Marketwatch

After one of the coldest Februarys on record combined with an endless cycle of snow and ice, spring has finally sprung. And with it has come the incredible desire to obtain that beautiful oasis in the Hamptons. With new construction booming, interest rates low, and pricing up, the time is right to secure your piece of paradise in the Hamptons.

Judi Desiderio of Town & Country Real Estate observes, “The new rule for rentals is July or August as opposed to Memorial Day – Labor Day.” She adds, “This was the best winter in almost 10 years for sales, with $1-$10M fast and furious. We’ve even had bidding wars! Nearly every buyer would love new construction. There’s simply not enough of it! Certain segments of the market, such as Montauk, are experiencing dire shortages in inventory.” Judi believes, “Provided the stock market continues on its current ascend, 2015 should be an outstanding year for the number of sales. The high end (over $25M) will be determined by Wall Street activity.”

Cia Comnas of Brown Harris Stevens notes, “In spite of the terrible winter, rentals are on a par with last year at this time. Sales have been active with deals taking place in all price ranges.” She remarks, “Buyers are not only leaning towards newly constructed or exceptionally well-maintained homes with no work required, but also completely and beautifully furnished homes, ready to go.” Cia observes, “The year seems to be off to a good start in spite of the rough winter. When the Hamptons are in bloom and looking magnificent, the already steady stream of buyers and tenants will overflow.”

Raphael Avigdor of Douglas Elliman Real Estate remarks, “We have done a few rentals as always. Buyers want clean post-modern shingled constructions with tall ceilings, finished basements, marble kitchens and baths. Modern glass construction is also popular.” He reflects, “There is a tremendous amount of new construction especially North of the Highway. NORTH is the NEW SOUTH in Southampton, Water Mill, and Bridgehampton, where all records for dollars per square foot are being broken and transactional prices are surpassing previously known ceilings.” Raphael thinks, “2015 will be a very strong year as Wall Street bonuses were strong. We will also see more international investors.”

Steve Pryzby of Farrell Building Company expects, “a strong surge in rentals due to pent up demand during the harsh winter. Our sales have been surprisingly steady given the tough winter. The sweet spot is the $5-$7M properties. Buyers desire open space floor plans that incorporate the outdoors into living areas through retractable glass walls and doors.” He remarks, “New construction is booming as customer demand for new vs. renovation has dominated the market. Pricing is also up as land values rose due to decreased supply and increased buying by builders, developers, and end users.” Steve predicts, “a very successful 2015 as the financial markets continue to do well.”

Cynthia Barrett of Douglas Elliman Real Estate reflects, “Many prime properties have been rented for partial summer terms. Sales have been very strong. Montauk and Sag Harbor are still on fire. New construction has been active, as many buyers want turnkey homes. Builders and investors are seeking teardowns or land.” She states, “The 4th quarter of 2014 compared to that of 2013, saw median sales prices jump 26.5%, the luxury market increased 4.1%, and the number of overall closed sales up 48%. The elevated sales volume kept inventory stable.” Cynthia predicts, “continued strength in the market as interest rates are still at historic lows and the U.S. dollar continues to strengthen.”

Gary DePersia of Corcoran anticipates, “a very active rental market heading into summer. Sales are good and picking up steam with the disappearance of the snow. There are even bidding wars happening. The $4-$10M range on new construction is extremely active both North and South of the Highway. You will also see increased activity and sales in the super luxury level from $10-$25M. The most sought after properties continue to be waterfront, whether bayfront or oceanfront.” He observes, “Inventories are good. There are houses available in all locations and prices.” Gary predicts, “2015 will be a very active year. The tenor of the market is very good right now.”

Andrew Saunders of Saunders & Associates observes, “Our rental deals are up 19% over last year. Sales at $2M and under have been very busy. Sag Harbor is very strong, East Hampton is reawakening, and Amagansett will be constructive. Southampton Village is popular with baby boomers downsizing to smaller homes or condos. NEW is trumping location as the primary criteria of many buyers. New homes continue to be built at a significant pace.” He reflects, “The investor spec market is inflating South of the Highway in Bridgehampton, Southampton, Watermill, and Wainscott.” Andrew remarks, “As long as interest rates are low with a strong stock market and steady economy, and no unsettling macro event, 2015 will be a dynamic year.”

Pat Petrillo of Sotheby’s International Realty reflects, “The rental market is good. Over the winter, sales were busy at the $5M and under range. The Villages are very popular right now as they are close to activities and the beach. Buyers are looking in every price range for something ‘just perfect.’ New construction is popular especially for second-home buyers.” She anticipates, “The $10-$15M range will be very active later in the summer. Prices are stable, the market is very healthy, and the financial markets are very strong.” Pat predicts, “We are going to have an excellent 2015.”

2015 is predicted to be a fantastic year for Hamptons real estate. With interest rates low and new construction booming, now is the time to jump in. The Hamptons will always attract people to its gorgeous beaches and chic lifestyle. Come discover its magical appeal.