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.
4-bedroom, 3-bathroom house of 178 m², built in 2001, energy rating D. Located on rua Cândido Guerreiro, São Gonçalo de Lagos parish, Lagos municipality, Faro district. Noteworthy Features: The villa boasts dual street entrances and a sunbathed garden that extends the living space, perfect for outdoor relaxation and entertaining throughout the day.
The valuation. The asking price of €680,000 is significantly above the fair value of €560,291, marking an overvaluation of €119,709 (21.4%). This suggests the property is overpriced for its current market conditions.
Fair value modelled at €560,291 from 6 comparable sales in the area. Asking €680,000 sits €119,709 (21.4%) above — overpriced versus fair value.
Asking €680,000 versus the rua Cândido Guerreiro area baseline of €540,257 (€3,035/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 75/100 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 €540,257, adjusted for condition and micro-location, gives a modelled fair value of €560,291 (€3,148/m²), a €119,709 (21.4%) gap versus the €680,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| rua Cândido Guerreiro | Subject | €680,000 | €3,820 | — | 70 | 73 |
| São Gonçalo de Lagos · 4bbf3a | Active | €999,950 | €3,876 | 1.5% | 78 | 65 |
| rua Jacques de Oliveira Neves | Active | €825,000 | €4,609 | 20.6% | 73 | 75 |
| São Gonçalo de Lagos · 956e96 | Active | €1,300,000 | €3,148 | 17.6% | 70 | 78 |
| São Gonçalo de Lagos · ba574b | Active | €1,300,000 | €3,148 | 17.6% | 72 | 78 |
| Median comp | €1,149,975 | €3,512 | 8.1% | 73 | 77 |
Short-term vacation rental Given the Algarve's status as a prime tourist destination, the property can attract seasonal travelers; however, the listing price is high compared to its fair value. The gross yield of 5% may not adequately compensate for the 21.4% premium over fair market prices, making this a less attractive investment. Long-term rental With a decent yield of 5%, this property might appeal to tenants looking for a long-term stay in a popular area; nevertheless, the 21.4% gap from fair value suggests an overvaluation. Investors should be cautious, as the rental income may not justify the property's purchase price in the long run. Buy-and-hold Holding this property for long-term appreciation in a neighborhood with decent ratings could be tempting, yet the overpricing at €680,000 raises concerns about future value growth. The gap of 21.4% from fair value threatens the investment's potential returns, placing it at risk in a volatile market.
Economic Volatility Risk The economic stability score of 60/100 suggests potential fluctuations in market conditions that could impact rental income and property value.
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