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 house of 183 m², built in 1993, energy rating E. Located Albufeira e Olhos de Água parish, Albufeira municipality, Faro district. Highlight: The property includes a versatile garden annex, perfect for storage or creating an additional living space, enhancing its functionality within the gated community setting.
The valuation. The asking price of €420,000 sits significantly below the fair value of €615,824, indicating the property is underpriced by €195,824 (46.6%). This presents a compelling opportunity for savvy investors. Buy-to-flip angle. A buy-to-flip strategy could capitalize on the property’s below-market listing by renovating and reselling to achieve higher value, particularly given the attractive location. Selling to tourists or family buyers could maximize profit potential. Buy-to-let angle. The estimated rental income of €1,470 per month provides a gross yield of 4.2%, making the property attractive for long-term rentals. Its proximity to tourist amenities enhances its appeal for a buy-and-hold strategy.
Fair value modelled at €615,824 from the area baseline, adjusted for condition and location. Asking €420,000 sits €195,824 (46.6%) below — the upside to fair value.
Asking €420,000 versus the Albufeira e Olhos de Água, Albufeira, Faro area baseline of €631,350 (€3,450/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 76/100 (Condition 72 · Materials 80 · Room dimensions 80). Above-median finish quality lifts fair value versus a baseline unit needing CapEx.
Neighbourhood score 76/100 (Housing Market 78 · Amenities 82 · Economic 68 · Tenant Quality 75). Strong amenities and housing-market momentum support a premium to baseline.
Albufeira e Olhos de Água, Albufeira, Faro
Area baseline €631,350 + condition +€2,859 + location +€57,743 = modelled fair value of €615,824 (€3,365/m²), a €195,824 (46.6%) gap versus the €420,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Albufeira e Olhos de Água · ba3e5d | Subject | €420,000 | €2,295 | — | 72 | 76 |
| Albufeira e Olhos de Água · 023b92 | Active | €380,000 | €2,262 | 1.4% | 65 | 73 |
| urbanização Alto dos Caliços | Active | €420,000 | €1,400 | 39.0% | 73 | 71 |
| rua do Malpique | Active | €630,000 | €1,326 | 42.2% | — | 65 |
| Albufeira e Olhos de Água · ba5b1b | Active | €525,000 | €1,981 | 13.7% | 75 | 73 |
| Median comp | €472,500 | €1,691 | 26.3% | 73 | 72 |
Short-term vacation rental This property is well-situated near the Algarve coast, catering to the lucrative tourism market with a 4.2% gross yield. The demand from vacationers and the surrounding amenities make this an appealing option for generating consistent short-term rental income. Buy-and-hold Given its fair value of €615,824 against the listing price of €420,000, this property offers a significant margin for appreciation in the long term. The solid condition score of 76/100 paired with a favorable economic environment in Albufeira further supports its potential as a buy-and-hold investment. Family rental With a spacious layout of 183m² and a neighborhood quality rating of 76/100, this property is well-suited for families seeking long-term rental options. Its location benefits from both local amenities and the stability provided by a tourism-driven economy, ensuring consistent demand from family tenants.
Economic Vulnerability The economic stability score of 68/100 indicates a moderate risk of economic downturns affecting property values and rental income.
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