We just moved to southeast Denver. Our two-bedroom townhouse is $1300 a month; we looked at some that were cheaper, but less suitable for a family of four. People complain about real estate being expensive here, but it is comparable to where we lived before (Fredericksburg, VA, AKA the very outer suburbs of Washington, DC).
We are getting by with one car, but it takes some effort and planning. Like I will only get to go to Costco tomorrow if Mr. FP gets up early enough to catch a bus to work. If he's running late, he'll take the car and I'm out of luck. (I do not work outside the home.)
We live within easy biking distance of a light rail station and hop on it often to go downtown. Our toddlers love it. We've been really happy here. We do a lot of biking on streets as well as bike paths, but I find I can bike everywhere I go regularly--the YMCA, several grocery stores (if I'm not buying much or don't have the kids), Target, the library, several different parks, even downtown if we're prepared to make half a day of it.
But we haven't seen winter yet...