Car Depreciation Calculator

Car Depreciation Calculator

Estimate how your car’s value decreases over time with an adjustable annual depreciation rate.

Final Value
Total Depreciation
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This car depreciation calculator estimates how your vehicle’s value declines over time. It helps you forecast resale value and long-term cost of ownership.

Depreciation Formula

Value after n years = Initial Value × (1 – Depreciation Rate)^n

Example Calculation

A $30,000 car depreciating 15% per year is worth about $15,200 after 5 years — roughly 50% of its original value.

Why It Matters

Understanding depreciation helps you make smarter buying decisions and anticipate resale timing for maximum return.

Smart Tip

Cars with slower depreciation rates—such as reliable models or hybrids—retain value longer and reduce total cost of ownership.

FAQs

How is depreciation calculated?
It uses compound reduction: each year’s loss is a percentage of the previous year’s value.
Do all cars depreciate at the same rate?
No. Luxury cars often lose value faster, while fuel-efficient or rare models can hold value longer.
Can depreciation be reduced?
Proper maintenance, low mileage, and good condition can slow depreciation and improve resale price.
Car Depreciation Chart

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