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, 3-bathroom house of 152 m², energy rating B. Located Albufeira e Olhos de Água parish, Albufeira municipality, Faro district. Noteworthy Features: The property boasts a spacious 55m² rooftop terrace with sea views, offering a unique outdoor space for relaxation and entertainment alongside its private garden.
The valuation. The asking price of €599,000 is significantly below the fair value of €839,229, representing a difference of €240,229 (28.6%). This indicates that the property is underpriced, providing an attractive opportunity for buyers. Buy-to-flip angle. A buy-to-flip strategy would capitalize on the underpricing by renovating the property to enhance its appeal, then reselling it at market value. Given the condition rating of 79/100, the potential for profit exists through targeted upgrades. Buy-to-let angle. The property can also serve as a buy-to-let investment, generating an estimated gross rental income of €2,146 per month. With a 4.3% gross yield, it offers a solid return in the popular Algarve region, appealing to short-term vacation rentals and long-term tenants.
Fair value modelled at €839,229 from 6 comparable sales in the area. Asking €599,000 sits €240,229 (28.6%) below — the upside to fair value.
Asking €599,000 versus the Albufeira e Olhos de Água, Albufeira, Faro area baseline of €711,134 (€4,679/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 79/100 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 €711,134, adjusted for condition and micro-location, gives a modelled fair value of €839,229 (€5,521/m²), a €240,229 (28.6%) gap versus the €599,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Albufeira e Olhos de Água · 6272cd | Subject | €599,000 | €3,941 | — | 75 | 65 |
| Albufeira e Olhos de Água · 49b8b4 | Active | €620,000 | €4,276 | 8.5% | 80 | 65 |
| Guia · 735628 | Active | €475,000 | €5,108 | 29.6% | 80 | 73 |
| rua 5 de Outubro, 39 | Active | €730,000 | €5,935 | 50.6% | 75 | 68 |
| Albufeira e Olhos de Água · b32b18 | Active | €3,100,000 | €9,366 | 137.7% | 85 | 72 |
| Median comp | €675,000 | €5,522 | 40.1% | 80 | 70 |
Short-term vacation rental The property is well-positioned for short-term vacation rentals due to its proximity to major Algarve tourist attractions, offering a strong potential demand. With a fair value of €839,229 and a listing price of €599,000, the significant gap suggests that this investment can yield attractive returns. Long-term rental Given the 4.3% gross yield and a fair value consideration, this property presents a compelling opportunity for long-term rental, particularly in a neighborhood that has decent amenities and proximity to leisure activities. The overall condition rating of 79/100 indicates potential for stable tenant occupancy and good rental income. Buy-and-hold Investing in this property aligns well with a buy-and-hold strategy, especially as it is currently priced at 28.6% below its fair value. This suggests that over time, as market dynamics change, the property is likely to appreciate significantly, providing an excellent appreciation opportunity for the investor.
Economic Exposure The property's economic stability score of 60/100 suggests a moderate risk of economic downturn affecting rental income, while the tenant stability score of 60/100 indicates a potential for inconsistent occupancy rates, making cash flow uncertain.
Contributions are public and shown with the author's name and role. Links posted by users are not endorsed by Private Markets.
Log in to continue
Please log in or create an account to access this page.
No posts yet for this property.
Comparables, condition and location workings, yield and time-to-sell. Written up and emailed to you.
Log in to buy the report or use a credit
