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 house of 105 m², built in 1974, energy rating E. Located Bensafrim e Barão de São João parish, Lagos municipality, Faro district. Noteworthy Features: The top-floor bedroom features access to a private terrace, ideal for outdoor relaxation and enjoying the charming Algarvian climate.
The valuation. The asking price of €275,000 is significantly below the fair value of €397,491, creating an opportunity priced at €122,491 (30.8% below fair market). This property is attractive due to its underpriced status.
Fair value modelled at €397,491 from 6 comparable sales in the area. Asking €275,000 sits €122,491 (30.8%) below — the upside to fair value.
Asking €275,000 versus the Bensafrim e Barão de São João, Lagos, Faro area baseline of €358,375 (€3,413/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 66/100 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 €358,375, adjusted for condition and micro-location, gives a modelled fair value of €397,491 (€3,786/m²), a €122,491 (30.8%) gap versus the €275,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Bensafrim e Barão de São João · 133a12 | Subject | €275,000 | €2,619 | — | 68 | 75 |
| rua do Rossio | Active | €380,000 | €3,040 | 16.1% | 75 | 62 |
| rua do Rossio | Active | €360,000 | €2,880 | 10.0% | 78 | 64 |
| Bensafrim e Barão de São João · ba5a89 | Active | €290,000 | €4,531 | 73.0% | 70 | 74 |
| Bensafrim e Barão de São João · 99f40d | Active | €310,000 | €1,422 | 45.7% | 42 | 65 |
| Median comp | €335,000 | €2,960 | 13.0% | 73 | 65 |
Short-term vacation rental The property showcases a compelling gap of 30.8% versus its fair value, making it an attractive option for short-term vacation rentals, particularly given the Algarve’s high tourist activity. With a gross yield of 5.2%, it presents a financially sound investment for those looking to capitalize on the booming rental market in this sought-after region. Buy-and-hold As this property is subvalued at €275,000 compared to a fair value of €397,491, it represents an appealing choice for a buy-and-hold strategy aimed at long-term appreciation. The positive neighborhood rating of 75/100 further supports potential growth in property value as demand continues in this popular tourist enclave. Family rental With a gross yield of 5.2% and a fair value gap indicating a favorable pricing scenario, the house is well-positioned for family rental strategies, especially given the stability of the local market in tourist regions. Additionally, its decent condition rating of 66/100 suggests it can attract reliable tenants looking for comfortable living in a family-friendly area. Not ideal for student housing Given the property’s context and the lack of industrial presence, it is not appropriately suited for student housing, as the demand dynamics favor family-oriented or vacation rentals over transient student populations. Not ideal for industrial investment The property’s location within a predominantly tourist area lacking industrial infrastructure means it is not suitable for industrial investment, thus limiting potential returns from such a strategy.
Economic Vulnerability The economic stability score of 65/100 indicates potential vulnerability to market shifts, which could impact rental income stability.
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
