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, 3-bathroom house of 355 m², energy rating A. Located Ferragudo parish, Lagoa municipality, Faro district. Noteworthy Features: The property includes a large garage accommodating four vehicles and offers additional storage space, enhancing functionality for owners with multiple cars or storage needs.
The valuation. The asking price of €930,000 sits €220,013 (23.7%) above the fair value of €709,987, indicating that the property is overpriced based on market conditions.
Fair value modelled at €709,987 from the area baseline, adjusted for condition and location. Asking €930,000 sits €220,013 (23.7%) above — overpriced versus fair value.
Asking €930,000 versus the Ferragudo, Lagoa, Faro area baseline of €1,336,575 (€3,765/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 84/100 (Condition 85 · Materials 85 · Room dimensions 83). Above-median finish quality lifts fair value versus a baseline unit needing CapEx.
Neighbourhood score 73/100 (Housing Market 80 · Amenities 75 · Economic 65 · Tenant Quality 70). Strong amenities and housing-market momentum support a premium to baseline.
Ferragudo, Lagoa, Faro
Area baseline €1,336,575 + condition +€44,375 + location +€56,077 = modelled fair value of €709,987 (€2,000/m²), a €220,013 (23.7%) gap versus the €930,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Ferragudo · 91128d | Subject | €930,000 | €2,620 | — | 85 | 73 |
| rua Doutor Manuel Bentes | Active | €900,000 | €5,806 | 121.6% | 75 | 63 |
| Ferragudo · 956e09 | Active | €850,000 | €3,025 | 15.5% | 75 | 64 |
| Ferragudo · 25f5aa | Active | €850,000 | €3,025 | 15.5% | 75 | 73 |
| Ferragudo · bf283f | Active | €1,400,000 | €3,836 | 46.4% | 80 | 73 |
| Median comp | €875,000 | €3,431 | 30.9% | 75 | 69 |
Short-term vacation rental The property’s price of €930,000 is significantly higher than the fair value of €709,987, resulting in a 23.7% gap, indicating it is overpriced for potential short-term rental strategies. Given the gross yield of only 3.6%, the investment may not generate sufficient return to justify the elevated price in the competitive vacation rental market of Algarve. Buy-and-hold The property’s current valuation at €930,000 exceeds the fair market value by 23.7%, suggesting it is overpriced and may not appreciate sufficiently to support a long-term hold strategy. With a yield of 3.6%, potential investors should be cautious about the opportunity cost involved in committing capital to this property. Family rental Priced at €930,000, the house represents a significant overvaluation compared to the fair value of €709,987, resulting in a 23.7% disparity that reflects its overpriced status. The low gross yield of 3.6% further indicates that this property lacks the financial viability needed to attract long-term family renters in the current market.
Economic Vulnerability The property carries a risk due to its economic stability score of 65/100, indicating potential fluctuations in local economic performance.
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Comparables, condition and location workings, yield and time-to-sell. Written up and emailed to you.
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