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, 2-bathroom villa of 122 m², built in 2003, energy rating B. Located Albufeira e Olhos de Água parish, Albufeira municipality, Faro district. Noteworthy Features: The villa includes a basement area with potential for conversion into an independent two-bedroom apartment, enhancing its investment potential and living flexibility.
The valuation. The asking price of €390,000 sits slightly below the fair value of €401,480, reflecting a difference of €11,480 or 2.9%. Verdict: fair.
Fair value modelled at €401,480 from 5 comparable sales in the area. Asking €390,000 sits €11,480 (2.9%) below — the upside to fair value.
Asking €390,000 versus the Albufeira e Olhos de Água, Albufeira, Faro area baseline of €330,445 (€2,709/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 75/100 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 €330,445, adjusted for condition and micro-location, gives a modelled fair value of €401,480 (€3,291/m²), a €11,480 (2.9%) gap versus the €390,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Albufeira e Olhos de Água · 0acba6 | Subject | €390,000 | €3,197 | — | 70 | 73 |
| avenida dos Descobrimentos | Active | €695,000 | €4,696 | 46.9% | 75 | 72 |
| Albufeira e Olhos de Água · 5ecee0 | Active | €445,000 | €3,346 | 4.7% | 72 | 62 |
| Albufeira e Olhos de Água · 51cd4f | Active | €950,000 | €2,960 | 7.4% | 92 | 65 |
| rua Guerra Junqueiro | Active | €645,000 | €3,291 | 2.9% | 68 | 71 |
| Median comp | €670,000 | €3,319 | 3.8% | 74 | 68 |
Short-term vacation rental The villa's fair value of €401,480 signals that the current listing price of €390,000 is barely under market expectation, suggesting limited potential for immediate capital growth. With a 3.3% gross yield and located in a tourist-driven area of Albufeira, it could attract steady vacation rental income but might not capitalize on significant appreciation. Long-term rental With a fair value slightly above its listing price, the villa reflects a balanced investment opportunity in a region where the tourism economy supports consistent rental demand. However, the yield of 3.3% indicates modest returns, which may not fully offset the risk associated with potential fluctuations in tenant quality and demand. Buy-and-hold The property presents a fair investment option given its valuation near market averages, but its 3.3% gross yield suggests that it may not be a standout choice for long-term wealth accumulation. As tourism typically drives real estate values in the Algarve, holding this asset could provide stability, though appreciation may be slower than more favorable market conditions would require.
Economic Vulnerability The economic stability score of 65/100 suggests a potential risk due to moderate economic fluctuations affecting rental income and property value.
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