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.
4-bedroom, 2-bathroom house of 116 m², built in 1978, energy rating E. Located Moncarapacho e Fuseta parish, Olhão municipality, Faro district. Noteworthy Features: The property includes a sunroom that enhances natural light and offers outdoor views, along with two separate annexes that provide versatile spaces for recreation or utility purposes.
The valuation. The asking price of €360,000 sits significantly above the fair value of €206,999, marking an increase of €153,001 (42.5%). Verdict: overpriced. Buy-to-flip angle. A buy-to-flip strategy could prove challenging given the current market sentiment; potential returns may be limited due to the significant price discrepancy. Buy-to-let angle. With an estimated gross yield of 8%, generating approximately €2,400 per month might attract long-term renters seeking accommodation in an area influenced by tourism, despite seasonal market fluctuations.
Fair value modelled at €206,999 from the area baseline, adjusted for condition and location. Asking €360,000 sits €153,001 (42.5%) above — overpriced versus fair value.
Asking €360,000 versus the Moncarapacho e Fuseta, Olhão, Faro area baseline of €215,760 (€1,860/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 64/100 (Condition 66 · Materials 70 · Room dimensions 60). Below-median condition lowers fair value versus a renovated baseline unit.
Neighbourhood score 64/100 (Housing Market 70 · Amenities 60 · Economic 65 · Tenant Quality 60). Strong amenities and housing-market momentum support a premium to baseline.
Moncarapacho e Fuseta, Olhão, Faro
Area baseline €215,760 + condition -€20,844 + location +€12,083 = modelled fair value of €206,999 (€1,784/m²), a €153,001 (42.5%) gap versus the €360,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Moncarapacho e Fuseta · 2620a5 | Subject | €360,000 | €3,103 | — | 66 | 64 |
| Moncarapacho e Fuseta · 96c413 | Active | €850,000 | €5,782 | 86.3% | 65 | 67 |
| rua Pereiro, 1 | Active | €499,000 | €1,996 | 35.7% | — | 68 |
| Moncarapacho e Fuseta · b7b7fd | Active | €595,000 | €3,420 | 10.2% | 75 | 59 |
| Moncarapacho e Fuseta · 001825 | Active | €595,000 | €3,650 | 17.6% | 78 | 63 |
| Median comp | €595,000 | €3,535 | 13.9% | 75 | 65 |
Short-term vacation rental The property is overpriced at €360,000 compared to its fair value of €206,999, resulting in a significant gap of 42.5%. Given the strong seasonal rental demand in the Algarve, this investment does not present a compelling opportunity due to its elevated price. Buy-and-hold While the location is in a tourist-influenced area offering an 8% gross yield, the current asking price of €360,000 makes it less attractive for a buy-and-hold strategy. The gap from fair value indicates that potential appreciation could be hindered by the existing overvaluation. Long-term rental Investing in long-term rental is not advisable as the property is currently overpriced at €360,000, significantly above its fair value. This price point does not align well with the local rental dynamics and could limit profitability in the long run.
Economic Vulnerability The property's investment risk is heightened by a moderate economic stability score of 65/100, indicating potential fluctuations in market conditions that could affect rental income and property value. Tenant Instability With a tenant stability score of 60/100, there is a risk of turnover and vacancy periods that may lead to inconsistent cash flow and increased costs associated with finding new tenants.
