diff --git a/builtin/providers/aws/resource_aws_directory_service_directory.go b/builtin/providers/aws/resource_aws_directory_service_directory.go
index 1fdb9491e..e5065e378 100644
--- a/builtin/providers/aws/resource_aws_directory_service_directory.go
+++ b/builtin/providers/aws/resource_aws_directory_service_directory.go
@@ -8,6 +8,7 @@ import (
 	"github.com/hashicorp/terraform/helper/schema"
 
 	"github.com/aws/aws-sdk-go/aws"
+	"github.com/aws/aws-sdk-go/aws/awserr"
 	"github.com/aws/aws-sdk-go/service/directoryservice"
 	"github.com/hashicorp/terraform/helper/resource"
 )
@@ -252,6 +253,8 @@ func resourceAwsDirectoryServiceDirectoryDelete(d *schema.ResourceData, meta int
 	input := directoryservice.DeleteDirectoryInput{
 		DirectoryId: aws.String(d.Id()),
 	}
+
+	log.Printf("[DEBUG] Delete Directory input: %s", input)
 	_, err := dsconn.DeleteDirectory(&input)
 	if err != nil {
 		return err
@@ -261,17 +264,20 @@ func resourceAwsDirectoryServiceDirectoryDelete(d *schema.ResourceData, meta int
 	log.Printf("[DEBUG] Waiting for DS (%q) to be deleted", d.Id())
 	stateConf := &resource.StateChangeConf{
 		Pending: []string{"Deleting"},
-		Target:  "",
+		Target:  "Deleted",
 		Refresh: func() (interface{}, string, error) {
 			resp, err := dsconn.DescribeDirectories(&directoryservice.DescribeDirectoriesInput{
 				DirectoryIds: []*string{aws.String(d.Id())},
 			})
 			if err != nil {
-				return nil, "", err
+				if dserr, ok := err.(awserr.Error); ok && dserr.Code() == "EntityDoesNotExistException" {
+					return 42, "Deleted", nil
+				}
+				return nil, "error", err
 			}
 
 			if len(resp.DirectoryDescriptions) == 0 {
-				return nil, "", nil
+				return 42, "Deleted", nil
 			}
 
 			ds := resp.DirectoryDescriptions[0]
diff --git a/builtin/providers/aws/resource_aws_directory_service_directory_test.go b/builtin/providers/aws/resource_aws_directory_service_directory_test.go
index b10174bdb..fefdeb751 100644
--- a/builtin/providers/aws/resource_aws_directory_service_directory_test.go
+++ b/builtin/providers/aws/resource_aws_directory_service_directory_test.go
@@ -5,6 +5,7 @@ import (
 	"testing"
 
 	"github.com/aws/aws-sdk-go/aws"
+	"github.com/aws/aws-sdk-go/aws/awserr"
 	"github.com/aws/aws-sdk-go/service/directoryservice"
 
 	"github.com/hashicorp/terraform/helper/resource"
@@ -65,12 +66,33 @@ func TestAccAWSDirectoryServiceDirectory_withAliasAndSso(t *testing.T) {
 }
 
 func testAccCheckDirectoryServiceDirectoryDestroy(s *terraform.State) error {
-	if len(s.RootModule().Resources) > 0 {
-		return fmt.Errorf("Expected all resources to be gone, but found: %#v",
-			s.RootModule().Resources)
+	dsconn := testAccProvider.Meta().(*AWSClient).dsconn
+
+	for _, rs := range s.RootModule().Resources {
+		if rs.Type != "aws_directory_service_directory" {
+			continue
+		}
+
+		input := directoryservice.DescribeDirectoriesInput{
+			DirectoryIds: []*string{aws.String(rs.Primary.ID)},
+		}
+		out, err := dsconn.DescribeDirectories(&input)
+		if err != nil {
+			// EntityDoesNotExistException means it's gone, this is good
+			if dserr, ok := err.(awserr.Error); ok && dserr.Code() == "EntityDoesNotExistException" {
+				return nil
+			}
+			return err
+		}
+
+		if out != nil && len(out.DirectoryDescriptions) > 0 {
+			return fmt.Errorf("Expected AWS Directory Service Directory to be gone, but was still found")
+		}
+
+		return nil
 	}
 
-	return nil
+	return fmt.Errorf("Default error in Service Directory Test")
 }
 
 func testAccCheckServiceDirectoryExists(name string) resource.TestCheckFunc {