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 duplex of 201 m², energy rating B. Located on rua do Município, Albufeira e Olhos de Água parish, Albufeira municipality, Faro district. Extra Feature: The property boasts a remarkable 56 m² private terrace, perfect for enjoying unobstructed sea views and outdoor dining, a rarity in Albufeira's high-end market. Valuation Verdict: Fair.
The valuation. The asking price of €540,000 is significantly below the fair value of €903,431, reflecting an undervaluation of €363,431, or 67.3%. This presents a compelling investment opportunity based on current market conditions.
Fair value modelled at €683,746 from the area baseline, adjusted for condition and location. Asking €540,000 sits €143,746 (26.6%) below — the upside to fair value.
Asking €540,000 versus the rua do Município area baseline of €609,834 (€3,034/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 83/100 (Condition 80 · Materials 85 · Room dimensions 80). Above-median finish quality lifts fair value versus a baseline unit needing CapEx. Full condition report →
Neighbourhood score 70/100 (Housing Market 75 · Amenities 70 · Economic 55 · Tenant Quality 70). Strong amenities and housing-market momentum support a premium to baseline. Full location report →
rua do Município
Area baseline €609,834 + condition +€25,125 + location +€48,787 = modelled fair value of €683,746 (€3,402/m²), a €143,746 (26.6%) gap versus the €540,000 asking price.
Short-term vacation rental This property presents a significant opportunity for short-term vacation rental given its location in the Algarve, which is a prime tourist area with high housing demand. With a fair value of €903,431, the listing price of €540,000 suggests a notable gap of 67.3%, indicating potential for enhanced revenue from tourism. Buy-and-hold Investing in this property as a buy-and-hold strategy could be advantageous, considering the substantial gap of 67.3% compared to its fair value, implying strong potential for appreciation over time. Given the condition rating of 83/100, the property requires minimal immediate investment to maintain its value. Family rental While not primarily a family location, the property’s listing price being 67.3% below fair value makes it appealing for long-term family rental purposes, especially in a region with consistent tourism. However, market characteristics suggest careful tenant screening is necessary due to average local education infrastructure and neighborhood quality ratings.
Economic Vulnerability The economic stability score of 55/100 indicates a potential risk of declining property values due to economic fluctuations.
