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.
5-bedroom, 1-bathroom palace of 261 m², energy rating F. Located Quelfes parish, Olhão municipality, Faro district. Noteworthy Features: This 1909 palace boasts an impressive original facade with an exterior staircase and distinctive decorative elements, reflecting its architectural heritage and potential for rehabilitation.
The valuation. The asking price of €650,000 sits €112,176 (14.7%) below the fair value of €762,176, indicating that this property is underpriced. It presents a strong investment opportunity given its current valuation relative to market conditions.
Fair value modelled at €762,176 from 5 comparable sales in the area. Asking €650,000 sits €112,176 (14.7%) below — the upside to fair value.
Asking €650,000 versus the Quelfes, Olhão, Faro area baseline of €707,826 (€2,712/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 55/100 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 €707,826, adjusted for condition and micro-location, gives a modelled fair value of €762,176 (€2,920/m²), a €112,176 (14.7%) gap versus the €650,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Quelfes · 76b462 | Subject | €650,000 | €2,490 | — | 48 | 61 |
| rua Henrique Pousão, 3 | Active | €350,000 | €2,991 | 20.1% | 62 | 62 |
| azinhaga da Patinha | Active | €570,000 | €3,000 | 20.5% | 73 | 73 |
| Quelfes · 7caa5b | Active | €318,000 | €1,071 | 57.0% | 70 | 64 |
| Olhão · c83a21 | Active | €549,000 | €2,920 | 17.3% | 76 | 63 |
| Median comp | €449,500 | €2,956 | 18.7% | 72 | 64 |
Long-term rental Given the property's fair value is set at €762,176 while it is currently listed for €650,000, this presents an opportunity for long-term rental, capitalizing on a 14.7% potential upside. The gross yield of 4% enhances its attractiveness in a neighborhood with decent tenant quality and amenities. Short-term vacation rental The competitive pricing at €650,000, against a fair value of €762,176, positions this property favorably for short-term vacation rental strategies, appealing to tourists seeking space and comfort. With the local tourist influence, the investment could yield attractive returns during peak seasons, despite seasonal employment dynamics in the economy. Buy-and-hold At €650,000, significantly below the fair value of €762,176, the buy-and-hold strategy makes sense for this property given its solid yield potential and decent neighborhood ratings. This long-term investment could appreciate over time while generating stable income, particularly in a region benefiting from tourist activity.
Economic Downturn Risk With an economic stability score of 55/100, there is a heightened risk of economic downturn impacting tenant retention and property value.
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Comparables, condition and location workings, yield and time-to-sell. Written up and emailed to you.
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