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South Dakota home affordability calculator

The median South Dakota household earns about $71,000 a year, and the median home costs about $290,000 — 4.1 times income. With 10% down, no other debts, and the current 7.32% average 30-year rate (Freddie Mac, week of October 22, 2026), standard lending ratios support a home of about $193,063 , roughly $96,937 short of the median. The calculator is pre-filled with those figures — replace them with yours.

$193,063 max home price

Max loan amount
$164,063
Housing payment budget
$1,652
P&I budget
$1,127
Bound by
front-end ratio

Uses the 28% front-end / 36% back-end DTI guidelines. Lenders vary.

How it works

Lenders cap the full housing payment — principal, interest, property tax, insurance — near 28% of gross monthly income, and all debt payments near 36%. In South Dakota, property tax at about 1.17% of value plus roughly $2,900 a year of homeowners insurance come to about $524 a month on the median home, and that comes out of the 28% budget before anything goes to the loan. On the median income the housing budget is about $1,652 a month, leaving $1,127 for principal and interest.

Homes in South Dakota spend about 40 days on the market on average. South Dakota has no state income tax and a low state sales-tax rate, but a near-average property tax rate and significant hail exposure that keeps homeowners insurance elevated.

Frequently asked questions

How much house can I afford in South Dakota on the median income?
On South Dakota's median household income of about $71,000, with no other debts, 10% down, and a 7.32% 30-year rate, the 28% housing guideline supports a home of roughly $193,063. That's about $96,937 below the $290,000 median home price.
What income do I need to buy a median-priced home in South Dakota?
South Dakota's median home costs about $290,000 — 4.1 times the median household income. Lenders' 28% front-end rule means the full payment, including about $524 a month in property tax and insurance, needs to fit inside 28% of gross monthly income. Try the calculator with your own income and down payment.
How much do property tax and insurance add in South Dakota?
On the median home, South Dakota's 1.17% effective property tax rate and about $2,900 a year in homeowners insurance come to roughly $524 a month — money that comes out of the housing budget before any goes to principal and interest.
Does South Dakota's income tax affect how much house I can afford?
Not directly — lenders qualify you on gross income. But South Dakota doesn't tax wages, so more of each paycheck is left for the payment than in an income-tax state.

Learn more: How much house can I afford?

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