Marketwatch: The Hamptons

Agents expect a flurry of activity this fall and winter, especially if interest rates begin to fall.  

Temperatures soared this summer and warmed the Hamptons market along with them, local real estate agents said. While the year got off to a slower pace, with 10% fewer sales as of June than in the first half of 2023, a Town & Country Real Estate report found, late-summer data should paint a different picture, experts assured. Several top East End real estate professionals give us their take on the state of the market as summer begins to wind down and we enter the traditionally active fall sales season.

One Hot Summer
“I would describe this sales season as very healthy,” said Kyle Rosko, a salesperson with Douglas Elliman. “There’s a very good number of homes going into contract on a weekly basis and properly priced assets are trading very efficiently,” he added.

Compass saw the number of signed contracts rise 32% in the month leading up to the third week of July, added Lori Schiaffino, a salesperson with the brokerage. “There has been a resurgence in showings, accepted offers, and even bidding wars,” she said.

Mary Slattery, an associate broker with Corcoran, added that she’s seen more inventory become available in the last month. “All of these factors are great news for our market,” she said.

Turnkey is ‘The New Black’
When asked which areas are seeing extra demand this summer, agents said the entire East End is desirable. “Greater affordability west of the canal has always attracted buyers but it is especially desirable now as prices have increased throughout the South Fork,” Schiaffino said.

The Town of Bridgehampton, which includes Water Mill and Sagaponack, had 15% more closings in the first half of 2024 than the prior year, according to Town & Country. “Amagansett is on fire due to extremely low inventory and a lifestyle that is becoming even more desirable,” Rosko said. “Sag Harbor Village remains scorching hot and is continuously breaking records and seeing incredible transactions.”

Southampton Village and Sag Harbor are popular this year too, Slattery added. “Buyers love to be in or near the villages to take advantage of shops and restaurants,” she said. “I would not say any area is slow as we have buyers across the budget spectrum.”

These days, competition is over a type of home more than its location, experts noted. “Buyers really want new or almost new,” Christopher Covert, an associate broker and managing director at Modlin Group Hamptons. “Turnkey is the new black.”

A Favorable Fall
Agents said they expect a flurry of activity this fall and winter, especially if interest rates begin to fall, as expected. The average rate for a 30-year fixed mortgage was 6.49% in the first week of August, according to Zillow. That’s down a full point from 7.35% in March. “I am excited to see the new inventory coming to market as there are a lot of buyers sitting on the sidelines that will be coming back into play,” Rosko said. Rates aren’t the only wait-and-see factor, however. “The unknown variable is how the election will impact the market in the second half of the year,” Schiaffino noted.