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 62 m² on the 2nd floor, built in 1989, energy rating D. Located Monte Gordo parish, Vila Real de Santo António municipality, Faro district. Noteworthy Features: This apartment boasts a private balcony off the bedroom and a dedicated terrace, providing additional outdoor space for relaxation or entertainment within the vibrant Monte Gordo area.
The valuation. The property is listed at €245,000, which is significantly above the fair value of €99,648, representing an overvaluation of €145,352 (59.3%). This high asking price is not justified considering market conditions. Buy-to-flip angle. A buy-to-flip strategy could capitalize on cosmetic upgrades, but given that the property is currently overpriced, any potential resale might yield limited returns unless the market shifts favorably. Buy-to-let angle. With an estimated gross yield of 3.4% and potential monthly rental income of approximately €694, the property could serve as a steady long-term investment despite current overvaluation, especially in a tourist-driven area like Monte Gordo.
Fair value modelled at €99,648 from the area baseline, adjusted for condition and location. Asking €245,000 sits €145,352 (59.3%) above — overpriced versus fair value.
Asking €245,000 versus the Monte Gordo, Vila Real de Santo António, Faro area baseline of €253,580 (€4,090/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 63/100 (Condition 65 · Materials 60 · Room dimensions 66). Below-median condition lowers fair value versus a renovated baseline unit.
Neighbourhood score 62/100 (Housing Market 50 · Amenities 70 · Economic 65 · Tenant Quality 60). Strong amenities and housing-market momentum support a premium to baseline.
Monte Gordo, Vila Real de Santo António, Faro
Area baseline €253,580 + condition -€11,916 + location +€5,110 = modelled fair value of €99,648 (€1,607/m²), a €145,352 (59.3%) gap versus the €245,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Monte Gordo · 225a5b | Subject | €245,000 | €3,952 | — | 65 | 62 |
| Monte Gordo · 6fbafd | Active | €250,000 | €3,846 | 2.7% | 70 | 65 |
| rua Afonso de Albuquerque, 39 | Active | €250,000 | €4,545 | 15.0% | 55 | 58 |
| rua Pêro Vaz de Caminha, 24 | Active | €237,000 | €3,950 | 0% | 70 | 56 |
| rua Diogo Cão, 2 | Active | €470,000 | €5,949 | 50.6% | 74 | 55 |
| Median comp | €250,000 | €4,248 | 7.5% | 70 | 57 |
Long-term rental The 1-bed apartment in Monte Gordo is overvalued at €245,000, with a fair value of only €99,648, representing a significant gap of 59.3%. While there is potential for long-term rentals given the tourism-driven demand, the current pricing undermines the attractiveness of this strategy due to the low yield of 3.4%. Short-term vacation rental Despite being in a tourist-heavy region, the apartment's price of €245,000, significantly above its fair value of €99,648, makes it an inefficient option for short-term vacation rentals. With seasonal fluctuations taken into account, the current rental yield of 3.4% suggests that this investment may not deliver expected returns in a competitive market. Buy-and-hold Investing in this Monte Gordo apartment appears to be imprudent due to its €245,000 listing price, exceeding the fair market value of €99,648 by 59.3%. Given the existing yield of 3.4% and the neighborhood's overall condition ratings, holding onto this property could result in suboptimal capital appreciation going forward.
Tenant turnover risk High tenant turnover is a concern with a tenant stability score of 60/100, indicating potential vacancy and associated costs.
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