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, 4-bathroom house of 212 m², energy rating D. Located Santa Bárbara de Nexe parish, Faro municipality, Faro district. Noteworthy Features: This villa includes a spacious south-facing terrace off the master suite, perfect for enjoying stunning panoramic sea views at sunset, and a large garage accommodating multiple vehicles.
The valuation. The asking price of €1,300,000 is significantly above the fair value of €980,786, indicating an overvaluation of €319,214 (32.5%). This suggests the property is overpriced relative to current market conditions. Buy-to-flip angle. A buy-to-flip strategy would require a thorough renovation to elevate the property’s appeal, but due to its current condition rating of 0/100, substantial investment is necessary to make it viable for resale. Buy-to-let angle. The estimated gross yield of 3.3% (~€3,575/month) is modest, reflecting the potential for stable rental income in a tourist-friendly area, suitable for both short-term vacation rentals and long-term leasing options.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Santa Bárbara de Nexe · a80c04 | Subject | €1,300,000 | €6,132 | — | — | 59 |
| caminho do Telheiro S / N | Active | €880,000 | €3,003 | 51.0% | 63 | 62 |
| Conceição e Estoi · 957016 | Active | €1,100,000 | €5,914 | 3.6% | — | 50 |
| Santa Bárbara de Nexe · 38b3cc | Active | €1,680,000 | €5,045 | 17.7% | 78 | 74 |
| Santa Bárbara de Nexe · ba59e5 | Active | €1,250,000 | €4,045 | 34.0% | 72 | 63 |
| Median comp | €1,175,000 | €4,545 | 25.9% | 72 | 63 |
Short-term vacation rental The property is overpriced at €1,300,000 compared to a fair value of €980,786, making it a less attractive option for short-term vacation rentals, especially given its 3.3% gross yield. The rural Algarve location is heavily influenced by seasonal tourism, which may further complicate profitability for a vacation rental investor. Long-term rental With a gap of 32.5% from fair value, the property’s listing price is unsustainable for a long-term rental strategy, especially with a yield of only 3.3%. The neighbourhood’s economic activity and tenant quality ratings suggest limited demand for long-term rentals at such a high price point, undermining any potential rental income expectations.
Economic Vulnerability The home's economic stability score of 50/100 suggests a considerable risk of market downturns impacting rental income and property value.
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Comparables, condition and location workings, yield and time-to-sell. Written up and emailed to you.
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