Money factor is the lease equivalent of an interest rate. Multiply by 2,400 to get approximate APR. MF 0.00125 ≈ 3.0% APR. MF 0.00250 ≈ 6.0% APR. A good money factor in 2025 is 0.00100–0.00200 (2.4–4.8% APR). Negotiate the selling price (cap cost) first — it has the biggest impact on your monthly payment.
Buying is almost always better long-term — you build equity and eventually own the vehicle. Leasing makes sense if: you want a new vehicle every 3 years, you drive under the mileage limit (~20,000 km/12,000 miles/yr), you use it for business (lease payments may be partially deductible), or capital efficiency matters (lower monthly payment frees cash for investment).
⚠️ Estimates only. Actual lease terms vary by dealer and region.
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