New York (HAMPTONS) – With the summer season approaching, the Hamptons vacation home market will once again make a return to the real estate scene. Even after a slower 2011 season, still feeling the effects of the recession, the Hamptons summer market is expected to make a large comeback. Gary DePersia, a veteran Corcoran Group broker is one of the many brokers that expects to see significant climbs in the 2012 market and has already noticed signs of a bigger 2012.
As many people expect, a great deal of the climb in the Hamptons market can be contributed, in part, to the A-listers that summer in the area. This includes well established individuals and celebrities have helped keep the market afloat, an idea supported by Peggy Darling of Prudential Douglas Elliman who has noticed the continued presence of the ultra-wealthy in the area even during the recession.
Of all of the areas along the 50 mile stretch of the Hamptons, there can be an expected increase in the rural Bridge-Sag area. According to Jim Oxnam, broker with Brown Harris Stevens many people are seeking out this location for the rural, country feel that is unlike any other area in the Hamptons. In fact, the Bridge-Sag area of the Hamptons saw a 36 percent increase in the average sale price of homes last quarter.
While areas like Bridge-Sag are expected to prosper, other areas like Amagansett in the East Hamptons are expected to continue to struggle. This area dropped in sales last year and prospects aren’t looking up for the 2012 season. According to Beate Moore, broker at Sotheby’s International Realty, the area is similar to Park Avenue and simply doesn’t have the unique appeal that other areas do, meaning it has very little appeal to those looking for a summer retreat.
Concerning price points for the whole area, the biggest increase in sales is expected to be in the $3.5-$5 million dollar range. However, there have still been some significant high-ticket sales of late that indicate the prospect of similar sales this season. An estate behind the Hampton’s Hook Pond sold for $17 million at the end of 2011, as did a $25 million dollar mansion on Meadow Lane and a $36 million property in the North Haven section of Sag Harbor.
Not only is the market expected to rise this season, but it is expected to rise early, especially for rental properties. Brokers such as Michael Shultz of The Corcoran Group have already noticed early spring rentals for summer properties. He also notes that areas like Montauk, Beidgehampton and East Hampton all bring their own individual appeal to renters and are projected to be big rental areas in 2012. With prospective numbers like this, it is easy to assume that after last year’s slight rise in the Hamptons housing market, brokers can hope for an even bigger improvement for 2012.
First Published: GOTHAM