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.
3-bedroom, 3-bathroom house of 227 m², built in 2005, energy rating D. Located Estômbar e Parchal parish, Lagoa municipality, Faro district. Noteworthy Features: This villa features a glass-enclosed lounge that seamlessly connects indoor and outdoor spaces, providing year-round enjoyment of golf course views and a beautifully landscaped garden.
The valuation. The asking price of €1,350,000 is significantly above the fair value of €270,522, making the property overpriced by €1,079,478 (80.0%). This discrepancy indicates a lack of market competitiveness.
Fair value modelled at €270,522 from the area baseline, adjusted for condition and location. Asking €1,350,000 sits €1,079,478 (80.0%) above — overpriced versus fair value.
Asking €1,350,000 versus the Estômbar e Parchal, Lagoa, Faro area baseline of €649,674 (€2,862/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 85/100 (Condition 80 · Materials 88 · Room dimensions 83). Above-median finish quality lifts fair value versus a baseline unit needing CapEx.
Neighbourhood score 63/100 (Housing Market 70 · Amenities 60 · Economic 60 · Tenant Quality 60). Strong amenities and housing-market momentum support a premium to baseline.
Estômbar e Parchal, Lagoa, Faro
Area baseline €649,674 + condition +€28,375 + location +€11,969 = modelled fair value of €270,522 (€1,192/m²), a €1,079,478 (80.0%) gap versus the €1,350,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Estômbar e Parchal · f362a7 | Subject | €1,350,000 | €5,947 | — | 80 | 63 |
| Estômbar e Parchal · 956c70 | Active | €1,350,000 | €5,947 | 0% | 78 | 67 |
| Estômbar e Parchal · 735450 | Active | €1,350,000 | €5,947 | 0% | 78 | 72 |
| Lagoa e Carvoeiro · cfe058 | Active | €1,350,000 | €5,947 | 0% | 77 | 72 |
| Estômbar e Parchal · 023968 | Active | €1,200,000 | €4,138 | 30.4% | 80 | 73 |
| Median comp | €1,350,000 | €5,947 | 0% | 78 | 72 |
Short-term vacation rental Despite being located in a tourist-friendly region, the property is overpriced at €1,350,000, creating an unattractive yield of only 2.3% gross. This price significantly exceeds the fair value of €270,522, leaving limited room for profitability in the short-term rental market. Buy-and-hold Investing in this property as a buy-and-hold strategy would be challenging due to its 80.0% gap from fair value, suggesting that the investment is not positioned to appreciate sufficiently over time. Holding an overpriced asset limits the potential for capital gains and may hinder future cash flow. Family rental Acquiring this property for family rental would not be advisable, as it is overpriced compared to the fair market assessment, which could inhibit competitive rental pricing. The property’s high cost relative to its neighbourhood quality and yield makes it less attractive for long-term family tenants with budget constraints.
Economic Vulnerability With an economic stability score of 60/100, there is a significant risk of fluctuations in the local economy adversely affecting property value and tenant demand.
