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.
4-bedroom, 5-bathroom villa of 495 m², built in 2003, energy rating B. Located on rua de Moçambique S / N, Lagoa e Carvoeiro parish, Lagoa municipality, Faro district. This villa features a unique infrared sauna in the master en-suite and high-quality projectors in multiple rooms, enabling personalized cinema experiences at home.
The valuation. The asking price of €1,580,000 is €973,885 (61.6%) above the fair value of €606,115, indicating that the property is overpriced. This disparity suggests limited potential for future appreciation within the current market conditions.
Fair value modelled at €606,115 from the area baseline, adjusted for condition and location. Asking €1,580,000 sits €973,885 (61.6%) above — overpriced versus fair value.
Asking €1,580,000 versus the rua de Moçambique S / N area baseline of €1,706,265 (€3,447/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 83/100 (Condition 79 · Materials 85 · Room dimensions 82). Above-median finish quality lifts fair value versus a baseline unit needing CapEx.
Neighbourhood score 73/100 (Housing Market 80 · Amenities 70 · Economic 65 · Tenant Quality 75). Strong amenities and housing-market momentum support a premium to baseline.
rua de Moçambique S / N
Area baseline €1,706,265 + condition +€58,008 + location +€46,178 = modelled fair value of €606,115 (€1,224/m²), a €973,885 (61.6%) gap versus the €1,580,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| rua de Moçambique S / N | Subject | €1,580,000 | €3,192 | — | 79 | 73 |
| Lagoa e Carvoeiro · d7a496 | Active | €1,636,000 | €4,305 | 34.9% | 75 | 74 |
| rua de Vale do Milho | Active | €645,000 | €2,710 | 15.1% | 82 | 73 |
| urbanização Presa da Moura | Active | €1,749,000 | €7,257 | 127.4% | 82 | 70 |
| Lagoa e Carvoeiro · 65a5ae | Active | €1,100,000 | €4,000 | 25.3% | 80 | 73 |
| Median comp | €1,368,000 | €4,153 | 30.1% | 81 | 73 |
Short-term vacation rental The 4-bed villa in Lagoa e Carvoeiro is currently listed at €1,580,000, significantly above its fair value of €606,115, making it overpriced by 61.6%. With a gross yield of 0% and a seasonal market, the financial viability of a vacation rental strategy is highly questionable. Buy-and-hold Investing in this villa for a buy-and-hold strategy is not advisable, as it is overpriced, with a steep gap between the asking price and fair value of €606,115. The current condition rating of 83/100 and a lack of yield undermine its potential for long-term gains. Family rental While the villa is situated in a decent neighbourhood with a score of 73/100, it is still overpriced at €1,580,000 compared to its fair value of €606,115, presenting significant risk for a family rental strategy. The lack of cash flow, indicated by a gross yield of 0%, further complicates its attractiveness to potential tenants.
Economic Vulnerability With an economic stability score of 65, the property may be susceptible to fluctuations in the local economy, potentially affecting rental income and property value.
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