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 house of 93 m², built in 2011, energy rating B. Located Guia parish, Albufeira municipality, Faro district. Noteworthy Features: This property includes a spacious terrace designed for outdoor dining and relaxation, as well as a private garden ideal for gardening enthusiasts or pets.
The valuation. The property is listed at €475,000, exceeding its fair value of €415,691 by €59,309 (12.5%). This indicates the property is overpriced compared to the current market assessment.
Fair value modelled at €312,916 from the area baseline, adjusted for condition and location. Asking €475,000 sits €162,084 (34.1%) above — overpriced versus fair value.
Asking €475,000 versus the Guia, Albufeira, Faro area baseline of €282,162 (€3,034/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 78/100 (Condition 80 · Materials 78 · Room dimensions 75). Above-median finish quality lifts fair value versus a baseline unit needing CapEx. Full condition report →
Neighbourhood score 73/100 (Housing Market 80 · Amenities 75 · Economic 65 · Tenant Quality 70). Strong amenities and housing-market momentum support a premium to baseline. Full location report →
Guia, Albufeira, Faro
Area baseline €282,162 + condition +€4,795 + location +€25,959 = modelled fair value of €312,916 (€3,365/m²), a €162,084 (34.1%) gap versus the €475,000 asking price.
Short-term vacation rental The property's asking price of €475,000 indicates a market condition where the short-term vacation rental strategy is compromised, given that it is priced 12.5% above the fair value of €415,691. With a yield of only 4.5%, the potential return on investment does not justify the elevated asking price in the tourism-driven Algarve market. Buy-and-hold Investing in this property as a buy-and-hold strategy is not advisable due to its overpriced status, with a fair value gap of 12.5%. The condition rating of 78/100 suggests reasonable upkeep, but with the current valuation, potential appreciation does not appear compelling. Long-term rental The long-term rental strategy is less attractive for this property, as it is priced at €475,000, which is significantly above its fair value. The gross yield of 4.5% is insufficient to offset the premium price, leading to lower potential cash flow compared to other investments in the region.
[Economic Vulnerability] With an economic stability score of 65/100, there is a moderate risk posed by potential fluctuations in the local economy that could impact tenant demand and rental income stability.
