Fede Valverde scored a stunning goal from long range, while Rodrygo Goes and Brahim Diaz also found the back of the net for the home team.
Isaac Romero and Dodi Lukebakio scored for Sevilla, although they were thoroughly outplayed on veteran defender Jesus Navas' final game for the club.
Mbappe broke the deadlock in the 10th minute as Madrid brought the ball out from the back and worked it to Rodrygo on the left flank.
The Brazilian squared to Mbappe on the edge of the area, who took one touch to control, another to set himself and with his third, smashed a fierce effort past the helpless Alvaro Fernandez.
Madrid's second, 10 minutes later, was even better, with Valverde firing a screamer into the top corner from over 30 yards out after a short corner routine.
Ancelotti's side were in full flow and the third followed in the 34th minute when Lucas Vazquez crossed for Rodrygo, who finished with aplomb.
Advertisement
Sevilla hit back within a minute, with Romero nodding home from Juanlu Sanchez's cross after good work by Dodi Lukebakio.
Sevilla came out strongly in the second half and Romero should have added a second but fired straight at Thibaut Courtois when well placed.
Instead it was Madrid who stretched their lead, with Mbappe dinking a superb pass through for Diaz to finish clinically.
Sevilla brought on Navas after the hour mark and he was applauded by the Santiago Bernabeu, with this his 705th and final appearance for the club, far more than any other player.
Advertisement
Madrid and Sevilla players together gave the retiring Spanish great -- a World Cup winner in 2010 and two-time Euros champion -- a guard of honour at the start of the game.
Navas, 39, won four Europa Leagues and two Copa del Rey trophies with Sevilla, but his final appearance ended in disappointment for the Andalusians, who were outplayed in the Spanish capital.
Fernandez saved from Rodrygo after Mbappe rounded the goalkeeper and passed the ball back to his Brazilian strike-partner, as Madrid looked for a fifth.
Listen to the latest songs, only on JioSaavn.com
Lukebakio pulled one back late on for Sevilla as Madrid were able to finish an impressive year, in which they became Spanish and European champions, with a good result.
(This story has not been edited by staff and is auto-generated from a syndicated feed.)