Average new car prices are around $50,000 according to CNBC. Luckily for drivers, there are plenty of cheap new cars under $25,000 that provide great value for the money.
Automakers Toyota, Chevrolet, Kia and more produce affordable small cars and subcompact SUVs that are great options for drivers in search of affordable transportation. Drivers don’t need to break the bank to buy a reliable daily driver with decent specs and standard features.
The 2025 Kia Soul is a cheap subcompact SUV that competes with models like the Nissan Kicks and Honda HR-V. It has a distinct boxy exterior styling and a surprisingly roomy interior.
Kia’s 2025 Soul starts at $20,490. It comes in four trim levels, all starting under $25,000.
The 2025 Kia Soul uses a 2.0-liter four-cylinder engine to produce 147 horsepower. It achieves 27 miles per gallon in the city and 30 miles per gallon on the highway.
The 2025 Chevy Trax is “one of GM’s most convincing offerings” according to Road & Track. It handles like a hatchback though its interior feels like that of a much larger SUV, says the automotive enthusiast website.
Chevrolet’s Trax starts at $20,500. It comes in five trims, all starting under $25,000.
The 2025 Chevrolet Trax uses a 1.2-liter three-cylinder engine to produce 137 horsepower. It earns 28 miles per gallon in the city and 32 miles per gallon on the highway.
The 2026 Nissan Sentra provides “lots of car for the money,” is “comfy and practical” and has a “vastly improved infotainment system” says a vehicle review by U.S. News & World Report. It’s an affordable small car that competes against popular models like the Toyota Corolla and Honda Civic when it comes to value.
Nissan’s small car starts at $22,600. It comes in four trims but only the S and SV ($23,370) models start under $25,000.
The 2026 Nissan Sentra uses a 2.0-liter four-cylinder engine to make 149 horsepower. It achieves 30 miles per gallon in the city and 38 miles per gallon on the highway.
Toyota’s small car is one of the most affordable new vehicles on the market. It may not be exhilarating to drive or the most stylish in its segment, but the Corolla is reliable and long-lasting.
The 2026 Toyota Corolla starts at $22,725. Its gas version comes in three trims but only the base model LE has a starting price under $25,000.
Toyota’s small car uses a 2.0-liter four-cylinder engine to produce 169 horsepower. The Corolla earns 32 miles per gallon in the city and 41 miles per gallon on the highway.
Subaru’s most popular new vehicles may be SUVs but its hatchback also offers great value for the money. The 2025 Subaru Impreza is a standard all-wheel drive hatchback that is great for commuters who value standard safety features and great traction.
Subaru’s Impreza hatchback ($24,360) comes in three trims but only the base model starts under $25,000. The final RS trim is nearly $30,000 and comes standard with a more powerful engine.
The 2025 Subaru Impreza uses a 2.0-liter four-cylinder engine to produce 152 horsepower. It earns 27 miles per gallon in the city and 34 miles per gallon on the highway. The year 2025 may not have been the best for new car prices but consumers still had plenty of affordable options to choose from thanks to popular automakers.

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