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Family & Home

Should I Lease or Purchase An Auto?

Good (221 Ratings)

2.20362/5

Leasing is one method of acquiring a new auto. Although the payments may seem attractive, it may not always be the best financial decision versus purchasing the vehicle outright and financing it with a low interest loan. Use the following calculator to help analyze the financial impact of lease versus buy.

Common Assumptions	Input
Down payment (capital reduction)	$
Number of months	(1-360)
Rebate amount	$

Lease Information	Input
Monthly payment amount	$
Security deposit/leasing fee	$

Purchase Information	Input
Purchase price	$
Sales tax rate: (%)	(0-50)%
Other upfront costs	$
Annual percentage rate on loan: (%)	(0-30)%
Market value of vehicle at end of loan	$

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Cost of Leasing
Total payments
+ Down payment (capital reduction)
- Rebate
= Total cost of lease
Average yearly cost of lease

Cost of Purchasing
Purchase price
+ Sales tax
+ Other upfront costs
+ Interest
- Rebate
- Market value at end of loan term
= Total cost of purchasing
Average yearly cost of purchasing

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This calculator is provided by Financial Calculators, Inc., and is intended solely for general information and educational purposes. You should not take any action on the basis of the information provided through this calculator. Please see the disclaimer for further information and limitations.

Rate This calculator

Good (221 Ratings)

2/5

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Rates

See today's average rates across the country.

• Mortgage

  Loan Type	Today	Last Week
  30 Year Fixed	6.29%	6.32%
  15 Year Fixed	5.79%	5.82%
  1 Year ARM	5.92%	5.89%
  30 Year Fixed Jumbo	7.33%	7.45%
  5/1 ARM	5.90%	5.83%
  3/1 ARM	5.77%	5.70%

  Source: Bankrate
• Home Equity

  Loan Type	Today	Last Week
  $30K Home Equity Loan	7.63%	7.62%
  $50K Home Equity Loan	7.27%	7.27%
  $75K Home Equity Loan	7.27%	7.27%
  $30K HELOC	5.18%	5.17%
  $50K HELOC	4.83%	4.81%
  $75K HELOC	4.83%	4.81%

  Source: Bankrate
• Savings

  Savings Type	Today	Last Week
  6 month CD	3.16%	3.12%
  1 year CD	3.65%	3.62%
  3 year CD	3.85%	3.83%
  MMA	2.45%	2.50%
  $10K MMA	2.73%	2.77%
  $25K MMA	3.07%	3.10%

  Source: Bankrate
• Auto

  Loan Type	Today	Last Week
  36 Month New Car Loan	6.72%	6.73%
  48 Month New Car Loan	6.51%	6.78%
  60 Month New Car Loan	6.52%	6.47%
  72 Month New Car Loan	6.44%	6.32%
  36 Month Used Car Loan	7.08%	7.10%
  48 Month Used Car Loan	6.80%	6.92%

  Source: Bankrate
• Credit Cards

  Card Type	Today	Last Week
  Balance Transfer	10.31%	10.03%
  Low Interest	11.01%	10.97%
  For Bad Credit	13.02%	13.12%
  Cash Back	11.47%	11.46%
  Business	11.10%	10.91%
  Airline	12.75%	12.69%

  Source: CreditCards.com

View rates in your area

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