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Buy or Lease Calculator

Should I Buy or Lease?

Should you lease or buy a car? Use this calculator to calculate your monthly payments and total net cost. By comparing these amounts, you can determine which is the better for you.

Making the decision between leasing or buying a vehicle can be a difficult decision. Buying sometimes comes with a higher monthly price tag but with the promise of owning a vehicle after it’s paid off. There are some conveniences when it comes to leasing including having a late-model car and having it during the trouble-free years. However, monthly payments go on as long as you’re leasing and come with more the same liabilities as owning a car. We hope this calculator can help show the financial differences between purchasing and leasing.

Vehicle Information
Loan Information
Lease Information

Buy or Lease Calculator Key Terms

  1. Cash Down/Capital Reduction
    Some leases require a cash down amount similar to a down payment that can reduce monthly lease payments.
  2. Monthly Lease Payments
    Monthly payment required in order to keep vehicle.
  3. Rebate
    Some manufacturers offer a cash rebate. The cash rebate paid by the car manufacturer would reduce the overall price of the car.
  4. Title & Registration Costs
    This is the estimated cost of the prices involved with getting the title and registering your vehicle.
  5. Vehicle Depreciation
    New and used vehicles lose their value. Adjusting this option assists in calculating the vehicle value once the vehicle is paid off.
  6. Vehicle Down Payment
    The total amount of cash paid at time of purchase. The larger the initial cash down payment, the smaller the monthly payments and overall loan amount is.

Our financial calculators are provided as a free service to our members. The information supplied by these calculators is from various sources based on calculations we believe to be reliable (but are not guaranteed, explicit or implied) regarding their accuracy or applicability to your specific circumstances. All examples are hypothetical and are for illustrative purposes, and are not intended to provide investment advice. TDECU does not accept any liability for loss or damage whatsoever, which may be attributable to the reliance on and use of the calculators. Use of any calculator constitutes acceptance of the terms of this agreement. TDECU recommends you to find a qualified professional for advice with regard to your personal finance issues.