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, 2-bathroom house of 300 m², built in 1996. Located on rua de Pedreiras, São Bartolomeu de Messines parish, Silves municipality, Faro district. Noteworthy Features: This property includes a basement with three separate storage rooms and benefits from panoramic countryside views, ideal for privacy and outdoor gardening potential.
The valuation. The asking price of €260,000 is substantially below the fair value of €376,504, representing an undervaluation of €116,504 (44.8%). This indicates a significant opportunity for financial upside. Buy-to-flip angle. The property can be renovated to modern standards and resold at a considerably higher market price, leveraging its location in a tourist hotspot. A strategic upgrade plan could maximize profit potential upon resale. Buy-to-let angle. Given its location in the Algarve, the property could serve as a short-term vacation rental, attracting seasonal tourists. However, the current condition may limit initial rental income; further investment will be essential for profitability.
Fair value modelled at €376,504 from the area baseline, adjusted for condition and location. Asking €260,000 sits €116,504 (44.8%) below — the upside to fair value.
Asking €260,000 versus the rua de Pedreiras area baseline of €604,500 (€2,015/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 38/100 (Condition 30 · Materials 40 · Room dimensions 50). Below-median condition lowers fair value versus a renovated baseline unit.
Neighbourhood score 66/100 (Housing Market 80 · Amenities 65 · Economic 55 · Tenant Quality 65). Strong amenities and housing-market momentum support a premium to baseline.
rua de Pedreiras
Area baseline €604,500 + condition -€171,563 + location +€32,966 = modelled fair value of €376,504 (€1,255/m²), a €116,504 (44.8%) gap versus the €260,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| rua de Pedreiras | Subject | €260,000 | €867 | — | 30 | 66 |
| São Bartolomeu de Messines · 82c78f | Active | €380,000 | €1,407 | 62.4% | 60 | 71 |
| São Bartolomeu de Messines · 6d559b | Active | €175,000 | €1,733 | 99.9% | 62 | 67 |
| São Bartolomeu de Messines · 0324a2 | Active | €225,000 | €2,064 | 138.2% | — | 73 |
| rua do Trabalhador S / N | Active | €279,000 | €1,492 | 72.2% | 75 | 57 |
| Median comp | €252,000 | €1,613 | 86.1% | 62 | 69 |
Short-term vacation rental This property is subvalorizada at €260,000 when compared to its fair value of €376,504, presenting a significant opportunity for short-term vacation rentals given the strong tourist-driven market of the Algarve. With a lack of gross yield currently, the potential for seasonal high occupancy can enhance cash flow once it is operational. Long-term rental Despite the current condition rating of 38/100, this subvalorizada property has a fair value that suggests solid rental potential in a neighbourhood with a score of 66/100, benefiting from the demand of long-term tenants in the Algarve. A long-term rental strategy could yield consistent occupancy and returns, aligning with the area's economic profile. Buy-and-hold Investing in this subvalorizada property at €260,000 allows for a strategic buy-and-hold approach, capitalizing on the projected appreciation towards the fair value of €376,504 over time. Given the seasonal employment nature of the local economy, holding this asset could yield substantial long-term benefits as the market continues to evolve. Not ideal for: This property is not suitable for student housing, value-add renovation, or the luxury market due to its current condition and neighbourhood characteristics.
Economic Vulnerability The economic stability score of 55/100 indicates a heightened risk of adverse market conditions impacting property performance and tenant retention.
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Comparables, condition and location workings, yield and time-to-sell. Written up and emailed to you.
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