What Counted as a “Cheap Car” in 1940

In 1940 America, the cheapest new cars were microcars like the Crosley (about $350–$450) and the American Bantam (roughly $400–$500), while the most affordable mainstream models—such as the Ford Standard, Chevrolet Master 85, Plymouth Roadking, and Willys 440—typically started around $600–$700. In today’s dollars, that’s approximately $9,000–$15,000. This snapshot reflects a market still recovering from the Depression, just before World War II reshaped production and pricing.

How “Cheap” Was Understood in 1940

In 1940, calling a car “cheap” usually meant it was a bare-bones, entry-level model with a small engine, simple trim, and few comfort or convenience features. Buyers traded power and amenities for affordability and economy. The very lowest prices came from ultra-compact microcars, while the Big Three’s base sedans and coupes offered full-size practicality at the lowest mainstream price points.

Notable Low-Priced New Cars in 1940 (U.S.)

The following models illustrate what buyers could expect at the bottom of the price ladder in the 1940 model year, from minimalist microcars to entry-level full-size sedans. Price ranges are typical list prices before freight, taxes, and options, which could raise the out-the-door cost.

• Crosley (1939–1942) — Typically about $350–$450 depending on body style; extremely small, lightweight, and basic. One of the absolute lowest-priced new cars you could buy at the time.
• American Bantam Model 60 (late 1930s–1940) — Often in the ~$400–$500 range; compact two-seaters and small sedans with frugal four-cylinder power. Another microcar alternative for rock-bottom pricing.
• Willys 440 (1940) — Around ~$630–$700 for base sedans and coupes; a budget-friendly conventional car with modest size and power, positioned below most Ford/Chevy/Plymouth trims.
• Ford Standard (1940) — Roughly ~$600 for a base two-door sedan; Ford’s entry-priced line beneath the DeLuxe range, offering full-size practicality with minimal trim.
• Chevrolet Master 85 (1940) — Commonly ~$650–$700 for basic coupes/sedans; Chevy’s low-price entry with straightforward equipment and a dependable six-cylinder.
• Plymouth Roadking P9 (1940) — Typically about ~$660–$700 for base two-door sedans; Chrysler’s value leader, known for solid engineering and restrained features.

Taken together, these choices defined the “cheap” end of the new-car market: microcars for the absolute lowest entry price, and stripped, full-size sedans for buyers who needed space and durability on a budget.

What Those Prices Mean Today

Adjusted for inflation, $1 in 1940 is roughly $22 in today’s money. That means a $400 microcar equates to about $8,800 now, while a $650 entry-level full-size sedan translates to about $14,300. Those figures help explain why many families still stretched purchases over time, bought used, or delayed upgrades—especially as employment and incomes were still normalizing after the 1930s.

Context Beyond the U.S.

In 1940, civilian car production in much of Europe was curtailed or redirected due to World War II, making “cheap car” comparisons tricky outside the U.S. In the U.K., for instance, models such as the Austin 8 or Morris Eight had earlier been budget-friendly, but wartime constraints drastically limited availability and distorted pricing and delivery timelines.

New vs. Used

While the question focuses on new cars, it’s worth noting that used vehicles were a major pathway to affordability in 1940. The lingering effects of the Depression kept a robust secondhand market alive, although condition, maintenance history, and local demand varied widely, making it hard to generalize prices.

Key Takeaways

The main points below summarize how “cheap” looked on 1940 showroom floors and what buyers got for the money.

• Absolute lowest new-car prices: microcars such as the Crosley and American Bantam, roughly $350–$500.
• Lowest mainstream choices: base models from Ford, Chevrolet, Plymouth, and Willys, typically $600–$700.
• Inflation context: those figures equal roughly $9,000–$15,000 today.
• Trade-offs: minimal features, modest power, and limited space for the least expensive options.

These dynamics show how automakers balanced cost, practicality, and features, giving budget-conscious buyers viable new-car options at the close of the prewar era.

Summary

In 1940, a “cheap car” in the U.S. meant either a microcar like the Crosley or American Bantam at roughly $350–$500, or an entry-level full-size model—Ford Standard, Chevrolet Master 85, Plymouth Roadking, or Willys 440—at around $600–$700. In modern terms, that’s about $9,000–$15,000, reflecting an era when buyers accepted fewer features and smaller engines to keep costs down just before wartime production changes reshaped the market.

What was the average price of a car in the 1940s?

The average price of a new car in the early 1940s was around $850 to $950, with lower-priced models from Ford or Chevrolet available for under $700 and luxury cars exceeding $2,000. For example, a 1940 Ford V-8 Deluxe coupe was about $650, while a 1942 Ford Super Deluxe cost around $920. 
Price variations by model:

• Entry-level: A basic Ford or Chevrolet sedan could cost under $700. 
• Mid-range: Models like the Ford V-8 Deluxe sedan were around $750. 
• Higher-end: A 1942 Ford Super Deluxe cost approximately $920. 
• Luxury: A high-end Packard 180 could cost over $2,000, and the first available air conditioning unit added about $275 to $310 to that price. 

Context of the times:

• The average annual wage in 1940 was around $1,368, making even the luxury Packard a significant purchase that cost more than the average American’s yearly salary. 
• During World War II, from 1942 to 1945, the production of new automobiles was halted for the war effort, so prices were largely for used cars. 

What was a popular car in the 1940s?

The 1947 Chevrolet Fleetline Aerosedan was Chevrolet’s most popular model in 1947. This car featured fastback styling which was in high demand in the 1940s. This led to increased sales. Learn all about the two-door 1947 Chevrolet Fleetline Aerosedan.

What was the first affordable car?

The first widely affordable car was the Ford Model T, introduced in 1908 and made accessible to the average American through Henry Ford’s revolutionary assembly line production, which significantly reduced costs. While initially a luxury item, the Model T’s price dropped dramatically over its production run, from $825 in 1908 to as low as $260 in 1925, making car ownership attainable for the middle class.
 
Key Features of the Model T

• Mass Production: The invention of the moving assembly line reduced the time and cost to produce a car from over 12 hours to just over 90 minutes, allowing for a significant drop in price. 
• Affordability: By 1925, the basic Model T cost only $260, a fraction of its original price and an amount many workers could afford, especially after Ford doubled his workers’ wages to $5 a day, enabling them to purchase the cars they built. 
• Impact on Society: The affordable Model T transformed transportation, making car travel available to the common person and leading to widespread use that connected rural Americans to cities and the rest of the country. 

Before the Model T

• Luxury Status: Opens in new tabBefore the Model T, cars were expensive novelties available only to the wealthy. 
• Other Early Cars: Opens in new tabWhile early cars like Karl Benz’s first model in 1885 and other American cars in the 1890s were available, they were not mass-produced or affordable for the average citizen. 

What was the cheapest car in the 1940s?

Willys-Overland automobiles started at $495 which was a great price for the average consumer. “The Willys for 1940 is presented to the public to meet the demand for a totally new low priced car, stylish and beautiful,” as stated in advertising campaigns.