What are average mortgage rates in South Dakota in 2026?

Mortgage rates in South Dakota generally track national averages. As of 2026, expect 30-year fixed rates from 5.5% to 7.5% for good credit borrowers. Use CalcDeck's South Dakota mortgage calculator to model your payment at current rates.

How much are closing costs in South Dakota?

Closing costs in South Dakota typically range from 2% to 5% of purchase price, including lender fees, title insurance, and prepaid items. Use CalcDeck's South Dakota mortgage calculator to include closing costs in your calculation.

What are property tax rates in South Dakota?

Property tax rates in South Dakota range from 0.3% to 2.5% of assessed value. CalcDeck's South Dakota calculator includes property tax in your PITI payment.

What first-time homebuyer programs exist in South Dakota?

South Dakota offers down payment assistance, favorable-rate mortgages, and tax credits through state agencies. Use CalcDeck's South Dakota calculator to see how programs affect your payment.

How do I use the CalcDeck South Dakota mortgage calculator?

Enter home price, down payment, interest rate, and loan term. Adjust property tax and insurance to match South Dakota averages. Get instant monthly payment, total interest, and amortization schedule.

South Dakota Mortgage Calculator

Median home prices, property taxes, and monthly payment estimates for South Dakota homeowners.

South Dakota at a Glance

Median Home Price: $275,000
Property Tax Rate: 1.19%
Median Household Income: $67,123
Annual Property Tax: $3,273

Sources: Zillow ZHVI (2024), Tax Foundation (2023), US Census ACS (2023)

Monthly Mortgage Payment in South Dakota

Based on the South Dakota median home price of $275,000 at 6.7% interest (30-year fixed):

Payment Breakdown	20% Down	5% Down
Loan Amount	$220,000	$261,250
Principal and Interest	$1,420	$1,686
Property Tax (SD)	$273	$273
Homeowners Insurance	$125	$125
PMI	$0	$109
Total Monthly	$1,817	$2,192

How Much House Can You Afford in South Dakota?

Using the 28/36 rule (housing costs under 28% of gross income):

With 20% down, you need ~$77,885/year to afford South Dakota's median home
With 5% down, you need ~$93,958/year
South Dakota's median household income is $67,123

South Dakota insight: South Dakota's property tax rate of 1.19% is near the national average.

South Dakota Housing Market Overview

South Dakota's housing market is stable and affordable. The statewide median of $275,000 reflects Sioux Falls at $310,000, Rapid City $335,000, and smaller markets like Aberdeen $190,000. Inventory is moderate at 3.5 months. The median household income of $67,123 yields a price-to-income ratio of 4.1—moderate affordability. The effective property tax rate of 1.19% costs $3,273/year on a median home. South Dakota has no state income tax, which attracts retirees and remote workers. Winter heating costs are significant ($2,000–$3,500/year), and severe weather (blizzards, hail) affects insurance premiums.

First-Time Homebuyer Programs in South Dakota

The South Dakota Housing Development Authority (SDHDA) offers the First-Time Homebuyer program, providing 30-year fixed-rate FHA, VA, USDA, or conventional mortgages with down payment assistance up to 3% of the purchase price—capped at $8,250 on a $275,000 home. The Fixed Rate Plus program offers a slightly below-market rate with reduced fees. SDHDA also administers the Mortgage Credit Certificate (MCC) program, providing a 20% federal tax credit on mortgage interest. The South Dakota Roots program targets buyers in rural communities with populations under 25,000, offering grants up to $7,500. Income limits: Minnehaha County caps at $82,000 for a two-person household; rural counties cap at $66,000.

Tips for Homebuyers in South Dakota

1) South Dakota's 1.19% property tax means ~$273/month on a median home—moderate but manageable. 2) No state income tax is a major draw, but budget for high heating costs ($200–$300/month in winter). 3) Sioux Falls and Rapid City are competitive for homes under $300,000; expect quick sales. 4) Buy in fall/winter for less competition and potential price reductions. 5) Hail risk is extreme in SD; always verify roof condition and insurance coverage for hail damage. 6) Wells and septic systems are standard outside city limits; budget $300–$500 for inspections.

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South Dakota Mortgage FAQ

What is the median home price in South Dakota?

The median home price in South Dakota is approximately $275,000 as of 2024 (Zillow ZHVI). Your actual price will vary by city and neighborhood.

What is the property tax rate in South Dakota?

The effective property tax rate in South Dakota is approximately 1.19% (Tax Foundation). On a $275,000 home, that is about $3,273/year in property taxes.

How much income do I need to buy a home in South Dakota?

Using the 28/36 rule with 20% down at 6.7%, you would need about $77,885/year to afford the median South Dakota home at $275,000. With 5% down (including PMI), about $93,958.

What will my monthly mortgage payment be in South Dakota?

On South Dakota's median home price of $275,000 with 20% down at 6.7%, your total monthly payment (P and I plus tax plus insurance) is approximately $1,817. With 5% down including PMI, about $2,192.

Data sources: Zillow ZHVI typical home values (2024), Tax Foundation effective property tax rates (2023), US Census Bureau ACS median household income (2023). Mortgage rate assumption: 6.7% APR 30-year fixed. This is an estimate — use our calculator for personalized numbers.