The valley of the Plasnica river where Lipovo is settled is long enough, and the difference in altitude big enough for it to be divided into Donje i Gornje (Upper and Lower).

There is no difference in beauty, it is just that the upper is a little closer to the sky and therefore cooler, and the asphalt road turns to gravel one leading towards summer cattlemen settlements on Sinjajevina. In the lower part there is a famous water spring and the connection to the main road towards Kolasin and Mojkovac. The whole area of the village where one can see many old houses built in the authentic mountain style of the region is protected and decorated by the arch of powerful Moracke mountains on one and the edge of Sinajevina on the other side. The image in the spring is fantastic: snow covered peaks glow in the sun, and below everything is blooming, meadows and orchards…freshly plowed earth smells.