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For 2025, affordable new cars and SUVs are becoming a rare breed, with only a handful of options under $25,000. And if you’re looking for a new car under $20,000? There’s just one left. Whether you’re hunting for value, reliability, or cutting-edge features on a budget, this guide covers every new car in 2025 that won’t break the bank.
What Drivers Like: Following the end of production for the Mitsubishi Mirage, the Nissan Versa is the last new car on sale in America with a starting price under $20,000. It’s what you’d expect for the cheapest car in America – affordable, basic transportation without the frills.
As new cars under $20,000 are on the verge of extinction, we’re forced to increase our budget. Without further ado, here’s every new car and SUV on sale today for under $25,000 (including mandatory destination fees).
What Drivers Like: In 2025, the Hyundai Venue is the cheapest SUV on sale in America. Drivers love the compact size for city driving, while the impressive standard features like an 8-inch touchscreen and advanced safety tech make it a well-rounded choice.
What Drivers Like: The Kia Soul stands out with its quirky design, flexible interior, and shockingly low price point. It’s perfect for drivers who prefer a car with character. Its unique styling, user-friendly tech features, and fun driving dynamics make it a favorite among young drivers.
What Drivers Like: If you’re searching for a cheap new car that doesn’t feel cheap, the 2025 Sentra is right up your alley. The seats are comfortable, infotainment simply works as it should, and the price is shockingly low for a new car in 2025.
What Drivers Like: Most of all, drivers love the price. Time and time again, car buyers have lamented the shift to premium cars, and the premium prices that come with it. Budget-friendly automakers like Nissan have been steadily increasing prices, but the cheaper version of the Kicks is sticking around as an affordable subcompact SUV for now.
What Drivers Like: The 2025 Elantra is a car that looks more expensive than it is, both inside and out. With options like faux leather, dual touchscreens, and three engines to choose from, there’s plenty of ways to customize your Elantra. The hybrid Elantra starts at $26,250, but nearly doubles fuel economy to 58 miles per gallon.
What Drivers Like: With the discontinuation of the Kia Forte comes the arrival of the K4. Kia wasn’t shy about their plans to basically rename the Forte with the big overall for 2025. With the new name comes even more value. The K4 is a huge hit with thoroughly modern looks and features, all for under $25,000.
What Drivers Like: The Nissan Kicks is fully redesigned for 2025. With better looks and all-wheel drive joining the lineup, a lot more shoppers will be test-driving the Kicks. The new Kicks is slightly larger in every way, giving this compact SUV more room for the driver and passengers alike. Drivers appreciate the 2025 Kicks for its modern design, roomy interior, available all-wheel drive, and most of all, the low price.
What Drivers Like: What’s not to love? The Corolla is known around the world for reliability, efficiency, safety, and overall great value. The Corolla Hybrid is one of the cheapest hybrid cars on sale in America, starting at just $24,960 with destination fees included.
What Drivers Like: Looking for something more than the Chevy Trax, but hoping to stay under $30,000? The Trailblazer offers a blend of sporty styling and practicality, with plenty of tech and safety features. Its more powerful engine option, optional all-wheel drive, and low price are top attractions.
What Drivers Like: The 2025 Subaru Impreza is one of the best values for a new car today. But the greatness doesn’t end there. Standard all-wheel drive, excellent safety ratings, and a generous interior make the Impreza a legendary budget choice.
Value: Buick’s Envista brings upscale comfort and refinement to the entry-level SUV segment. As a replacement for the less exciting Encore, Buick’s new base model is great for around town, but lacks the acceleration for regular highway driving.
What Drivers Like: Drivers enjoy its quiet cabin, smooth handling, and attractive exterior styling at an affordable price.
As car prices continue to rise, it’s refreshing to see that value-driven options are still available in 2025. From the only new car under $20,000 to feature-packed models like the Kia K4 and Subaru Impreza, there’s something for everyone at an affordable price point. Whether you’re looking for budget-friendly transportation or a stylish and dependable ride, these vehicles prove that great value is still within reach.
Looking for an affordable SUV in 2025? You’re not alone. With rising vehicle prices, finding an SUV under $30,000 that doesn’t skimp on features can feel like a challenge. But even in the era of rising car prices, there are still plenty of budget-friendly options out there. Whether you’re searching for a family-friendly crossover or a compact SUV perfect for city living, this guide highlights the best SUVs for 2025 that keep affordability front and center.
Here’s a look at all of the SUVs under $30,000 in 2025.
2025 Hyundai Venue
Base Price + Destination Fees: $21,395 – $24,645
Value: In 2025, the Hyundai Venue is the cheapest SUV on sale in America. The Venue offers an exceptional value for budget-conscious buyers looking for a practical subcompact SUV that comes loaded with modern tech.
What Drivers Like: Drivers love the compact size for city driving, while the impressive standard features like an 8-inch touchscreen and advanced safety tech make it a well-rounded choice.
Value: The Kia Soul stands out with its quirky design, flexible interior, and shockingly low price point. It’s perfect for drivers who prefer a car with character. However, it’s lacking the cargo space of larger crossovers on this list.
What Drivers Like: Its unique styling, user-friendly tech features, and fun driving dynamics make it a favorite among young drivers and bargain hunters alike.
Value: With the arrival of the fully redesigned Kicks for 2025, Nissan is keeping the previous generation Kicks in the lineup as a cheaper alternative, the 2025 Nissan Kicks Play. It’s compact, cheap, and offers great fuel economy for well under $25,000.
What Drivers Like: Most of all, drivers love the price. Time and time again, car buyers have lamented the shift to premium cars, and the premium prices that come with it. Budget-friendly automakers like Nissan have been steadily increasing prices, but the cheaper version of the Kicks is sticking around as an affordable subcompact SUV for now.
Value: The Nissan Kicks is fully redesigned for 2025. With better looks and all-wheel drive joining the lineup, a lot more shoppers will be test-driving the Kicks. But it’s not just about aesthetics. The 2025 Kicks is larger with 1.7 inches more front shoulder room, 1.9 inches more rear shoulder room, and 0.9 inches more knee room in the back. Ground clearance rises from 7 inches to 8.4, making this a better fit for snowy climates.
What Drivers Like: Drivers appreciate the 2025 Kicks for its modern design, roomy interior, affordable all-wheel drive, and most of all, the low price.
Value: Looking for something more than the Chevy Trax, but hoping to stay under $30,000? The Trailblazer offers a blend of sporty styling and practicality, with plenty of tech and safety features. The main advantage of the Trailblazer is that it’s available with all-wheel drive for under $30,000.
What Drivers Like: Its more powerful engine option, all-wheel drive, and value-packed low price are top attractions.
Value: Buick’s Envista brings upscale comfort and refinement to the entry-level SUV segment. As a replacement for the less exciting Encore, Buick’s new base model is great for around town, but lacks the acceleration for regular highway driving.
What Drivers Like: Drivers enjoy its quiet cabin, smooth handling, and attractive exterior styling at an affordable price.
Value: The Outlander Sport is a dependable choice for those who value affordability and versatility. However, it hasn’t changed much at all in the past decade. If you’re nostalgic for the early 2010s for some reason, this could be worth a test drive.
What Drivers Like: Its rugged design, high ground clearance (8.4 inches), and optional all-wheel drive make it a solid pick for some drivers.
Value: Toyota’s renowned reliability is at the heart of the Corolla Cross, which also features excellent fuel efficiency and a comfortable ride. However, many drivers say it performs like an appliance, and lacks the more lively character of competitors.
What Drivers Like: Buyers appreciate its roomy interior, proven reliability, and impressive resale value.
Value: The Kia Seltos combines eye-catching design, a spacious interior, and advanced technology in a compact SUV that costs well under $30,000.
What Drivers Like: Drivers love its responsive handling, customizable driving modes, and premium-feeling cabin. Like it’s sibling the Kia Soul, the Seltos offers a lot for the price.
Value: The refreshed Hyundai Kona offers a sporty drive (with the available 190-hp turbocharged option) and loads of standard features for its price.
What Drivers Like: Its bold design, high-tech cabin, and lively performance make it a favorite for urban commuters shopping the cheapest SUVs under $30K.
Value: The Mazda CX-30 delivers luxury-like refinement and sporty handling at an affordable price point. Plus, Mazda routinely brings low-APR financing deals to the CX-30.
What Drivers Like: Drivers rave about its premium interior, agile performance, and advanced driver-assistance features. It’s among the most luxurious SUVs on sale for under $30,000 in 2025.
Value: Featuring updated looks for 2025, the Taos now comes with a much-needed engine upgrade. The VW Taos combines European styling with practicality, all for around $30K.
What Drivers Like: Its spacious rear seats, intuitive tech, and smooth ride are major highlights. All-wheel drive is an option!
Value: The Honda HR-V offers a blend of reliability, efficiency, and practicality. Better yet, it’s expected to maintain decent resale value for years to come. We give it a rare A+ CarEdge Value Rating.
What Drivers Like: Buyers love its roomy interior, excellent fuel economy, and Honda’s reputation for making reliable cars.
Base Price + Destination Fees: $27,115 – $33,915
Value: Standard all-wheel drive and rugged capability make the Crosstrek a standout in the compact SUV market. However, it’s easy to spec the Crosstrek above the $30,000 mark.
What Drivers Like: Adventurers appreciate its off-road and all-weather readiness, ground clearance, spacious interior, and great resale value.
Base Price + Destination Fees: $27,295 – $34,395
Value: The Encore GX brings a premium feel to the compact SUV category with upscale features and a quiet ride. The Encore GX is much more feature-packed than the previous generation Encore. However, the Encore GX is lacking acceleration for the highway.
What Drivers Like: Drivers enjoy its refined interior, smooth handling, and impressive fuel economy in a compact SUV starting under $30,000.
Base Price + Destination Fees: $28,255 – $33,450
Value: The 2025 Eclipse Cross is an affordable SUV, but has nothing in common with the Eclipse sports car of yesterday besides inheriting the legendary name. But for those looking for standard all-wheel drive for around $30,000, the Eclipse Cross is worth the test drive.
What Drivers Like: All-wheel drive, spacious interior, affordability, and off-road capability are loved by fans of this Mitsubishi crossover.
Base Price + Destination Fees: $28,365 – $42,165
Value: For 2025, the Niro comes standard with a hybrid powertrain, providing fuel savings for all. There are also fully-electric and plug-in hybrid options.
What Drivers Like: The Niro is thoroughly modern inside and out, and much improved from the previous generation of the Niro. Fuel efficiency is a big plus.
Base Price + Destination Fees: $28,565 – $39,465
Value: The Kia Sportage is due for a major facelift in 2026, something that can be to the advantage of buyers looking to negotiate in 2025. Although lacking in power, the Sportage is well-equipped with infotainment and safety features.
What Drivers Like: Modern looks are complimented by a 12-inch infotainment screen, wireless smartphone charging, and heated front seats in the EX trim and up.
Base Price + Destination Fees: $29,645 – $39,605
Value: The Ford Escape is the cheapest Ford SUV on sale in 2025. It covers all the bases for drivers looking for a commuter car (or crossover), but it’s not the best at anything. Unfortunately, it will be discontinued later this year following 20 years in the Ford lineup.
Base Price + Destination Fees: $29,990 – $42,020
Value: The craziest thing about the Mazda CX-5 is that it’s still great, even after 7 years of production without a major refresh. All-wheel drive is standard, but fuel economy suffers as a result.
What Drivers Like: Affordable all-wheel drive, an engaging driving experience, and luxury-inspired interior are all loved.
Base Price + Destination Fees: $29,995 – $34,395
Value: Redesigned for 2025, the Chevy Equinox is more value-packed than ever before. After big upgrades, the 2025 Equinox has more in common with the larger Traverse.
What Drivers Like: While a CVT engine is standard, those who opt for all-wheel drive get a more powerful eight-speed automatic. The 2025 Equinox’s updated looks are a major leap ahead as far as aesthetics go.
Why spend more when you can get a fully redesigned, well-equipped crossover for well under $25,000? All things considered, we’ve chosen the 2025 Nissan Kicks as the best SUV on sale in 2025 for under $30,000.
With a base MSRP of just $23,220 with required destination fees, the 2025 Kicks is loaded with value. Now with more power, better looks, and a modern interior, Nissan’s new darling is already a hot seller. For the first time ever, all-wheel drive is available. To top it off, the 2025 Nissan Kicks is larger than the previous generation in every way, adding nearly 2 inches of additional shoulder room in the rear, and an inch of additional leg room.
Perhaps automakers will see the success of the 2025 Nissan Kicks, and put more sub-$30K SUVs on the market in the near future.
Congratulations! You’ve just bought a new car—paperwork signed, plates in the mail, and the open road ahead. Now, you’re wondering: do you really need a warranty for your brand-new ride? After all, isn’t it built to last?
Auto warranties can feel like a gamble. If you don’t need it, it seems like an unnecessary expense. But if you do, not having one can set you back thousands of dollars. For new car buyers, the decision is often clearer than you might think.
The purpose of a warranty is simple: pay a little now to potentially save a lot later. When purchased at the time of buying a vehicle, warranties typically come with the best rates and most comprehensive coverage. Let’s dive into why a warranty might be worth it for new car owners, especially those looking to keep their vehicles for years to come.
Why Warranties Matter for New Cars
Although it’s rare for a brand-new car to break down in its first year, time and mileage take their toll. Road conditions, driving habits, and even weather can put significant strain on your car’s components. As your car ages, the likelihood of breakdowns increases—and so does the cost of warranty coverage.
Buying a warranty at the time of purchase locks in lower rates because warranty providers view new car buyers as lower-risk customers. This is particularly valuable if you plan to keep your car for a long time. Waiting to purchase coverage years down the road will almost certainly mean higher costs for less favorable terms.
The True Cost of Waiting
Let’s compare Fred and George, two Toyota Corolla owners.
Fred’s Story: Fred just bought a 2025 Corolla with 100 miles on it. He opts for an extended warranty through CarEdge and secures eight years and 150,000 miles of coverage for $2,234. Driving 18,750 miles annually, Fred feels confident knowing he’s protected through the life of his car.
George’s Story: George bought his 2021 Corolla brand new but waited to explore warranty options until now, after four years and 75,000 miles. He looks for the same 150,000-mile total coverage but only needs four additional years. His quote? $3,445—55% more expensive than Fred’s, for half the coverage.
This example highlights a key benefit of buying a warranty early: locking in the best pricing and terms available. For drivers planning to keep their vehicles long-term, this decision can save thousands.
CarEdge + Fair: Comprehensive Coverage You Can Trust
At CarEdge, we’re committed to helping drivers save money and protect their investments. That’s why we’ve partnered with Fair, a trusted provider of extended warranties designed with drivers in mind.
With Fair’s extended warranties, perks like roadside assistance, fuel delivery, trip interruption coverage, and rental car reimbursement come standard. Fair guarantees transparency at every step, from their easy-to-navigate claims portal to a straightforward cancellation and refund process.
Here’s what sets Fair apart: they cover repairs up to the value of your vehicle. Unlike many warranty providers that cap coverage for major repairs, Fair ensures drivers get the protection they need without hidden limitations.
Peace of Mind for the Road Ahead
A warranty isn’t just about saving money—it’s about providing long-term peace of mind. By purchasing coverage when your car is new, you secure the best rates, the most comprehensive protection, and the confidence that your vehicle is ready for whatever comes its way.
With CarEdge and Fair, you’ll find coverage you can count on. Start protecting your investment today and drive with peace of mind knowing you’re covered.
Negative equity, or owing more on a car loan than the vehicle’s market value, continues to rise as inflationary pressures and long loan terms take their toll on car buyers. CarEdge, in partnership with Black Book, surveyed 474 drivers in Q4 2024 to uncover the state of vehicle equity. Here are the highlights and the broader implications for drivers, car buyers, and the automotive industry.
In Q4 2024, 39% of drivers who financed their vehicles were underwater—up from 31% in Q3, a 25% jump. For cars purchased since 2022, the situation is even worse: 44% of these buyers owe more than their car is worth. As depreciation accelerates and long-term loans become the norm, the risk of negative equity continues to grow. This trend highlights a troubling financial burden on drivers and poses risks for the broader auto market.
Drivers Overestimate Their Car’s Value
Our survey reveals that 60% of drivers believe their car is worth more than its actual trade-in value. Of these, 18% overestimate by $5,000 or more, and 7% by over $10,000. This disconnect leads many to carry negative equity into their next car purchase, perpetuating financial strain.
When drivers attempt to trade in or sell their vehicles, they often face the harsh reality of lower-than-expected offers, which can derail their car-buying plans. Unfortunately, many choose to roll over the remaining debt into their next loan. This practice, while common, leads to higher monthly payments and extended loan terms, keeping buyers in a cycle of financial vulnerability.
Long Loan Terms Drive Negative Equity
Loan terms significantly impact vehicle equity. Borrowers with 84-month loans face a median negative equity of -$8,485, while those with shorter 36-month terms have a positive median equity of $7,783. While longer loans make monthly payments more affordable, they also leave buyers trapped in equity-negative positions for years.
For many buyers, the appeal of lower monthly payments outweighs the long-term risks. However, as loan balances decrease more slowly with longer terms, these borrowers are more likely to face financial strain when attempting to sell or trade in their vehicles. Buyers who opt for shorter terms and make larger down payments tend to build equity more quickly, putting them in stronger financial positions.
EV Owners Are Most at Risk
Electric vehicle owners face the highest negative equity rates, with 54% underwater and a median equity of -$2,345. This makes EVs particularly vulnerable compared to gas and hybrid vehicles, which are more likely to have positive equity.
The rapid depreciation of EVs is a key driver of this trend. EV technology can become outdated quickly as newer models with improved range, charging speeds, and driver assistance features enter the market. Additionally, concerns about costly battery replacements and limited resale demand have led many buyers to prefer new EVs with warranties and a known history, further impacting the resale value of used EVs.
For EV buyers, understanding depreciation trends and factoring in long-term costs is critical to avoiding significant negative equity. Opting for shorter loan terms and considering potential incentives or tax credits can help offset some of the financial risks. Buyers who plan to hold on to their EVs for longer than just a few years are less likely to be impacted by negative equity with their auto loans.
What Does This Mean for 2025?
As we head into 2025, the issue of negative equity looms large for both consumers and the auto industry. For car buyers, rolling over negative equity into new loans can lead to long-term financial stress, reducing their purchasing power and limiting options. For the auto industry, high levels of negative equity could dampen trade-ins and slow new car sales, forcing automakers and dealerships to adjust their strategies.
Car dealers also face challenges when appraising trade-ins with negative equity. To close deals, dealers may need to discount new vehicles more aggressively or offer creative financing solutions, which can erode profit margins. Over time, high levels of negative equity in the market can disrupt the typical sales cycle
Navigating the Negative Equity Challenge
The Q4 2024 Negative Equity Report paints a clear picture of a growing issue in the car market. Drivers, car buyers, and the auto industry alike must address the challenges posed by rising negative equity.
CarEdge remains committed to empowering consumers with tools and insights to navigate today’s challenging car market. To avoid falling into the negative equity trap, car buyers should prioritize shorter loan terms, be familiar with expected car depreciation, and monitor used car values with tools like Black Book. Overcoming negative equity is possible when drivers make informed car buying and ownership decisions.
Two of Japan’s largest automakers, Honda and Nissan, are reportedly entering merger negotiations, as reported by the Nikkei newspaper. The talks aim to solidify their position in the rapidly changing global automotive market, where rising competition, high production costs, and the EV transition are reshaping the industry.
The potential merger would create a holding company for Honda, Nissan, and Mitsubishi Motors, of which Nissan already holds a 24% stake. Combined, these automakers would account for over 8 million vehicle sales annually—enough to challenge global giants like Toyota (11.2 million vehicles sold in 2023) and Volkswagen (9.2 million vehicles sold last year).
For now, both automakers have neither confirmed nor denied the report. Honda stated: “The reported content was not released by our company… We will inform our stakeholders of any updates at an appropriate time.” This cautious tone reflects the sensitive nature of the negotiations, but one thing is clear: if this merger proceeds, it will mark one of the largest shakeups in the auto industry since Fiat Chrysler merged with PSA Groupe to form Stellantis in 2021.
Nissan’s Dire Situation
While Honda enters these talks from a position of strength, Nissan’s struggles have been front and center. Earlier this year, Nissan reported a 99% drop in operating profits in the North American market. The automaker’s woes stem from:
Higher Prices: Sticker shock has pushed buyers toward competitors.
Falling Reliability: Consumer trust has waned in key models.
Tough Competition: Toyota, Hyundai, and Kia continue to dominate Nissan’s segments.
Adding to the urgency, Nissan reportedly has just 12 to 14 months of cash reserves left. To stay afloat, Nissan has drastically increased incentives to lure buyers. Popular models like the Rogue, Altima, and Pathfinder are now offered with deals like 0% APR financingand cheap lease specials—a trend we expect to continue well into 2025.
Honda Stands Strong In contrast, Honda’s financial health remains robust. International sales are growing steadily, and U.S. demand for Honda models, like the CR-V and Civic, remains strong. Unlike Nissan, Honda hasn’t needed to lean heavily on incentives to maintain momentum.
What This Means For Car Buyers in 2025
The Honda-Nissan merger talks come at a crucial moment for car shoppers. Here’s what you need to know:
Expect Big Nissan Deals to Continue: Nissan’s financial troubles mean ongoing incentives like 0% APR, cash discounts, and cheap leases on remaining 2024 and incoming 2025 models.
Honda Pricing Will Remain Firm: Honda is holding strong. Don’t count on significant discounts unless the merger drastically shifts their strategy.
Mitsubishi’s Future Is Uncertain: If included in the merger, Mitsubishi could see sweeping changes, potentially phasing out less competitive models.
The automotive market is evolving fast, and buyers stand to benefit from brands under pressure. Nissan, in particular, will remain highly negotiable as it fights to stay competitive. Stay tuned to CarEdge News for up-to-the-minute insights on deals, trends, and automotive news that matter to you.
