South Dakota Rent Increase Rules: Notice Requirements & Rights
Complete guide to South Dakota rent increase regulations including notice periods, no rent control, retaliatory increase protections, and landlord best pract...
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This content is for general informational and educational purposes only. It does not constitute legal advice and should not be relied upon as such. Laws change frequently — always verify current regulations and consult a licensed attorney in your jurisdiction for advice specific to your situation. Landager is a property management platform, not a law firm.Information last verified: May 2026.
South Dakota is one of the most landlord-friendly states when it comes to rent increases. Rooted in the property rights protections established upon the state's admission to the Union on November 2, 1889, there is no rent control, no cap on increase amounts, and no limit on frequency — giving property owners significant flexibility in setting rental rates.
Key Rules at a Glance
Rent Increases During a Fixed-Term Lease
During a fixed-term lease (e.g., a one-year lease), a landlord cannot increase rent unless the lease agreement explicitly contains a provision allowing mid-term increases.
If the lease has no such provision, the landlord must wait until the lease term expires to raise the rent. At renewal, the landlord may propose any new rent amount.
Rent Increases for Month-to-Month Tenancies
For month-to-month tenancies, landlords must provide at least 30 days' written notice before a rent increase takes effect. The increase takes effect at the expiration of the month (SDCL § 43-32-13).
Tenant's Right to Terminate
If a tenant receives a rent increase notice and does not wish to pay the higher amount, they have the right to terminate the tenancy:
- The tenant must provide the landlord with 15 days' written notice to terminate a month-to-month tenancy if they do not agree to the modified terms (SDCL § 43-32-13, as amended by SB 89, 2024).
- For general termination of a month-to-month tenancy where no term is specified, either party may terminate by giving at least 15 days' written notice before the expiration of the term (SDCL § 43-32-15, as amended by SB 89, 2024).
No Rent Control in South Dakota
South Dakota has no statewide rent control and local municipalities are generally preempted from enacting rent control ordinances. This means:
- Landlords can raise rent by any amount
- There is no maximum percentage increase
- No government approval is needed for increases
- Local municipalities cannot enact their own rent control laws
Prohibited Rent Increase Practices
While South Dakota gives landlords wide latitude on rent increases, the following rules apply:
Retaliatory Increases
South Dakota law does not contain a statutory prohibition against retaliatory rent increases or evictions. Unlike many other states, South Dakota statutes do not provide specific protections or a legal presumption of retaliation if a landlord raises rent after a tenant exercises legal rights or reports code violations.
Discriminatory Increases
Under the Fair Housing Act (federal law) and SDCL § 20-13-20 (state law), it is an unfair or discriminatory practice to raise rent based on a tenant's:
- Race or color
- Creed or religion
- Sex
- Ancestry or national origin
- Familial status (having children)
- Disability
How to Properly Implement a Rent Increase
Step 1: Review the Lease
- Fixed-term lease — Check if the lease allows mid-term increases; if not, wait until renewal
- Month-to-month — Ensure you provide proper written notice
Step 2: Provide Written Notice
- Deliver at least 30 days before the increase takes effect (SDCL § 43-32-13)
- Include the current rent, new rent amount, and effective date
- Use a delivery method that provides proof (certified mail, hand delivery with signature)
Step 3: Document the Reason
While not legally required, documenting the business reason for the increase (rising property taxes, insurance costs, market rates) is a recommended business practice to maintain clear communication and professional tenant relations.
Step 4: Allow Tenant Response Period
If the tenant decides not to accept the rent increase, they must provide the landlord with at least 15 days' written notice to terminate the month-to-month tenancy (SDCL § 43-32-13).
Market Context South Dakota's rental market varies by location:
- Sioux Falls — The largest city, with moderate rental growth driven by population increases
- Rapid City — Tourism and military presence (Ellsworth Air Force Base) influence rental demand
- Rural areas — Generally lower rents with smaller annual increases
Understanding local market conditions helps landlords set competitive yet fair rental rates.
Best Practices for Landlords
- Research market rates — Set increases in line with local comparables to retain good tenants
- Give more than minimum notice — 60 days notice, while not required, gives tenants time to plan
- Communicate clearly — Explain the reason for the increase (even though it's not required)
- Document everything — Keep copies of all notices and delivery receipts
- Be consistent — Apply the same standards across all units to avoid discrimination claims
- Consider incremental increases — Small, regular increases are easier for tenants to absorb than large, infrequent ones
Sources & Official References
Frequently Asked Questions
▶What are the South Dakota rent increase laws and caps for landlords?
South Dakota has specific rules governing when and how landlords can increase rent. During a fixed-term lease, rent generally cannot be increased unless the lease explicitly allows it. For month-to-month tenancies, landlords must provide proper written notice before an increase takes effect. Check whether South Dakota has any local rent control ordinances that may impose additional caps or requirements.
▶What are the South Dakota landlord-tenant laws every property owner should know?
South Dakota offers a relatively landlord-friendly regulatory environment compared to many other states. The state's landlord-tenant laws are primarily codified in SDCL Chapter 43-32, and recent legislative changes effective July 1, 2024, have further streamlined eviction procedures for property owners. This guide covers the essential compliance requirements for property owners and landlords.
Read the complete guide▶What is the South Dakota eviction process and how long does it take?
The South Dakota eviction process requires landlords to provide written notice to tenants before filing a court action. The type and length of notice depends on the reason for eviction — typically shorter for non-payment of rent and longer for lease violations or no-fault terminations. Self-help evictions (changing locks, removing belongings, shutting off utilities) are illegal in South Dakota. The full court process varies but typically takes several weeks.
Read the complete guide▶What are the South Dakota security deposit rules and return deadlines?
South Dakota has specific rules governing how much landlords can charge for security deposits, how deposits must be held, and the deadline for returning deposits after a tenant moves out. Landlords must provide an itemized statement of any deductions made from the deposit. Failure to comply with deposit return deadlines can result in penalties and the forfeiture of the landlord's right to claim deductions.
Read the complete guide▶What is the grace period for late rent in South Dakota?
South Dakota has specific rules regarding grace periods for late rent and the amount that can be charged as a late fee. Late fee provisions must be stated in the lease agreement, and fees must be reasonable. Check South Dakota state law and any applicable local ordinances for the exact grace period and late fee limits that apply to your rental property.
Read the complete guide▶What disclosures must South Dakota landlords provide to tenants?
South Dakota landlords must provide certain disclosures to tenants before or at the time of lease signing. Common required disclosures include lead-based paint hazards (for pre-1978 buildings, a federal requirement), the identity of the landlord or property manager, and any known material defects in the property. Additional state-specific disclosures may include flood risk, mold hazards, and environmental conditions.
Read the complete guide▶What are the South Dakota lease requirements for rental properties?
South Dakota recognizes both written and oral leases, though written leases are strongly recommended for terms longer than one year. Lease agreements should include the rent amount, payment due date, security deposit terms, maintenance responsibilities, and rules regarding entry, pets, and subletting. Certain lease clauses that waive tenant statutory rights may be void and unenforceable under South Dakota law.
Read the complete guide▶What are South Dakota landlord maintenance obligations and habitability standards?
South Dakota landlords must maintain rental properties in a condition that is fit for habitation and complies with applicable building, housing, and health codes. This includes maintaining structural integrity, plumbing, heating and cooling systems, electrical systems, and pest control. Tenants typically have the right to request repairs in writing, and if repairs are not made within a reasonable time, tenants may have legal remedies available.
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