Best Affordable Places to Live in South Dakota in 2024

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Sioux Falls is the largest city in South Dakota, so you can expect to find plenty of dining, shopping, and entertainment options downtown and in the surrounding area. There are lots of outdoor activities as well, right in the city, including the Great Plains Zoo and Falls Park, which overlooks the scenic waterfalls of the Big Sioux River. Don’t let the size of the city scare you off — median home values are lower than for the U.S. overall, and the cost of living here is one of the lowest in the U.S., period.

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Vermillion is located near the banks of the Missouri River and has a historic downtown district with specialty shops, galleries, dining and more. It’s also home to the University of South Dakota — so it’s a vibrant city with lots of activities, festivals and live music performances. And there’s plenty of history to explore, as well.

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Want to live in a city but feel like your vacation is just steps away? Rapid City is known as the gateway to Mount Rushmore, and it’s close to all the great touristy stuff that draws visitors to the state. But it also can be an affordable and fun place to live and work. The downtown area offers plenty of galleries and public art for residents to enjoy, and the city celebrates the area’s Native American history and culture every year with the popular Black Hills PowWow.

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Whether you’re into arts and culture or want to play in the great outdoors, you can find something to suit in Winner. This small city has its own community theater, pool, library, baseball and softball fields, city park with a hiking trail, and more. Parents will appreciate Winner’s well-regarded schools.

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Pierre (pronounced peer) is the capital of South Dakota, but it’s far from a bustling big city. (It’s the second-least populous capital in the U.S.) Homes in Pierre come in a wide variety of sizes, styles, and prices — and many offer a scenic view of the Missouri River, where outdoorsy types can fish, camp, and boat.

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Brookings is home to South Dakota State University, the largest university in the state, and it’s South Dakota’s fourth-most-populous city. Still, the city is known for its sense of community and small-town charm. Families will find the good schools appealing, and there’s plenty there for both grownups and kids to do. The Brookings County Outdoor Adventure Center has an Olympic-sized archery range and hosts the county’s 4H program.

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If you like the idea of living close to two popular lakes and two state parks, you’ll want to check out Watertown. The town offers plenty of activities throughout the year, including fishing and ice fishing, a cinema, bowling, a family aquatic center, and the Bramble Park Zoo. And the cost of living in Watertown is well below the national average.

Harrisburg is one of the fastest-growing cities in South Dakota, and the city’s school system continues to expand to meet the community’s needs. The city also boasts a wide range of amenities for families, including parks and recreation facilities. Harrisburg residents can also enjoy the big-city amenities in Sioux City, which is just a short drive north.

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If you’re looking for your forever home, you may want to include Brandon on your house-hunting list. Families find the good schools appealing, and the city offers eight parks, a public golf course, and a public pool. Brandon also has a manageable commute for parents who want to work (or play) in Sioux Falls. And the cost of living in Brandon is just 80% of the U.S. average.

Tea is another Sioux Falls suburb that’s popular with families. Home values and the overall cost of living are higher in Tea than in other locations on our list, but both are lower than the national average. And parents will want to check out Tea’s schools and the facilities at Tea Park, which include a pool, basketball courts, a fishing pond, and bike path.

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Madison is one of those cities that could be described as “just right,” especially for young adults. It’s not too big or too small, the cost of living is low, and homes aren’t too expensive. There’s a vibrant downtown with shops, restaurants, museums, and more. And you don’t have to go far to get away from it all and enjoy hiking, fishing, camping, and more. It’s also the home of Dakota State University, so you’ll get that fun college-town vibe.

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Whether you plan to rent or buy, if affordability is a house-hunting priority, you may want to start with Aberdeen. You may even find a nice fixer-upper to invest in. And there’s no shortage of things to do in Aberdeen, from mini golf and movies to skating and a community garden. Aberdeen is another college town (it’s home to Northern State University), so there’s almost always a game or event going on. And the city is known for its fun nightlife.

North Sioux City is another small South Dakota city that has lots to offer. It’s just a short commute to downtown Sioux City, Iowa, but North Sioux City also has its own thriving local business community. When you’re ready to play, there’s nearby McCook Lake for fishing and boating. And there are several restaurants, bars, and casinos on the stretch of road known as “The Strip.”

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If you’re seeking a city with a sense of community, cool architecture, and a busy downtown district, Mitchell may be for you. The 100-year-old Corn Palace is a colorful and storied entertainment venue and architectural feat. Right next door, you’ll find the city’s historic Main Street, with more than 100 shops, places to eat, and more. And nearby Lake Mitchell provides residents with a variety of outdoor recreational opportunities.

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Huron is another welcoming city in the heart of South Dakota, with plenty of outdoor activities and an eclectic mix of bars and restaurants to enjoy after a long day at work or play. Hunting and fishing are popular sports in Huron, but you can also golf, bowl, play hockey, or go for a swim at the city’s aquatic center.

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Hot Springs is known for its natural beauty and the therapeutic benefits of its natural mineral springs. Its popularity with veterans (it’s actually nicknamed “Veterans Town”) dates back to World War I, when a national hospital was established for the treatment of veterans, followed by a VA health-care facility and a state veterans home. The city is also a popular tourist spot, known for its vibrant art scene and its proximity to many of the state’s historic landmarks.

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Yankton, also known as the “River City,” is located along one of the last natural-flowing stretches of the Missouri River. This makes it a big draw for outdoor lovers — but there’s also a historic downtown, museums, a live theater, and more. And the cost of living in Yankton is among the lowest in the state.

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Milbank is located in northeast South Dakota, at the south fork of Whetstone Creek. Surrounded by farmland, it’s a quiet but growing community, and retirees and their families will find plenty to do there and a mix of restaurants to enjoy. The city prides itself on being the birthplace of American Legion Baseball and is in the process of building a multi-million-dollar baseball complex.

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Lead is located in western South Dakota, in the Black Hills near the Wyoming state line. If you’re looking for a mix of history, outdoor recreation, dining, arts, and entertainment — and your budget can afford a home that’s a bit over the state’s median value — this mountain town could be for you.

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You may know Sturgis for the Sturgis Motorcycle Rally, one of the largest bike rallies in the world — but it’s also a growing yet tight-knit community that welcomes families and retirees. The city hosts several festivals throughout the year, a Hometown Marketplace that showcases local vendors, and in the summer, there’s the Music on Main Summer Event Series. Hoping to stay in shape in retirement? The Sturgis Community Center has a pool and fitness facility, and there’s also a community garden.

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Belle Fourche (“beautiful fork”) is a quiet city located on the northern slopes of South Dakota’s Black Hills. It’s near the 8,000-acre Belle Fourche Reservoir, which is a popular spot for birding, biking, boating, and canoeing. And it’s close to many of the state’s most popular tourist attractions.

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Spearfish Creek, the second-largest stream in the Black Hills, runs right through the center of the city of Spearfish, making it a mecca for freshwater fishing fans and tourists. But the city is also a family-friendly place to live, with a historic downtown lined with shops, coffeeshops, cafes, and wine bars. And there’s live entertainment in the summer.

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Fort Pierre is a picturesque city on the bluffs of the Missouri River, so you’ll find plenty of beautiful scenery and recreational opportunities there. The city embraces its history and the French explorers who settled the region. But it’s also a modern city that prioritizes business growth and quality of life for its residents.

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Mobridge, also known as Kȟowákataŋ Otȟúŋwahe, is another South Dakota city with a strong connection to its Native American heritage and the early days of the railroad. Art lovers will revel in the city’s public art, including the “Walleye Up” statue and murals by Native American Artist Oscar Howe. And of course, there are plenty of places to go fishing, hunting, and camping.

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Tiny Platte is a quiet city located just east of Lake Francis Case on the Missouri River, so it’s popular for its fishing and boating. But Platte also has playgrounds and parks, golfing, and a pool for its residents — and it hosts several festivals and other events throughout the year.