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.
3-bedroom, 2-bathroom villa of 259 m², energy rating C. Located on calçada Portuguesa, Loulé (São Clemente) parish, Loulé municipality, Faro district. Noteworthy Features: This villa features a lagoon-shaped pool with a waterfall and handcrafted traditional materials like reused wooden elements and terracotta floors, contributing to its unique character.
The valuation. The asking price of €1,750,000 significantly exceeds the fair value of €702,637, representing an overpricing of €1,047,363 (59.8%). This discrepancy suggests caution for potential investors. Buy-to-flip angle. A buy-to-flip strategy would be challenging, particularly given the current pricing; significant renovation and market timing would be necessary to realize a desirable profit margin. Buy-to-let angle. With an estimated gross yield of 1.3% (~€1,896/month), pursuing a buy-to-let strategy in this location may result in limited cash flow, making it less attractive for long-term investment.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| calçada Portuguesa | Subject | €1,750,000 | €6,757 | — | — | 70 |
| Loulé (São Clemente) · 6fb93b | Active | €1,850,000 | €7,143 | 5.7% | — | 66 |
| Loulé (São Clemente) · 956a5e | Active | €520,000 | €5,000 | 26.0% | — | 74 |
| Loulé (São Sebastião) · ba582d | Active | €699,900 | €4,666 | 30.9% | 70 | 74 |
| Loulé (São Clemente) · 937444 | Active | €1,950,000 | €5,462 | 19.2% | 72 | 71 |
| Median comp | €1,274,950 | €5,231 | 22.6% | 71 | 73 |
Short-term vacation rental This property, listed at €1,750,000, presents a gross yield of just 1.3%, indicating that the substantial price is not justified by the potential rental income. Given the seasonal nature of tourism in the nearby Albufeira region, a higher price could lead to reduced profitability and occupancy risks. Long-term rental The 3-bed villa in Loulé is overpriced at €1,750,000, compared to a fair value of €702,637, which significantly diminishes its appeal for long-term rental opportunities. With a gross yield of only 1.3%, the investment could struggle to attract quality tenants willing to pay premium prices. Buy-and-hold Investing in this villa as a buy-and-hold strategy is challenging due to its 59.8% gap from fair value, implying that capital appreciation is unlikely in the current market. Furthermore, the condition scoring 0/100 suggests that the property requires extensive work before it can reach its full rental and market potential.
Economic Vulnerability The economic stability score of 65 indicates potential fluctuations in property demand, which may negatively impact rental income and occupancy rates.
