Renting vs. Owning in Highlands Ranch: What You’ll Pay
When considering the cost of living in an apartment vs house in Highlands Ranch, the biggest factor is usually housing cost. The average rent for a 2-bedroom apartment in Highlands Ranch is around $1,800 per month, while the average rent for a 3-bedroom house is closer to $2,450 per month. Of course, this can vary based on location, amenities, and property condition.
Owning a home comes with additional costs like property taxes, homeowners insurance, and maintenance that renters don’t have to worry about directly. However, renters should factor in the cost of renters insurance. Utilities may also differ between apartments and houses. Let’s break it down further.
Table: Cost Comparison – Apartment vs House
Here’s a side-by-side breakdown of common monthly costs in Highlands Ranch:
| Expense | 2BR Apartment | 3BR House |
|---|---|---|
| Rent/Mortgage | $1,800 | $2,450 |
| Utilities | $150 | $250 |
| Internet | $60 | $80 |
| Insurance | $15 | $100 |
| Maintenance | $0 | $150 |
| HOA Fees | $200 | $100 |
| Total | $2,225 | $3,130 |
Estimates are for mid-range units with typical usage
As you can see, the total monthly cost for a house is about $900 higher on average than an apartment in Highlands Ranch. Houses have higher base rents, utility bills, insurance premiums, and maintenance needs. However, some apartments have steep HOA fees that can rival those of houses.
Utility and Upkeep Differences
Apartments and houses have some notable differences when it comes to utilities and maintenance:
- Water/sewer is often included in rent for apartments but paid separately for houses
- Houses usually have higher electricity and gas bills due to more space to heat and cool
- Apartments may include trash pickup while homeowners typically pay for private trash service
- Renters aren’t directly responsible for most repairs and upkeep while homeowners foot the bill
In Highlands Ranch, many homes use swamp coolers which can help reduce summer A/C bills compared to central air. Newer apartment complexes often include trash service and sometimes even internet in the base rent. So while houses are larger, apartments may have some cost efficiencies.
Lifestyle Tradeoffs
Of course, the decision between renting an apartment and owning a house involves more than just the monthly cost. There are important lifestyle factors to consider as well:
Apartments offer greater flexibility for those who may need to relocate for work or want to avoid the hassles of ownership. They require less upkeep and often provide amenities like pools, gyms and social events. Many Highlands Ranch residents choose apartments for their convenience and walkability to shops and restaurants.
Houses provide more space, privacy and control over the property. They allow personalization, more room for families, private yards for kids and pets, and often have garages and ample parking. Families tend to prefer houses in Highlands Ranch for the extra bedrooms, storage and outdoor space. However, they require more cleaning, yardwork and general upkeep.
Which Is Cheaper Long Term in Highlands Ranch?
While renting is cheaper on a monthly basis, owning can be more cost-effective long term. Let’s say an apartment rents for $1,800/month and a comparable house rents for $2,450/month. The house costs $650 more per month, or $7,800 per year.
However, if you plan to stay put for several years, owning becomes more favorable, especially considering the potential for home value appreciation. In Highlands Ranch, the median home value has increased 5% per year on average.
After 5 years, the total cost of renting would be $108,000 for the apartment and $147,000 for the house (excluding any rent increases). Owning the house would cost around $160,000 including the down payment, mortgage, taxes, insurance, and maintenance. But $50,000 or more of that would be returned in the form of home equity. Plus, the owner would benefit from tax deductions on mortgage interest and property taxes.
FAQs About Housing Costs in Highlands Ranch
How much more does a house cost per month?
In Highlands Ranch, you can expect to pay about $900 more per month for a house compared to an apartment, considering rent, utilities, insurance, and upkeep.
Do houses always have higher utility bills?
Houses typically have higher utility costs than apartments since they are larger and have more exposure to the elements. However, energy-efficient features can help mitigate this.
Are apartments cheaper even with pet fees?
Even factoring in pet rent and deposits, apartments tend to be cheaper overall than houses in Highlands Ranch. However, houses offer more space for pets and private yards.
Making the Right Housing Choice in Highlands Ranch
As this cost comparison shows, apartments are generally cheaper than houses in Highlands Ranch on a monthly basis. Renters can expect to pay around $900 less per month in total living costs. However, houses may be the better value long-term for those planning to stay put and build equity.
Ultimately, the right choice depends on your budget, lifestyle, and goals. Be sure to consider not just the rent or mortgage, but the full picture of utilities, upkeep, insurance, and opportunity costs. Factor in your transportation needs, space requirements, and amenity preferences as well.
For more help with budgeting, check out these monthly budget examples for Highlands Ranch residents. And learn more about property taxes and HOA fees in Highlands Ranch to understand the full cost of homeownership.