Forbes: Sagaponack Third Most Pricey ZIP Code

Sagaponack's 11962 came in at number 3 in Forbes magazine's 2011 rankings of the most expensive ZIP codes, released this week.

According to Forbes, Sagaponack's median home price between June and August was $3.6 million. But the prices go much higher than that — astonishingly higher. The third place ranking should come as no surprise, as Sagaponack is the site of , an estate said to be the largest single-family private residence in the U.S, and the $43.5 million mansion mogul David Tepper bought from former U.S. Sen. Jon Corzine's ex-wife then to .

Sagaponack topped the list of 500 ZIP codes back in 2006, but was .

Forbes said the data came from Altos Research, which ranked each ZIP on the median asking price for single-family homes and condominiums. The price was weighted based on the mix of homes in the market, according to Forbes. That methodology has clear flaws in that what homes are listed for and what they ultimately sell for can vary greatly, especially in the high-end market. Also, it’s not unusual for a Hamptons property listing to be missing a price tag, in that if-you-have-to-ask-you-can’t-afford-it kind of way.

There are also years in which only a handful of homes are listed in an area, which can drop it from consideration. "Altos limited the search to ZIP codes where 20 or more residences were listed for sale, including short sales and bank-owned foreclosures on the market," wrote Forbes' Morgan Brennan, explaining the methodology.

"Since our list is based on asking prices rather than tax assessments, it may be unfair to assume that our list is completely representative of the communities featured — for example, there could be pockets of long-time residents in modest homes in areas that have become swankier in recent years," Brennan wrote. "Rather, our list is a snapshot of each market’s current activity.

Water Mill, with $3.3 million, broke the top 10 at number 8. It was 17 in 2010.

Wainscott reached number 29, with an average home price of $2.4 million. Amagansett is 37, with $2.2 million.

West of the Shinnecock Canal, Quogue is number 53, with an average home price of $1.9 million. Westhampton Beach is number 176, at $1.1 million. Remsenburg, at $1.0 million, is number 194. Westhampton, at $849,000, is number 306.

The Southampton Village ZIP, 11968, came in at 107, with a $1.4 million average price. Sag Harbor is number 121, at $1.3 million. East Hampton is number 152, and Montauk is 154, both with an average home price of just under $1.2 million.

Though Bridgehampton didn't make the list — it was number 19 last year — it did boast the eighth most expensive home for sale in the U.S. According to Forbes, Three Ponds Farm is a 60-acre estate with an 18-hole golf course, listed for $68 million.