THE HAMPTONS IS SET FOR A BANNER YEAR!....Already, Sales Are On The Increase!!
In my last market report and Hamptons News Letter, I talk about the upward trend in real estate sales, specifically at the high end of the market. When I last checked, the number of signed contracts appeared to be at a record high and now, as closings are happening, we can see the results of a very busy year.
SLOWEST TIME OF YEAR TURNS OUT TO BE THE BUSIEST!
The Holiday period, from Thanksgiving through the New Year, is usually the slowest time of the year for real estate sales. Most families are traveling, going to weddings, celebrating the Holidays or just relaxing at the end of the year.
In 2011, however, there were a large number of buyers out there looking to take advantage of low interest rates, and even lower prices--plus the known positive factor of owning a "Tangible Asset".
The "East End" of Long island includes the Hamtpons and the North Fork. The source for the following numbers is from Suffolk Profiles, a county reporting agency:
FIRST WEEK OF JANUARY, 2012 NUMBER OF SALES: 38 CLOSINGS
SECOND WEEK OF JANUARY, 2012 NUMBER OF SALES: 100 CLOSINGS
THE HIGH END OF THE MARKET IS THE WINNER SO FAR IN 2012
In the case of Hamptons sales, the High end of the market is the most active with strong sales coming in on $5million and up properties for 2012. I was reviewing the listings that I had forwarded to a buyer in Italy. He was interested in seeing houses from $6mil. to $25mil. to get an idea of what was available at those price points.
I had sent these listings to him at the end of November. Now, as I review what I had sent to him and in my effort to bring him up to speed on the Hamptons, I found the following:
LEE AVENUE, EAST HAMPTON, NEW YORK--IN CONTRACT (ASK 24,500,000)
MARINA DRIVE, EAST HAMPTON--SOLD FOR $6MILLION (ASK $6.495MIL)
CRESCENT AVENUE, SOUTHAMPTON (WATER MILL)--IN CONTRACT (ASK $19,950,000)
FLYING POINT ROAD, SOUTHAMPTON (WATER MILL) --IN CONTRACT ($5,975,000)
Now, these were from the number of listings that I sent to him; there were many more that I have not yet identified and many are at the high end of the spectrum. I have already heard from the man in Italy; he is now ready to buy!!!
We are already well on our way to a banner year for 2012 in real estate--lets hope it continues. I believe we have recovered form the malaise of the last 4 years and that we will see positive results going forward.
BELOW IS THE MARKET REPORT/NEWSLETTER FOR JANUARY 14, 2012
REPORT(The 2012 market is showing a leap forward in sales….)
Real estate sales are showing a steady increase for the new year and most authorities speak positively about the real estate market in general for 2012.
2012 will be a banner year for real estate, according to projections from the National Association of Realtors.
HAMPTON’S MARKET REPORT
January 14, 2012
HIGH END OF THE MARKET TRENDING UP
· The Hampton’s real estate market has seen a leap forward in sales in the past 2 weeks.
· The high end of the market is taking the majority of dollars spent and there is an upward trend going forward, according to the number of showings and buyers who have requested information on high end properties.
· January 1, 2012 through January 6, 2012: 38 closings
· January 7, 2012 through January 13, 2012: 100 closings.
· All of these closings were generated from 2011 business.
· The Holiday season (Thanksgiving, Hanukkah and Christmas) of 2011 was one of the busiest periods in a long time; The Holiday time period is normally the slowest time of year for real estate sales.
· This follows a jump in sales for total year, 2011 (See Elliman report attached. Q4 is not yet available)
· We are seeing a collection of first time offerings of premier ocean front listings come on the market in just the last month.
· All five of the listings that are shown on the following pages (sold and in-contracts) were introduced to the market place as first time offerings.
· Projections for 2012 are all very optimistic with some prognosticators seeing a banner year for real estate sales.
· INVESTORS LOOK FOR TANGIBLE ASSET INVESTMENTS
· All properties below have closed or will close in the next few weeks. In addition to the shown properties there are ocean front listings that are getting the attention of investors who want to own a part of the Hamptons and need a portion of their portfolio to represent a tangible asset like real estate.
· This is a trend that has become stronger as the market improves and as other forms of investment become more risky.
· As the market recovers, the showings of ocean front properties have increased and more homeowners are considering putting their homes on the market.
· Click here to see the full ELLIMAN report for 3rd Quarter of 2011
Paula I Hathaway, LBA, SVP
Prudential Douglas Elliman, Southampton, New York