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, 3-bathroom apartment of 160 m² on the 1st floor, energy rating E. Located on rua de Vale Formoso, Paranhos parish, Porto municipality, Porto district. The apartment features large windows that enhance the openness and allow for ample natural light, creating a bright and inviting atmosphere throughout the living spaces.
The valuation. The asking price of €490,000 sits €28,658 (6.2%) above the fair value of €461,342. This indicates that the property is being marketed at a fair price but leaves little room for negotiation.
Fair value modelled at €461,342 from 6 comparable sales in the area. Asking €490,000 sits €28,658 (6.2%) above — overpriced versus fair value.
Asking €490,000 versus the rua de Vale Formoso area baseline of €406,354 (€2,540/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 77/100 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 €406,354, adjusted for condition and micro-location, gives a modelled fair value of €461,342 (€2,883/m²), a €28,658 (6.2%) gap versus the €490,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| rua de Vale Formoso | Subject | €490,000 | €3,063 | — | 74 | 75 |
| rua de Serpa Pinto | Active | €355,000 | €2,773 | 9.4% | 75 | 80 |
| Campanhã · 4a807e | Active | €224,500 | €2,993 | 2.3% | 80 | 69 |
| rua António Cândido | Active | €310,000 | €3,039 | 0.8% | — | 70 |
| rua do Amial | Active | €375,000 | €2,451 | 20.0% | 72 | 75 |
| Median comp | €332,500 | €2,883 | 5.9% | 75 | 73 |
Long-term rental The property is priced fairly at €490,000, with a fair value of €461,342, resulting in a 6.2% gap from the fair value. However, with a gross yield of 3.7%, the return may not fully compensate for the investment given the current market conditions. Buy-and-hold Investing in this apartment at the current price provides a fair valuation; however, the modest yield of 3.7% suggests limited upside potential over the holding period. The steady demand in central Porto could support price appreciation, but buyers need to weigh the risks against the marginal return. Short-term vacation rental The property’s fair listing aligns with market expectations, but at a gross yield of 3.7%, it may not offer the high return typically sought in short-term vacation rentals. While its location in central Porto is appealing, prospective investors should consider the competitive landscape and demand dynamics before committing. Not ideal for student housing Given its price and performance metrics, this property does not align well with the student housing market, despite Porto's robust demand. The overall valuation and yield predictions suggest that this apartment is better suited for different rental strategies, rather than targeting the student demographic.
Tenant turnover risk There may be a possibility of increased tenant turnover despite a high tenant stability score of 85/100, which could affect consistent rental income.
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Comparables, condition and location workings, yield and time-to-sell. Written up and emailed to you.
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