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.
2-bedroom, 2-bathroom apartment of 85 m², built in 2003, energy rating D. Located Altura parish, Castro Marim municipality, Faro district. This apartment features exceptional east, south, and west orientations that ensure abundant natural light throughout the day, enhancing the overall living experience despite the need for cosmetic updates.
The valuation. The asking price of €320,000 is significantly above fair value by €178,604 or 55.8%, indicating that the property is overpriced. With a fair value standing at €141,396, this presents a considerable premium for potential buyers. Buy-to-flip angle. A buy-to-flip strategy could involve cosmetic upgrades to the apartment, focusing on enhancing the average quality finishes to appeal to investors. Given the current market climate, resale may yield opportunities for profit, although the high asking price is a challenge. Buy-to-let angle. The estimated rental income of €1,147 per month offers a gross yield of 4.3%, making it a viable option for long-term rental strategies. However, the high initial investment may take time to recoup through consistent rental income.
Fair value modelled at €141,396 from the area baseline, adjusted for condition and location. Asking €320,000 sits €178,604 (55.8%) above — overpriced versus fair value.
Asking €320,000 versus the Altura, Castro Marim, Faro area baseline of €302,685 (€3,561/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 66/100 (Condition 70 · Materials 65 · Room dimensions 66). Below-median condition lowers fair value versus a renovated baseline unit.
Neighbourhood score 62/100 (Housing Market 60 · Amenities 65 · Economic 55 · Tenant Quality 70). Strong amenities and housing-market momentum support a premium to baseline.
Altura, Castro Marim, Faro
Area baseline €302,685 + condition -€11,555 + location +€7,005 = modelled fair value of €141,396 (€1,663/m²), a €178,604 (55.8%) gap versus the €320,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Altura · cfe217 | Subject | €320,000 | €3,765 | — | 70 | 62 |
| rua Doctor José Colaço Fernandes | Active | €220,000 | €2,857 | 24.1% | 60 | 61 |
| Altura · 4bbc8d | Active | €350,000 | €3,211 | 14.7% | 70 | 63 |
| rua Duque de Terceira, 35 | Active | €330,000 | €3,143 | 16.5% | — | 60 |
| Vila Nova de Cacela · bf28af | Active | €300,000 | €4,286 | 13.8% | 73 | 55 |
| Median comp | €315,000 | €3,177 | 15.6% | 70 | 61 |
Long-term rental The property is priced at €320,000, which is significantly higher than its fair value of €141,396, indicating it is overpriced by 55.8%. With a gross yield of only 4.3%, the financial returns for long-term rentals are not compelling given the high purchase price. Family rental Priced at €320,000, the property does not reflect a viable option for family rentals, given that it is overpriced compared to the fair value of €141,396. The medium-quality condition of 66/100 can deter families seeking value for money in their living space. Short-term vacation rental While the Algarve region attracts tourism, the €320,000 listing price overshadows potential revenue as it is overpriced relative to the fair value of €141,396. With only a modest gross yield of 4.3%, the financial viability of operating this property as a short-term vacation rental is questionable. Not ideal for Investments targeting the luxury market would be ill-advised, as the property is overpriced compared to its fair value. Additionally, student housing opportunities are limited due to the overall pricing structure, rendering this property unsuitable for such demographics.
Economic vulnerability The economic stability score of 55/100 indicates a potential risk of downturns in the local economy, which could negatively impact property value and rental income.
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