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 house of 52 m². Located on travessa do Pinhal, Sagres parish, Vila do Bispo municipality, Faro district. Noteworthy Features: This residence includes a meticulously maintained courtyard and auxiliary courtyard, providing versatile outdoor living spaces to enjoy Sagres' pleasant climate and vibrant culture.
The valuation. The asking price of €420,000 exceeds the fair value of €202,174 by €217,826, representing an overvaluation of 107.7%. This pricing indicates that the property is overpriced in the current market context.
Fair value modelled at €202,174 from 6 comparable sales in the area. Asking €420,000 sits €217,826 (107.7%) above — overpriced versus fair value.
Asking €420,000 versus the travessa do Pinhal area baseline of €161,362 (€3,103/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 78/100 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 €161,362, adjusted for condition and micro-location, gives a modelled fair value of €202,174 (€3,888/m²), a €217,826 (107.7%) gap versus the €420,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| travessa do Pinhal | Subject | €420,000 | €8,077 | — | 80 | 71 |
| Sagres · b7c16f | Active | €700,000 | €10,448 | 29.4% | — | 73 |
| rua do Pinhal | Active | €575,000 | €2,847 | 64.8% | 70 | 71 |
| travessa do Pinhal S / N | Active | €575,000 | €2,833 | 64.9% | 68 | 68 |
| rua Dom Sebastião S / N | Active | €760,000 | €3,819 | 52.7% | 74 | 72 |
| Median comp | €637,500 | €3,333 | 58.7% | 70 | 72 |
Short-term vacation rental The property is overpriced at €420,000, significantly exceeding the fair value of €202,174, indicating a 107.7% gap that diminishes its appeal as a vacation rental in a seasonal tourism market. Additionally, a gross yield of 0% further confirms the financial infeasibility for this rental strategy, suggesting it may not generate sufficient income to justify the high purchase price. Long-term rental With the property's fair value at €202,174 and the current listing price reflecting a 107.7% premium, it is evident that the investment does not align with the long-term rental market trends in Sagres. Coupled with a low gross yield of 0%, this highlights the unlikelihood of yielding favorable returns under such an overvalued scenario. Value-add renovation Given the significant gap of 107.7% between the market listing and fair value, pursuing a value-add renovation strategy seems ill-advised for this property in Sagres. The 78/100 condition rating may suggest potential for improvement, but the excessive price point undermines the feasibility of achieving worthwhile returns through renovations. Not ideal for: The property is not suitable for student housing or the luxury market due to its overpriced nature and the lack of yield, which diminishes its overall investment viability.
Tenant turnover risk With both economic and tenant stability scores at 65/100, there is a heightened potential for tenant turnover which could lead to increased vacancy rates and decreased rental income.
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