FullCalculator

Car Lease Calculator

Monthly Lease Payment

Calculate your monthly car lease payment

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Formula

Monthly Payment = (Cap Cost - Residual) / Term + (Cap Cost + Residual) x Money Factor

Frequently Asked Questions

What is a money factor in a car lease?
The money factor is the financing charge on a lease expressed as a small decimal. To convert it to an approximate APR, multiply by 2,400. For example, a money factor of 0.00125 equals about 3% APR.
What is residual value?
Residual value is the projected worth of the vehicle at lease end, expressed as a percentage of MSRP. A higher residual means lower monthly payments because you are financing less depreciation.
Is it better to lease or buy a car?
Leasing offers lower monthly payments and the ability to drive a new car every few years, but you build no equity. Buying costs more monthly but you own the vehicle outright after the loan is paid off.

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