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 86 m², energy rating E. Located Vila Nova de Cacela parish, Vila Real de Santo António municipality, Faro district. The property features a traditional oven and a well-equipped saltwater pool with a heat pump, enhancing its appeal for outdoor entertaining and relaxation.
The valuation. The asking price of €450,000 significantly exceeds the fair value of €147,118, reflecting an overvaluation of €302,882 (67.3%). This price mismatch positions the property as overpriced in the current market.
Fair value modelled at €147,118 from the area baseline, adjusted for condition and location. Asking €450,000 sits €302,882 (67.3%) above — overpriced versus fair value.
Asking €450,000 versus the Vila Nova de Cacela, Vila Real de Santo António, Faro area baseline of €308,138 (€3,583/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 70/100 (Condition 68 · Materials 75 · Room dimensions 72). Below-median condition lowers fair value versus a renovated baseline unit.
Neighbourhood score 60/100 (Housing Market 60 · Amenities 65 · Economic 50 · Tenant Quality 65). Strong amenities and housing-market momentum support a premium to baseline.
Vila Nova de Cacela, Vila Real de Santo António, Faro
Area baseline €308,138 + condition -€6,450 + location +€5,906 = modelled fair value of €147,118 (€1,711/m²), a €302,882 (67.3%) gap versus the €450,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Vila Nova de Cacela · 4d434c | Subject | €450,000 | €5,233 | — | 68 | 60 |
| urbanização Orlamar | Active | €650,000 | €5,702 | 9.0% | — | 54 |
| rua do Oriente | Active | €645,000 | €5,039 | 3.7% | 80 | 63 |
| Vila Nova de Cacela · 001578 | Active | €360,000 | €3,711 | 29.1% | 68 | 63 |
| Vila Nova de Cacela · 0dcf5b | Active | €466,000 | €3,641 | 30.4% | 72 | 64 |
| Median comp | €555,500 | €4,375 | 16.4% | 72 | 63 |
Short-term vacation rental Auditing rental potential indicates that demand from tourists in Algarve could be attractive; however, with a gross yield of only 2.3%, this investment does not offer sufficient return given the property's listing price of €450,000, which is 67.3% above its fair value. With a neighborhood score of 60/100, the property may struggle with competition and yield stability in the short-term rental market. Family rental While the property offers ample space for a family, its gross yield of 2.3% signals a significant financial strain on potential tenants, further compounded by the excessive listing price of €450,000 that represents a 67.3% markup over fair value. The neighborhood score of 60/100 raises concerns about tenant quality, which diminishes the attractiveness of this investment strategy. Long-term rental Given the prevailing conditions, the property is overvalued at €450,000, which is 67.3% higher than its fair value, and results in a lackluster yield of 2.3%, making long-term rental a less appealing strategy. The neighborhood score of 60/100 suggests challenges in attracting high-quality tenants, potentially affecting the investment's stability and returns over time.
Economic Instability Risk The economic stability score of 50/100 indicates a moderate risk of economic downturns that could adversely affect rental income.
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Comparables, condition and location workings, yield and time-to-sell. Written up and emailed to you.
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