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 villa of 64 m². Located Bensafrim e Barão de São João parish, Lagos municipality, Faro district. This property features a fully leased independent annex with a long-term contract, providing immediate rental income and future flexibility for personal or investment use.
The valuation. The asking price of €290,000 is positioned below the fair value of €319,790, representing a difference of €29,790 (10.3%). This property is underpriced relative to its assessed market value.
Fair value modelled at €319,790 from the area baseline, adjusted for condition and location. Asking €290,000 sits €29,790 (10.3%) below — the upside to fair value.
Asking €290,000 versus the Bensafrim e Barão de São João, Lagos, Faro area baseline of €297,984 (€4,656/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 68/100 (Condition 70 · Materials 75 · Room dimensions 65). Below-median condition lowers fair value versus a renovated baseline unit.
Neighbourhood score 74/100 (Housing Market 80 · Amenities 75 · Economic 65 · Tenant Quality 70). Strong amenities and housing-market momentum support a premium to baseline.
Bensafrim e Barão de São João, Lagos, Faro
Area baseline €297,984 + condition -€6,800 + location +€28,606 = modelled fair value of €319,790 (€4,997/m²), a €29,790 (10.3%) gap versus the €290,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Bensafrim e Barão de São João · ba5a89 | Subject | €290,000 | €4,531 | — | 70 | 74 |
| Bensafrim e Barão de São João · 6d52e7 | Active | €290,000 | €4,531 | 0% | 80 | 64 |
| Bensafrim e Barão de São João · 261f93 | Active | €290,000 | €4,531 | 0% | 75 | 77 |
| Bensafrim e Barão de São João · 7355ec | Active | €420,000 | €5,185 | 14.4% | 75 | 70 |
| Bensafrim e Barão de São João · 42014d | Active | €420,000 | €5,185 | 14.4% | 80 | 74 |
| Median comp | €355,000 | €4,858 | 7.2% | 78 | 72 |
Short-term vacation rental This 2-bed villa in Bensafrim e Barão de São João offers a promising opportunity for short-term vacation rentals, with strong demand in the Algarve and a fair value exceeding the listing price by 10.3%. Given the location's recognition as a prime tourist destination, this investment could yield competitive returns despite a moderate gross yield of 3%. Long-term rental With the neighborhood scoring 74/100 and the property being fairly priced at 10.3% below its fair value, this villa represents a solid choice for long-term rental investments. The demand for long-term rentals, though influenced by seasonal tourism, can provide consistent cash flow in this desirable location. Buy-and-hold This property is well-positioned for a buy-and-hold strategy, as it is currently subvalorizada by 10.3% and has a reasonable condition score of 68/100. The long-term growth potential in a market like the Algarve, combined with its fair value status, leads to excellent prospects for capital appreciation over time.
Economic Dependence Risk The economic stability score of 65 suggests potential vulnerability to market fluctuations, which could jeopardize rental income from tenants with a stability score of 70.
