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 123 m², energy rating A. Located Lagoa e Carvoeiro parish, Lagoa municipality, Faro district. This property features a 36.05 m² terrace with unobstructed views of the sea and golf course, ideal for outdoor dining and relaxation in a prestigious gated community.
The valuation. The asking price of €697,000 is significantly above the fair value of €474,660, resulting in an overvaluation of €222,340 (46.8%). This property is overpriced and does not offer a compelling investment opportunity.
Fair value modelled at €474,660 from 6 comparable sales in the area. Asking €697,000 sits €222,340 (46.8%) above — overpriced versus fair value.
Asking €697,000 versus the Lagoa e Carvoeiro, Lagoa, Faro area baseline of €373,678 (€3,038/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 88/100 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 €373,678, adjusted for condition and micro-location, gives a modelled fair value of €474,660 (€3,859/m²), a €222,340 (46.8%) gap versus the €697,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Lagoa e Carvoeiro · 86cd14 | Subject | €697,000 | €5,667 | — | 85 | 69 |
| rua Jacinto Correia, 4 | Active | €455,000 | €4,063 | 28.3% | 80 | 70 |
| rua Jacinto Correia | Active | €329,000 | €3,656 | 35.5% | 78 | 69 |
| rua do Pestana Golf Resort, 226 | Active | €435,000 | €7,373 | 30.1% | 75 | 65 |
| Lagoa e Carvoeiro · 90d7a1 | Active | €435,000 | €3,063 | 45.9% | 75 | 74 |
| Median comp | €435,000 | €3,860 | 31.9% | 77 | 70 |
Long-term rental The property presents a gross yield of 1.6%, which is significantly below market expectations for rental investments, making it less attractive for long-term rental purposes. Additionally, with a fair value of €474,660, the property's asking price of €697,000 reflects a substantial 46.8% premium, indicating it is overpriced for the rental market. Holiday home Given its location along the Algarve coast, the property may attract buyers interested in holiday homes; however, its current price is considerably inflated. The listing of €697,000 exceeds the fair value by 46.8%, which could deter potential buyers looking for reasonable investment options in vacation properties. Value-add renovation While there may be potential for improvement given the condition rating of 88/100, the current listing significantly exceeds the fair value and limits the appeal for renovation projects. The 46.8% gap against fair value means that any renovation costs would likely not justify the overpriced entry point of €697,000. Not ideal for student housing The property is situated in a tourist-centric area rather than an academic hub, which does not support a student housing strategy. Furthermore, with a price 46.8% above fair value, the investment would not be justifiable in this context. Not ideal for industrial investment The property is residential and located in a predominantly tourist region, making it unsuitable for industrial investment strategies. Additionally, the high price of €697,000 diverges sharply from the fair value, leading to an unfavorable investment landscape.
Economic Vulnerability With an economic stability score of 55/100, the property may face challenges in maintaining consistent tenant demand, potentially leading to higher vacancy rates. This could be further exacerbated by a tenant stability score of 60/100, indicating a moderate risk of tenant turnover.
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Comparables, condition and location workings, yield and time-to-sell. Written up and emailed to you.
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