Car Lease vs Buy Calculator
Compare leasing a car with buying it on a loan over the same period — total payments, what the car is worth at the end, and the net cost of each.
For information and education only — not financial advice. Results are estimates based on the numbers you enter; check important decisions with a qualified professional.
How to use
- 1Enter the lease terms (monthly payment, due at signing, months).
- 2Enter the purchase terms and the car's expected value at the end of the lease period.
How it's calculated
Lease cost = due at signing + payment × months. Buy cost over the same period = down payment + loan payments made − (car value − remaining loan balance).
Frequently asked questions
When is leasing better?
If you like a new car every few years, drive within the mileage limit and don't want repair risk. Buying usually wins if you keep cars for a long time.
What about mileage limits?
Leases cap miles (often 10,000–12,000 a year). Overage fees of $0.15–0.30 per mile can erase a lease's advantage.
How do I estimate the car's future value?
The lease's residual value is a good guide. Many cars keep about 50–60% of their value after three years.