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Making Homeownership Easier with Downpayment Assistance

Rolling

South Dakota Housing Development AuthoritySDFirst-Time Homeowner

Funding: Downpayment and closing-cost assistance and low-interest mortgages via SD Housing first-time or repeat buyer programs, disbursed via participating lenders.OtherScope: Statewidestate

Updated: Dec 1, 2025

Summary

South Dakota’s Fixed Rate Plus down payment assistance provides 3% or 5% of the first mortgage amount as a 0% interest, due-on-sale second mortgage to cover down payment and closing costs, helping first-time and repeat buyers bridge the upfront cost gap.

Benefits

Down payment assistanceClosing cost assistanceAffordable mortgage

Who Can Apply

Individual

Eligible Locations

South Dakota (statewide) through SD Housings participating lender network.

Eligibility

Eligible borrowers who qualify for SD Housing’s Fixed Rate Plus first mortgage and meet standard underwriting, property, and income guidelines for South Dakota Housing programs

Full Description

SD Housing’s Downpayment Assistance program, offered through the Fixed Rate Plus loan, gives qualifying South Dakota homebuyers a second mortgage equal to 3–5% of the first mortgage amount to use toward down payment, closing costs, and prepaid items. The assistance comes as a 0% interest, no-monthly-payment loan that is due when the home is sold, refinanced, or the first mortgage is satisfied, allowing buyers to keep more cash on hand at closing while still accessing affordable, fixed-rate financing through participating lenders across the state.

Verification & Details

Complexity: Moderate
Confidence: 75%
Source: sdhousing.org

Based on SD Housing website describing general homeownership programs; no single program page given so details are broad and variable.

Official source → sdhousing.org
Apply on official siteUpdated Dec 1, 2025

Recommended Resource

First-Time Homebuyer Starter Pack (2025 Edition)

A complete first-time homebuyer toolkit: 9 checklists, timelines, grant guidance, worksheets + editable Excel/Google Sheet budget & affordability calculator.

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