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 74 m², built in 2007, energy rating C. Located Albufeira e Olhos de Água parish, Albufeira municipality, Faro district. Noteworthy Features: The apartment boasts underfloor heating and a spacious balcony with unobstructed views, enhancing both comfort and outdoor enjoyment in a prime Algarve location.
The valuation. The asking price of €341,000 exceeds the fair value of €251,122 by €89,878, or 26.4%. This indicates that the property is overpriced and not an attractive investment option for buyers seeking fair value.
Fair value modelled at €251,122 from the area baseline, adjusted for condition and location. Asking €341,000 sits €89,878 (26.4%) above — overpriced versus fair value.
Asking €341,000 versus the Albufeira e Olhos de Água, Albufeira, Faro area baseline of €224,516 (€3,034/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 82/100 (Condition 80 · Materials 83 · Room dimensions 79). Above-median finish quality lifts fair value versus a baseline unit needing CapEx.
Neighbourhood score 71/100 (Housing Market 75 · 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 €224,516 + condition +€7,747 + location +€18,859 = modelled fair value of €251,122 (€3,394/m²), a €89,878 (26.4%) gap versus the €341,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Albufeira e Olhos de Água · dee5ee | Subject | €341,000 | €4,608 | — | 80 | 71 |
| rua Samora Barros | Active | €350,000 | €7,609 | 65.1% | 85 | 76 |
| avenida Privilegiada de Albufeira | Active | €350,000 | €7,609 | 65.1% | 70 | 69 |
| Albufeira e Olhos de Água · 4a7d65 | Active | €260,000 | €4,727 | 2.6% | 72 | 75 |
| Albufeira e Olhos de Água · 956eb7 | Active | €219,000 | €4,563 | 1.0% | 74 | 75 |
| Median comp | €305,000 | €6,168 | 33.9% | 73 | 75 |
Short-term vacation rental Despite the appeal of Albufeira as a major tourist destination, this 1-bed apartment is overpriced, with a gap of 26.4% above its fair value. Given the current gross yield of 3.1%, potential short-term vacation rental returns may not justify the investment cost. Long-term rental The long-term rental market opportunity for this property is diminished due to its overpriced listing, situated 26.4% above fair value. Additionally, a gross yield of only 3.1% suggests that it may not effectively generate returns for landlords in the current market conditions. Buy-and-hold Investing in this property as a buy-and-hold strategy may be unwise, given the significant 26.4% markup over fair value. With a gross yield of just 3.1%, the potential for long-term appreciation does not warrant the elevated purchase price.
Potential Economic Downturn The economic stability score of 65/100 suggests vulnerability to economic fluctuations, which could impact tenant demand, especially if market conditions worsen.
