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.
2-bedroom, 1-bathroom country_house of 76 m², built in 1989, energy rating D. Located Loulé (São Clemente) parish, Loulé municipality, Faro district. Features: This property includes a rainwater cistern, a heat recovery system in the living room, and a productive agricultural land with various fruit trees and spacious dog kennels.
The valuation. The asking price of €787,500 is significantly above the fair value of €322,975, resulting in an excess of €464,525 (143.8%). This property is overpriced and does not present a sound investment opportunity. Buy-to-flip angle. A buy-and-flip strategy would require significant price reductions to attract buyers in a market where the property is perceived as overpriced. Quick renovations may not offset the high acquisition cost required for this investment. Buy-to-let angle. The estimated rental income is approximately €984 per month, yielding a gross return of 1.5%. Given the low yield, this strategy may struggle to generate sufficient cash flow against the high purchase price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Loulé (São Clemente) · 5e63a7 | Subject | €787,500 | €10,362 | — | — | 64 |
| calçada Portuguesa | Active | €1,750,000 | €6,757 | 34.8% | — | 70 |
| Loulé (São Clemente) · 4d4489 | Active | €1,750,000 | €6,757 | 34.8% | 78 | 64 |
| Loulé (São Sebastião) · ba582d | Active | €699,900 | €4,666 | 55.0% | 70 | 74 |
| rua de Vale Telheiro | Active | €629,000 | €3,534 | 65.9% | 72 | 71 |
| Median comp | €1,224,950 | €5,712 | 44.9% | 72 | 71 |
Short-term vacation rental The property is overpriced at €787,500, with a fair value of only €322,975, resulting in a gap of 143.8%. Given the low gross yield of 1.5%, potential returns on investment for short-term rentals are minimal, making this strategy unattractive. Buy-and-hold Investing in this property for long-term appreciation is questionable due to its significant overpricing, with a fair value of €322,975 compared to the asking price of €787,500. The high valuation combined with a low yield of 1.5% indicates that buy-and-hold investors may face challenges in capitalizing on property appreciation. Family rental As a family rental, this property is not a favorable investment due to its excessive price of €787,500 against a fair value of €322,975, illustrating a gap of 143.8%. With a gross yield of only 1.5%, the financial performance could deter families seeking affordable long-term rental options.
Economic volatility risk The economic stability score of 65/100 suggests potential fluctuations in market conditions, which could affect 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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