How Much You’ll Pay for Housing in Lakewood

The Housing Market in Lakewood Today

As of 2025, the housing market in Lakewood, Colorado is experiencing a period of transition. While inventory remains relatively tight, new housing developments are beginning to rise in the downtown area and along major transit corridors. This is gradually easing some of the supply constraints that have pushed prices higher in recent years.

Lakewood’s unique local characteristics are also shaping its housing landscape. The city’s proximity to the foothills and abundance of parks and open spaces make it an attractive destination for outdoor enthusiasts. At the same time, its diverse economy and growing tech sector are drawing in young professionals and families. These factors are influencing both the types of housing being built and the prices buyers and renters can expect to pay.

Despite these changes, Lakewood remains a relatively affordable option compared to some of the pricier suburbs in the Denver metro area. Its mix of established neighborhoods and newer developments offers a range of housing choices at various price points. However, as demand continues to grow, it’s likely that prices will continue to rise in the coming years.

Renting in Lakewood: What’s Typical?

For those looking to rent in Lakewood, the average monthly rent for a one-bedroom apartment is currently around $1,450. Two-bedroom apartments typically rent for about $1,850 per month. These prices represent an increase of roughly 5% over the past year.

Some of the most popular areas for renters in Lakewood include the Belmar neighborhood, with its walkable streets and mix of shops and restaurants, and the Union Boulevard corridor, which offers easy access to light rail and major employers. Young professionals and small families are among the most common renter demographics in these areas.

While rent in Lakewood has risen steadily in recent years, there are still pockets of relative affordability. Neighborhoods like Morse Park and Eiber tend to have slightly lower rents, making them a good option for budget-conscious renters. Overall, though, renters should be prepared for competition and rising prices as demand continues to outpace supply in many parts of the city.

Owning a Home in Lakewood

For those looking to buy a home in Lakewood, the median home price currently stands at around $525,000. At this price point, buyers can expect a monthly mortgage payment of roughly $2,450, assuming a 30-year fixed-rate mortgage with a 20% down payment.

In addition to the mortgage, homeowners in Lakewood should be prepared for additional monthly costs such as property taxes, homeowners insurance, and HOA dues. Property taxes in Lakewood are assessed at a rate of roughly 0.7% of a home’s value, which translates to about $3,675 per year for a median-priced home. Homeowners insurance typically runs around $100 per month, while HOA dues can range from $200-500 per month depending on the neighborhood and amenities.

While these costs can add up, many homeowners in Lakewood find that the long-term benefits of building equity and having a stable housing payment outweigh the upfront expenses. Additionally, the city’s strong job market and quality of life make it an attractive place to put down roots.

Renters vs. Homeowners: Who Lives Where?

Lakewood’s homeownership rate currently stands at around 60%, which is slightly lower than the national average. This means that a significant portion of the city’s residents are renters.

In general, younger individuals and small households are more likely to rent in Lakewood, while families and older residents are more likely to own their homes. This is partly due to the financial barriers to homeownership, such as the need for a down payment and good credit, as well as the flexibility and mobility that renting can provide.

However, there are also cultural factors at play. For some, renting is simply a preferred lifestyle choice, offering freedom from maintenance and repair responsibilities. Others may be saving up to buy a home in the future or waiting for the right property to come on the market. Regardless of the reason, Lakewood’s mix of renters and homeowners contributes to the city’s diverse and dynamic character.

Table: Typical Monthly Housing Costs in Lakewood

Here’s what housing costs might look like each month in Lakewood:

Estimates reflect mid-range properties and average usage.

What’s Driving Costs Up or Down?

Several factors are influencing the cost of housing in Lakewood. On the demand side, the city’s strong job market and attractive quality of life are drawing in new residents, putting upward pressure on prices. The Denver metro area as a whole has seen significant population growth in recent years, and Lakewood is no exception.

On the supply side, zoning regulations and land use policies have historically limited the amount of new housing that can be built in Lakewood. This has contributed to a tight inventory and made it harder for supply to keep up with demand. However, recent changes to the city’s zoning code are aimed at encouraging more density and mixed-use development, particularly along transit corridors.

Construction trends are also playing a role. Like many cities, Lakewood is grappling with rising construction costs and a shortage of skilled labor. This can make it more expensive and time-consuming to build new housing, which in turn puts upward pressure on prices. However, innovations in construction technology and materials may help to mitigate these challenges over time.

FAQs About Housing in Lakewood

• Is Lakewood affordable to live in? While housing costs in Lakewood are higher than the national average, the city is still relatively affordable compared to some other parts of the Denver metro area. Factors like a strong job market, good schools, and access to outdoor recreation help to balance out the cost of living.
• Why are housing prices changing? Housing prices in Lakewood are influenced by a variety of factors, including population growth, economic conditions, and local policies. In recent years, demand for housing has outpaced supply, leading to rising prices. However, efforts to increase density and encourage more development may help to moderate price growth over time.
• How does Lakewood compare to nearby cities? Lakewood is generally more affordable than cities like Boulder or Denver proper, but pricier than some outlying suburbs. Its unique mix of urban amenities and outdoor recreation opportunities make it an attractive option for many buyers and renters.

Making Smart Housing Decisions in Lakewood

Navigating the housing market in Lakewood can be complex, but understanding the key drivers of cost can help buyers and renters make informed decisions. For renters, this might mean exploring up-and-coming neighborhoods or being flexible on amenities in order to find a more affordable option. Renters should also be prepared to act quickly when a desirable property becomes available, as competition can be fierce.

For buyers, it’s important to have a clear budget in mind and to factor in all the costs of ownership, not just the mortgage payment. This might mean making tradeoffs on size or location in order to stay within budget. Buyers should also be prepared for a potentially lengthy search process, as inventory can be limited in some parts of the city.

Regardless of whether you’re renting or buying, it’s important to have a clear sense of your priorities and to be realistic about what you can afford. Working with a knowledgeable real estate agent or financial advisor can help you navigate the process and make sound decisions. And for those looking to better understand how housing costs fit into their overall budget, our Monthly Budget Examples for Lakewood Residents can provide helpful context.

Ultimately, while the cost of housing in Lakewood is certainly a factor to consider, it’s just one piece of the larger puzzle. By weighing your options carefully and being strategic in your approach, you can find a housing situation that meets your needs and helps you thrive in this vibrant and growing city. For more information on the cost of living in Lakewood, check out our comprehensive Cost of Living in Lakewood (2025 Guide).