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, 7-bathroom house of 612 m², energy rating D. Located Almancil parish, Loulé municipality, Faro district. Noteworthy Features: The property boasts a luxurious basement leisure area that includes a cinema, fully equipped gym, and an independent two-bedroom apartment with a private entrance.
The valuation. The asking price of €7,950,000 is significantly higher than the fair value of €3,768,777, placing it at €4,181,223 (52.6%) above fair market expectations. Verdict: overpriced. Buy-to-flip angle. A resale strategy could involve renovations to enhance appeal, targeting a premium return in a luxury segment within the Algarve market. Short-term vacation rentals may also provide a quicker turnaround. Buy-to-let angle. The estimated gross yield stands at 2%, with potential rental income of approximately €13,250 per month, making it an option for long-term holds in a region influenced by tourism.
Fair value modelled at €3,768,777 from the area baseline, adjusted for condition and location. Asking €7,950,000 sits €4,181,223 (52.6%) above — overpriced versus fair value.
Asking €7,950,000 versus the Almancil, Loulé, Faro area baseline of €3,453,516 (€5,643/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 96/100 (Condition 95 · Materials 96 · Room dimensions 95). Above-median finish quality lifts fair value versus a baseline unit needing CapEx.
Neighbourhood score 69/100 (Housing Market 70 · Amenities 70 · Economic 60 · Tenant Quality 75). Strong amenities and housing-market momentum support a premium to baseline.
Almancil, Loulé, Faro
Area baseline €3,453,516 + condition +€76,500 + location +€260,793 = modelled fair value of €3,768,777 (€6,158/m²), a €4,181,223 (52.6%) gap versus the €7,950,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Almancil · b7c27f | Subject | €7,950,000 | €12,990 | — | 95 | 69 |
| Almancil · 4bbf27 | Active | €1,390,000 | €9,858 | 24.1% | 85 | 63 |
| Almancil · 893689 | Active | €4,150,000 | €13,562 | 4.4% | 80 | 66 |
| Almancil · 6d512e | Active | €2,250,000 | €5,829 | 55.1% | 80 | 70 |
| Almancil · ba5a42 | Active | €2,750,000 | €12,557 | 3.3% | 85 | 70 |
| Median comp | €2,500,000 | €11,208 | 13.7% | 83 | 68 |
Short-term vacation rental This property is overpriced at €7,950,000, significantly exceeding its fair value of €3,768,777, which limits potential profitability. With a gross yield of just 2%, the investment does not align with the market’s vacation rental expectations in the Algarve region. Buy-and-hold The substantial gap of 52.6% between the listing price and the fair value suggests that this property is not a prudent buy-and-hold investment. Given its current valuation, it is unlikely to provide the long-term returns that an investor would expect. Long-term rental The property’s high listing price compared to its fair value makes it an unattractive option for long-term rental strategies. A yield of 2% indicates that potential rental income does not justify the current investment cost in a healthily competitive market. Not ideal for Strategies focused on student housing, the luxury market, or value-add renovations are also inappropriate, given the property's listing price and overall market conditions. Instead, investments should be directed towards properties with more favorable valuations.
Economic Vulnerability The economic stability score of 60/100 indicates potential issues in the local economy that could impact tenant retention or rental income.
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
