Give Me 5: South Dakota’s New 5% Down Payment Program

South Dakota just made it easier for first-time buyers to clear the biggest hurdle in buying a home: the down payment. Gov. Larry Rhoden and South Dakota Housing announced the Give Me Five program on October 13, and it opened on November 2, 2026 through participating lenders. Here’s what it is, who qualifies, and the interest rates South Dakota Housing is showing for it.

What is Give Me Five?

Give Me Five provides down payment and closing cost help equal to 5% of your first mortgage. It’s structured as a second mortgage with no monthly payments, and it’s forgiven after five years if you live in the home as your primary residence and meet all program requirements.

For example, a participating lender’s program page shows that a $300,000 first mortgage would qualify for $15,000 in assistance.

Who qualifies?

• First-time buyer: you haven’t owned a home in the past three years.
• Primary residence in South Dakota: the home has to be where you live.
• Purchase price of $410,000 or less.
• Income within SD Housing’s limits. News reports on the launch put the limits between $103,400 and $144,760, depending on county and family size. SD Housing publishes the current limits, so check them before you plan around a number.
• Approval through a participating lender, with an eligible South Dakota Housing first mortgage.

The interest rate SD Housing shows for Give Me Five

South Dakota Housing’s rate page, effective November 2, 2026 at 9:00 AM CT, lists these rates for a 30-year fixed-rate mortgage for first-time buyers:

SD Housing says rates are subject to change, and its page doesn’t show an APR, so ask a participating lender for the APR on your loan.

What that means: Give Me Five carries a rate 0.125 percentage points higher than the no-assistance Fixed Rate option, but lower than the Plus Loan 5% option, and the assistance is forgiven instead of repaid. On a $300,000 first mortgage at the government-loan rates, that extra 0.125 points adds roughly $25 a month in principal and interest (about $1,872 versus $1,847), in exchange for $15,000 toward your down payment and closing costs. That’s an illustration, not a quote. Your rate depends on your lender, loan type, and approval.

What to know before you count on it

• It’s a limited-time program. SD Housing describes it as available “for a limited time,” and news reports say the authority has authorized up to 2,500 loans.
• Plan to stay five years. One participating lender notes that selling, refinancing, or moving out before the five years are up triggers repayment of the remaining balance. Ask your lender how that would work for you.
• Details can change. SD Housing says eligibility and loan terms are subject to change without notice.

Does it work in Sioux Falls?

For many buyers, yes. The Sioux Falls median sale prices in my Fall 2026 market snapshot, roughly $339,000 to $357,000 depending on the source, sit below the $410,000 cap. That doesn’t mean every home qualifies, and prices vary by neighborhood, so the best test is looking at real homes in your range. You can also use the payment calculator on my home page to try different prices and the rates above.

How to get started

1. Check eligibility on SD Housing’s site, including the income limits for your county and household size.
2. Talk to a participating lender to confirm the current rate, your approval, and the program terms. SD Housing has a find-a-lender page.
3. Get pre-approved, then talk to me about homes in your range around Sioux Falls. My first-time buyer guide walks through the rest of the process.

I’m a real estate agent, not a lender, so your lender has the final word on whether you qualify.

Information as of November 4, 2026, and subject to change. This post is general information, not financial advice. Sources: SD Housing, Give Me Five announcement; SD Housing, current homebuyer program interest rates; SD Housing, First-Time Homebuyer Program; SDPB, Oct. 13, 2026; KELO, Oct. 14, 2026; Governing, Oct. 14, 2026 (from South Dakota Searchlight); Granite Bank, Give Me Five.