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.
2-bedroom, 1-bathroom apartment of 70 m². Located Montenegro parish, Faro municipality, Faro district. The property's transformation from two studios to a spacious two-bedroom apartment maximizes functionality and livability, making it an ideal space for both relaxation and investment in a prime location.
The valuation. The asking price of €750,000 is significantly above fair value, with a discrepancy of €504,453 or 205.4%. This property is overpriced based on its valuation of €245,547.
Fair value modelled at €245,547 from 5 comparable sales in the area. Asking €750,000 sits €504,453 (205.4%) above — overpriced versus fair value.
Asking €750,000 versus the Montenegro, Faro, Faro area baseline of €176,224 (€2,517/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 84/100 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 €176,224, adjusted for condition and micro-location, gives a modelled fair value of €245,547 (€3,508/m²), a €504,453 (205.4%) gap versus the €750,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Montenegro · a8038b | Subject | €750,000 | €10,714 | — | 82 | 61 |
| Almancil · 653018 | Active | €1,295,000 | €11,991 | 11.9% | 80 | 72 |
| Montenegro · 6a913e | Active | €449,000 | €3,508 | 67.3% | 75 | 65 |
| rua José Saramago | Active | €420,000 | €3,000 | 72.0% | 75 | 63 |
| Montenegro · 3d98bf | Active | €749,000 | €3,329 | 68.9% | 77 | 65 |
| Median comp | €599,000 | €3,419 | 68.1% | 76 | 65 |
Long-term rental The 2-bed apartment in Montenegro, Faro, is overpriced with a listing price significantly above its fair value, indicating little prospect for achieving a worthwhile return through long-term rental strategies. Additionally, with a gross yield of 0% and a neighborhood rating of only 61/100, the potential for sustainable long-term tenancy is limited. Short-term vacation rental The potential for converting this asset into a short-term vacation rental is diminished given its current pricing, as it is 205.4% over fair value and yields no gross income. The area's proximity to tourist attractions does not justify the significant premium on the asking price, limiting short-term profitability. Value-add renovation Despite the apartment's respectable condition score of 84/100, the current listing price renders a value-add renovation strategy impractical, as the property is valued at 205.4% over fair value. Any potential improvements would likely not sufficiently close the gap between its price and fair value, making this a non-viable investment opportunity.
Economic Volatility Risk With an economic stability score of 60/100, the property may face challenges from fluctuating market conditions that could affect rental income and property value.
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