Enter your Vehicle Purchase Price, Federal EV Tax Credit, Down Payment, Loan Interest Rate, and other financing details into the EV Lease vs Buy Calculator to compare your Total Cost to Lease against your Total Cost to Buy — including your Monthly Buy Payment and leftover Vehicle Value at End of the term.
Lease vs Buy Savings
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Total Cost to Buy
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Total Cost to Lease
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Monthly Buy Payment
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Vehicle Value at End
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The answer depends on your driving habits, budget, and preferences. Leasing typically offers lower monthly payments and access to newer technology, while buying provides ownership and potential long-term savings if you keep the vehicle for many years.
Federal tax credits up to $7,500 are available for new EVs, plus many states and localities offer additional rebates. These incentives can significantly reduce the effective cost of buying an EV, making purchase more attractive than leasing.
EVs typically depreciate faster than gas cars due to rapidly improving technology and battery concerns. This higher depreciation can make leasing more attractive, as you avoid the risk of steep value loss.
When leasing, the leasing company typically claims the federal tax credit and may pass some savings to you through lower lease payments. When buying, you can claim the full credit directly on your tax return.
Consider home charging station installation costs (typically $500-2000), potential electricity rate increases, and warranty coverage for batteries. However, EVs generally have lower maintenance costs than gas vehicles.
If you drive more than 12,000-15,000 miles annually, buying is usually better since lease agreements charge excess mileage fees. High-mileage drivers also benefit more from EV fuel savings over time.
Modern EV batteries typically last 8-10 years or 100,000+ miles and are covered by warranties. Battery replacement costs are decreasing, but it's still a consideration for long-term ownership beyond the warranty period.