“The Second Quarter of 2017 showed a strong demand for luxury properties, which is a very healthy indicator for our markets across all price points,” shared Ernest Cervi, Regional Senior Vice President of the East End at the Corcoran Group.
An increase in South Fork high-end sales over the Second Quarter of 2017 drove Hamptons quarterly sales volume up by 4 percent, while average prices were up 11 percent and median prices saw a 5 percent increase, according to The Corcoran Report 2Q17 East End.
“The demand for luxury properties always exists, but this year, a lot of demand took place in the second quarter for high-end properties,” Cervi explained.
Compared to the Second Quarter of 2016, nearly twice the amount of $10 million sales transpired. Both Southampton Village and Water Mill were especially desirable in the Second Quarter of 2017, with the average Water Mill sales price jumping to $4.848 million, a 64 percent increase, and the median price rose to $3.725 million, a whopping 86 percent increase. The number of sales was also up showing a 60 percent increase to 24 (from 15). In Southampton Village, average sales price grew by 82 percent to $5.446 million. The median price also rose, showing a 40 percent increase to $2.8 million. Even with the rising prices, the number of sales was also up by 32 percent to 29 (from 22).
“People are settling in and making decisions to purchase,” noted Cervi. “While people were sitting out before, we now know that interest rates are going one way, and that would be up!”