The Hamptons luxury market has always had its own gravitational pull. But in 2025, the ultra-luxury tier didn't just outperform the broader market. It left it behind entirely.
Sales of properties listed at $20 million and above jumped 59 percent compared to 2024, according to data presented at a recent 27East industry panel featuring top East End brokers. In total, 90 transactions closed above the $10 million mark last year, a figure that underscores just how dramatically wealth is reshaping the South Fork.
"If you look at the numbers, 2024 versus 2025, sales of $20 million listings and over went up 59 percent," said Judi Wilson, a veteran Hamptons broker, during the panel discussion. Dana Trotter, the managing partner of The Agency Hamptons, pointed to the 90 deals above $10 million as evidence that the top of the market is operating on its own terms.
A Market Within a Market
The numbers tell a story of bifurcation. While the broader Hamptons market posted strong gains in 2025, with the median sale price crossing $2 million for the first time and 70 percent of all homes selling above $1 million, the ultra-luxury segment is accelerating at a pace that few predicted.
According to Douglas Elliman's latest market report, the entry point for the luxury tier rose to $7.4 million. The median luxury price climbed 11 percent year over year to $11.4 million. And 82 homes sold above the $5 million threshold, the highest annual total on record.
Three consecutive years of double-digit stock market returns have swelled the balance sheets of the finance executives who've long driven Hamptons demand. But brokers say something else is at work, too: tax strategy. High-end buyers increasingly time their purchases around anticipated tax exposure, treating Hamptons acquisitions as part of broader wealth planning rather than seasonal impulse.
Supply Stays Stubbornly Tight
What's fueling the price surge isn't just demand. It's the near-impossibility of adding meaningful inventory to the market. The Hamptons' geography acts as a natural bottleneck. Nearly 38,000 vehicles per day cross the Shinnecock Canal on Route 27 during peak summer months, roughly 9,000 above the annual average. That infrastructure constraint, sometimes called the "Shinnecock squeeze," limits large-scale development and keeps supply perpetually tight.
The result is a market where competition at the top is fierce. Properties in prime locations along the oceanfront corridors of Southampton, Bridgehampton, and East Hampton are drawing multiple offers, even at eight-figure asking prices. Brokers report that well-priced listings in the $10 million to $25 million range are moving faster than at any point in the past five years.
The Spillover Effect
The ultra-luxury boom is creating ripple effects across the East End. Buyers priced out of the South Fork's premium villages are increasingly turning to the North Fork, which has traditionally offered a more affordable, rural alternative. That migration is pushing prices higher in communities like Greenport and Southold, compressing the gap between the two forks for the first time in a generation.
Meanwhile, panelists noted that global luxury markets are running hot across the board. The middle market, by contrast, remains stuck, caught between elevated interest rates and stubborn insurance costs that add friction to every deal below the top tier.
For the ultra-wealthy, none of that matters. They're buying in cash, moving fast, and treating the Hamptons less like a summer escape and more like a permanent store of value. If 2025 was any indication, the $20 million club isn't just growing. It's becoming the market's center of gravity.
Photo: Lumin Osity / Unsplash
