Median one-bedroom rent across the cities we track is $777 in Iowa versus $807 in South Dakota. Overall, Iowa runs roughly 4% cheaper on rent than South Dakota, its main day-to-day cost driver.
Median household income across tracked cities is $64,497 in Iowa and $65,712 in South Dakota — about 2% higher in South Dakota. Iowa has a top state income tax rate of 3.80% and a 6% state sales tax; South Dakota has no state income tax and a 4.2% state sales tax.
State Taxes
Sales Tax
6%
4.2%
+1.8 pp in Iowa
Income Tax (top rate)
3.80%
None
+3.8 pp in Iowa
Housing (median across tracked cities)
Median 1BR Rent
$777
$807
+4% in South Dakota
Median Home Value
$177,100
$270,000
+52% in South Dakota
Income (median across tracked cities)
Median Household Income
$64,497
$65,712
+2% in South Dakota
Climate (median across tracked cities)
Avg Annual Temperature
49.3°F
45.8°F
+3.5°F in Iowa
Iowa vs South Dakota — FAQ
- Is it cheaper to live in Iowa or South Dakota?
- Iowa is cheaper on rent — its median one-bedroom of $777 runs about 4% below South Dakota's $807, based on the cities we track in each state.
- How much more do you need to earn to live in Iowa than in South Dakota?
- To keep rent near the recommended 30% of gross income, based on median rent across tracked cities, you'd want to earn roughly $31,000 a year in Iowa versus $32,000 in South Dakota.
- Which has lower taxes, Iowa or South Dakota?
- Iowa has a top state income tax rate of 3.80% and a 6% state sales tax. South Dakota has no state income tax and a 4.2% state sales tax.
Housing, income, and climate are medians across the 3/3 cities we track in Iowa/South Dakota — not population-weighted statewide figures. Taxes are exact state-level rates. Sources: US Census Bureau, ACS 5-Year; NOAA Climate Normals 1981–2010; Tax Foundation 2026.