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Best Airbnb Markets in South Dakota (2026)

Based on Airbtics data from September 2025 to August 2026, this page ranks the best Airbnb markets in South Dakota by Market Grade. The grade compares short-term rental yield, year-over-year revenue growth, and occupancy (demand), then adjusts for local regulation. The table also shows listing count, average daily rate, and annual revenue for every market.

Markets on this page are ranked by the Airbtics Market Grade, not by the number of listings. The grade compares each market with the other markets in this ranking on three measures, then adjusts for local short-term rental regulation.

  1. Yield: Annual short-term rental revenue divided by property price. A higher yield ranks higher.
  2. Growth: Year-over-year change in revenue. Faster revenue growth ranks higher.
  3. Demand: Average occupancy rate over the last 12 months. Higher occupancy ranks higher.

Stricter short-term rental regulation lowers the letter grade. Occupancy, average daily rate, and annual revenue are shown for every market. Exact yield and revenue growth are published for the three highest-graded markets. For every other market those two figures are in Market Explorer. The rankboard plots the same markets by occupancy and average daily rate, and the table under the chart lists those values in text.

Learn more about how we collect the data and accuracy

Last updated: 16th October, 2026

South Dakota Short-Term Rental Market Overview (September 2025 to August 2026)

National averages across all South Dakota markets
Average Occupancy Rate i
58.00%
Average Annual Revenue i
$52,262
Average Daily Rate (ADR) i
$242
YoY Supply Growth i
28.15%
YoY Revenue Change i
8.72%

Top 3 South Dakota Cities for Airbnb in 2026

Tick the markets you like to track their revenue, occupancy, and ADR in your Airbtics watchlist. Free to start, up to 10 markets.

Position Market Grade Market Name Regulation No of Listings Avg. Occupancy Rate Avg. Daily Rate Revenue Short-term Rental Yield Revenue Growth
1C+Rapid City
Lenient
1,21165% 🚀$230$56,16821.6%+4.6%
2C+Spearfish
Lenient
1,12750%$348$66,81617.6%+6.7%
3C+Sioux Falls
Lenient
56059% 🚀$150$33,80213.9%+15.0%

Data Seen By

BiggerPockets
Trustpilot

Market Explorer

Filter markets by occupancy, price, and yield

Filter South Dakota by occupancy, ADR, yield, rent gap, and property price, then compare markets side by side.

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Find the Best Airbnb Markets with Our Interactive Tool

Use our interactive Market Explorer to find the best places to start an Airbnb in South Dakota. Compare multiple markets side by side, apply filters like regulations, budget (property or rent prices), and market size, and even export the results to Excel.

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Why Invest in Airbnb South Dakota in 2026?

The highest-graded short-term rental markets in South Dakota are Rapid City, Spearfish and Sioux Falls. The table ranks every tracked market by Airbtics Market Grade. Occupancy, average daily rate, annual revenue, yield, and revenue growth are the figures behind that grade.

Top 3 Airbnb markets in South Dakota by Market Grade

These are the three highest-graded Airbnb markets in South Dakota. Market Grade compares yield, revenue growth, and occupancy (demand) with the other markets on this page, then adjusts for short-term rental regulation. The chart repeats those three percentiles in text so the ranking is readable without the graphic.

Rank 1 — Rapid City (Grade C+)

Rapid City is rank 1 of 3 markets in this South Dakota ranking by Airbtics Market Grade C+, with 21.6% short-term rental yield, 65.0% occupancy, and +4.6% year-over-year revenue growth.

Compared with the other markets on this page, Rapid City ranks top 17% for yield, lowest 17% for growth, and top 17% for demand. The market shows an average daily rate of $230, annual revenue of $56,168, a rent gap of 4399.8%, 1,211 active listings, lenient short-term rental regulation, and a typical 2-bedroom property price of $250,000.

  • Market gradeC+
  • Yield21.6%
  • Revenue growth+4.6%
  • Occupancy65.0%
  • Average daily rate$230
  • Annual revenue$56,168
  • Rent gap4399.8%
  • Active listings1,211
  • 2-bedroom price$250,000
  • RegulationLenient
top 17%Yieldlowest 17%Growthtop 17%Demand

Percentile versus other South Dakota markets on this page. Farther from the center is stronger.

  • Yield: top 17%
  • Growth: lowest 17%
  • Demand: top 17%

Rank 2 — Spearfish (Grade C+)

Spearfish is rank 2 of 3 markets in this South Dakota ranking by Airbtics Market Grade C+, with 17.6% short-term rental yield, 50.0% occupancy, and +6.7% year-over-year revenue growth.

Compared with the other markets on this page, Spearfish ranks top 50% for yield, top 50% for growth, and lowest 17% for demand. The market shows an average daily rate of $348, annual revenue of $66,816, a rent gap of 3906.6%, 1,127 active listings, lenient short-term rental regulation, and a typical 2-bedroom property price of $250,000.

  • Market gradeC+
  • Yield17.6%
  • Revenue growth+6.7%
  • Occupancy50.0%
  • Average daily rate$348
  • Annual revenue$66,816
  • Rent gap3906.6%
  • Active listings1,127
  • 2-bedroom price$250,000
  • RegulationLenient
top 50%Yieldtop 50%Growthlowest 17%Demand

Percentile versus other South Dakota markets on this page. Farther from the center is stronger.

  • Yield: top 50%
  • Growth: top 50%
  • Demand: lowest 17%

Rank 3 — Sioux Falls (Grade C+)

Sioux Falls is rank 3 of 3 markets in this South Dakota ranking by Airbtics Market Grade C+, with 13.9% short-term rental yield, 59.0% occupancy, and +15.0% year-over-year revenue growth.

Compared with the other markets on this page, Sioux Falls ranks lowest 17% for yield, top 17% for growth, and top 50% for demand. The market shows an average daily rate of $150, annual revenue of $33,802, a rent gap of 2789.4%, 560 active listings, lenient short-term rental regulation, and a typical 2-bedroom property price of $250,000.

  • Market gradeC+
  • Yield13.9%
  • Revenue growth+15.0%
  • Occupancy59.0%
  • Average daily rate$150
  • Annual revenue$33,802
  • Rent gap2789.4%
  • Active listings560
  • 2-bedroom price$250,000
  • RegulationLenient
lowest 17%Yieldtop 17%Growthtop 50%Demand

Percentile versus other South Dakota markets on this page. Farther from the center is stronger.

  • Yield: lowest 17%
  • Growth: top 17%
  • Demand: top 50%

Market Rankboard: South Dakota

Each dot is a vacation rental market in South Dakota, plotted by occupancy rate (x-axis) and average daily rate (ADR) (y-axis). Dashed lines mark the national median.

South Dakota Airbnb markets rankboard scatter chart showing occupancy rate versus average daily rate (ADR)
Occupancy rate and average daily rate for each South Dakota market plotted in the chart above, in Market Grade order.
MarketOccupancy rateAverage daily rate
Rapid City65.0%$230
Spearfish50.0%$348
Sioux Falls59.0%$150

Compare property prices, short-term rental yield, rent gap, annual revenue, and supply growth in the Airbtics Market Explorer watchlist.

See all Airbnb markets in South Dakota

Browse all 3 markets we track in South Dakota. Each link opens the market's Airbnb revenue and performance data page.

South Dakota Airbnb market FAQs

  • What are the best Airbnb markets in South Dakota?

    Airbtics ranks short-term rental markets in South Dakota by Market Grade. The grade compares yield (annual revenue divided by property price), year-over-year revenue growth, and occupancy, then adjusts for regulation. The highest-graded market in this dataset is Rapid City. The main table lists markets in that order; use the Market Explorer to filter by budget, regulations, and more.

  • How many Airbnb markets does Airbtics track in South Dakota?

    We currently analyze 3 active short-term rental markets in South Dakota with listing supply, median occupancy, ADR, and revenue estimates.

  • What is the average Airbnb occupancy rate in South Dakota?

    The national average occupancy rate across tracked markets is 58.00% (LTM). Rates differ by city. Use the rankboard on this page, or open a market page for that city's numbers.

  • How do I compare Airbnb markets in South Dakota?

    Use the occupancy vs ADR rankboard on this page for a quick view, or open the Market Explorer to compare markets side by side, change chart axes, export to Excel, and save markets to a watchlist.

  • How can I estimate Airbnb income in South Dakota?

    Use our Airbnb income calculator to estimate revenue for a specific address, or open any market link below for median revenue and occupancy benchmarks.




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For trends, supply, and year-over-year changes, see the 2025 short-term rental report for South Dakota.