Compares total out-of-pocket cost of buying a car on loan (and owning the resale value) versus a monthly lease, over the same period.
Buying a car on loan means paying EMIs plus a down payment, but you own an asset at the end that retains some resale value — this calculator nets that resale value against your total payments to get the true cost of ownership. Leasing means a fixed monthly rental with no ownership at the end, but typically lower monthly outflow and no resale hassle.
The comparison is sensitive to your resale value assumption — cars depreciate at different rates depending on brand, model, and usage, so a more conservative resale estimate will make buying look relatively more expensive.
This varies by leasing company — some bundle maintenance and insurance into the monthly rental, others don't. Check what's included in your specific lease quote, since this calculator only compares the base rental against loan EMI.
Yes, typically — most leases cap annual mileage (e.g., 12,000-15,000 km/year) and charge extra for exceeding it, which is worth checking if you drive frequently.
Often yes — if you only need a car for 2-3 years or want to avoid resale hassle and depreciation risk, leasing can make more sense even if buying looks cheaper on a pure cost basis over a longer period.