The recession aside, all indications point to a strong season for the high-end East End summer rental market, area real estate brokers say.
Several factors -- a good number of early leases, a soft real estate market that has traditionally been solid for rentals and a steady flow of inquiries -- tell them vacationers again will fill the beaches, nightclubs, shops and restaurants in the playground of the rich and famous.
Judi Desiderio, chief executive of Town & Country Real Estate, said her offices have arranged a good number of early bookings -- nearly 100 going into this weekend, about average for this time of the year -- including an oceanfront Amagansett house for $275,000 a month in July and August.
"This weekend almost all the brokers I know are showing rentals," said Elisabeth Mills of The Corcoran Group. "There definitely is strong demand."
This year, there are about 15,000 rentals in the East End, Desiderio said, up about 2,000 from last year. Prices, however, are similar to last season, ranging from $750,000 to $900,000 on the high end for a season rental -- Memorial Day to Labor Day -- to $18,000 for one-bedroom condo. There are also rentals for in two-week or monthly blocks.
Don't expect the increase in units and the economy to mean discounts, however.
"If you want all the amenities, oceanfront, pool, tennis court and central air-conditioning, then there's almost no give there," Desiderio said. "If you want a home in the woods for the season, then, yes, you might see a discount."
Some brokers said the Hamptons tradition is among the strongest lures for its clients.
"We're a resort market, and we work with a high-end renter or buyer," said John Watson, a broker with Brown Harris Stevens in Bridgehampton. "People keep coming because of the ocean, the sky and the great culture out here."
Another indicator is the down sales market. When home sales for the East End are down, rentals usually are up, said Bryan Midlam of the Midlam Group with Prudential Douglas Elliman of East Hampton.
Unlike last year, which went a bit against the grain, brokers are seeing less interest from Europeans. Last year, nearly 20 percent of the rentals went to Europeans, brokers said, because of the strong exchange rate of the euro.
Midlam thinks this season's covacationers will be more traditional: residents from New York City looking to escape the summer heat. "The stay-cation should have more of an effect than last year," he said. "Instead of people from the city heading to Europe, I think they'll be coming to the Hamptons."
RENTAL SNAPSHOT
Rent: $275,000 a month in July and August
Where: Amagansett
Acres: 2
Space: 5,500 square feet
Bedrooms: 4
Bathrooms: 6 1/2
Amenities: oceanfront, tennis court, three levels of large decks, heated pool, spa, steam room, media room
