The Top Affordable Cars in the U.S. for 2024: A Detailed Look
In today’s automotive market, the list of budget-friendly cars in America is rapidly shrinking. Defining "cheap" can differ greatly among buyers, but for the purpose of this article, we’ll set our threshold at $20,000. Interestingly, if you can stretch slightly further to $23,000, a handful of solid options such as the Kia Forte, Kia Soul, Nissan Sentra, Subaru Impreza, and Volkswagen Jetta come into play.
Even in 2024, there are still a few new cars that you can find below the $20,000 mark on dealership lots.
Best New Car Under $20,000: 2024 Nissan Versa
2024 Nissan Versa Highlights:
- Starting from: $17,405
- Horsepower: 122 HP
- Transmission Options: Five-speed manual or CVT
- Fuel Economy: 30 mpg (manual), 35 mpg (CVT)
- Pros: Inexpensive, good styling, fuel-efficient with CVT, quiet and comfortable
- Cons: Only available as a sedan, manual transmission is less efficient
The 2024 Nissan Versa stands out as the most economical new car available. Starting at $17,405, it provides a spirited driving experience with its 122-horsepower engine. Available in both a five-speed manual and a continuously variable transmission (CVT), the Versa offers a comfortable ride with decent interior and exterior styling. However, for those seeking a hatchback, the Versa won’t meet that requirement as it’s only available in sedan form.
Further New Car Options Under $20,000
2024 Mitsubishi Mirage
- Starting from: $18,110
- Horsepower: 76 HP
- Transmission: CVT
- Fuel Economy: Up to 39 mpg combined
- Pros: Very affordable, highly fuel-efficient
- Cons: Extremely slow, lackluster driving experience
The 2024 Mitsubishi Mirage is the second most affordable new car, priced at $18,110 including a required "Welcome Kit”. Although it has improved slightly from older models, the Mirage’s weak engine performance and poor handling make it less desirable than competitors like the Versa. However, its excellent fuel economy is a silver lining.
2023 Kia Rio
- Starting from: $17,905
- Horsepower: 121 HP
- Transmission: CVT
- Fuel Economy: 36 mpg combined
- Pros: Affordable, available in sedan or hatchback, good handling, very efficient
- Cons: Slightly slow, somewhat stiff ride
Listed as a 2023 model, the Kia Rio is another budget-friendly option. Starting at $17,905, the Rio offers both sedan and hatchback variants for versatility and extra cargo space. Although its performance isn’t striking, it boasts efficient fuel consumption and nimble handling.
Best Used Cars Under $20,000
Given the limited number of new cars under $20,000, used vehicles become a viable option. Here are some excellent pre-owned choices:
2016-2019 Chevrolet Volt
- Type: Plug-in hybrid
- Electric Range: 50+ miles
- Pros: Excellent efficiency, modern technology, comfortable and quiet
- Cons: Potential for expensive repairs due to dual powertrains
2019-2020 Toyota Corolla Hatchback
- Pros: Reliable, sporty design, available manual transmission
- Cons: Smaller size, higher resale value
2019 Ford Fusion
- Pros: Larger size, comfortable, well-equipped
- Cons: Ford no longer produces sedans, so parts may be harder to find in the future
2019-2020 Honda Fit
- Pros: Roomy interior, fun to drive, optional six-speed manual
- Cons: Discontinued in the U.S. after 2020
2019-2020 Volkswagen Jetta 1.4T
- Pros: Fuel-efficient, spacious, European styling
- Cons: Limited stock of manual transmission variants
2018-2019 Kia Sportage
- Pros: Practical, good value, decent options
- Cons: High demand can limit availability
2020-2021 Kia Soul
- Pros: Funky design, good personality, versatile
- Cons: Not the most fuel-efficient, distinct style may not appeal to everyone
2020-2021 Hyundai Venue
- Pros: Stylish, high-roof versatility, decent fuel economy
- Cons: Small cargo space, front-wheel drive only
2020-2021 Subaru Impreza
- Pros: Roomy, standard all-wheel drive
- Cons: Sluggish, manual transmission models are rare
Conclusion
In today’s tight budget, the continuously shrinking list of cars under $20,000 may seem daunting. However, options such as the 2024 Nissan Versa, Mitsubishi Mirage, and Kia Rio provide viable new-car solutions for the economical buyer. Additionally, leveraging the used car market opens doors to a variety of practical and fun vehicles that won’t break the bank. For further updates on affordable automotive options, visit Automotive.fyi or follow us on Twitter @automotivefyi.
Michael Cole, Editor of Automotive.fyi
