Vehicle Economics

Lease Buyout Calculator

Is buying out your lease a good deal against what the car is actually worth?

Why this comes up

Your lease is ending, or you're weighing an early buyout, and the residual price on the contract sits next to whatever you think the car is worth on the open market today. If the market has moved in your favor, buying it out can be a real value. If it hasn't, the fees alone can erase what looked like equity at first glance.

How we calculated this

All-in buyout cost is the residual or purchase-option price, plus the purchase-option fee, plus any tax/title/fees you enter. We compare that total against your own market-value estimate; if you finance it, we add the monthly payment and interest on top.

Worked example, using this page's own defaults ($18,000 residual, $350 option fee, $900 tax/title/fees, $21,000 estimated market value): the all-in buyout cost is$19,250, versus a market value of $21,000, a real gap in your favor. Run the calculator above with your own contract figures.

What this means

  • Fees and financing interest can quietly erase an apparent equity gap, always compare the all-in figure above, not just the bare residual price against market value.
  • If the buyout clearly favors you, check Lease Buyout Equity Calculator and Buy Lease vs Return It next to size the equity and confirm the full decision.
  • Your market-value estimate drives this whole comparison. If you're not confident in it, get a couple of real quotes before committing to a buyout.

Limitations

This site does not provide vehicle valuations; the market-value figure is entirely your own estimate. It also does not know your specific contract's exact tax treatment or any state-specific title fee schedule. 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.

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