New program targets affordable homes for South Dakota workforce
With rising housing prices and tight inventory, South Dakota Housing’s Board of Commissioners took action on a new initiative to increase the supply of workforce housing across the state.
The newly created Workforce Housing Development Program (WHDP) is designed to increase the supply of quality, attainable homes and help address the growing affordability challenges facing South Dakota homebuyers. The program also promotes development on infill lots and other sites where smaller-footprint homes can help strengthen existing neighborhoods where character, infrastructure and convenience already exist.
Under the Workforce Housing Development Program, homes must be sold to households with incomes at or below 120% of the Area Median Income (AMI). In addition, the sales price of homes constructed with WHDP funds may not exceed $300,000.
Developers interested in learning about the new program, can contact Bridgette Loesch at 605.773.3181 or by emailing bridgette@sdhda.org. Applications will be accepted through SD Housing’s online submission portal on a first come, first served basis beginning on Sept. 1, 2026.
By supporting the construction of attainable workforce housing under $300,000, SD Housing hopes to increase homeownership opportunities, strengthen our mature neighborhoods, and help communities meet the needs of current and future residents.
