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.
3-bedroom, 3-bathroom house of 163 m², built in 1983, energy rating C. Located Quelfes parish, Olhão municipality, Faro district. Garden with trees provides privacy, while the independent annex offers versatile usage options as a guest room or office, enhancing functionality for various lifestyles.
The valuation. The asking price of €515,000 sits €22,024 (4.5%) above the fair value of €492,976. This property is assessed as fair. Buy-to-flip angle. A buy-to-flip strategy could leverage the property’s quality finishes for a quick resale at a higher price, ideally following minor updates to enhance appeal. Buy-to-let angle. The estimated rental income of €1,373/month yields a gross return of 3.2%, making it a viable option for long-term rental or vacation stays in the tourist-friendly Algarve.
Fair value modelled at €492,976 from 6 comparable sales in the area. Asking €515,000 sits €22,024 (4.5%) above — overpriced versus fair value.
Asking €515,000 versus the Quelfes, Olhão, Faro area baseline of €379,454 (€2,328/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 78/100 is above the parish average, lifting 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 €379,454, adjusted for condition and micro-location, gives a modelled fair value of €492,976 (€3,024/m²), a €22,024 (4.5%) gap versus the €515,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Quelfes · 800368 | Subject | €515,000 | €3,160 | — | 80 | 59 |
| Quelfes · 99f3f9 | Active | €500,000 | €2,101 | 33.5% | 70 | 63 |
| Quelfes · 4d47d9 | Active | €650,000 | €2,500 | 20.9% | 75 | 67 |
| azinhaga da Patinha | Active | €570,000 | €3,000 | 5.0% | 73 | 73 |
| autoestrada EM516-2 | Active | €2,499,000 | €8,529 | 169.9% | 80 | 61 |
| Median comp | €610,000 | €2,750 | 13.0% | 74 | 65 |
Short-term vacation rental This property in Quelfes, Olhão, offers a modest gross yield of 3.2%, aligning with its fair value of €515,000, indicating that it may not maximize income potential for short-term rentals, especially given the seasonal shifts in tourism demand. The neighborhood's overall score of 59/100 reflects a need for improvement in amenities and tenant quality, making it less appealing for this strategy. Long-term rental With a fair value of €492,976, the property does not present significant opportunities for long-term rental profitability, given its gross yield of only 3.2%, which is relatively low for the market. The neighborhood’s 59/100 rating suggests that tenant quality may be average, potentially leading to higher vacancy risks over time. Family rental While this property is suitable for family rentals due to its size and location, the fair valuation of €515,000 indicates that it may not provide the anticipated returns as compared to other similar options on the market. Additionally, with a condition score of 78/100, there may be hidden costs associated with upkeep that could diminish its attractiveness for family occupants. Not ideal for luxury market As the property is listed at a fair value of €515,000, it does not appeal to the high-end luxury market, where properties typically command a premium. The local neighborhood's amenities are not aligned with luxury expectations, further supporting that this home is not positioned for that demographic. Not ideal for student housing The property’s appeal as student housing is limited, given the average tenant quality in the neighborhood reflected by a score of 59/100. The required affordability and community support for students may not be met effectively within this area. Not ideal for buy-and-hold Given the fair valuation of €515,000 and a low gross yield of 3.2%, this property does not present a sound buy-and-hold opportunity for long-term investors seeking appreciation. Additionally, the fluctuating seasonal demand in the Algarve may impact consistent rental income, further complicating the investment strategy.
Economic Instability Risk With an economic stability score of 45/100, there is a significant risk of declining property values and decreased rental demand in this area.
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