A South Dakota lease agreement does more than just spell out rent costs and house rules; it shapes the entire rental experience. Laying out clear terms early on creates structure, minimizes confusion, and protects both you and your property from the very beginning. It also sets expectations for South Dakota tenants, giving them confidence and clarity about their rights and responsibilities.
Disclosures (2)
Unlike states like California, which have lengthy lists of necessary disclosures, South Dakota keeps things simple with just a couple of key disclosures. Both federal and state laws require landlords to provide these two disclosures at or before signing a lease agreement.
Lead-based paint disclosure: Federal law requires landlords to inform tenants of any known lead-based paint or lead-based paint hazards in residential properties built before 1978. Landlords must also give tenants the EPA’s “Protect Your Family from Lead in Your Home” pamphlet.
Methamphetamine contamination: If the landlord knows that someone manufactured methamphetamine in the rental unit at one point, they must disclose this information to tenants before they sign the lease (SD Codified L § 43-32-30).
Optional Disclosures and Addenda
While South Dakota law doesn’t require these, adding other standard disclosures and addenda allows landlords a way to share essential details about a rental that may not appear in the lease agreement itself.
Mold disclosure: Outlining any known mold issues, as well as the property’s ventilation and maintenance expectations, helps prevent health concerns and disputes later.
As-is addendum: Useful for older properties or rentals with unique conditions, this addendum clarifies that the tenant accepts the property in its current state.
Smoking policy addendum: Clearly stating where tenants can and cannot smoke to prevent property damage and avoid disagreements.
Pet addendum: Laying out rules for pets, including deposits, fees, and any restrictions, protects both the property and tenants from confusion.
Consequences of Not Including Mandatory Disclosures
Leaving out required disclosures in South Dakota can create legal and financial setbacks for landlords. Missing the lead-based paint disclosure can expose you to federal penalties, while failing to disclose known methamphetamine contamination may put you at risk of lawsuits and liability if it harms tenants.
Beyond the fines and legal exposure, not providing disclosures can weaken your position in court, delay evictions, or cause judges to side with tenants in disputes. In short, skipping disclosures often costs far more than taking the time to include them.
Security Deposit Regulations in South Dakota
Security deposits can easily lead to confusion and conflict, but South Dakota’s clear rules help landlords and tenants stay on the same page from move-in to move-out.
Maximum amount: Landlords may charge up to 1 month’s rent as a security deposit. However, they can collect more if special conditions pose additional risks, such as allowing pets or making property improvements (SD Codified L § 43-32-6.1).
Deposit receipt: In South Dakota, landlords do not have to provide a receipt. There is no requirement to disclose banking or account information to tenants.
Interest payments: State law does not require landlords to pay interest on security deposits.
Security deposit return: Landlords must return the security deposit within 2 weeks after the tenancy ends. If they plan to withhold any portion, they must send the tenant an itemized list of deductions within 45 days, along with any remaining balance (SD Codified L § 43-32-24).
Deductions: Under state law, landlords may deduct amounts for unpaid rent, damages beyond normal wear and tear, or other lawful charges (SD Codified L § 43-32-24).
Rent Payment Regulations
South Dakota gives landlords and tenants flexibility in setting rent terms, but there are still a few essential rules to keep in mind around fees, timing, and tenant rights.
Rent control/stabilization: The state of South Dakota has no rent control or rent stabilization laws.
Late rent fees: State law doesn’t set a maximum late fee amount. Landlords may charge a late fee as long as it’s reasonable and clearly stated in the South Dakota lease agreement.
Grace period: South Dakota law does not provide a mandatory grace period for rent payments.
Tenant’s right to withhold rent: Tenants may not withhold rent on their own for repairs or habitability issues. However, if a landlord fails to maintain essential services or meet legal obligations, tenants can give written notice and pursue legal remedies, including possible lease termination (SD Codified L § 43-32-8).
Rental Agreement Violations
In South Dakota, landlords must handle lease violations carefully to ensure their rights are upheld in court. State law spells out the proper notices and procedures for missed rent, lease breaches, or tenant abandonment, making compliance essential to avoid delays and costly legal setbacks.
Lease violation: If a tenant violates the lease, other than for nonpayment, the landlord must provide written notice giving the tenant a reasonable amount of time to fix the issue or vacate the property (SD Codified L § 21-16-1).
Missed rent payment: For tenants who fail to pay rent after it’s due (and after any grace period allowed in the lease), the landlord may serve a 3-day Notice to Pay or Quit, which gives the tenant 3 days to pay the outstanding rent or face eviction proceedings (SD Codified L § 21-16-1).
Self-help evictions: Self-help evictions are illegal. Thus, landlords in South Dakota cannot change locks, remove tenant belongings, or shut off utilities to force a tenant out. All evictions must go through the court system.
Lease abandonment: Tenants who move out before their lease ends remain responsible for the rent due through the remainder of the lease. South Dakota law does not require landlords to mitigate damages by re-renting the property, though doing so may be practical to minimize losses.
Terminating a Lease
For South Dakota landlords, the process of ending a lease varies by agreement type and circumstances. State law sets clear rules for notice periods, early releases, and handling abandoned property, making it essential to follow proper procedures to stay compliant and protect your rental business.
Standard lease: Tenants who sign a fixed-term lease are generally bound to it until the end date. However, tenants may also negotiate an early release directly with the landlord.
Month-to-month: Either the landlord or the tenant may terminate the month-to-month lease with at least 30 days’ written notice (SD Codified L § 43-32-13).
Property abandonment: When a tenant leaves behind personal property worth $500 or less, and it remains on the premises for 10 days after the tenant has moved out, the law presumes abandonment of the property. At that point, the landlord can dispose of the property however they see fit (S.D. Codified L § 43-32-25).
Renewing a Lease
Renewing a lease in South Dakota depends on the type of tenancy and the terms written into the rental agreement.
Notice requirements: South Dakota law doesn’t require landlords to give tenants advance notice if they don’t plan to renew a fixed-term lease. The lease simply expires on the end date. For month-to-month tenancies, either party can end the agreement by giving at least 30 days’ written notice (SD Codified L § 43-32-13).
Required renewals: Landlords in South Dakota are not required to offer lease renewals. Renewals happen only if both parties agree or if the original lease includes a renewal clause.
Landlord’s Access to Property
Knowing when and how to enter a rental property is essential for South Dakota landlords. The state’s access laws strike a careful balance between respecting a tenant’s privacy and allowing landlords to protect and maintain their investment.
Immediate access: Landlords may enter a rental unit without prior notice in emergencies, such as fires, flooding, or situations that pose a threat to health or safety (SD Codified L § 43-32-32).
Notice requirements: For non-emergency situations, landlords must provide reasonable notice before entering the property, typically at least 24 hours in advance, and entry must occur at a reasonable time of day (SD Codified L § 43-32-32).
Harassment: Repeated or improper entry without proper notice can amount to landlord harassment.
