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, 5-bathroom villa of 346 m², built in 2009, energy rating B. Located Albufeira e Olhos de Água parish, Albufeira municipality, Faro district. This villa features an elegant separate dining room that can easily be transformed into a 5th bedroom, enhancing its versatility for families or guests.
The valuation. The asking price of €1,495,000 is significantly below fair value of €2,476,945, creating a gap of €981,945 (39.6%). Verdict: underpriced. Buy-to-flip angle. The resale strategy focuses on renovations to enhance property appeal for the lucrative vacation rental market, aiming for a quick turnover at a profit. Buy-to-let angle. Utilizing the property for short-term vacation rentals could yield a gross monthly income of approximately €2,616, achieving a gross yield of 2.1% in a thriving tourist area.
Fair value modelled at €2,476,945 from 6 comparable sales in the area. Asking €1,495,000 sits €981,945 (39.6%) below — the upside to fair value.
Asking €1,495,000 versus the Albufeira e Olhos de Água, Albufeira, Faro area baseline of €2,118,641 (€6,123/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 above the wider parish average — a hyper-local premium distinct from the parish baseline.
Base gap of €2,118,641, adjusted for condition and micro-location, gives a modelled fair value of €2,476,945 (€7,159/m²), a €981,945 (39.6%) gap versus the €1,495,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Albufeira e Olhos de Água · f14c67 | Subject | €1,495,000 | €4,321 | — | 80 | 71 |
| rua Sir Cliff Richard | Active | €2,000,000 | €8,511 | 97.0% | 88 | 75 |
| Guia · 956cb7 | Active | €4,250,000 | €8,383 | 94.0% | 90 | 76 |
| rua do Bem Parece | Active | €1,200,000 | €4,762 | 10.2% | 80 | 71 |
| rua 5 de Outubro, 39 | Active | €730,000 | €5,935 | 37.4% | 75 | 68 |
| Median comp | €1,600,000 | €7,159 | 65.7% | 84 | 73 |
Short-term vacation rental This property is well-positioned for the short-term vacation rental market, considering its proximity to Albufeira, a prime tourist destination in the Algarve region. With a fair value significantly higher than the listing price, there is considerable potential for returns through increased rental demand from visitors. Buy-and-hold Investing in this villa offers the opportunity for long-term capital appreciation, as its fair value suggests a robust increase over time. Owning property in a highly desirable tourist area like Albufeira e Olhos de Água can provide a reliable asset as market conditions continue to evolve favorably. Family rental The villa is suitable for a family rental strategy, as it offers ample space and a good condition rating, making it attractive for long-term tenants. The general neighborhood quality and amenities are conducive to family living, which further bolsters the investment's potential stability and demand.
Economic Vulnerability With an economic stability score of 60/100, there is a notable risk that fluctuations in the local economy could adversely affect property values and rental income potential.
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Comparables, condition and location workings, yield and time-to-sell. Written up and emailed to you.
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