Sioux Falls, SD Rental Market for Investors
An estimated 53% of Sioux Falls's active listings could cash-flow as a short-term rental — here's what the numbers say for investors, as of October 2026.
As of October 2026, we analyzed 971 active for-sale homes in Sioux Falls, South Dakota. The typical listing is priced at $354,900 and is projected to generate about $38,736 a year as a short-term rental.
After setting aside an estimated 20% for operating costs, an estimated 53.3% of those homes could still cover an investor mortgage payment on short-term-rental income — roughly in line with the 53.1% median across the 200 major metros we track, ranking Sioux Falls #99 of 200 for cash-flow potential.
On market momentum: homes in Sioux Falls sit a median of 48 days on the market, and 32% of active listings came on in just the last 30 days — a steadily paced market, which shapes how much room there is to negotiate.
For a DSCR loan — which qualifies on the property's rental income rather than your personal income — that's a relatively healthy setup: in Sioux Falls, a meaningful share of listings throw off enough short-term-rental income, after costs, to cover an estimated investor mortgage payment.
What actually works in Sioux Falls
Sioux Falls works for investors, but the window is specific: 190 of the 720 Sioux Falls homes, condos and townhomes we can price confidently clear a DSCR of 1.25. Nine in ten of them are priced under $340,000.
| Price | 1 bed | 2 bed | 3 bed | 4 bed | 5 bed |
|---|---|---|---|---|---|
| $150k–$250k | 0%1.06 | 65%1.35 | 93%1.47 | 100%1.77 | — |
| $250k–$350k | — | 0%0.81 | 24%1.16 | 63%1.39 | — |
| $350k–$500k | — | 0%0.75 | 3%0.89 | 19%1.09 | 20%1.05 |
| $500k+ | — | 0%0.36 | 0%0.55 | 0%0.63 | 0%0.73 |
Darker means a larger share of that group cash-flows. “—” means fewer than 8 active listings — too few to draw a conclusion from.
Sioux Falls in full
| Active for-sale homes analyzed | 971 |
|---|---|
| Median list price | $354,900 |
| Median projected STR revenue (annual, gross) | $38,736 |
| Median average daily rate (ADR) | $189 |
| Median occupancy | 55% |
| Median beds | 3 |
| Median size | 1,780 sqft |
| Estimated cash-flow-positive share | 53.3% |
| Median days on market | 48 days |
| New listings (last 30 days) | 32.0% of active |
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Estimates for educational purposes. Final terms subject to credit, property & program approval.
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