Vehicle EconomicsFinance a Lease Buyout Calculator
You've decided to buy out your lease. What will financing it actually cost?
Why this comes up
Lease Buyout Calculator answers whether buying out is a good deal against market value, and can finance the whole all-in cost if you check a box. Once you've already decided to buy out, the remaining question is purely a financing quote: what payment, interest, and cash-due-at-signing does a specific down payment, APR, and term actually produce.
How we calculated this
All-in buyout cost is the residual/purchase option price plus the purchase option fee plus tax/title fees. The financed principal is that cost minus your down payment, amortized at the entered APR and term using this site's fixed-rate amortization model.
Worked example, using this page's own defaults: an all-in buyout cost of$16,850 minus a $2,000 down payment finances$14,850 at 6% APR over 48 months, a monthly payment of$348.75 and total interest of $1,890.13.
What this means
- A larger down payment lowers both the monthly payment and the total interest paid, the same tradeoff as any other auto loan.
- Financing can turn a market-value bargain into a weaker multi-year decision if interest and fees are large, check the total financed cost, not just the monthly payment.
- If you have not yet confirmed the buyout is worth it at all, run Lease Buyout Calculator or Lease Buyout Equity Calculator first.
Limitations
This is a planning model, not a lender's payoff quote: your actual APR, fees, and title tax must come from your lender and your state. See Methodology.
Methodology
This engine combines Vehicle Economics' fixed-rate amortization model (the standard loan-payment formula run out as a full month-by-month schedule) and lease payment and buyout model (cap cost, residual, and money factor split into a depreciation charge and a rent charge). See Methodology for the full detail.