Home Affordability for South Dakota (2026)

Last updated: March 1, 2026

South Dakota (SD) Key Facts

Median Home Price

$290,000

Median Household Income

$62,000

Affordability Index

428

Price to Income Ratio

4.7

Max Affordable Payment (28% Rule)

$1,447

How This Calculator Works in South Dakota

This home affordability calculator estimates how much house you can afford in South Dakota based on your income, debts, down payment, and current interest rates. It accounts for South Dakota's property tax rate and insurance costs to give you a realistic maximum home price. Enter your financial details to see whether the median-priced home in South Dakota is within your reach.

South Dakota Overview

South Dakota has a median home price of approximately $290,000 and a median household income of $62,000, yielding a price-to-income ratio of 4.7. Because South Dakota has no state income tax, residents keep more of their gross pay, effectively stretching their housing budgets further than in income-tax states. Property taxes average 1.28%, which meaningfully impacts monthly housing costs.

How South Dakota Compares

South Dakota's price-to-income ratio of 4.7 is below the national average of roughly 5.5. Nearby North Dakota has a median price of $250,000 and median income of $65,000, yielding a ratio of 3.8. Differences in property taxes and insurance costs between states further shift the true cost of homeownership.

StateTop RateNotes
North Dakota$250,000Median home price is $250,000 with a median household income of approximately $65,000. The price-to-income ratio is 3.8.
Nebraska$260,000Median home price is $260,000 with a median household income of approximately $65,000. The price-to-income ratio is 4.0.
Minnesota$330,000Median home price is $330,000 with a median household income of approximately $77,000. The price-to-income ratio is 4.3.

With a median home price of $290,000 and a median household income of $62,000, South Dakota has a price-to-income ratio of 4.7. The national average price-to-income ratio is approximately 5.5. South Dakota is more affordable than the national average.

Tips for South Dakota Residents

  • 1The median household income in South Dakota is $62,000. Under the 28% rule, this supports a maximum monthly housing payment of about $1,447, including principal, interest, taxes, and insurance.
  • 2South Dakota's price-to-income ratio of 4.7 means the typical home costs 4.7 times the annual median income. This is moderate compared to the national average of roughly 5.5.
  • 3Because South Dakota has no state income tax, residents keep more of their gross pay, effectively stretching their housing budgets further than in income-tax states.
  • 4Property taxes in South Dakota average 1.28%, which adds $309 per month to your housing cost on the median home. Don't overlook this when calculating affordability.
  • 5Look into South Dakota's first-time homebuyer assistance programs, which may include down payment grants, low-interest second mortgages, or mortgage credit certificates (MCCs) that provide a federal tax credit on mortgage interest.

Frequently Asked Questions

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