Car Depreciation Calculator
Current Estimated Value
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Total Depreciation
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Depreciation Percentage
0%
Average Annual Depreciation
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Understanding Car Depreciation
Depreciation is the single largest cost of car ownership, often exceeding fuel, insurance, and maintenance combined. A new car loses approximately 20% the moment you drive it off the lot, and continues losing value at a declining rate.
This calculator uses a standard depreciation curve: 20% in year one, 15% per year for years two and three, 10% for years four and five, and roughly 8% thereafter. Mileage also matters - the average car is driven about 12,000 miles per year.
Understanding depreciation helps you make smarter buying decisions. Purchasing a 2-3 year old certified pre-owned vehicle lets you avoid the steepest depreciation while still getting a relatively new car.