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 270 m², built in 1970, energy rating C. Located Lagoa e Carvoeiro parish, Lagoa municipality, Faro district. Noteworthy Features: This property includes two additional independent dwellings, offering potential for rental income or guest accommodations, enhancing its appeal in the competitive Algarve market. Location Highlights: Just a short drive to exquisite beaches and essential amenities, combining privacy with accessibility.
The valuation. The asking price of €1,300,000 is below the fair value of €1,513,043, indicating an opportunity in the market as it is underpriced by €213,043 (14.1%). Buy-to-flip angle. A remodel focusing on upgrading the lower-grade finishes could enhance market appeal, allowing for a profitable resale at a higher price point within a short timeframe. Buy-to-let angle. With a gross yield of 2.1%, the property can generate approximately €2,275/month by targeting short-term vacation rentals, capitalizing on high tourist interest in the Algarve coast.
Fair value modelled at €1,513,043 from 6 comparable sales in the area. Asking €1,300,000 sits €213,043 (14.1%) below — the upside to fair value.
Asking €1,300,000 versus the Lagoa e Carvoeiro, Lagoa, Faro area baseline of €1,433,956 (€5,311/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 68/100 is below the parish average, reducing 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 €1,433,956, adjusted for condition and micro-location, gives a modelled fair value of €1,513,043 (€5,604/m²), a €213,043 (14.1%) gap versus the €1,300,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Lagoa e Carvoeiro · e83523 | Subject | €1,300,000 | €4,815 | — | 65 | 74 |
| Estômbar e Parchal · 956ab9 | Active | €1,195,000 | €4,878 | 1.3% | 70 | 70 |
| Lagoa e Carvoeiro · 6d5568 | Active | €1,290,000 | €3,057 | 36.5% | — | 64 |
| rua do Pestana Golf Resort, 128 | Active | €1,100,000 | €5,556 | 15.4% | 75 | 72 |
| rua Areias dos Moinhos | Active | €1,265,000 | €6,487 | 34.7% | 78 | 71 |
| Median comp | €1,230,000 | €5,217 | 8.4% | 75 | 71 |
Short-term vacation rental This property is ideally situated in the Algarve, a region known for its high tourist interest, making it a prime candidate for short-term vacation rentals. With a relatively low fair value gap of 14.1%, the investment can yield a profitable return in a thriving tourist market. Buy-and-hold Given the economic stability tied to the tourism sector in this locality, this property represents a compelling buy-and-hold opportunity with a fair value exceeding the listing price. The property’s condition and neighborhood ratings suggest that over time, this investment will benefit from appreciation as the demand for quality housing continues to rise in the area. Long-term rental While the gross yield of 2.1% is modest, the property’s location in a tourist hotspot ensures a steady demand for long-term rentals throughout the year. The neighborhood's respectable ratings indicate a favorable environment for potential tenants, enhancing the property's rental appeal despite relatively fewer amenities and schooling options.
Economic Vulnerability With an economic stability score of 60/100, there is a moderate risk of economic downturns affecting the property's value and rental income.
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