Car Loan vs Lease Calculator: Which Saves You More?

The True Cost of Car Ownership

Buying with a Loan

• Ownership: You own the car after the loan is paid off
• Monthly Payments: Higher than leasing
• Long-term Cost: Lower than leasing multiple vehicles
• Mileage: No restrictions
• Customization: Can modify as desired
• Maintenance: Responsible for all repairs after warranty

Leasing

• Ownership: You're essentially renting the car
• Monthly Payments: Lower than buying
• Long-term Cost: More expensive if you always lease
• Mileage: Typically 10,000-15,000 miles/year
• Customization: Limited or not allowed
• Maintenance: Often covered under warranty

When Leasing Makes Sense

1. You want a new car every 2-3 years
2. You drive under 12,000 miles annually
3. You want lower monthly payments
4. You like having the latest safety features
5. You can deduct lease payments for business use

When Buying Makes Sense

1. You plan to keep the car 5+ years
2. You drive more than 15,000 miles annually
3. You want to build equity in the vehicle
4. You prefer not to have mileage restrictions
5. You want to customize your vehicle

Next Steps

1. Use our Car Loan vs Lease Calculator to compare costs
2. Check your credit score
3. Get pre-approved for financing
4. Research current incentives and deals