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.
2-bedroom, 2-bathroom house of 125 m², built in 2005, energy rating C. Located on rua Sacadura Cabral, 8, Santa Luzia parish, Tavira municipality, Faro district. Noteworthy Features: This property features a spacious terrace with unobstructed Ria Formosa views, ideal for outdoor entertaining and enjoying the sun-soaked Algarve climate. Additional Context: Located just 30 meters from the boarding pier to Praia da Terra Estreita, it offers quick beach access in Santa Luzia, the fishing village known as the true Capital of Octopus.
The valuation. The asking price of €890,000 sits well above the fair value of €211,340, representing an excess of €678,660 (76.3%). This property is overpriced compared to its market value, making it a less attractive investment opportunity.
Fair value modelled at €211,340 from the area baseline, adjusted for condition and location. Asking €890,000 sits €678,660 (76.3%) above — overpriced versus fair value.
Asking €890,000 versus the rua Sacadura Cabral, 8 area baseline of €477,750 (€3,822/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 74/100 (Condition 70 · Materials 75 · Room dimensions 78). Below-median condition lowers fair value versus a renovated baseline unit.
Neighbourhood score 63/100 (Housing Market 70 · Amenities 60 · Economic 60 · Tenant Quality 60). Strong amenities and housing-market momentum support a premium to baseline.
rua Sacadura Cabral, 8
Area baseline €477,750 + condition -€1,953 + location +€10,543 = modelled fair value of €211,340 (€1,691/m²), a €678,660 (76.3%) gap versus the €890,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| rua Sacadura Cabral, 8 | Subject | €890,000 | €7,120 | — | 70 | 63 |
| Tavira (Santa Maria e Santiago) · 6ebb92 | Active | €595,000 | €6,839 | 3.9% | 75 | 61 |
| praça da República | Active | €535,000 | €8,231 | 15.6% | 80 | 73 |
| Santa Luzia · f35f9b | Active | €295,000 | €4,214 | 40.8% | 73 | 67 |
| rua das Freiras, 51 | Active | €497,000 | €4,438 | 37.7% | 70 | 70 |
| Median comp | €516,000 | €5,639 | 20.8% | 74 | 69 |
Short-term vacation rental The property is priced excessively at €890,000, with a fair value of only €211,340, indicating a significant 76.3% gap. Despite proximity to tourism hotspots in Algarve, the yield of 1.7% is insufficient to justify the premium pricing. Long-term rental With a high asking price compared to its fair value, the property represents a poor long-term rental investment opportunity. The neighbourhood rating of 63/100 highlights potential concerns about tenant quality, making it less appealing for sustained rental income. Value-add renovation Investing in value-add renovations is not advisable given the property’s substantial overvaluation at €890,000 against a fair value of €211,340. The current condition rating of 74/100 may not provide enough return on investment to close the significant price gap. Not ideal for: Luxury market, Student housing Due to its overstated price and lack of competitive yield, this property is ill-suited for the luxury market. Additionally, its characteristics do not align well with the demands of student housing, further limiting its attractive demographics.
Economic and Tenant Instability Risk The property has an economic stability score of 60/100 and a tenant stability score of 60/100, indicating potential vulnerability to fluctuations in income and high tenant turnover.
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