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, 7-bathroom house of 507 m², built in 2017, energy rating B. Located Guia parish, Albufeira municipality, Faro district. Noteworthy Features: The villa boasts a private cinema room, climate-controlled wine cellar, and a multifunctional game room, providing exquisite entertainment options beyond typical residential offerings.
The valuation. The asking price of €4,250,000 exceeds the fair value of €1,761,590 by €2,488,410 (58.6%), indicating the property is overpriced.
Fair value modelled at €1,761,590 from the area baseline, adjusted for condition and location. Asking €4,250,000 sits €2,488,410 (58.6%) above — overpriced versus fair value.
Asking €4,250,000 versus the Guia, Albufeira, Faro area baseline of €1,810,497 (€3,571/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 90/100 (Condition 90 · Materials 92 · Room dimensions 88). Above-median finish quality lifts fair value versus a baseline unit needing CapEx.
Neighbourhood score 76/100 (Housing Market 75 · Amenities 80 · Economic 65 · Tenant Quality 80). Strong amenities and housing-market momentum support a premium to baseline.
Guia, Albufeira, Faro
Area baseline €1,810,497 + condition +€63,375 + location +€159,977 = modelled fair value of €1,761,590 (€3,475/m²), a €2,488,410 (58.6%) gap versus the €4,250,000 asking price.
Short-term vacation rental The property is overpriced at €4,250,000 compared to its fair value of €1,761,590, representing a substantial disconnect of 58.6%. Given the 0% gross yield and high tourism influence in its Algarve location, this investment strategy presents significant financial risk. Long-term rental With a fair value that is 58.6% lower than the listing price, investing in this property for long-term rental purposes does not align with prudent financial principles. The lack of a gross yield further emphasizes that this overpriced asset would likely yield disappointing returns over time. Buy-and-hold The property's current listing price far exceeds its fair value, suggesting that a buy-and-hold strategy would not be financially savvy with a staggering 58.6% gap present. Maintaining this overpriced asset under the current market conditions could lead to significant opportunity costs and capital erosion in the long term.
Economic Vulnerability The economic stability score of 65/100 indicates potential volatility in the market which could affect rental income and property value.
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Comparables, condition and location workings, yield and time-to-sell. Written up and emailed to you.
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