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Free tools / Apple Upgrade Analyser

Is leasing an Apple product
actually cheaper than buying it?

Step 1 — Configure

Your scenario

Your assumption, not a fact — drag the slider or pick a preset to see how the answer changes.
Apple gives 3% Daily Cash on lease payments too, so the toggle nets 3% off both paths. Apple Pay itself isn’t accepted by Klarna — the Apple Card works as a regular Mastercard.

Step 2 — Result

Buying the iPhone 17 Pro beats the lease by $338 at 60% resale.

Lease & hand back
$745
$31.99/mo × 24 mo · you own nothing after
Buy, then sell at 60%Cheapest
$407
$1,066 out (after $33 Daily Cash) − $659 back
Lease + buyout, then sell
$407
buyout fee $321 due at month 24 · same net as buying
Break-even resale
29%
below this, straight leasing wins · you set 60%
Every figure above is a net cost, so lower is better. Lease payments + buyout always total the buy-outright cost — 0% financing with a walk-away option. Typical real-world resale for the iPhone 17 Pro after 24 months: 45–58%.

Chart 1 · Break-even

Net cost after you sell — where the lines cross

The blue line is flat: leasing costs the same no matter what the device ends up being worth, because you hand it back. The red line falls as resale value rises. Where they cross is the only resale value at which the two are equal. Tap or drag anywhere on the chart to move the resale marker.

Lease — net cost, you own nothingBuy outright, then sellBreak-evenYour setting

Chart 2 · Cash flow

Cumulative money out, month by month

Leasing wins on cash flow early and loses on total cost later. The dashed orange line shows lease payments plus the buyout fee — note it sits exactly on the buy-outright line the whole way, which is the giveaway that this is 0% financing with a walk-away option. Tap or hover the chart for month-by-month figures.

Lease paymentsBuy outright (cash up front)Buy, net of remaining valueLease + buyout fee

Chart 3 · Whole programme

Break-even resale value, every eligible product

How far a device must fall in value before leasing it pays off. Anything to the left of the shaded band is a bad lease, because real Apple hardware almost never depreciates that fast in the term. Tap a bar to load that product into the calculator. Every figure is also in the table below.

Longer termShorter termTypical real-world resale range at term end

Reference

Every eligible product

Fourteen models across four categories. “Break-even” is the resale percentage below which leasing becomes the cheaper option. Click any column heading to sort, or any row to load it.

ProductRetailTermMonthlyTotal paymentsBuyout feeBreak-evenTypical resale
iPhone
iPhone 17 Pro$1,09924 mo$31.99$767.76$331.2430%45–58%
iPhone 17 Pro$1,09912 mo$45.99$551.88$547.1250%45–58%
iPhone Air$99924 mo~$28.99~$695.76~$303.2430%42–55%
iPhone Air$99912 mo~$41.99~$503.88~$495.1250%42–55%
iPhone 17$79924 mo~$22.99~$551.76~$247.2431%42–55%
iPhone 17$79912 mo~$32.99~$395.88~$403.1250%42–55%
iPhone 17e$59924 mo$17.99$431.76$167.2428%38–50%
iPhone 17e$59912 mo~$24.99~$299.88~$299.1250%38–50%
iPad
iPad Pro$1,09936 mo$24.99$899.64$199.3618%40–52%
iPad Pro$1,09924 mo$31.99$767.76$331.2430%40–52%
iPad Air$59936 mo~$13.99~$503.64~$95.3616%35–48%
iPad Air$59924 mo~$17.99~$431.76~$167.2428%35–48%
iPad mini$49936 mo$11.99$431.64$67.3613%38–50%
iPad mini$49924 mo~$14.99~$359.76~$139.2428%38–50%
Mac
MacBook Air$99936 mo$24.99$899.64$99.3610%40–55%
MacBook Air$99924 mo~$33.99~$815.76~$183.2418%40–55%
MacBook Pro 14″$1,59936 mo$38.99$1,403.64$195.3612%45–58%
MacBook Pro 14″$1,59924 mo$53.99$1,295.76$303.2419%45–58%
MacBook Pro 16″$2,49936 mo~$59.99~$2,159.64~$339.3614%45–58%
MacBook Pro 16″$2,49924 mo~$83.99~$2,015.76~$483.2419%45–58%
iMac$1,29936 mo~$31.99~$1,151.64~$147.3611%35–48%
iMac$1,29924 mo~$43.99~$1,055.76~$243.2419%35–48%
Mac Studio$1,99936 mo~$48.99~$1,763.64~$235.3612%40–55%
Mac Studio$1,99924 mo~$67.99~$1,631.76~$367.2418%40–55%
Apple Watch
Watch Series 11$39924 mo$11.99$287.76$111.2428%30–42%
Watch Series 11$39912 mo$21.99$263.88$135.1234%30–42%
Watch Ultra 3$79924 mo~$23.99~$575.76~$223.2428%35–48%
Watch Ultra 3$79912 mo~$43.99~$527.88~$271.1234%35–48%
Prices marked ~ are estimates: Apple publishes exact lease pricing for only four example models plus per-category starting prices, so the remaining rows are derived from those anchors and Apple’s retail prices. Not eligible for Apple Upgrade: iPhone 16 and 16 Plus, the base iPad, Mac mini, MacBook Neo, Apple Watch SE 3, Studio Display, and all refurbished devices. The genuinely cheap models are the ones you cannot lease.

Starting prices

What it starts at, and on which model

The cheapest way into the programme is $11.99 a month. Two products share that entry point: the Apple Watch Series 11 42mm ($399 retail) on a 24-month lease, and the iPad mini ($499 retail) on a 36-month lease. The cheapest iPhone is the iPhone 17e at $17.99/mo over 24 months, and the cheapest Mac is the MacBook Air at $24.99/mo over 36 months.

Lowest monthly is not the same as lowest total. The smallest total commitment in the whole programme is the Apple Watch Series 11 on a 12-month lease at $263.88 — but that is 66% of the watch’s retail price for one year of use, which is poor value. The headline “$11.99/mo” figures also exclude tax, exclude AppleCare, and assume no trade-in.

Cheapest overall
$11.99
Watch Series 11 · 24 mo
iPad mini · 36 mo
Cheapest iPhone
$17.99
iPhone 17e · 24 mo
$599 retail
Cheapest Mac
$24.99
MacBook Air · 36 mo
$999 retail
Priciest published
$53.99
MacBook Pro 14″ · 24 mo
estimates run higher for 16″ & Mac Studio

End of lease

What actually happens when the lease ends

You get four paths, and one of them happens automatically if you ignore it.

1
Upgrade to a new lease — no fee

Apple notifies you when you’re eligible. You sign a new lease and return the old device using a prepaid kit or at an Apple Store. Upgrading early costs up to the value of your remaining payments. Upgrades aren’t guaranteed — they need fresh credit approval, and your new monthly payment may be higher.

2
Leave the programme — no fee

Return the device at term end and you owe nothing further. Ending early instead costs a termination fee up to the sum of your remaining payments, and you still have to give the device back.

3
Buy it outright

Pay the purchase option fee through Klarna: full price at signing minus everything you’ve already paid, minus remaining trade-in credit, plus tax. On a $1,099 iPhone 17 Pro after 24 months that’s $331. This is almost always the financially correct move — see the verdict below.

4
Do nothing — the default trap

The lease rolls month-to-month for up to six months and keeps charging you. If a trade-in credit had been lowering your payment, your bill increases, because that credit only applies to the initial term. Take no action for six months and Klarna automatically charges you the full purchase option fee.

!
Condition applies to every return

The device must come back in good working condition or Klarna charges a one-time damage fee. With AppleCare you may still pay a service fee once it’s assessed. This is the single biggest uncosted risk in the programme.

Fact check

Fact check on the ten things you’d heard

All ten hold up against Apple’s published terms. Several need a refinement that matters.

You never own it

Confirmed outright in Apple’s FAQ. Ownership only transfers if you pay the purchase option fee. Otherwise the device must be returned.

±
How much you’ll get when you sell it

Refinement: this question can’t arise during a lease, because it isn’t yours to sell. To capture any resale value at all you must first buy the device out — which, as the calculator shows, is exactly where the money is.

No AppleCare included

Correct. It’s billed separately by Apple, not by Klarna. You have 60 days from enrolment to add it, or you can attach the leased device to an AppleCare One subscription. Every device still carries the standard one-year limited warranty.

Cancelling the programme

Correct. After the 14-day window the early termination fee equals the total of all your unpaid payments through the end of the initial term, plus tax. Cancelling therefore never saves money — it only stops you using the device.

Upgrading isn’t free

Correct with a caveat: it is free at the natural end of your term. Upgrade early and you pay up to your remaining payments — upgrade at month 21 of 24 and you owe roughly three months.

14-day return window

Correct. Fourteen days from receiving the device. Return it and the lease is cancelled once Apple has it back. Separately, if you never collect a store order within 7 days the lease is cancelled and charges refunded.

US only

Correct, and US territories are excluded too. You need to be a US resident, 18 or older, with a US credit or debit card (no prepaid cards) and an Apple ID.

±
You must be with one of their carriers

Refinement: this applies to iPhone only. You must connect to AT&T, T-Mobile or Verizon at enrolment, and prepaid plans don’t qualify. iPad, Mac and Apple Watch need no carrier at all. Importantly the leased iPhone ships unlocked, so you can switch carriers afterwards subject to their terms.

No additional cash payments

Correct. No down payments, and no way to pay the balance down faster. The only lever on your monthly figure is a trade-in, and only at initial enrolment — you cannot trade in again when you upgrade.

±
Only high-end products

Nearly right, but the pattern is odd. Eligible: every iPhone except iPhone 16, MacBook Air and Pro, iMac, Mac Studio, iPad Pro/Air/mini, Apple Watch Ultra 3 and Series 11. The exclusions are the genuinely affordable models — base iPad, Mac mini, MacBook Neo, Watch SE 3 — yet the $599 iPhone 17e and $499 iPad mini are included. So it’s less “high end only” and more “whatever Apple most wants you on an upgrade treadmill for”.

Hidden costs

Three pieces of fine print that change the maths

1
The card restrictions are real — but the “forfeited Daily Cash” fear is a myth

Klarna refuses Apple Pay and PayPal entirely, and won’t take American Express, UnionPay, or cards issued by Chase or Capital One. But the Apple Card itself is a Mastercard that Klarna accepts like any other card — and Apple explicitly gives 3% Daily Cash on lease payments. Pay with Apple Card and leasing costs you nothing in rewards; the calculator’s toggle applies the 3% to both paths.

2
It costs you your Social Security number and a credit file entry

Enrolment requires legal name, date of birth, phone, email, billing address and SSN, handed to Klarna rather than Apple. Apple states the application is a soft credit check that won’t affect your score — but you’re opening a lease account with a third-party lender, and each additional device needs its own separate application.

3
Apple already gives you 0% financing that ends in ownership

This is the one that undoes the whole pitch. Apple Card Monthly Installments funds an iPhone 17 Pro at $45.79/mo for 24 months at 0% APR — and you own it at the end. The lease is $31.99/mo. The $13.80/mo difference across 24 months is $331, which is precisely the buyout fee. The lease saves you nothing; it just defers the residual and hands you the option to walk away from it.

The bottom line

Leasing loses for almost everyone — with one exception worth taking

Apple Upgrade is not profitable versus buying for anyone whose device holds more than roughly 30% of its value at term end on the iPhone leases — and the bar is even lower, roughly 10–19%, on the 36-month Mac and iPad leases. Apple hardware routinely retains 45–60% after two years. Across the fourteen products modelled here the break-even sits between roughly 10% and 50%, and the real-world resale market sits comfortably above it in every case.

The exception, and it’s a good one: lease, then exercise the buyout. Because lease payments plus buyout equal the retail price exactly, you get genuine 0% financing — and at the end you buy a device worth around $550 for $331 and sell it yourself. On an iPhone 17 Pro that’s roughly $220 of value you’d have thrown away by simply handing the phone back. You would never rationally return a working device.

There are three narrow cases where straight leasing is still the right call: you upgrade every single year and genuinely hate the friction of selling old devices; you want the option to hand back a product whose value collapses, effectively buying insurance against depreciation; or your cash flow can’t absorb $1,099 up front and the lower monthly is what makes the purchase possible at all.

Everyone else should either buy outright, or lease and then take the buyout. The buyout path is the only place in this programme where the maths actually favours you.

Programme mechanics and example prices verified against apple.com/shop/apple-upgrade, Apple’s July 2026 launch announcement, and Apple’s store pages on 7 August 2026. Apple publishes exact lease pricing for four example models plus per-category starting prices; table rows marked ~ are estimated from those anchors and Apple’s retail prices. Prices are for base configurations and exclude tax unless the tax toggle is on. Leases are provided by Klarna Inc., subject to credit approval. This is an independent cost model, not financial advice. Built by Slocco — launch, discover and find deals on apps and tech products.