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 house of 106 m², energy rating D. Located on rua das Lagoas, Ferreiras parish, Albufeira municipality, Faro district. Noteworthy Features: The property boasts two exclusive private patios perfect for outdoor leisure and dining, complemented by an excellent solar exposure that ensures abundant natural light throughout the day.
The valuation. The asking price of €539,000 is positioned €40,071 (8.0%) above the fair value of €498,929, indicating that the property is priced at a reasonable level. The fair valuation supports a sound investment opportunity without the risk of significant overpricing.
Fair value modelled at €498,929 from 6 comparable sales in the area. Asking €539,000 sits €40,071 (8.0%) above — overpriced versus fair value.
Asking €539,000 versus the rua das Lagoas area baseline of €435,389 (€4,107/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 78/100 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 €435,389, adjusted for condition and micro-location, gives a modelled fair value of €498,929 (€4,707/m²), a €40,071 (8.0%) gap versus the €539,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| rua das Lagoas | Subject | €539,000 | €5,085 | — | 76 | 75 |
| via do Infante, 125 | Active | €575,000 | €6,053 | 19.0% | — | 80 |
| Albufeira e Olhos de Água · 57f890 | Active | €680,000 | €4,857 | 4.5% | 76 | 73 |
| Albufeira e Olhos de Água · a802ab | Active | €940,000 | €6,267 | 23.2% | 76 | 82 |
| rua do Golfe S / N | Active | €1,449,000 | €4,557 | 10.4% | 75 | 71 |
| Median comp | €810,000 | €5,455 | 7.3% | 76 | 77 |
Short-term vacation rental The property is ideally located in a central Algarve area popular with tourists, which could boost occupancy rates for a short-term vacation rental strategy. However, with a fair value of €498,929 and a listing price of €539,000, the appeal for potential returns through short-term rentals is limited as the yield stands at a modest 2.5% gross. Long-term rental While the property benefits from a decent neighborhood rating of 75/100, which suggests good tenant quality, the 2.5% gross yield indicates that it may not generate significant cash flow in the long term. Given the gap of 8.0% above fair value, the long-term rental strategy may not be fully optimized for return on investment. Buy-and-hold As a buy-and-hold investment, the property offers stable prospects due to the influence of tourism in the local economy, yet the current listing price exceeds the fair value, limiting immediate upside potential. The yield of 2.5% and the property condition rating of 78/100 indicates it may not capture significant long-term appreciation, aligning with a cautious investment outlook.
Economic Downturn Risk A moderate economic stability score of 65/100 indicates potential vulnerability to economic downturns that could impact rental income.
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