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.
2-bedroom, 1-bathroom house of 110 m². Located Loulé (São Clemente) parish, Loulé municipality, Faro district. Noteworthy Features: The property includes an approved project for a new 164.50 m² house, allowing immediate construction without licensing delays, enhancing investment potential on the expansive 4,692 m² plot.
The valuation. The asking price of €290,000 is significantly below the fair value of €469,411, indicating it is underpriced by €179,411 (38.2%). This presents a notable opportunity for investors looking for value.
Fair value modelled at €469,411 from 6 comparable sales in the area. Asking €290,000 sits €179,411 (38.2%) below — the upside to fair value.
Asking €290,000 versus the Loulé (São Clemente), Loulé, Faro area baseline of €538,319 (€4,894/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 20/100 is below the parish average, reducing 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 €538,319, adjusted for condition and micro-location, gives a modelled fair value of €469,411 (€4,267/m²), a €179,411 (38.2%) gap versus the €290,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Loulé (São Clemente) · 65303c | Subject | €290,000 | €2,636 | — | 15 | 61 |
| Loulé (São Clemente) · 49b785 | Active | €650,000 | €4,037 | 53.1% | — | 52 |
| Loulé (São Clemente) · 42011c | Active | €895,000 | €4,497 | 70.6% | — | 67 |
| Loulé (São Clemente) · 93881d | Active | €495,000 | €3,486 | 32.2% | 68 | 65 |
| Loulé (São Clemente) · 6c77cc | Active | €140,000 | €2,154 | 18.3% | 70 | 66 |
| Median comp | €572,500 | €3,762 | 42.7% | 69 | 66 |
Long-term rental The property in Loulé, with a gross yield of 6.3%, demonstrates a strong opportunity for a long-term rental strategy given its significant gap of 38.2% from its fair value. While the condition is ranked at 20/100, the potential for appreciation in the housing market could attract stable rental income over time. Short-term vacation rental Given the location in Algarve, which balances local life and tourism, this property can be effectively leveraged as a short-term vacation rental, capitalizing on its 38.2% undervaluation. However, its low condition score may require renovation investments to maximize appeal and rental rates. Buy-and-hold As a buy-and-hold investment, this property stands out due to its significant gap from fair value, presenting a unique chance for long-term appreciation in a market heavily influenced by tourism. Investing now could lead to favorable returns as economic conditions in Loulé evolve, despite current employment stability concerns due to reliance on tourism.
[Economic Vulnerability] With an economic stability score of 55/100, this property faces a heightened risk of market fluctuations that could impact rental income and property value.
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