Auto Lease vs Buy Calculator

Compare the total costs of leasing versus buying a vehicle. This calculator helps you determine which option makes more financial sense based on your driving habits, budget, and long-term plans.

Vehicle Price & Depreciation

Vehicle Price ($):

Lease Term (months):

Loan Term (months):

Lease Mileage (miles/year):

Over Mileage Fee ($/mile):

Lease Residual (%):

Vehicle Depreciation (%/year):

Other Upfront Expenses

Down Payment ($):

Trade-In Value ($):

Lease Fees ($):

Loan Fees ($):

Credits

Lease Incentives ($):

Purchase Incentives ($):

Estimated Financing Costs

Lease Money Factor:

Loan Interest Rate (%):

Lease Tax Rate (%):

Sales Tax Rate (%):

Lease vs Buy Comparison

Cost Factor	Lease	Buy
Monthly Payment	$0.00	$0.00
Total Payments	$0.00	$0.00
Upfront Costs	$0.00	$0.00
Total Cost	$0.00	$0.00
Cost After 3 Years	$0.00	$0.00
Vehicle Ownership	No	Yes
Mileage Restrictions	Yes	No

Expense Breakdown

Expense Type	Lease	Buy
Depreciation	$0.00	$0.00
Interest/Finance Charges	$0.00	$0.00
Taxes	$0.00	$0.00
Fees	$0.00	$0.00

About Lease vs Buy Calculator

Deciding whether to lease or buy a vehicle is a significant financial decision that depends on your personal circumstances, driving habits, and financial goals. This calculator helps you compare the total costs of both options to make an informed decision.

How Lease vs Buy Calculator Works

The calculator compares the total costs of leasing versus buying a vehicle over the same time period. Here's how it calculates each option:

Leasing Costs:

Calculates the capitalized cost (vehicle price minus down payment and incentives)
Determines the residual value (percentage of original value at lease end)
Computes the monthly payment based on the depreciation and money factor
Adds taxes, fees, and potential mileage overage charges

Buying Costs:

Calculates the loan amount (vehicle price minus down payment and incentives)
Computes the monthly payment based on loan term and interest rate
Adds sales tax, fees, and accounts for vehicle depreciation
Estimates the vehicle's value at the end of the comparison period

When Leasing Might Be Better

You prefer driving a new car every few years
You want lower monthly payments
You don't drive more than the allotted mileage
You want to avoid major repair costs (often covered by warranty during lease)

When Buying Might Be Better

You plan to keep the vehicle long-term
You drive more than the standard lease mileage allowance
You want to build equity in the vehicle
You prefer not to have restrictions on vehicle modifications