A beachfront residence is seen in East Hampton, New York.Jeffrey Basinger | Reuters
A home in the Hamptons rented for $2 million for the summer, as demand far outstrips a record low supply of homes for sale and for rent, according to brokers.
The number of homes listed for sale in the Hamptons plunged 41% in the first quarter, marking the fastest decline on record, according to a report from Douglas Elliman and Miller Samuel. The median sales price, which jumped 31% to $1.3 million, is now 20% higher than the median sales price in Manhattan.
“I’ve never seen the Hamptons market like this — ever,” said Gary DePersia, a top broker in the Hamptons for over 25 years. “As soon as a property comes up for rent or sale, it’s snatched up right away.”
While markets across the country are seeing a shortage of homes for sale, supply is especially tight in these exclusive New York beach communities. Families that fled to the Hamptons during the early days of the Covid pandemic are staying on, preferring to commute to New York only as needed. The stock market boom and surge in asset prices has led to a wealth explosion that even Hamptons brokers say is unprecedented. And the lack of building supplies and land have prevented builders from keeping up with demand.
A 42-acre estate in Southampton just went into contract for more than $100 million, brokers said, marking the most expensive deal in years for the Hamptons. In East Hampton, there have been four recent deals for over $50 million, DePersia said.
First-quarter sales in the Hamptons were the strongest in six years, according to Douglas Elliman and Miller Samuel, suggesting the market shows little signs of cooling.
On the rental side, brokers said the shortage of homes for sale has also led to a shortage of rentals. Homeowners who typically rented their homes out for the summer are now selling — or deciding not to rent at all since travel to Europe and other high-end destinations is still limited by Covid.
The rental shortage has led to soaring prices, with little room for