๐Ÿš— 2026 Car Decision ยท Free

๐Ÿš™ Should I Lease or Buy a Car?

Get a clear answer based on real numbers. Compare total cost over 3, 5, and 7 years. Includes mileage adjustments, financing costs, and depreciation.

The Car

Lease Terms

Buy Terms

Frequently Asked Questions

Is it ever smart to lease a car?

Yes, in 3 cases: (1) You can deduct the lease as a business expense (self-employed), (2) You drive less than 10K miles/year and can get a low-mileage lease, (3) You want a new car every 3 years and don't want repair risk. Otherwise, buying is almost always better financially.

What is the 1% rule for leasing?

The 1% rule says a good lease deal has total monthly payments (including down payment divided by months) equal to 1% or less of the car's MSRP. A $40K car should lease for $400/mo or less.

How long should you keep a car if you buy?

The break-even point is usually 5-7 years. After that, ownership is dramatically cheaper than leasing. Many people keep cars 10-15 years. Modern cars easily last 200K+ miles with basic maintenance.