Apple's new Apple Upgrade program offers 12- or 24-month leases for the latest iPhones, raising the question of whether leasing is cheaper than buying for those who upgrade annually. With the iPhone 18 Pro starting at $1,199 and the iPhone Duo at $1,999, paying full price for a yearly upgrade can feel excessive. While leasing has lower monthly payments—such as $50/month for the iPhone 18 Pro—it often costs more over time.

Buying and trading in your old device can be more cost-effective. For example, trading in an iPhone 18 Pro for a hypothetical iPhone 19 Pro could result in an effective cost of $414, compared to $600 for a 12-month lease. The break-even trade-in value for the iPhone 18 Pro is $599.

Leasing offers flexibility if trade-in values drop, but buying generally provides better long-term value for premium models.