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.
4-bedroom, 5-bathroom villa of 252 m², energy rating A. Located Lagoa e Carvoeiro parish, Lagoa municipality, Faro district. Noteworthy Features: The villa boasts an open-plan layout designed for maximum natural light and includes a state-of-the-art security system with CCTV and remote monitoring capabilities.
The valuation. The asking price of €1,990,000 exceeds the fair value of €1,601,266 by €388,734 (24.3%). This property is considered overpriced, suggesting a need for negotiation or reconsideration of investment potential.
Fair value modelled at €1,601,266 from 6 comparable sales in the area. Asking €1,990,000 sits €388,734 (24.3%) above — overpriced versus fair value.
Asking €1,990,000 versus the Lagoa e Carvoeiro, Lagoa, Faro area baseline of €1,487,762 (€5,904/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 84/100 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 €1,487,762, adjusted for condition and micro-location, gives a modelled fair value of €1,601,266 (€6,354/m²), a €388,734 (24.3%) gap versus the €1,990,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Lagoa e Carvoeiro · a4664c | Subject | €1,990,000 | €7,897 | — | 85 | 74 |
| rua de Vale do Milho | Active | €645,000 | €2,710 | 65.7% | 82 | 73 |
| Lagoa e Carvoeiro · 6c7a4c | Active | €2,990,000 | €7,456 | 5.6% | 92 | 68 |
| Lagoa e Carvoeiro · 65a5ae | Active | €1,100,000 | €4,000 | 49.3% | 80 | 73 |
| Lagoa e Carvoeiro · 96c4ef | Active | €1,250,000 | €5,252 | 33.5% | — | 71 |
| Median comp | €1,175,000 | €4,626 | 41.4% | 82 | 72 |
Short-term vacation rental The property’s price of €1,990,000 significantly exceeds its fair value of €1,601,266, indicating a potential risk for investors looking at short-term vacation rental returns. With a gross yield of only 1.5%, the high acquisition cost may not justify the expected rental income in a competitive market. Long-term rental Given the €1,990,000 listing price compared to a fair value of €1,601,266, this villa is positioned excessively high for the long-term rental strategy, likely limiting rental profitability. The gross yield of 1.5% suggests limited cash flow potential, making it less attractive for sustained investment. Buy-and-hold The significant gap of 24.3% between the listing price and the fair value suggests that this property is overpriced for a buy-and-hold strategy, jeopardizing long-term appreciation potential. With a condition score of 84/100 and a neighbourhood rating of 74/100, the property could face challenges in generating comparable returns to similar investments in the area.
Moderate Economic Risk The economic stability score of 55/100 indicates potential fluctuations in income streams, which could impact tenant retention 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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