East Hampton - Lori Barbaria was born and raised in Manhattan and moved to the Hamptons 14 years ago to enhance the quality of her life. She has become a leading broker in the Hamptons as well as on Long Island where she ranked as the top agent at Prudential Douglas Elliman for several years in a row surpassing more than 3,000 agents with her impressive sales record. Barbaria recently moved to Prudential's East Hampton office after working at their Bridgehampton location for more than 10 years. Beyond her real estate career, she is the author of a book titled "Abracadabra-Create As You Speak."

What surprises you about the Hamptons' real estate market?

Lori Barbaria: It was the short period of time in which the Hampton's real estate market literally exploded and how the prices and values quadrupled in the period of two years from 2003 on. The sold comps rocketed and certified the land values; then again the economy also mirrored this transition. Real Estate in the Hamptons went from being a second homebuyer's and user market, to an investment market of its own accord. Thus the arrival of the spec 'McMansions' that now dot the terrain, and still seem to be in demand. They will always be of value for their size and quality of constriction, and are now being sold at more viable prices based on the economy now.

Lori Barbaria, Associate Broker Prudential Douglas Elliman Real Estate in East Hampton.

What do you see as the future of real estate in the Hamptons for the short term and for the long term?

LB: For the short term things have started moving again. It is a buyers market and the values are now most desirable and negotiable. As far as the long term I don't see this market eventually going anywhere but back up. The rental market did pull in strong last season and based on the fact that most purchases out here have the ability to become income producing, the numbers will hold. As people are traveling less, these purchases on second homes are being used greatly on a year-round basis.

What is your take on the current market?

LB: I am seeing serious buyers now coming into the market and going to contract. There is a steady stream of buyers that feel they are finally getting value for their dollar and can even upgrade to locations they formerly could not afford. Some people are downsizing, but I am not seeing many people leaving this area, which the continual crowds of last summer still attest to.

Has the market hit the bottom?

LB: It looks as if it had last winter and the prices generally came down at least 20 percent. Based on the fact of locations and original purchase prices there is still a profitable window. The future is always unknown but the quality of life and the value the East End has to offer will always exist.

What are buyers looking for most in a house?

LB: Value that will hold and a good deal, it can be from the high-end to a fixer upper but the bottom line has been that the buyer feels they have gotten a deal after being lucky just to get into the market in the past years. There are still investments to had.

What are the most common mistakes made by buyers?

LB: Not recognizing an amazing deal when they see one and trying to push the bottom line down to end up losing their dream house to a more educated buyer.

What are the most common mistakes made by sellers?

LB: Unrealistic expectations in prices listed, not understanding the economy and over-renovating in areas where comp values are not proven. Most of my sellers are very educated in the market and when they are serious sellers they do everything their broker advises them to do to sell quickly. When they are willing to make small investments in getting their properties ready to go, from a new paint job to a general clearing out of accumulated belongings, to staging, it usually is quite helpful and makes a big difference to achieving a quick transaction.

What are the best values in the Hamptons right now and where are they?

LB: The oceanfronts are the gold coast of this market and then any property that is waterfront or in walking distance of the ocean will always be a high-end trophy purchase. South of the highway will always hold its own and is still desirable in any price range. Village homes are also in extreme demand. North of the highway there are some amazing deals and there has been and will continue to be a turnaround on these properties. Montauk, which was always a sleepy town, has now become one of the new hippest places to be. There are values that abound along the entire South Fork, this is a great time to buy.

Editor's Note: "Broker's Outlook" is a new column here at Hamptons.com where we invite all real estate agents from across the Hamptons and East End to be part of the story discussing their take on the Hamptons real estate market. For details contact info@hamptons.com.