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.
3-bedroom, 3-bathroom penthouse of 250 m², energy rating B. Located Lagoa e Carvoeiro parish, Lagoa municipality, Faro district. Noteworthy Features: This penthouse boasts a wraparound terrace that provides stunning views across the old town and a dual aspect fireplace enhancing the open living space's ambiance.
The valuation. The asking price of €450,000 sits significantly below the fair value of €748,352, indicating an undervalued property by €298,352 (39.9%). This presents an attractive opportunity for savvy investors.
Fair value modelled at €748,352 from 4 comparable sales in the area. Asking €450,000 sits €298,352 (39.9%) below — the upside to fair value.
Asking €450,000 versus the Lagoa e Carvoeiro, Lagoa, Faro area baseline of €602,197 (€2,409/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 81/100 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 €602,197, adjusted for condition and micro-location, gives a modelled fair value of €748,352 (€2,993/m²), a €298,352 (39.9%) gap versus the €450,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Lagoa e Carvoeiro · cc9c53 | Subject | €450,000 | €1,800 | — | 78 | 70 |
| rua Francisco L. M. Veloso | Active | €590,000 | €2,296 | 27.5% | 80 | 72 |
| Estômbar e Parchal · 62721f | Active | €305,000 | €3,211 | 78.4% | 76 | 65 |
| Estômbar e Parchal · 438eeb | Active | €395,000 | €2,782 | 54.5% | 78 | 73 |
| rua 16 de Janeiro, 7 | Active | €250,000 | €3,205 | 78.1% | 70 | 73 |
| Median comp | €350,000 | €2,994 | 66.3% | 77 | 73 |
Short-term vacation rental The property’s proximity to Algarve, a premier tourist destination, makes it an ideal candidate for short-term vacation rentals, despite its 0% gross yield. Given the fair value of €748,352 compared to the listing price of €450,000, the substantial 39.9% gap suggests strong potential for rental income in a market with high demand for tourist accommodations. Buy-and-hold Acquiring this penthouse presents an advantageous buy-and-hold opportunity, as its fair value indicates significant underlying appreciation potential. With a current listing price of €450,000 representing a 39.9% discount to fair value, investors can expect long-term capital gains as the housing market in Lagoa continues to develop. Family rental While the penthouse has a commendable condition rating of 81/100, it is positioned as a strong option for family rentals due to its spacious 250m² layout. The lower price point at €450,000, compared to the fair value of €748,352 highlights the opportunity for family-focused investors to secure a property with potential for stable tenant occupancy in an attractive neighbourhood.
Economic Vulnerability The property faces economic risks due to a relatively low economic stability score of 65/100 and a tenant stability score of 60/100, indicating potential fluctuations in rental income and tenant turnover.
Contributions are public and shown with the author's name and role. Links posted by users are not endorsed by Private Markets.
Log in to continue
Please log in or create an account to access this page.
No posts yet for this property.
Comparables, condition and location workings, yield and time-to-sell. Written up and emailed to you.
Log in to buy the report or use a credit
