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, 2-bathroom apartment of 111 m², energy rating B. Located Albufeira e Olhos de Água parish, Albufeira municipality, Faro district. Noteworthy Features: The apartment is part of a BREEAM-certified development, highlighting its commitment to sustainability in construction and design, along with excellent solar exposure and landscaped green areas.
The valuation. The asking price of €850,000 is significantly above the fair value of €541,125, representing a staggering €308,875 (57.1%) premium. This property is overpriced and fails to represent a sound financial opportunity for potential investors.
Fair value modelled at €541,125 from 5 comparable sales in the area. Asking €850,000 sits €308,875 (57.1%) above — overpriced versus fair value.
Asking €850,000 versus the Albufeira e Olhos de Água, Albufeira, Faro area baseline of €433,583 (€3,906/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 86/100 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 €433,583, adjusted for condition and micro-location, gives a modelled fair value of €541,125 (€4,875/m²), a €308,875 (57.1%) gap versus the €850,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Albufeira e Olhos de Água · 86cbce | Subject | €850,000 | €7,658 | — | 90 | 74 |
| rua dos Ibíscos | Active | €390,000 | €4,875 | 36.3% | 80 | 73 |
| Albufeira e Olhos de Água · 91140e | Active | €600,000 | €4,000 | 47.8% | 88 | 71 |
| estrada de Albufeira S / N D | Active | €550,000 | €5,789 | 24.4% | 75 | 73 |
| Albufeira e Olhos de Água · dee639 | Active | €350,000 | €4,730 | 38.2% | 75 | 72 |
| Median comp | €470,000 | €4,803 | 37.3% | 78 | 73 |
Short-term vacation rental The property’s price is 57.1% above fair value, making it an unattractive option for short-term vacation rental investments, where profitability is crucial. With a gross yield of only 2%, it fails to meet the financial benchmarks expected in this competitive market. Buy-and-hold At €850,000, the apartment is overpriced compared to its fair value of €541,125, diminishing the potential for long-term appreciation. This strategy lacks appeal given the current economic volatility in the tourist-centric region of Albufeira, where employment is heavily dependent on seasonal occupancy. Long-term rental The significant gap between the listing price and fair value indicates that the property is not a sound investment for long-term rental strategies, especially with only a 2% gross yield. In a neighbourhood that relies on a tourism-driven economy, this price point does not support the stability needed for sustained rental income.
Economic Vulnerability The property faces economic risk given a low economic stability score of 55, indicating potential susceptibility to market fluctuations that may affect rental income.
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