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.
3-bedroom, 2-bathroom house of 82 m². Located Olhão parish, Olhão municipality, Faro district. This property boasts a spacious rooftop terrace with an outdoor kitchen, perfect for entertaining during warm summer evenings while enjoying stunning views of the historic neighborhood.
The valuation. The asking price of €580,000 is significantly above the fair value of €417,455, representing an overvaluation of €162,545 (38.9%). This disconnect indicates that the property is overpriced in the current market.
Fair value modelled at €417,455 from 5 comparable sales in the area. Asking €580,000 sits €162,545 (38.9%) above — overpriced versus fair value.
Asking €580,000 versus the Olhão, Olhão, Faro area baseline of €396,589 (€4,836/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 76/100 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 €396,589, adjusted for condition and micro-location, gives a modelled fair value of €417,455 (€5,091/m²), a €162,545 (38.9%) gap versus the €580,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Olhão · f46d43 | Subject | €580,000 | €7,073 | — | 74 | 62 |
| Olhão · 6a92c5 | Active | €529,000 | €7,779 | 10.0% | 78 | 66 |
| Olhão · 262065 | Active | €586,000 | €8,618 | 21.8% | — | 70 |
| avenida da Liberdade | Active | €980,000 | €4,804 | 32.1% | 74 | 68 |
| Olhão · 6a942f | Active | €280,000 | €5,091 | 28.0% | 70 | 58 |
| Median comp | €557,500 | €6,435 | 9.0% | 74 | 67 |
Short-term vacation rental While the Algarve location suggests favorable tourism demand, the property's gross yield of 2.4% indicates that it may not be well-positioned for short-term vacation rental success. Coupled with a 38.9% gap between its listing price and fair value of €417,455, this property appears overpriced for potential investors. Buy-and-hold The buy-and-hold strategy is hampered by the property's high listing price of €580,000 which greatly exceeds its fair market value, making long-term appreciation uncertain. With a neighborhood rating of 62/100, investors may face challenges in generating sufficient returns that justify this investment cost. Family rental Although the property is in a reasonably safe area, the high price tag of €580,000 positions it as overpriced for family rentals given its rental yield of just 2.4%. Families seeking rentals typically look for more competitive pricing, further diminishing the attractiveness of this house in the current market.
Economic vulnerability The low economic stability score of 55/100 indicates a higher risk of economic downturns affecting 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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