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 80 m² on the 1st floor. Located on rua Vila Nossa Senhora da Rocha, 16, Porches parish, Lagoa municipality, Faro district. Noteworthy Features: The apartment boasts an outdoor terrace with stunning garden views and is located within a tranquil 10-hectare estate featuring three luxurious swimming pools.
The valuation. The asking price of €400,000 is above the fair value of €372,308, resulting in a premium of €27,692 (7.4%). This property is considered to be fairly priced based on its current market condition. Buy-to-flip angle. Given the desirable location and high-quality materials, a buy-to-flip strategy could yield substantial returns by updating interiors and capitalizing on the flourishing tourist market. A short-term renovation could attract higher offers. Buy-to-let angle. The estimated rental income of €800 per month offers a gross yield of 2.4%, making it viable for long-term renters or as a short-term vacation rental due to the area's strong tourism appeal.
Fair value modelled at €372,308 from 6 comparable sales in the area. Asking €400,000 sits €27,692 (7.4%) above — overpriced versus fair value.
Asking €400,000 versus the rua Vila Nossa Senhora da Rocha, 16 area baseline of €350,685 (€4,384/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 75/100 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 €350,685, adjusted for condition and micro-location, gives a modelled fair value of €372,308 (€4,654/m²), a €27,692 (7.4%) gap versus the €400,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| rua Vila Nossa Senhora da Rocha, 16 | Subject | €400,000 | €5,000 | — | 74 | 72 |
| rua Vila Nossa Senhora da Rocha, 2D | Active | €500,000 | €5,000 | 0% | 80 | 73 |
| rua Vila Nossa Senhora da Rocha, 23B | Active | €450,000 | €4,500 | 10.0% | 76 | 73 |
| Armação de Pêra · 9388eb | Active | €299,000 | €4,983 | 0.3% | 73 | 65 |
| Armação de Pêra · 15e397 | Active | €380,000 | €3,918 | 21.6% | 73 | 66 |
| Median comp | €415,000 | €4,742 | 5.2% | 75 | 70 |
Short-term vacation rental The 1-bed apartment in Porches can appeal to short-term vacation rental investors due to its location in a popular tourist destination in the Algarve, despite its fair value indication. With a gross yield of 2.4%, the property maintains potential but may not meet the expectations for higher returns typically sought in this market segment. Buy-and-hold Investing in this property for a buy-and-hold strategy may yield stable income, given its fair condition rating of 75/100 and decent neighborhood score of 72/100. However, the gap from fair value at 7.4% suggests that investors should assess appreciating market conditions more carefully before making a long-term commitment. Long-term rental While the property could serve as a long-term rental, its 2.4% gross yield indicates limited upside for cash flow in this segment. The overall fair valuation of €400,000 alongside the average tenant quality of the area may prove challenging for sustained leasing success.
Economic Vulnerability A lower economic stability score of 65/100 suggests potential fluctuations in market conditions that could impact property value 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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