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, 4-bathroom house of 178 m². Located on rua das Violetas, 73, Montenegro parish, Faro municipality, Faro district. This property includes a closed garage and an office/guest room, providing additional versatility for living or working spaces in a growing suburb close to Faro.
The valuation. The asking price of €650,000 sits below the fair value of €793,528 by €143,528, indicating the property is underpriced at an 18.1% discount.
Fair value modelled at €793,528 from 6 comparable sales in the area. Asking €650,000 sits €143,528 (18.1%) below — the upside to fair value.
Asking €650,000 versus the rua das Violetas, 73 area baseline of €781,449 (€4,390/m²) for a median-condition unit of this size — the gap before quality adjustments.
AI Condition Index 68/100 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 €781,449, adjusted for condition and micro-location, gives a modelled fair value of €793,528 (€4,458/m²), a €143,528 (18.1%) gap versus the €650,000 asking price.
| Reference | Status | Price | €/m² | vs subject | Condition | Location |
|---|---|---|---|---|---|---|
| rua das Violetas, 73 | Subject | €650,000 | €3,652 | — | 62 | 58 |
| Montenegro · 2ce0e5 | Active | €797,000 | €3,527 | 3.4% | 68 | 63 |
| praceta Santos Stockler, 20 | Active | €865,000 | €3,289 | 9.9% | 70 | 57 |
| Montenegro · 51b494 | Active | €787,500 | €4,351 | 19.1% | 68 | 52 |
| rua Julio Dinis | Active | €750,000 | €5,208 | 42.6% | 72 | 61 |
| Median comp | €792,250 | €3,939 | 7.9% | 69 | 59 |
Long-term rental This property offers a stable long-term rental opportunity with a gross yield of 3.7%, making it suitable for generating consistent income in a suburban area near Faro. The fair value of €793,528 suggests potential for appreciation, especially given the growing demand for rentals in the Algarve region. Short-term vacation rental The proximity to Faro and the attractiveness of the Algarve as a tourist destination position this property well for short-term vacation rentals, leveraging the 18.1% gap from the fair value to maximize returns. With the neighborhood's amenities and tourism-dependent economy, this strategy could yield higher occupancy rates and profitability. Buy-and-hold Investing in this property for a buy-and-hold strategy may offer significant long-term gains due to its current listing price being below fair value, which indicates future appreciation potential. This aligns well with the ongoing demand in the Algarve's real estate market, particularly as tourism continues to thrive. Not ideal for the luxury market Although the property has its merits, its condition rating of 68/100 and neighborhood score of 58/100 suggest it wouldn’t meet the high standards typically sought after in the luxury market. This limits its attractiveness to affluent buyers looking for top-tier properties. Not ideal for student housing The suburban/rural location and the neighborhood’s tenant quality rating indicate that this property may not be optimal for student housing, as it lacks proximity to major educational institutions. Demand in this segment would likely be lower, given the focus on urban areas for student accommodation.
Economic Sensitivity Risk: With an economic stability score of 55/100, there is a considerable risk that downturns in the local economy could adversely affect rental income and property value.
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Comparables, condition and location workings, yield and time-to-sell. Written up and emailed to you.
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