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.
7-bedroom, 8-bathroom house of 644 m², built in 2010, energy rating D. Located Almancil parish, Loulé municipality, Faro district. This property features a dedicated entertainment basement with a bar and game room, enhancing its appeal for social gatherings and family activities.
The valuation. The asking price of €2,900,000 sits below fair value of €4,016,924, indicating the property is underpriced by €1,116,924 (27.8%). This creates an advantageous opportunity for potential investors.
Fair value modelled at €4,016,924 from 4 comparable sales in the area. Asking €2,900,000 sits €1,116,924 (27.8%) below — the upside to fair value.
Asking €2,900,000 versus the Almancil, Loulé, Faro area baseline of €3,234,029 (€5,022/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 82/100 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 €3,234,029, adjusted for condition and micro-location, gives a modelled fair value of €4,016,924 (€6,237/m²), a €1,116,924 (27.8%) gap versus the €2,900,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Almancil · 0ac9ec | Subject | €2,900,000 | €4,503 | — | 85 | 71 |
| Almancil · 96c146 | Active | €2,900,000 | €4,662 | 3.5% | 76 | 73 |
| Almancil · e8361b | Active | €3,800,000 | €5,672 | 25.9% | 80 | 72 |
| Almancil · e552a9 | Active | €2,490,000 | €6,803 | 51.1% | 80 | 70 |
| Almancil · 828e9c | Active | €2,490,000 | €6,803 | 51.1% | 82 | 73 |
| Median comp | €2,695,000 | €6,238 | 38.5% | 80 | 73 |
Short-term vacation rental The property in Almancil, Loulé is well-positioned to capitalize on the thriving tourism market in the Algarve region, making it a strong candidate for short-term vacation rentals. With a fair value significantly exceeding the listing price, the potential for high returns on investment is compelling, particularly with a gross yield of 4%. Family rental While the property may not be ideal for families given the lack of focus on schools in the area, its spacious 7-bed layout could attract larger families seeking long-term rentals. Nonetheless, the competitive listing price relative to its fair value suggests that even if demand is limited, the property's financials remain attractive due to the current undervaluation. Buy-and-hold Investing in this property as a buy-and-hold strategy appears promising, given its relatively high fair value compared to the listing price and the stability of the Algarve rental market. The strong potential for appreciation, combined with the 4% yield, indicates a solid investment opportunity for those looking to leverage long-term growth. Not ideal for student housing Due to the limited focus on educational institutions in the region, the property does not lend itself well to the student housing market, which may hinder occupancy rates. Therefore, pursuing this strategy could lead to increased vacancy risks and decreased profitability. Not ideal for luxury market The property’s listing price does not align with attributes typically sought in the luxury housing market, which may limit its appeal to high-net-worth individuals. Marketing this property in that segment could result in a prolonged sales period and undesired financial outcomes.
Economic Vulnerability The economic stability score of 55/100 indicates a potential risk of economic downturns affecting rental income.
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Comparables, condition and location workings, yield and time-to-sell. Written up and emailed to you.
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