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 184 m² on the 3rd floor, built in 2006, energy rating C. Located Albufeira e Olhos de Água parish, Albufeira municipality, Faro district. The penthouse boasts spacious terraces over 60m², perfect for entertaining or relaxing, and includes a barbecue area, enhancing its outdoor living appeal.
The valuation. The asking price of €795,000 is significantly below the fair value of €1,065,263, indicating a potential discount of €270,263 (25.4%). This presents an attractive investment opportunity for buyers seeking value.
Fair value modelled at €1,065,263 from 5 comparable sales in the area. Asking €795,000 sits €270,263 (25.4%) below — the upside to fair value.
Asking €795,000 versus the Albufeira e Olhos de Água, Albufeira, Faro area baseline of €931,362 (€5,062/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 80/100 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 €931,362, adjusted for condition and micro-location, gives a modelled fair value of €1,065,263 (€5,789/m²), a €270,263 (25.4%) gap versus the €795,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Albufeira e Olhos de Água · e55457 | Subject | €795,000 | €4,321 | — | 83 | 79 |
| alameda License | Active | €900,000 | €7,143 | 65.3% | 72 | 61 |
| Albufeira e Olhos de Água · 4d469a | Active | €825,000 | €3,873 | 10.4% | 80 | 70 |
| Albufeira e Olhos de Água · be946c | Active | €530,000 | €4,818 | 11.5% | 76 | 63 |
| estrada de Albufeira S / N D | Active | €550,000 | €5,789 | 34.0% | 75 | 73 |
| Median comp | €687,500 | €5,304 | 22.7% | 76 | 67 |
Short-term vacation rental This 3-bed penthouse, with a fair value 25.4% higher than its listing price, presents a strong potential for generating significant income as a short-term vacation rental in the tourist-rich Algarve region. With housing demand peaking in this prime locale, investing now could yield favorable returns from vacationers seeking luxury accommodations. Long-term rental Given the increasing trend of retirees seeking long-term stays in the Algarve, this property could serve as an attractive option for renting to high-quality tenants. The current listing price, significantly below fair market value, positions this penthouse as a valuable asset for sustained rental income in a sought-after neighborhood. Buy-and-hold Acquiring this penthouse represents a strategic buy-and-hold investment, taking advantage of its underpriced valuation in a thriving location. With the anticipated appreciation driven by tourism and the appeal of the Algarve, this property is poised for long-term value growth and capital appreciation.
Economic Vulnerability With an economic stability score of 75/100, there is a notable risk of economic downturn impacting tenant incomes and, subsequently, rent payments.
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Comparables, condition and location workings, yield and time-to-sell. Written up and emailed to you.
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