As the first half of 2022 wrapped up amid a wide range of economic shifts, the luxury real estate market is showing signs of a cooldown. After two years of dynamic sales activity driven by pandemic-induced relocations as people flocked to more isolated country homes, the first six months of 2022 paint a different picture.
According to a report out by PropertyShark, Economic volatility, rising interest rates and surging inflation, as well as the rebound of international travel, are reshaping the Hamptons home sales market. These factors are likely indicators of a slow return to a more normalized, pre-pandemic real estate landscape following two years of frenzied transactions and price hikes that further lifted Hamptons beach communities among the most expensive U.S. zip codes.
Hamptons Median Sale Price Exceeds $1.5 Million in First Half of 2022
Taking a closer look at sales patterns and buyer preferences, we focused in on communities in the Hamptons to see which streets commanded the highest median sale price between January and June 2022. To identify the 10 priciest streets, we looked at all residential transactions closed in the first six months of this year. For an accurate representation, we only took into consideration streets with three or more sales closed.
The Hamptons median sale price reached $1.54 million in the first half of the year, inching up just 5% compared to the median sale price in the first half of 2021 ($1.47 million). However, the number of sales registered from January through June of this year fell by 48% compared to H1 2021. A total of 894 transactions closed between January and June 2022 in comparison to the 1,715 deals recorded over the same period last year.
Although the Hamptons’ priciest street reached a $15 million median sale price back in 2018, in the first half of 2022, the median sale prices of the 10 priciest streets ranged between $2.5 million to $11 million. Similarly to 2018, the 10 priciest streets were claimed by seven towns in 2022 as well, with Amagansett, East Hampton and Southampton returning to the top 10. However, Sagaponack, Montauk, Water Mill and Bridgehampton were replaced this year with Quogue, Sag Harbor, West Hampton Dunes and Westhampton Beach.
Of the 10 priciest streets, Southampton’s Hill Road had the most dynamic sales activity, closing 12 transactions in the first half of the year. It was followed by three East Hampton streets with a total of eight sales each and Dune Road in Westhampton Beach with six transactions recorded in H1 2022.
Median Sale Prices Stay North of $4 Million on the Five Priciest Hamptons Streets
1. Dune Road, Quogue
With an $11 million median sale price, Dune Road in Quogue was the #1 priciest street in the Hamptons in H1 2022. Of the three transactions that closed over the six-month interval, the largest was the $17.5 million sale of an oceanfront home at 232 Dune Rd. Dubbed an “ultra-high-end estate,” the 8,300-square-foot home was recently completed on a 2-acre lot.
The gated property is set back from the road for privacy and boasts 128 feet of ocean frontage and views of Shinnecock Bay. The last asking price before closing the sale of the seven-bedroom, seven full-bath home was $20.7 million.
2. Marine Boulevard, Amagansett
An $8.9 million median sale price secured the #2 spot for Amagansett’s Marine Boulevard, which saw three sales close in H1 2022. The $9.5 million off-market sale of a 2,000-square-foot home at 51 Marine Blvd. was the highest-priced deal of the three.
Sitting on 0.67 acres — a small lot but of a typical size for the area — the property features 110 feet of ocean frontage and even boasts a pool on the roadside of the property. Mickey Drexler, former CEO of J. Crew and The Gap and the new owner of 51 Marine Blvd., is no stranger to the Hamptons, having owned several properties in the area, ranging from Westhampton to Montauk.
3. Bluff Road, Amagansett
The second Amagansett street to secure a spot on our list is Bluff Road, which has seen a total of four sales that brought its median sale price to $6.7 million. The priciest transaction on Bluff Road in H1 2022 is also the most expensive deal in our top 10 and consisted of the $32 million off-market sale of 325 Bluff Rd., closed in the first quarter of the year. Located between Indian Wells and Atlantic Beaches, the oceanfront property is set on 2.59 acres and previously traded for $7.9 million in 2012.
4. Bittersweet Lane, Sag Harbor
Totaling three sales in the first six months of the year, Bittersweet Lane in Sag Harbor ranked #4 with a median sale price of $5.4 million. The highest-priced transaction on this Hamptons street was recorded in the second quarter: The waterfront property at 32 Bittersweet Ln. changed hands for $6 million in June.
Situated on the end of a private road, the 2,200-square-foot, two-story home sits on a 0.33-acre lot and features four bedrooms, two bathrooms and an outdoor pool. In 2021, the oceanfront asset was listed along with two other properties located at 24 and 28 Bittersweet Ln., respectively. The package offering was listed at a $10 million asking price at the time, but ultimately, 32 Bittersweet Ln. sold separately.
5. Dune Road, West Hampton Dunes
The median sale price on Dune Road — this time in West Hampton Dunes — clocked in at $4.2 million. Of the four sales recorded between June and January 2022, the highest-priced deal on this Hamptons street commanded $5.8 million.
Sold in late March, the waterfront property at 777 Dune Rd. features seven bedrooms, six full bathrooms and one half-bathroom, as well as a pool. Spanning 3,870 square feet, the post-modern home was built in 2004 on a 0.65-acre lot.
