Enter your car's current value, vehicle age, ownership period, and annual mileage to see how much your car will depreciate over time. You'll get the estimated resale value, total depreciation amount, depreciation percentage, and a year-by-year breakdown so you know exactly what your car will be worth.
Estimated Resale Value
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Total Depreciation
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Value Lost
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Average Annual Depreciation
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Depreciation Cost Per Mile
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A brand new car typically loses between 15% and 25% of its value in the first year alone. This steep initial drop is often called the 'drive-off-the-lot' effect. After the first year, depreciation slows to roughly 10–15% per year for most mainstream vehicles.
Trucks and SUVs from brands like Toyota, Honda, and Subaru consistently lead in resale value retention. Models like the Toyota Tacoma, 4Runner, and Honda CR-V are well known for holding value. Luxury brands and electric vehicles can vary significantly depending on supply, demand, and technology cycles.
Higher annual mileage accelerates depreciation because it increases wear and shortens the vehicle's useful life. The industry benchmark is around 12,000–15,000 miles per year. Cars driven significantly more than this — say 20,000+ miles annually — can lose value faster and fetch lower resale prices.
Most vehicles lose roughly 40–60% of their original value over five years of average use. This means a $35,000 car bought new could be worth as little as $14,000–$21,000 after five years. Luxury vehicles and certain segments tend to depreciate more steeply than trucks and popular compact SUVs.
CPO vehicles typically depreciate more slowly than equivalent used cars because they come with manufacturer-backed warranties and quality inspections, making them more attractive to future buyers. However, their starting prices are higher than non-certified used cars, so the absolute dollar depreciation can be similar.
Keeping mileage low, maintaining service records, avoiding accidents, and keeping the car clean both inside and out all help preserve resale value. Choosing popular colors (white, silver, black) and avoiding excessive aftermarket modifications also help. Buying models with historically strong resale ratings is the most effective strategy of all.
From a pure cost perspective, buying a used car that is 2–3 years old lets someone else absorb the steepest early depreciation. You pay significantly less but often still get most of the vehicle's useful life. However, new cars may come with better financing rates and full warranties that offset some of the depreciation cost.
This calculator applies industry-standard depreciation curves: a higher rate in early years (around 20% for year 1, tapering down) adjusted for mileage and vehicle condition. A mileage modifier increases depreciation slightly if you drive more than the 12,000/year baseline. The result is an estimated market value — actual resale prices vary by make, model, trim, and local market conditions.