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. Highlight: This apartment includes a private terrace designed for outdoor leisure, allowing residents to enjoy the beautiful Algarve climate year-round in a tranquil setting.
The valuation. The asking price of €299,000 is significantly above the fair value of €189,730, exceeding it by €109,270 (36.5%). This property is considered overpriced in the current market.
Fair value modelled at €189,730 from the area baseline, adjusted for condition and location. Asking €299,000 sits €109,270 (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 78/100 (Condition 76 · Materials 82 · Room dimensions 78). Above-median finish quality lifts fair value versus a baseline unit needing CapEx.
Neighbourhood score 80/100 (Housing Market 75 · Amenities 85 · Economic 65 · Tenant Quality 80). Strong amenities and housing-market momentum support a premium to baseline.
estrada das Sesmarias
Area baseline €166,870 + condition +€2,836 + location +€20,024 = modelled fair value of €189,730 (€3,450/m²), a €109,270 (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 | — | 76 | 80 |
| estrada das Sesmarias | Active | €299,000 | €5,436 | 0% | 81 | 74 |
| 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% | 78 | 72 |
Short-term vacation rental The property is overpriced at €299,000 compared to a fair value of €189,730, indicating a significant gap of 36.5%. Given the yield of 3.9% gross in a seasonally fluctuating area dependent on tourism, this strategy may not generate sufficient returns to justify the initial investment. Buy-and-hold With a fair value substantially lower than the listing price, this property at €299,000 does not align with the buy-and-hold strategy's goal of long-term value appreciation. Additionally, a yield of 3.9% gross suggests limited profitability, especially in a market vulnerable to economic fluctuations. Family rental Although the neighborhood boasts an 80/100 rating, the €299,000 asking price is markedly above its fair value of €189,730, leading to concerns about long-term tenant demand and retention. The current yield of 3.9% gross does not support the investment's higher cost, further complicating its attractiveness for family rental purposes.
Economic downturn risk A score of 65/100 for economic stability indicates potential vulnerability to economic downturns, which may affect tenant demand and rental income.
