Depreciation value of a car

[Gian Paulo]

Is it common to assume a 10% depreciation value for a car. Or are their methods calculation about how a car is worth after years of operation base on its mileage? Your thoughts please. TIA.

[lowslowbenz]

First year is 20%, succeeding years is 10%.

More or less.

That is why when it comes to selling an old car, "vehicle condition" is a key factor. Mileage is irrelevant.

There are low mileage cars that are abused by owners. There are also high mileage cars that are well maintained.

[Walter]

Other factors would be brand perception, model reliability, parts availability, maintenance and running costs.

[papi smith]

First year is 20%, succeeding years is 10%.

More or less.

That is why when it comes to selling an old car, "vehicle condition" is a key factor. Mileage is irrelevant.

There are low mileage cars that are abused by owners. There are also high mileage cars that are well maintained.

Sakto paps ah! My car's market value (based on olx) is just 60% after 3 years

So it's probably best to buy a used car that is 4 years old para 50% discount.

[dr. d]

Is it common to assume a 10% depreciation value for a car. Or are their methods calculation about how a car is worth after years of operation base on its mileage? Your thoughts please. TIA.

that depends on who is doing the depreciating.
insurance companies have a formula.
bayan sellers have their formula.
potential buyers of a used car for personal/family use, have "other criteria".

[niky]

Is it common to assume a 10% depreciation value for a car. Or are their methods calculation about how a car is worth after years of operation base on its mileage? Your thoughts please. TIA.

For what purpose? If you're looking at it from an insurance or accounting point of view, you can assume 10%.

But for buy and sell purposes, factors such as whether the model is an outgoing one or a new model, existence of a new model, maintenance issues, fuel economy and brand or model desirability affect resale dramatically.

[Walter]

Sakto paps ah! My car's market value (based on olx) is just 60% after 3 years

So it's probably best to buy a used car that is 4 years old para 50% discount.

As long as you're willing to take the risks associated with purchasing a used vehicle.

[ice15]

If you're selling your car??

Its easy to put a price on it... But in reality, you'll lower the price until you find someone willing to buy it.