If you’re planning on purchasing a home in South Dakota, you’ll want to make sure you are getting the best mortgage rate possible. Your mortgage rate will depend on a wide variety of factors, including your income, your credit score, the amount of your down payment, and your debt-to-income ratio.
Ways to improve your chances of getting an optimal mortgage rate in South Dakota include checking your credit before you apply for a home loan, making sure all of your documentation is in order, and getting preapproved by a reputable mortgage lender.
Here’s a quick look at current South Dakota mortgage rates:
| Loan Program | Mortgage Rate | APR* | 1 Day Change |
|---|---|---|---|
| Conventional 30 year fixed | 6.874% | 6.957% | Unchanged |
| Conventional 15 year fixed | 6.219% | 6.36% | Unchanged |
| Conventional 5 year ARM | 6.737% | 7.725% | Unchanged |
| FHA 30 year fixed | 6.375% | 7.134% | +0.05% |
| VA 30 year fixed | 6.375% | 6.675% | Unchanged |
| VA 5 year ARM | 6.5% | 7.301% | Unchanged |
Data source: ©Zillow, Inc. Use is subject to the Terms of Use
Thinking about buying a home in South Dakota? This could be a brilliant time to find your dream home in the Mount Rushmore State. Here’s what you need to know:
Start by figuring out where you want to live. South Dakota has a total population of just over 800,000, and of that population, more than a third live in the state’s most crowded cities (which exclude the state capital, Pierre):
You’ll definitely need to know how much home you can afford. South Dakota ranks 34th in US homes for sale at average price, and 48th for homes over $1,000,000. Getting preapproved can help you discover what your true budget is before you go house hunting.
If you are a first-time home buyer, you may be able to qualify for assistance through a program administered by the South Dakota Housing Development Authority (SDHDA).
The SDHDA First-Time Homebuyer Program can include down payment assistance through the SDHDA Fixed Rate Plus option, which offers a second loan worth up to 3% of your first mortgage. This is provided as a zero-percent 30-year loan, so there are no additional interest or fees; you’ll just pay it off when you pay off your loan or after 30 years, whichever happens first.
Requirements for this program include:
If you need to refinance a home in South Dakota to take advantage of favorable South Dakota mortgage rates, you can do any of the following:
You may want to ask about qualifying for a streamlined refinance, available on certain types of existing loans. Ask your lender for more information.
Use our free mortgage calculator tools to estimate your monthly mortgage payments based on your unique loan scenario. See how your monthly payment changes by making updates to your home price, down payment, interest rate, and loan term.
Wondering what your monthly mortgage payment might be? Plug in your data to get an instant mortgage payment estimate.
Military service can mean eligibility for a no-down payment mortgage. Find out if you qualify for a VA home loan.
Designed for first-time and low-income homebuyers, an FHA loan could put you on the path to home ownership fast.
Seeking to refinance? Find out how much you can save in interest over the term of your home loan by refinancing now.
Each step-by-step guide is designed to shepherd you through a process from start to finish. Know what to expect and how to proceed, no matter where you are in your home buying journey.
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