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, 4-bathroom villa of 238 m², built in 1995, energy rating B. Located Lagoa e Carvoeiro parish, Lagoa municipality, Faro district. Noteworthy Feature: This villa features a fully equipped summer kitchen with a built-in traditional wood oven, perfect for outdoor entertaining in a secluded natural setting.
The valuation. The asking price of €1,250,000 is significantly above the fair value of €280,198, representing an excessive premium of €969,802 (77.6%). This villa is considered overpriced based on current market conditions.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Lagoa e Carvoeiro · 96c4ef | Subject | €1,250,000 | €5,252 | — | — | 71 |
| Lagoa e Carvoeiro · 0dcd9f | Active | €1,250,000 | €4,417 | 15.9% | 78 | 72 |
| Lagoa e Carvoeiro · e552cb | Active | €795,000 | €4,676 | 11.0% | 79 | 74 |
| Lagoa e Carvoeiro · 0aca43 | Active | €3,500,000 | €11,667 | 122.1% | — | 73 |
| Estômbar e Parchal · 9114d1 | Active | €1,050,000 | €5,072 | 3.4% | 70 | 70 |
| Median comp | €1,150,000 | €4,874 | 7.2% | 78 | 73 |
Short-term vacation rental The property, listed at €1,250,000, is significantly overpriced compared to its fair value of €280,198, presenting a 77.6% gap that impacts its profitability. Even with the area’s tourism appeal, the gross yield of 2.4% does not justify the investment given the seasonal fluctuations in rental demand. Buy-and-hold Investing in this villa for the long-term holds little promise, as the massive 77.6% gap from fair value highlights a critical overpricing for a buy-and-hold strategy. The expected gross yield of 2.4% is insufficient to provide an adequate return on such an inflated purchase price. Family rental Acquiring this property for family rental purposes is not advisable given its current valuation at €1,250,000, which is starkly above the fair value of €280,198, indicating a clear overpricing. The low gross yield of 2.4% further diminishes the potential attractiveness of this investment in the familial rental market.
Economic Instability Risk With an economic stability score of 60/100, there is a moderate risk of economic fluctuations that could impact rent prices and property value.
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Comparables, condition and location workings, yield and time-to-sell. Written up and emailed to you.
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