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, 2-bathroom apartment of 155 m² on the 2nd floor, energy rating D. Located Algoz e Tunes parish, Silves municipality, Faro district. The apartment features a spacious 22 m² attic that offers versatile usage options, enhancing the overall functionality of the living space in addition to its generous room sizes.
The valuation. The asking price of €495,000 is significantly above fair value at €405,464, resulting in an overpricing of €89,536 (22.1%). This property is not aligned with market expectations based on its valuation. Buy-to-flip angle. A potential buy-to-flip strategy could involve renovating the apartment to enhance its appeal and then reselling it at a premium; however, given its current price, the profit margin may be limited. Buy-to-let angle. Given the absence of rental income and the estimated gross yield at 0%, transitioning to a long-term rental strategy could generate cash flow if the property is acquired at a lower price point while effectively targeting tourists.
Fair value modelled at €405,464 from 5 comparable sales in the area. Asking €495,000 sits €89,536 (22.1%) above — overpriced versus fair value.
Asking €495,000 versus the Algoz e Tunes, Silves, Faro area baseline of €398,410 (€2,570/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 76/100 is above the parish average, lifting fair value versus a typical-condition unit.
Recent nearby listings price below the wider parish average — a hyper-local discount distinct from the parish baseline.
Base gap of €398,410, adjusted for condition and micro-location, gives a modelled fair value of €405,464 (€2,616/m²), a €89,536 (22.1%) gap versus the €495,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Algoz e Tunes · cc9a34 | Subject | €495,000 | €3,194 | — | 73 | 63 |
| Algoz e Tunes · 8314b9 | Active | €495,000 | €3,867 | 21.1% | 74 | 72 |
| rua das Laranjeiras, 38 | Active | €339,000 | €2,080 | 34.9% | 70 | 68 |
| largo 1° de Dezembro, 1 | Active | €365,000 | €2,607 | 18.4% | 72 | 70 |
| Algoz e Tunes · 87503a | Active | €395,000 | €2,616 | 18.1% | 75 | 74 |
| Median comp | €380,000 | €2,612 | 18.2% | 73 | 71 |
Short-term vacation rental The current pricing of €495,000 for the 4-bed apartment in Algoz e Tunes exceeds the fair value estimate by 22.1%, suggesting it is overpriced for a short-term vacation rental strategy. With a gross yield of 0% and a neighborhood rating of 63/100, the return potential appears limited despite the area's presumed tourist-driven demand. Long-term rental At a listing price of €495,000, the property is not aligned with the fair value of €405,464, indicating it is overpriced for a long-term rental investment. The combination of a stagnant gross yield and mediocre neighborhood quality undermines the viability of this strategy in maximizing rental income. Buy-and-hold This apartment's asking price significantly surpasses its fair market value, rendering it overpriced for a buy-and-hold investment. With an overall condition score of 76/100, potential capital appreciation is overshadowed by a lack of rental yield and high initial acquisition costs.
Moderate Economic and Tenant Risk The property’s economic stability score is 55/100 and tenant stability score is 55/100, indicating potential instability in maintaining consistent rental income or property value due to fluctuating economic conditions and tenant turnover.
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