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, 2-bathroom apartment of 136 m² on the 5th floor, built in 1996, energy rating D. Located on rua Doutor José Francisco Tello Queiroz, São Gonçalo de Lagos parish, Lagos municipality, Faro district. This apartment's top-floor location provides unobstructed views and abundant natural light, while the living space features a fireplace, enhancing its appeal for cozy gatherings.
The valuation. The asking price of €380,000 sits just above the fair value of €376,715, indicating a minimal premium of €3,285 (0.9%). This suggests that the property is fairly priced within the current market context. Buy-to-flip angle. A short-term vacation rental strategy could be implemented, leveraging the Algarve's strong tourism pull for profitable resale opportunities. With quality finishes and a desirable location, buyers could see upside potential in resale value. Buy-to-let angle. The estimated rental income of €1,710 per month translates to a gross yield of 5.4%. This attractive return is bolstered by the timeless demand for long-term rentals in this desirable tourist area.
Fair value modelled at €376,715 from 6 comparable sales in the area. Asking €380,000 sits €3,285 (0.9%) above — overpriced versus fair value.
Asking €380,000 versus the rua Doutor José Francisco Tello Queiroz area baseline of €337,366 (€2,481/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 79/100 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 €337,366, adjusted for condition and micro-location, gives a modelled fair value of €376,715 (€2,770/m²), a €3,285 (0.9%) gap versus the €380,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| rua Doutor José Francisco Tello Queiroz | Subject | €380,000 | €2,794 | — | 75 | 72 |
| São Gonçalo de Lagos · 4b98a1 | Active | €330,000 | €2,946 | 5.5% | 75 | 76 |
| São Gonçalo de Lagos · 1e6013 | Active | €385,000 | €2,070 | 25.9% | 73 | 71 |
| rua General Humberto Delgado | Active | €395,000 | €3,160 | 13.1% | 68 | 67 |
| rua das Gaivotas | Active | €300,000 | €2,419 | 13.4% | 72 | 64 |
| Median comp | €357,500 | €2,683 | 4.0% | 73 | 69 |
Short-term vacation rental The property presents a gross yield of 5.4%, appealing to investors seeking short-term rental income in the tourist-heavy Algarve region. However, given the fair valuation and modest gap of only 0.9%, the investment may not be optimal for maximizing short-term rental returns. Long-term rental With a fair value of €376,715, the property offers a sound long-term rental opportunity in a neighborhood scoring 72/100 for tenant quality. The stable yield of 5.4% suggests potential consistent cash flow, although the pricing limits significant appreciation upside. Buy-and-hold This three-bedroom apartment in São Gonçalo de Lagos holds potential as a buy-and-hold investment, supported by its respectable condition rating of 79/100. That said, the fair valuation indicates that investors should approach this asset with caution, as the modest price gap limits potential for substantial long-term value growth.
Potential Tenant Turnover The combination of an economic stability score of 65 and a tenant stability score of 70 suggests that there may be a moderate risk of tenant turnover, which could impact 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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