A lease agreement doesn’t need a specific end date to be legal. For instance, a South Dakota month-to-month lease agreement lacks a defined end date, but it is just as formal as a standard fixed-term lease.
A South Dakota month-to-month lease agreement, or a tenancy at will, renews each month automatically and is still subject to the state’s landlord-tenant laws, disclosure requirements, and more. Below, we’ll break down everything landlords need to know.
Disclosures (2)
In South Dakota, landlords must provide tenants with certain information and disclosures before signing a lease agreement.
- Lead-based paint: Federal law requires landlords to give tenants any known information about lead-based paint and its hazards in homes built before 1978. Landlords must also provide a copy of the EPA’s lead safety pamphlet.
- Methamphetamine contamination: If anyone used the unit to manufacture methamphetamine, landlords must disclose this to their tenant (S.D. Codified L. § 43-32-30).
Optional Disclosures and Addenda
While not required, it is a good idea to give their tenant the following disclosures and addenda. Sharing this information helps to build trust and prevent disputes down the road.
As-is addendum: For older properties or for rentals with particular issues, this addendum confirms that the tenant accepts the unit as-is.
Mold disclosure: Details any known mold issues inside the unit and sets expectations for maintenance and ventilation moving forward.
Pet addendum: Sets rules and expectations for pets, including information on separate deposits or fees. Including this information helps set the tone and prevents confusion.
Smoking policy addendum: Outlines the unit’s smoking policy and designates any smoking areas on the property.
Additional South Dakota Month-to-Month Lease Laws
There are additional laws that oversee the South Dakota month-to-month lease agreement. Here’s what landlords need to know.
Notice to Terminate a Month-to-Month Agreement
Without a specified end date, giving proper notice to terminate a South Dakota month-to-month lease agreement becomes especially important.
Required notice for tenant: South Dakota tenants must give at least 15 days’ written notice to terminate a month-to-month lease (S.D. Codified L. § 43-32-13).
Required notice for the landlord: Landlords, on the other hand, must give tenants at least 30 days’ written notice to terminate the arrangement (S.D. Codified L. § 43-32-13).
Laws Governing Rent Increases
Rent control and stabilization do not exist in South Dakota, so landlords can increase rent by any amount they deem necessary. In a South Dakota month-to-month lease agreement, landlords must give their tenant at least 30 days’ written notice before any rent increase (S.D. Codified L. § 43-32-13).
Lease Violations and Eviction
If their tenant violates any part of the lease agreement, South Dakota law outlines the steps landlords should take to get their tenancy back on track.
Missed rent payment: If the tenant is late with a rent payment, landlords may issue a 3-day Notice to Quit. In South Dakota, landlords do not have to give their tenant time to make the payment before starting the eviction process (S.D. Codified L. § 21-16-2).
Lease violation: For other lease violations, landlords can also immediately issue a Notice to Quit and begin the eviction process (S.D. Codified L. § 21-16-1).
Lease abandonment: If their tenant abandons their lease before the end of its term and fails to meet a qualifying condition, they are responsible for the remainder of the lease term. In South Dakota, landlords do not have a duty to mitigate, so they can attempt to obtain all funds from the tenant.
Self-help evictions: South Dakota considers self-help evictions illegal, which means landlords should never attempt to remove a tenant on their own.
Rent Payment Laws
When it comes to paying and collecting rent in South Dakota, here’s what landlords need to know.
Rent control/stabilization: South Dakota has no rent control and stabilization laws, meaning landlords can increase the rent as they please, as long as they give their tenant at least 30 days’ written notice (S.D. Codified L. § 43-32-13).
Late rent fees: South Dakota does not limit what landlords can charge as a late fee, but they must clearly outline the fee in their lease agreement template.
Grace period: Landlords do not have to offer their tenants a grace period for late rent payments.
Tenant’s right to withhold rent: If a repair is needed to make the unit safe and habitable, South Dakota tenants must notify their landlords in writing and allow sufficient time for the repair. If they do not repair, the tenant can make the repair themselves and deduct the cost from the rent or withhold rent. If they choose to withhold rent, they must hold the rent in a separate account and release the funds to the landlord once the repair is made (S.D. Codified L. § 43-32-9).
Pet rent laws: South Dakota allows landlords to charge tenants pet rent, as long as the amount is reasonable and the fee is clearly stated in the lease agreement template.
Security Deposits
Most South Dakota landlords require their tenants to pay an upfront security deposit to help protect their investment from unpaid rent or damage beyond normal wear and tear.
Maximum amount: In most cases, landlords may charge up to 1 month’s rent as a security deposit; however, if there are circumstances that pose additional danger to the property, landlords may negotiate a larger deposit upfront (S.D. Codified L. § 43-32-6.1).
Deposit receipt: South Dakota landlords do not have to issue a receipt for their tenants’ security deposit payments.
Interest payments: In South Dakota, landlords do not have to pay interest to tenants on their security deposits.
Security deposit return: Landlords must return their tenant’s security deposit, minus any deductions, within 2 weeks of the lease termination (S.D. Codified L. § 43-32-24).
Deductions: If landlords deduct funds from the deposit, they must provide their tenant with a detailed list of the charges within 45 days of terminating the lease (S.D. Codified L. § 43-32-24).
Property Access Laws
South Dakota law allows landlords to maintain their property while also allowing tenants quiet enjoyment of their homes.
Advance notice: If landlords need to enter the unit for routine maintenance or repairs, they should give their tenant at least 24 hours’ written notice and only enter during normal business hours. Landlords should also include the purpose of their visit in the statement (S.D. Codified L. § 43-32-32).
Immediate access: If there is an emergency, landlords may enter the unit without giving notice (S.D. Codified L. § 43-32-32).
Harassment: Failure to follow these guidelines is often considered landlord harassment. In these cases, their tenant may pursue legal action or end their lease early.
