The rate in context
On a $400,000 home, 1.00% means roughly $4,000 per year in property tax, escrowed monthly, so it lands directly in your payment and your debt-to-income ratio.
Exemptions and notes
No income tax, so property tax is the main local revenue source; there is no statewide assessment cap.
Sources: Tax Foundation 2026 (2024 ACS); SDCL 43-4-21. County-level rates vary; your county page has local detail.
Counties in South Dakota
FAQ
What is the average property tax rate in South Dakota?
The average effective property tax rate in South Dakota is about 1.00%, per Tax Foundation 2026 (2024 ACS); SDCL 43-4-21. Individual counties vary above and below that average.
How do South Dakota property taxes affect my mortgage?
Taxes are escrowed into your monthly payment, so a higher rate directly reduces how much house you qualify for. No income tax, so property tax is the main local revenue source; there is no statewide assessment cap.