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 house of 140 m², built in 2007, energy rating C. Located Albufeira e Olhos de Água parish, Albufeira municipality, Faro district. Noteworthy Features: The property includes a versatile, oversized garage that can be transformed into a gym or games room, enhancing its appeal with added functionality beyond traditional parking space.
The valuation. The asking price of €680,000 is €53,561 (8.6%) above the fair value of €626,439. This suggests the property is fairly valued within the current market context.
Fair value modelled at €626,439 from 6 comparable sales in the area. Asking €680,000 sits €53,561 (8.6%) above — overpriced versus fair value.
Asking €680,000 versus the Albufeira e Olhos de Água, Albufeira, Faro area baseline of €511,710 (€3,655/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 €511,710, adjusted for condition and micro-location, gives a modelled fair value of €626,439 (€4,475/m²), a €53,561 (8.6%) gap versus the €680,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Albufeira e Olhos de Água · 57f890 | Subject | €680,000 | €4,857 | — | 76 | 73 |
| rua das Laranjeiras, 7A | Active | €1,197,500 | €7,484 | 54.1% | 73 | 70 |
| Ferreiras · 5da047 | Active | €549,000 | €3,921 | 19.3% | 75 | 73 |
| via do Infante | Active | €547,000 | €3,647 | 24.9% | 75 | 79 |
| rua do Golfe S / N | Active | €1,449,000 | €4,557 | 6.2% | 75 | 71 |
| Median comp | €873,250 | €4,239 | 12.7% | 75 | 72 |
Short-term vacation rental The property in Albufeira e Olhos de Água is positioned in a popular tourist area, which typically attracts seasonal visitors looking for short stays. With a gross yield of 2.8%, the potential for rental income is available, but the property’s fair value suggests it is priced fairly, restricting significant profit margins. Long-term rental Considering the employment landscape tied to tourism and hospitality, this property may attract long-term tenants seeking stability in an area that does have a decent amenity score. However, with the property being at fair value, the investment may not fully capitalize on the potential rental income growth. Buy-and-hold As a buy-and-hold strategy in Albufeira e Olhos de Água, the property benefits from a decent condition score of 78/100, suggesting it may retain value over time. Nevertheless, given its current fair valuation, there may be limited upside in capital appreciation as compared to other undervalued assets. Not ideal for student housing The property is not suited for student housing due to its location predominantly attracting tourists and vacationers rather than a stable student population. Additionally, the local economic conditions are closely tied to seasonal tourism, which may not support a steady stream of student tenants. Not ideal for luxury market With a fair value assessment and a relatively modest gross yield, this property does not align with luxury market expectations, which typically demand higher appreciation potential. Consequently, it may struggle to compete in a luxury segment where properties are expected to provide exceptional value and returns.
Economic Vulnerability With an economic stability score of 65/100, there is a risk of potential downturns affecting property value and rental income stability.
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Comparables, condition and location workings, yield and time-to-sell. Written up and emailed to you.
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