Wealth

Beach homes in the Hamptons hit a new price record

Key Points
  • The average Hamptons property sold for almost $2 million in the second quarter, according to a report from Douglas Elliman and Miller Samuel Real Estate Appraiser and Consultants.
  • The average price was up 13 percent from the year-ago period.
  • The number of sales surged 23 percent compared with a year ago, the highest sales level in two years.
Why it's harder than ever to land a Hamptons beach house
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Why it's harder than ever to land a Hamptons beach house

Prices and sales of beach properties in the Hamptons surged in the second quarter, with the average home selling for almost $2 million and median prices hitting a new record.

The average sale price for properties in the Hamptons — the summer sandbox to the New York rich — hit $1.9 million in the second quarter, up 13 percent over a year ago, according to a report from Douglas Elliman and Miller Samuel Real Estate Appraisers and Consultants.

The median price for single family homes hit $1.07 million, a new record, according to Jonathan Miller, president and CEO of Miller Samuel.

The number of sales surged 23 percent compared with a year ago, to 689. It was the highest sales level in two years.

The surge suggests that the slowdown in high-end real estate that began in 2016 before the election may have been short-lived. The stock market rally has made the rich feel even richer, yet many are nervous about stock market levels so they're putting more money into real estate.

"Sales activity in the Hamptons has been quite robust after a somewhat lackluster two years, along with a continued decline in inventory," said Scott Durkin, COO at Douglas Elliman. "What's most interesting is that we are seeing more sales at the upper end of the market, something that was lacking last year."

Indeed, sales of homes priced at $5 million or more hit their highest level in two years, with 48 sales.

Sales of luxury homes — the top 10 percent of the market — surged 21 percent, and the average price climbed to $8.2 million.