Lease vs Buy Calculator

Compare the financial implications of leasing versus buying a vehicle to help determine which option makes more sense for your situation.

Reviewed August 29, 2026 · Calculation methodology · Inputs stay in your browser

Vehicle Price ($) The negotiated price of the vehicle.

Sales Tax Rate (%) Your local sales tax rate.

Down Payment ($) The amount you'll pay upfront.

Loan Term (months) The length of your auto loan.

Interest Rate (%) Annual interest rate for the auto loan.

Years You'll Keep the Car How many years you plan to keep the vehicle.

Lease Down Payment ($) Amount due at lease signing (excluding first month).

Lease Term (months) The length of your lease agreement.

Monthly Lease Payment ($) Your monthly lease payment amount.

Disposition Fee ($) Fee charged when returning the leased vehicle.

Estimated Residual Value ($) The vehicle's projected value at the end of lease.

Estimated Trade-in Value ($) Your vehicle's estimated value after ownership period.

Lease vs Buy Tips

Buying is typically better financially if you plan to keep the car for many years.
Leasing often results in lower monthly payments but doesn't build equity in the vehicle.
Consider your annual mileage - leases have mileage limits with excess mileage fees.
If you enjoy driving new cars every few years, leasing might better suit your lifestyle.
Remember that buying means potential maintenance costs after the warranty expires.