Free online Calculators

Lease vs Buy Calculator

Compare the total cost of leasing versus buying a vehicle over time. Analyze which option saves you the most money.

Free to use
12,500+ users
Updated January 2025
Instant results

Lease vs Buy

Smart Vehicle Finance Calculator

Lease Monthly
$700
Buy Monthly
$798
Best Value
Lease

Recommendation

Buying is significantly cheaper for long-term ownership.

Lease saves you $24,049 over 7 years

Lease

36 months

Monthly Payment
$700
$450 lease + $250 operating
Down Payment$2,000
Total Lease Payments$16,200
Sales Tax$1,377
Operating Costs$9,000
Total Cost$28,577
Lower monthly payments
Always under warranty
No ownership equity
Mileage restrictions

Buy

60 month loan, keep 7 years

Monthly Payment
$798
$548 loan + $250 operating
Down Payment + Tax$9,975
Total Loan Payments$32,871
Interest Paid$4,871
Operating Costs$21,000
Resale Value-$11,220
Net Cost$52,626
Build ownership equity
No mileage limits
Higher monthly payment
Depreciation loss

Cost Comparison

Cost Over Time

Vehicle & Lease

Purchase Options

Resale after 7 years: $11,220

Key Insights

Lease if: You drive under 12k miles/year, want new cars every 3 years, prefer lower payments
Buy if: You keep cars 5+ years, drive high mileage, want to build equity
Multiple leases: Can cost 2-3x more than buying if repeated over many years
Hidden costs: Lease has acquisition fees, disposition fees, excess wear charges

Understanding Lease vs Buy Calculator

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Key Terms You Should Know

Key Term 1

[Definition and explanation]

How It Works

[Step-by-step process explanation with examples]

8 Best Practices

8 Common Mistakes to Avoid

Related Topics & Keywords

Frequently Asked Questions

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