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.
1-bedroom, 1-bathroom apartment of 84 m² on the 1st floor, built in 2021, energy rating C. Located on rua da Torre Velha S / N, Albufeira e Olhos de Água parish, Albufeira municipality, Faro district. This exclusive development features two swimming pools with ocean views, lush garden landscapes, and is just a two-minute walk from the stunning Praia do Castelo.
The valuation. The asking price of €480,000 is €81,885 (20.6%) above the fair value of €398,115, making this property overpriced relative to its market potential.
Fair value modelled at €398,115 from 6 comparable sales in the area. Asking €480,000 sits €81,885 (20.6%) above — overpriced versus fair value.
Asking €480,000 versus the rua da Torre Velha S / N area baseline of €312,225 (€3,717/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 €312,225, adjusted for condition and micro-location, gives a modelled fair value of €398,115 (€4,739/m²), a €81,885 (20.6%) gap versus the €480,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| rua da Torre Velha S / N | Subject | €480,000 | €5,714 | — | 83 | 74 |
| Guia · 653043 | Active | €295,000 | €4,836 | 15.4% | 75 | 73 |
| Guia · be9125 | Active | €475,000 | €5,108 | 10.6% | 76 | 72 |
| estrada das Sesmarias | Active | €299,000 | €5,436 | 4.9% | 81 | 74 |
| Albufeira e Olhos de Água · 90da03 | Active | €390,000 | €4,063 | 28.9% | 75 | 73 |
| Median comp | €344,500 | €4,972 | 13.0% | 76 | 73 |
Short-term vacation rental The property is overpriced with a listing price of €480,000 compared to its fair value of €398,115, creating a 20.6% gap. Without a yield potential and given the seasonal nature of tourism in Albufeira, the returns from such an investment are not appealing. Buy-and-hold Acquiring this property as a buy-and-hold investment poses significant risks given its current overpricing and the absence of yield. The economic instability driven by seasonal employment trends further compromises long-term growth prospects. Long-term rental Investing in this property for long-term rental purposes is not advisable due to its overpriced status at €480,000, while the fair value stands at €398,115. The lack of yield and limited tenant quality in the area will hinder profitability in this strategy.
Economic Volatility Risk The economic stability score of 60/100 indicates potential vulnerability to economic fluctuations, which may impact tenant demand and rental income.
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Comparables, condition and location workings, yield and time-to-sell. Written up and emailed to you.
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