The primarily second-home market of the Hamptons continues to lag as buyers worry over the fate of the estate and capital-gains taxes and the size of this season’s Wall Street bonuses. Another hurdle is the trouble buyers are having finding financing for vacation homes.
Even though Hamptons publisher Richard Ekstract dropped the price of his eight-bedroom Bridgehampton mansion to $7.99 million from its original $18 million listing, potential buyers haven’t been taking the bait. A similar scene continues to play out in the housing market across the Hamptons beach communities, as sagging prices persisted during the third quarter, according to new data.Median prices in the Hamptons fell 22.7% in the quarter from the previous quarter and 14.1% from the third quarter last year to $696,000, a report Tuesday by appraiser Miller Samuel Inc. and Prudential Douglas Elliman Real Estate said. The third quarter is typically a slow time of year in Hamptons real estate.
The average sale price in the Hamptons stood at $1.48 million in the latest quarter, down 5.8% from a year earlier. The number of sales rose 4% from a year earlier and homes sat on the market for an average of 169 days, down 20.6% from a year earlier.
By Shelly Banjo, Oct 21, 2010 WSJ