Lone Tree is considered an expensive Denver suburb in 2025, with average rent for a 2-bedroom apartment around $2,400 and higher than average housing costs overall.
Is the True Cost of Living in Lone Tree Higher Than You Think?
Located just south of Denver, Lone Tree is an affluent suburb known for its high quality of life. But with that desirable lifestyle comes a relatively high cost of living. If you’re considering a move to Lone Tree in 2025, it’s important to understand the true monthly expenses you can expect.
While salaries tend to be higher in Lone Tree compared to the national average, so are many basic living costs like housing, utilities, and taxes. Let’s break down the numbers to see what it really takes to live comfortably in this upscale Colorado community.
Housing Costs in Lone Tree
Housing is the biggest expense for most Lone Tree residents. The typical housing options are single-family homes and luxury apartments, with a smaller selection of townhomes and condos. Prices vary by neighborhood, but housing costs overall are well above the national average.
To rent a 2-bedroom apartment in Lone Tree, expect to pay between $2,200 to $2,600 per month as of 2025. Prices are highest in the newer complexes near Lincoln Avenue and Park Meadows mall. More affordable options can sometimes be found on the north side of town.
Buying a home is an even bigger investment. For a 3-bedroom, single-family house, typical prices range from $750,000 in older neighborhoods to over $1.2 million for new construction. Most homes are part of a Homeowners Association (HOA), which adds $200 to $500+ to the monthly cost.
- Typical Rent (2-Bedroom): $2,200 – $2,600
- Typical Home Price (3-Bedroom): $750,000 – $1,200,000+
- Common HOA Fee: $200 – $500+ per month
Utility Costs
In addition to high housing costs, Lone Tree residents pay more than the national average for utilities like electricity, natural gas, water and sewer. The biggest utility expense is usually electricity, which powers air conditioning during the hot summer months.
For a 1,000 square foot apartment, utility costs typically break down to:
| Utility | Typical Monthly Cost |
|---|---|
| Electricity | $120 – $200 |
| Natural Gas | $40 – $80 |
| Water + Sewer | $60 – $100 |
| Trash/Recycling | $20 – $40 |
| Total | $240 – $420 |
Utility costs are higher for larger homes. Many newer construction homes have energy-efficient features that can help keep utility bills under control.
Groceries and Food
Lone Tree residents pay about 5% more than the national average for groceries and dining out. Expect to spend around $400 per month on groceries for a single person, or $1,000+ for a family of four.
A typical grocery basket containing staples like milk, bread, eggs, meat and produce costs about $70 in Lone Tree, compared to a national average of $66. Dining out is also pricey, with $15-$20 per person being common for a basic meal at a casual restaurant.
Taxes in Lone Tree
Colorado has a flat income tax rate of 4.4% as of 2025. Sales tax in Lone Tree is 8.5%, which includes state, county and city taxes. This is slightly higher than the average sales tax in the Denver metro area.
Property taxes are another significant expense for homeowners. In Lone Tree, the property tax rate is around 0.7% of a home’s assessed value. For a $750,000 home, that equates to about $5,250 per year or $440 per month.
| Tax | Rate in Lone Tree (2025) |
|---|---|
| Income Tax (State) | 4.4% (flat rate) |
| Sales Tax | 8.5% |
| Property Tax | ~0.7% of home value |
Monthly Budget Breakdown
So what does it really cost per month to live in Lone Tree? Here’s a sample budget breakdown:
| Expense | Single Person | Couple | Family of 4 |
|---|---|---|---|
| Housing (Rent, HOA) | $2,000 | $2,400 | $2,800+ |
| Utilities | $250 | $300 | $450+ |
| Groceries | $400 | $800 | $1,200 |
| Dining Out | $300 | $500 | $800 |
| Transportation | $200 | $300 | $500 |
| Health Insurance | $300 | $600 | $1,000+ |
| Other Necessities | $500 | $800 | $1,200 |
| Monthly Total (Gross) | $3,950 | $5,700 | $7,950+ |
Keep in mind these figures are pre-tax monthly income estimates. Depending on your lifestyle, actual budgets may be higher or lower. To live comfortably, a good rule of thumb is to keep housing costs below 30% of your gross income and total necessities under 50%.
The Lone Tree Lifestyle
Lone Tree is an attractive place to live for high-earning professionals and families who value top-rated schools, safe neighborhoods, and easy access to both the mountains and the city. The tradeoff is a high cost of living.
Housing costs and taxes are the biggest factors that make Lone Tree more expensive than other Denver suburbs. However, many residents feel the premium prices are justified by the high quality of life. Lone Tree is consistently ranked as one of the best places to live in Colorado.
For those who work in the Denver Tech Center or other nearby employment hubs, Lone Tree offers a convenient location with reasonable commute times. The city also has ample parks, trails, rec centers and other amenities that contribute to a healthy lifestyle.
Frequently Asked Questions
- Q: What salary do you need to live comfortably in Lone Tree?
A: To live a comfortable lifestyle, a couple would need a combined gross income of at least $5,700 per month ($68,400 per year). Families and those with significant debts or expenses would need more. - Q: Is Lone Tree less expensive than living in Denver?
A: No, Lone Tree is generally more expensive than Denver proper. The median home price and rent in Lone Tree are about 20% higher than in Denver. - Q: What is the median household income in Lone Tree?
A: As of 2025, the median household income in Lone Tree is approximately $115,000 per year. This is significantly higher than the Denver metro median of $80,000. - Q: How much are property taxes on a $500,000 home in Lone Tree?
A: At the current property tax rate of 0.7%, annual taxes on a $500,000 home would be about $3,500 per year or $292 per month. - Q: Is there affordable housing in Lone Tree?
A: Lone Tree does have some affordable housing units and programs, but options are limited. Most housing is market-rate and geared towards middle and upper-income earners. - Q: How do living costs compare to other Denver suburbs?
A: Lone Tree is one of the most expensive suburbs in the Denver area. Nearby cities like Centennial and Highlands Ranch are 10-20% less expensive on average.