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.
1-bedroom, 1-bathroom apartment of 93 m², built in 2001, energy rating C. Located São Gonçalo de Lagos parish, Lagos municipality, Faro district. Property Features: This apartment boasts a spacious terrace perfect for outdoor dining, and a unique pantry for additional storage or utility needs. Amenities: The condominium provides a tranquil pool environment along with landscaped gardens.
The valuation. The asking price of €400,000 is €36,982 (9.2%) above the fair value of €363,018, indicating that the property is overpriced for the current market conditions. This disparity requires careful consideration before investment decisions. Buy-to-flip angle. A buy-to-flip strategy could focus on minor renovations to enhance the apartment's appeal, leveraging Algarve's strong tourism for a resale. Given the right investment in upgrades, there is potential for a profitable turnaround. Buy-to-let angle. The rental income strategy suggests a gross yield of 3.2%, translating to an estimated monthly income of €1,067. This figure aligns with the Algarve's increasing demand for short-term vacation rentals, providing steady cash flow.
Fair value modelled at €363,018 from the area baseline, adjusted for condition and location. Asking €400,000 sits €36,982 (9.2%) above — overpriced versus fair value.
Asking €400,000 versus the São Gonçalo de Lagos, Lagos, Faro area baseline of €365,025 (€3,925/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 76/100 (Condition 74 · Materials 78 · Room dimensions 80). Above-median finish quality lifts fair value versus a baseline unit needing CapEx.
Neighbourhood score 78/100 (Housing Market 85 · Amenities 80 · Economic 75 · Tenant Quality 70). Strong amenities and housing-market momentum support a premium to baseline.
São Gonçalo de Lagos, Lagos, Faro
Area baseline €365,025 + condition +€1,889 + location +€36,373 = modelled fair value of €363,018 (€3,903/m²), a €36,982 (9.2%) gap versus the €400,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| São Gonçalo de Lagos · 23f2d3 | Subject | €400,000 | €4,301 | — | 74 | 78 |
| rua Joaquim Francisco Rijo Cardeira da Silva | Active | €350,000 | €4,217 | 2.0% | 72 | 66 |
| São Gonçalo de Lagos · 9569fb | Active | €350,000 | €4,217 | 2.0% | 76 | 78 |
| São Gonçalo de Lagos · 956963 | Active | €380,000 | €4,750 | 10.4% | 76 | 80 |
| São Gonçalo de Lagos · 49b7ca | Active | €385,000 | €5,133 | 19.3% | 78 | 76 |
| Median comp | €365,000 | €4,484 | 4.2% | 76 | 77 |
Short-term vacation rental This 1-bed apartment is not ideal for a short-term vacation rental strategy as it is overpriced at €400,000, with a fair value of €363,018 reflecting a 9.2% gap. Although the Algarve's tourism appeal is strong, the yield of 3.2% gross does not justify the current asking price. Buy-and-hold The buy-and-hold strategy is less attractive for this property due to its overpriced status, with a significant gap of 9.2% between the listing price and fair value. The current condition rating of 76/100 and a gross yield of 3.2% suggest limited upside potential for long-term appreciation. Family rental This property is overpriced at €400,000, making it a poor choice for family rental investments despite the decent neighbourhood rating of 78/100. The yield of 3.2% gross does not align with the necessary investment return for such a strategy, given the fair value estimate of €363,018.
Economic vulnerability With an economic stability score of 75/100, there is a moderate risk of economic downturn affecting rental demand and property value. Tenant turnover risk A tenant stability score of 70/100 indicates potential challenges in maintaining long-term tenants, possibly increasing vacancy rates and impacting cash flow.
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
