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, 4-bathroom house of 251 m², built in 1990. Located São Gonçalo de Lagos parish, Lagos municipality, Faro district. The property boasts a generous 1,705 m² lot with potential for extensive landscaping and a possible rooftop terrace, enhancing its outdoor living options with panoramic sea views.
The valuation. The asking price of €850,000 is below the fair value of €931,637, representing a discount of €81,637 or 9.6%. This property is underpriced in the market, providing a solid opportunity for investors.
Fair value modelled at €931,637 from the area baseline, adjusted for condition and location. Asking €850,000 sits €81,637 (9.6%) below — the upside to fair value.
Asking €850,000 versus the São Gonçalo de Lagos, Lagos, Faro area baseline of €985,175 (€3,925/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 69/100 (Condition 70 · Materials 75 · Room dimensions 67). Below-median condition lowers fair value versus a renovated baseline unit.
Neighbourhood score 73/100 (Housing Market 80 · Amenities 75 · Economic 65 · Tenant Quality 70). Strong amenities and housing-market momentum support a premium to baseline.
São Gonçalo de Lagos, Lagos, Faro
Area baseline €985,175 + condition -€25,492 + location +€80,637 = modelled fair value of €931,637 (€3,712/m²), a €81,637 (9.6%) gap versus the €850,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| São Gonçalo de Lagos · b7c15b | Subject | €850,000 | €3,386 | — | 70 | 73 |
| parque do Moínho | Active | €895,000 | €3,266 | 3.5% | 75 | 75 |
| São Gonçalo de Lagos · ba574b | Active | €1,300,000 | €3,148 | 7.1% | 72 | 78 |
| São Gonçalo de Lagos · 956e96 | Active | €1,300,000 | €3,148 | 7.1% | 70 | 78 |
| São Gonçalo de Lagos · 4d40ef | Active | €1,300,000 | €3,148 | 7.1% | — | 71 |
| Median comp | €1,300,000 | €3,148 | 7.0% | 72 | 77 |
Short-term vacation rental This property is well-positioned for the short-term vacation rental market, with a fair value significantly above the listing price, indicating potential for attractive returns. The combined yield of 3.4% gross and the appealing neighborhood quality of 73/100 enhances its attractiveness to tourists. Buy-and-hold With a fair value of €931,637, this property, priced at €850,000, offers an excellent long-term investment opportunity, showcasing a 9.6% gap to fair value. The strong location within Algarve's tourism-driven market further strengthens its potential for long-term appreciation. Family rental The family rental strategy aligns well with this property due to its size and favorable neighborhood score of 73/100, which is attractive for long-term tenants. Given the competitive pricing at €850,000 compared to the fair value, this investment could yield steady rental income over time.
Economic Vulnerability The property is at risk due to a relatively low economic stability score of 65/100, indicating potential fluctuations in local economic conditions that could affect rental income. Tenant Instability The tenant stability score of 70/100 suggests a risk of turnover, which can impact cash flow and increase vacancy rates, particularly if the economic landscape deteriorates.
Contributions are public and shown with the author's name and role. Links posted by users are not endorsed by Private Markets.
Log in to continue
Please log in or create an account to access this page.
No posts yet for this property.
Comparables, condition and location workings, yield and time-to-sell. Written up and emailed to you.
Log in to buy the report or use a credit
