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Lease vs. Buy Calculator: Which Saves You More?

Leasing seems cheaper monthly, but buying saves $10,000–$30,000+ over 10 years. Enter your numbers to see the real comparison — the answer depends on how you drive.

Updated Mar 2026Auto$10K–$30K difference
Lease vs. Buy Comparison Calculator
Enter a vehicle to compare leasing vs buying over time

Lease vs. Buy: Full Cost Comparison

FactorLeaseBuy (Finance)Winner
Monthly payment$300–$500$500–$800Lease
Down payment$0–$3,000$3,000–$10,000Lease
5-year total cost$22,000–$35,000$25,000–$45,000Depends
10-year total cost$44,000–$70,000$25,000–$45,000Buy
Asset at endNothing$8,000–$20,000Buy
Mileage limits10K–15K/yearUnlimitedBuy
MaintenanceUnder warrantyYour cost after warrantyLease
CustomizationNone allowedFull freedomBuy

The short version: leasing costs less month-to-month but more over time. Buying and keeping a car for 8–10 years is the cheapest option. The worst financial move: buying new and trading in every 3–4 years — you eat maximum depreciation without the lower payments of a lease.

When Leasing Makes Sense

✅ You drive under 12,000 miles/year and want a new car every 3 years
✅ You need the car for business and can deduct lease payments
✅ You want the lowest possible monthly payment and don't care about equity
✅ You value full warranty coverage and never want to deal with major repairs

When Buying Makes Sense

✅ You drive over 15,000 miles/year (lease penalties add up fast at $0.15–$0.30/mile)
✅ You plan to keep the car 5+ years (the longer you keep it, the more you save)
✅ You want to build equity and eventually have no car payment
✅ You want freedom to customize, modify, or skip unnecessary dealer services

Frequently Asked Questions

Is it really cheaper to buy or lease a car?▼
Buying is almost always cheaper in the long run — typically saving $10,000–$30,000 over 10 years compared to leasing. The key is keeping the car at least 3–5 years after paying off the loan. However, leasing can make sense for low-mileage drivers who value driving a new car every 3 years and don't mind always having a payment.
What happens if I go over my lease mileage?▼
You'll pay $0.15–$0.30 per mile over the limit. At 3,000 miles over on a 36-month lease, that's $450–$900. At 10,000 miles over, it's $1,500–$3,000. If you drive over 15,000 miles/year, leasing is almost never financially smart — buy instead.
What are the hidden costs of leasing?▼
Watch for: disposition fee ($300–$500 at lease end), excess wear charges ($500–$2,000+), early termination fees (remaining payments + penalties), acquisition fee ($500–$1,000 at signing), and mileage overages. These can add $1,000–$5,000+ to your expected cost.
Is it better to buy a used car or lease a new one?▼
Buying a 2–3 year old certified pre-owned car is often the best financial move. You skip the steepest depreciation, get remaining warranty coverage, and build equity. Monthly payments on a CPO car can be similar to lease payments, but you own an asset at the end.
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Reviewed by Connor Price · Cost Research
📊 Data Sources & Methodology
Lease vs. buy comparisons based on Edmunds TCO data, average lease terms from Experian, and standard depreciation curves. Updated March 2026. Learn more about our methodology.