T2 | Alfama | AL Licensed

2 Bedroom Apartment with Local Accommodation License in the Heart of Alfama – Lisbon

Savvy investors know: achieving a 7% annual yield often means stepping outside the city centers. In Lisbon, Cascais, and other prime areas that grow in commercial value year after year, a 5% return is already considered a great deal. But this one? We’re talking 10% net.

Let’s break it down:

The property price is 323.000€, and the estimated annual revenue from short-term rentals through platforms like Airbnb is around 70.000€. That’s a 21% gross yield — and even after deducting taxes, management, and maintenance costs, the net return remains around 10%.

Now, beyond the numbers: Alfama is Lisbon’s soul. It’s the kind of place every Portuguese should wander more often — away from the daily rush, the traffic, or the long weekends abroad — to rediscover the magic of their own land. Cobblestone alleys, the sound of Fado, and the scent of grilled sardines in the air. A reminder that true value is timeless.

Meanwhile, you enjoy a steady income stream from a property fully licensed for short-term rental (AL), beautifully renovated, tastefully decorated, and managed by an experienced local company specialized in Alfama stays. This is one of those investments you can buy without even visiting.

Main features:

• 4th floor of a building from 1937 full of charm;
• Welcoming lobby;
• Spacious bathroom with washing machine and quality finishes;
• Living room with integrated kitchen, equipped with all the utensils and legal requirements of AL (including fire extinguisher);
• 2 comfortable bedrooms: one with double bed and closet; another with a single bed and closet;
• Cheerful and welcoming décor, designed to provide a pleasant stay for demanding tourists;
• Budget condominium: only €10.

Advantages of this investment:

• Privileged location in Alfama, next to the Church of São Miguel;
• Typical Lisbon neighborhood, full of tradition, history and charm, much sought after by national and international travelers;
• Property already operating as local accommodation, without the need for additional investment;
• Immediate profitability with professional management already in place;
• Excellent future enhancement in one of the most touristic neighborhoods of Lisbon.