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 64 m². Located Monte Gordo parish, Vila Real de Santo António municipality, Faro district. Noteworthy features: The property includes a sizable yard that offers potential for garden landscaping or outdoor entertaining, enhancing its appeal beyond basic living spaces.
The valuation. The asking price of €295,000 is significantly above the fair value of €186,114, representing an overpricing of €108,886 (58.5%). This makes the property an unattractive investment opportunity given its inflated cost.
Fair value modelled at €186,114 from 6 comparable sales in the area. Asking €295,000 sits €108,886 (58.5%) above — overpriced versus fair value.
Asking €295,000 versus the Monte Gordo, Vila Real de Santo António, Faro area baseline of €226,905 (€3,545/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 56/100 is below the parish average, reducing fair value versus a typical-condition unit.
Recent nearby listings price below the wider parish average — a hyper-local discount distinct from the parish baseline.
Base gap of €226,905, adjusted for condition and micro-location, gives a modelled fair value of €186,114 (€2,908/m²), a €108,886 (58.5%) gap versus the €295,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Monte Gordo · 653046 | Subject | €295,000 | €4,609 | — | 57 | 51 |
| Castro Marim · 6d5512 | Active | €450,000 | €3,169 | 31.2% | 45 | 55 |
| Monte Gordo · 001562 | Active | €225,000 | €2,647 | 42.6% | 45 | 70 |
| urbanização Praia Verde | Active | €595,000 | €3,967 | 13.9% | — | 63 |
| Castro Marim · 6a9465 | Active | €339,900 | €2,266 | 50.8% | 65 | 56 |
| Median comp | €394,950 | €2,908 | 36.9% | 45 | 60 |
Long-term rental The property in Monte Gordo is overpriced, with a significant gap of 58.5% between its listing price of €295,000 and the estimated fair value of €186,114. Given the low yield of 3.1% and the average condition and neighbourhood ratings, this investment may not attract reliable long-term tenants, compromising rental income stability. Buy-and-hold Acquiring this 2-bed house for €295,000, while attractive for location in the Algarve, is ultimately not prudent as it exceeds fair value by a substantial margin. The potential for appreciation in a tourism-driven market may not justify the high entry price, especially given the property’s average condition and surrounding amenities. Not ideal for This property, listed above fair value, is ill-suited for the luxury market due to its average ratings and conditions. Furthermore, the area may not sufficiently support student housing, which can limit the breadth of potential tenant demographics.
Potential tenant turnover risk The low tenant stability score of 50/100 indicates a risk of high tenant turnover, which could lead to increased vacancy rates and additional costs for the property owner.
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Comparables, condition and location workings, yield and time-to-sell. Written up and emailed to you.
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