A new sensorless technique for monitoring the condition of inverter dc link aluminum electrolytic capacitors based on equivalent series resistance, ESR, and capacitance, C, estimation is proposed in this paper. The main concept of the proposed method is to estimate ESR and C of the capacitor using the inverter whenever the motor is stopped. The parameters are estimated from the dc link voltage and stator current measurements available in the inverter with the switched dc link voltage applied to the motor stator winding. The temperature of the capacitor can also be estimated under thermal equilibrium based on the stator resistance estimate to take the influence of temperature variation into account. An experimental study on a 250W permanent magnet synchronous motor performed under accelerated capacitor degradation is presented to verify the proposed technique. It is shown that the proposed method provides a reliable and sensitive indication of capacitor aging without additional hardware requirements.