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.
2-bedroom, 1-bathroom villa of 104 m², built in 2015, energy rating C. Located Loulé (São Clemente) parish, Loulé municipality, Faro district. Noteworthy Features: This villa boasts a stunning panoramic roof terrace, ideal for outdoor entertaining and enjoying views of the historic area of Loulé, enhancing its appeal as a rental opportunity.
The valuation. The asking price of €520,000 is significantly higher than the fair value of €288,125, indicating an overpriced status by €231,875 (44.6%). This disparity requires careful consideration before investment. Buy-to-flip angle. A potential buy-to-flip strategy would involve renovation and quick resale, aiming to capitalize on the tourist appeal of the Algarve region. However, given the current condition of 0/100, substantial investments are necessary to realize this. Buy-to-let angle. The estimated rental income of €1,300/month provides a gross yield of 3%, making this property more suitable for long-term family rentals rather than short-term vacation rentals. The mixed neighborhood rating of 74/100 may attract steady tenants.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Loulé (São Clemente) · 956a5e | Subject | €520,000 | €5,000 | — | — | 74 |
| Loulé (São Clemente) · 4a7e16 | Active | €298,000 | €5,960 | 19.2% | 76 | 73 |
| Loulé (São Clemente) · 6fb93b | Active | €1,850,000 | €7,143 | 42.9% | — | 66 |
| calçada Portuguesa | Active | €1,750,000 | €6,757 | 35.1% | — | 70 |
| Loulé (São Clemente) · 4202ae | Active | €985,000 | €4,624 | 7.5% | 70 | 64 |
| Median comp | €1,367,500 | €6,359 | 27.2% | 73 | 68 |
Short-term vacation rental The current listing price of €520,000 is significantly above its fair value of €288,125, resulting in a notable gap of 44.6%. Given the gross yield of 3% and the property's condition rating of 0/100, this investment appears overpriced within the tourist-heavy Algarve market. Buy-and-hold At €520,000, the villa is overpriced when compared to the fair market value of €288,125, creating a considerable gap of 44.6%. The low yield of 3% and the subpar condition indicate that the long-term return on this investment may not justify the current price. Family rental With a listing price of €520,000 exceeding the fair value of €288,125 by 44.6%, this property is priced too high for potential family renters. The yield of 3% and the villa's low condition score further suggest that it is not an economically viable option for long-term family housing in the region.
Economic Vulnerability The property faces potential financial instability given its economic stability score of 65/100, indicating a higher risk of downturn affecting rental income.
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