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 penthouse of 221 m² on the 4th floor, built in 2021, energy rating A. Located on rua Convento de São Francisco, São Gonçalo de Lagos parish, Lagos municipality, Faro district. The penthouse boasts an extraordinary private rooftop with modern jacuzzi, elegant pergolas, and a fully equipped summer kitchen, offering breathtaking views over Lagos for outdoor relaxation and entertainment.
The valuation. The asking price of €895,000 sits €145,000 (13.9%) below the fair value of €1,040,000, indicating that the property is underpriced relative to market expectations.
Fair value modelled at €1,040,000 from 5 comparable sales in the area. Asking €895,000 sits €145,000 (13.9%) below — the upside to fair value.
Asking €895,000 versus the rua Convento de São Francisco area baseline of €963,166 (€4,358/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 82/100 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 €963,166, adjusted for condition and micro-location, gives a modelled fair value of €1,040,000 (€4,706/m²), a €145,000 (13.9%) gap versus the €895,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| rua Convento de São Francisco | Subject | €895,000 | €4,050 | — | 86 | 66 |
| rua Maria Helena Vieira da Silva | Active | €495,000 | €3,808 | 6.0% | 80 | 70 |
| parque do Moínho | Active | €610,000 | €5,041 | 24.5% | 80 | 73 |
| rua Professor Jaime Aschemann Palhinha, 304 | Active | €570,000 | €4,318 | 6.6% | 75 | 74 |
| rua Raul Brandäo | Active | €1,100,000 | €6,748 | 66.6% | 85 | 71 |
| Median comp | €590,000 | €4,680 | 15.5% | 80 | 72 |
Short-term vacation rental The 3-bed penthouse in São Gonçalo de Lagos, listed at €895,000, presents a significant investment opportunity with a fair value of €1,040,000, marking a 13.9% gap. Given the location's appeal in the Algarve and robust tourism-driven economic activity, this property can yield a competitive return in the short-term rental market. Buy-and-hold Investing in this penthouse is strategic, considering its fair value of €1,040,000 compared to the listing price of €895,000, indicating it is currently subvalued by 13.9%. The overall condition rating of 82/100 and favorable tourism dynamics make it a solid asset for long-term appreciation. Family rental The property is well-suited for family rental given its spacious layout and favorable location, with a robust fair value of €1,040,000 compared to the asking price of €895,000. The neighbourhood's amenities and decent tenant quality further enhance its appeal for prospective family tenants, despite a current yield of 2.6%.
Economic Vulnerability The property may face economic downturns given its economic stability score of 65/100 and tenant stability score of 60/100, indicating potential challenges in maintaining consistent rental income.
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Comparables, condition and location workings, yield and time-to-sell. Written up and emailed to you.
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