Car Depreciation Calculator

Why Cars Lose Value So Fast

A new car loses a big chunk of its value the moment it's driven off the lot, and that decline keeps going — just more slowly — every year after. The drop is steepest in the first year, driven mostly by the shift from "new" to "used," then it settles into a steadier yearly decline as the car ages and racks up mileage.

This calculator applies that general pattern to give you a quick estimate of what your car might be worth a few years from now, without needing to look up a specific make and model.

How to Use This Calculator

Enter what you paid (or plan to pay) for the car, pick a currency, and choose how many years you want to project forward. You'll get an estimated value for each year, plus the percentage of the original price that's left.

How We Calculate It

The calculator uses a commonly cited depreciation curve: about 20% value loss in the first year, roughly 15% per year for years two through five, and around 10% per year after that — each year's drop applied to the previous year's value, not the original price. This mirrors the average pattern seen across most mainstream vehicles.

Real depreciation varies a lot by brand, model, mileage, condition, and local market demand — some vehicles (certain trucks, SUVs, and a handful of popular models) hold value noticeably better than this average, while others drop faster. Treat this as a general planning estimate, not an appraisal.

Getting a More Precise Number

If you need an exact resale or trade-in value for a specific vehicle, a valuation service that factors in your exact make, model, trim, mileage, and condition will always be more accurate than a general curve like this one. This calculator is best used for budgeting and rough comparisons — for example, seeing roughly how much value a car loses over a typical ownership period before you decide how long to keep it.