Lease Vs. Buy Car Calculator
Use this lease vs. buy calculator to figure the best deal on your next car. Simply compare your total costs of leasing vs. buying over the term of the arrangement.
This lease or buy calculator estimates costs including "lost interest" due to initial expenses like the down-payment. It also calculates your estimated monthly lease payment and your monthly loan payment for comparison.
Simply enter the data then click "Calculate Lease vs Buy" to arrive at cost figures.
Should You Buy Or Lease Car?
Which is best, lease or buy? There is no right or wrong answer to this question. The answer entirely depends on your needs and your circumstance. For both options, there are several advantages and disadvantages. It is important that you carefully assess your needs and your financial situation before making a decision. Do some research and compare the cost of buying and leasing using the lease vs. buy car calculator and see which strategy works best for your needs.
Assess Your Needs
When making a decision to buy or lease a car, start by evaluating your needs. Next step is review your budget and calculate how much you can afford to pay every month. The following questions will guide you in evaluating your situation.
Pros Of Leasing
Cons Of Leasing
Pros And Cons of Buying A Car
If you can afford to shell out money monthly for at least 20% of your income, then buying a car might be the best option for you. Buying a car will require a large down payment and most car buyer usually takes up a loan for usually 5 years. Unless you have so much money, your chances of changing your car will only be after 5 years. Your driving habits will also tell you if buying a car is better than leasing. If you drive more than 12,000 to 15,000 per year then you better choose buying.
Though buying a car will save you from worries of the wear and tear of your vehicle but in case of major maintenance, you need to shoulder the expenses. The older your car, the higher is the cost of repairs and maintenance. Another disadvantage is the value of your car depreciates as time goes by. Once you completed your loan payment, the value of your car will go down, thus the resale value will decrease just when you are ready to change it.
To summarize, buying or leasing a car will greatly depend on your financial status, your driving habits and your reasons for needing a vehicle. So before you decide whether to buy or lease a vehicle, evaluate your needs and your long-term plans. Calculate which option is best for you using the lease vs. buy car calculator above and check that is the best option that suits your needs.
Buy Or Lease Terms And Definitions
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