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.
1-bedroom, 1-bathroom apartment of 55 m², energy rating C. Located on estrada das Sesmarias, Albufeira e Olhos de Água parish, Albufeira municipality, Faro district. Noteworthy Features: This apartment is located in a private condominium that offers exclusive amenities such as a swimming pool and designated parking, enhancing both comfort and lifestyle options. Location Highlights: Just minutes from stunning beaches, providing a serene coastal living experience.
The valuation. The asking price of €299,000 exceeds the fair value of €189,765 by €109,235, or 36.5%. This indicates that the property is overpriced and may not represent a sound investment decision.
Fair value modelled at €189,765 from the area baseline, adjusted for condition and location. Asking €299,000 sits €109,235 (36.5%) above — overpriced versus fair value.
Asking €299,000 versus the estrada das Sesmarias area baseline of €166,870 (€3,034/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 84/100 (Condition 81 · Materials 86 · Room dimensions 83). Above-median finish quality lifts fair value versus a baseline unit needing CapEx.
Neighbourhood score 74/100 (Housing Market 78 · Amenities 70 · Economic 65 · Tenant Quality 70). Strong amenities and housing-market momentum support a premium to baseline.
estrada das Sesmarias
Area baseline €166,870 + condition +€6,875 + location +€16,020 = modelled fair value of €189,765 (€3,450/m²), a €109,235 (36.5%) gap versus the €299,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| estrada das Sesmarias | Subject | €299,000 | €5,436 | — | 81 | 74 |
| estrada das Sesmarias | Active | €299,000 | €5,436 | 0% | 76 | 80 |
| Albufeira e Olhos de Água · 90da03 | Active | €390,000 | €4,063 | 25.3% | 75 | 73 |
| rua Aldeamento Albufeira Jardim, 1 | Active | €239,000 | €5,311 | 2.3% | 72 | 71 |
| beco José Ramos Pimenta S / N | Active | €188,000 | €4,087 | 24.8% | 82 | 62 |
| Median comp | €269,000 | €4,699 | 13.6% | 76 | 72 |
Short-term vacation rental The property is positioned in a high-demand tourist area, but with a gross yield of 3.9%, the expected return does not justify the investment given the listing price of €299,000, which is 36.5% above fair value. As a result, this property may struggle to deliver satisfactory returns during peak vacation seasons. Long-term rental Despite the attractive location in Albufeira, the high listing price results in an excessive gross yield of just 3.9%, which may deter prospective tenants. This investment is not appealing as it is overpriced by €109,235 compared to its fair market value of €189,765. Buy-and-hold Owning this property as a long-term asset carries risks because of its inflated price point, leading to a significant gap of 36.5% from fair value. The net returns from this buy-and-hold strategy are unlikely to meet investor expectations given the current market conditions and property valuation. Not ideal for: Student housing, Luxury market The property is not suited for student housing due to its smaller size and tourist-oriented location, while its overpriced condition also diminishes appeal in the luxury market segment.
Economic Vulnerability The economic stability score of 65/100 suggests a moderate risk of economic downturns impacting rental income and property value.
