Buying the Cheapest New Car in 2025 For those on a tight budget, there are better options for affordable new cars in 2025 than just trying to buy the cheapest to purchase vehicle. New entry-level cars and crossovers come equipped with helpful technology, automatic transmissions, driver-assistance technology, quality cabins, and fuel-efficient powertrains that help make daily transportation easier while keeping fuel and maintenance costs low. Affordable new cars also come with factory warranty coverage and up-to-date standard features for buyers who prefer a new car over a pre-owned one.
Although many of the popular budget models have been discontinued in recent years, not all of the automakers left the segment unoccupied. There are still plenty of affordable small cars and SUVs available on the market. From sedans to small crossovers, they all cost less than $24,000 (averaging less than that) on their manufacturer’s suggested retail price, and offer different benefits in terms of performance and size, including factor like interior volume, warranty coverage, and safety and infotainment features. Still affordable and still offer an incredible deal for drivers.
1. Nissan Versa
The 2025 Nissan Versa S with a CVT starts at just $21,130, and it remains the cheapest new vehicle in Nissan’s range. There was a base model with a manual transmission for less, but Nissan changed the Versa lineup so that the CVT is now standard on the cheapest model. That puts the Versa near the bottom of the list of cheapest new cars if you’re happy to not have a manual option. With the Kia Rio and Mitsubishi Mirage disappearing as choice go-to city cars in the not-too-distant future, the Versa remains one of the most budget-friendly options for daily city transport.
Nissan Versa Value Features:
- $21,130 starting price
- CVT now standard
- Practical commuting-focused design
- Generous trunk capacity
- Three-year basic warranty
The Versa maintains an inexpensive tag that is more than justified by practicality for the daily driver. The car’s seating arrangement will provide reasonable comfort on the daily commute, and despite being a small sedan the trunk is quite large. Fuel economy will minimize everyday fuel costs, but acceleration and ride refinement are both subpar and you will notice noise from the highway on long road trips. Nissan’s basic three-year/36,000-mile warranty remains unchanged, providing a factory-backed safeguard for this most basic of vehicles. For buyers looking for reliable, no-frills transportation, this sedan does the job without much fuss.
2. Hyundai Venue
2025 Hyundai Venue SE Starting at $21,650 The Venue SE is the little-SUV look for the little-SUV segment. Uphigher with a hatchback or wagon-like silhouette, and the body cladding surrounding the wheelarches, the Venue looks more substantial and capable than a small sedan. With the body length comparable to a small sedan, getting around in an urban environment where tight turns, congested streets and limited parking spots can be an issue is a benefit, with the added height of a small-SUV ride height preferred by many over a low-seating sedan position.
Hyundai Venue Highlights:
- $21,650 starting price
- 1.6-liter four-cylinder engine
- 121 horsepower output
- Compact urban-friendly dimensions
- Ten-year powertrain warranty
Power is supplied by a 1.6-liter four-cylinder engine with 121 horsepower, and a continuously variable automatic transmission. The interior includes cheap-looking hard plastics, and rear legroom can be sparse, but high fuel efficiency means the Venue is genuinely appropriate for a commuter’s lifestyle. Its diminutive dimensions also allow for superior maneuverability in typical city traffic. The Venue offers buyers an attractive long-term powertrain warranty with Hyundai’s ten-year/100,000-mile, original-owner coverage; these elements form a capable package that helps ensure the Venue remains relevant for anyone seeking crossover styling, improved sightlines, and a sensible mix of savings.
3. Kia Soul
2025 Kia Soul LX: $21,885 The Soul is a sleek take on a boxy shape that allows it to fit a surprisingly large cabin into a relatively small footprint. Most economy cars sacrifice cabin space in favor of maintaining a small overall size, but the Soul maximizes its size inside its upright shape. The design also provides increased headroom and more practical rear cargo room, while the interior trim feels more premium than the price might indicate. The unique shape also makes the Soul stand out from more basic entry-level cars and crossovers.
Kia Soul Practical Features:
- $21,885 starting price
- Boxy exterior design
- 147-horsepower engine
- Spacious interior layout
- Standard front-wheel drive
The Soul gets a 147-hp, 2.0-liter four-cylinder engine paired with an Intelligent Variable Transmission. FWD is standard and helps the Soul steer and drive easily as well as quietly. Thanks to its sensible interior and standard tech features and Kia’s robust warranty coverage, the Soul provides a lot of value for an affordable price. Those seeking a little more personality than a normal small sedan at a price that still won’t push the $22,000 mark should consider the Soul for its unique style, interior room, cargo room, and daily driver capability.
4. Chevrolet Trax
Pricing for the new 2025 Chevrolet Trax begins at $21,895 and features crossover looks, along with a relatively spacious cabin. The length and width of the new Chevrolet Trax have been increased, resulting in a lengthier and broader appearance than the model it replaces, as well as providing the interior with added roominess. The bolder styling of the new bodywork also gives the Trax a more costly appearance and feel for a base vehicle, while standard Wireless Apple Car Play and Android Auto ensure plenty of daily smartphone convenience for those on a tight budget.
Chevrolet Trax Advantages:
- $21,895 starting price
- Longer and wider body
- 1.2-liter turbocharged engine
- Wireless smartphone connectivity
- Front-wheel-drive configuration
The turbocharged 1.2-liter three-cylinder provides power for everyday driving and helps maintain a low starting price. Fuel efficiency and acceleration are mid-pack for the class, but the Trax puts a heavy emphasis on passenger capacity and on-road comfort. Thanks to a slightly longer and wider body, the cabin feels a little more substantial, and the front-wheel-drive configuration helps hold the cost down unlike most larger crossovers. For anyone after traditional SUV looks, utility seating, and a contemporary infotainment setup, without the premium cost of a four-wheel-drive drivetrain, the Trax is an attractive way into the world of crossovers.
5. Nissan Sentra
Beginning at $22,730 for the 2025 Sentra S, the Sentra is a compact sedan, tiered above the subcompact Versa. While on the surface the Sentra’s styling might look similar to other small sedans, the exterior styling gives the Sentra a more premium image, with detailed body work and a grille design that helps it stand out from entry-level sedans. Power for the Sentra is sourced from a 2.0-liter four-cylinder engine that develops 149 horsepower that gets sent through a CVT continuously variable automatic transmission.
Nissan Sentra Efficiency:
- $22,730 starting price
- 2.0-liter four-cylinder engine
- 149 horsepower output
- 40 mpg highway rating
- Standard active driver assistance
Efficiency is another strong practical aspect of the Sentra, which has 40 and 30 mpg ratings on the highway and city respectively. If you spend a lot of time traveling, this compact sedan is a good choice along highway routes. Rear passenger room and handling are fairly average for the class, but Nissan has included active driver assist technology in its factory coverage, along with the usual basic warranty of three years or 36,000 miles and a powertrain warranty of five years or 60,000 miles. Ideal for those who have long highway commutes and want a sporty, modern feature-packed, practical compact that has a big enough build to be a compact, but not quite a subcompact.
6. Kia K4
The 2025 Kia K4 LX is one of the most affordable sedans in the market, at $23,165, after taking over for the old Forte sedan. You’ll notice the fresh design on the outside of this compact sedan before you notice its comparative affordability. The K4 has a 2.0-liter four-cylinder engine that generates 147 horsepower to propel it to a driving experience that is a bit more forward-looking than your typical boring compact sedan. This car boasts a lot of familiar options, but with an updated look.
Kia K4 Value Package:
- $23,165 starting price
- 147-horsepower engine
- Spacious rear seating
- 12.3-inch touchscreen
- Ten-year powertrain warranty
There’s plenty of rear seat legroom and generous cargo capacity inside the K4, making it a practical daily driver for commuters and families alike. The K4 has a few standard features like a 12.3-inch infotainment screen, Apple Car Play and Android Auto connectivity that fit into the big screen format and won’t require the purchase of more expensive packages or options. For original owners, Kia offers a ten-year/100,000-mile powertrain warranty and five-year/60,000-mile basic limited warranty. The K4 scores a 40-mpg rating on the highway and 34 mpg combined for good efficiency and modern cabin features, and it comes in at an attractive price point.
7. Nissan Kicks
Pricing and Specs The 2025 Nissan Kicks S new price is $23,220 at our least expensive. The new 2025 Nissan Kicks S brings along with it a few meaningful changes in comparison to the previous model year. It has grown in size and now features increased ground clearance, with a new look on the outside that gives it a heftier presence on the highway, and offers a 2.0-liter engine with 141 horsepower. It also continues to offer the optional all-wheel-drive system for all those who want more than just the small crossover.
Nissan Kicks Improvements:
- $23,220 starting price
- Larger crossover dimensions
- 141-horsepower engine
- Optional all-wheel drive
- Standard driver assistance
The more substantial body adds to passenger space, yet the vehicle remains a small crossover, useful for normal daily commuting and errands. Gas mileage is still excellent at 31 mpg combined, because of the larger engine, and the standard active driver safety features provide more practical safety features. A smartphone-equipped touchscreen keeps the infotainment system simple and convenient, while the Kicks is covered by Nissan’s basic warranty of three years or 36,000 miles, or five years or 60,000 miles for powertrain coverage. For those in search of crossover utility, higher ride height and greater ground clearance but under $24,000, the changes make the 2023 Kicks a compelling choice.
8. Hyundai Elantra
2025 Hyundai Elantra SE Hyundai The Elantra SE is a stylish new sedan with 147 horsepower 2.0-liter four-cylinder engine delivering good performance and going to a CVT for transmission. The sedan rates an EPA-estimated 41 miles per gallon on the highway and 36 miles per gallon combined, which should be an attractive selling point for its efficiency for those who drive to work often. The Elantra’s efficiency figures can actually help bump up the sales of the model since most drivers spend plenty of time making daily trips.
Hyundai Elantra Benefits:
- $23,220 starting price
- 147-horsepower engine
- 41 mpg highway
- 36 mpg combined
- Ten-year powertrain coverage
The Elantra has a strong focus on safety and daily comfort. It also has an IIHS Top Safety Pick+ rating, and the sedan’s interior space can support five passengers despite the small footprint, making it highly efficient for everyday driving. There is also an exceptional ownership value component to the Elantra when it comes to its powertrain warranty, which is 10 years or 100,000 miles for original owners. With an annual fuel cost of approximately $1,250, its efficiency is also another key factor, and the entire package provides many of the features and cabin features expected of a modern compact sedan to make a great daily driver.
9. Toyota Corolla
The base 2025 Toyota Corolla LE has a price starting at $23,460 and offers the kind of practical and reliable transportation that has been a hallmark of the model for a long time. Its 2.0-liter 4-cylinder engine makes 169 horsepower, giving the Corolla more starting power than anything else in this class. The engine is coupled to a CVT, which ensures a smooth ride, and the small dimensions of the sedan make it easy to maneuver, while the traditional body style ensures that it is a straightforward choice for drivers who don’t want a crossover.
Toyota Corolla Strengths:
- $23,460 starting price
- 169-horsepower engine
- 41 mpg highway
- 35 mpg combined
- Low routine maintenance costs
Another highlight is fuel economy with a rating of 41 mpg highway and 35 mpg combined. Rear seat space is a little tight, but front position seats are comfortable and the cabin has well-arranged controls for everyday use. Standard driver-assistance technology is another useful feature, and Toyota provides factory protection with its warranty coverage for new owners. That coverage includes three years or 36,000 miles for the basic warranty, and five years or 60,000 miles on the powertrain warranty. Coupled with low-cost regular maintenance and great longevity, the Corolla is a familiar value leader among compact sedans.
10. Volkswagen Jetta
The 2025 Volkswagen Jetta S, now freshened, begins at $23,220 and will add some European style to the budget-friendly compact-sedan segment. Volkswagen freshened the Jetta’s front end, with a new grill and headlamps, and also gave the cabin materials a slight update. The turbocharged engine is a 1.5-liter four-cylinder that makes 158 horsepower, boosting the Jetta’s power relative to other models in this group, all of which tend to be significantly less powerful. The turbocharged powertrain and freshened look give the Jetta a slightly different character from the group of more efficiency-oriented compact sedans.
Volkswagen Jetta Features:
- $23,220 starting price
- 158-horsepower turbo engine
- Eight-speed automatic transmission
- 39 mpg highway
- Spacious rear seat
The Jetta features an eight-speed automatic transmission, a major upgrade from the CVT most other cars at this price use. It gets up to 39 mpg highway and 33 mpg combined, generous rear-seat room, a large trunk and four-year/50,000-mile basic warranty. Overall, the 2025 new-car market includes cars that are affordable, feature-rich, automatic transmission-equipped and connected, provide good-to-generous space and excellent fuel economy. There’s everything from the Nissan Versa and Hyundai Venue to the Toyota Corolla and Jetta, with a focus on maximum efficiency, space and tech, good warranty coverage and one’s practical needs not just low starting prices.
