Car Depreciation Calculator
Cars lose value fast. Project what a vehicle will be worth in a few years using typical depreciation — about 20% the first year, ~15% after.
Example: with Purchase price (new) 35,000 · First-year depreciation? 20 · Each later year 15 · Years from now 5 → Estimated value: $14,616.
Computed by the calculator below using its default values. Change any input to see your own numbers.
Look up real resale values for your model
Learn moreThe steepest drop is early
Depreciation is front-loaded: a new car can shed ~20% in the first year and around 15% each year after, leaving many vehicles worth roughly 40% of sticker after five years. That’s why buying lightly used — letting someone else absorb year one — is often the value play.
How it’s calculated & sources
We apply the first-year rate once, then the later-year rate for each remaining year, compounding on the declining value. Real depreciation varies by make, mileage and condition.
Benchmark: typical cars lose ~20% in year one and ~15%/year after — about 60% of value gone by year five (Edmunds / CARFAX).
Results update as you type and are general estimates, not personalized financial, tax, medical or legal advice. Verify with a professional.
Worked example
A $35,000 car drops to about $14,800 after five years — a $20,200 loss, or roughly $4,000 a year.
Frequently asked questions
Which cars hold value best?
Trucks, certain SUVs and reliable brands depreciate slowest; luxury sedans and EVs with fast-improving tech often depreciate fastest.
Does mileage matter?
A lot — high annual mileage accelerates depreciation beyond these averages, while low mileage slows it.