Cheapest Lease Deals For May 2021

One of the benefits of leasing compared to buying a new car is the low up-front cost. But today we're going to look at the lowest of the low.

We take into account the monthly payment and the amount due at signing in order to pick our favorites. There are plenty of offers from popular car manufacturers that advertise low monthly payments, but the "due at signing" amount is usually higher.

When the down payment on the vehicle is higher, the monthly payment amount usually gets smaller. So our picks for the cheapest lease deals are all affordable options that balance the total cost of the new vehicle.

Want more affordable lease deals? Our team scours the web every month to find all types of lease deals across all brands and vehicle types.

Cheapest Lease Deals Right Now

To get the most bang-for-your-buck, check out our top picks for the most inexpensive cars to lease right now.

Cheapest Car to Lease

So what is the cheapest car to lease? Out of all these low-priced cars, we selected the 2021 Subaru Impreza

Top Pick: 2021 Subaru Impreza
Lease Deal: $199/month for 36 months, $1,999 due at signing

Check Subaru Impreza Prices

Factors That Determine the Cost of a Vehicle Lease

The factors used to determine your monthly lease payments are:

• Depreciation. You pay for the amount of depreciation the vehicle will experience over the lease term. Therefore, cars that depreciate faster will cost more to lease per month but will be less expensive to buy after the lease.
• Rent charges. Rent charges (based on the money factor) are like the interest rate on an auto loan.
• Taxes and fees.
• Lease term. The length of the lease contract will also impact the cost of your lease.

You’ll also need to pay for comprehensive, collision, and liability auto insurance while leasing a vehicle. You may have to pay for routine maintenance and repairs depending on your lease agreement. When turning the vehicle back in, you could face end-of-lease fees for excessive mileage, excessive wear and tear, disposition, or early termination fees.

The Average Cost of a Car Lease

The actual cost to lease a vehicle will significantly fluctuate based on the factors above. However, the average lease payment for a new vehicle is $467 per month. The average monthly loan payment for a new car is $568, so the average cost to lease a car is $100 cheaper per month than financing a car through a loan.

Why Find a Cheap Lease?

While there are many advantages to leasing a car, ultimately you are renting the vehicle. Unlike a car loan, you are not paying to own the car. Unless you take the buyout option, you are merely paying to use the vehicle for the lease term. You cannot get the money you put into a lease back and for that reason, it’s wise to keep the cost of your lease down as much as possible. Fortunately, there are many excellent affordable car leasing deals available, and it is very doable to find a high-quality lease that doesn’t break the bank.

What to Look for in Cheap Lease

It’s not just about the monthly payment amount that makes it a cheap lease deal. A high due at signing amount will lower your monthly payments and a low due at signing amount will increase your monthly payments. You should find a nice balance between the two for it to be considered a cheap lease. There are plenty of advertised lease offers that have monthly payments around $250 with due at signing amounts at around $2,000.

Frequently Asked Questions

What is the cheapest car to lease right now?

There are many lease deals on new cars that have a sticker price near or under $20,000. Some of the cheapest and most popular models with lease specials are the 2020 Honda Civic ($20,000) and the 2020 Subaru Impreza ($18,695).

What is the cheapest and most reliable car?

The 2020 Honda Civic ($20,000) and 2020 Hyundai Elantra ($19,300) are a couple of the cheapest and most reliable cars. There are usually great lease deals on many other good-value and reliable cars.

What is the cheapest monthly payment for a new car?

The cheapest monthly payment for a new car can be as low as $120 per month. Some new cars like the Nissan Leaf and Hyundai Elantra have monthly payments just above $100 per month.

What is the cheapest down payment for a new car?

Car manufacturers frequently publish lease deals that advertise no money down. There may be taxes and other fees due at signing, but the cheapest down payment for a new car can be as low as $0.

How can I get a cheap car lease deal?

It’s a good idea to get multiple dealerships to compete in order to find the lowest price available. Before reaching out to dealerships for quotes, check out our top picks for the cheapest lease deals available right now.