Home Value Trends in South Dakota

The real estate market doesn't seem to be crashingstill-under-construction Crazy Horse Memorial
quite as hard as industry experts and the media werededicated to Native American heroes. South Dakota is
predicting in 2006 - home value prices haven'talso a treasure trove of outdoor adventures, with the
plummeted and the bubble hasn't burst so much asBadlands National Park (famous for it's moon-like
deflated. There are still doom and gloom predictions forlandscape), the Black Hills National Forest and Caves
the state of the market, but overall, the sky hasn'tas well as many archaeological and paleontological
fallen on real estate. When looked at on a nationalsites and discoveries (world famous T-Rex "Sue" was
scale, the market has definitely come off it's boom ofdiscovered in South Dakota). Even the Old West and
the past few years, but knowing the median nationalpioneer spirit is kept alive in Deadwood, national historic
home value of 2006 (it's about $221,900) and rate oflandmark styled authentically after the Old West. You
home sales nationwide won't help you when you'recan spend days visiting cultural and historical landmarks,
thinking of buying or selling. Real estate is ango shopping, dining and enjoy the nightlife or be
investment and obviously you want to investadventurous with hiking, climbing, camping, fishing,
somewhere that your investment is likely to grow. Inboating, sailing and more in South Dakota - what ever
order to somewhat predict how a certain area will doyou like, South Dakota seems to have something for
in real estate over a span of years, it's important toeveryone, a draw that pulls in many new residents!
look not just into past home value and sale trends, butOne more major factor that has kept South Dakota's
the economy, employment and attractions of the areareal estate market strong is its low cost of living
itself.coupled with relatively high incomes compared to
South Dakota (capital city: Pierre), is one area of themedian home value prices. In 2006, the median home
nation that has stayed relatively strong in real estate,value sales price in South Dakota was about $152,000,
which is little wonder with all the jobs, space and lowwhich was nearly $80,000 below national median
cost of living available in a big state with a populationhome value. In 2006, South Dakota's median household
of only 781,919 in 2006. South Dakota has strongincome had risen above $43,000, not too far below the
agricultural economy of cattle, hogs, wheat, soybeans,national median income. This high income combined
milk and corn and industry production focused on foodwith low housing costs allowed South Dakota families
processing, machinery, lumber and wood products andto afford more expensive homes.
tourism. Unlike many states, South Dakota's factoriesAs of now, the market in most of South Dakota is
have added jobs in each of the past three years, andsteady, with average home value sales prices in the
service sectors have also grown, keeping itsBlack Hills region steady at about $183,871 and
unemployment rate at a relatively low 3.4% over thespending an average of 71 days on the market. With a
past few months.strong job market, diverse culture and landscape that
This strong employment base along with Southattracts thousands of visitors a year and low cost of
Dakota's various tourist draws has helped keep theirliving, South Dakota's market is likely to stay strong,
real estate market steady and home value priceswith homes selling within about 90 days or so of being
creeping up. South Dakota, is of course, home ofput on the market and home value averages creeping
perhaps the most famous and patriotic sculpture in thesteadily higher.
world: Mt. Rushmore as well as the