Sioux Falls, SD – On November 2, South Dakota will launch a new home‑ownership assistance program called “Give Me Five.” The initiative, announced by Governor Larry Rhoden and South Dakota Housing (SDH), offers eligible first‑time homebuyers a forgivable loan equal to five percent of the purchase price, with no monthly payments required.
How the program works
Applicants who meet income and credit criteria can receive a loan that covers up to five percent of the home’s price, provided the property costs $410,000 or less. The loan does not require monthly repayments; instead, it can be forgiven after five years of continuous residence in the home. If the homeowner sells or moves before the five‑year mark, the balance becomes due.
State leadership backs homeownership
“Every South Dakotan should have the opportunity to build a strong future right here in our state – and buying a home is often a big part of that process,” Governor Rhoden said at the program’s unveiling. He emphasized that expanding homeownership aligns with the administration’s broader goals of strengthening families and local economies.
SDH Executive Director Chas Olson added, “In today’s challenging housing market, first‑time homebuyers need every advantage they can get. The Give Me Five program will be a valuable tool in helping them overcome affordability barriers and achieve homeownership.”
Why the program matters now
The housing market in South Dakota, like much of the nation, has seen rising prices and limited inventory, making it difficult for new buyers to save for a down payment. By providing a zero‑interest, forgivable loan, the state hopes to reduce the upfront cost hurdle and encourage more residents to purchase homes rather than continue renting.
Local real‑estate professionals have welcomed the announcement, noting that the program could stimulate demand for homes priced under $410,000, a segment that includes many single‑family houses in suburban and rural areas.
Eligibility and application process
Prospective buyers must be first‑time purchasers, meet income limits set by SDH, and intend to occupy the home as their primary residence. Applications will be accepted online through the South Dakota Housing website beginning October 15, with decisions communicated within 30 days of submission.
Applicants will need to provide documentation of income, employment, and credit history, as well as a signed purchase agreement for a qualifying property.
Impact on families and communities
By lowering the barrier to entry, the program supports traditional families in establishing stable, long‑term roots in South Dakota communities. Homeownership is linked to higher school involvement, stronger neighborhood ties, and increased civic participation—outcomes that align with the values of faith‑centered, family‑oriented residents.
The administration expects the program to help hundreds of families achieve the American Dream of owning a home, while also generating modest economic activity for local builders, lenders, and related businesses.
Next steps
Governor Rhoden and SDH will host informational webinars in the weeks leading up to the November 2 start date. Residents are encouraged to attend to learn more about eligibility, required documentation, and the benefits of the forgivable loan.
For additional details, visit the South Dakota Housing website or contact the agency’s customer service line.
Original reporting: Dakota News Now KSFY Sioux Falls (local) — read the source article.
