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, 0-bathroom apartment of 54 m², energy rating C. Located Albufeira e Olhos de Água parish, Albufeira municipality, Faro district. Noteworthy Features: The apartment boasts a generously sized 35 m² private balcony perfect for outdoor living and entertaining, alongside convenient underground parking for secure vehicle storage.
The valuation. The asking price of €285,000 sits significantly above the fair value of €181,978, creating a discrepancy of €103,022 (36.1%). This property is clearly overpriced, indicating a cautious approach for potential buyers. Buy-to-flip angle. A buy-to-flip strategy would involve renovating this apartment for resale, taking advantage of its high-quality finishes and prime location. However, the current purchase price may limit the potential profit from such a flip. Buy-to-let angle. With an estimated rental income of €855 per month, this property offers a gross yield of 3.6%. Its appeal as a short-term vacation rental in a sought-after neighborhood could enhance rental returns, albeit at a high acquisition cost.
Fair value modelled at €181,978 from the area baseline, adjusted for condition and location. Asking €285,000 sits €103,022 (36.1%) above — overpriced versus fair value.
Asking €285,000 versus the Albufeira e Olhos de Água, Albufeira, Faro area baseline of €163,836 (€3,034/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 73/100 (Condition 75 · Materials 78 · Room dimensions 70). Below-median condition lowers fair value versus a renovated baseline unit.
Neighbourhood score 80/100 (Housing Market 80 · Amenities 80 · Economic 70 · Tenant Quality 90). Strong amenities and housing-market momentum support a premium to baseline.
Albufeira e Olhos de Água, Albufeira, Faro
Area baseline €163,836 + condition -€1,519 + location +€19,660 = modelled fair value of €181,978 (€3,370/m²), a €103,022 (36.1%) gap versus the €285,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Albufeira e Olhos de Água · ac9815 | Subject | €285,000 | €5,278 | — | 75 | 80 |
| Albufeira e Olhos de Água · ac9818 | Active | €350,000 | €5,932 | 12.4% | 75 | 71 |
| estrada de Santa Eulália | Active | €300,000 | €4,688 | 11.2% | 70 | 70 |
| Albufeira e Olhos de Água · 4a7d65 | Active | €260,000 | €4,727 | 10.4% | 72 | 75 |
| Albufeira e Olhos de Água · bf27cf | Active | €369,000 | €4,920 | 6.8% | 72 | 71 |
| Median comp | €325,000 | €4,824 | 8.6% | 72 | 71 |
Short-term vacation rental The property's prime location in the Algarve suggests strong potential for short-term vacation rentals, but current pricing is misaligned with the fair market value. With a gross yield of 3.6%, the investment does not offer a competitive return compared to local alternatives. Buy-and-hold Holding this property as a long-term investment appears risky given its 36.1% gap above fair value, which could lead to an overextended commitment without adequate returns. The current condition rating of 73/100 indicates potential maintenance issues that may further deter profitability in a buy-and-hold strategy. Family rental Although the property is located in a safe neighborhood with an 80/100 rating, the significant pricing premium makes it less appealing for family rental investments. The slight gross yield of 3.6% does not justify the higher costs associated with the property, thereby reducing its attractiveness for long-term family tenants.
Economic Uncertainty Despite a strong tenant stability score of 90/100, the economic stability score of 70/100 indicates potential vulnerability to economic fluctuations that could impact rental income.
