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.
0-bedroom, 0-bathroom mix_use_building of 112 m², built in 1951. Located Loulé (São Clemente) parish, Loulé municipality, Faro district. Noteworthy Features: The building's historic location allows for potential rental income from tourists seeking authentic experiences, while the common terrace maximizes outdoor enjoyment with panoramic views of Loulé's skyline.
The valuation. The asking price of €250,000 is significantly below the fair value of €428,924, indicating the property is underpriced by €178,924 (71.6%). This presents a compelling opportunity for investors seeking value. Buy-to-flip angle. With potential renovations and upgrades, the buy-to-flip strategy could generate substantial profit margins upon resale, leveraging the property’s desirable characteristics in a competitive market. Buy-to-let angle. Given the Algarve's tourist appeal, a buy-to-let strategy for both long-term and vacation rentals could maximize cash flow, targeting the high demand for rental accommodations in this vibrant location.
Fair value modelled at €428,924 from the area baseline, adjusted for condition and location. Asking €250,000 sits €178,924 (71.6%) below — the upside to fair value.
Asking €250,000 versus the Loulé (São Clemente), Loulé, Faro area baseline of €345,856 (€3,088/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 77/100 (Condition 74 · Materials 80 · Room dimensions 75). Above-median finish quality lifts fair value versus a baseline unit needing CapEx.
Neighbourhood score 64/100 (Housing Market 70 · Amenities 65 · Economic 60 · Tenant Quality 60). Strong amenities and housing-market momentum support a premium to baseline.
Loulé (São Clemente), Loulé, Faro
Area baseline €345,856 + condition +€3,500 + location +€22,560 = modelled fair value of €428,924 (€3,830/m²), a €178,924 (71.6%) gap versus the €250,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Loulé (São Clemente) · 5eced7 | Subject | €250,000 | €2,232 | — | 74 | 64 |
| Loulé (São Clemente) · aff4bb | Active | €1,900,000 | €5,322 | 138.4% | — | 63 |
| Loulé (São Clemente) · 25f6e5 | Active | €315,000 | €3,088 | 38.4% | 80 | 61 |
| rua Ascensão Guimarães, 149 | Active | €290,000 | €3,333 | 49.3% | 85 | 64 |
| Loulé (São Clemente) · 261cb9 | Active | €255,000 | €966 | 56.7% | 75 | 69 |
| Median comp | €302,500 | €3,211 | 43.8% | 80 | 64 |
Long-term rental This property in Loulé offers a significant gap of 71.6% between its listing price of €250,000 and its fair value of €428,924, indicating strong potential for long-term rental yields. Given the area's appeal in the Algarve, a well-maintained property here can attract reliable tenants despite the current 0% gross yield. Short-term vacation rental With a fair value significantly higher than the listing price, this property presents an intriguing opportunity for short-term vacation rentals that can capitalize on Algarve's tourism. Although the gross yield stands at 0%, the potential for substantial profit from tourism-driven demand remains compelling, especially in a location known for its seasonal attractiveness. Buy-and-hold Investing in this subvalorizada property on a buy-and-hold strategy could yield excellent long-term gains, considering its substantial undervalue relative to the fair market price. The ongoing interest in the Algarve's housing market for both residents and tourists bolsters the viability of holding onto this asset for future appreciation. Not ideal for student housing Given the seasonal employment in tourism within the Algarve, this property does not suit the need for stable, year-round housing that student rentals typically require. The unpredictable demand and tenant quality in tourist-focused areas hinder its potential as a student housing investment. Not ideal for luxury market Gearing towards the luxury market in a non-luxury focused neighborhood like Loulé would likely be less successful, as the current ratings indicate a middling condition and attractiveness. This disparity in market positioning makes luxury investments unsuitable for this property type.
Economic and Tenant Instability With both economic stability and tenant stability scores at 60/100, there is a heightened risk of fluctuating rental income and potential vacancies due to unstable market conditions.
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Comparables, condition and location workings, yield and time-to-sell. Written up and emailed to you.
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