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.
1-bedroom, 1-bathroom apartment of 65 m², built in 2007, energy rating D. Located Alvor parish, Portimão municipality, Faro district. The apartment's unique conversion from a shop maximizes usable space, offering a blend of modern efficiency and functionality, complemented by a valid habitation license.
The valuation. The asking price of €229,900 exceeds the fair value of €123,027 by €106,873, representing an overvaluation of 46.5%. Such a significant gap indicates a property that is overpriced in the current market. Buy-to-flip angle. Given the current asking price, a buy-to-flip strategy would necessitate substantial improvements to justify a higher resale value, but the market dynamics suggest limited upside potential. Therefore, flipping may not yield desired profits in this instance. Buy-to-let angle. With an estimated gross yield of 4.6%, the rental income strategy could produce around €881 per month; however, this yield does not compensate for the initial overvaluation of the purchase price. The property's location in a strong tourism area offers some rental demand but remains risky.
Fair value modelled at €113,100 from the area baseline, adjusted for condition and location. Asking €229,900 sits €116,800 (50.8%) above — overpriced versus fair value.
Asking €229,900 versus the Alvor, Portimão, Faro area baseline of €111,605 (€1,717/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 69/100 (Condition 68 · Materials 72 · Room dimensions 68). Below-median condition lowers fair value versus a renovated baseline unit. Full condition report →
Neighbourhood score 67/100 (Housing Market 80 · Amenities 70 · Economic 60 · Tenant Quality 60). Strong amenities and housing-market momentum support a premium to baseline. Full location report →
Alvor, Portimão, Faro
Area baseline €111,605 + condition -€6,094 + location +€7,589 = modelled fair value of €113,100 (€1,740/m²), a €116,800 (50.8%) gap versus the €229,900 asking price.
Short-term vacation rental The property’s 46.5% gap above its fair value suggests it would be challenging to achieve a competitive return in the short-term rental market, particularly given its gross yield of 4.6%. Its location in a tourist-heavy area may attract bookings, but the high asking price diminishes its appeal as a viable investment. Buy-and-hold While the property is located in a desirable tourist region, its fair value of €123,027 indicates that the current listing price of €229,900 is significantly overpriced, making long-term appreciation less likely. This gap compromises the potential for a worthwhile buy-and-hold strategy, given the limitations on capital appreciation. Family rental With a modest condition score of 69/100 and a neighborhood rating of 67/100, this property may not be well-positioned for family rentals, particularly at its current high price point. Families typically seek both value and quality, and this property’s pricing suggests it does not meet those criteria effectively in a competitive market.
Economic Sensitivity Risk A score of 60 in economic stability suggests the property could be vulnerable to economic downturns, which may affect rental income and tenant retention.
