The Hamptons real estate market is bound for sunnier days after a volatile stock market dinged prices in the beginning of 2016. During first quarter, the average price for a Hamptons home fell 21 percent, compared to the fourth quarter of 2015, to roughly $1.9 million, according to Douglas Elliman, a real estate brokerage firm. ‘We’ve seen a slowdown in velocity of transactions, but the buying public is still there and there still interested – they’re just being a little more cautious,’ said Zachary Vichinsky, co-founder of Bespoke Real Estate, a firm specializing Hamptons real estate sales. 2016 was the worst start to a New Year for stocks ever. ‘Although there may be equity market volatility, I think ultimately it comes down to the individual – their liquidity situation and where they are in their life,’ said Cody Vichinsky, also a co-founder at Bespoke, referring to the many factors affecting one’s decision to buy a Hamptons home. ‘I’m actually quite confident that you’re going to see a rebound this summer.’ While the market volatility has calmed down, global growth worries are still in focus, but that hasn’t changed the influx of international buyers moving into the Hamptons property market. ‘We’re still seeing Chinese money coming in, Russian constituency and French,’ Zachary Vichinsky said, adding that international buyers are looking for homes beyond the ones they already have in New York City and Miami, in addition to their primary residence. Cody Vichinsky also said it doesn’t hurt that the Federal Reserve looks as though it will take a more gradual approach to its normalization of policy. While Bespoke clients are largely cash buyers, the Fed’s moves have implications for the broader markets. ‘From a sentiment perspective people are obviously weighing out all of the variables that ultimately make up the mathematical equation for pulling the trigger or not,’ Cody Vichinsky said. Bespoke largely deals with properties in the ultra-high price points, north of $10 million. TheStreet’s Scott Gamm reports from Wall Street.
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