fuseta · 96c413 | Active | €850,000 | €5,782 | 50.3% | 65 | 67 |
| Moncarapacho e Fuseta · dbd469 | Active | €495,000 | €4,420 | 14.9% | 58 | 55 |
| Median comp | €547,500 | €4,456 | 15.8% | 38 | 61 |
Short-term vacation rental With a gross yield of 3.6%, this property does not present a compelling investment opportunity for a short-term vacation rental, especially given its high listing price of €500,000 compared to a fair value of €162,000. The significant gap of 67.6% indicates that potential rental income may not sufficiently cover the excessive purchase cost. Buy-and-hold Investing in this property as a buy-and-hold strategy may lead to disappointing returns due to the property being overpriced at €500,000, with a fair value assessment pointing to a considerable loss potential. The declining appeal of an investment that does not align with realistic market valuations is apparent, particularly in a neighborhood rated only 62/100. Value-add renovation While some investors may be attracted to the idea of enhancing property value through renovations, the current overpriced status at €500,000 poses a significant risk that renovation costs may not recover the initial investment at a fair market level of €162,000. With the property condition rated at 30/100, the required improvements will likely further skew profitability towards a loss. Not ideal for: Student housing, Luxury market Due to its pricing and valuation metrics, this property is not suited for student housing, given the limited educational facilities in the area, alongside its inadequate positioning in the luxury market due to its fair value assessment. It is essential to align investment strategies with neighborhood tenant quality and market demand to avoid further losses.
Tenant turnover risk With a tenant stability score of only 65/100, there is a heightened risk of tenant turnover, which could lead to increased vacancy rates and loss of rental income.
