Lease vs Buy Calculator

Compare total out-of-pocket cost between leasing and buying over the same period.

Scratchpad (not saved)

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What This Calculator Does

Compare total out-of-pocket cost between leasing and buying over the same period.

It combines Lease Monthly, Lease Term, Loan Monthly, Loan Term to estimate Lease Cost, Buy Net Cost, Lease - Buy.

Formula & Method

Core equations: Total lease cost: C_L = DP + nP_L + F - RV_{credit}. Total buy cost over horizon: C_B = DP + nP_B + M + T - Resale. Compare C_L vs C_B.

Notation used in the formulas: R = Lease Cost; x_{1} = Lease Monthly; x_{2} = Lease Term; x_{3} = Loan Monthly; x_{4} = Loan Term; x_{5} = Expected Resale Value.

Method summary: inputs are normalized to consistent units, core equations are evaluated, then secondary values are derived and rounded for display.

Use this calculator for quick scenario analysis. Start with baseline values, change one driver at a time, and compare how sensitive the results are to each input shown above.

Inputs Used

  • Lease Monthly: Used directly in the calculation.
  • Lease Term: Used directly in the calculation.
  • Loan Monthly: Used directly in the calculation.
  • Loan Term: Used directly in the calculation.
  • Expected Resale Value: Used directly in the calculation.

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