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, 3-bathroom house of 138 m², built in 2005. Located São Gonçalo de Lagos parish, Lagos municipality, Faro district. Noteworthy Features: The property is situated in a prime end-of-terrace position, enhancing privacy and providing a tranquil atmosphere while still being steps from the communal pool. Amenities Access: Residents enjoy membership to the exceptional facilities at Boavista Golf & Spa, including a championship golf course and health club.
The valuation. The asking price of €675,000 is significantly above the fair value of €539,599, representing an excess of €135,401 (20.1%). This property is considered overpriced.
Fair value modelled at €539,599 from the area baseline, adjusted for condition and location. Asking €675,000 sits €135,401 (20.1%) above — overpriced versus fair value.
Asking €675,000 versus the São Gonçalo de Lagos, Lagos, Faro area baseline of €541,650 (€3,925/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 81/100 (Condition 78 · Materials 84 · Room dimensions 80). Above-median finish quality lifts fair value versus a baseline unit needing CapEx.
Neighbourhood score 73/100 (Housing Market 75 · Amenities 70 · Economic 65 · Tenant Quality 70). Strong amenities and housing-market momentum support a premium to baseline.
São Gonçalo de Lagos, Lagos, Faro
Area baseline €541,650 + condition +€13,369 + location +€44,334 = modelled fair value of €539,599 (€3,910/m²), a €135,401 (20.1%) gap versus the €675,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| São Gonçalo de Lagos · 6ebaab | Subject | €675,000 | €4,891 | — | 78 | 73 |
| Luz · 96c112 | Active | €790,000 | €5,163 | 5.6% | 75 | 71 |
| São Gonçalo de Lagos · 1e61ce | Active | €775,000 | €5,272 | 7.8% | 80 | 73 |
| rua Doutora Raul Baptista Horta | Active | €825,000 | €4,508 | 7.8% | 73 | 65 |
| rua Jacques de Oliveira Neves | Active | €825,000 | €4,609 | 5.8% | 73 | 75 |
| Median comp | €807,500 | €4,886 | 0.1% | 74 | 72 |
Short-term vacation rental The property is priced at €675,000, which is 20.1% above its fair value of €539,599, making it a less attractive option for short-term vacation rentals despite the area's tourism-driven economy. With a gross yield of only 4.6%, the high purchase price diminishes potential profitability. Buy-and-hold At a listing price of €675,000, this property is overpriced compared to its fair value of €539,599, which raises concerns for long-term investment strategies. Given the gross yield of 4.6%, investors might find stronger opportunities with more favorable pricing in the vicinity. Value-add renovation While renovations can enhance property values, purchasing this house at €675,000—20.1% above its fair value of €539,599—limits the potential returns on the investment. The current condition rating of 81/100 indicates some quality, but the premium price reduces the room for effective value-add strategies. Not ideal for: Student housing This 3-bed house is not suitable for student housing given its pricing and the lack of proximity to higher educational institutions, despite the presence of local tourism jobs. The investment cost at €675,000 does not correlate with student housing demand in the area. Not ideal for: Luxury market Priced at €675,000, this property does not fit well within the luxury market since it exceeds its fair value by 20.1%. The current neighborhood rating of 73/100 also indicates it lacks the prestige expected from luxury properties.
Economic volatility risk The economic stability score of 65 suggests potential fluctuations in market conditions that may impact property value and rental income.
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