South Dakota HOA and Condo Laws, in Plain English

SDCL 43-15A establishes and governs South Dakota condominiums, covering how a condominium project is created through a recorded master deed or lease, the definition of common areas, and the rights and obligations of co-owners in shared spaces. It requires a developer to register a condominium offering with the state Real Estate Commission and imposes pre-sale inspection, disclosure, and reporting duties before units are first sold, and it limits developer-arranged management and recreation-facility contracts. The chapter does not include a resale certificate, disclosure statement, or assessment payoff or estoppel process for owners transferring existing units; general residential resale disclosure obligations for association-governed property are addressed in a separate part of the property code.

Effective for transfers after July 1, 2024, a seller of residential real property of four dwelling units or fewer in one structure that is governed by a homeowners' association (any association that may assess and record liens under recorded covenants, bylaws, or other governing documents) must furnish the buyer, before the buyer makes a written offer, a disclosure that the property is association-governed, a copy of the governing documents, a statement of whether there is an assessment and its amount, frequency, and purpose, and a list of any special one-time assessments from the most recent three years, with a written amendment if a material fact changes before closing or possession. The duty is the seller's; no association deadline or fee is stated. Under 43-4-42 a failure does not invalidate the transfer, but an intentional or negligent violator is liable to the buyer for actual damages and the court may award costs and attorney fees. Applies to condominiums and planned communities alike; the Condominium Act (43-15A) has no resale provision of its own.