What the numbers say
Investors in South Dakota borrowed at a median rate of 7.75%, versus 6.5% for owner-occupants — a 125 bps premium that ranks 4th of 51 states.
Their applications were denied 8.6% of the time. The leading reasons for denial were debt-to-income ratio, credit history, other.
65% of investor loans were business- or commercial-purpose — the category that includes DSCR and LLC-held loans — and 6% were cash-out refinances. The typical loan-to-value was 75%, implying about 25% down.