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, 4-bathroom house of 258 m², built in 1992, energy rating D. Located on caminho do Moinho, Loulé (São Sebastião) parish, Loulé municipality, Faro district. Noteworthy Features: The property boasts a spectacular outdoor living space with panoramic views, a well-designed summer kitchen, and a sizable swimming pool, enhancing its appeal for entertaining and relaxation.
The valuation. The asking price of €1,200,000 is significantly above the fair value of €975,998, resulting in an overvaluation of €224,002 (18.7%). This property is overpriced, making it a less favorable investment at this price point.
Fair value modelled at €975,998 from the area baseline, adjusted for condition and location. Asking €1,200,000 sits €224,002 (18.7%) above — overpriced versus fair value.
Asking €1,200,000 versus the caminho do Moinho area baseline of €928,026 (€3,597/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 65/100 (Condition 62 · Materials 68 · Room dimensions 70). Below-median condition lowers fair value versus a renovated baseline unit.
Neighbourhood score 74/100 (Housing Market 78 · Amenities 75 · Economic 62 · Tenant Quality 73). Strong amenities and housing-market momentum support a premium to baseline.
caminho do Moinho
Area baseline €928,026 + condition -€41,119 + location +€89,090 = modelled fair value of €975,998 (€3,783/m²), a €224,002 (18.7%) gap versus the €1,200,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| caminho do Moinho | Subject | €1,200,000 | €4,651 | — | 62 | 74 |
| Loulé (São Sebastião) · f3638b | Active | €1,730,000 | €4,436 | 4.6% | 75 | 71 |
| rua do Pereiro, 38 | Active | €1,900,000 | €4,578 | 1.6% | — | 71 |
| Quarteira · 023911 | Active | €1,275,000 | €7,083 | 52.3% | 85 | 74 |
| Loulé (São Sebastião) · f35d8f | Active | €650,000 | €2,462 | 47.1% | 71 | 71 |
| Median comp | €1,502,500 | €4,507 | 3.1% | 75 | 71 |
Short-term vacation rental The property is currently overpriced by 18.7% compared to its fair value, which diminishes its attractiveness as a short-term vacation rental. A gross yield of 3.7% is also low for this market, indicating limited potential for return on investment. Buy-and-hold With a listing price of €1,200,000 exceeding its fair value by 18.7%, the prospect of long-term appreciation in this buy-and-hold strategy appears weak. The property’s condition score of 65/100 suggests that substantial maintenance may be required, further impacting overall investment returns. Long-term rental This property’s valuation at €1,200,000 is significantly above the fair value of €975,998, making it a less viable option for long-term rental investments. Additionally, a gross yield of only 3.7% points to insufficient rental income relative to purchase price, limiting cash flow potential.
Economic Vulnerability The economic stability score of 62/100 indicates potential fluctuations in revenue, making the investment susceptible to downturns.
