Dear Johnny Q&A: Should I Lease or Buy My Next New Vehicle?
Question: Should I lease or buy my next new vehicle?
Thank you for the question! Assuming you already read our Should I Buy A New Vehicle Post and you meet the recommended requirements for buying a new vehicle (read them carefully), I will compare leasing and buying options for a new vehicle.
New vehicles depreciate on average 70% the first 10 years of ownership. If you paid $50,000 (the average price for a new vehicle) for a new 2026 F-150 truck, 10 years later it is worth approximately $15,000. You would be losing $292 per month, every month over 10 years in depreciation. That does not include repairs after the initial warranty runs out. Average annual car repairs for vehicles out of warranty but less than 10 years old are approximately $800/year or $67 per month. If you total up $292 per month in depreciation and $67 per month in…