Car Depreciation Calculator
Estimate what your car is worth after a few years. Enter the purchase price, how long you have had it, and the depreciation rates, and see the value lost and the average loss per year.
Estimated value today
12,528.15
Check the highlighted fields to see your result.
- Value lost
- 17,471.85
- Share lost
- 58.2%
- Average loss per year
- 3,494.37
Results are estimates for information only and do not constitute financial, medical, or legal advice.
How it works
Cars lose the most value in the first year and a smaller share each year after. The calculator uses that pattern: it takes the first-year percentage off the price, then takes the yearly percentage off whatever value is left, once for each extra year. For part of a year, the first-year loss is spread out evenly.
The formula
Value = price × (1 − first-year rate) × (1 − yearly rate)years − 1
Worked example
A car bought for 30,000, kept for 5 years, with a 20% first-year loss and 15% a year after.
- After year 1: 30,000 × 0.80 = 24,000.
- Next four years: 24,000 × 0.854 = 24,000 × 0.5220 = 12,528.15.
- Value lost: 30,000 − 12,528.15 = 17,471.85, which is 58.2% of the price.
These are estimates, not an appraisal. Mileage, condition, and the market change the real value.
Frequently asked questions
How fast does a car depreciate?
A common rule of thumb is that a new car loses about 20% of its value in the first year and roughly 15% of what is left each year after that. Real numbers vary a lot by brand, model, mileage, condition, and the used-car market.
Which cars hold their value best?
It changes from year to year, but cars that are reliable, popular, and in short supply tend to hold value better. Luxury cars and models that are updated often usually lose value faster. Check recent sale prices of the same model to get a real figure.
Can I trust this value when I sell my car?
Treat it as a rough estimate. Mileage, accidents, service history, options, and local demand can move the price a lot. For an actual price, compare listings for the same model, or ask for a dealer quote or a valuation guide.