What is the cheapest car to purchase?

The cheapest car to purchase depends on where you live and whether you mean new or used. In the United States right now, the least expensive new car on sale is typically the Nissan Versa, with a base MSRP around the high-$17,000s before destination and dealer fees. In some global markets, entry-level models like the Maruti Suzuki Alto K10 (India) or Wuling Hongguang Mini EV (China) start for the equivalent of roughly $5,000–$7,000, though they aren’t sold in the U.S. Below, we break down the lowest-cost options, the trade-offs to consider, and how to spend the least overall.

What “cheapest” really means: price tag vs. total cost

Sticker price isn’t the whole story. True affordability includes insurance, fuel or electricity, maintenance, taxes, financing, and depreciation. A slightly pricier car that’s more reliable and efficient can cost less to own over several years than the absolute lowest-priced model.

The cheapest new cars you can buy in the U.S. (2025)

This list highlights the most affordable new-car nameplates widely available in the U.S. as of late 2025, with approximate starting MSRPs before destination charges and dealer fees. Actual transaction prices vary by region and incentives.

• Nissan Versa: Base models generally start in the high-$17,000s before destination; among the last sub-$20,000 new cars remaining nationwide. Efficient, simple, and inexpensive to insure for many drivers.
• Mitsubishi Mirage (remaining 2024 inventory): Previously started around the mid-$16,000s before fees. Mitsubishi ended U.S. sales after the 2024 model year, but some new, unsold inventory may linger and can be deeply discounted.
• Other subcompacts (discontinued but possible new-old stock): Models like the Kia Rio or Hyundai Accent are no longer in production for the U.S., but occasional new-old stock may appear with aggressive pricing. Availability is highly regional and limited.

Expect destination charges (often around $1,100) and local fees to add to the MSRP. Incentives, credit union rates, and previous-model-year discounts can materially change the out-the-door price.

Cheapest new cars in major global markets

Outside the U.S., several markets offer very low-cost city cars. Prices below are typical entry MSRPs in local markets converted to approximate U.S. dollars for comparison; trim, taxes, and currency swings affect totals. Most of these models do not meet U.S. safety/emissions rules and aren’t sold here.

• India — Maruti Suzuki Alto K10: Starts roughly in the INR 3.9–4.2 lakh range (about $4,700–$5,100), with higher trims more. Extremely common, low running costs.
• India — Renault Kwid: Typically from about INR 4.7–5.0 lakh (roughly $5,700–$6,100), styled like a mini-crossover with basic features.
• China — Wuling Hongguang Mini EV: Entry variants often in the RMB 32,000–40,000 band (about $4,400–$5,500). Ultra-compact city EV intended for short urban trips.
• Europe — Dacia Sandero: Among Europe’s lowest-priced conventional cars, starting around €13,000–€14,000 (roughly $14,000–$15,000), with modest equipment and efficient engines.
• Mexico — Nissan March: Frequently among the most affordable new cars, with base pricing that undercuts compact and midsize options; exact MXN and dealer pricing vary by region.

These cars keep costs down with smaller engines, lighter safety/content requirements, and simpler interiors. Importing them to other regions is typically impractical due to regulations, parts support, and compliance costs.

The lowest-cost path for most buyers: go used

If your goal is to minimize dollars spent, a reliable used vehicle will nearly always undercut even the cheapest new car. The models below are known for low running costs and broad parts availability; price ranges depend on mileage, condition, and region.

• Toyota Corolla (2012–2018): Often attainable under $10,000–$13,000 depending on mileage; simple, durable, and thrifty.
• Honda Fit (2013–2019): Compact footprint with exceptional cargo flexibility; strong reliability record, though prices can be firm.
• Toyota Yaris/iA (2012–2018 Yaris; 2017–2018 iA): Basic, efficient transportation with low insurance costs in many areas.
• Hyundai Elantra (2014–2019): Generally cheaper to buy than Toyota/Honda peers while offering modern features; check maintenance history.
• Ford Fiesta (2014–2018, non-DCT preferred) and Chevrolet Sonic (2014–2020): Can be very affordable; have a trusted mechanic inspect transmissions and cooling systems.

Always budget for a pre-purchase inspection, fresh tires/fluids, and immediate maintenance. A clean title, thorough service history, and an independent inspection can save thousands later.

What really makes a car “cheap” to own

Even among low-priced models, ownership costs can diverge. These factors commonly determine whether the cheapest car today remains cheap over time.

• Fees and add-ons: Destination charges, documentation fees, and dealer-installed options can quietly add $1,000–$3,000+ to your out-the-door price.
• Insurance: Premiums vary widely by model, driver profile, and location—get quotes before you decide.
• Fuel/electricity: Real-world mpg/mi per kWh and your local energy prices affect monthly costs more than small MSRP differences.
• Maintenance and repairs: Parts prices, service intervals, and reliability records matter; budget brands with strong dealer networks help.
• Depreciation: Some inexpensive cars hold value better than others; resale can offset a slightly higher purchase price.
• Financing: A low APR can be worth more than a small rebate; compare credit union and captive-lender offers.
• Incentives and taxes: State/municipal rebates, EV credits, sales tax rates, and registration fees can swing totals by thousands.

Looking at the full five-year cost picture often changes which car is truly the “cheapest” for your situation.

How to pay the least for a new car right now

Negotiation still matters—even on the lowest-priced models. These steps help you land a bottom-line number, not just a low MSRP.

1. Cast a wide net: Request out-the-door quotes from multiple dealers, including rural stores that may discount more.
2. Strip the build: Start with the base trim and remove dealer add-ons (paint protection, VIN etching, nitrogen) unless you truly want them.
3. Shop timing: End-of-month/quarter, bad-weather days, and previous model-year closeouts often yield the best deals.
4. Ask for written OTD quotes: Compare line items (price, destination, doc fee, taxes, registration) apples-to-apples.
5. Check financing separately: Get pre-approved with a credit union, then let the dealer try to beat the APR.
6. Consider demos/loaners: Lightly used service-loaner units can save thousands with full warranties.
7. Verify incentives: Stack manufacturer rebates, loyalty/conquest cash, and college/military programs where eligible.
8. Mind insurance and taxes: Get insurance quotes and account for local tax rates before signing.
9. Be flexible on color/options: Popular colors or packages can carry market premiums; flexibility widens your negotiating leverage.

Focus on the out-the-door number and be willing to walk away; that’s often the most powerful bargaining tool you have.

Bottom line

If you’re buying new in the U.S. today, the Nissan Versa is generally the cheapest car to purchase, with a starting price in the high-$17,000s before fees; leftover 2024 Mitsubishi Mirage inventory can be cheaper where it still exists. In many other countries, basic city cars cost significantly less, but they’re not U.S.-legal. For the absolute lowest cost of ownership, a well-vetted used compact from a reliable brand typically beats any new-car price, especially when you factor in insurance, fuel, and depreciation.

Summary

The cheapest new car varies by market and moment, but in the U.S. it’s usually the Nissan Versa right now. Globally, ultra-basic models can be far cheaper, though not available stateside. If minimizing spend is the priority, a reliable used car with low running costs is often the smartest “cheapest” choice.

What is the best time to buy a car?

The best time to buy a car is generally from October to December, especially near the end of the year, when dealers are focused on meeting sales quotas and clearing out outgoing model year inventory. Additionally, aim for the end of the month or quarter, as well as holiday weekends, when sales incentives are often available. 
Key Times to Look for Deals

• End of the Year (October-December): Opens in new tabThis is a prime time to buy because it’s the final opportunity for dealers to meet their annual sales targets and clear out previous model year inventory before the new models arrive. 
• End of the Month/Quarter: Opens in new tabSales teams often have monthly and quarterly quotas they need to meet, so they are more motivated to make a deal to reach their goals. 
• Holiday Weekends: Opens in new tabMajor holidays like Black Friday, Christmas, New Year’s, Memorial Day, and Labor Day often feature special sales events with significant discounts, according to Clearview FCU and We Buy Any Car. 

Other Tips for Finding a Good Deal

• Focus on Last Year’s Models: New car models are typically released in the fall. Buying the previous model year can result in substantial savings, as dealers are eager to sell them. 
• Look for Long-Stagnant Inventory: Check online for cars that have been on the lot for a longer period, as dealers are more likely to offer discounts on vehicles that haven’t sold. 
• Be Patient: If your plans align, waiting until December for a potentially better deal is a valid strategy, even if it means fewer choices. 

What car has the lowest price?

25 Cheapest cars in the Philippines

1. Bestune Pony- Starts at P588,000.
2. Toyota Wigo – Starts at P609,000.
3. Suzuki Dzire – Starts at P609,000.
4. Suzuki S-Presso – Starts at P634,000.
5. Changan Alsvin – Starts at P654,000.
6. VinFast VF3 – Starts at P645,000.
7. MG 3 – Starts at P678,000.
8. Toyota Vios – Starts at P686,000.

Which is the best car in the lowest price?

Top 16 Low Budget Cars in India

• Hyundai Grand i10 Nios.
• Maruti Suzuki Ignis.
• Tata Punch.
• Maruti Swift.
• Hyundai Exter.
• Citroen C3.
• Hyundai Aura.
• Mahindra XUV300. Available in a price range of ₹7.99-14.74 lakh, the Mahindra XUV300 is a compact SUV that offers a perfect balance of style, performance, and affordability.

What car brand is the most reliable?

While there isn’t a single universally “most reliable” brand, reports from Consumer Reports and J.D. Power consistently show Lexus, Toyota, and Subaru as leading brands for reliability. Lexus and Toyota are frequently praised for their long-term dependability and the high percentage of their vehicles that exceed 200,000 miles, while Subaru has also taken the top spot in some rankings for its exceptional overall vehicle dependability. 
Top Brands for Reliability

• Lexus: Opens in new tabAs Toyota’s luxury division, Lexus consistently scores high for reliability, with models like the ES and RX known for their durability and low issue rates. 
• Toyota: Opens in new tabKnown for its straightforward engineering and focus on durability, Toyota’s mainstream models like the Corolla and Camry are frequently cited for their ability to last for generations with proper maintenance. 
• Subaru: Opens in new tabSubaru often ranks at the top for its overall brand reliability, combining high dependability scores with owner satisfaction. 

Key Factors in Determining Reliability

• Long-Term Durability: Metrics like the percentage of vehicles that reach 200,000 miles indicate long-term reliability. 
• Predicted Reliability: Consumer Reports provides scores and predictions for new vehicles, which can help consumers choose models with a lower risk of problems. 
• Owner Satisfaction: Rankings that combine reliability scores with owner feedback provide a more complete picture of a brand’s overall quality.