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 villa of 314 m², energy rating B. Located on urbanização Vale da Lama, Odiáxere parish, Lagos municipality, Faro district. Noteworthy Features: This villa boasts unobstructed views of Ria de Alvor and features a versatile basement space adaptable for various needs, enhancing its functional appeal.
The valuation. The asking price of €995,000 is significantly below the fair value of €1,626,905, representing a difference of €631,905 (63.5%). This property is considered underpriced for the market.
Fair value modelled at €1,227,784 from the area baseline, adjusted for condition and location. Asking €995,000 sits €232,784 (23.4%) below — the upside to fair value.
Asking €995,000 versus the urbanização Vale da Lama area baseline of €1,096,488 (€3,492/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 81/100 (Condition 79 · Materials 85 · Room dimensions 80). Above-median finish quality lifts fair value versus a baseline unit needing CapEx. Full condition report →
Neighbourhood score 73/100 (Housing Market 80 · Amenities 75 · Economic 65 · Tenant Quality 70). Strong amenities and housing-market momentum support a premium to baseline. Full location report →
urbanização Vale da Lama
Area baseline €1,096,488 + condition +€30,419 + location +€100,877 = modelled fair value of €1,227,784 (€3,910/m²), a €232,784 (23.4%) gap versus the €995,000 asking price.
Short-term vacation rental The property in Odiáxere, Lagos, is ideally positioned for the short-term vacation rental market, with a fair value significantly exceeding the listing price at €1,626,905, highlighting a potential 63.5% upside for investors. The Algarve region's appeal to tourists coupled with a gross yield of 2.7% underscores its potential profitability in this sector. Buy-and-hold Acquiring this villa as a buy-and-hold investment presents a compelling opportunity, given its underpriced nature compared to fair market values, which can enhance long-term capital appreciation. The stable demand driven by the Algarve's tourism and expatriate community supports sustainable growth, positioning investors favorably for future returns. Family rental This villa in Odiáxere offers a strong case for family rental, especially with its favorable condition rating of 81/100 in a neighborhood scored at 73/100. The affordable listing price relative to its fair value suggests that families seeking longer-term housing options in this desirable coastal area would find it an attractive option.
Economic Vulnerability The economic stability score of 65/100 indicates a potential risk of local economic downturns affecting rental income and property value.