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 house of 125 m², built in 2007. Located Albufeira e Olhos de Água parish, Albufeira municipality, Faro district. Noteworthy Feature: This villa includes an approved balcony enclosure option, allowing the future owner to add a functional space such as an office or extra bedroom, enhancing its versatility.
The valuation. The asking price of €475,000 is significantly above the fair value of €407,474, reflecting an overpricing of €67,526 (14.2%). This disparity suggests a careful evaluation is necessary before proceeding with any investment.
Fair value modelled at €407,474 from the area baseline, adjusted for condition and location. Asking €475,000 sits €67,526 (14.2%) above — overpriced versus fair value.
Asking €475,000 versus the Albufeira e Olhos de Água, Albufeira, Faro area baseline of €431,250 (€3,450/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 78/100 (Condition 72 · Materials 80 · Room dimensions 78). Above-median finish quality lifts fair value versus a baseline unit needing CapEx.
Neighbourhood score 65/100 (Housing Market 80 · Amenities 60 · Economic 65 · Tenant Quality 55). Strong amenities and housing-market momentum support a premium to baseline.
Albufeira e Olhos de Água, Albufeira, Faro
Area baseline €431,250 + condition +€5,469 + location +€22,755 = modelled fair value of €407,474 (€3,260/m²), a €67,526 (14.2%) gap versus the €475,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Albufeira e Olhos de Água · 956f02 | Subject | €475,000 | €3,800 | — | 72 | 65 |
| Albufeira e Olhos de Água · 261e47 | Active | €395,000 | €2,904 | 23.6% | 72 | 75 |
| rua 25 de Abril, 50 | Active | €695,000 | €3,035 | 20.1% | 75 | 71 |
| rua Columbano Bordalo Pinheiro, 6 | Active | €525,000 | €4,234 | 11.4% | — | 72 |
| Albufeira e Olhos de Água · 6fb9c1 | Active | €615,000 | €3,661 | 3.7% | 82 | 75 |
| Median comp | €570,000 | €3,348 | 11.9% | 75 | 74 |
Long-term rental The 2-bed house in Albufeira e Olhos de Água is overpriced at €475,000 compared to its fair value of €407,474, resulting in a 14.2% premium. With a gross yield of 3.6% and a neighborhood score of 65/100, the property may not provide attractive returns for long-term tenants. Short-term vacation rental Given the area's heavy reliance on tourism, the 2-bed house could attract vacationers; however, its 3.6% yield and €475,000 listing price suggest it is overpriced by 14.2% against a fair value of €407,474. The property may struggle to maintain profitability in the competitive short-term rental market with such high pricing. Buy-and-hold While the location has a positive influence due to tourist activity, the 2-bed house's overpriced status at €475,000—14.2% above the fair value of €407,474—may limit long-term investment performance. With a condition rating of 78/100 and a subpar neighborhood score of 65/100, holding this property may not yield the expected returns over time.
Economic Volatility Risk: With an economic stability score of 65/100, there is a moderate risk of economic downturns impacting property value and rental income, while the tenant stability score of 55/100 suggests possible challenges in maintaining consistent occupancy rates due to tenant turnover.
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