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 villa of 297 m², built in 2005. Located Quarteira parish, Loulé municipality, Faro district. Noteworthy Features: The property includes a fully equipped outdoor kitchen and multiple leisure areas, perfect for entertaining and enjoying the Algarve's climate year-round.
The valuation. The asking price of €2,500,000 is slightly below the fair value of €2,743,008, indicating a difference of €243,008 (8.9%). This valuation suggests that the property is reasonably priced in the current market. Buy-to-flip angle. With strategic upgrades and a focus on high-end finishes, the buy-to-flip strategy could capitalize on the villa's appeal and proximity to the Algarve coast, targeting a resale price above the current asking price. Buy-to-let angle. The estimated rental income of €3,333 per month contributes to a gross yield of 1.6%, making it suitable for a buy-and-hold strategy that leverages the strong demand for short-term vacation rentals in the area.
Fair value modelled at €2,743,008 from 6 comparable sales in the area. Asking €2,500,000 sits €243,008 (8.9%) below — the upside to fair value.
Asking €2,500,000 versus the Quarteira, Loulé, Faro area baseline of €2,662,222 (€8,964/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 85/100 is above the parish average, lifting 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 €2,662,222, adjusted for condition and micro-location, gives a modelled fair value of €2,743,008 (€9,236/m²), a €243,008 (8.9%) gap versus the €2,500,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Quarteira · f46cfd | Subject | €2,500,000 | €8,418 | — | 82 | 70 |
| Quarteira · 938754 | Active | €3,300,000 | €9,851 | 17.0% | 76 | 64 |
| Quarteira · 6d5187 | Active | €2,600,000 | €8,075 | 4.1% | 80 | 73 |
| rua das Caraíbas | Active | €2,375,000 | €9,937 | 18.1% | 82 | 74 |
| Quarteira · 225cbb | Active | €2,375,000 | €8,333 | 1.0% | 76 | 64 |
| Median comp | €2,487,500 | €9,092 | 8.0% | 78 | 69 |
Short-term vacation rental This property in Quarteira, Loulé, leverages its prime location near the Algarve coast, making it attractive for short-term vacation rentals. However, with a gross yield of only 1.6%, the return on investment may not meet investor expectations in a competitive rental market. Buy-and-hold Considering the current valuation at €2,500,000 against a fair value of €2,743,008, this property presents a fair investment for a buy-and-hold strategy. Despite the modest yield, the potential for long-term appreciation exists due to ongoing tourism demand in the area. Long-term rental While this villa is positioned in a desirable tourist region, a gross yield of 1.6% suggests limited cash flow potential for long-term rentals. The fair valuation indicates that while the property is not overpriced, returns may be subdued compared to other investment options in the market.
Economic Vulnerability High economic instability rated at 65/100 suggests that local market fluctuations could negatively impact property values 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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