Cost of Living in Sioux Falls, SD

With a cost of living index of 84, Sioux Falls, SD is a very affordable place to live. Living here is 16% cheaper than the national average and 9% above the South Dakota state average of 74. As a major city with a population of 197,642, Sioux Falls offers a wide range of housing options, employment opportunities, and urban amenities.

Housing costs are the biggest factor in Sioux Falls's cost of living. The median monthly rent is $993 (25% below the US median of $1,319), and the median home value sits at $271,400 (11% below the national median of $304,900). At current prices, the median home costs roughly 3.6x the median household income — a moderately affordable ratio by today's standards.

The median household income in Sioux Falls is $74,714, which is 1% lower than the national median of $75,149. Residents spend roughly 16% of household income on rent. This is a comfortable ratio, well below the 30% threshold that financial experts recommend as a maximum.

Everyday prices in the Sioux Falls, SD-MN (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.