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.
2-bedroom, 1-bathroom apartment of 66 m² on the 2nd floor, energy rating B. Located on rua Quinta da Balaia, 3, Albufeira e Olhos de Água parish, Albufeira municipality, Faro district. This apartment features luxurious high-quality finishes in both the kitchen and bathroom, enhancing its modern aesthetic and reducing immediate maintenance requirements.
The valuation. The asking price of €399,000 is significantly above the fair value of €306,722, resulting in an overpricing of €92,278 (30.1%). This discrepancy suggests a lack of market competitiveness. Buy-to-flip angle. A buy-to-flip strategy would involve renovating this high-quality 2-bed apartment to enhance appeal, then targeting resale in a flourishing tourist market. This could realize a healthier return on investment post-improvement. Buy-to-let angle. For a buy-to-let strategy, the estimated rental income of €1,064/month yields a gross yield of 3.2%. However, the seasonal fluctuations in tourism could impact consistent cash flow from long-term tenants.
Fair value modelled at €306,722 from 6 comparable sales in the area. Asking €399,000 sits €92,278 (30.1%) above — overpriced versus fair value.
Asking €399,000 versus the rua Quinta da Balaia, 3 area baseline of €250,684 (€3,798/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 82/100 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 €250,684, adjusted for condition and micro-location, gives a modelled fair value of €306,722 (€4,647/m²), a €92,278 (30.1%) gap versus the €399,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| rua Quinta da Balaia, 3 | Subject | €399,000 | €6,045 | — | 80 | 71 |
| rua do Atlântico, 28 | Active | €335,000 | €4,467 | 26.1% | 75 | 74 |
| rua dos Ibíscos | Active | €390,000 | €4,875 | 19.4% | 80 | 73 |
| Albufeira e Olhos de Água · 19074c | Active | €369,000 | €4,731 | 21.7% | 75 | 72 |
| Albufeira e Olhos de Água · 3d9a76 | Active | €369,000 | €4,731 | 21.7% | 80 | 73 |
| Median comp | €369,000 | €4,731 | 21.7% | 78 | 73 |
Short-term vacation rental Given the strong tourist influence in Albufeira, the property may attract seasonal guests, but the high asking price of €399,000 is 30.1% above the fair value of €306,722, diminishing the potential for return on investment. With a gross yield of only 3.2%, the property fails to deliver an attractive short-term rental opportunity at this price point. Long-term rental The property’s appeal as a long-term rental is limited by its inflated listing price of €399,000, set significantly above the fair market value of €306,722, which constrains profitability prospects. Given the neighbourhood's average tenant quality and the 3.2% gross yield, this investment appears less attractive in both immediate cash flow and long-term appreciation potential. Buy-and-hold Acquiring this 2-bed apartment as a buy-and-hold investment is less compelling considering its valuation of €399,000, which exceeds the fair value of €306,722 by 30.1%. The modest yield of 3.2% and the property’s neighborhood score suggest limited appreciation potential, making this strategy less favorable at present.
Tenant turnover risk The tenant stability score of 62/100 indicates a potential risk of high tenant turnover, which could lead to increased vacancy rates and decreased rental income.
Contributions are public and shown with the author's name and role. Links posted by users are not endorsed by Private Markets.
Log in to continue
Please log in or create an account to access this page.
No posts yet for this property.
Comparables, condition and location workings, yield and time-to-sell. Written up and emailed to you.
Log in to buy the report or use a credit
