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 65 m², built in 1991, energy rating E. Located on urbanização Clube do Vau Vau, Portimão parish, Portimão municipality, Faro district. Noteworthy Features: The apartment includes modern furnishings and finishes, and its active rental contract ensures immediate income stability through the end of 2027.
The valuation. The asking price of €270,000 is significantly above the fair value of €122,057, making it overpriced by €147,943 (54.8%). Such a discrepancy suggests that investors should approach this opportunity with caution.
Fair value modelled at €122,057 from the area baseline, adjusted for condition and location. Asking €270,000 sits €147,943 (54.8%) above — overpriced versus fair value.
Asking €270,000 versus the urbanização Clube do Vau Vau area baseline of €111,605 (€1,717/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 77/100 (Condition 75 · Materials 78 · Room dimensions 77). Above-median finish quality lifts fair value versus a baseline unit needing CapEx.
Neighbourhood score 70/100 (Housing Market 70 · Amenities 70 · Economic 60 · Tenant Quality 80). Strong amenities and housing-market momentum support a premium to baseline.
urbanização Clube do Vau Vau
Area baseline €111,605 + condition +€1,523 + location +€8,928 = modelled fair value of €122,057 (€1,878/m²), a €147,943 (54.8%) gap versus the €270,000 asking price.
Short-term vacation rental The current listing price of €270,000 indicates that the property is overpriced, with a significant gap of 54.8% compared to its fair value of €122,057. Given its tourist-driven location, the gross yield of 3.9% does not justify this premium, especially in a market with seasonal fluctuations. Buy-and-hold Investing in this 1-bed apartment as a buy-and-hold strategy appears unwise due to its 54.8% overvaluation compared to the fair value of €122,057. The anticipated low gross yield of 3.9% suggests limited capital appreciation potential, making it less attractive for long-term investment. Long-term rental For long-term rental prospects, this property is overpriced at €270,000, with a fair value gap of 54.8% indicating a significant mispricing. The gross yield of 3.9% is insufficient to cover potential carrying costs and market risks related to the fluctuating demand in the Algarve region.
Economic challenge The economic stability score of 60 indicates potential vulnerability to market fluctuations that could impact rental income and property value.
