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.
1-bedroom, 1-bathroom apartment of 40 m², built in 1975, energy rating D. Located on rua Jardins da Balaia, 410, Albufeira e Olhos de Água parish, Albufeira municipality, Faro district. Noteworthy Features: This apartment boasts a west-facing balcony, offering stunning sunset views, and includes access to community amenities like a swimming pool and landscaped gardens.
The valuation. The asking price of €285,000 is significantly above the fair value of €198,226, resulting in an overvaluation of €86,774 (43.8%). This property is priced unsustainably for both the market and condition level.
Fair value modelled at €198,226 from 6 comparable sales in the area. Asking €285,000 sits €86,774 (43.8%) above — overpriced versus fair value.
Asking €285,000 versus the rua Jardins da Balaia, 410 area baseline of €186,689 (€4,667/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 62/100 is below the parish average, reducing 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 €186,689, adjusted for condition and micro-location, gives a modelled fair value of €198,226 (€4,956/m²), a €86,774 (43.8%) gap versus the €285,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| rua Jardins da Balaia, 410 | Subject | €285,000 | €7,125 | — | 67 | 64 |
| Albufeira e Olhos de Água · 15e2ba | Active | €285,000 | €4,750 | 33.3% | 60 | 76 |
| avenida Sá Carneiro, 1 | Active | €250,000 | €4,310 | 39.5% | 72 | 67 |
| rua do Atlântico, 33 | Active | €290,000 | €4,531 | 36.4% | 70 | 65 |
| avenida Privilegiada de Albufeira | Active | €350,000 | €7,609 | 6.8% | 70 | 69 |
| Median comp | €287,500 | €4,641 | 34.9% | 70 | 68 |
Long-term rental The property is priced at €285,000, which is 43.8% above the fair value, suggesting it is not a compelling option for long-term rental investments. With a gross yield of only 3.7% and a condition rating of 62/100, this investment does not align with the ideal criteria for sustainable rental income in the current market. Short-term vacation rental Given its listing price significantly exceeds fair value at €285,000, the potential for short-term vacation rental success is diminished. The gross yield of 3.7% paired with a less than optimal condition rating implies that this property may struggle to generate sufficient returns compared to better-valued alternatives. Buy-and-hold While the property is located in a desirable tourist area in Algarve, its listing price of €285,000 represents a substantial overvaluation compared to the fair market value of €198,226. Consequently, holding onto this property may not yield the expected long-term appreciation that investors typically seek in this market. Not ideal for: Student housing, Luxury market This property, due to its overvaluation and only moderate condition rating, is not suitable for the student housing market, which typically benefits from more affordable pricing. Additionally, its characteristics do not align with the luxury market requirements, limiting its appeal to those investment sectors.
Economic Vulnerability The property has an economic stability score of 55/100, indicating a higher risk of economic downturns affecting rental income. Tenant Instability With a tenant stability score of 60/100, there is a significant chance of tenant turnover, leading to potential vacancy and loss of revenue.
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