South Dakota Foreclosure Help – Stop Foreclosure in South Dakota


Finding Foreclosure Help in South Dakota

Foreclosure prevention counseling services are provided free of charge by nonprofit housing counseling agencies working in partnership with the Federal Government. These agencies are funded, in part, by HUD and NeighborWorks® America. There is no need to pay a private company for these services.

Sioux Falls Field Office

Department of Housing and Urban Development
4301 West 57th Street Suite 101

Sioux Falls, SD 57108

Phone: (605) 330-4223

Fax: (605) 330-4465

Jurisdiction: State of South Dakota

Sheryl Miller
Field Office Director

Office Hours: 8:00 a.m. to 4:30 p.m.

Monday through Friday

South Dakota Foreclosure Laws Summary

Quick Facts:

  • Judicial foreclosure process is available.
  • Non-judicial foreclosure process is available.
  • The primary security instruments are mortgages and deeds of trust.
  • The timeline can vary by process, which typically takes 90 days.
  • The borrower’s rights of redemptionvaries depending on the process.
  • The lender may or may not sue for deficiency judgements.

Lenders in South Dakota have the option to use the judicial or non-judicial foreclosure process when foreclosing mortgages in default.

Judicial Foreclosure
If the power of sale clause is not included in the mortgage, the judicial foreclosure process is the best option of the lender. He must file a lawsuit to get a court order for the foreclosure. The property will be sold at an auction to the highest bidder.

Non-judicial Foreclosure
In cases where a power of sale clause is available, the non-judicial process is done. The borrower has allowed the lender to sell the property when the mortgage is found in default. Only the lender or his representative has the right to sell the property. The following “Power of Sale Foreclosure Guidelines” will give a detailed view on the process.

Power of Sale Foreclosure Guidelines
The power of sale foreclosure must include the details of the sale like the time, date, place and the terms of sale. If the power of sale does not have these information, the following steps must be followed:

The notice of sale must be prepared with complete information. This should have the lender and the borrower’s names, mortgage date, amount due, details of the sale and the description of the property.

The notice of sale must be made public by publishing it in the country newspaper. This should appear once a week for four weeks.

The notice should also be sent to the borrower as well as others who are interested in the property.

The sale is done in between 9 am to 5pm of the scheduled date. It may be postponed but the notice must be printed in the newspaper.

The lender is allowed to bid for the property. It does not matter who bids but the highest bidder still gets the property.

For a property size of less than 40 acres, the borrower is given a 180-day redemption period. Any abandoned property is given a 60 day redemption period. Besides from these, the borrower has the default one year redemption period from the date of sale.