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.
5-bedroom, 3-bathroom house of 165 m², built in 2001. Located Alvor parish, Portimão municipality, Faro district. This property features a spacious private outdoor area ideal for entertaining, complemented by a carport that adds convenience for multi-vehicle households.
The valuation. The asking price of €550,000 sits significantly above its fair value of €320,713, resulting in an excess of €229,287 (41.7%). This property is considered overpriced and does not represent a worthwhile investment opportunity.
Fair value modelled at €320,713 from the area baseline, adjusted for condition and location. Asking €550,000 sits €229,287 (41.7%) above — overpriced versus fair value.
Asking €550,000 versus the Alvor, Portimão, Faro area baseline of €283,305 (€1,717/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 79/100 (Condition 74 · Materials 80 · Room dimensions 80). Above-median finish quality lifts fair value versus a baseline unit needing CapEx.
Neighbourhood score 73/100 (Housing Market 70 · Amenities 75 · Economic 65 · Tenant Quality 80). Strong amenities and housing-market momentum support a premium to baseline.
Alvor, Portimão, Faro
Area baseline €283,305 + condition +€11,344 + location +€26,064 = modelled fair value of €320,713 (€1,944/m²), a €229,287 (41.7%) gap versus the €550,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Alvor · 4a8031 | Subject | €550,000 | €3,333 | — | 74 | 73 |
| Mexilhoeira Grande · 38a085 | Active | €895,000 | €5,327 | 59.8% | 77 | 75 |
| Alvor · 893460 | Active | €1,500,000 | €7,009 | 110.3% | 80 | 73 |
| Alvor · e40a8e | Active | €595,000 | €3,234 | 3.0% | 74 | 70 |
| Alvor · 0238f1 | Active | €615,000 | €3,618 | 8.5% | 70 | 63 |
| Median comp | €755,000 | €4,473 | 34.2% | 76 | 72 |
Short-term vacation rental The property, priced at €550,000, presents a significant gap of 41.7% compared to its fair value of €320,713, indicating it is overpriced for the short-term vacation rental market. Despite the high seasonal tourist inflow typical of the Algarve region, the current pricing undermines potential profitability. Buy-and-hold Considering the property is listed at €550,000 but is fairly valued at €320,713, it is clear that the investment is overpriced for a buy-and-hold strategy. This pricing misalignment combined with a reasonable gross yield of 5.5% raises concerns about future appreciation and return on investment. Family rental With a fair value of only €320,713 against a listing price of €550,000, the property is significantly overpriced for a family rental strategy. While the neighborhood offers acceptable amenities and a tenant quality score of 73, the current valuation suggests limited scope for generating satisfactory rental income due to the steep price point.
Economic Vulnerability The economic stability score of 65/100 suggests potential susceptibility to market fluctuations, which may impact property value and rental income.
