South Dakota Down Payment Assistance
South Dakota Down Payment Assistance Programs
A guide to current down payment assistance options in South Dakota, including the state Housing Finance Agency, well-known city and county programs, and live DPA mortgage pricing for South Dakota homebuyers.
South Dakota Housing Finance Agency
South Dakota Housing Development Authority (SDHDA)
www.sdhda.org800-540-4241
SDHDA administers the primary DPA programs for South Dakota. Program details below are current as of April 23, 2026 - confirm current terms directly with SDHDA before applying.
Statewide DPA Programs in South Dakota
First-Time Homebuyer Program
SDHDA
30-year fixed-rate first mortgage paired with eligibility for SDHDA down payment assistance (Fixed Rate Plus).
Paired with: FHA, VA, USDA, Conventional
- First-time homebuyer: Required
- Primary residence only
- Income: Household income must fall under SDHDA income limits, which vary by county and household size.
- Homebuyer education required
First-time homebuyer defined as no ownership interest in a primary residence in the last three years; exceptions for targeted areas and qualified veterans.
Source: www.sdhousing.org
Repeat Homebuyer Program
SDHDA
30-year fixed-rate first mortgage available to buyers who have previously owned a home; eligible to pair with SDHDA down payment assistance.
Paired with: FHA, VA, USDA, Conventional
- First-time homebuyer: Not required
- Primary residence only
- Income: See SDHDA repeat homebuyer income limits schedule.
- Homebuyer education required
Source: www.sdhousing.org
Fixed Rate Plus Down Payment Assistance
SDHDA
3% or 5% of the first mortgage loan amount, delivered as a 0% interest second mortgage with no monthly payments; due on sale, refinance, or payoff of the first mortgage.
Paired with: FHA, VA, USDA, Conventional
- Primary residence only
- Income: Must meet SDHDA income and purchase price limits (county-based).
- Homebuyer education required
Available only in conjunction with an SDHDA First-Time or Repeat Homebuyer first mortgage. Funds may be used for down payment and closing costs.
Source: www.sdhousing.org
Governor's House Program
SDHDA
Energy-efficient affordable homes built and sold to income-qualified South Dakotans; not a down payment assistance product but a complementary affordable housing path.
- Primary residence only
- Income: Income-qualified per SDHDA guidelines.
Separate from DPA: participants purchase a pre-built affordable home and arrange financing separately. Often paired with an SDHDA first mortgage.
Source: sdhda.org
South Dakota Notes for Homebuyers
- South Dakota uses mortgages (not deeds of trust) with judicial foreclosure; title companies typically handle closings.
2026 Loan Limits in South Dakota
Conforming (Conventional)
$806,500 baseline
FHA
$524,225 floor
Most South Dakota counties use the FHA floor limit.
Live DPA Pricing for South Dakota
Pricing below is sourced live from hundreds of wholesale lenders for a South Dakota scenario. Edit the inputs to match your situation.
FHA Down Payment Assistance
Up to 5% assistance; repayable second at first rate + 2% over 10 years
▸Program details
- ✓Minimum credit score: 580
- ✓Non-traditional credit also possible
- ✓Assistance up to 2.5%, 3.5%, or 5% of the lesser of purchase price or appraised value
- ✓Assistance can be used for down payment, closing costs, or both
- ✓Second lien: 10-year fixed, repayable
- ✓Second lien rate is 2% higher than the first mortgage rate
- ✓No first-time homebuyer requirement
- ✓No income cap
- ✓Purchase of primary residence only
- ✓Eligible properties: 1-unit residences, PUD, 2-4 units, FHA-approved condos, manufactured (single/double-wide)
- ✓DTI per AUS and FHA manual underwriting guidelines
- ✓First lien: FHA 30-year fixed
Assistance amount
Compare DPA options for South Dakota with live pricing
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