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Car Depreciation Calculator

Year-by-year value of a new car.

Estimated value at year 5
$20,269
49.3% lost · $19,731 of depreciation

Year by year

Year 0$40,000$0 this year
Year 1$32,000$8,000 this year
Year 2$27,200$4,800 this year
Year 3$24,480$2,720 this year
Year 4$22,032$2,448 this year
Year 5$20,269$1,763 this year

US averages: about 20% in year 1, 15% in year 2, then ~10% per year through year 5, slowing after. Trucks and Toyotas hold value better; luxury sedans and EVs depreciate faster. Buying lightly used (2-4 years old) skips the steepest part of the curve.

About

Enter purchase price and how many years out you want to look. Get the projected value each year using US-average depreciation rates. Tells you why used cars are usually a better deal.

How to use

  1. Enter new car price.
  2. Pick years out.
  3. See projected value.

FAQ

Do all cars depreciate the same?+

No. Trucks and Toyotas hold value much better than average. Luxury sedans and EVs depreciate faster. The 20%/15%/10%/10%/8% curve is a fleet average across mainstream cars.