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 60 m², energy rating C. Located on rua Nossa Senhora de Fátima, Albufeira e Olhos de Água parish, Albufeira municipality, Faro district. Noteworthy Features: This apartment boasts a spacious balcony, perfect for relaxing while enjoying the stunning Algarve climate and local views, enhancing its outdoor living appeal.
The valuation. The asking price of €279,000 is significantly above the fair value of €178,581, indicating a premium of €100,419 (36.0%). This valuation suggests the property is overpriced.
Fair value modelled at €178,581 from the area baseline, adjusted for condition and location. Asking €279,000 sits €100,419 (36.0%) above — overpriced versus fair value.
Asking €279,000 versus the rua Nossa Senhora de Fátima area baseline of €182,040 (€3,034/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 55/100 (Condition 60 · Materials 55 · Room dimensions 55). Below-median condition lowers fair value versus a renovated baseline unit.
Neighbourhood score 71/100 (Housing Market 80 · Amenities 75 · Economic 65 · Tenant Quality 65). Strong amenities and housing-market momentum support a premium to baseline.
rua Nossa Senhora de Fátima
Area baseline €182,040 + condition -€18,750 + location +€15,291 = modelled fair value of €178,581 (€2,976/m²), a €100,419 (36.0%) gap versus the €279,000 asking price.
Short-term vacation rental While the property's gross yield of 3.6% may appeal in a market driven by tourism, it remains overpriced at €279,000, significantly above its fair value of €178,581. The seasonal fluctuation in tourism might further pressure returns, making this investment less attractive given the current price. Buy-and-hold Despite Albufeira's reputation as a popular tourist destination, the 36.0% gap between the listing price and fair value suggests that this buy-and-hold strategy is compromised by overpricing at €279,000. The long-term appreciation potential may not justify the initial investment, especially with a condition rating of 55/100. Long-term rental The property’s current pricing results in an inadequate gross yield of 3.6%, indicating that as a long-term rental, it is overpriced at €279,000 compared to its fair value. Given the neighbourhood's mixed tenant quality and conditions, securing reliable long-term tenants would be challenging at this price point.
Reduced demand risk The property faces a potential reduction in demand due to its economic and tenant stability scores of 65/100, indicating a moderate risk of vacancy and tenant turnover that could impact rental income.
