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 country_house of 229 m², energy rating A. Located on travessa Primeiro de Dezembro, Albufeira e Olhos de Água parish, Albufeira municipality, Faro district. Noteworthy Features: The property includes a covered outdoor kitchen with a traditional barbecue and an elegant bioclimatic pergola, enhancing year-round outdoor living and entertaining potential.
The valuation. The asking price of €425,000 is significantly below fair value at €499,711, indicating an undervalued property by €74,711 (15.0%). Buy-to-flip angle. With a renovation strategy, this property can be flipped for a profit, leveraging its current asking price below market value. Buy-to-let angle. Given the estimated gross yield of 6.3% (~€2,231/month), a long-term rental strategy can ensure steady cash flow in this desirable tourist area.
Fair value modelled at €499,711 from 6 comparable sales in the area. Asking €425,000 sits €74,711 (15.0%) below — the upside to fair value.
Asking €425,000 versus the travessa Primeiro de Dezembro area baseline of €295,297 (€1,290/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 83/100 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 €295,297, adjusted for condition and micro-location, gives a modelled fair value of €499,711 (€2,182/m²), a €74,711 (15.0%) gap versus the €425,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| travessa Primeiro de Dezembro | Subject | €425,000 | €1,856 | — | 80 | 75 |
| rua Leonardo Coimbra, 2C | Active | €720,000 | €2,202 | 18.6% | 82 | 66 |
| Albufeira e Olhos de Água · 875090 | Active | €895,000 | €2,399 | 29.3% | 85 | 75 |
| Albufeira e Olhos de Água · 4680e8 | Active | €539,000 | €2,089 | 12.6% | 76 | 70 |
| rua Amato Lusitano, 5 | Active | €495,000 | €1,207 | 34.9% | 74 | 71 |
| Median comp | €629,500 | €2,146 | 15.6% | 79 | 71 |
Short-term vacation rental This property presents a promising opportunity for short-term vacation rentals, supported by a gross yield of 6.3% and its proximity to the tourist-heavy Algarve region. Given its condition rating of 83/100 and positive neighborhood rating of 75/100, this location could attract a steady stream of vacationers. Long-term rental With its competitive pricing at €425,000 compared to a fair value of €499,711, this property stands out as a viable option for long-term rental investment. The 6.3% gross yield reflects the potential for ongoing rental income while benefiting from the stable housing demand in the area. Family rental As an appealing choice for family rentals, this 3-bedroom property offers ample space and comfort, positioned well within a desirable neighborhood. The combination of a good condition score and ample amenities supports its attractiveness to families seeking a long-term rental in a scenic area like Albufeira. Not ideal for student housing This property is not suited for student housing, given its family-oriented layout and higher price point compared to typical student accommodations. The neighborhood dynamics and local amenities cater more towards families and vacationers rather than the student demographic. Not ideal for luxury market Entering the luxury market with this property is not advisable as its appeal lies in practicality over opulence, with a fair value significantly higher than the listing price. The identified neighborhood ratings reflect a comfortable living situation rather than a high-end market vibe. Not ideal for industry investment With an emphasis on tourism and family living, this property does not align with the needs for industry investment, which typically demands commercial space or lower residential prices. The current valuation also indicates a residential focus rather than potential for industrial development.
Economic fluctuations The property may face risks associated with its moderate economic stability score of 65/100, indicating potential challenges during economic downturns that could affect tenant occupancy and rental income.
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Comparables, condition and location workings, yield and time-to-sell. Written up and emailed to you.
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