Car Depreciation Calculator: Estimate Your Vehicle's Resale Value
Understanding car depreciation is crucial for both buyers and sellers. On average, a new vehicle loses approximately 20% of its value in the first year alone, and continues to lose about 10% to 15% each subsequent year. This calculator helps you estimate the current market value of your vehicle based on its age, purchase price, mileage, and condition.
Vehicle depreciation is the difference between the price you paid for a car and what it's worth when you decide to sell or trade it in. Several factors influence this rate:
Brand Reputation: Certain brands (like Toyota or Honda) tend to hold their value longer than luxury or less reliable brands.
Mileage: High mileage is a primary driver of depreciation. The standard average is roughly 12,000 to 15,000 miles per year. Anything higher decreases the value significantly.
Condition: Mechanical health and aesthetic appearance (paint chips, interior stains) play a major role in the resale price.
Fuel Economy: In times of high gas prices, fuel-efficient vehicles depreciate slower than gas-guzzling SUVs.
Depreciation Example
Let's say you bought a new SUV for $40,000. After one year, it may be worth roughly $32,000. By year five, assuming it is in good condition and has average mileage, it might be worth approximately $16,000 to $18,000. This represents a 60% drop in value over 60 months.
Frequently Asked Questions
Which cars depreciate the slowest?
Typically, pickup trucks, SUVs with high reliability ratings, and sports cars with limited production runs depreciate the slowest.
How can I minimize depreciation?
Maintain a full service history, keep the mileage low, and choose popular colors like white, black, or silver, which are easier to resell.
function calculateCarValue() {
var price = parseFloat(document.getElementById('purchasePrice').value);
var age = parseFloat(document.getElementById('carAge').value);
var mileage = parseFloat(document.getElementById('totalMileage').value);
var condition = document.getElementById('carCondition').value;
var resultDisplay = document.getElementById('depreciation-result');
if (isNaN(price) || isNaN(age) || isNaN(mileage) || price = 1) {
currentValue = currentValue * 0.80;
} else if (age > 0 && age 1) {
var remainingYears = age – 1;
for (var i = 0; i 0) {
currentValue -= (mileageDifference * 0.15);
} else {
currentValue += (Math.abs(mileageDifference) * 0.05);
}
// Condition Multiplier
if (condition === "excellent") {
currentValue *= 1.05;
} else if (condition === "good") {
currentValue *= 1.00;
} else if (condition === "fair") {
currentValue *= 0.85;
} else if (condition === "poor") {
currentValue *= 0.65;
}
// Salvage value floor (a car is rarely worth $0)
var salvageValue = price * 0.10;
if (currentValue < salvageValue) {
currentValue = salvageValue;
}
resultDisplay.style.color = "#2c3e50";
resultDisplay.innerHTML = "Estimated Resale Value: $" + currentValue.toLocaleString(undefined, {minimumFractionDigits: 2, maximumFractionDigits: 2});
}