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.
4-bedroom, 6-bathroom villa of 693 m², energy rating A. Located Almancil parish, Loulé municipality, Faro district. This villa features an infinity pool designed for panoramic views, and exquisite herringbone hardwood flooring throughout, enhancing its luxury appeal and contemporary aesthetic.
The valuation. The asking price of €8,350,000 sits significantly above the fair value of €6,300,884, indicating an excess of €2,049,116 (32.5%). This property is therefore considered overpriced. Buy-to-flip angle. A potential resale strategy could involve renovating the villa further to enhance its appeal, targeting high-end buyers, and capitalizing on the seasonal tourism in the Algarve region. Buy-to-let angle. With a rental income strategy focused on short-term vacation rentals, the villa's prime location near amenities suggests a high demand, although the current gross yield of 0% indicates an immediate vacancy or unoccupied status.
Fair value modelled at €5,799,470 from 5 comparable sales in the area. Asking €8,350,000 sits €2,550,530 (44.0%) above — overpriced versus fair value.
Asking €8,350,000 versus the Almancil, Loulé, Faro area baseline of €5,949,753 (€8,586/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 88/100 is above the parish average, lifting fair value versus a typical-condition unit.
Recent nearby listings price below the wider parish average — a hyper-local discount distinct from the parish baseline.
Base gap of €5,949,753, adjusted for condition and micro-location, gives a modelled fair value of €5,799,470 (€8,369/m²), a €2,550,530 (44.0%) gap versus the €8,350,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| Almancil · 0ace0b | Subject | €8,350,000 | €12,049 | — | 95 | 72 |
| Almancil · e54fc0 | Active | €3,950,000 | €8,369 | 30.5% | 85 | 71 |
| urbanização Fontalgarve | Active | €3,995,000 | €9,816 | 18.5% | 95 | — |
| Loulé (São Clemente) · 4d4204 | Active | €4,995,000 | €7,411 | 38.5% | 92 | 73 |
| Loulé (São Clemente) · 956c26 | Active | €4,995,000 | €7,411 | 38.5% | 95 | 72 |
| Median comp | €4,495,000 | €7,890 | 34.5% | 94 | 72 |
Long-term rental The 4-bed villa in Almancil, Loulé, is overpriced at €8,350,000 compared to its fair value of €6,300,884, which suggests a significant gap of 32.5%. With a gross yield of 0%, the investment does not present attractive long-term rental potential, making it a less favorable option in the current market. Short-term vacation rental Despite operating in a popular Algarve region conducive to seasonal tourism, the property's price of €8,350,000 exceeds its fair value by 32.5%. The anticipated return on investment through short-term vacation rentals is undermined by the lack of yield and high asking price, rendering this strategy less viable. Buy-and-hold Acquiring the villa as a buy-and-hold investment does not align with prudent investment principles due to its significant overpricing at €8,350,000 versus a fair value of €6,300,884. The absence of yield, combined with high costs, casts doubt on the long-term retention benefits of this asset in the current climate.
Economic Vulnerability The economic stability score of 65/100 indicates a moderate risk of economic downturns affecting property values and 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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