True Cost of Renting in Sioux Falls, SD
Sioux Falls is South Dakota's largest city and the dominant metro in the eastern half of the state. It has a quietly impressive financial services cluster — Wells Fargo, Citi, and Capital One have large credit card operations here due to South Dakota's favorable banking laws. Combined with no state income tax, Sioux Falls offers one of the best financial environments for renters in the northern Midwest.
Neighborhoods & Average Rents
Downtown / Falls Park Area
- Studio:
- $800/mo
- 1 Bed:
- $1,000/mo
- 2 Bed:
- $1,400/mo
Sioux Falls' revitalized downtown near the iconic quartzite waterfalls at Falls Park; new apartment construction, restaurants on Phillips Avenue, and the SculptureWalk. Xcel Energy electric. Street parking manageable. Best walkability in Sioux Falls.
South Sioux Falls / Arrowhead
- 1 Bed:
- $950/mo
- 2 Bed:
- $1,350/mo
Primary apartment corridor south of I-90; newer complexes near major employers including Sanford USD Medical Center and Avera Health. Shopping and restaurant access. Car-dependent but 10-minute drive to Downtown.
East Sioux Falls / Harrisburg
- 1 Bed:
- $900/mo
- 2 Bed:
- $1,300/mo
Growth corridor east and south of the city; Harrisburg school district is one of South Dakota's top-rated. Newer suburban apartments at the metro's most affordable prices. Wells Fargo and Citi operations centers nearby.
Utility Providers
- Electric
- Xcel Energy (Northern States Power)
- Water
- City of Sioux Falls Water Reclamation
- Internet
- Midco, Metronet, CenturyLink/Quantum Fiber
Commute & Transportation
Sioux Falls is at the intersection of I-29 (north-south) and I-90 (east-west). Sioux Falls Regional Airport (FSD) serves Delta, United, and American connections. No passenger rail for commuters. The city's major employers are located across the metro — no single employment center dominates. Sanford USD Medical Center and Avera McKennan Hospital are on the south side. Wells Fargo, Citi, and Capital One credit card operations are southeast of Downtown. The SCAT (Sioux Falls Transit) provides bus service but most residents drive.
Rental Market Overview
Sioux Falls' most significant financial advantage is South Dakota's complete absence of state income tax — both individual and corporate. This makes the city particularly attractive for financially-minded renters: a $70,000 salary in Sioux Falls retains $3,000–5,000 more annually than the same salary in Minnesota or Iowa due to tax differences. Xcel Energy rates are moderate. The financial services sector (Wells Fargo 4,000+, Citi 2,000+, Capital One) creates professional employment at salaries that make $950–1,100 for a 1BR extremely manageable. Rents have risen 20%+ since 2020 but remain well below national averages.
Data last updated: 2026-04
Compare Apartments in Sioux Falls
Enter your rental options below to see the true all-in monthly cost.