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, 4-bathroom villa of 265 m², built in 2009, energy rating E. Located Albufeira e Olhos de Água parish, Albufeira municipality, Faro district. Noteworthy Features: This villa offers a private solarium with unobstructed countryside views and a multifunctional room that can easily adapt to various needs, enhancing its versatility.
The valuation. The asking price of €525,000 is significantly below the fair value of €892,471, representing an opportunity to acquire a property underpriced by €367,471 (70.0%). This favorable pricing position suggests strong investment potential.
Fair value modelled at €892,471 from the area baseline, adjusted for condition and location. Asking €525,000 sits €367,471 (70.0%) below — the upside to fair value.
Asking €525,000 versus the Albufeira e Olhos de Água, Albufeira, Faro area baseline of €804,010 (€3,034/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 79/100 (Condition 75 · Materials 82 · Room dimensions 78). Above-median finish quality lifts fair value versus a baseline unit needing CapEx.
Neighbourhood score 73/100 (Housing Market 80 · Amenities 70 · 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 €804,010 + condition +€14,492 + location +€73,969 = modelled fair value of €892,471 (€3,368/m²), a €367,471 (70.0%) gap versus the €525,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Albufeira e Olhos de Água · ba5b1b | Subject | €525,000 | €1,981 | — | 75 | 73 |
| Albufeira e Olhos de Água · 25f562 | Active | €524,000 | €2,879 | 45.3% | 75 | 64 |
| Albufeira e Olhos de Água · 00199e | Active | €825,000 | €3,173 | 60.2% | 74 | 72 |
| Albufeira e Olhos de Água · ba3e5d | Active | €420,000 | €2,295 | 15.8% | 72 | 76 |
| rua do Castelinho, 1 | Active | €649,000 | €1,997 | 0.8% | 72 | 72 |
| Median comp | €586,500 | €2,587 | 30.6% | 73 | 72 |
Short-term vacation rental This 2-bed villa in Albufeira e Olhos de Água is positioned exceptionally well for short-term vacation rentals, leveraging its 6% gross yield backed by the area's strong tourism appeal. With a significant 70% gap to its fair value of €892,471, the property presents an enticing opportunity for investors looking to capitalize on seasonal rental demand. Long-term rental With a solid condition rating of 79/100, this property can attract reliable long-term tenants in the tourist-centric Albufeira area, which boasts a robust local economy. The 6% gross yield indicates a favorable investment for steady cash flow, capitalizing on the higher demand for rental properties in this desirable neighborhood. Buy-and-hold Given the significant gap between the asking price and fair value, this villa in Albufeira e Olhos de Água is an advantageous buy-and-hold opportunity, facilitating potential equity growth over time. The area's consistent influx of tourists helps ensure strong property value appreciation, making this an appealing long-term investment strategy.
Economic Sensitivity The economic stability score of 65 indicates a moderate risk due to potential fluctuations in the local economy that may impact rental demand and investor returns.
