Lone Tree, CO vs. Highlands Ranch, CO: Cost of Living Comparison (2025)
Imagine two families, the Smiths and the Johnsons, both looking to relocate to the Denver suburbs. The Smiths rent a 2-bedroom apartment in Lone Tree for $2,200 per month, while the Johnsons opt for a similar unit in Highlands Ranch at $1,950. When it comes to groceries, the Smiths spend around $800 monthly, whereas the Johnsons average $850. Over the course of a year, the Smiths will pay $3,000 more in rent but save $600 on food. This is just a glimpse of the cost of living differences between Lone Tree and Highlands Ranch.
This article provides a comprehensive cost of living comparison between Lone Tree and Highlands Ranch. It is perfect for families relocating, professionals choosing between job offers, or anyone comparing the real-life costs of these two popular Denver suburbs in 2025.
Housing Costs
Housing is often the biggest factor in cost of living differences. Here’s how Lone Tree and Highlands Ranch compare for typical housing options:
| Housing Type | Lone Tree | Highlands Ranch |
|---|---|---|
| 2BR Apartment (Monthly Rent) | $2,200 | $1,950 |
| 3BR House (Median Price) | $750,000 | $675,000 |
🏆 Winner: Highlands Ranch. Housing costs, both for renting and buying, tend to be 10-15% lower in Highlands Ranch compared to Lone Tree.
Utilities and Energy Costs
Utility costs are fairly similar between the two cities. Expect to pay around $200-250 per month for electricity, gas, water, and trash for a typical apartment. Larger homes will be $300+, with costs spiking in the summer if you have air conditioning. Both cities offer optional recycling services for an added fee.
🏆 Winner: Tie. Utility costs are comparable in Lone Tree and Highlands Ranch.
Groceries and Daily Expenses
Grocery costs are slightly higher in Highlands Ranch, around 5-10% more than Lone Tree on average. A gallon of milk runs about $3.50 in Lone Tree vs $3.75 in Highlands Ranch. However, Highlands Ranch has more discount supermarket options which can help balance costs.
Eating out is marginally pricier in Lone Tree, with fast-casual meals around $12-15 vs $10-12 in Highlands Ranch. But both cities offer diverse dining options to fit any budget.
🏆 Winner: Lone Tree. Expect to save $50-100 per month on groceries and dining out in Lone Tree compared to Highlands Ranch.
Taxes and Fees
Both cities have similar sales tax rates around 8%. Property taxes in Lone Tree are 0.396% vs 0.422% in Highlands Ranch, a minor difference for most homeowners.
However, many Highlands Ranch neighborhoods have Homeowners Association (HOA) fees to cover community amenities and landscaping. These can range from $50-300+ per month. Lone Tree has fewer HOAs and lower average dues.
🏆 Winner: Lone Tree. Lower property taxes and fewer HOA fees give Lone Tree the edge.
Cost of Living in Lone Tree vs Highlands Ranch
| Category | Lone Tree | Highlands Ranch |
|---|---|---|
| Housing (3BR) | $2,800 | $2,500 |
| Utilities | $250 | $250 |
| Groceries | $800 | $850 |
| Transportation | $300 | $300 |
| Taxes (0.4% property tax) | $250 | $280 |
| Misc Expenses | $500 | $500 |
| Estimated Monthly Total | $4,900 | $4,680 |
Note: Figures above are estimates based on a gross monthly income of $8,000 (pre-tax). See a detailed Lone Tree monthly budget breakdown.
Lifestyle Fit
While Lone Tree is slightly more expensive overall, it offers a more urban feel with high-rise apartments, upscale dining and shopping. It’s ideal for young professionals who value walkability and shorter commutes to the Denver Tech Center.
Highlands Ranch has a suburban vibe with more spacious homes and a top-rated school district. It’s popular with families who prioritize outdoor recreation, as it boasts over 70 parks and 2,000 acres of open space. Highlands Ranch is about 5°F cooler than Lone Tree in the summer months.
Frequently Asked Questions
Is Lone Tree more affordable than Highlands Ranch?
Highlands Ranch is slightly cheaper than Lone Tree, primarily due to lower housing costs. However, Lone Tree has lower taxes and fewer HOA fees.
Which city has lower rent?
Highlands Ranch has lower rent on average, around 10-15% less than comparable apartments in Lone Tree.
Where is it cheaper to buy a home?
Median home prices in Highlands Ranch are about 10% lower than in Lone Tree. A typical 3-bedroom house costs $675,000 in Highlands Ranch vs $750,000 in Lone Tree.
Conclusion
While Highlands Ranch has a lower cost of living by the numbers, the difference is marginal. Housing is more affordable, but Lone Tree balances this with lower taxes and daily expenses.
Ultimately, your lifestyle and priorities will determine which city is the better fit. Young professionals and city lovers may prefer Lone Tree, while families and outdoor enthusiasts will feel at home in Highlands Ranch.
Choosing between Lone Tree and Highlands Ranch is just the beginning. Explore our other cost of living guides for popular Colorado cities to find your ideal hometown.