| Make / Model | Category | Base MSRP | 5-yr depreciation | Keeps |
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What is Car Depreciation?
Car depreciation is the loss in value a vehicle experiences over time. The moment you drive a new car off the lot, it begins losing value — sometimes dropping 10-15% in the first year alone. Over five years, the average new car loses between 40-60% of its original purchase price. Understanding depreciation is one of the most important factors in making a smart car buying or selling decision.
Our free car depreciation calculator uses real resale data from iSeeCars, Kelley Blue Book, and CarEdge to estimate the current value of any vehicle across 36 makes and 300+ models. Whether you want to know your trade-in value, what you could get in a private sale, or what a dealer would charge for the same car, our tool gives you all three estimates instantly.
Why Some Cars Depreciate Faster Than Others
Depreciation rates vary dramatically by vehicle type, brand, and model. Several factors drive how quickly a car loses value:
- Brand reliability reputation — Toyota and Honda models consistently hold their value better than average because of their long-standing reputation for reliability and low ownership costs.
- Supply and demand — vehicles with strong demand in the used market (like the Toyota Tacoma or Jeep Wrangler) depreciate much slower than models with weaker resale demand.
- Fuel type — electric vehicles currently depreciate faster than gasoline vehicles, largely due to rapid technology improvements making older EV models feel outdated quickly.
- Luxury vs mainstream — luxury vehicles typically depreciate faster than mainstream brands, as the premium buyers pay for new luxury cars isn't fully reflected in used market prices.
- Mileage and condition — vehicles with above-average mileage depreciate faster, while low-mileage examples can actually command a premium over typical estimates.
Trade-In vs Private Sale vs Dealer Retail
One of the most important things to understand when buying or selling a used car is that there are three different values for the same vehicle:
- Trade-in value is what a dealer will offer you when you trade your car in toward a new purchase. This is typically the lowest of the three values — dealers need to make a profit when they resell it, so they offer 10-15% below market value.
- Private sale value is what you could realistically get selling directly to another individual. This is higher than trade-in but requires more effort — listing the car, showing it, and handling the paperwork yourself.
- Dealer retail price is what you would pay buying the same car from a dealership lot. This is the highest of the three values, typically 10-15% above private sale price, as it reflects the dealer's overhead and profit margin.
Our calculator shows all three values so you can make the most informed decision whether you're selling, trading in, or buying.
The Best and Worst Cars for Resale Value
Based on our data, the vehicles that hold their value best over five years are dominated by trucks and off-road SUVs. The Toyota Tacoma loses only 26% of its value in five years — among the best of any vehicle. The Jeep Wrangler (28%) and Toyota 4Runner (28%) are close behind, thanks to passionate owner communities and strong demand in the used market.
At the other end of the spectrum, electric vehicles and luxury sedans tend to depreciate the fastest. The Tesla Model Y loses approximately 60% of its value in five years, while some luxury sedans from European brands lose 55-65%. This doesn't necessarily make them bad purchases — the lower used prices mean buying a 3-year-old luxury EV can be excellent value for the right buyer.
How to Use This Depreciation Calculator
- Select your vehicle's make and model from the dropdowns above
- Choose the year you purchased or are considering purchasing
- Optionally enter your current mileage for a more accurate estimate
- If you paid a different price than MSRP, expand the "I paid a different price" section
- Click Show me what it's worth to see your estimate
- Toggle between Trade-In, Private Sale, and Dealer Retail to see all three values
Further Reading
Depreciation estimates are based on publicly reported data from iSeeCars annual resale studies, Kelley Blue Book Best Resale Value Awards, and CarEdge brand rankings. Values shown are directional averages — actual resale prices vary by trim level, mileage, condition, color, region, and current market demand. Always verify with a local dealer or private listing before making a financial decision.