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 apartment of 100 m² on the 3rd floor, built in 1992, energy rating E. Located Faro (Sé e São Pedro) parish, Faro municipality, Faro district. This apartment features a small balcony off one bedroom, enhancing outdoor space while providing functional utility as a private laundry area.
The valuation. The asking price of €345,000 is €15,290 (4.6%) above the fair value of €329,710, indicating that the property is fairly priced. Buy-to-flip angle. The intent to renovate and resell can be pursued given the high-quality finishes, allowing for a potential profit margin in a strong market. Buy-to-let angle. With a gross yield of 4.3%, renting out this property could generate an estimated €1,236/month, making it a viable long-term investment in a tourist-friendly location.
Fair value modelled at €329,710 from 6 comparable sales in the area. Asking €345,000 sits €15,290 (4.6%) above — overpriced versus fair value.
Asking €345,000 versus the Faro (Sé e São Pedro), Faro, Faro area baseline of €291,002 (€2,910/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 75/100 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 €291,002, adjusted for condition and micro-location, gives a modelled fair value of €329,710 (€3,297/m²), a €15,290 (4.6%) gap versus the €345,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Faro (Sé e São Pedro) · 2d844f | Subject | €345,000 | €3,450 | — | 72 | 66 |
| praça dos Cooperativistas | Active | €324,990 | €2,954 | 14.4% | 75 | 70 |
| Faro (Sé e São Pedro) · 16256f | Active | €450,000 | €4,091 | 18.6% | 78 | 71 |
| Faro (Sé e São Pedro) · 6d5230 | Active | €675,000 | €3,261 | 5.5% | 70 | 63 |
| praceta Pintor Lyster Franco, 3 | Active | €275,000 | €3,438 | 0.4% | 70 | 73 |
| Median comp | €387,495 | €3,350 | 2.9% | 73 | 71 |
Short-term vacation rental This 3-bed apartment in Faro presents a gross yield of 4.3%, aligning with the area's reliance on tourism, making it suitable for short-term vacation rentals. However, with a fair value gap of only 4.6%, the pricing may limit potential profitability in this competitive market. Buy-and-hold With fair pricing at €345,000 and consistent rental demand from the tourism sector, holding this property could yield stable, though modest, returns over time. The apartment's condition and average neighborhood rating suggest potential for steady tenancy, but growth may be constrained. Value-add renovation Given its current condition rating of 75/100, there is an opportunity for value-add renovations to enhance the property and justify a potential rent increase. However, the property is fairly priced, which may limit initial investment upside without significant renovations. Not ideal for student housing As the property is situated in a prime tourist area rather than in an academic zone, it is not well-suited for student housing. The prevailing rental market dynamics favor shorter-term stays over long-term academic leases. Not ideal for luxury market The apartment does not cater to the luxury market, with its fair valuation indicating limited potential for upscale buyers or renters. Its location in a neighborhood that is more average at 66/100 further confirms that it lacks the appeal necessary for high-end clientele.
Economic and Tenant Instability Risk With an economic stability score of 65/100 and a tenant stability score of 55/100, there is a heightened risk of fluctuations in rental income due to potential economic downturns and tenant turnover.
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