A monthly car lease payment is a combination of three factors:
Calculating Depreciation
Calculating Rent Charge (Finance Fee)
Calculating Taxes
Depreciation is the largest component of your monthly payment. Let us calculate that first. Depreciation is the amount of value your vehicle will lose over the course of your lease.
Many people do not realize the fact that regardless of how you pay for your vehicle, it is going to depreciate at the same rate. This means that whether you take on a loan, lease, or pay cash, your car will still lose a certain amount of value every year. This loss in value is considered the Depreciation, and it is factored into the cost of your lease.
Back to Calculating Your Monthly Lease Payment
