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.
0-bedroom, 1-bathroom studio of 65 m², built in 1988. Located Albufeira e Olhos de Água parish, Albufeira municipality, Faro district. This studio features a spacious private terrace ideal for outdoor dining and offers direct access to a well-maintained pool surrounded by beautifully landscaped gardens.
The valuation. The asking price of €235,000 sits €23,936 (10.2%) above the fair value of €211,064, indicating the property is overpriced. Investor caution is advised given the significant discrepancy from market expectations.
Fair value modelled at €211,064 from the area baseline, adjusted for condition and location. Asking €235,000 sits €23,936 (10.2%) above — overpriced versus fair value.
Asking €235,000 versus the Albufeira e Olhos de Água, Albufeira, Faro area baseline of €197,210 (€3,034/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 70/100 (Condition 72 · Materials 70 · Room dimensions 70). Below-median condition lowers fair value versus a renovated baseline unit.
Neighbourhood score 74/100 (Housing Market 80 · Amenities 70 · Economic 65 · Tenant Quality 75). Strong amenities and housing-market momentum support a premium to baseline.
Albufeira e Olhos de Água, Albufeira, Faro
Area baseline €197,210 + condition -€5,078 + location +€18,932 = modelled fair value of €211,064 (€3,247/m²), a €23,936 (10.2%) gap versus the €235,000 asking price.
Short-term vacation rental Despite Albufeira's status as a top tourist destination with strong rental demand, the property is overpriced at €235,000 compared to its fair value of €211,064, making it a less attractive investment. With a gross yield of 4.8%, the potential returns may not sufficiently justify the initial investment cost in this overheated market. Long-term rental While long-term rental properties can leverage the stable demand in Albufeira, this studio remains overpriced at €235,000 with a fair value of €211,064. This pricing, combined with a moderate condition rating of 70/100, indicates that the long-term rental income may not meet expectations relative to the capital invested. Buy-and-hold Though Albufeira is economically driven by tourism, this specific property is priced above its fair value at €235,000, which diminishes its appeal as a buy-and-hold investment. The anticipated capital appreciation may not offset the high entry price, leaving investors vulnerable to lower returns over time.
Potential Economic Downturn Despite a tenant stability score of 75/100, the economic stability score of 65/100 indicates possible vulnerability to economic downturns, which could affect rental income and demand.
