Start by finding your adjusted capitalized cost:
$52,500 – $4,000 – $2,500 = $46,000
That’s the amount you’re financing through the lease.
Leasing a car shouldn’t feel like a guessing game. That’s why we’ve created a simple, reliable way to help you estimate your monthly lease payments before setting foot in a dealership. By entering key details like the car’s price, lease term, interest rate, down payment, trade-in value, tax rate, and expected residual value, you’ll get a clear picture of what your monthly cost might look like. This tool empowers you to approach the leasing process informed and confident—without relying on vague figures or sales tactics. As trusted auto brokers in Los Angeles, we’ve helped countless drivers avoid inflated deals and confusing terms by putting the numbers front and center. Please keep in mind that the results are estimates based on standard assumptions and ideal credit conditions, and actual offers may vary depending on several personal and market factors. Use this calculator as a smart starting point—because when you understand the math, you stay in control of the deal.
Understanding Money Factors in California:
Money factors used in California lease agreements usually range from 0.0010 to 0.0060. If you’re being offered a rate below 0.0020 (equivalent to roughly 4.8% APR), you’re likely in a strong credit position. Just keep in mind, these numbers are closely tied to your credit score and financial profile. Don’t rely on assumptions—always request and review the actual money factor listed in your offer before moving forward with a lease.
How This Lease Calculator Breaks Down Your Payment
Most drivers aren’t taught how lease payments really work—and many dealers take full advantage of that. This calculator gives you a clear view of the numbers behind the deal, so you can confidently assess whether you’re getting a fair offer.
Let’s say you’re considering a vehicle in Los Angeles with an MSRP of $58,000. After negotiation, you agree on a purchase price of $52,500. You plan to put $4,000 down and have a trade-in valued at $2,500. The lender offers a 54% residual value, or $28,350, and you’re offered a 4.8% APR on a 39-month lease.