When Is the Best Time to Lease a Car? A Practical Guide (Updated for 2026)

Timing your lease can definitely save you money. When you know the best times to lease and understand why, you can secure great deals – and avoid costly mistakes. To get the best deal, make sure you have a solid foundation of understanding how vehicle leasing works.

This guide explains when leasing tends to be cheapest, why that timing matters, and how to sanity-check a lease offer without turning this into a “deal roundup.”

Quick answer

If your goal is the lowest overall lease cost, the best windows are usually:

• End of month (dealers push to hit targets)

• End of quarter (stronger target pressure: Mar/Jun/Sep/Dec)

• Late in the model year (when prior model-year inventory is being cleared)

• Late November–December (year-end volume goals + inventory cleanup)

Model-year timing is typically late summer through fall, but that schedule can shift by brand and year.

The 5 best times of year to lease (and why)

1. End of the month

   Many dealerships run on monthly performance targets. As the month closes, managers are more open to:

   • discounting the negotiated price

   • moving inventory that’s been sitting

   Best move: start shopping earlier, then negotiate hardest in the final week.

2. End of the quarter (March, June, September, December)

   Quarterly targets can stack on top of monthly targets, creating more urgency.

   Why it helps: when stores are close to a number, they’re more likely to trade margin for volume.

3. When the next model-year inventory starts arriving

   New model years often arrive between July and October, but the exact cadence varies and can be delayed in some years.

   Why it helps: once the “new” cars arrive, prior model-year units become harder to sell at full price, so discounts and support programs become more common.

   Reality check: leasing “late in the model year” can be a tradeoff. You might get a better price, but you’re leasing a car that’s effectively older at the end of a 36-month term.

4. Major holiday weekends (with fine print)

   Holiday events can be real, but the best offers usually come with constraints:

   • limited trims

   • specific mileage term

   • tighter credit requirements

   • higher due-at-signing than the headline suggests

   Rule: compare offers using the total due-at-signing + monthly payments across the entire term, not the banner payment alone.

5. Late November–December (year-end)

   Year-end can be strong because stores want to clear aging inventory and finish the year well. Many consumer guides consistently point to late-year periods as favorable for leasing.

   But: the “best” deal can disappear if inventory is thin on the exact model/trim you want.

What actually makes a lease “good”?

A “good lease” is not just a low monthly payment. It’s the combination of:

• Negotiated price (lower is better)

• Residual value (higher is better)

• Money factor / lease rate (lower is better)

• Lease incentives (rebates/lease cash, sometimes hidden in pricing)

• Fees + due-at-signing (the part people overlook)

• Mileage + term (must match your real driving)

Captive finance companies (the car brands’ lenders) can influence residuals and rates, which is why some months feel “suddenly better” even if MSRP didn’t change.

Tips to Get the Best Deals on a Car Lease

1. Know Your Credit Score

   Customers with higher credit scores are most likely to get the best interest rates on a lease.

   Higher credit score = lower interest rates = lower payments.

   Check your TransUnion, Experian, and Equifax credit scores before you lease. Knowing your score will help you understand your payments and negotiating power.

2. Look for Lease Incentives

   Manufacturers offer lease specials or dealership promotions to move inventory and meet sales goals. It's definitely worthwhile and cost effective to shop around for the best lease incentives.

   Incentives can include special deals like zero-down leases, mileage allowances, rebates, and reduced monthly payments for specific models.

   Research various offers to get the best deal and be sure to read all the fine print. Some incentives may look too good to pass up but actually include subtle restrictions that water down the amount you'll save – again, read the fine print.

3. Understand the Lease Terms

   Many important terms are unique to car leasing. To avoid confusion and unexpected surprises, you need to understand lease terminology. Learn about early termination fees, residual value, capitalized cost, and mileage limits.

   Understanding lease language will help you negotiate for better terms. Once you have a handle on the terms, always read the lease details and fine print before you sign a contract.

4. Negotiate the Lease Price

   Don't be shy about negotiating the capitalized cost. The capitalized cost is the price of the vehicle (the MSRP or Manufacturer's Suggested Retail Price) before the lease terms are applied to the contract.

   Lowering your capitalized cost can reduce your monthly payments. Refer to the best practices for car leasing to ensure you have all the information you need to maximize the best deal.

When leasing is usually not a good idea

When inventory is tight or a model is in unusually high demand

If there are few units available, discounts and supportive lease programs often shrink.

When you can’t stay within the mileage terms

Excess mileage fees can erase any savings. If your driving varies widely, you may be better off with:

• a higher-mileage lease

• or a purchase (depending on your situation)

When you’re forced into a long term to “make the payment work”

Stretching the term can reduce monthly payments but increase total cost and lock you in longer.

When you want to keep the car for a long time

If you plan to keep the car for more than a few years, buying is often more cost-effective than leasing.

A simple checklist to evaluate any lease offer

Use this before you sign anything:

1. What’s the negotiated price? (Don’t accept MSRP by default.)

2. What’s the residual value? (Ask for the residual % and residual $.)

3. What’s the money factor or equivalent APR?

4. What are all fees? (acquisition, doc, disposition, etc.)

5. How much is due at signing — exactly?

6. What mileage limit and term are you agreeing to?

7. Are incentives conditional? (loyalty, conquest, military, etc.)

If a dealer won’t clearly answer 1–4, treat that as a warning sign.

“Is now a good time to lease a car?” (2026 reality)

There’s no single universal answer. A better way to think about it:

• Leasing tends to be best when inventory is healthy and lenders are offering support programs.

• If payments across the market are rising (even when rates soften), your best lever becomes negotiated price + program quality, not timing alone.

Practical takeaway: shop timing windows (end of month/quarter), but judge the offer on the full cost structure.

Related FAQs(read more FAQs here)

Does a higher credit score help leases?

Yes—better credit typically qualifies you for lower lease rates and more program options.

Is zero-down always best?

Not always. “Zero down” can mean higher monthly payments or rolled-in fees. Focus on total cost.

What mileage should I choose?

Pick the smallest mileage band you can realistically stay under. Most people underestimate annual mileage—check your past year’s driving if you can.