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 Feature: This villa includes a stairlift for enhanced accessibility, ensuring ease of mobility for all generations within its spacious and landscaped environment throughout the Gramacho Golf Resort.
The valuation. The asking price of €1,350,000 is significantly above the fair value of €266,040, with an overpricing of €1,083,960 (80.3%). This property is clearly overpriced given the substantial gap between the asking price and its fair market value.
Fair value modelled at €266,040 from the area baseline, adjusted for condition and location. Asking €1,350,000 sits €1,083,960 (80.3%) 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 79/100 (Condition 78 · Materials 82 · Room dimensions 78). Above-median finish quality lifts fair value versus a baseline unit needing CapEx.
Neighbourhood score 72/100 (Housing Market 80 · Amenities 70 · Economic 55 · Tenant Quality 75). Strong amenities and housing-market momentum support a premium to baseline.
Estômbar e Parchal, Lagoa, Faro
Area baseline €649,674 + condition +€15,606 + location +€20,256 = modelled fair value of €266,040 (€1,172/m²), a €1,083,960 (80.3%) gap versus the €1,350,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Estômbar e Parchal · 735450 | Subject | €1,350,000 | €5,947 | — | 78 | 72 |
| Estômbar e Parchal · 956c70 | Active | €1,350,000 | €5,947 | 0% | 78 | 67 |
| Estômbar e Parchal · f362a7 | Active | €1,350,000 | €5,947 | 0% | 80 | 63 |
| Lagoa e Carvoeiro · b4540b | Active | €1,075,000 | €6,073 | 2.1% | 75 | 71 |
| Lagoa e Carvoeiro · cfe058 | Active | €1,350,000 | €5,947 | 0% | 77 | 72 |
| Median comp | €1,350,000 | €5,947 | 0% | 78 | 69 |
Short-term vacation rental This property, priced at €1,350,000, presents an 80.3% gap versus its fair value of €266,040, indicating it is overpriced and may not yield a competitive return on investment. With a gross yield of only 2.3%, the financial outlook for a short-term rental strategy appears unfavorable, despite the area's seasonal tourism demand. Long-term rental Given the listing price significantly exceeds fair value, the potential for a long-term rental strategy is diminished, limiting investor interest due to an inflated entry point. The gross yield of 2.3% further reinforces that the property is overpriced and unlikely to provide adequate returns over time. Buy-and-hold This property is overpriced with a valuation gap of 80.3% compared to its fair value, which raises concerns for a buy-and-hold investment strategy in a competitive market. The current yield of 2.3% suggests that holding this asset may not generate sufficient cash flow to justify the high acquisition cost or provide long-term appreciation potential.
Economic Risk A score of 55/100 in economic stability indicates potential challenges in the local economy that could affect property value or rental income.
