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Mississippi vs South Dakota:
Mortgage & Housing Costs

Side-by-side comparison of mortgage costs, property taxes, closing costs, and homeowners insurance between Mississippi and South Dakota. Updated for 2026.

MetricMississippiSouth Dakota
Median Home Price$175K$295K
Property Tax Rate0.8%1.22%
Avg Closing Costs$2K$2K
Closing Cost %1.4%0.7%
Transfer TaxNone0.1%
Homeowners Insurance$2,400/yr$2,300/yr
First-Time Buyer Program
MHC Smart Solution
Up to $10,000 DPA
SDHDA First-Time Homebuyer
Fixed-rate FTB loans
Verdict

Mississippi and South Dakota are evenly matched across major housing cost categories. Your decision may come down to other factors like job market, climate, or lifestyle preferences. Use the calculators below to model your specific scenario.

Monthly Payment Comparison

Estimated PITI payments assuming 10% down, 6.5% rate, 30-year fixed mortgage with PMI.

Mississippi
Home Price$175,000
Down Payment (10%)$17,500
Loan Amount$157,500
Monthly P&I$996
Monthly Property Tax$117
Monthly Insurance$200
Monthly PMI$66
Total PITI$1,378/mo
Annual property tax: $1,400
South Dakota
Home Price$295,000
Down Payment (10%)$29,500
Loan Amount$265,500
Monthly P&I$1,678
Monthly Property Tax$300
Monthly Insurance$192
Monthly PMI$111
Total PITI$2,280/mo
Annual property tax: $3,599

Buying in Mississippi saves you approximately $902/month ($10,824/year) compared to South Dakota, based on median home prices with identical loan terms.

Which State Is Right for You?

Mississippi offers meaningfully lower home prices than South Dakota, with median prices running 41% less ($120K difference). This gap translates to both a smaller loan and lower monthly payments. First-time buyers priced out of South Dakota may find Mississippi far more accessible, particularly when combined with local down payment assistance programs.

Mississippi has a moderate property tax advantage at 0.8% versus South Dakota's 1.22%. While the rate gap of 0.42% may seem small, it translates to an annual difference of approximately $2,199 when applied to each state's median home price. Over a typical homeownership period of 7-10 years, that adds up to $18K in savings.

Both states offer down payment assistance for first-time buyers. Mississippi's MHC Smart Solution provides Up to $10,000 DPA, while South Dakota's SDHDA First-Time Homebuyer offers Fixed-rate FTB loans. These programs can significantly reduce your upfront costs and make homeownership accessible even if you haven't saved a full 20% down payment. Check eligibility requirements on each state's housing finance agency website — income limits and purchase price caps apply.

Key Takeaway

The bottom line: Mississippi homes cost $120K less than South Dakota on average. That translates to roughly $902 less per month in total housing costs if you choose Mississippi. For most buyers, this price gap is the single biggest factor — it affects your loan size, monthly payment, and how quickly you build equity.

Compare Other States

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