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 276 m², built in 1980, energy rating F. Located Moncarapacho e Fuseta parish, Olhão municipality, Faro district. Unique Features: The property includes two independent living units, ideal for multi-generational living or rental income, plus a panoramic rooftop terrace perfect for entertaining with stunning views of Ria Formosa.
The valuation. The asking price of €1,200,000 sits significantly above the fair value of €569,811, marking a premium of €630,189 (52.5%). Verdict: overpriced.
Fair value modelled at €569,811 from the area baseline, adjusted for condition and location. Asking €1,200,000 sits €630,189 (52.5%) above — overpriced versus fair value.
Asking €1,200,000 versus the Moncarapacho e Fuseta, Olhão, Faro area baseline of €513,360 (€1,860/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 82/100 (Condition 78 · Materials 85 · Room dimensions 80). Above-median finish quality lifts fair value versus a baseline unit needing CapEx.
Neighbourhood score 63/100 (Housing Market 65 · Amenities 65 · Economic 60 · Tenant Quality 60). Strong amenities and housing-market momentum support a premium to baseline.
Moncarapacho e Fuseta, Olhão, Faro
Area baseline €513,360 + condition +€29,756 + location +€26,695 = modelled fair value of €569,811 (€2,065/m²), a €630,189 (52.5%) gap versus the €1,200,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Moncarapacho e Fuseta · 4a8040 | Subject | €1,200,000 | €4,348 | — | 78 | 63 |
| Moncarapacho e Fuseta · de0c40 | Active | €1,200,000 | €4,348 | 0% | 78 | 53 |
| Moncarapacho e Fuseta · 49b7ff | Active | €850,000 | €4,474 | 2.9% | 65 | 63 |
| jardim Pechão | Active | €550,000 | €6,875 | 58.1% | 72 | 64 |
| Moncarapacho e Fuseta · 388d3b | Active | €485,900 | €2,271 | 47.8% | 72 | 70 |
| Median comp | €700,000 | €4,411 | 1.5% | 72 | 64 |
Short-term vacation rental This property, listed at €1,200,000, is overpriced by 52.5% compared to its fair value of €569,811, limiting its attractiveness for short-term rentals despite its proximity to the Algarve coast. With a low gross yield of 2.4%, investors may struggle to recoup their costs in a competitive vacation rental market. Long-term rental The significant gap between the listing price and fair value indicates that this property is overpriced, making it less appealing for long-term rental opportunities. The 63/100 neighbourhood rating further suggests challenges in attracting tenants while justifying such a high purchase price. Buy-and-hold Given the 52.5% discrepancy from fair value, this property is overpriced and not a sound buy-and-hold investment. The relatively low gross yield of 2.4% reinforces concerns about the potential for long-term appreciation in a market with limited tenant quality. Not ideal for: Student housing, Luxury market, Value-add renovation.
Economic and Tenant Stability Risk The combined score of 60/100 for both economic stability and tenant stability indicates a moderate risk of fluctuating rental income and difficulty in retaining tenants, potentially impacting cash flow.
