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 villa of 90 m². Located Ferragudo parish, Lagoa municipality, Faro district. Key Feature: The villa boasts a built-in BBQ and outdoor kitchen, strategically positioned by the private pool area, perfect for entertaining in the scenic Algarve climate.
The valuation. The asking price of €695,000 sits significantly above fair value of €500,972, creating a gap of €194,028 (38.7%). Based on this, the property is clearly priced above its market worth.
Fair value modelled at €500,972 from 6 comparable sales in the area. Asking €695,000 sits €194,028 (38.7%) above — overpriced versus fair value.
Asking €695,000 versus the Ferragudo, Lagoa, Faro area baseline of €464,062 (€5,156/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 €464,062, adjusted for condition and micro-location, gives a modelled fair value of €500,972 (€5,566/m²), a €194,028 (38.7%) gap versus the €695,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Ferragudo · 9d2955 | Subject | €695,000 | €7,722 | — | 78 | 74 |
| rua do Clube Carvoeiro S / N | Active | €695,000 | €6,376 | 17.4% | 75 | 72 |
| rua do Clube Carvoeiro S / N | Active | €695,000 | €6,376 | 17.4% | 78 | 68 |
| rua de Moçambique S / N | Active | €990,000 | €4,853 | 37.2% | 75 | 74 |
| Ferragudo · 3d9788 | Active | €1,050,000 | €5,412 | 29.9% | 85 | 75 |
| Median comp | €842,500 | €5,894 | 23.7% | 77 | 73 |
Short-term vacation rental Despite the draw of Ferragudo's tourist appeal, the property is overpriced with a 38.7% gap from fair value, significantly impacting potential returns. At a gross yield of only 1.9%, this villa may not attract short-term rental demand sufficient to justify its current listing price. Long-term rental The villa's high asking price creates a barrier for long-term renters, as the market valuation indicates a fair value of €500,972, emphasizing its overpriced status. With a neighborhood score of 74/100, the area is decent, but the unfavorable yield of 1.9% suggests that profitability could be compromised for long-term rental strategies. Family rental Although the villa's condition is rated 82/100, highlighting its livability, the significant price above fair value at €695,000 categorizes it as overpriced for family rental purposes. Families often seek value, and with a modest yield of 1.9%, this property may not meet budgetary expectations regardless of its proximity to local amenities.
Economic vulnerability The property is at risk due to a moderate economic stability score of 65/100, indicating potential susceptibility to economic downturns that could affect rental income.
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Comparables, condition and location workings, yield and time-to-sell. Written up and emailed to you.
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