Our favorite brokerages have unleashed their first quarter market reports today, and the findings aren't too pretty. Across the board, a downward trend prevailed, with Corcoran reporting a drop in median sales price of 9% and Prudential a drop of 22.2%. As far as activity goes, it's been a quiet three months. Corcoran, for example, saw units sold and dollar volume drop by 23% and 19%, respectively. So what in the world's going on? As Crain's explains, a rush to put "Bush-era tax cuts" to use caused a spike during 2010 and a subsequent lull in the 2011 opener. But will that anecdote makes makes East Hampton Village feel better about its 60% drop in dollar volume? We're thinking no.
In the past, the super high-end market showed some immunity. But that's not really the case today. Prudential reports a plunge in median sales price of 16.1% for a final price of $4.6 million. And with high-end listing inventory up 22.7% and the number of $5 million sales down from 38 in the prior quarter to 15 in the present quarter, one has to wonder if this will become a trend.
So is there any good news? Yes! The Sag Harbor/North Haven region actually saw 10% spike in dollar volume and a 20% surge in median sales price. And that's irrespective of the possible $41 million sale of Tyndal Point.
· Tide goes out on Hamptons sales, prices [Crain's]
· 1Q - 2011 Market Overview [Prudential]
· 1st Quarter 2011 [Corcoran]