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.
4-bedroom, 5-bathroom house of 350 m², built in 2013, energy rating C. Located Albufeira e Olhos de Água parish, Albufeira municipality, Faro district. This property boasts a spacious garden with mature landscaping and a private pool area ideal for entertaining, enhancing outdoor living in a serene environment.
The valuation. The asking price of €900,000 sits €264,936 (29.4%) below the fair value of €1,164,936, indicating that this property is subpriced relative to its true worth. Buy-to-flip angle. The opportunity exists to purchase the property and renovate it, aiming for a profitable resale in a thriving market for approximately €1,164,936, leveraging its high-quality materials and favorable location. Buy-to-let angle. With an estimated gross yield of 3% at €2,250 per month, the rental income strategy capitalizes on the tourism-dependent Algarve region, making it attractive for long-term and short-term vacation rentals.
Fair value modelled at €1,164,936 from the area baseline, adjusted for condition and location. Asking €900,000 sits €264,936 (29.4%) below — the upside to fair value.
Asking €900,000 versus the Albufeira e Olhos de Água, Albufeira, Faro area baseline of €1,207,500 (€3,450/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 75/100 (Condition 70 · Materials 78 · Room dimensions 75). Above-median finish quality lifts fair value versus a baseline unit needing CapEx.
Neighbourhood score 74/100 (Housing Market 80 · Amenities 70 · Economic 65 · Tenant Quality 70). Strong amenities and housing-market momentum support a premium to baseline.
Albufeira e Olhos de Água, Albufeira, Faro
Area baseline €1,207,500 + condition +€1,094 + location +€101,942 = modelled fair value of €1,164,936 (€3,328/m²), a €264,936 (29.4%) gap versus the €900,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Albufeira e Olhos de Água · 735680 | Subject | €900,000 | €2,571 | — | 70 | 74 |
| rua do Castelinho, 1 | Active | €649,000 | €1,997 | 22.3% | 72 | 72 |
| Albufeira e Olhos de Água · 0dcf1a | Active | €750,000 | €833 | 67.6% | 75 | 71 |
| Albufeira e Olhos de Água · 00199e | Active | €825,000 | €3,173 | 23.4% | 74 | 72 |
| Albufeira e Olhos de Água · ba5a44 | Active | €650,000 | €2,955 | 14.9% | 70 | 67 |
| Median comp | €700,000 | €2,476 | 3.7% | 73 | 72 |
Short-term vacation rental The property in Albufeira is well-situated in a tourist-heavy area, making it an attractive option for short-term vacation rentals, especially considering its fair value is 29.4% higher than the listing price. With a gross yield of 3%, it presents an opportunity to capitalize on the booming vacation rental market in the Algarve. Buy-and-hold Given the strong tourist demand in the Algarve and the substantial gap of 29.4% between the listing price and fair value, this property is well-positioned for long-term appreciation as the region continues to develop and attract visitors. The robust neighborhood amenities and decent ratings suggest stable tenant quality, making it a reliable buy-and-hold investment. Long-term rental While the property lists at a price that reflects value below its fair market worth, the gross yield of 3% demonstrates that it can provide a steady income stream as a long-term rental. Its accessibility to typical amenities in a tourist region positions it favorably to attract consistent long-term tenants benefiting from the local economic landscape.
Economic Volatility Risk The economic stability score of 65/100 indicates potential fluctuations in market conditions, which could impact future rental income and property value.
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