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.
3-bedroom, 4-bathroom house of 120 m², built in 2024. Located on rua da Fonte Santa, Quarteira parish, Loulé municipality, Faro district. This property includes architectural plans for an additional level and a spacious pool, offering significant potential for expansion and enhancement of outdoor living spaces.
The valuation. The asking price of €1,925,000 significantly exceeds the fair value of €626,269, resulting in an overpriced assessment of €1,298,731 (67.5%). This valuation raises concerns regarding the property's investment potential.
Fair value modelled at €626,269 from the area baseline, adjusted for condition and location. Asking €1,925,000 sits €1,298,731 (67.5%) above — overpriced versus fair value.
Asking €1,925,000 versus the rua da Fonte Santa area baseline of €562,320 (€4,686/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 83/100 (Condition 80 · Materials 85 · Room dimensions 82). 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.
rua da Fonte Santa
Area baseline €562,320 + condition +€14,438 + location +€53,591 = modelled fair value of €626,269 (€5,219/m²), a €1,298,731 (67.5%) gap versus the €1,925,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| rua da Fonte Santa | Subject | €1,925,000 | €16,042 | — | 80 | 74 |
| Almancil · 49b8ae | Active | €2,695,000 | €16,433 | 2.4% | 80 | 69 |
| Almancil · 25f5b5 | Active | €1,890,000 | €13,500 | 15.8% | 80 | 63 |
| Almancil · ba5a42 | Active | €2,750,000 | €12,557 | 21.7% | 85 | 70 |
| Quarteira · 937484 | Active | €2,000,000 | €13,333 | 16.9% | 70 | 63 |
| Median comp | €2,347,500 | €13,417 | 16.4% | 80 | 66 |
Short-term vacation rental The property in Quarteira is overpriced at €1,925,000, far exceeding its fair value of €626,269, which creates a considerable gap of 67.5%. With a gross yield of only 1.6%, the potential for delivering significant returns through short-term rentals appears limited in this market phase. Long-term rental Considering the high listing price against the fair valuation, this property is not positioned favorably for long-term rental investments with a gross yield of just 1.6%. The premium pricing diminishes the appeal for potential tenants looking for competitive rental options in this area. Buy-and-hold Investing in this property as a buy-and-hold strategy seems unwise given its listing at €1,925,000, which is substantially higher than the calculated fair value of €626,269. The expected return of 1.6% gross yield coupled with the overpriced nature of the asset makes it an unfavorable choice for long-term asset accumulation.
Tenant turnover risk The tenant stability score of 70/100 suggests there may be a moderate risk of tenant turnover, which could lead to increased vacancy rates and associated costs.
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