Should you lease or buy your next car? Compare the true total cost of ownership over your expected ownership period, including depreciation, insurance, and maintenance costs. No signup required.
Compare true cost of lease vs buy over your ownership period.
See when buying becomes cheaper than leasing.
Factor in how each option handles depreciation.
Enter lease payment, term, and mileage.
See how resale value affects the buy scenario.
Compare over 3, 5, or 7 years.
Compare the true cost of leasing versus buying over your ownership period.
This calculator compares the total cost of leasing vs buying over your specified ownership period. For buying, we subtract the estimated resale value to show your true net cost. Depreciation estimates are based on industry averages (20% first year, declining thereafter). Your actual results may vary based on vehicle condition, mileage, and market conditions.
Our AI can analyze your specific situation and provide tailored advice.
Leasing can make sense if you want a new car every few years, drive within mileage limits, and prefer lower monthly payments.
Buying makes sense if you plan to keep the car long term, drive a lot, or want to build equity.
Common questions about this tool
Leasing can make sense if you want a new car every few years, drive within mileage limits, and prefer lower monthly payments and no long-term ownership risk. You don’t build equity.
Buying makes sense if you plan to keep the car long term, drive a lot, or want to build equity. Once the loan is paid off, you own the asset and have no monthly payment.
Calculate your monthly payment with amortization schedule and total interest.
Calculate monthly lease payment, money factor, and total lease cost.
Use the 10-15% rule to find your car budget based on income.
Check your estimated auto loan rate and approval likelihood.