The residual value of a vehicle can be difficult to determine as it depends on several factors. To work out the residual value for your car, you'll need to find out the vehicle's estimated depreciation value, along with the original value or manufacturer's suggested retail price (MSRP).
To find out the manufacturer's suggested retail price (MSRP) of a vehicle, you can visit the manufacturer's website or look back at your lease documentation to see if the on-the-road (OTR) price is listed.
To calculate the vehicle's estimated depreciation value, you'll need to know specific information about the car, such as the exact make, model, year and trim type, along with information about its initial condition, age and mileage. Some manufacturers, such as Volkswagen, allow you to compare residual values between their model range. For others, you may need to use a tool such as CAP HPI's Gold Book to determine the estimated vehicle value for up to five years.
Once you have worked out the vehicle's estimated depreciation value, you can use the below calculation to work out the estimated residual value of the car.