Australia’s current cost of living is a significant consideration to people looking to buy high-ticket items like vehicles and this has meant budget cars have become a go-to choice for many drivers. Whether you’re a new driver, a commuter or someone looking for a reliable family car, a budget-friendly vehicle is a good choice. It can provide a balance between practicality and price.
To help you out, we’ve put together a list of some of the top budget cars for sale in Australia. We’ve also added a few tips that can help you find the ride that fits both your needs and wallet.
Top Budget Cars Available in Australia
Finding the right budget car doesn’t mean sacrificing quality or features. From compact hatchbacks to eco-friendly options, there’s something for every driver and budget.
Below are some of our picks for budget quality cars available in Australia. We’ve divided our choices into categories to help you decide what fits your needs best. Note that this isn’t a sponsored post, so the vehicles listed below are presented with an unbiased perspective.
A. Top Picks for Small Cars
MG 3 Core
The MG 3 Core has made a name for itself as one of Australia’s most affordable cars. Price starts at $17,490 before on-road costs for the base Core automatic variant. This compact hatchback offers a stylish design, ample interior space and a reputation for reliability. Its fuel efficiency and ease of handling make it ideal for city driving.
Kia Picanto
This sporty, compact car is great for urban environments. With a price tag starting around $16,290 before on-road costs for the base S manual model, the Kia Picanto provides excellent value. It’s packed with modern tech and is known for its low running costs.
B. Affordable SUVs
Mitsubishi ASX GS (2WD)
Priced at around $25,490, the Mitsubishi ASX GS is one of the most affordable SUVs in Australia. It comes with a spacious interior, advanced safety features and a smooth driving experience. These features make it a great choice for families looking for an economical yet practical option.
Hyundai Kona
The Hyundai Kona combines style and substance in a compact SUV package. While the base model starts at about $30,000, its reliability, modern features and fuel efficiency make it a smart investment for budget-conscious buyers.
C. Reliable Sedans
Toyota Corolla Ascent Sport
Priced at $32,110, the Toyota Corolla Ascent Sport is a trusted option for those who prioritise longevity and efficiency. Its hybrid variant offers excellent fuel economy, while its build quality ensures minimal maintenance issues over time.
Hyundai i30 Active
The Hyundai i30 Active is another fantastic sedan option. It blends affordability with premium features. It’s equipped with advanced tech and comes with a spacious interior that makes it a versatile choice.
D. Eco-Friendly Budget Cars
Toyota Camry Ascent Hybrid
For those seeking budget electric cars that won’t break the bank, the Toyota Camry Ascent Hybrid is a good choice. Its hybrid system delivers exceptional fuel efficiency and reduced emissions. These make it a practical choice for long-term savings.
MG ZS EV (Electric)
Another one of the more affordable electric vehicles in Australia for environmentally conscious drivers is the MG ZS EV. It combines low running costs with modern features. It’s an electric alternative that goes for about $34,990 drive-away, making it one of the cheapest electric SUVs available.
Why Buy New vs. Used Budget Cars?
When considering a budget car, it’s worth weighing the pros and cons of buying new versus used:
- New Cars – These come with warranties, the latest safety features and no hidden history. The downside is they may have higher upfront costs.
- Used Cars – Buying used can save money upfront, but make sure to check the car’s history and condition to avoid unexpected repair costs. Reliable used cars that go for under $15,000 include models like the Toyota Yaris and Mazda 3.
Factors to Consider When Choosing a Budget Car
Before choosing from this list of budget cars, let’s first understand what makes a vehicle a good choice for budget-conscious buyers:
- Affordability – Consider the upfront cost and how it compares to others in the same category.
- Fuel Efficiency – A fuel-efficient car saves significantly on running costs.
- Features and Technology – Basic models often come with fewer features, but it’s worth comparing.
- Maintenance Costs – Choose cars with a reputation for reliability and low servicing costs.
- Resale Value – Vehicles that retain their value over time are a smart investment.
- Eco-Friendly Options – If reducing emissions is a priority, look into hybrid or electric vehicles within your budget.
Let Muscle Money Help You Find the Right Budget Car for Your Needs
With all of the options you have for budget cars in Australia, finding the perfect one may seem daunting. In reality, it isn’t. With options ranging from compact cars to SUVs to sedans, there’s a vehicle for every driver and budget. If you want to start your search today but don’t know where to begin, contact us so we can assist you.
Caleb Waye-Harris, Senior Manager of Asset Finance at Muscle Money, has almost 15 years of relevant experience in the finance industry. His extensive background includes project management, consumer and commercial lending and asset-based lending.
