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.
6-bedroom, 6-bathroom country_house of 229 m², energy rating E. Located Bensafrim e Barão de São João parish, Lagos municipality, Faro district. Noteworthy Feature: The estate includes two agricultural and animal support outbuildings, enhancing its multifunctional potential for both personal and commercial endeavors across the expansive 4 hectares.
The valuation. The asking price of €975,000 is significantly below fair value of €1,772,342, indicating an opportunity in the market, totaling €797,342 (45.0%) underpriced. Buy-to-flip angle. A buy-to-flip strategy could capitalize on the property’s strengths and capitalize on the strong demand for upscale vacation homes. Buy-to-let angle. With a gross yield of 0%, a buy-and-hold approach targeting short-term vacation rentals can leverage the property's tourist attraction in the Algarve, generating future revenue.
Fair value modelled at €2,098,168 from 5 comparable sales in the area. Asking €975,000 sits €1,123,168 (53.5%) below — the upside to fair value.
Asking €975,000 versus the Bensafrim e Barão de São João, Lagos, Faro area baseline of €2,119,941 (€9,257/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 61/100 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 €2,119,941, adjusted for condition and micro-location, gives a modelled fair value of €2,098,168 (€9,162/m²), a €1,123,168 (53.5%) gap versus the €975,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Bensafrim e Barão de São João · 0ac90a | Subject | €975,000 | €4,258 | — | 54 | 73 |
| Bensafrim e Barão de São João · 25f476 | Active | €1,750,000 | €9,211 | 116.3% | 75 | 69 |
| Bensafrim e Barão de São João · 7e0cb3 | Active | €549,000 | €3,431 | 19.4% | 58 | — |
| Bensafrim e Barão de São João · 9568c7 | Active | €1,750,000 | €9,211 | 116.3% | 82 | 61 |
| Bensafrim e Barão de São João · 6d51e1 | Active | €1,750,000 | €9,162 | 115.2% | 82 | 73 |
| Median comp | €1,750,000 | €9,187 | 115.8% | 79 | 69 |
Short-term vacation rental The property presents a strong opportunity for short-term vacation rentals in an area heavily dependent on tourism, offering potential for high occupancy rates. With a fair value significantly higher than its listing price, this investment could capitalize on the booming tourist market in the Algarve. Buy-and-hold Investing in this property for a long-term hold could yield substantial capital appreciation as the market adjusts to its true value. Given the current gap of 45.0% below fair value, this strategy could provide a lucrative return as property values in the area rise over time. Family rental While the property is not designed for student housing or the luxury market, it could serve as an attractive family rental given the decent neighborhood quality and accessible amenities. Its listing price represents a favorable entry point into a neighbourhood with a good tenant quality rating, ensuring a steady rental income stream in the foreseeable future.
Economic Vulnerability The economic stability score of 65/100 indicates a moderate risk of downturns that could affect rental demand and property value.
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