IPv4 Leasing vs Purchasing (2026): Cost Analysis and Break-Even

Buying an IPv4 address cost about $14 to $24 in August 2026, depending on block size (according to broker IPv4.Global, monthly averages), while leasing averaged $0.35 per IP per month on the IPXO marketplace over the six months to 25 September 2026. At those prices a purchase pays for itself in about 3.5 years for a /19 or larger and about 5.5 years for a /24, before registry fees. The registry side often decides the case: in the RIPE region only RIPE NCC members can receive an allocation, and the €1,800 yearly membership (2026) costs more than a year of leasing a /24.

Current Market Prices (2026)

How much does it cost to buy an IPv4 address in 2026?

Purchase prices per address, IPv4.Global monthly averages for August 2026 (prices reported at agreement date, online and private sales mixed): about $23.50 for /22 to /24 blocks, about $17.00 for /20 to /21, about $14.20 for /17 to /19 and about $14.30 for a /16 or larger. Small blocks carry the premium per address.

Prices fell from 2024 to lows in the first half of 2026 (January for /16 and larger, April to June for smaller blocks), then rose again. IPv4.Global's August 2026 report speaks of "upward momentum" led by larger blocks, and broker Brander Group reported clean /18 to /16 blocks moving from about $9 to $13 to $16 per address in the first five months of 2026.

Brokers publish prices by block size, not by region. What differs between regions is the registry side: who may receive a block, the transfer fee and the yearly fee (see the registry section below). The market is liquid: the RIPE NCC alone registered transfers of 5,935,616 IPv4 addresses in July 2026 (member update, August 2026). Buying or leasing is also the only route for most networks: the RIPE NCC waiting list held 791 LIRs on 25 September 2026, the first of them waiting 485 days, for a single /24 per member ever (IPv4 exhaustion).

Purchase cost by block size (August 2026 averages)

How much does it cost to lease an IPv4 address?

Lease prices sit on marketplaces and broker offers rather than registry data. On the IPXO marketplace, the average lease deal over the six months to 25 September 2026 was $0.35 per IP per month. The average mixes all block sizes, so quotes for a single /24 and for a /16 will differ, and a clean reputation history is usually priced in.

Lease cost by block size at $0.35 per IP per month

Some lessors charge a setup fee, and multi-year contracts carry early-termination clauses; both belong in the quote, not in an average.

When does buying IPv4 beat leasing?

Basic Break-Even Calculation

Break-even (months) = purchase price per IP / monthly lease price per IP. At the August 2026 averages and the $0.35 lease average:

This is before registry fees on either side and before any resale value of the block. Registry fees move the line by years for small blocks, so the next section matters more than the formula.

Registry fees on top of the price

The broker's price is the smaller part of the decision for small blocks. Each registry decides who may receive a bought block, what the transfer costs and what the holder pays every year.

LACNIC accepts IPv4 transfers from and to the RIPE NCC, ARIN and APNIC (IPv4 only, no ASNs), locks the space for one year and charges an administrative fee published on lacnic.net. AFRINIC has no policy for transfers between registries, so its blocks cannot be bought from another region. A block moved into the RIPE region from a needs-based registry comes with a plan to use at least 50% of it within five years (ripe-807 section 3.2), and the RIPE NCC checks the parties against EU and Dutch sanctions lists before registration (ripe-863).

Two more lines have no published figure: the broker's commission (ask for it in writing) and the legal review of the transfer agreement. The steps themselves are in how inter-RIR transfers work.

Break-even with ARIN fees

For a buyer whose block is the organization's only ARIN resource, add the recipient transfer fee once and the yearly Registration Services Plan fee (2026 schedule), and compare with the lease at $0.35 per IP per month:

An organization that already pays ARIN's fee for an ASN or other resources loses the fee line: ARIN charges the larger of the IPv4, IPv6 and ASN categories, not the sum, so a /24 adds nothing to a 3X-Small bill. In the RIPE region the fee line is €1,800 per year for a member (more than a year of leasing a /24), or the €75 RIPE NCC fee plus the sponsoring LIR's service fee for a PI block, which keeps the break-even close to the price-only figure.

Detailed Cost Scenarios

Scenario 1: Small Business/Startup (/24 Block)

A small hosting company or SaaS startup needs 256 addresses, has an uncertain growth path and little capital.

• Buying at ARIN: $6,016 for the block, $187.50 recipient fee, $275 per year, about $7,029 over three years
• Leasing: $89.60 per month, $3,226 over three years

In the RIPE region the registry side decides. If the block is PI, you hold it under a contract with a sponsoring LIR: €135 per year through our sponsorship (as of September 2026), so the three-year cost stays close to the block price. If it is an allocation, you need RIPE NCC membership: €1,000 to join, €1,800 in 2026 and €1,894 from 2027, about €6,600 over three years, more than the block itself and more than three years of leasing.

Lease. The saving is about $3,800 over three years at ARIN, and in the RIPE region a non-member buying a single allocated /24 never gets the membership fee back.

Scenario 2: Growing Hosting Provider (/22 Block)

An established hosting company expects steady growth and has moderate capital.

• Buying at ARIN: $24,064 plus $375 recipient fee, $550 per year, about $27,189 over five years
• Leasing: $358.40 per month, $21,504 over five years

Lease if the need ends within about six years. Buy if you expect to hold the block past that point, since break-even with ARIN fees lands at about 6.5 years (about 5.7 years if you already pay ARIN's fee for other resources). A bought block also keeps a resale value the lease never has.

Scenario 3: Mid-Size ISP (/20 Block)

A regional ISP with a stable customer base needs 4,096 addresses for the long run and has the capital.

• Buying at ARIN: $69,632 plus $750 recipient fee, $1,100 per year, about $81,382 over ten years
• Leasing: $1,433.60 per month, $172,032 over ten years

In the RIPE region, membership costs €1,000 to join plus €1,800 in 2026 and €1,894 from 2027, under €20,000 over ten years at those fees, still far below the lease.

Buy. At 2026 prices a /20 held for ten years costs less than half of the lease, and the block can be resold after the 24-month holding period (ripe-807 section 2.2.1) if needs change.

Scenario 4: Enterprise Cloud Migration (/21 Block, 24 months)

An enterprise moves to a cloud provider over 24 months and needs 2,048 addresses only during the migration.

• Buying at ARIN: $34,816 for the block, $1,100 per year, about $37,000 over two years plus the recipient transfer fee
• Leasing: $716.80 per month, $17,203 over two years

In the RIPE region, IPv4 received through a transfer cannot be transferred again for 24 months (ripe-807 section 2.2.1), so a resale can start exactly when the migration ends, at the market price of that day.

Cloud addresses are not free either. AWS has charged $0.005 per public IPv4 address per hour since 1 February 2024, in use or idle, about $43.80 per address per year (AWS VPC pricing): 2,048 AWS-supplied addresses come to about $89,700 per year. Addresses you bring with BYOIP are exempt from that charge.

Lease if the addresses really are temporary. Buy if the target is AWS and the block will stay in use there: one year of the AWS charge on 2,048 addresses costs more than twice the block.

Scenario 5: Large Data Center (/18 Block)

A data center operator needs 16,384 addresses for ten years or more and wants the lowest total cost.

• Buying at ARIN: $232,653 for the block plus the recipient transfer fee, $2,205 per year, about $254,703 over ten years
• Leasing: $5,734.40 per month, $688,128 over ten years

Buy. The lease costs more than the block every three and a half years. Assigning parts of the block to your own customers is normal use for an LIR's allocation; a PI block cannot be sub-assigned (ripe-637 contract clause).

Cash Flow Analysis

Initial Capital Requirements

Purchase:

• Large upfront payment that ties up capital
• May need financing or capital approval

Lease:

• Little or no upfront payment
• Small monthly operating cost

Cash Flow Comparison, /22 Block at ARIN:

The purchase column is $24,064 plus the $375 recipient fee, plus $550 at the start of each year; the lease is paid monthly in advance. The gap closes at about month 78.

Operational vs. Capital Expense

Accounting and tax treatment of bought versus leased addresses depends on your jurisdiction and accounting standard. A lease is usually booked as an operating cost, while a purchase is usually recorded as an intangible asset. Consult a tax adviser in your jurisdiction; our article on the tax implications of IP resource leasing covers the general rules.

ROI and Opportunity Cost

Take the /22 above and assume, as an illustration, that your business earns 10% a year on capital. The $24,064 not spent on the block earns about $14,700 over five years with compounding, while the lease costs $21,504 over the same five years. At 2026 prices the capital argument alone does not carry leasing; it needs a shorter horizon, a much higher return on capital, or a registry fee that leasing avoids (the RIPE NCC membership case above).

Non-Financial Factors

Flexibility and Scalability

Leasing Advantages:

• Scale up or down as needs change
• No sunk costs if the business changes
• Easy to test different block sizes

Purchase Advantages:

• Registered to your organization: you manage route objects, ROAs and reverse DNS yourself
• No risk of lease termination
• An LIR may assign parts of its allocation to customers; a PI block cannot be sub-assigned (ripe-637 contract clause)

Risk Considerations

Leasing Risks:

• Lessor business failure or exit from market
• Price increases at renewal
• Potential service disruptions
• Dependence on lessor's RIR compliance (see the legal aspects of IP leasing agreements)
• Address reputation issues from previous users

Purchase Risks:

• Price risk: a block can be resold, but at the market price of the day, and prices have moved both ways since 2023
• Holding periods: 24 months in the RIPE region (ripe-807 section 2.2.1), one year for space moved into LACNIC
• Yearly registry fees and due diligence: the RIPE NCC checks the parties against EU and Dutch sanctions lists (ripe-863)
• Difficulty selling quickly if needs change

Strategic Considerations

Lease for:

• Uncertain business outlook
• Projects under about three years
• Testing and proof-of-concept phases

Purchase for:

• Long-term infrastructure (10+ years)
• Organizations with available capital
• A block registered in your own name that you can resell

IPv6 Transition Planning

Google measured a weekly average of about 47% of its users on IPv6 in September 2026, with days above 50% since 28 March 2026 (Google IPv6 statistics); IPv4 remains required for the other half, which is why the IPv4 vs IPv6 planning question is one of horizon, not of whether.

If your organization has aggressive IPv6 adoption plans:

• Lease IPv4: no capital tied up in addresses you'll phase out, and the footprint shrinks with actual use

If IPv6 transition is distant or uncertain:

• Consider purchase: long-term IPv4 dependence means the break-even horizon will be reached

Decision Framework

Step 1: Define Your Time Horizon

The horizon does the most work, and the answer depends on block size once registry fees are counted (ARIN 2026 fees, August 2026 prices):

• Under about 3 years: lease at every size. Even a /18 needs about 3.5 years to pay back.
• 3 to 5 years: buy a /20 or larger (break-even about 4.4 years with fees); lease a /24 or /22 unless you already pay the registry's yearly fee for other resources.
• 5 to 8 years: buy a /22 (about 6.5 years) and larger; a /24 is a close call (about 7.8 years).
• Over 8 years: buy at every size, with one exception: a non-member in the RIPE region buying a single allocated /24 pays €1,800 a year in membership, more than the lease, and never breaks even.

Step 2: Assess Capital Availability

Limited Capital (startup, high-growth phase):

• Lease, and keep the capital for the core business

Moderate Capital (established business):

• Compare your expected return on capital with the break-even horizon (see the opportunity-cost example above)

Ample Capital (large enterprise, mature business):

• Decide on total cost over your horizon

Step 3: Evaluate Demand Certainty

Uncertain or Variable Demand:

• Lease: you can change the block size without buying too much

Growing but Predictable Demand:

• Start with a lease, buy later once growth holds

Stable, Long-Term Demand:

• Consider buying: costs are predictable and the break-even horizon will be reached

Step 4: Consider Risk Tolerance

Risk-Averse:

• Buy for control: no lessor dependency (the registry relationship remains)

Risk-Tolerant:

• Lease for flexibility, and accept price changes at renewal

Step 5: Account for Strategic Goals

Questions to consider:

• Do you prefer an operating cost or an asset on the balance sheet?
• How central are these addresses to your core business, and for how long?

Hybrid Approaches

Core + Flex Strategy

Buy the baseline your network will need for years and lease the margin for growth, peaks or trials. A hosting provider might buy a /22 for its stable customer base, lease a /23 for new customers, and buy more once the growth holds.

Time-Phased Acquisition

Lease first, buy once the need is proven. Some lessors offer a lease-to-own credit on later purchase; the terms belong in the contract, and no published rate exists. The holding period after purchase (24 months in the RIPE region) starts at the transfer, not at the start of the lease.

Making Your Decision

Lease when the need is under about three years, when a /24 or /22 would force you into RIPE NCC membership, when demand is uncertain, or when the addresses will move to cloud-provided space anyway. Leasing also keeps capital free, though at 2026 prices that alone rarely settles it.

Buy when the need runs past the with-fees break-even for your block size (about 3.5 years for a /18, 4.4 for a /20, 6.5 for a /22, 7.8 for a /24 at ARIN), when you already pay the registry's yearly fee, when the block is PI space you can hold under a sponsoring LIR contract in the RIPE region, or when the addresses will run on AWS, where addresses you bring are exempt from the hourly IPv4 charge. A mix (a bought core plus a leased margin) fits operators with a stable base and a variable edge.

Two brokers publish lease-versus-buy calculators, Brander Group and IPv4Connect; their defaults use each broker's own price assumptions.

Where Via-Registry fits

We quote IPv4 leases after verification, starting at €0.50 per IP per month (as of September 2026). An ASN is required: the block is announced from your own AS. If the block you buy is IPv4 PI, it needs a sponsoring LIR in the RIPE region: we sponsor existing IPv4 PI blocks for €135 per year per assignment (€75 RIPE NCC fee at cost plus €60 service fee), setup on quote. If you buy a block registered in another region and want it under the RIPE NCC, we handle the inter-RIR transfer on quote.

Frequently asked questions

How much does a /24 IPv4 block cost in 2026?

About $6,000 to buy: IPv4.Global's August 2026 average for /22 to /24 blocks was about $23.50 per address, and a /24 holds 256. Registry costs come on top: at ARIN a $187.50 recipient fee and $275 per year, in the RIPE region either membership or a sponsoring LIR contract. Leasing the same block at the IPXO average of $0.35 per IP per month costs about $1,075 per year.

Do I need to be a RIPE NCC member to buy IPv4?

For an allocation (PA space), yes: ripe-807 reserves allocations for RIPE NCC members, and membership costs €1,000 to join plus €1,800 per year in 2026 (ripe-848), €1,894 with one ASN included from 2027 (ripe-867). PI space is different: an End User can hold it under a contract with a sponsoring LIR (ripe-637), which is what our sponsorship covers for €135 per year per assignment.

Can I resell IPv4 addresses I bought?

Yes, after the registry's holding period. In the RIPE region, IPv4 received through a transfer cannot be transferred again for 24 months (ripe-807 section 2.2.1). Space moved into LACNIC is locked for one year, and an ARIN organization that transfers IPv4 out cannot use the ARIN waiting list for 36 months.

Why do small blocks cost more per address?

In August 2026 a /22 to /24 block averaged about $23.50 per address against about $14.30 for a /16 or larger (IPv4.Global). A /24 is the smallest block ARIN, APNIC and LACNIC will transfer, and small blocks carried the premium in every IPv4.Global reading we checked this year (January, the spring lows and August).

Does AWS charge for IPv4 addresses I bring myself?

No. Since 1 February 2024 AWS charges $0.005 per hour for every public IPv4 address it supplies, in use or idle, about $43.80 per address per year; addresses you bring through BYOIP are not charged. AWS BYOIP takes ARIN, RIPE NCC or APNIC space registered to a business entity, /24 or larger, with a ROA: see BYOIP explained.

Summary

At August 2026 prices, buying IPv4 pays back in about three and a half to five and a half years on the address price alone, and in about 3.5 to 8 years once ARIN's fees are counted, the small blocks taking longest. The registry side often decides the case: RIPE NCC membership costs €1,800 per year in 2026, which a leased /24 never reaches, while a sponsored PI block or an ARIN /24 at $275 a year keeps the purchase route open. Lease when the need is short or uncertain; buy when it runs past those horizons, and keep in mind that a bought block can be resold after 24 months in the RIPE region. Our guide to how IP leasing works covers the lease contract itself.