The first quarter reports from Hamptons real estate brokers are in. The number of sales jumped 52.2% from Q1 of 2013. The median sales price compared year over year increased 18.9% to $880,000, while the average sales price jumped 40.2% to $1,708,925. The number of sales above $5M is up sharply by 58.8%. Inventory is up 18%.
Analysis: the market is getting back to normal after the Q1 2013 post-fiscal-cliff lows. The number of above $5M were the fourth highest in the past eight years, and the above-$1M market share is up sharply. The shift to higher-end sales caused large price gains in the market. Sales volume is up, outpacing inventory. Higher Wall Street compensation means the market is tightening, and the sales outlook for 2014 is bright.