What primarily determines the lease price of a car?

The lease price of a car is mainly determined by the type of lease because different leasing structures come with varying terms, conditions, and costs. For example, a closed-end lease typically offers fixed monthly payments and covers depreciation for the agreed-upon term, impacting the overall cost. In contrast, open-end leases might expose the lessee to potential liabilities at the end of the lease period, depending on the vehicle's residual value. Other factors impacting lease calculations, such as money factors, residual values, and mileage allowances, are all directly related to the type of lease chosen. This emphasis on lease structure is what primarily influences the final monthly payment and the total cost of leasing a vehicle.

While the dealer's brand, the model of the car, and customer reviews can influence overall consumer preference and demand, they are not the core determinants of the lease pricing formula, which focuses heavily on the provisions and type of lease structure.