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.
0-bedroom, 1-bathroom studio of 40 m², built in 1987, energy rating D. Located Albufeira e Olhos de Água parish, Albufeira municipality, Faro district. Unique Feature: The studio boasts direct access to the swimming pool area, enhancing the outdoor living experience and making it ideal for relaxation and leisure activities. Condition Note: The interior shows signs of wear, offering potential for customization and improvement.
The valuation. The asking price of €235,000 sits significantly above the fair value of €117,810, indicating an overpriced situation by €117,190 (49.9%). This suggests that potential buyers should be cautious and consider other properties with better pricing. Buy-to-flip angle. A buy-to-flip strategy could involve renovating the studio to modernize the dated features and improve overall appeal, aiming for a profitable resale in the thriving Albufeira market. Targeting buyers willing to invest in vacation properties may yield favorable returns. Buy-to-let angle. The estimated gross yield of 3.9% (~€764/month) suggests that this property can provide a steady rental income through short-term vacation rentals, capitalizing on Albufeira's strong tourist attraction. This investment can leverage seasonal demand to maximize occupancy rates.
Fair value modelled at €117,810 from the area baseline, adjusted for condition and location. Asking €235,000 sits €117,190 (49.9%) above — overpriced versus fair value.
Asking €235,000 versus the Albufeira e Olhos de Água, Albufeira, Faro area baseline of €139,040 (€3,476/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 60/100 (Condition 56 · Materials 62 · Room dimensions 65). Below-median condition lowers fair value versus a renovated baseline unit.
Neighbourhood score 62/100 (Housing Market 80 · Amenities 60 · Economic 50 · Tenant Quality 60). Strong amenities and housing-market momentum support a premium to baseline.
Albufeira e Olhos de Água, Albufeira, Faro
Area baseline €139,040 + condition -€9,375 + location +€5,825 = modelled fair value of €117,810 (€2,945/m²), a €117,190 (49.9%) gap versus the €235,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Albufeira e Olhos de Água · 4d44df | Subject | €235,000 | €5,875 | — | 56 | 62 |
| Albufeira e Olhos de Água · dee640 | Active | €185,000 | €9,250 | 57.4% | — | 74 |
| Albufeira e Olhos de Água · 0238c6 | Active | €185,000 | €4,302 | 26.8% | 54 | 71 |
| Albufeira e Olhos de Água · 82c749 | Active | €2,850,000 | €45,238 | 670.0% | 62 | 70 |
| rua Nossa Senhora de Fátima | Active | €279,000 | €4,650 | 20.9% | 60 | 71 |
| Median comp | €232,000 | €6,950 | 18.3% | 60 | 71 |
Short-term vacation rental With a gross yield of only 3.9%, this 0-bed studio in Albufeira e Olhos de Água offers limited potential for profitability in the short-term rental market, especially given its considerable gap from fair value at 49.9%. The local economy's reliance on seasonal tourism further emphasizes the inherent risks associated with investing in this property. Value-add renovation While there may be potential for value-add renovations, the current valuation of €235,000 significantly exceeds its fair value of €117,810, indicating that the investment is overpriced. With a condition score of 60/100, expected renovation costs might not yield sufficient returns to justify the high initial investment. Buy-and-hold Investing in this property as a buy-and-hold strategy is not advisable, as it is currently overpriced compared to its fair value, suggesting limited appreciation potential in the long run. Moreover, the 62/100 neighborhood score points to a moderate environment that may not support significant property value growth over time.
Economic and Tenant Stability Risk The property is at risk due to a low economic stability score of 50/100 and a tenant stability score of 60/100, indicating a potentially unstable rent collection environment.
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Comparables, condition and location workings, yield and time-to-sell. Written up and emailed to you.
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