Where Are the Fastest-Growing Home Prices in South Dakota?
For years, advertisers have been attempting to motivate consumers with the nearly constant reminder that 'there's never been a better time to buy'. But in one key sector of the economy that couldn't be further from the truth right now.
COVID-19 has had a chilling effect on the housing market across the country, with inventories at historic lows, currently leaving sellers with the upper hand.
That's the case in South Dakota as well. Dakota News Now recently reported that the number of homes listed for sale in just the Sioux Falls market is down 50 percent from just a year ago, as more and more homeowners are deciding to stay put while riding out the pandemic.
Simple economics will tell you that when supply is low and demand high, prices go up.
In some South Dakota communities, those increases have been nothing short of astronomical.
Stacker, using data from Zillow, has put together a list of the rising home price hot spots in the Mount Rushmore State.
Topping the list is Salem, the McCook County town of 1,260, where housing prices haven't just risen nearly 11 percent from last year, but are up nearly 85 percent from a decade ago. Low prices are one of the keys to Salem's success. The average home there sells for just over $126,000, which is nearly 45 percent lower than the average home in the state.
Sioux Falls is fifth on the list with prices up nearly 50 percent in the last ten years.
Nearby cities Dell Rapids (#7), Madison (#9), and Garretson (#10) also made the top ten.
FASTING-RISING HOME PRICES IN SOUTH DAKOTA (Increase from 2020)
- Salem (+10.9%)
- Hill City (+9.5%)
- Alcester (+8.1%)
- Flandreau (+7.6%)
- Sioux Falls (+7.2%)
- Rapid City (+6.9%)
- Dell Rapids (+6.7%)
- De Smet (+6.6%)
- Madison (+6.4%)
- Garretson (+6.4%)