Lease vs Buy Car Calculator

One reason deciding between leasing or buying a car isn’t an easy decision is because there are pros and cons to either option.

When you choose to lease a car, monthly payments and your down payment are often lower than buying—and with some leases, no down payment is required at all. You also get to drive a new car that’s under warranty, meaning repair costs are low and you get the latest bells and whistles. On the flipside, you don’t own the car at the end of the lease, your mileage is capped annually, and you could pay more in the long run than if you had bought a car and kept it for the long haul.

When you buy a car, it’s all yours so you can modify it if you want, drive it as much as you want, and sell the car whenever you want. You can also use it as a trade-in on the next car you purchase. In the cons column, you might make a higher down payment and have higher monthly payments, you’ll have to handle all repairs after your warranty expires, and your car will depreciate in value.