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.
2-bedroom, 1-bathroom villa of 109 m², energy rating G. Located Loulé (São Clemente) parish, Loulé municipality, Faro district. Noteworthy Features: This property includes an approved project for reconstruction and expansion, allowing for a customizable living space tailored to modern or traditional designs on a spacious plot.
The valuation. The asking price of €290,000 is significantly below the fair value of €330,637, representing a discount of €40,637 (12.3%), indicating the property is subpriced within the current market. Buy-to-flip angle. Given its condition rating of 37/100, a buy-to-flip strategy could focus on renovations to increase aesthetic appeal, targeting a resale price above €330,000 due to the underpricing. Buy-to-let angle. With an estimated gross yield of 6.1%, the property could generate approximately €1,474 per month, making it an attractive long-term rental option in a mixed neighborhood influenced by Algarve tourism.
Fair value modelled at €330,637 from 6 comparable sales in the area. Asking €290,000 sits €40,637 (12.3%) below — the upside to fair value.
Asking €290,000 versus the Loulé (São Clemente), Loulé, Faro area baseline of €355,621 (€3,263/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 37/100 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 €355,621, adjusted for condition and micro-location, gives a modelled fair value of €330,637 (€3,033/m²), a €40,637 (12.3%) gap versus the €290,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Loulé (São Clemente) · e3acb4 | Subject | €290,000 | €2,661 | — | — | 71 |
| Loulé (São Sebastião) · dc142d | Active | €650,000 | €3,023 | 13.6% | 20 | 69 |
| rua Sebastião Cordeiro, 14 | Active | €380,000 | €4,222 | 58.7% | — | 64 |
| Loulé (São Sebastião) · 1e6507 | Active | €199,500 | €2,660 | 0% | 15 | 62 |
| largo Doutor Bernardo Lopes | Active | €280,000 | €3,043 | 14.4% | 30 | 68 |
| Median comp | €330,000 | €3,033 | 14.0% | 20 | 66 |
Short-term vacation rental The 2-bed villa in Loulé is well-suited for short-term vacation rentals given its attractive market conditions and proximity to tourism, with a fair value nearly 12.3% higher than its listing price. The gross yield of 6.1% further supports the investment potential in this rental strategy, making it an appealing choice. Long-term rental The property's location in Loulé, with a neighbourhood score of 71/100, positions it well for long-term rentals, benefiting from consistent demand amid the fluctuating tourism employment landscape. With a current listing price of €290,000, there is an advantageous gap of 12.3% to its fair value, promising a sound investment for long-term rental income. Buy-and-hold Investing in this villa as a buy-and-hold strategy is bolstered by its current valuation, which stands at 12.3% below fair value, indicating potential for appreciation over time. Coupled with a modest gross yield of 6.1%, this property promises stable returns while allowing for capital growth in the thriving Algarve market.
Economic Vulnerability The property has a moderate economic stability score of 65/100, which indicates a potential risk due to economic downturns affecting tenant retention.
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Comparables, condition and location workings, yield and time-to-sell. Written up and emailed to you.
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