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.
1-bedroom, 2-bathroom house of 115 m², energy rating B. Located on urbanização da Cerca, Alcantarilha e Pêra parish, Silves municipality, Faro district. This property features a spacious terrace ideal for outdoor gatherings and secure garage parking, both of which are rare finds in this area.
The valuation. The asking price of €480,000 sits €38,606 below the fair value of €518,606, indicating that the property is reasonably priced and aligns with market expectations for similar homes in the area.
Fair value modelled at €518,606 from 6 comparable sales in the area. Asking €480,000 sits €38,606 (7.4%) below — the upside to fair value.
Asking €480,000 versus the urbanização da Cerca area baseline of €471,388 (€4,099/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 76/100 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 €471,388, adjusted for condition and micro-location, gives a modelled fair value of €518,606 (€4,510/m²), a €38,606 (7.4%) gap versus the €480,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| urbanização da Cerca | Subject | €480,000 | €4,174 | — | 72 | 74 |
| rua António Mascarenhas Cochado, 2 | Active | €450,000 | €4,688 | 12.3% | 75 | 70 |
| urbanização da Cerca | Active | €469,000 | €4,510 | 8.0% | 74 | 70 |
| Alcantarilha e Pêra · 1441bc | Active | €469,000 | €4,510 | 8.0% | 73 | 72 |
| Alcantarilha e Pêra · 1908f9 | Active | €410,000 | €3,504 | 16.0% | 70 | 73 |
| Median comp | €459,500 | €4,510 | 8.1% | 74 | 71 |
Short-term vacation rental The property’s strong location in the Algarve makes it a viable option for short-term vacation rentals, especially given the seasonal influx of tourists. However, with a fair value determined at €518,606, purchasing at €480,000 provides only a small gap of 7.4%, suggesting limited immediate upside potential. Buy-and-hold Holding this 1-bed house in Alcantarilha e Pêra could yield consistent rental income, especially in a desirable tourist region like the Algarve, where demand remains steady. With a gross yield of 2.8%, the property's pricing aligns fairly with market conditions, offering modest returns over time without significant value appreciation. Value-add renovation The property, rated at 76/100 in condition, presents a potential opportunity for value-add renovation that could enhance attractiveness to future buyers or renters. However, the fair valuation of €480,000 limits the extent of potential profitability from renovation efforts, as it already sits at a reasonably assessed price point. Not ideal for student housing Given the location and tourist orientation of Alcantarilha e Pêra, this property does not present a suitable investment for student housing, which typically requires close proximity to educational institutions. The seasonal nature of the area may not support stable demand for student rentals. Not ideal for luxury market The 1-bed house, while in a desirable region, does not cater to the luxury market segment, which often seeks more expansive properties with premium amenities. Its pricing and offering would likely fall short of attracting high-net-worth individuals looking for exclusive opportunities. Not ideal for industrial investment The property’s classification as a residential house makes it unsuitable for industrial investment, which typically demands commercial-grade facilities located within designated industrial zones. Thus, the property does not align with the industrial sector's requirements for investment purposes.
Economic downturn risk A score of 70 in economic stability indicates a potential vulnerability to downturns, which could disrupt tenant demand and reduce rental income.
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