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, 5-bathroom villa of 390 m², built in 2016, energy rating A. Located on rua da Boa Nova Village, 13, Estômbar e Parchal parish, Lagoa municipality, Faro district. Noteworthy Features: The villa boasts a panoramic terrace with a jacuzzi that offers breathtaking views of the Atlantic Ocean and the Serra de Monchique, enhancing the outdoor living experience.
The valuation. The asking price of €3,267,000 is significantly above the fair value of €2,163,359, making it overpriced by €1,103,641 (51.0%). This property does not represent a viable investment opportunity based on its unrealistic valuation.
Fair value modelled at €2,163,359 from 6 comparable sales in the area. Asking €3,267,000 sits €1,103,641 (51.0%) above — overpriced versus fair value.
Asking €3,267,000 versus the rua da Boa Nova Village, 13 area baseline of €1,775,195 (€4,552/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 86/100 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 €1,775,195, adjusted for condition and micro-location, gives a modelled fair value of €2,163,359 (€5,547/m²), a €1,103,641 (51.0%) gap versus the €3,267,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| rua da Boa Nova Village, 13 | Subject | €3,267,000 | €8,377 | — | 93 | 74 |
| rua do Pestana Golf Resort | Active | €2,180,000 | €5,547 | 33.8% | 85 | 74 |
| Estômbar e Parchal · 19085a | Active | €2,180,000 | €5,547 | 33.8% | 81 | 73 |
| rua do Pestana Golf Resort | Active | €2,180,000 | €6,158 | 26.5% | 84 | 73 |
| urbanização Presa da Moura | Active | €1,749,000 | €7,257 | 13.4% | 82 | 70 |
| Median comp | €2,180,000 | €5,853 | 30.1% | 83 | 73 |
Short-term vacation rental The 5-bed villa in Estômbar e Parchal is overpriced, making it difficult to achieve a satisfactory yield of 1.3%. Given the local tourism boost, while demand is present, the excessive asking price may deter potential short-term rental guests. Buy-and-hold Investing in this villa as a long-term hold is challenged by its 51.0% price gap versus fair value, suggesting that future appreciation may not justify the purchase cost. The current overpriced status indicates risk for investors looking for stable returns in a growing market. Family rental At €3,267,000, this property is overpriced, limiting the potential for a reliable return in a family rental market characterized by moderate demand. Families seeking long-term rentals may find better value elsewhere given the current pricing pressures and yield expectations.
Tenant turnover risk The tenant stability score of 70/100 indicates a moderate risk of tenant turnover, which could lead to increased vacancy periods and associated costs.
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Comparables, condition and location workings, yield and time-to-sell. Written up and emailed to you.
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