Price is a significant factor of consideration in car purchase decisions. Of course, there is an array of factors that complicate decision making—the infiniteness of car models, brand preference, fuel economy and whatnots. But when it gets right down to it, one of the ways to quickly streamline your options is to ask the question, “What can I afford?” If you’re asking what the cheapest car in Australia is, I get where you're coming from. Here's a quick guide for purchasing a cheap new car.
How much does a new car cost in Australia?
You would expect new cars to cost within the range of $74,000-$80,000, but it’s not difficult to find a cheap new car in Australia at $15,000, give or take. However, there's more to the car cost than the bill you pay at the dealership. Expenses like fuel, registration, insurance, maintenance, and servicing contribute to the ongoing costs of owning a car. And, unless you're in line for the Ms Rinehart fortune, they are worth looking into before (not after) you've purchased your vehicle.
What car is the cheapest to buy new?
So, to help you navigate the new car minefield, we have compiled a list of the five cheapest cars in Australia. In this summary, we have analysed each car's pros and cons in a bid to help you make a wise and economical choice.
1. Mitsubishi Mirage ES
The Mirage ES is a microcar, priced around $13,490. With a Mirage ES, you get to save on gas because it consumes a minimal 4.7L/100km. Powered by a 1.2L 3-cylinder engine on a five-speed manual transmission system, this five-door hatch boasts near-perfect handling. Mitsubishi offers a massive warranty of 5-year/ 100,000km mileage on the Mirage ES microcar.
With outstanding safety features, the Mirage has a five-star rating from ANCAP on safety. Although the lack of soundproofing means its loud engine intrudes a bit on your pleasant ride, the well placed and spaced interior aesthetically stands out. To round it up, the Mitsubishi Mirage ES was nominated the cheapest car by RACQ in 2019.
2. Kia Picanto S
The Picanto S is another very affordable microcar, with its price tag at $14,990. This small hatch is powered by a 1.2L petrol 4-cylinder engine on a five-speed manual gearbox. It passes as thrifty with a 5.0L/100km fuel consumption rate and an impressively tuned cruise and handling.
The Picanto S' interior is astonishingly roomy compared to the vehicle's tiny look from the outside. It's smartly designed with quality materials and an excellent infotainment system. The car boasts a set of robust safety features and a whopping 7-year warranty with unlimited KM is offered on the vehicle.
3. Honda Jazz
If interior extraordinariness is your pride, this might be the vehicle for you, even at a $14,990 price tag. With a 5-year unlimited-KM warranty and boasting a 5-star ANCAP safety rating, the car is worth every cent. It has got superior exterior styling and seating configuration. The Jazz is powered by a 1.5L 4-cylinder engine and consumes fuel at the rate of 6.2L/100km.
With an extra $2000, you can get a CVT-equipped vehicle model, which runs at 5.7L/100km. This vehicle's standard features include four airbags, anti-lock brakes (ABS), electronic stability control (ESC), reversing collision avoidance, and an electronic brake distribution system.
4. Honda City
For $15,990, you could get Honda City which is simply a Honda Jazz wearing a more conventional four-door body style. A few people prefer little sedans to hatches, and the Honda City is probably the ideal alternative in the compact B-segment class.
It has a 5-year unlimited-KM warranty and a 5.9L/100km fuel consumption rate. Although Honda city wears a similar fundamental mechanical package as the Jazz hatch, the vehicle somehow betters its sibling's fuel utilisation, even though it’s about 40kg heavier.
Standard security features include a double front, side chest, and side head airbags; anti-lock brakes (ABS); electronic brake dispersion (EBD); and electronic stability control (ESC).
5. MG MG3 Core
The MG3 Core, with an appealing style, is a $15,990 drive-away beauty. The Chinese-made vehicle is powered by a 1.5L 4-cylinder engine with an automatic four-speed drive. Unfortunately, this machine sips 6.7L/100km, making it the most fuel-consuming vehicle on our list. Another red flag with some buyers could be the absence of an ANCAP safety rating, although the car has a Euro NCAP rating of three stars.
The manufacturer offers an enormous 7-year unlimited-KM warranty on its purchase; this is one of the best offers on our list as far as warranty is concerned. Despite its three-star safety rating, the vehicle possesses six airbags, anti-lock brakes, active cornering control, emergency brake assist, and an electronic stability system.
Which state has the cheapest cars in Australia?
In Australia, people pay different prices for new cars in different states, proving that where you live has a significant impact on how much you'll end up paying for a vehicle. After in-depth research, we realised that the cheapest place to buy a new car is New South Wales, followed closely by Victoria. Below are two reasons why this is so:
- Competition: Nothing brings down prices like competition. With many automobile dealers in this state, there is another dealer just next door. This rivalry empowers buyers to push their bargain a bit harder and forces dealers to operate thinner margins.
- Logistics: The major ports and automobile structures are located in these states. Consequently, a large percentage of vehicles imported into Australia land in these states. Since transportation cost is less on every commodity to be brought in, dealers can sell in these states at a cheaper rate without hurting their bottom line.
I hope our list of the cheapest cars in Australia would help you in your search for a new car. The rising costs of owning a car can be a significant itch to one's finances. Therefore, it is advisable that when looking to purchase a vehicle, you look thoroughly.
Beyond the primary price tag, find out what it costs to keep the car on the road— repairs, servicing, parts, maintenance, and running will cost you. Even if it is a cheap new car, be sure the overhead won’t cost you your arm.
By Damilare Olasinde