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.
4-bedroom, 3-bathroom house of 160 m², built in 1951, energy rating E. Located on rua Marechal Furtado, 26, São Gonçalo de Lagos parish, Lagos municipality, Faro district. Noteworthy Features: This property includes a charming patio and terraces, enhancing outdoor living space, and offers walking distance access to the vibrant amenities of Lagos' historic center.
The valuation. The asking price of €700,000 exceeds the fair value of €606,637 by €93,363 (13.3%). This property is classified as overpriced relative to its market worth.
Fair value modelled at €606,637 from the area baseline, adjusted for condition and location. Asking €700,000 sits €93,363 (13.3%) above — overpriced versus fair value.
Asking €700,000 versus the rua Marechal Furtado, 26 area baseline of €628,000 (€3,925/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 75/100 (Condition 70 · Materials 78 · Room dimensions 75). Below-median condition lowers fair value versus a renovated baseline unit.
Neighbourhood score 72/100 (Housing Market 80 · Amenities 70 · Economic 65 · Tenant Quality 75). Strong amenities and housing-market momentum support a premium to baseline.
rua Marechal Furtado, 26
Area baseline €628,000 + condition -€1,250 + location +€49,167 = modelled fair value of €606,637 (€3,791/m²), a €93,363 (13.3%) gap versus the €700,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| rua Marechal Furtado, 26 | Subject | €700,000 | €4,375 | — | 70 | 72 |
| São Gonçalo de Lagos · 001a87 | Active | €650,000 | €5,328 | 21.8% | 62 | 75 |
| rua da Bela Vista | Active | €420,000 | €3,925 | 10.3% | 70 | 78 |
| São Gonçalo de Lagos · 261f51 | Active | €399,500 | €5,790 | 32.3% | 75 | 71 |
| São Gonçalo de Lagos · 4bbf3a | Active | €999,950 | €3,876 | 11.4% | 78 | 65 |
| Median comp | €535,000 | €4,627 | 5.7% | 73 | 73 |
Short-term vacation rental While the location in the Algarve attracts a steady influx of tourists, the property is overpriced at €700,000, compared to its fair value of €606,637. The current gross yield of 5% suggests that the potential returns do not compensate for the excessive price point. Long-term rental Despite being situated in a neighbourhood that scores 72/100, the property's listing price significantly exceeds its fair value, rendering it an overpriced opportunity. With a gross yield of 5%, the investment may not deliver adequate returns over time given the elevated cost. Buy-and-hold Investing in this property as a buy-and-hold strategy is questionable, as it is currently overpriced at €700,000, which is 13.3% above fair value. The ongoing economic activity rooted in tourism does not offset the risks associated with high purchase prices, making long-term appreciation uncertain.
Economic Vulnerability The economic stability score of 65 suggests potential fluctuations in local economic conditions, which could impact tenant retention and rental income.
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