Car Trade-In Value Calculator
Estimate your vehicle's current trade-in value based on age, depreciation, mileage, and condition — then compare what you'd get from a private sale, dealer trade-in, or instant offer.
Used to gauge above/below avg. US avg is ~15,000/yr.
Selling directly to a buyer via Craigslist, Facebook Marketplace, or AutoTrader typically yields the highest price but requires more time and effort.
Trade-in value applied toward a new vehicle purchase. Quick and convenient but typically 10–20% below private party value.
Fast cash offers from auto-buying services. No negotiation hassle, but generally the lowest payout of the three options.
Understanding Your Car's Trade-In Value
Your vehicle's trade-in value is determined by four primary factors: age, mileage, condition, and market demand. This calculator uses a depreciation model to estimate baseline value, then applies mileage and condition adjustments to arrive at a realistic estimate.
How Depreciation Affects Trade-In Value
New vehicles typically lose 20–25% of their value in the first year due to the instant "new car" premium disappearing the moment you drive off the lot. After year one, depreciation typically slows to 10–18% per year depending on the brand, model, and market conditions.
| Vehicle Age | Typical Value Retained |
|---|---|
| 1 year | 75–80% |
| 3 years | 50–60% |
| 5 years | 35–45% |
| 7 years | 25–35% |
| 10 years | 15–25% |
Mileage Impact on Trade-In Value
US drivers average approximately 15,000 miles per year. Vehicles with above-average mileage are worth less because they face higher wear, sooner service intervals, and a shorter expected remaining lifespan. Dealers typically deduct $20–$30 per 1,000 miles above the average for the vehicle's age.
Below-average mileage can add value, but buyers are sometimes skeptical of unusually low-mileage used vehicles — they wonder if the car sat unused or has unreported issues.
Three Ways to Sell Your Car
Private party sale — Listing your car on Craigslist, Facebook Marketplace, or AutoTrader typically yields the highest price. Expect 5–10% above dealer trade-in values. The downsides: time, dealing with buyers, and no sales tax benefit when purchasing a new vehicle.
Dealer trade-in — The easiest method. Apply your current vehicle's value toward the next purchase. In many states, trade-in value reduces the taxable sale price of the new vehicle, providing a tax benefit that narrows the gap with private party sales.
Instant offer services — Companies like CarMax, Carvana, and dealer-affiliated programs provide fast cash offers, typically valid for 7 days. Offers are usually 10–20% below private party but the process takes under an hour.
Frequently Asked Questions
Why does my dealer offer less than this estimate?
Dealers factor in reconditioning costs (detailing, minor repairs, inspection), wholesale market fluctuations, and their own profit margin on resale. It's normal for dealer trade-in offers to come in 10–20% below estimated private party value.
Does trading in my car at a dealership save me on taxes?
In most US states, yes. If your trade-in is worth $10,000 and you're buying a $35,000 vehicle, you only pay sales tax on the $25,000 difference. At 8% tax, that's a $800 savings compared to selling privately and buying separately.
How do I get the best trade-in offer?
Get competing offers before going to the dealership. Visit CarMax, Carvana, and 2–3 local dealers. Armed with real offers, you can negotiate from a position of knowledge. Clean and detail the vehicle, fix minor cosmetic issues, and have service records available.
When is the best time to trade in a car?
Most buyers benefit from trading in before the 5-year mark. After year 5, annual depreciation slows but repair costs, maintenance, and reliability concerns start rising. Trading in while the vehicle still has significant value and low repair history typically provides the best net outcome.
