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, 3-bathroom house of 245 m², built in 2001, energy rating C. Located Estômbar e Parchal parish, Lagoa municipality, Faro district. Noteworthy Features: This property boasts a heated pool, three covered terraces, and a barbecue area, set within a large garden ideal for outdoor entertaining and relaxation.
The valuation. The asking price of €1,195,000 is significantly above the fair value of €258,734, representing an overvaluation of €936,266 (78.3%). This indicates a notable disconnect between market expectations and the property's actual worth.
Fair value modelled at €258,734 from the area baseline, adjusted for condition and location. Asking €1,195,000 sits €936,266 (78.3%) above — overpriced versus fair value.
Asking €1,195,000 versus the Estômbar e Parchal, Lagoa, Faro area baseline of €799,435 (€3,263/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 73/100 (Condition 70 · Materials 75 · Room dimensions 75). Below-median condition lowers fair value versus a renovated baseline unit.
Neighbourhood score 70/100 (Housing Market 80 · Amenities 75 · Economic 65 · Tenant Quality 60). Strong amenities and housing-market momentum support a premium to baseline.
Estômbar e Parchal, Lagoa, Faro
Area baseline €799,435 + condition -€9,570 + location +€19,874 = modelled fair value of €258,734 (€1,056/m²), a €936,266 (78.3%) gap versus the €1,195,000 asking price.
Short-term vacation rental The property is not suitable as a short-term vacation rental due to its hefty price tag that exceeds its fair value by 78.3%, resulting in a low gross yield of 2.6%. Additionally, its medium condition rating of 73/100 alongside a neighbourhood rating of 70/100 suggests limited attractiveness for tourists seeking quality accommodations. Buy-and-hold Investing in this property as a buy-and-hold strategy is risky given its current valuation of €1,195,000, which is 78.3% above the fair market value. The low gross yield of 2.6% indicates a poor return potential, underlining concerns about long-term investment viability. Family rental As a family rental investment, the property is overpriced at €1,195,000, standing 78.3% above the fair value, making it an unappealing option for budget-conscious renters. Coupled with a modest gross yield of 2.6% and average neighbourhood ratings, it does not offer compelling value for families looking for housing in the area.
Economic and Tenant Instability Risk: The property faces potential challenges due to a moderate economic stability score of 65/100 and a lower tenant stability score of 60/100, indicating a risk of fluctuating demand and tenant turnover.
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