Verdict

Lease vs Buy a Car

Leasing's lower monthly payment is obvious. What it costs you in the long run isn't — until you run the numbers.

$1,200,000
20%
9%
5 yrs
$18,000
$100,000
15%
10%
5 yrs
Do it

Buying wins by $152,803

You end up owning a depreciated but real asset, and it's worth more than what leasing would've let you invest instead.

Buying — net worth

$532,446

Resale value $532,446

Leasing & investing

$379,644

Common questions

Not always — it depends on the specific car's depreciation rate and your investment return. Fast-depreciating cars make leasing more attractive.