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.
2-bedroom, 1-bathroom apartment of 78 m² on the 1st floor, energy rating A. Located on rua 16 de Janeiro, 7, Lagoa e Carvoeiro parish, Lagoa municipality, Faro district. Noteworthy Features: The apartment includes a sunroom off the kitchen and a closed balcony in the larger bedroom, offering potential for a small office space.
The valuation. The asking price of €250,000 sits below the fair value of €285,133 by €35,133 (12.3%), indicating that the property is underpriced in the current market. This offers significant potential for appreciation.
Fair value modelled at €285,133 from 5 comparable sales in the area. Asking €250,000 sits €35,133 (12.3%) below — the upside to fair value.
Asking €250,000 versus the rua 16 de Janeiro, 7 area baseline of €248,734 (€3,189/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 77/100 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 €248,734, adjusted for condition and micro-location, gives a modelled fair value of €285,133 (€3,656/m²), a €35,133 (12.3%) gap versus the €250,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| rua 16 de Janeiro, 7 | Subject | €250,000 | €3,205 | — | 70 | 73 |
| Estômbar e Parchal · 62721f | Active | €305,000 | €3,211 | 0.2% | 76 | 65 |
| Estômbar e Parchal · 438eeb | Active | €395,000 | €2,782 | 13.2% | 78 | 73 |
| rua Jacinto Correia | Active | €329,000 | €3,656 | 14.1% | 78 | 69 |
| Lagoa e Carvoeiro · 86cd14 | Active | €697,000 | €5,667 | 76.8% | 85 | 69 |
| Median comp | €362,000 | €3,434 | 7.1% | 78 | 69 |
Short-term vacation rental\nThis property in Lagoa e Carvoeiro presents a strong opportunity for short-term vacation rentals due to the region's high tourist appeal and a gross yield of 4.4%. With a gap of 12.3% below the fair value of €285,133, it stands out as a promising investment for maximizing rental income during peak seasons.\n\nFamily rental\nAs a family rental, this apartment benefits from decent amenities and a favorable condition rating of 77/100, making it attractive for long-term tenants. The solid rental yield of 4.4% suggests reliable cash flow potential, especially in a location with high demand driven by seasonal employment.\n\nBuy-and-hold\nPurchasing this apartment for a buy-and-hold strategy aligns well with the Algarve’s robust housing market, offering both appreciation and rental income prospects. The property's valuation as 12.3% below fair value indicates a strategic entry point for investors looking to capitalize on future market growth.
Economic Volatility Risk The economic stability score of 65/100 indicates potential fluctuations in the local economy that may affect investment returns and tenant demand.
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Comparables, condition and location workings, yield and time-to-sell. Written up and emailed to you.
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