Current South Dakota Mortgage and Refinance Rates

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How Does LendingTree Get Paid?

LendingTree is compensated by companies on this site and this compensation may impact how and where offers appear on this site (such as the order). LendingTree does not include all lenders, savings products, or loan options available in the marketplace.
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Current 30-year fixed mortgage rates are averaging: 7.52%

Current 15-year fixed mortgage rates are averaging: 6.83%

Current average rates are calculated using all conditional loan offers presented to consumers nationwide by LendingTree’s network partners on the previous day for each combination of loan program, loan term and loan amount. Rates and other loan terms are subject to lender approval and not guaranteed. Not all consumers may qualify. See LendingTree’s Terms of Use for more details.

Compare SD mortgage rates today

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Refinance rates in South Dakota

  • Rate-and-term refinances allow homeowners to get a new mortgage that better suits their financial goals. Lengthening your loan term or lowering your interest rate (or even both), for example, can reduce your monthly mortgage payment. In South Dakota today, refinance rates may be a little higher than purchase mortgage rates.
  • Cash-out refinances give you a chance to replace your current home loan with a new one and, at the same time, convert some of your home equity to cash. They usually come with higher rates than regular refinances.
  • Conventional refinances are defined by the fact that they’re not part of a government loan program. You can expect them to come with higher rates than government-backed refinances.
  • FHA refinances are insured by the Federal Housing Administration (FHA), and are usually easier to qualify for than conventional loans. Their rates are typically lower than conventional refinance rates — in South Dakota, you may see a difference of about 0.45 percentage points.
  • VA refinances, which are backed by the U.S. Department of Veterans Affairs (VA), come with low rates and some great perks, including very flexible VA loan requirements. However, in the vast majority of cases if you haven’t served in the military you won’t be eligible.

Current 30-year fixed mortgage refinance rates are averaging: 7.76%

The current average rate for a 15-year fixed mortgage refinance is: 6.99%

Current average rates are calculated using all conditional loan offers presented to consumers nationwide by LendingTree’s network partners on the previous day for each combination of loan program, loan term and loan amount. Rates and other loan terms are subject to lender approval and not guaranteed. Not all consumers may qualify. See LendingTree’s Terms of Use for more details.
See whether refinancing makes sense for you using our mortgage refinance calculator.

What is the current mortgage rates forecast for 2024?

Potential homebuyers should expect 30-year rates to remain between 6% and 7% for most of the year, according to the current mortgage interest rates forecast. That’s a welcome relief after rates spent several months above 7% in 2023. However, LendingTree senior economist Jacob Channel recommends buyers temper their optimism with a little bit of caution: Home affordability isn’t likely to change dramatically even with a dip in rates.

How do I get the best mortgage rate for my South Dakota home loan?

If you want to get the best mortgage rate, your first job is to influence the key factors determining your mortgage rate that you can control. Here are a few steps you can take today to get a great rate:

  1. Boost your credit. Your credit score helps determine the mortgage rates lenders can offer you. In general, a higher credit score will mean better rate offers. And if you need to check your credit score or learn more about the factors that may be bringing it down, try LendingTree Spring.
  2. Lower your debt-to-income (DTI) ratio. Your DTI ratio tells lenders whether your debt load is heavy or light, and how much more you can take on. If you want to lower your DTI, try increasing your income, paying off some debts or getting a cosigner.
  3. Buy a single-family, site-built home. If you’re buying a manufactured home, multifamily home, vacation home or investment property, you’ll likely pay higher rates.
  4. Pay for mortgage points. If you have extra cash on hand, you may want to consider purchasing mortgage points. One point usually costs 1% of your loan amount and reduces your rate by up to 0.25 percentage points.
  5. Compare offers from multiple lenders. A simple strategy for getting a great rate is comparison shopping. Gather loan estimates from three to five lenders and compare the rates they offer you. This can save you thousands of dollars over the life of your loan, according to LendingTree data.

 Read more about our picks for the best mortgage lenders.

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When should I lock in my mortgage rate?

Once you have both a house and a loan offer you want to move forward with, you can request a mortgage rate lock. A lock ensures that your interest rate won’t increase before you make it to closing. Rate locks are tied to a specific property’s address, so if you decide not to purchase the house you had your eye on, you’ll have to request a new rate lock later on down the line.

2024 South Dakota home loan programs

SD Housing First-Time Homebuyer Programs

The South Dakota Housing Development Authority (SD Housing) has a loan program tailored to first-time homebuyers that can allow you to lock in a low interest rate on a conventional, FHA, VA or USDA loan.

Who qualifies?

Borrowers must:

  Be a first-time homebuyer
  Earn within the program’s income limits, which vary depending on location and household size
  Purchase a home for no more than $385,000

Who qualifies as a first-time homebuyer?

People who have never owned a home
People who haven’t owned a home in the last three years*
Qualified veterans, regardless of their actual history owning real estate
*Certain types of mobile homes may not count as previous homeownership

SD Housing Repeat Homebuyer Loan Program

Repeat homebuyers also have a great option through SD Housing. This program gives borrowers access to low interest rates, down payment assistance, closing cost assistance and discounted mortgage insurance rates.

Who qualifies?

Borrowers must:

  Earn less than $111,120 for a one- to two-person household, or less than $$129,640 for households with three or more members
  Purchase a home for no more than $460,000
  Have a minimum 620 credit score

SD Housing Fixed Rate Plus Program

Borrowers with an SD Housing loan may qualify for additional down payment assistance funds through this program, which offers up to 5% of the first mortgage amount. The assistance will come in the form of a second mortgage with no interest and no monthly payments. You won’t have to worry about repaying the money until you sell the home or pay off your first mortgage.

Who qualifies?

To see if you qualify, reach out to an approved SD Housing lender.

Get the full details about each program at SD Housing’s website.

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Learn about different types of SD mortgage loans

South Dakota conventional loans. Conventional loans are a popular choice and can offer good value on a home purchase. You’ll have to meet the minimum requirements, though, which means that anyone without at least a 620 credit score won’t be eligible.

South Dakota FHA loans. FHA loan requirements are more accessible than conventional loan requirements, and you can qualify with a credit score as low as 500. But, in order to do so, you’ll have to make a 10% down payment. If you’re looking to make a smaller down payment, you can put down as little as 3.5% — as long as your score is 580 or above.

South Dakota VA loans. VA loan requirements are the most flexible among common loan types, and there’s no credit score minimum set by the VA. You will, however, need to have a qualifying military service record.

South Dakota streamline refinances are for homeowners who want to refinance from an FHA loan into a new FHA loan, or from a VA loan into a new VA loan. The loans available to make this happen are FHA streamline refinance loans or VA interest rate reduction refinance loans (IRRRLs). The “streamline” name comes from the fact that these loans will require less paperwork and less hassle than other refinance types.

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