How Much Does a New Roof Cost in South Dakota in 2026

Start from the national figure: $31,871 for the asphalt-shingle roof replacement in the Remodeling 2025 Cost vs. Value Report (www.costvsvalue.com). South Dakota roofers earned a median $22.94 an hour in May 2025, against $26.65 for the U.S. (BLS). A contracted reroof also carries South Dakota’s 2% contractor’s excise tax on the roofer’s gross receipts.

What the sourced numbers say, and what they don’t

The Cost vs. Value Report averages costs for 28 projects across 119 U.S. markets. For its defined asphalt-shingle roof replacement project the national average is $31,871, with an estimated $21,501 resale value (68% of cost recouped). Its metal-roof project averages $51,865 nationally, with $25,972 in resale value (50%). These are national averages for one specified project, not South Dakota prices, and this page does not restate the report’s roof size or material grade.

The wage side comes from the Bureau of Labor Statistics survey for May 2025. It counted 400 roofers employed in South Dakota; the survey covers wage and salary workers, not the self-employed. The median was $22.94 an hour ($47,710 a year) and the mean $22.59 ($46,980). U.S. roofers: $26.65 median, $27.95 mean. This is crew pay, one input of a bid, not the price a homeowner is quoted.

South Dakota’s 2% contractor’s excise tax

SDCL 10-46A-1 imposes “an excise tax upon the gross receipts of all prime contractors engaged in realty improvement contracts, at the rate of two percent.” Under 10-46A-3 it applies “to the total contract price including all labor and materials,” including materials bought by the homeowner. The Department of Revenue’s July 2026 Contractor’s Excise Tax Guide says anyone doing “repair of a fixture to real property must have a South Dakota contractor’s excise tax license,” and that “This includes repair or remodeling of existing real property.” The same guide explains that the tax is owed on receipts that include the tax itself, so contractors may use a bid factor of 2.041% when pricing a bid or bill. Under SDCL 10-46A-12, the excise tax and any use tax may appear as a separate line and are “collectible from all entities, both public and private.” A contractor also owes use tax on materials when sales or use tax was not already paid.

A contractor must “post his excise tax license number” with the building permit (10-46A-12.1). That duty does not create a permit requirement where the city or county has none (10-46A-12.2).

Storm contracts under SDCL 37-24-49 to 37-24-51

These sections, enacted in 2012 (SL 2012, ch 198), cover “a residential building contractor who is providing roofing services, a residential remodeler who is providing roofing services, or a residential roofer.”

  • Deductible. No such contractor “may advertise or promise to pay or rebate all or part of any applicable insurance deductible.” If one does, “any contract entered into between the contractor and that person or entity is null and void.”
  • Seventy-two hours, not days. A written storm damage repair contract for residential roofing may be cancelled “within seventy-two hours after” entering into it, or within seventy-two hours after being notified that the insurer “has denied coverage, in whole or in part.” Give written notice at the contractor’s address in the contract; a mailed notice is effective once deposited, properly addressed and prepaid. Cancelling is “subject to the payment of the reasonable documented restocking fee by the third party supplier of the roofing materials, and the payment of the agreed upon or reasonable cost of any emergency repairs already performed.”
  • Refund. The statute’s text says “within ten days”; its required notice form tells the customer “ten business days.” Either way, the refund covers payments for goods and services “not actually performed.”
  • Forms. Before signing, you get a 10-point boldface statement of the right and a detachable “NOTICE OF CANCELLATION” in duplicate.

Permits after the 2026 permit law: roofs were cut from the list

Senate Bill 3, signed March 17, 2026 as SL 2026, ch 60, added SDCL 11-10-15. It bars a county, municipality or township from requiring a permit to repair or substantially similarly replace these exterior parts of a “detached single-family owner-occupied residential structure”: a door (same dimensions), downspout, fascia, fencing panel or post, gutter, nonstructural siding, soffit, and a window (same dimensions). A permit may still be required for these parts on a designated historical property. The section does not relieve the homeowner “from compliance with any other applicable building code or ordinance.” The bill as introduced also listed “Roof flashing, shingles, shakes, or tiles.” The enacted list does not, so the section leaves a county, municipality or township free to require a permit for reroofing. With no effective date in the act, it took effect July 1, 2026 under SDCL 2-14-16.

On code, SDCL 11-10-12 lets a municipality adopt the 2024 International Residential Code for detached one- and two-family dwellings and townhouses of up to three stories. It may not impose anything “more stringent than the requirements in the 2024 edition.” The statewide fallback in 11-10-6 does “not apply to any residential structure.” Whether a residential code and a reroof permit apply to your house therefore turns on local ordinance.

South Dakota FAQ

Is the 2% excise tax an extra I should see on the bill?

It may be. SDCL 10-46A-12 lets the contractor show it as a separate line that is part of the total bill. Either way, the tax is figured on gross receipts that include it.

The roofer says a hail job starts tomorrow. Can I still back out?

For a written storm damage roofing contract, yes, for seventy-two hours after signing. That is subject to the supplier’s documented restocking fee and the cost of emergency repairs already done.

Do I need a permit to replace shingles?

That depends on your city or county. The 2026 law exempting some exterior repairs from permits does not include roofing.

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© 2025 Zonda Media, a Delaware Corporation. Complete data from the Remodeling 2025 Cost vs. Value Report can be downloaded free at www.costvsvalue.com.