Janklow announces first-time homebuyer rates Gov. Janklow has announced that the South Dakota Housing Development Authority's (SDHDA) 30-year fixed mortgage loan rate was reduced to 5.25 percent, and the starting step rate is now 4.25 percent.
"I have always thought it has been vital to South Dakota's economy to give hard working families the best opportunity for homeownership as possible," said Janklow. "Stable families that pay less for their home give more to other areas of the community."
Conventional mortgage loan rates are ranging from 6 percent to 7 percent.
The Authority's step loan rate of 4.25 percent increases one-half percent per year until it reaches 6.25 percent at the beginning of the fifth year, where it remains for the balance of the 30 year term.
Income limits and purchase price limits vary by county. Refinancing existing mortgages is not permissible.
For more information, first-time homebuyers can contact their local lender.
SDHDA's bond program provides an ongoing source of lower-rate mortgage financing. SDHDA is a self-supporting, quasi-public agency, which receives no state general funds.
The Authority does not discriminate against any person because of race, color, religion, sec, handicap, familial status or national origin.