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 house of 269 m², energy rating A. Located on rua da Guatemala, Quarteira parish, Loulé municipality, Faro district. Noteworthy Features: This villa includes a spacious outdoor dining area and lush garden, providing a tranquil escape perfect for entertaining while enjoying the Algarve climate.
The valuation. The asking price of €1,248,000 is only €12,396 (1.0%) above the fair value of €1,235,604, indicating that the property is reasonably priced. This positions it well within the market norms for properties of this caliber. Buy-to-flip angle. The potential resale strategy focuses on enhancing the property’s appeal, utilizing its high-end finishes to attract buyers in the thriving Algarve market. By capitalizing on the robust tourism sector, a quick turnaround could yield significant profit. Buy-to-let angle. With a gross yield of 4.4%, estimated rental income of €4,576 per month can provide a steady cash flow. This would effectively leverage the property’s location in a popular tourist area, catering to both short-term vacation rentals and long-term tenants.
Fair value modelled at €1,235,604 from 6 comparable sales in the area. Asking €1,248,000 sits €12,396 (1.0%) above — overpriced versus fair value.
Asking €1,248,000 versus the rua da Guatemala area baseline of €1,178,424 (€4,381/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 below the wider parish average — a hyper-local discount distinct from the parish baseline.
Base gap of €1,178,424, adjusted for condition and micro-location, gives a modelled fair value of €1,235,604 (€4,593/m²), a €12,396 (1.0%) gap versus the €1,248,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| rua da Guatemala | Subject | €1,248,000 | €4,639 | — | 85 | 68 |
| caminho das Searas, 16 | Active | €1,600,000 | €4,790 | 3.3% | 80 | 71 |
| rua da Inglaterra | Active | €1,950,000 | €3,645 | 21.4% | 85 | 66 |
| Quarteira · 9371f6 | Active | €699,000 | €4,396 | 5.2% | 78 | 71 |
| rua do Canadá | Active | €1,190,000 | €3,967 | 14.5% | 79 | 67 |
| Median comp | €1,395,000 | €4,182 | 9.9% | 80 | 69 |
Short-term vacation rental The property at €1,248,000 offers a gross yield of 4.4%, which aligns well with vacation rental performance in tourist-heavy areas like Quarteira. However, the slight price gap of 1.0% compared to fair value indicates that while it could generate stable income, it is not a compelling investment at this price point. Long-term rental With a fair value evaluation close to the listing price, the rental potential remains reasonable, suggesting that the property could attract consistent tenants looking for quality accommodation in the Algarve. The 4.4% gross yield reflects a viable option, although it doesn't present a significant upside opportunity for long-term growth at the current market pricing. Buy-and-hold Investing in this property as a buy-and-hold strategy is prudent due to its favorable gross yield of 4.4% and good condition rating of 85/100. Still, the close proximity of the listing price to fair value suggests that while it can serve as a solid long-term asset, prospective gains may be limited in the near term. Not ideal for student housing Given its family-oriented specifications and neighborhood score of 68/100, the property does not cater effectively to the student market, which typically seeks more affordable housing options. Additionally, its pricing above average for the locality limits its attractiveness to this demographic. Not ideal for luxury market Despite its appealing size and condition, the property is priced just fairly with respect to the market, indicating it does not meet the luxury sector's requirements for exclusivity and high-value investment. Consequently, it may struggle to attract luxury buyers who anticipate a significant return on their investment under current conditions.
Economic Vulnerability The economic stability score of 60/100 suggests a potential risk of downturn, which could adversely impact rental income and tenant retention.
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Comparables, condition and location workings, yield and time-to-sell. Written up and emailed to you.
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