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 350 m², built in 1999, energy rating C. Located Porches parish, Lagoa municipality, Faro district. Noteworthy Features: This property boasts a unique Mediterranean-inspired architecture with Capote cladding, providing excellent thermal and acoustic insulation, and a picturesque rear balcony with distant sea views.
The valuation. The asking price of €945,000 is significantly below the fair value of €1,232,597, creating a discrepancy of €287,597 (23.3%). This suggests the property is underpriced and presents a compelling investment opportunity.
Fair value modelled at €1,232,597 from 6 comparable sales in the area. Asking €945,000 sits €287,597 (23.3%) below — the upside to fair value.
Asking €945,000 versus the Porches, Lagoa, Faro area baseline of €1,246,001 (€3,560/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 €1,246,001, adjusted for condition and micro-location, gives a modelled fair value of €1,232,597 (€3,522/m²), a €287,597 (23.3%) gap versus the €945,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Porches · 787ffa | Subject | €945,000 | €2,700 | — | 65 | 74 |
| Lagoa e Carvoeiro · a803b8 | Active | €545,000 | €3,516 | 30.2% | 78 | 74 |
| rua de Turiquintas | Active | €564,365 | €3,527 | 30.6% | 60 | 71 |
| Lagoa e Carvoeiro · 1f35d7 | Active | €425,000 | €3,269 | 21.1% | — | 65 |
| travessa das Escadinhas, 4 | Active | €780,000 | €3,900 | 44.4% | 72 | 70 |
| Median comp | €554,683 | €3,522 | 30.4% | 72 | 71 |
Short-term vacation rental With a fair value of €1,232,597, the property is currently listed at €945,000, indicating a significant opportunity for short-term vacation rentals in a prime Algarve tourism region. Despite a yield of 0%, the potential for appreciation and the attractive location can lead to strong long-term returns. Buy-and-hold The current listing price of €945,000 against a fair value of €1,232,597 suggests this property represents a strategic buy-and-hold investment in a growing area. Given the stable tourism-driven economy, investing now positions the buyer for future capital appreciation despite current low yields. Family rental At €945,000, this property is projected to appreciate, making it appealing for family rentals in a tourist-friendly region of the Algarve. The neighborhood's solid ratings, coupled with its growth potential, suggest that demand for family rentals will increase over time despite the currently low yield.
Economic Vulnerability The economic stability score of 60/100 indicates potential volatility in the market, which may affect long-term tenant retention 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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