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 86 m², built in 2014, energy rating D. Located on rua de São Paulo, Misericórdia parish, Lisbon municipality, Lisbon district. Noteworthy Feature: The transferable Local Accommodation License (AL) offers immediate investment potential in a highly sought-after area, enhancing the property's value for both personal and rental use.
The valuation. The asking price of €550,000 sits significantly above the fair value of €389,564, indicating the property is overpriced by €160,436 (29.2%). This discrepancy suggests a challenge for potential investors aiming for a reasonable return on investment.
Fair value modelled at €389,564 from the area baseline, adjusted for condition and location. Asking €550,000 sits €160,436 (29.2%) above — overpriced versus fair value.
Asking €550,000 versus the rua de São Paulo area baseline of €338,668 (€3,938/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 79/100 (Condition 77 · Materials 80 · Room dimensions 78). Above-median finish quality lifts fair value versus a baseline unit needing CapEx.
Neighbourhood score 84/100 (Housing Market 90 · Amenities 90 · Economic 90 · Tenant Quality 75). Strong amenities and housing-market momentum support a premium to baseline.
rua de São Paulo
Area baseline €338,668 + condition +€4,837 + location +€46,059 = modelled fair value of €389,564 (€4,530/m²), a €160,436 (29.2%) gap versus the €550,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| rua de São Paulo | Subject | €550,000 | €6,395 | — | 77 | 84 |
| rua Manuel Soares Guedes, 16 | Active | €243,000 | €4,585 | 28.3% | 82 | 81 |
| Santa Maria Maior · 1e61eb | Active | €320,000 | €5,926 | 7.3% | 75 | 83 |
| rua Possidónio da Silva, 9 | Active | €330,000 | €7,333 | 14.7% | 80 | 80 |
| rua do Paraíso | Active | €390,000 | €6,094 | 4.7% | 80 | 80 |
| Median comp | €325,000 | €6,010 | 6.0% | 80 | 81 |
Long-term rental The 1-bed apartment in Misericórdia is priced at €550,000, which is 29.2% above its fair value of €389,564, indicating that the investment is overpriced. With a gross yield of only 3.5%, the potential returns do not justify the elevated purchase price relative to market norms. Short-term vacation rental Given the property’s condition score of 79/100 and its appealing central location in Lisbon, it could attract visitors but remains overpriced at €550,000 compared to the fair value of €389,564, a 29.2% gap. The expected rental income may not be sufficient to offset the high acquisition cost, limiting the attractiveness of this strategy. Luxury market Although the apartment is located in a desirable neighborhood with a score of 84/100, the listing price of €550,000 significantly exceeds its fair value of €389,564, marking it as overpriced. This disparity would likely deter high-end buyers seeking reasonable investments in the luxury segment. Not ideal for student housing The 1-bed apartment, while in a central area, is overpriced at €550,000, vastly overshadowing its fair value of €389,564 by 29.2%. With a gross yield of only 3.5%, it is not well-suited for the student market, where affordability is key.
Potential Tenant Turnover Tenants may leave at a rate higher than expected due to the tenant stability score of 75/100, indicating potential volatility in rental income and occupancy levels.