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, 0-bathroom villa of 383 m², built in 2024. Located Albufeira e Olhos de Água parish, Albufeira municipality, Faro district. This villa features a prime location just steps away from Albufeira Marina, coupled with a flexible lower level ideal for guest accommodation or potential rental income.
The valuation. The asking price of €2,200,000 is significantly above the fair value of €1,723,701, indicating an overvaluation of €476,299 (27.6%). A prudent investor should be cautious given the disparity between asking and fair value.
Fair value modelled at €1,723,701 from 6 comparable sales in the area. Asking €2,200,000 sits €476,299 (27.6%) above — overpriced versus fair value.
Asking €2,200,000 versus the Albufeira e Olhos de Água, Albufeira, Faro area baseline of €1,300,437 (€3,395/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 89/100 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 €1,300,437, adjusted for condition and micro-location, gives a modelled fair value of €1,723,701 (€4,501/m²), a €476,299 (27.6%) gap versus the €2,200,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Albufeira e Olhos de Água · f10cf2 | Subject | €2,200,000 | €5,744 | — | 85 | 70 |
| Albufeira e Olhos de Água · 1908d2 | Active | €680,000 | €4,444 | 22.6% | 75 | 62 |
| Albufeira e Olhos de Água · f14bdf | Active | €595,000 | €3,914 | 31.9% | 80 | 66 |
| rua da Bateria | Active | €2,000,000 | €16,000 | 178.5% | 80 | 71 |
| rua do Golfe S / N | Active | €1,449,000 | €4,557 | 20.7% | 75 | 71 |
| Median comp | €1,064,500 | €4,501 | 21.7% | 78 | 69 |
Short-term vacation rental The property's valuation at €2,200,000 suggests it is overpriced by 27.6% compared to the fair value of €1,723,701, which could hinder its potential as a profitable short-term vacation rental. With a gross yield of 0%, this investment does not align with the expectations for generating revenue in a market heavily reliant on tourism. Buy-and-hold Investing in this 4-bed villa for a buy-and-hold strategy appears unwise given its current listing price exceeds fair value by 27.6%. The lack of yield and the high price compared to the property’s fair value indicate a limited upside for long-term capital appreciation in the current market. Long-term rental At €2,200,000, the property is priced significantly above its fair value, creating a challenging scenario for a long-term rental strategy. With an absence of rental yield and the neighborhood scoring only 70/100, potential returns may not justify the high initial investment.
[Economic vulnerability] The low economic stability score of 55/100 indicates a potential risk of economic downturns impacting rental income and property value over time.
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Comparables, condition and location workings, yield and time-to-sell. Written up and emailed to you.
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