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 house of 54 m². Located on rua das Freiras, Tavira (Santa Maria e Santiago) parish, Tavira municipality, Faro district. Noteworthy Features: The property features a private outdoor patio perfect for leisure moments and an upper panoramic terrace offering pleasant views of Tavira's charming landscape.
The valuation. The asking price of €265,000 is significantly above the fair value of €222,124, indicating an overpricing by €42,876 (19.3%). This suggests that potential buyers may want to negotiate more aggressively to reach a fair value. Buy-to-flip angle. A resale strategy targeting the vacation rental market could capitalize on Tavira's tourism focus; minor cosmetic upgrades might yield quick profits. This approach could maximize returns in the vibrant Algarve region. Buy-to-let angle. With an estimated gross yield of 4.4%, generating approximately €972 monthly, the property presents a viable long-term rental prospect. This stable income is bolstered by the area's consistent tourism influx, making it an attractive long-term hold.
Fair value modelled at €222,124 from 6 comparable sales in the area. Asking €265,000 sits €42,876 (19.3%) above — overpriced versus fair value.
Asking €265,000 versus the rua das Freiras area baseline of €182,891 (€3,387/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 77/100 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 €182,891, adjusted for condition and micro-location, gives a modelled fair value of €222,124 (€4,113/m²), a €42,876 (19.3%) gap versus the €265,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| rua das Freiras | Subject | €265,000 | €4,907 | — | 78 | 63 |
| rua Fernão de Magalhães, 34 | Active | €399,000 | €4,113 | 16.2% | 75 | 62 |
| Tavira (Santa Maria e Santiago) · a80a10 | Active | €399,000 | €4,483 | 8.6% | 74 | 57 |
| rua Fernão de Magalhães, 34 | Active | €399,000 | €4,113 | 16.2% | 72 | 74 |
| Tavira (Santa Maria e Santiago) · 8313a7 | Active | €399,000 | €4,113 | 16.2% | 75 | 70 |
| Median comp | €399,000 | €4,113 | 16.2% | 75 | 66 |
Short-term vacation rental The property’s current listing price of €265,000 exceeds the fair value by 19.3%, indicating that this investment may not yield the desired return. Additionally, the gross yield of 4.4% does not justify the premium cost in a competitive vacation rental market. Buy-and-hold While Tavira's strong tourism focus may suggest long-term potential, the property is overpriced at €265,000, significantly above its fair value of €222,124. Consequently, this strategy carries considerable risk with diminishing returns on capital appreciation. Long-term rental With a gross yield of 4.4%, the long-term rental strategy falls short given the property’s pricing at €265,000, which is not aligned with the fair market value. The neighbourhood's quality rating of 63/100 also indicates limited growth potential that does not support the current asking price.
Economic risk due to low stability With an economic stability score of 55/100, there is a heightened risk of market fluctuations adversely affecting the property's value.
Contributions are public and shown with the author's name and role. Links posted by users are not endorsed by Private Markets.
Log in to continue
Please log in or create an account to access this page.
No posts yet for this property.
Comparables, condition and location workings, yield and time-to-sell. Written up and emailed to you.
Log in to buy the report or use a credit
