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Car Lease vs Buy Calculator

Compare the total cost of leasing versus buying a car to make the best financial decision.

Car Lease vs Buy Calculator

Compare the total cost of leasing versus buying a car

Formula

Total Buy Cost = Down Payment + Monthly Payments - Residual Value

How to Use This Calculator

  1. 1

    Enter car price

    Input the total price of the vehicle you're considering.

  2. 2

    Add down payment

    Enter how much you plan to put down upfront.

  3. 3

    Set loan terms

    Enter the loan term and interest rate for buying.

  4. 4

    Enter lease details

    Input the lease term and monthly payment.

  5. 5

    Compare results

    See which option costs less over the term.

Frequently Asked Questions

Is it better to lease or buy a car?

It depends on your situation. Leasing typically has lower monthly payments but you don't build equity. Buying costs more upfront but you own the car at the end.

What is residual value?

Residual value is what the car is worth at the end of the loan term. This affects your true cost of ownership when buying.

What are typical lease terms?

Most leases are 24-36 months with mileage limits of 10,000-15,000 miles per year.