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.
5-bedroom, 5-bathroom villa of 250 m², built in 1990, energy rating E. Located Loulé (São Sebastião) parish, Loulé municipality, Faro district. The property boasts breathtaking views of the sea and mountains, along with a well-maintained garden and barbecue area, perfect for family gatherings and outdoor leisure.
The valuation. The asking price of €925,000 is significantly below the fair value of €1,241,339, creating an opportunity with a difference of €316,339 (25.5%). This property is clearly underpriced.
Fair value modelled at €1,241,339 from 5 comparable sales in the area. Asking €925,000 sits €316,339 (25.5%) below — the upside to fair value.
Asking €925,000 versus the Loulé (São Sebastião), Loulé, Faro area baseline of €1,123,367 (€4,493/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 67/100 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 €1,123,367, adjusted for condition and micro-location, gives a modelled fair value of €1,241,339 (€4,965/m²), a €316,339 (25.5%) gap versus the €925,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Loulé (São Sebastião) · 8000ff | Subject | €925,000 | €3,700 | — | 65 | 61 |
| largo Doutor Bernardo Lopes | Active | €2,150,000 | €4,965 | 34.2% | 65 | 77 |
| rua de Poço Geraldo | Active | €2,150,000 | €4,216 | 13.9% | 75 | 66 |
| caminho Covas da Areia | Active | €1,050,000 | €5,000 | 35.1% | 70 | 71 |
| rua Fernando Namora, 66 | Active | €925,000 | €4,793 | 29.5% | 70 | 63 |
| Median comp | €1,600,000 | €4,879 | 31.9% | 70 | 69 |
Short-term vacation rental The property in Loulé is well-suited for short-term vacation rentals, leveraging its proximity to the Algarve coast, where tourism demand remains high. With a fair value gap of 25.5%, this villa presents a promising opportunity for short-term rental yields that can enhance profitability beyond the current gross yield of 3.3%. Long-term rental Given the villa's competitive pricing relative to its fair value, it can attract long-term tenants seeking quality housing in desirable locations like Loulé. The villa's condition, rated 67/100, provides a solid foundation for maintaining tenant satisfaction while ensuring consistent rental income. Family rental This property is ideal for families looking for spacious living in a neighborhood that offers typical safety levels and access to essential amenities. The villa's 5 bedrooms and substantial living space cater perfectly to family needs while remaining competitively priced for the area, making it an attractive choice for long-term family rentals.
Moderate Economic Risk With an economic stability score of 55/100, the property may face challenges in maintaining its value due to potential fluctuations in the local economy.
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