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, 2-bathroom townhouse of 140 m², built in 2010, energy rating A. Located Lagoa e Carvoeiro parish, Lagoa municipality, Faro district. Noteworthy Features: This townhouse includes exclusive access to a natural lake and ocean backdrop, significantly enhancing its appeal for outdoor relaxation and recreational activities.
The valuation. The asking price of €545,000 is below the fair value of €610,694, indicating a positive upside potential of €65,694 (10.8%). This property is considered underpriced in the current market. Buy-to-flip angle. A buy-to-flip strategy could leverage the property’s high-quality finishes and appeal to investors, aiming for a quick resale in a thriving tourist area, potentially capitalizing on Algarve's demand spike. Buy-to-let angle. With an estimated gross yield of 3.2% and a rental income of approximately €1,453/month, this townhouse presents a favorable opportunity for long-term leasing, benefiting from stable tenant demand in the tourist-oriented economy of Lagoa.
Fair value modelled at €610,694 from 6 comparable sales in the area. Asking €545,000 sits €65,694 (10.8%) below — the upside to fair value.
Asking €545,000 versus the Lagoa e Carvoeiro, Lagoa, Faro area baseline of €497,073 (€3,551/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 €497,073, adjusted for condition and micro-location, gives a modelled fair value of €610,694 (€4,362/m²), a €65,694 (10.8%) gap versus the €545,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Lagoa e Carvoeiro · 2fcd5e | Subject | €545,000 | €3,893 | — | 80 | 72 |
| rua de Areias dos Moinhos | Active | €625,000 | €3,906 | 0.3% | 78 | 70 |
| Lagoa e Carvoeiro · f35ec8 | Active | €570,000 | €4,071 | 4.6% | 80 | 74 |
| Lagoa e Carvoeiro · f14e3f | Active | €1,490,000 | €4,038 | 3.7% | 82 | 65 |
| rua João Paulo II S / N | Active | €1,295,000 | €7,994 | 105.3% | 78 | 67 |
| Median comp | €960,000 | €4,055 | 4.2% | 79 | 69 |
Short-term vacation rental The property located in Lagoa e Carvoeiro has a fair value of €610,694, creating a 10.8% gap that suggests it is underpriced at €545,000. Its location near Algarve tourist attractions is likely to stimulate demand for short-term rentals, supporting a favorable yield of 3.2% gross. Long-term rental Given the property’s strong fair value assessment, it is an advantageous investment for long-term rental, especially considering the local tourist-oriented economy which can enhance tenant stability. The 3.2% gross yield underlines the potential for steady income generation over time. Buy-and-hold With an assessed fair value higher than the listing price, this townhouse is positioned well for a buy-and-hold strategy, allowing for future appreciation in a desirable tourist region. The property’s condition rating of 82/100 indicates it requires minimal immediate investment, making it a sound long-term hold. Not ideal for: Student housing, Luxury market, Industrial purposes
Potential tenant turnover The economic stability score of 60/100 suggests a moderate risk of economic fluctuations that could lead to increased tenant turnover, potentially impacting rental income.
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