About Homeownership
The Habitat Homeownership Program
Decent, affordable housing plays a key role in a family’s education, health, wealth and well-being. However, not every household has the same opportunities to succeed. Habitat gives people a helping hand as they work hard to realize their dream of homeownership.
Application Info
Thank you for your interest in the Habitat for Humanity of Greater Sioux Falls Homeownership program! We open the application once per year, and the next opportunity to apply is planned for October 2025.
We are currently closed to new applications. Application forms are not available to the public at this time.
If you’re interested in applying in 2025, here are some steps you can take to prepare.
- Review the “Are You Ready for Homeownership” video and all other website content.
- Attend a free first-time homebuyer education class (HERO training) offered by Lutheran Social Services or Sioux Empire Housing Partnership. Habitat uses a scoring system to evaluate applicants. Applicants who receive a certificate from these trainings will receive bonus points on their 2025 application!
- Consider volunteering with Habitat to see what it’s like to work with our team and learn new skills! No experience is necessary.
Basic Qualifications
Residency Applicants must be a U.S. citizen or permanent legal resident.
Eligibility Applicants must be living or working within the Greater Sioux Falls area (Minnehaha, Lincoln or Turner County) for the past 12 months (since 11/1 of last year).
Meet Guidelines Applicants must meet all income, credit and debt guidelines.
Availability Applicants must have availability to complete construction sweat equity and homebuyer education.
Selection Criteria
Income
From initial application to loan closing, applicant(s) must maintain an annual gross income that meets the minimum income requirement.
Credit Score
Applicant(s) with established credit must have a minimum score of 580. For applicant(s) with no credit or invisible credit, they must provide at least three sources of verifiable 12-month payment history. This can include rent, utilities and other payments you make monthly.
Debt-to-Income
Monthly debt obligations (total of minimum monthly payments) cannot be more than 15% of the applicant’s gross monthly income.
For student loan debt in deferment or forbearance, 0.5% of the loan balance will be counted toward monthly debt. Example: $50,000 loan balance = $250 monthly debt payment.
Derogatory Debt
The applicant’s outstanding debt in collections, judgments or county aid liens cannot exceed $3,000 total, and all derogatory debt must be paid in full before home purchase.
Savings
The applicant(s) must be able and willing to save at least $2,500 to cover closing costs.
Bankruptcy
The applicant(s) must have a minimum of 2 years since bankruptcy discharge, with good payment history since bankruptcy discharge.
Communication
Applicant(s) must be willing to notify Habitat of any changes to the household size or any changes to employment, income or debt that occur during the housing and loan application processes.
Sweat Equity
Applicant(s) must be willing to earn 300 hours of sweat equity as a household before becoming eligible to purchase a home. Friends, family and community members can donate hours up to a certain amount to help you achieve this goal. Reasonable accommodations or modifications for ADA are handled on a case-by-case basis.
Education
Applicant(s) must be willing to attend required homebuyer education classes.
Home Acceptance
Applicant(s) must be willing to accept the neighborhood and lot assignment that is offered to them by Habitat. The budget, floor plan, building materials and style of the home are determined by Habitat. Reasonable accommodations or modifications for ADA are handled on a case-by-case basis.
Responsibility
Applicant(s) must be willing to make monthly mortgage payments and be responsible for all home maintenance and repairs after the home purchase.
Income
The applicant’s income and household’s income must fall within Habitat’s current income guidelines listed below.
Housing Need
There must be a housing need. For example, the current housing is unaffordable, subsidized, inadequate, unsafe, crowded or temporary, or the applicants cannot qualify for an adequate mortgage loan through a financial institution.
Income Guidelines
2025 Income Guidelines for Homeownership ProgramFor households larger than 8 people, contact Habitat for income limits.
| Household Size | 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 |
|---|---|---|---|---|---|---|---|---|
| Minimum Income for Applicants | 35,350 | 40,400 | 45,450 | 50,500 | 54,550 | 58,600 | 62,650 | 66,700 |
| Maximum Income for Household | 55,000 | 62,850 | 70,700 | 78,550 | 84,850 | 91,150 | 97,450 | 103,700 |
Need help evaluating your income, credit or debt?
The calculator tools below can calculate your income and determine if your monthly debt exceeds 15% of your monthly income.
You can request a free copy of your credit report every 12 months from each credit reporting company. To order your free credit report, visit annualcreditreport.com or call 1 (877) 322-8228. For more information, watch the “Checking Your Credit Report” video.
If you have unpaid judgments or county aid liens, they will not show up on your credit report, but Habitat still includes the balance of judgments and county aid liens in your derogatory debt calculations. See below to learn how to do a search for unpaid judgments or liens against you.
Benefits of Habitat Homeownership
In addition to our housing affordability, we equip homeowners for success with training and support throughout the entire partnership.
- Own your home
- Energy efficient
- New appliances
- Low closing costs
- Affordable house payment
- Buyer education and training
2025 Home Locations
Millard Acres offers 2-bedroom and 4-bedroom twin homes. Watch a video tour of the 4-bedroom home.
Granite Valley offers single-family lots where we are building 4-bedroom homes in partnership with CTE Academy, Southeast Technical College and Harrisburg High School CTE.
We will be building homes in Millard Acres and Granite Valley for the 2025-2026 construction season. Additional openings in other neighborhoods may become available if other properties are acquired. We are continually looking for affordable land and potential rehab homes to purchase, so we can serve more families within our geographical service area of Minnehaha, Lincoln, and Turner counties.
2025 Neighborhoods 2025 NeighborhoodsFrequently Asked Questions
Habitat is the builder, the seller and the lender for the real estate transaction. The homes are built or rehabilitated with a combination of skilled labor and volunteer labor, under the supervision of Habitat staff. All homes are sold for current appraised value. Habitat cannot reduce the sales price, but loan types and/or loan terms can be adjusted to achieve affordability for the buyer(s).
Habitat for Humanity of Greater Sioux Falls serves Minnehaha, Lincoln and Turner counties. Each construction season is unique, as we can only build where we own land. Lot assignments are made solely by Habitat, based on the available inventory and secured funding. Homes are designed to meet the construction standards set by Habitat International and local building codes. In order to keep homes affordable to build and to purchase, construction options are limited. There is no guarantee of a particular home location, style or size. Habitat purchases all the building materials, and no upgrades are allowed. Reasonable modifications or accommodations for special circumstances are handled on a case-by-case basis. Habitat is not a custom builder, which means we do not design homes based on the preferences or budget of the homebuyer partner. Habitat matches you to a home that meets your current needs.
Our Habitat affiliate holds an annual application opportunity that is open for one month. The next opportunity to apply is planned for October 2025.
View our FAQ guides on household size and applicants and other household members.
View our list of documents to collect for the application process.
Use our missing tax record guide to help you request copies from the IRS.
If Habitat is not the right fit for you, or you do not meet our general eligibility criteria, check out our other community resources list. There are many resources and programs available within the Greater Sioux Falls area to help you find your way into affordable housing. Our short list is not exhaustive, but it provides some next steps and options for you to consider.
If you have any questions, please contact Lisa, our homeowner services coordinator at apply@siouxfallshabitat.org or (605) 274-6290.
Habitat for Humanity of Greater Sioux Falls is an Equal Opportunity housing agency. All qualified applicants will receive consideration for our programs without regard to race, color, religion, national orientation, sex, disability and familial status.