Transport & cars · 059

Car depreciation estimate

What might the car be worth when you sell it?

Your numbers

Quick answer

What does the Car depreciation estimate calculate?

What might the car be worth when you sell it? This calculator uses current vehicle value, first-year depreciation, later annual depreciation, and years kept to estimate estimated resale value immediately in your browser.

With the values currently entered, the result is $16,719.51 — estimated resale value. It also shows value lost, retained value, and average loss / month.

How to use the Car depreciation estimate

Replace the example values with your own numbers.
Review the result and supporting figures as they update automatically.
Check the formula and assumptions before using the estimate for a decision.

Inputs used

Current vehicle value
First-year depreciation — entered in %
Later annual depreciation — entered in %
Years kept — entered in years

Car depreciation estimate formula

First-year decline followed by compound annual depreciation

Assumptions

Rates are user-entered estimates.
Mileage, condition, and market changes are excluded.

Practical guide

Car depreciation estimate example and edge cases

What might the car be worth when you sell it? Let's use a concrete example, then look at the assumptions that can move the answer.

Example: A practical car depreciation estimate scenario

For this example, use current vehicle value of 34,000, first-year depreciation of 18 %, later annual depreciation of 12 %, and years kept of 5 years. These are starting values, so replace them with numbers that match your situation.

Current vehicle value: 34,000
First-year depreciation: 18 %
Later annual depreciation: 12 %
Years kept: 5 years

Calculated result$16,719.51estimated resale value

Start with estimated resale value. Then check value lost, retained value, and average loss / month to understand what sits behind the main result.

Example results use the default display profile. The calculator above follows your selected country and units.

How to read the result

Read the main result first. The supporting figures for value lost, retained value, and average loss / month explain how the estimate is built.
The method is First-year decline followed by compound annual depreciation. Keep the units consistent and use values from the same time period.

Edge cases worth checking

When current vehicle value is unusual

Rates are user-entered estimates. Double-check this input before relying on the result.

When years kept is uncertain

Mileage, condition, and market changes are excluded. Run a lower and higher value to see a useful range.

What changes the result most

Current vehicle value

Use a current amount for current vehicle value. Include fees or recurring costs that belong in the same figure.

First-year depreciation

Test a lower and higher first-year depreciation. A small percentage change can move the final result more than expected.

Later annual depreciation

Test a lower and higher later annual depreciation. A small percentage change can move the final result more than expected.

Try a different scenario

Small changes show whether the answer is stable or sensitive.

Current vehicle value: 10% lower

30,600

$15,047.56estimated resale value

Current vehicle value: 10% higher

37,400

$18,391.46estimated resale value

First-year depreciation: 10% higher

20 %

$16,311.71estimated resale value

Common mistakes

Check current vehicle value

Rates are user-entered estimates. Make sure this matches the number you enter.

Keep years kept consistent

Mileage, condition, and market changes are excluded. Use the same units and time period throughout the calculation.

Do not rely on one car depreciation estimate scenario

Run a cautious case and an optimistic case. The range is often more useful than one exact-looking number.

Use this result well

Use it for