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.
1-bedroom, 1-bathroom apartment of 83 m², built in 2005, energy rating C. Located São Gonçalo de Lagos parish, Lagos municipality, Faro district. This apartment features extensive communal amenities with a large pool, restaurant, and 24-hour reception, enhancing the overall living experience and promoting a vibrant community atmosphere.
The valuation. The asking price of €350,000 exceeds the fair value of €326,837 by €23,163 (6.6%). This property is considered overpriced given its current market conditions. Buy-to-flip angle. A resale strategy could focus on cosmetic enhancements to attract buyers looking for high-quality finishes and prime location, leveraging the Algarve's appeal. Quick renovations may yield profit margins in a competitive market. Buy-to-let angle. With an estimated rental income of €1,196/month and a gross yield of 4.1%, the property is poised for stable cash flow. Targeting short-term vacation rentals can capitalize on high demand during peak tourist seasons.
Fair value modelled at €326,837 from the area baseline, adjusted for condition and location. Asking €350,000 sits €23,163 (6.6%) above — overpriced versus fair value.
Asking €350,000 versus the São Gonçalo de Lagos, Lagos, Faro area baseline of €289,836 (€3,492/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 79/100 (Condition 76 · Materials 80 · Room dimensions 78). Above-median finish quality lifts fair value versus a baseline unit needing CapEx.
Neighbourhood score 78/100 (Housing Market 80 · Amenities 80 · Economic 75 · Tenant Quality 75). Strong amenities and housing-market momentum support a premium to baseline.
São Gonçalo de Lagos, Lagos, Faro
Area baseline €289,836 + condition +€4,539 + location +€32,462 = modelled fair value of €326,837 (€3,938/m²), a €23,163 (6.6%) gap versus the €350,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| São Gonçalo de Lagos · 9569fb | Subject | €350,000 | €4,217 | — | 76 | 78 |
| São Gonçalo de Lagos · 956963 | Active | €380,000 | €4,750 | 12.6% | 76 | 80 |
| São Gonçalo de Lagos · 49b7ca | Active | €385,000 | €5,133 | 21.7% | 78 | 76 |
| São Gonçalo de Lagos · 090044 | Active | €685,000 | €5,708 | 35.4% | 82 | 73 |
| estrada de Porto de Mós S / N | Active | €475,000 | €4,948 | 17.3% | 75 | 72 |
| Median comp | €430,000 | €5,041 | 19.5% | 77 | 75 |
Short-term vacation rental The property in São Gonçalo de Lagos is overpriced by 6.6% against its fair value, which limits potential profits from short-term vacation rentals despite the high seasonal tourist activity typical of the Algarve coast. Its yield of 4.1% gross does not justify the premium pricing in a competitive market. Buy-and-hold Although the apartment has a respectable condition rating of 79/100, its current listing price exceeding fair value makes it less attractive for a buy-and-hold strategy. Investors may struggle to see significant appreciation or steady cash flow, given the 6.6% gap and prevailing market conditions. Family rental While the property is located near urban amenities and has a decent neighbourhood rating of 78/100, it remains overpriced, potentially limiting its appeal to families looking for long-term rentals. The yield of 4.1% gross may not adequately compensate for the higher purchase price, making it a less desirable investment option for this segment.
Potential tenant turnover The economic stability score of 75/100 combined with a tenant stability score of 75/100 indicates a moderate risk of tenant turnover, which may affect consistent rental income due to potential vacancy periods in a dynamic market environment.
