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 237 m², built in 1951. Located on travessa Parreira e Ladeira, Boliqueime parish, Loulé municipality, Faro district. Noteworthy Features: The property offers the potential to expand the gross construction area from 237 m² to 400 m², leveraging the unobstructed views over the landscape and distant sea.
The valuation. The asking price of €259,000 is significantly below the fair value of €522,058, resulting in a discount of €263,058 (50.4%). This presents an advantageous opportunity for potential investors seeking value.
Fair value modelled at €522,058 from 6 comparable sales in the area. Asking €259,000 sits €263,058 (50.4%) below — the upside to fair value.
Asking €259,000 versus the travessa Parreira e Ladeira area baseline of €753,357 (€3,179/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 25/100 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 €753,357, adjusted for condition and micro-location, gives a modelled fair value of €522,058 (€2,203/m²), a €263,058 (50.4%) gap versus the €259,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| travessa Parreira e Ladeira | Subject | €259,000 | €1,093 | — | 20 | 70 |
| caminho Agricola São Faustino | Active | €180,000 | €2,222 | 103.3% | — | 68 |
| Loulé (São Sebastião) · f5e9aa | Active | €131,000 | €2,183 | 99.8% | 18 | 76 |
| Loulé (São Sebastião) · ba5907 | Active | €131,000 | €2,183 | 99.8% | — | 64 |
| Loulé (São Sebastião) · 6d54eb | Active | €550,000 | €2,292 | 109.7% | 60 | 70 |
| Median comp | €155,500 | €2,203 | 101.5% | 39 | 69 |
Short-term vacation rental This property presents a significant opportunity for short-term vacation rentals, given its gross yield of 13.2% and the growing popularity of the Algarve as a tourist destination. The neighborhood score of 70/100 indicates decent amenities and tenant quality, making it appealing for holidaymakers. Buy-and-hold Investing in this property as a long-term hold could be beneficial, considering the fair value of €522,058 which highlights a substantial gap versus the listing price. While the current condition of 25/100 requires attention, future appreciation is likely as the housing demand in the Algarve continues to grow. Value-add renovation The potential for value-add renovations is evident, as the property's condition is rated at 25/100, allowing for significant improvements to enhance market value. A renovation could tap into the existing demand, ultimately bridging the 50.4% gap to fair value and increasing rental potential. Not ideal for student housing This location is not ideal for student housing, as the transient nature of tourism employment may not create a stable tenant base for long-term rentals. The property is better suited for investment strategies that cater to seasonal demand rather than ongoing student occupancy. Not ideal for luxury market The property does not meet the criteria for the luxury market, given its current condition and neighborhood rating. This limits potential buyers who are seeking high-end properties in the Algarve’s competitive landscape. Not ideal for long-term rental The dynamics of seasonal employment in tourism suggest that long-term rentals may face economic stability issues in this area. Consequently, this property would be less appealing for investors focused on securing stable, long-term revenue streams.
Economic and Tenant Risk: With both the economic stability and tenant stability scores at 65/100, there is a heightened risk of fluctuating income streams and rent collection challenges due to potential instability in the local economy and tenant base.
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