Cost of Living in Hot Springs, SD

With a cost of living index of 71, Hot Springs, SD is one of the most affordable cities in the country. Living here is 29% cheaper than the national average and 3% below the South Dakota state average of 74. Hot Springs is a small community of 3,506 residents.

Housing costs are the biggest factor in Hot Springs's cost of living. The median monthly rent is $854 (35% below the US median of $1,319), and the median home value sits at $168,200 (45% below the national median of $304,900). At current prices, the median home costs roughly 3.4x the median household income — a moderately affordable ratio by today's standards.

The median household income in Hot Springs is $49,688, which is 34% lower than the national median of $75,149. Residents spend roughly 21% of household income on rent. This is a comfortable ratio, well below the 30% threshold that financial experts recommend as a maximum. Lower incomes here are balanced by the significantly lower cost of living, stretching each dollar further.

Climate is another factor for anyone considering a move to Hot Springs. The area sees an average annual temperature of 43.2°F, with summers averaging 63°F and winters around 25°F. Annual rainfall totals 19.8 inches spread over roughly 109 days. Cold winters mean higher heating bills, an important cost-of-living consideration.

Everyday prices in the Rapid City, SD (Metropolitan Statistical Area) metro area are generally below the national average. Out of 6 common items tracked by the Bureau of Labor Statistics, 6 are priced lower than the US average. These real-world prices — from groceries to electricity — add up and should be factored into any cost of living comparison.

Data sources: US Census Bureau (ACS 2023), Zillow Home Values, HUD Fair Market Rents, BEA Regional Price Parities, BLS Average Prices, and NOAA Climate Normals. Updated monthly.