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 89 m², built in 2009. Located São Gonçalo de Lagos parish, Lagos municipality, Faro district. Noteworthy Features: This apartment benefits from direct access to the heated indoor pool and multiple outdoor pools, enhancing the resort lifestyle experience.
The valuation. The asking price of €685,000 is significantly above the fair value of €348,019, constituting an overpricing of €336,981 or 49.2%. The property's valuation raises concerns regarding its market competitiveness.
Fair value modelled at €348,019 from the area baseline, adjusted for condition and location. Asking €685,000 sits €336,981 (49.2%) above — overpriced versus fair value.
Asking €685,000 versus the São Gonçalo de Lagos, Lagos, Faro area baseline of €310,788 (€3,492/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 85/100 (Condition 85 · Materials 90 · Room dimensions 78). Above-median finish quality lifts fair value versus a baseline unit needing CapEx.
Neighbourhood score 71/100 (Housing Market 80 · Amenities 70 · Economic 65 · Tenant Quality 65). Strong amenities and housing-market momentum support a premium to baseline.
São Gonçalo de Lagos, Lagos, Faro
Area baseline €310,788 + condition +€11,125 + location +€26,106 = modelled fair value of €348,019 (€3,910/m²), a €336,981 (49.2%) gap versus the €685,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| São Gonçalo de Lagos · f3609c | Subject | €685,000 | €7,697 | — | 85 | 71 |
| São Gonçalo de Lagos · 49b7ca | Active | €385,000 | €5,133 | 33.3% | 78 | 76 |
| São Gonçalo de Lagos · 090044 | Active | €685,000 | €5,708 | 25.8% | 82 | 73 |
| urbanização Marina Marina de Lagos | Active | €665,000 | €4,750 | 38.3% | 82 | 66 |
| São Gonçalo de Lagos · 49b696 | Active | €480,000 | €5,854 | 23.9% | 75 | 67 |
| Median comp | €572,500 | €5,421 | 29.6% | 80 | 70 |
Short-term vacation rental The property is overpriced, as the listing price of €685,000 exceeds the fair value of €348,019 by 49.2%. With a gross yield of only 2.5%, this strategy does not align with the high investment costs. Buy-and-hold Investing in this property for a buy-and-hold strategy is not advisable due to its significant overpricing, as it is listed at €685,000 while its fair value is only €348,019. The potential for moderate tenant quality and an inadequate yield of 2.5% could hinder long-term returns. Family rental This property, valued at €348,019, is currently overvalued at €685,000, creating a significant barrier for families seeking affordable rental options. Additionally, while the neighbourhood has adequate schools, the 2.5% yield and high price do not contribute to a sustainable family rental investment.
Economic and Tenant Stability Risk With both the economic stability and tenant stability scores at 65/100, there is a heightened risk of fluctuations in rental income and occupancy rates. Situations such as economic downturns or increased tenant turnover could significantly impact the property's cash flow and profitability.
