For generations, the Hamptons has been known for its popular beaches, celebrity sightings and significantly high home prices. But as demand for housing across New York intensifies, it's becoming even more expensive to buy a house in this region nestled at the end of Long Island.
The median home sales price in the Hamptons reached a record $2.04 million in the first quarter of 2025, according to a market analysis from brokerage Douglas Elliman. That's a 13.3% increase from the same period a year ago, the analysis suggested.
Real estate agents working in the area said prices are increasing because demand for housing has grown just as much as it has in New York City.
The Hamptons area saw 423 homes sold in the first quarter, up 85.5% from 228 a year ago, the Elliman report said. The number of homes available for sale — known by the industry as inventory — rose from 1,077 in the first quarter of 2024 to 1,181 a year later.
The increases in sales and inventory mean the Hamptons is "showing impressive momentum," Ernie Cervi, regional senior vice president for the East End at the Corcoran Group, said in a separate market report.
A substantial portion of the rise in sales came from the luxury market, he added. "With inventory expanding for a fifth consecutive quarter, the stage is set for a dynamic spring season."
Homebuying activity has been selectively competitive
"The Hamptons" is a catch-all term for the towns of Southampton and East Hampton and their villages and hamlets — Bridgehampton, East Hampton, Hampton Bays, Westhampton, and West Hampton Beach, to name only a few — that make up the southeastern fork of Long Island.
The most expensive Hamptons homes are in Sagaponack village, where the median sales price is $7.4 million, according to Elliman. The hamlet of East Quogue, with a median of $874,000, offers the least expensive prices in the region.
So far this year, homebuying in the Hamptons has been selectively competitive, particularly for homes in the $1 to $5 million price range, Hara Kang, an Elliman agent based in East Hampton, said.
Move-in-ready homes are going quickly, while properties that still need renovations are sitting with little to no offers, Kang said.
The hottest buying spots have been in the villages of Sag Harbor and East Hampton and the Water Mill hamlet — a section of the region locals call "Hamptons Middle," he added.
There's a push to live there year-round
The Hamptons is a unique housing market in that most homes are only a few miles from the Atlantic Ocean, so owning a home here also comes with an increased risk of property damage due to rising sea levels and flooding.
Still, some of the nation's biggest celebrities — including Alec Baldwin, Jennifer Lopez, and Gwyneth Paltrow — have homes in the Hamptons.
For years, wealthy individuals who bought a home in the Hamptons have used it as a summer vacation spot for their families. Recently, "there's been a clear shift from seasonal lifestyle buys to year-round livability," Kang said in an interview.
"Today's buyers are looking for home offices, home gyms, and dedicated wellness spaces — places that support full-time or extended use," he said.