House in União das Freguesias de Querença, Tôr e Benafim

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Overview

0-bedroom, 0-bathroom house of 154 m², energy rating F. Located União das Freguesias de Querença, Tôr e Benafim parish, Loulé municipality, Faro district. Noteworthy Features: This property encompasses 2,000 m² of land with a breathtaking countryside view, adding potential for landscaping or agricultural use despite evident neglect and disrepair.

Financial Summary

The valuation. There are not enough comparable sales in this area yet to establish a reliable fair-value estimate.

Investment Thesis

Short-term vacation rental The property's proximity to the Algarve makes it an attractive option for short-term vacation rentals, tapping into a robust tourism sector. With a gross yield of 4%, it has the potential to generate steady income during peak travel seasons. Long-term rental Given the property's condition, securing long-term tenants could provide stability; however, the low condition rating of 15/100 suggests that initial renovations may be necessary. The neighbourhood rating of 62/100 indicates that tenants would find reasonable amenities and quality of living in the area. Buy-and-hold This property presents a buy-and-hold opportunity, especially for investors looking to capitalize on the long-term appreciation potential in a tourist-favored region. While immediate yields may be modest at 4%, the combination of a decent neighbourhood rating and potential for future development adds appeal for sustained investment.

Risks

Economic Vulnerability With an economic stability score of 55/100, there is a heightened risk of market fluctuations leading to financial instability for this property.

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