First time property trip to the Algarve... and I was disappointed

[Brian Dellinger]

A friend and I visited the Algarve in December just to get a lay of the land. While I found the area sunny and beautiful, from a property standpoint, I was a bit disappointed at the offerings on the coast. The main areas (say from the Spanish border to central Algarve) seemed quite built up to the point it was hard to find a decently-priced view property. Once we got into the far western Algarve, the ocean views were astounding, but much of that land was public land not subject to development. The asking prices appeared to be a good bit higher than comparable property in the south of Spain. If I were to go back, I think I would try to look a few km off of the ocean, in the hills, to see if I could find some productive farm property that could earn an income yet still be a nice place to visit (and maybe rent out, if local rules allowed). This having been a first impression, perhaps I was being quite naive.

Does anyone have any thoughts?

 

[FWL]

Must say I am a little surprised that prices are relatively high in this area when you bear in mind Brexit and the number of UK expats in particular who have repatriated funds after the 2008 financial crisis. Is there significant demand pushing prices higher or is this just opportunism by real estate agents?

 

[Longterminvestor]

Same old story, the best areas get over commercialised and the original elements which attracted investors disappear.

 

[Natascha Hunt]

Property prices are picking up so you don't get absolute steals these days. As an Algarve resident of 20 years I would suggest definitely looking at areas that are slightly inland. I'm only talking maybe 10/15k, but you can get a property with stunning sea/panoramic views but at a great price, and they are just out of the hustle and bustle in tourist season but close enough for a 10 minute drive to the local beach. Perfect!

 

[Brian Dellinger]

Natascha: I like that idea. Had we had more time, that's what I would've liked to look at--something a bit more rural with a distant sea view.

 

[Brian Dellinger]

Thank you, Natascha. I intend to come to Isla Canela and stay for a few days this summer, so that would be the perfect opportunity.

 

[realdeals]

As long as you are within easy driving distance to the coast then you should be ok. Is there a chance the market may soften a little with Brexit still ongoing or are we still seeing Russian and Chinese investors picking up the slack left behind by UK expats?