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 apartment of 118 m². Located on rua do Caminho de Ferro, 44, Olhão parish, Olhão municipality, Faro district. Noteworthy Features: The apartment includes modern smart home technology with features like a smart lock and touch switches, enhancing security and convenience for residents or guests.
The valuation. The asking price of €360,000 is significantly above the fair value of €297,431, representing an overpricing of €62,569 (21.0%). Such a premium suggests that the property may not be a sound investment.
Fair value modelled at €297,431 from 6 comparable sales in the area. Asking €360,000 sits €62,569 (21.0%) above — overpriced versus fair value.
Asking €360,000 versus the rua do Caminho de Ferro, 44 area baseline of €265,648 (€2,251/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 78/100 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 €265,648, adjusted for condition and micro-location, gives a modelled fair value of €297,431 (€2,521/m²), a €62,569 (21.0%) gap versus the €360,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| rua do Caminho de Ferro, 44 | Subject | €360,000 | €3,051 | — | 74 | 57 |
| estrada de Quelfes | Active | €299,500 | €2,186 | 28.3% | 73 | 71 |
| Quelfes · 49b7b7 | Active | €290,000 | €2,589 | 15.1% | 74 | 60 |
| praça João de Deus, 26 | Active | €295,000 | €2,034 | 33.3% | 78 | 61 |
| rua António Henriques Cabrita em Olhão | Active | €309,000 | €2,687 | 11.9% | 72 | 69 |
| Median comp | €297,250 | €2,388 | 21.7% | 74 | 65 |
Short-term vacation rental The €360,000 listing price for this 3-bed apartment in Olhão exceeds the fair value of €297,431 by 21%, indicating it is overpriced for the short-term vacation rental market. Additionally, with a gross yield of only 4.2% which is relatively low for a tourist area in the Algarve, the potential returns may not meet investor expectations. Long-term rental With the property listed at €360,000 compared to a fair value of €297,431, it is clear that the investment is overpriced for long-term rental purposes. The moderate condition score of 78 and a neighborhood rating of 57 suggest that the property may struggle to attract quality tenants at this price. Buy-and-hold Considering the listing price of €360,000 is 21% above the fair value of €297,431, this property appears overpriced for a buy-and-hold investment strategy. Moreover, the combination of a 4.2% gross yield and seasonal tourism dynamics suggests limited potential for price appreciation over the long term. Not ideal for Student housing and luxury market focus are also not recommended due to the overpriced nature of the property and its contextual challenges within the market.
Economic Vulnerability The economic stability score of 50/100 indicates a high risk of market fluctuations that could affect rental income and property value.
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