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 villa of 137 m², energy rating B. Located on rua Direita, Altura parish, Castro Marim municipality, Faro district. Noteworthy Features: This villa is equipped with solar panels and boasts a private 12 m² swimming pool, enhancing energy efficiency and outdoor leisure space.
The valuation. The asking price of €485,000 is €56,285 above the fair value of €428,715, indicating that the property is overpriced by 13.1%.
Fair value modelled at €428,715 from 6 comparable sales in the area. Asking €485,000 sits €56,285 (13.1%) above — overpriced versus fair value.
Asking €485,000 versus the rua Direita area baseline of €353,682 (€2,582/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 84/100 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 €353,682, adjusted for condition and micro-location, gives a modelled fair value of €428,715 (€3,129/m²), a €56,285 (13.1%) gap versus the €485,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| rua Direita | Subject | €485,000 | €3,540 | — | 92 | 60 |
| Castro Marim · 8935f2 | Active | €995,000 | €3,566 | 0.7% | 74 | 53 |
| Vila Nova de Cacela · 1f3705 | Active | €525,000 | €2,692 | 23.9% | 80 | 61 |
| Vila Nova de Cacela · 3a722b | Active | €545,000 | €2,080 | 41.2% | 75 | 63 |
| Vila Nova de Cacela · f46aea | Active | €498,000 | €4,016 | 13.4% | 85 | 58 |
| Median comp | €535,000 | €3,129 | 11.6% | 78 | 60 |
Short-term vacation rental This villa’s gross yield of 2.9% indicates that it may not generate significant short-term rental income, especially given its 13.1% gap above fair value at €485,000. Coupled with its lower condition score of 84/100 and an average neighborhood rating of 60/100, the potential for consistent short-term rentals appears limited. Long-term rental With a gap of 13.1% above fair value, the investment in this villa as a long-term rental is less attractive, generally resulting in lower return expectations. Additionally, the mixed rural-touristic nature of the location may lead to fluctuations in tenant flow, indicating higher risk for consistent occupancy. Buy-and-hold The premium price of €485,000, which stands at 13.1% above fair value, suggests that capital appreciation might not keep pace with investment costs over the long term. Furthermore, the mediocre neighborhood quality score of 60/100 raises concerns regarding long-term value retention and market demand dynamics. Not ideal for: The property is not suitable for student housing due to its demographic mismatch, lacks luxury market appeal due to its lower condition score, and is unsuitable for industrial investment given its residential nature and neighborhood characteristics.
Limited Market Growth The economic stability score is at 55/100, indicating a potential risk of slow local economic growth which may affect property appreciation and rental demand.
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Comparables, condition and location workings, yield and time-to-sell. Written up and emailed to you.
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