Purchasing a car can be extremely stressful, particularly if you’re on a tight budget. Although used cars provide financial aid, some buyers want the reassurance that a new model brings. Less maintenance, warranty protection, not having to share a car that has been shared by five other people — these are just a few reasons why the luster of a brand new car may be hard to resist. But that brings us to one large query: What is the least expensive brand new car available for sale?

This blog takes a long, hard look at the cheapest new cars, pointing out what features you get (and don’t get) for your money, what’s good, and what’s not about the cheapest wheels on the market and what to think about when looking for your next set of wheels. If you are looking for an inexpensive way to get away from it all, read on — we have you covered.

How We Found the Cheapest new Car

For the purposes of talking about “cheapest” new cars, our focus will be on MSRP (Manufacturer’s Suggested Retail Price) for the least expensive version of any given model without any extras added. (Note that prices can vary depending on taxes, dealer fees and region.) Though our primary focus is on the entry-level model, we’ve also taken basic features, fuel economy and safety into consideration to give you an idea of what you get for your money.

And now, it’s time to unveil the list of the five most affordable brand-new cars you can purchase today.

The Top 5 Cheapest New Cars

2023 Mitsubishi Mirage

Starting Price: $17,340

It is the Mitsubishi Mirage claiming the throne for the cheapest new car for sale in the U.S. At 36 MPG in the city and 43 MPG on the highway, it’s ideal for drivers who are on the road a lot and are looking to save a little money. While its little three-cylinder engine won’t impress the hot-rodders, the Mirage earns points with a 10-year, 100,000-mile powertrain warranty.

Key Features:

• 7″ touchscreen with Bluetooth Connectivity
• Rearview camera for safety
• Hatch back version available for extra space

Best For: City drivers in need of an inexpensive, fuel-efficient car.

2023 Kia Rio

Starting Price: $17,875

While inexpensive, reliable and practical, the Rio offers a surprisingly good time behind the wheel. This subcompact sedan comes with its fair share of standard tech features, including an 8-inch touchscreen with wireless Apple CarPlay and Android Auto. Its 120-horsepower engine has more power than most competitors at this price point, and its cool design is another benefit.

Key Features:

• 33 city miles per gallon and 41 highway miles per gallon
• Good warranty: 10 years/100,000 miles of coverage for the powertrain
• More upscale interior space than competitors

Best For: Shoppers who want extra tech and style features for a wallet-friendly price.

2023 Nissan Versa

Starting Price: $17,800

The Nissan Versa does more than your average compact sedan thanks to its inviting exterior and roomy interior. That includes safety features like automatic emergency braking, lane departure warning and rear automatic braking, so it’s good value for a bottom-of-the-range sedan.

Key Features:

• 32 MPG City / 40 MPG Highway
• The back seat is roomy and there’s plenty of cargo space
• Safety items, that basically don’t come with vehicles at this price range

Best For: Safety and space for families and commuters.

2023 Hyundai Accent

Starting Price: $18,890

Hyundai’s Accent has remained one of the best-selling subcompacts, offering refinement above the price it would suggest. Perhaps it’s the automotive world’s suaveness and sophistication combined with its pleasing mien, and presence of more contemporary-sought-after features, such as a rearview camera, which make it stand out.

Key Features:

• 33/41 mpg fuel economy
• 10-year/100,000-mile Powertrain Limited Warranty
• Less road noise for a quieter drive

Best For: Drivers who want a posh, sophisticated-bargain option.

2023 Chevrolet Spark

Base Price: $14,595 (manual transmission)

Recently cut from the U.S., the Chevy Spark was one of the cheapest cars you could buy. One that you find on a dealer lot is hard not to like, with its comic appeal and nimble handling, serving as an amusing and economical set of wheels, particularly in the city.

Key Features:

• 29 city / 38 highway MPG
• Small size will not take much room when you park the vehicle
• Apple CarPlay and Android Auto (basic infotainment features)

Best For: College kids or city drivers looking for a cheap, no-nonsense ride.

Note: Availability is likely to be restricted on the 2023 Chevrolet Spark.

The Good and Bad About Cheap New Cars

Advantages

• Affordability: They offer smaller monthly payments and insurance premiums, making entry-level options for buyers who want to minimize expenses.
• Warranty: With the scope of car warranty new budget cars bring for buyers, there is the freedom to access company backed guarantee for a used car.
• Lower Maintenance: Since you are the first to live there, you’re unlikely to have immediate repairs or extensive wear and tear to tackle.
• Better Mileage: The majority of affordable new cars get great gas mileage, a welcome relief when it comes to saving money on gas.

Disadvantages

• Fewer Features: Budget vehicles are typically outfitted with the bare minimum when it comes to features and such, but higher trims are available.
• Less power, less fun: Do you like to zip around?
• Resale: Entry-level vehicles take a nose dive in resale value versus other models.

Tip: If you ever need to compare the cost of two or more vehicles, include long-term value, such as fuel economy and maintenance costs, in your analysis.

How About NOT Buying a Cheap Brand New Car

Certified Pre-Owned Cars

CPO cars have months-long inspection processes and carry lengthy warranties, so you get a new-car experience at a used-car price. Even models that are not much more than a couple of years old often have features that are not standard on base models.

Lease Deals

Leasing provides the opportunity to drive a new car with little upfront money and low monthly payments. You won’t own the car when the lease term is up, but leasing can get you into a higher tier of vehicle than you might otherwise be able to afford.

Financing and Incentives

Low-Interest Financing and Cash Offers Many automakers have low-interest financing options or cash purchase incentives for new vehicles. Take a look at financing plans that will work within your budget but make it possible to enjoy all the advantages of that new-off-the-lot car.

Tip: Don’t forget to compare loan interest rates and lease terms at your dealership.

Which Affordable Car Is Right for You?

Deciding on the least expensive brand-new car is all about priorities. For the ultimate pocket-friendly, money-saving automobile, the Mitsubishi Mirage is hard to top. But if you’re looking for some extra features, comfort or a little mix of affordability and tech, then you should consider the Kia Rio and Nissan Versa.

Not sure if a new car is the right choice for you? Check out certified pre-owned and leasing options for even more choices at affordable prices. Whichever you settle on, be sure to take the car for a test drive and check the fine print on manufacturer warranties and financing offers before signing the contract.

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