Average first-time homebuyers can expect to spend about two-fifths of their pre-tax income on a monthly payment for a house in South Dakota.

“This situation is unheard of,” said Dakota Institute CEO Jared McEntaffer.

He addressed the Governor’s Conference on Economic Development on Wednesday at the Sioux Falls Convention Center.

McEntaffer called home prices one of the biggest economic issues the state faces. His analysis highlighted the decoupling of housing costs from incomes, posing a challenge for attracting new workers. Continue reading Rapid rise in South Dakota home prices is ‘not sustainable,’ economist says