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What will my lease buyout cost?

Type the purchase-option price in your lease, any payments left, the fees and your sales tax rate. The lease buyout calculator shows the total cost to buy the car, how it compares with the car’s market value, and the monthly payment if you finance the buyout.

Your numbers

For an early buyout, your lessor’s payoff quote is the exact amount.
Finance the buyout
Type the APR you are offered.
Total buyout cost
$25,142.00

Buying the car costs $25,142.00 in all; financed, that is $602.06 a month.

Sales tax
$1,392.00
Purchase-option price
$23,200.00
Payments left
$0.00
Fees
$550.00
Market value minus the buyout cost
$858.00
Amount financed
$25,142.00
Monthly loan payment
$602.06
Loan interest
$3,756.71

Total buyout cost: $25,142.00. Buying the car costs $25,142.00 in all; financed, that is $602.06 a month.

What makes up the buyout cost?

The results are estimates for information only. They are not financial, tax, or legal advice. Check the numbers with your lender or a qualified professional before you decide. Terms of use

How to calculate

Works out the cost to buy your leased car, the purchase-option price, payments left, fees and sales tax, against its market value, and the monthly payment if you finance the buyout.

Example with the default inputs (Purchase-option price $23,200.00, Payments left 0, Monthly lease payment $500.00, Purchase option fee $350.00, Sales tax rate 6%, Title and registration fees $200.00, Market value of the car $26,000.00, Cash you pay $0.00, Loan rate (APR) 7%, Loan length (months) 48): Buying the car costs $25,142.00 in all; financed, that is $602.06 a month.

Method: total = purchase-option price + payments left × payment + option fee + price × tax rate + other fees (exact); loan payment = (total − cash) × r ÷ (1 − (1 + r)^−n), r = APR ÷ 1200.

  • The purchase-option price is the fixed price in your lease; a lease that uses fair market value can cost more.
  • Payments left are counted in full; a lessor’s early payoff quote may be lower.
  • Sales tax is on the purchase-option price only; your state may tax a different amount, or credit tax already paid.
  • Type the APR you are offered; no live rates.

Machine-readable copies: Markdown, JSON.

Worked examples

Each example is checked against the calculator on every build.

  1. Purchase-option price $23,200.00, Payments left 0, Monthly lease payment $500.00, Purchase option fee $350.00, Sales tax rate 6%, Title and registration fees $200.00, Market value of the car $26,000.00, Cash you pay $0.00, Loan rate (APR) 7%, Loan length (months) 48 gives Sales tax $1,392.00, Total buyout cost $25,142.00, Market value minus the buyout cost $858.00, Amount financed $25,142.00, Monthly loan payment $602.06.Source: Board of Governors of the Federal Reserve System, Keys to Vehicle Leasing: Leasing vs. Buying, more information about the purchase-option price (the residual value, or a fair market value price), https://www.federalreserve.gov/pubs/leasing/resource/different/models_info10.htm (retrieved 2026-10-05)
  2. Purchase-option price $18,000.00, Payments left 6, Monthly lease payment $420.00, Purchase option fee $300.00, Sales tax rate 7%, Title and registration fees $150.00, Market value of the car $21,000.00, Cash you pay $5,000.00, Loan rate (APR) 8%, Loan length (months) 36 gives Payments left $2,520.00, Sales tax $1,260.00, Total buyout cost $22,230.00, Market value minus the buyout cost -$1,230.00, Amount financed $17,230.00, Monthly loan payment $539.93.Source: Consumer Financial Protection Bureau, What should I know about leasing versus buying a car? https://www.consumerfinance.gov/ask-cfpb/what-should-i-know-about-leasing-versus-buying-a-car-en-815/ (retrieved 2026-10-05)
  3. Purchase-option price $12,000.00, Payments left 0, Monthly lease payment $0.00, Purchase option fee $0.00, Sales tax rate 0%, Title and registration fees $0.00, Cash you pay $0.00, Loan rate (APR) 0%, Loan length (months) 24 gives Total buyout cost $12,000.00, Monthly loan payment $500.00, Loan interest $0.00.

How it works

With the purchase-option price R, k payments left of P each, a purchase option fee F, a sales tax rate t%, title and other fees G, all in exact decimals:

  • Sales tax = R × t ÷ 100.
  • Payments left = k × P. Fees = F + G.
  • Total buyout cost T = R + k × P + F + sales tax + G.
  • Market value minus the buyout cost = market value − T, when you type a market value.
  • Amount financed L = T − cash you pay (the cash cannot be more than T).
  • Monthly loan payment = L × r ÷ (1 − (1 + r)^−n), r = APR ÷ 1200, n months (L ÷ n at 0%). Loan interest = payment × n − L.

Rules

  • Purchase-option price $1 to $10,000,000; 0 to 96 payments left; tax 0% to 25%; APR 0% to 40%; 1 to 96 loan months.

Worked examples by hand

The default: end of the lease, $23,200 price, $350 fee, 6% tax, $200 fees, worth $26,000. Tax = 0.06 × 23,200 = $1,392. T = 23,200 + 350 + 1,392 + 200 = $25,142, $858 below the market value. Financed at 7% over 48 months: $602.06 a month.

Six months early: $18,000 price, 6 payments of $420, $300 fee, 7% tax, $150 fees, worth $21,000, $5,000 cash. Payments left 6 × 420 = $2,520; tax $1,260; T = $22,230, $1,230 above the market value. Financed: 17,230 at 8% over 36 months is $539.93 a month.

$12,000 with no fees or tax at 0% over 24 months. T = $12,000; payment 12,000 ÷ 24 = $500.

Other questions people ask

How is a lease buyout price worked out?

Start with the purchase-option price in your lease, usually the residual value. Add any payments left, the purchase option fee, sales tax and title fees. $23,200 + $350 + 6% tax of $1,392 + $200 is $25,142.

Is buying out my lease a good deal?

Compare the buyout cost with what the car is worth. If the car is worth more than it costs you to buy, as when its value is above the residual, the buyout can make sense.

Can I buy my car before the lease ends?

Often yes. This calculator adds the payments left in full, the most you would pay; your lessor’s early payoff quote may be lower because unearned rent charges can be removed. Ask for the quote.

Is the purchase price always the residual value?

Not always. The Federal Reserve’s leasing guide notes that some leases set the purchase price at fair market value, which can be more or less than the residual. Use the price your lease states.

Do I pay sales tax on a lease buyout?

Usually, on the purchase price, but states differ; some credit tax already paid. Set the rate to match your state, or 0.

How do I finance a lease buyout?

With a car loan for the cost minus any cash you pay. The calculator shows the monthly payment and interest at the APR you type.