Lead, South Dakota Short-Term Rental Market
Lead, SD Black Hills STRs averaged $258/night at 25.6% occupancy in April 2026, with a July peak of 71.1% occupancy and $6,384 in monthly revenue.
Quick Answer: Lead, South Dakota is an active short-term rental market. average occupancy in the Black Hills market area is 67%. average monthly revenue in the Black Hills market area is $6,893. average daily rate in the Black Hills market area is $394. the top operator in the Black Hills market area is Black Hills Adventure Lodging with 146 listings. market score is 53/100 (grade D).
Market data reflects the Black Hills regional market, which includes Lead. Regulations, taxes, and permit details below are specific to Lead.
Market Score Breakdown
Five dimensions StaySTRA evaluates per market.
Market Overview
Lead is a historic gold-mining town in the northern Black Hills of South Dakota, immediately adjacent to Deadwood, and serves as a hub for Black Hills outdoor recreation, Deadwood casino spillover, Sturgis Motorcycle Rally overflow, and winter skiing at Terry Peak. The short-term rental market reported 1,511 active listings as of the latest snapshot, a small, well-managed supply base relative to the demand intensity it handles at peak. April 2026 was a seasonal trough: 25.6% occupancy and $258 ADR produced a RevPAR of $66. Year-over-year through April 2026, occupancy improved 7.04% and ADR rose 3.91%, while total revenue declined 1.39%, reflecting the complex interplay of listing-count changes and per-property performance. Supply is almost entirely entire-place units: 1,469 of 1,511 listings (97.2%) are entire-place rentals, with 42 private rooms. By bedroom count, larger properties are well represented: 5-bedroom (346 listings), 4-bedroom (336), 3-bedroom (309), 1-bedroom (292), and 2-bedroom (225). Channel distribution favors dual-platform operators: 1,008 listings appear on both Airbnb and VRBO, 375 on Airbnb only, and 128 on VRBO only. The overall market score of 52.8 reflects a challenging seasonality profile (sub-score: 47.2) offset by an exceptional investability sub-score of 98.2 and a favorable regulation environment (73.4).
Seasonal Patterns
| Month | Occupancy |
|---|---|
| Jan | 25% |
| Feb | 34% |
| Mar | 33% |
| Apr | 23% |
| May | 46% |
| Jun | 69% |
| Jul | 71% |
| Aug | 58% |
| Sep | 47% |
| Oct | 38% |
| Nov | 26% |
| Dec | 39% |
Month-by-month nightly rates and revenue figures for Lead are available to StaySTRA Pro members. Unlock with StaySTRA Pro or analyze a specific address free.
Top Short-Term Rental Operators in Black Hills market area
Ranked by total active listings. Useful for understanding the competitive landscape. Operator data is published for the Black Hills market as a whole, which includes Lead, so these counts are not Lead-only figures.
| # | Operator | Listings | Reviews | Rating |
|---|---|---|---|---|
| 1 | Black Hills Adventure Lodging | 146 | 8,605 | ★ 4.80 |
| 2 | Deadwood Connections | 130 | 8,664 | ★ 4.79 |
| 3 | Evolve | 69 | 4,320 | ★ 4.66 |
| 4 | Black Hills Cabin Rentals | 68 | 3,737 | ★ 4.88 |
| 5 | Bear Property Management | 53 | 4,153 | ★ 4.92 |
What Kind of STR Should I Buy in Lead?
Revenue and nightly-rate breakdowns by bedroom count, property tier, and dwelling type for Lead are available to StaySTRA Pro members. Unlock with StaySTRA Pro or analyze a specific address free.
Booking Channel Mix
Distribution of bookings across major STR platforms.
| Channel | Share |
|---|---|
| airbnb | 24.8% |
| vrbo | 8.5% |
| both | 66.7% |
Home Value Trends (Lead)
Typical home values, median sale prices, and the 10-year price trend for Lead are available to StaySTRA Pro members. Unlock with StaySTRA Pro or analyze a specific address free.
Booking Insights
Booking-window and length-of-stay analysis for Lead — how far ahead guests book and how to price around it — is available to StaySTRA Pro members. Unlock with StaySTRA Pro or analyze a specific address free.
Short-Term Rental Regulations
Lead was among the first South Dakota municipalities to adopt a formal short-term rental ordinance. Operating an STR in Lead requires three separate approvals: a City of Lead Short-Term Rental License (obtained through City Hall at 801 W. Main St.), a South Dakota Department of Health lodging license (or city inspection if unavailable), and a South Dakota sales tax license. The process includes a health and safety inspection before the city license is issued. STRs are generally permitted in residential zones with no outright residential ban; no owner-occupancy, primary-residence, or night-cap requirement was found in available records. On taxes, lodging rentals under 28 consecutive days are subject to a combined rate of approximately 8.7%, comprising South Dakota state sales tax (4.2%), the state tourism tax (1.5%), Lead’s 2% municipal sales tax, and Lead’s 1% municipal hospitality and gross-receipts tax on lodging. Enforcement is administrative: non-compliance can result in license denial or revocation, fines, a 10% penalty on late tax payments plus interest, and potential health-department closure of the property. Exact current license fees and any recent ordinance amendments should be confirmed directly with City Hall at (605) 584-1401.
Market Comparison
Against US STR market medians of approximately 55% occupancy and $220 ADR, Lead’s 2025 annual average (42.0% occupancy, $331 ADR) runs significantly below median on occupancy but above median on rate, reflecting a low-frequency, high-rate profile driven by peak summer concentration. The market is managed at a notably higher concentration than most: Black Hills Adventure Lodging leads with 146 listings and 8,605 reviews at a 4.80 average rating. Deadwood Connections holds second with 130 listings and 8,664 reviews at a 4.79 rating. Evolve ranks third with 69 listings at a 4.66 rating. These three operators collectively manage approximately 345 of 1,511 active listings, representing about 22.8% of the market, a high share for a local-operator landscape. Black Hills Cabin Rentals (68 listings, 4.88 rating) and Bear Property Management (53 listings, 4.92 rating) round out a high-quality professional management ecosystem. The dominance of local Black Hills specialists over national platforms in this market indicates that regional knowledge and relationships provide competitive advantages here.
Frequently Asked Questions About Lead, South Dakota
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