Skip to main content

Car Lease vs Buy Calculator (2025)

Last verified: May 2025

Should you lease or buy your next car? Compare total cost of ownership, monthly payments, and residual value to make the right decision.

Vehicle & Common

Financing (Buy)

Lease Terms

APR ÷ 2400. E.g. 3% APR = 0.00125

Lease vs Buy Comparison

Lease Wins

Better Financial Option

$685/mo

Buy Payment

$578/mo

Lease Payment

$46,089

Total Buy Cost

$25,790

Total Lease Cost

Buying saves $20,299 over financing over the term. Leasing has lower monthly payments.

Analysis & insights

Your buy payment is $685, based on the inputs above. Loan and credit decisions compound over years. Small rate or term changes have outsized lifetime impact.

Calculation summary

Result derived from 3 inputs. Adjust any one to test sensitivity.

Risk & benchmark gauge

Current band

Strong

Buy Payment: $685

0255075100
LowModerateStrongMaximum

Industry benchmarks

  • Buy Payment$685
  • Lease Payment$578
  • Total Buy Cost$46,089
  • Total Lease Cost$25,790
  • Excess Miles0.000
  • Residual Value$22,000

Key insights

Time + rate compound

In long-horizon money math, small changes in rate or time produce outsized changes in the final number. Try ±1% on the rate to see sensitivity.

Sensitivity testing

Adjust each input by ±10% to find the most impactful variable — that's the one to focus your real-world decisions on.

Recommended actions(4)

Test the realistic range of each input

High priority

Try the lowest and highest realistic value for each input. The spread of results is the range you should actually plan for — point estimates lie.

Impact: Reveals which inputs matter most and where uncertainty hides.

Compare against published benchmarks

Medium priority

Whatever you're calculating, there's likely an industry benchmark for it. Google "[topic] average" or "[topic] median" to sanity-check the result.

Save or download a copy

Medium priority

For calculators that offer it, use "Download report (PDF)" to keep a snapshot. Otherwise screenshot the inputs + result before navigating away.

This tool is for educational purposes only and does not constitute financial, tax, or investment advice. Consult a qualified financial professional for advice specific to your situation.