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 223 m², energy rating C. Located Silves parish, Silves municipality, Faro district. Noteworthy features: The property includes an outdoor kitchen with laundry area and versatile support spaces like a small studio and game room, enhancing functionality and potential for various uses.
The valuation. The asking price of €370,000 sits below the fair value of €497,104, a difference of €127,104 (25.6%). This property is considered underpriced relative to its market value. Buy-to-flip angle. The strategy for resale involves renovating this 3-bed house to enhance its appeal and quality, leveraging the mixed neighborhood and improving the existing finishes for a more profitable flip. Buy-to-let angle. The estimated rental income of €2,282 per month suggests a strong gross yield of 7.4%, making this property a viable option for long-term rental, particularly in a tourist-heavy region like Algarve.
Fair value modelled at €497,104 from 6 comparable sales in the area. Asking €370,000 sits €127,104 (25.6%) below — the upside to fair value.
Asking €370,000 versus the Silves, Silves, Faro area baseline of €408,489 (€1,832/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 65/100 is below the parish average, reducing 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 €408,489, adjusted for condition and micro-location, gives a modelled fair value of €497,104 (€2,229/m²), a €127,104 (25.6%) gap versus the €370,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Silves · 15e1e2 | Subject | €370,000 | €1,659 | — | 65 | 70 |
| Silves · 262068 | Active | €165,000 | €1,833 | 10.5% | — | 68 |
| Silves · 49b91f | Active | €198,000 | €283 | 82.9% | — | 72 |
| rua da Horta | Active | €420,000 | €2,625 | 58.2% | — | 73 |
| rua de Poço Fundo | Active | €370,000 | €746 | 55.0% | 20 | 73 |
| Median comp | €284,000 | €1,290 | 22.3% | 20 | 73 |
Short-term vacation rental The property, with its attractive 7.4% gross yield, presents a strong opportunity for short-term vacation rentals given its location in Silves, a prime tourist destination in the Algarve. With the fair value significantly higher than the listing price, investors can capitalize on seasonal tourism trends while benefiting from the property's current pricing. Buy-and-hold Investing in this property aligns well with a buy-and-hold strategy due to its fair value being estimated at €497,104, implying a 25.6% potential appreciation over time. The solid condition rating of 65/100 alongside the appealing neighborhood scores suggests a stable investment for long-term growth. Long-term rental The property can serve effectively in a long-term rental strategy, supported by its favorable yield of 7.4% and relatively good neighborhood rating of 70/100. This investment is positioned well within the market, with the substantial gap between the listing price and fair value indicating strong potential for rental income stability amidst seasonal variations in the Algarve economy.
Economic Vulnerability The economic stability score of 65/100 indicates a moderate risk of market fluctuations that could impact property values and rental income, while the tenant stability score of 65/100 suggests potential instability in tenant retention, leading to possible vacancies and decreased cash flow.
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Comparables, condition and location workings, yield and time-to-sell. Written up and emailed to you.
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