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, 1-bathroom country_house of 175 m². Located Luz de Tavira e Santo Estévão parish, Tavira municipality, Faro district. Noteworthy features: The property includes a traditional bread oven within a warehouse, emphasizing its rural character, and boasts extensive sea views from the highest land elevation. Property type: Farm with enormous renovation potential.
The valuation. The asking price of €450,000 is significantly below the fair value of €546,589, making it undervalued by €96,589 (17.7%). This presents a solid opportunity for investment.
Fair value modelled at €546,589 from 6 comparable sales in the area. Asking €450,000 sits €96,589 (17.7%) below — the upside to fair value.
Asking €450,000 versus the Luz de Tavira e Santo Estévão, Tavira, Faro area baseline of €625,694 (€3,575/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 35/100 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 €625,694, adjusted for condition and micro-location, gives a modelled fair value of €546,589 (€3,123/m²), a €96,589 (17.7%) gap versus the €450,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Luz de Tavira e Santo Estévão · 38b68b | Subject | €450,000 | €2,571 | — | 25 | 59 |
| Luz de Tavira e Santo Estévão · 4b8e43 | Active | €410,000 | €3,445 | 34.0% | 60 | 51 |
| Luz de Tavira e Santo Estévão · e40aa2 | Active | €990,000 | €3,225 | 25.4% | 65 | 60 |
| rua Santo Estevao, 3 | Active | €350,000 | €2,333 | 9.3% | — | 62 |
| rua Amaro Gonçalves, 2 | Active | €179,000 | €1,201 | 53.3% | — | 63 |
| Median comp | €380,000 | €2,779 | 8.1% | 63 | 61 |
Long-term rental The property presents an attractive opportunity for long-term rental investments with a fair value significantly surpassing the listing price, creating a 17.7% gap that could enhance rental yield potential. With a gross yield of 4.2%, this investment appeals to tenants seeking quality accommodations in a growing region near Tavira. Short-term vacation rental Given its location in Algarve, a prime tourist destination, the property stands out for short-term vacation rental potential, especially as it is listed below its fair market value. The increasing tourism in the area positions this investment to capitalize on high occupancy rates and profitable rental returns.
Weak Economic and Tenant Stability With an economic stability score of 50/100 and a tenant stability score of 60/100, there is a heightened risk of fluctuating demand and potential difficulties in retaining tenants, which could lead to increased vacancy rates.
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Comparables, condition and location workings, yield and time-to-sell. Written up and emailed to you.
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