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 190 m², built in 2008, energy rating C. Located on via do Infante de Sagres, 1, Loulé (São Clemente) parish, Loulé municipality, Faro district. Noteworthy Features: This villa features a surround sound system installed in both indoor and outdoor areas, enhancing the entertainment experience for gatherings by the pool or in the living room.
The valuation. The asking price of €890,000 sits €125,412 (14.1%) above the fair value of €764,588, indicating the property is overpriced compared to market expectations.
Fair value modelled at €764,588 from the area baseline, adjusted for condition and location. Asking €890,000 sits €125,412 (14.1%) above — overpriced versus fair value.
Asking €890,000 versus the via do Infante de Sagres, 1 area baseline of €683,430 (€3,597/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 85/100 (Condition 80 · Materials 90 · Room dimensions 85). Above-median finish quality lifts fair value versus a baseline unit needing CapEx.
Neighbourhood score 71/100 (Housing Market 70 · Amenities 75 · Economic 65 · Tenant Quality 75). Strong amenities and housing-market momentum support a premium to baseline.
via do Infante de Sagres, 1
Area baseline €683,430 + condition +€23,750 + location +€57,408 = modelled fair value of €764,588 (€4,024/m²), a €125,412 (14.1%) gap versus the €890,000 asking price.
Short-term vacation rental The property in Loulé, currently listed at €890,000, is overpriced given its fair value of €764,588, representing a 14.1% gap. Although property demand in the Algarve is strong due to tourism, the high listing price limits potential profitability from short-term rentals, evident from the modest 3.8% gross yield. Buy-and-hold Investing in this property as a buy-and-hold strategy is not advisable, as the current price exceeds fair value by 14.1%, suggesting that the market may not cushion future appreciation. The stable economic conditions and appeal of Loulé are attractive, but the overpricing presents too much risk for long-term value growth. Family rental While this property is situated in a desirable neighborhood with low crime rates and good tenant quality, its current price of €890,000 is above the fair value of €764,588, resulting in a significant overpricing. This could deter potential families looking for rental options, impacting overall rental demand in the locality.
Economic Vulnerability The property is at risk due to a moderate economic stability score of 65/100, indicating potential economic downturns that could affect rental income.