Car Resale Value Estimator

Vehicles lose value rapidly in the first few years. Industry research and NADA guides show a typical pattern: approximately 20% in year 1, then 10 to 15% per year in years 2 through 5, then slowing to 5 to 10% per year. This calculator models a declining balance depreciation curve fitted to these typical rates. For the exact value of a specific vehicle, use NADA Guides (nadaguides.com) or Kelley Blue Book.

Mileage is the second largest factor after age. Higher-than-average mileage (above 15,000 miles/year) reduces value; lower mileage increases it. Condition (clean title, accident-free, service records) significantly affects value. Brand reputation for reliability strongly influences residual values. Market demand, fuel prices, and model popularity all play roles. Color (neutral colors like white, black, silver) typically retain value better.

The Federal Highway Administration (FHWA) reports that the average US driver drives approximately 13,500 to 14,500 miles per year. Most used-car pricing guides use 15,000 miles per year as the standard mileage benchmark for pricing. Vehicles with significantly more or less than this benchmark are adjusted up or down.

A depreciation model gives a rough estimate only. Real-world resale value for a specific vehicle depends on its exact condition, service history, local market supply and demand, trim level, and optional equipment. This tool is useful for planning and budgeting purposes. For a binding estimate, get an actual appraisal or check current listings for comparable vehicles.

Both matter, but age typically has a stronger structural effect on depreciation because it affects mechanical wear, safety technology obsolescence, and consumer preference for newer designs. However, very high mileage can override age: a 3-year-old vehicle with 80,000 miles may sell for less than a 4-year-old vehicle with 30,000 miles of the same model.