New cars are more expensive than ever. Gone are the days of the value-led offerings for those with a limited budget – inflation, improved levels of safety and equipment and other factors drive the cost of new vehicles higher and higher.
In the not-too-distant past there was a wide variety of cars for less than $20,000, many below $15k as the ‘$14,990 drive-away’ deals helped build brands like Hyundai and Kia. These days you’ll need at least $21,190 to get yourself into a brand-new car from the showroom floor (and even then be careful which colour you pick).
So what are the cheapest new cars you can buy in Australia in 2025? We’ve scoured the market to give you a guide for those looking for something new that won’t break the bank.
1. Kia Picanto Sport: $21,190 drive-away
Kia made a name for itself in Australia making very affordable small cars, like the Rio and Cerato, but in recent times has evolved and emerged as a genuine mainstream brand. But it hasn’t completely abandoned its roots and still has the absolute cheapest new car you can buy in 2025.
The pint-sized Picanto may be small, but it’s a stylish and practical city runabout, ideal for your first new car or those looking for a cheap second family car. It has gone up dramatically since new, but still offers great value.
2. Chery Tiggo 4 Pro Urban: $23,990 drive-away
When Chery made its first attempt to crack the Australian market back in 2013, its hatchback at the time, the J1, started at a remarkable $9990 – making it the cheapest new car by some margin. That tactic failed and Chery left the Australian market for several years before returning as a very different company – albeit one that still offers affordable cars.
The new Tiggo 4 Pro is the cheapest SUV you can buy today and offers up nice styling, a roomy cabin and respectable on-road manners for that price.
3. Suzuki Swift Hybrid: $24,490 drive-away
Suzuki has long been a favourite for budget-focused shoppers with its emphasis on small, affordable cars. The Swift Hybrid may be a lot more expensive than the Swift was a decade ago, but that’s the price of progress.
The new Swift has a hybrid powertrain, to help save on your fuel bills, and comes with more safety than ever before. So the fact it still makes the list despite those advancements is a testament to Suzuki’s focus on affordability.
4. Suzuki Ignis: $24,490 drive-away
And just to ram home that point about Suzuki’s affordability, it also takes the next spot on our list. The tiny Ignis ‘SUV’ (it’s really a hatchback, but Suzuki calls it an SUV) is a price match for the Swift.
That means those with a limited budget should probably make the local Suzuki showroom their first place to visit when shopping for a new, small, cheap car.
5. Hyundai Venue: $25,990 drive-away*
Hyundai is desperately trying to shake off its image as a ‘budget brand’ and the fact that it’s cheapest model only just scraps onto our list is a sign of that working. Gone are the days of the wallet-friendly Excels and Accents, and instead Hyundai is offering a wider array of more premium products, including hybrids and EVs.
The Venue small SUV now fills the role of the entry point into the Hyundai range, but does so with more style and sophistication than the brand’s previous cut-price models.
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