Lease vs Buy: How to Decide
Updated
When leasing tends to win, when buying tends to win, and the factors that change the answer.
Leasing tends to win on monthly payment, especially over short horizons (2–4 years) with low miles. Buying tends to win on long horizons and high miles because you keep the residual value. Mileage limits, financing rate, residual, and incentives swing the answer.
Leasing typically wins on monthly payment but doesn't build equity and can carry mileage risk. Buying typically wins over long horizons because you keep the vehicle's residual value. Mileage, financing rates, residuals, and incentives all affect the answer.
Compare both in our lease vs buy calculator.