Lease vs Buy Calculator

This calculator compares the total cost of leasing versus buying over a specified period. It factors in payments, interest, down payments, residual value, and end-of-term equity to help you make the right financial decision for your situation.

1. 1

   Enter Vehicle Details

   Input vehicle price, down payment, and loan/lease terms

2. 2

   Set Financing Terms

   Enter interest rates for both buying and leasing scenarios

3. 3

   Enter Projected Resale

   Estimate what the car will be worth when you would sell

4. 4

   Compare Results

   View total cost comparison and break-even analysis

• 1

  Buying usually costs less long-term if you keep cars 6+ years

• 2

  Leasing can be cheaper if you always want a new car every 3 years

• 3

  Consider opportunity cost of down payment money when comparing

• 4

  Leasing makes sense for business use with tax deductions

• 5

  Factor in maintenance - leased cars are usually under warranty

• Comparing only monthly payments instead of total cost

• Not accounting for equity built when buying

• Ignoring lease-end fees (excess mileage, wear, disposition fee)

• Assuming you will keep a purchased car as long as planned