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 penthouse of 350 m², built in 1989, energy rating C. Located Albufeira e Olhos de Água parish, Albufeira municipality, Faro district. Highlight: This penthouse features an expansive private terrace with a built-in barbecue, ideal for outdoor entertaining, and a secure 73m² closed box garage for versatile use.
The valuation. The asking price of €639,000 sits significantly below fair value at €994,719, representing a discrepancy of €355,719 (35.8%). This indicates that the property is underpriced.
Fair value modelled at €994,719 from 6 comparable sales in the area. Asking €639,000 sits €355,719 (35.8%) below — the upside to fair value.
Asking €639,000 versus the Albufeira e Olhos de Água, Albufeira, Faro area baseline of €772,617 (€2,207/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 75/100 is above the parish average, lifting fair value versus a typical-condition unit.
Recent nearby listings price above the wider parish average — a hyper-local premium distinct from the parish baseline.
Base gap of €772,617, adjusted for condition and micro-location, gives a modelled fair value of €994,719 (€2,842/m²), a €355,719 (35.8%) gap versus the €639,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Albufeira e Olhos de Água · 6a9478 | Subject | €639,000 | €1,826 | — | 71 | 67 |
| Albufeira e Olhos de Água · 023874 | Active | €535,000 | €2,524 | 38.2% | 78 | 78 |
| rua António Silva, 99 | Active | €350,000 | €2,692 | 47.5% | 80 | 75 |
| Albufeira e Olhos de Água · 4a800f | Active | €299,000 | €3,250 | 78.0% | 73 | 73 |
| estrada de Vale de Pedras, 101 | Active | €365,000 | €2,992 | 63.9% | 72 | 71 |
| Median comp | €357,500 | €2,842 | 55.7% | 76 | 74 |
Short-term vacation rental The property's prime location in the tourist-heavy region of Albufeira e Olhos de Água and the significant gap of 35.8% below fair value present a compelling opportunity for acquiring a short-term vacation rental. Although the gross yield is currently 0%, the potential for attractive seasonal rental income could greatly offset this initial concern. Buy-and-hold With an existing fair value of €994,719 compared to the listing price of €639,000, this property presents a strong buy-and-hold investment opportunity in a desirable location. The expected long-term appreciation, supported by the region's continuous tourism influx, underscores the potential for capital growth. Family rental Despite the property being listed below fair value, the neighborhood's rating of 67/100 suggests it could serve as a viable option for family rentals aimed at long-term tenants. The condition score of 75/100 also indicates that minimal immediate investment is needed to make it suitable for families.
Economic Downturn Risk The economic stability score of 55/100 suggests potential vulnerabilities that could impact rent collection and property values in a downturn.
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