Incorporated in 1900, Deephaven covers 2.3 square miles roughly 20 miles west of Minneapolis. Bordering Minnetonka, which borders Edina, which borders Minneapolis, Deephaven isn’t too terribly far out into the hinterland.
Most of the homes in the city are priced above the metropolitan median—by a factor of nearly three times. The Deephaven median sales price rose by 0.1 percent over the last 12 months to $615,500 while the Twin Cities regional median sales price rose by 7.6 percent to $215,000.
The chart above features custom, user-input price ranges highlighting days on market by price point. To enter the custom price ranges, simply click on the “Custom” text to the right of the price range variable label near the top left of the interface. Homes priced under $400,000 only spend a median of 20 days on the market before an offer is accepted. Homes priced between $700,000 and $1,000,000 spend 133 days on the market, between two and three times longer than the typical market time of $1M+ homes that tend to spend about 56 days on the market before going under contract.
A quick supply-demand analysis by price point shows how absorption rates slow as the price point moves higher. There are only 2.4 months supply of inventory for properties priced between about $330,000 and $575,000—which suggests a seller’s market. But there are 8.6 months supply of inventory for homes priced above $895,000—which indicates a buyer’s market.
Dollar volume may be an underutilized measure of market activity. Like any metric, it has its strengths and weaknesses. What dollar volume doesn’t tell you is the price of the typical sale or how many sales there were—important needs addressed by sales price metrics and unit sales metrics. What dollar volume excels at is measuring the amount of dollars changing hands.
There are infinite ways to reach $1,000,000 in dollar volume. It’s possible to have one single $1,000,000 sale, in which case, that one transaction made up 100.0 percent of that market’s dollar volume. Or it’s possible to have eight $125,000 sales. Or four $250,000 sales. You get the idea.