What Does It Cost to Build a House in South Dakota? Why Price Per Square Foot Can Be Misleading
- Justin + Nikki Oakland
- 14 minutes ago
- 3 min read
When people start thinking about building a home, one of the very first questions we get is:
“What’s your price per square foot?”
And I get it.It feels like the easiest way to compare—simple, straightforward, and something you can quickly stack up against other builders or even homes you see online.
But here’s the honest truth:
Price per square foot is one of the most misleading numbers in the entire building process.
Let me explain it this way…
It’s kind of like asking:
“What’s the price of a truck?”
Well… which truck?
Are we talking about a basic work truck with cloth seats and just the essentials?Or one with heated seats, upgraded tech, and a few added features?Or are we going all the way to leather interior, fully loaded, every bell and whistle included?
They’re all trucks.They all get you from point A to point B.
But they are not priced the same—and for good reason.
Building a home works the exact same way.
So what actually affects the cost?
There are so many variables that go into building a home, and most of them don’t show up in a simple price-per-square-foot number.
Things like:
The level of finishes (flooring, cabinets, countertops)
The design and layout of the home
Ceiling heights, windows, and natural light
The complexity of the build (rooflines, details, custom features)
The lot itself—whether it’s in a development or on an acreage
How customized the home is to you and your lifestyle
Two homes could be the same size on paper… and cost very different amounts to build.
What about comparing to homes on Zillow?
This is another really common place people go (and it makes sense).
But comparing a new custom home to an existing home online isn’t exactly apples to apples.
Many of those homes:
Were built years ago at different price points
Have different materials and construction standards
Weren’t designed specifically for you
New construction today reflects current costs, current materials, and a home that’s tailored to your life—not someone else’s.
Not all builders are the same—and that matters
There’s also a difference between production builders and custom builders.
Production builders often:
Build a high volume of homes
Offer limited selections
Keep things streamlined to maintain a lower price point
Custom builders (like us):
Focus on more tailored, individualized homes
Offer more flexibility in design and selections
Spend more time walking through decisions with you
And to be honest…
We’re not the right fit for everyone—and that’s okay.
Who we typically work with
Our clients are usually families who:
Have owned or built a home before
Have a clearer vision of what they want (and what they don’t)
Care about quality, details, and the overall experience
Are building a home they plan to truly live in and enjoy long-term
They’re not just looking for the lowest number.They’re looking for something that feels right when it’s all said and done.
A better question to ask
Instead of starting with:
“What’s your price per square foot?”
A more helpful question is:
“What kind of home do I want to build—and what matters most to me?”
Because once you know that, everything else starts to fall into place in a way that actually makes sense.
Final thoughts
If you’re early in the process and trying to figure all of this out—you’re not alone.
This is a big decision, and there’s a lot to consider.
We walk people through this every day, helping them align their ideas, priorities, and budget so they can move forward with clarity and confidence.
And if nothing else, we hope this gives you a better understanding of why that simple number—price per square foot—doesn’t tell the whole story.