Lease vs Buy Calculator
Compare the total cost of leasing versus buying a car.
See which option saves you more money over your ownership period.
Cost Comparison
Lease vs Buy compares the total cost of each option over the same time period.
Buying total cost:
Buy Cost = Down Payment + (Monthly Payment × Months) + Insurance & Maintenance - Resale Value
Leasing total cost:
Lease Cost = (Monthly Lease × Months) + Upfront Fees + Excess Mileage/Wear Fees
Key factors to consider:
- Buying: You own the car and build equity; higher monthly payments but you keep the vehicle
- Leasing: Lower monthly payments; no ownership at end; mileage limits apply
Typical depreciation:
- Year 1: 20-25% of value lost
- Year 3: 40-50% total depreciation
- Year 5: 55-65% total depreciation
When leasing wins: You prefer new cars every 2-3 years, drive under 12,000 miles/year, want lower payments When buying wins: You keep cars 5+ years, drive high mileage, want no restrictions
This calculator compares the net cost of each approach over your specified time period.