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 48 m², built in 1993, energy rating D. Located Albufeira e Olhos de Água parish, Albufeira municipality, Faro district. Noteworthy Features: The apartment boasts a large terrace ideal for entertaining, complete with breathtaking ocean views, enhancing the outdoor living experience unique to coastal Albufeira.
The valuation. The asking price of €219,000 is significantly higher than the fair value of €160,195, representing a premium of €58,805 (26.9%). This indicates that the property is overpriced.
Fair value modelled at €160,195 from the area baseline, adjusted for condition and location. Asking €219,000 sits €58,805 (26.9%) above — overpriced versus fair value.
Asking €219,000 versus the Albufeira e Olhos de Água, Albufeira, Faro area baseline of €145,632 (€3,034/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 75/100 (Condition 74 · Materials 76 · Room dimensions 75). Above-median finish quality lifts fair value versus a baseline unit needing CapEx.
Neighbourhood score 75/100 (Housing Market 90 · Amenities 80 · Economic 65 · Tenant Quality 75). Strong amenities and housing-market momentum support a premium to baseline.
Albufeira e Olhos de Água, Albufeira, Faro
Area baseline €145,632 + condition +€0 + location +€14,563 = modelled fair value of €160,195 (€3,337/m²), a €58,805 (26.9%) gap versus the €219,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Albufeira e Olhos de Água · 956eb7 | Subject | €219,000 | €4,563 | — | 74 | 75 |
| Albufeira e Olhos de Água · ba573d | Active | €219,000 | €4,563 | 0% | 75 | 71 |
| avenida da Liberdade, 117 | Active | €295,000 | €6,277 | 37.6% | 80 | 63 |
| Albufeira e Olhos de Água · ba5a7b | Active | €250,000 | €3,906 | 14.4% | 70 | 70 |
| Albufeira e Olhos de Água · dee5ee | Active | €341,000 | €4,608 | 1.0% | 80 | 71 |
| Median comp | €272,500 | €4,586 | 0.5% | 78 | 71 |
Short-term vacation rental The property is overpriced by 26.9%, with a fair value of €160,195 compared to its listing price of €219,000. While the tourism-driven local economy offers potential for vacation rentals, the current price diminishes the investment's attractiveness in terms of yield, which stands at only 4.4% gross. Buy-and-hold Given the current market valuation, the buy-and-hold strategy appears less favorable due to the 26.9% gap between its listing price and fair value. The overall condition and neighborhood ratings of 75/100 may not justify the high initial investment, reducing long-term capital appreciation prospects. Value-add renovation Although a value-add renovation could yield enhanced returns in theory, the current price is significantly above fair value, making initial investment costs prohibitively high. This combined with a modest gross yield of 4.4% suggests that a renovation may not compensate for the steep entry price, thereby undermining potential profitability.
Economic Resilience Risk The economic stability score of 65/100 indicates potential vulnerability to market fluctuations, which could affect cash flow.
