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.
4-bedroom, 4-bathroom house of 217 m², energy rating B. Located Lagoa e Carvoeiro parish, Lagoa municipality, Faro district. Noteworthy Features: The villa includes a rooftop terrace designed for leisure with panoramic sea views and a designated area for a fire pit, enhancing outdoor enjoyment year-round.
The valuation. The asking price of €1,990,000 is significantly higher than the fair value of €1,036,506, making this property overpriced by €953,494, or 92.0%. This discrepancy suggests limited investment appeal based on current market fundamentals.
Fair value modelled at €1,036,506 from 6 comparable sales in the area. Asking €1,990,000 sits €953,494 (92.0%) above — overpriced versus fair value.
Asking €1,990,000 versus the Lagoa e Carvoeiro, Lagoa, Faro area baseline of €866,381 (€3,993/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 €866,381, adjusted for condition and micro-location, gives a modelled fair value of €1,036,506 (€4,777/m²), a €953,494 (92.0%) gap versus the €1,990,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Lagoa e Carvoeiro · f46b6d | Subject | €1,990,000 | €9,171 | — | 85 | 70 |
| Lagoa e Carvoeiro · 0dcd9f | Active | €1,250,000 | €4,417 | 51.8% | 78 | 72 |
| Estômbar e Parchal · 93724d | Active | €1,299,000 | €4,811 | 47.5% | 78 | 72 |
| Lagoa e Carvoeiro · 6eb9d7 | Active | €995,000 | €3,699 | 59.7% | 80 | 72 |
| Estômbar e Parchal · 6ebb1c | Active | €735,000 | €4,742 | 48.3% | 80 | 74 |
| Median comp | €1,122,500 | €4,580 | 50.1% | 79 | 72 |
Short-term vacation rental The property in Lagoa e Carvoeiro is priced at €1,990,000, representing a significant 92.0% gap above its fair value of €1,036,506. With a gross yield of only 2%, the potential returns from short-term vacation rentals do not justify the current listing price, indicating it is overpriced. Long-term rental The attractive location in a known tourist region does not compensate for the shortfall in rental returns, given the property is priced considerably above its fair value. At a gross yield of only 2%, the long-term rental strategy appears unfeasible, confirming that this property is overpriced. Buy-and-hold While the amenities and condition scores are decent, the prevailing market price of €1,990,000 vastly exceeds the fair value of €1,036,506. With such a large valuation gap and a yield of just 2%, holding this property as a long-term investment seems imprudent, further establishing that it is overpriced.
Economic Vulnerability The economic stability score of 60/100 indicates a moderate risk, suggesting potential fluctuations in local economic conditions that could affect tenant demand and 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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