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.
5-bedroom, 6-bathroom country_house of 336 m², built in 2003, energy rating B. Located on urbanização Quinta Formosa, 51, Almancil parish, Loulé municipality, Faro district. This property features direct access to a landscaped garden and a spacious pool area, enhancing outdoor living and entertainment opportunities in the Algarve sun.
The valuation. The asking price of €3,650,000 is significantly above the fair value of €2,093,161, leading to a discrepancy of €1,556,839 (42.7%). This property is considered overpriced. Buy-to-flip angle. A resale or wholesale strategy could focus on cosmetic upgrades to attract buyers, leveraging the desirable location for a profitable sale within a short timeframe. Buy-to-let angle. The rental income strategy aims for a gross yield of 2.6%, with an estimated rental income of €7,908 per month, targeting the lucrative short-term vacation rental market.
Fair value modelled at €2,093,161 from the area baseline, adjusted for condition and location. Asking €3,650,000 sits €1,556,839 (42.7%) above — overpriced versus fair value.
Asking €3,650,000 versus the urbanização Quinta Formosa, 51 area baseline of €1,896,048 (€5,643/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 80/100 (Condition 75 · Materials 85 · Room dimensions 78). Above-median finish quality lifts fair value versus a baseline unit needing CapEx.
Neighbourhood score 74/100 (Housing Market 75 · Amenities 80 · Economic 65 · Tenant Quality 70). Strong amenities and housing-market momentum support a premium to baseline.
urbanização Quinta Formosa, 51
Area baseline €1,896,048 + condition +€28,350 + location +€180,859 = modelled fair value of €2,093,161 (€6,230/m²), a €1,556,839 (42.7%) gap versus the €3,650,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| urbanização Quinta Formosa, 51 | Subject | €3,650,000 | €10,863 | — | 75 | 74 |
| Almancil · 4bbf27 | Active | €1,390,000 | €9,858 | 9.3% | 85 | 63 |
| Almancil · 893689 | Active | €4,150,000 | €13,562 | 24.8% | 80 | 66 |
| Almancil · 0dcf14 | Active | €2,750,000 | €10,148 | 6.6% | 74 | 65 |
| Almancil · 023a27 | Active | €2,190,000 | €8,521 | 21.6% | 78 | 65 |
| Median comp | €2,470,000 | €10,003 | 7.9% | 79 | 65 |
Short-term vacation rental The property’s price of €3,650,000 is significantly above the fair value of €2,093,161, indicating a premium that may not be justified by the expected seasonal rental income. With a gross yield of only 2.6%, the investment seems less compelling within the vacation rental market, given the high entry price and pricing gap of 42.7%. Buy-and-hold Investing in this property as a buy-and-hold strategy is challenged by its significant overpricing, with the fair value indicating a gap of 42.7%. The gross yield of 2.6% suggests limited cash flow potential, making long-term holding a less attractive prospect in the current overpriced market. Family rental Purchasing this property for family rental purposes may not be wise, given its overvaluation at €3,650,000 compared to a fair value of €2,093,161. The 42.7% pricing gap and only a 2.6% gross yield detract from its attractiveness as a residential rental investment in the region, leading to concerns about return on investment.
Economic Vulnerability With an economic stability score of 65/100, the property may face heightened risks related to local economic fluctuations, potentially impacting 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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