Monday, March 4, 2013

10 Cheapest Cars for 2012

With fuel costs rising, car buyers are placing a renewed emphasis on fuel savings and higher efficiencies.

That means a bigger market for the subcompacts that offer the best mileage and lowest ownership costs, created by low initial cost of purchase as well as lower fuel use.

Needless to say, these cars are not for everybody. The Kelley Blue Book 2012 list of the top 10 vehicles with the lowest cost of ownership includes just one compact, the Hyundai Elantra: the nine others are subcompacts.

The cars are marketed largely for young people and, with most of them, "for anyone with pets or kids, it's tough to cram in," KBB analyst Alec Gutierrez says. They are generally intended "for a young adult or any adult who is not looking for sporty or roomy."

The offset is that the cars cost little to buy, operate and maintain. "With fuel prices as big a concern as they are today, and with so much talk about fuel efficient vehicles, we wanted to make sure we captured everything that goes into owning a car for five years," Gutierrez says. "For commuters, these are all fantastic options."
KBB surveyed the five-year total cost of ownership. It considered fair purchase price, relying on recent actual transactions from around the country, and then factored in fuel and other cost components. For maintenance, it used assumptions based on the cost of recommended scheduled maintenance. For repairs, it assumed the cost of a third-party extended warranty commencing when the original factory warranty ends.
In computing the price, KBB included the value of incentives, either rebates or financing, when applicable, although these are subject to change.

Here are the top 10:

10) Scion xD 

Scion xD is the 10th-lowest-cost car to operate, according to KBB, with a total ownership cost of $29,913 over five years.

The Toyota product "is similar to most Scion vehicles," Gutierrez says. "It's youth-oriented, it's fun to drive and it has excellent fuel economy."

The four-door hatchback has a manufacturer's suggested retail price of $16,075 and a fair purchase price of $15,689. It gets 27 miles per gallon in the city, 29 mpg combined and 33 mpg on the highway.



9) Kia Rio 

The Kia Rio is the ninth-lowest cost car to operate, according to KBB, with a total ownership cost of $29,862 over five years.

The Rio "is similar to the Hyundai Accent, based on the same architecture, and it is really economical on fuel," Gutierrez says.

The four-door hatchback has a manufacturer's suggested retail price of $14,150 and a fair purchase price of $13,513. It gets 30 miles per gallon in the city, 33 mpg combined and 40 mpg on the highway. KBB assumed financing at 1.9%.



8) Hyundai Elantra 
Hyundai Elantra is the lone compact car among the subcompacts on the list, and is the eighth-lowest-cost car to operate, according to KBB, with a total ownership cost of $29,498 over five years.

"Elantra is good for someone who can't quite climb into a subcompact and might want to make use of the rear seats," Gutierrez says.

The four-door sedan has a manufacturer's suggested retail price of $16,120 and a fair purchase price of $15,519. It gets 29 miles per gallon in the city, 33 mpg combined and 40 mpg on the highway. KBB assumed financing at 3.9%.



7) Honda Fit 

The Honda Fit is the seventh-lowest-cost car to operate, according to KBB, with a total ownership cost of $29,370 over five years.

"Fit is a perennial heavyweight in this segment," Gutierrez says. "It is maybe due for a redesign, since some of the competitors are newer. But it still gets 35 miles and still has a competitive price point."

The four-door hatchback has a manufacturer's suggested retail price of $15,945 and a fair purchase price of $15,441. It gets 28 miles per gallon in the city, 31 mpg combined and 35 mpg on the highway.



6) Ford Fiesta 

Ford Fiesta, the only Detroit product on the list, is the sixth-lowest-cost car to operate, according to KBB, with a total ownership cost of $28,639 over five years.

The new Fiesta began arriving in dealerships in 2010 after being absent from U.S. markets for two decades, and it is credited with helping Ford re-establish itself in California and other small-car markets. "It's been a good seller so far," Gutierrez says. "It gets 40 miles per gallon and it's very affordable."

The four-door sedan has a manufacturer's suggested retail price of $13,995 and a fair purchase price of $13,488. It gets 29 miles per gallon in the city, 33 mpg combined and 40 mpg on the highway. KBB factored in a $500 rebate and assumed a financing rate of 3.9%.



5) Mazda2 
Mazda2 is the fifth-lowest-cost car to operate, according to KBB, with a total ownership cost of $28,457 over five years.

Like the Fiesta, Mazda2 arrived in the U.S. in 2010 as its manufacturer sought a presence in the domestic subcompact market.

The four-door sport hatchback has a manufacturer's suggested retail price of $15,325 and a fair purchase price of $15,153. It gets 29 miles per gallon in the city, 32 mpg combined and 35 mpg on the highway. KBB factored in a financing rate of 0.9%.



4) Toyota Yaris 
Toyota Yaris is the fourth-lowest-cost car to operate, according to KBB, with a total ownership cost of $28,167 over five years.

Like the Honda Fit, the Yaris "is also a perennial heavyweight among subcompacts," Gutierrez says. "The two of them were unchallenged for a lot of years. They are very reliable and very easy on the wallet."

The two-door hatchback has a manufacturer's suggested retail price of $14,875 and a fair purchase price of $14,009. It gets 30 miles per gallon in the city, 33 mpg combined and 38 mpg on the highway.



3) Kia Soul 

Kia Soul is the third-lowest-cost car to operate, according to KBB, with a total ownership cost of $28,131 over five years.

The Soul "falls into the boxy subcompact segment, like Cube and Scion," Gutierrez says. "It's very youth oriented, a little sportier than some of the others."

The four-door sport wagon has a manufacturer's suggested retail price of $14,650 and a fair purchase price of $14,111. It gets 29 miles per gallon in the city, 32 mpg combined and 36 mpg on the highway. KBB assumed financing at 1.9%.



2) Hyundai Accent 

Hyundai Accent is the second-lowest-cost car to operate, according to KBB, with a total ownership cost of $27,743 over five years.

Redesigned for 2012, Accent "is part of Hyundai's overhaul of its U.S. lineup, and it's a significant improvement over the previous model," Gutierrez says.

The four-door sedan has a manufacturer's suggested retail price of $13,320 and a fair purchase price of $12,657. It gets 30 miles per gallon in the city, 33 mpg combined and 40 mpg on the highway. KBB assumed financing at 3.9%.



1) Nissan Versa 

Nissan Versa is KBB's lowest cost car to operate by a substantial margin, with a total ownership cost of $25,818 over five years.

The Versa "is the traditional segment leader," Gutierrez says. "It was also redesigned so it looks quite a bit nicer, and the cost is less than $12,000."

The four-door sedan has a manufacturer's suggested retail price of $11,770 and a fair purchase price of $11,093. It gets 30 miles per gallon in the city, 33 mpg combined and 38 mpg on the highway.

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Monday, February 25, 2013

Top 10 Cheapest New Cars You Can Buy


1. Nissan Versa Sedan: $10,990


And the cheapest car for sale in America is… the NissanVersa Sedan. Priced at $10,990 it’s $1,300 less than the old Rio and roughly $1,500 less than the stripped down 2012 Hyundai Accent. But make no mistake, this model isn’t glamorous. Rather than style and fancy options, the Versa instead offers a spacious cabin and solid fuel economy with a 109-hp 1.6-liter engine. With a solid 30/38-mpg that’s only for the CVT models which start at $12,760. The stripped-down 5-speed manual achieves 27/36-mpg. Thankfully the Versa hatchback isn’t as content-poor as the previous generation car and base models do come equipped with an AM/FM radio with a CD player and an auxiliary plug. Plus, you even get air conditioning.
Or if you’re feeling rich, there’s the Versa hatchback. It may have the same name, but riding on an entirely different platform and with a different 122-hp 1.8L engine costs significantly more. In fact, at $14,380 it ranks as the 12th cheapest car your hard-earned dollars will get you.

2. Kia Rio Sedan: $12,295


While the Rio 5-door is all new for 2012, the sedan has yet to be released. That said, with the older 2011 model still on dealership lots its price of $12,295 slightly undercuts the new Accent to make it the second cheapest car you can buy. But with outdated styling, a less fuel efficient engine and cramped quarters inside… why would you?

3. Hyundai Accent Sedan: $12,445



The Rio’s sibling, the HyundaiAccent, can be had for significantly less, priced from just $12,445 for the sedan model. That number isn’t often advertised, but can be had for a base model with no air conditioning or power options. You still get that 1.6 GDI engine with a solid 138-hp and a 30/40-mpg rating and it’s not terrible looking. The advertised car is $14,195 and is more liveable.
At one time the Accent hatchback used to be the cheapest car on the market at under $10,000 but not any more. Gone is the three door and the new 5-door hatch will now run you $14,595.

4. Smart fortwo Pure


At $12,490 the Smartfortwo is small in both size and price and comes in as the fourth cheapest car on the market. It’s also got the smallest engine of the bunch with a 1.0-liter 3-cylinder that makes a miniscule 70-hp.
Paying more for the vehicle’s uniqueness than anything else, the base model doesn’t come with air conditioning or a radio. While in Europe buyers of this car might want it for basic transportation, in North America its bought more by folks who can afford more but choose not to. That said, a stripped-down ‘Pure’ model might never have been sold on this side of the Atlantic.

5. Ford Fiesta Sedan: $13,200


A few years ago you’d expect a list like this to be filled with mostly domestic junk. But including the new Fiesta hatchback, priced from $13,200, there are only two American cars on our Top 10 Cheapest Cars list.
While the little Fordhatch really has its high points (including the $15,500 price of entry), unfortunately the sedan isn’t half as cool looking. Plus, with little in the way of rear seat room, one of the main reasons for getting the four-door is obsolete. Power does come from a 120-hp 1.6-liter engine and fuel economy is a solid 29/38-mpg even with the 5-speed manual.

6. Kia Rio 5-Door: $13,600


All-new for 2012, the Kia Rio 5-door shares its underpinnings with the Hyundai Accent hatch.Priced at $13,600 you get a high-tech direct-injection 1.6L that achieves best-in-class 30/40 mpg. An optional fuel economy package will add on a start-stop system to improve city mileage by one tick. A fine and affordable machine, the Rio is perhaps better bought with options, including some styling 17-inch wheels, UVO telematics system and navigation. There’s even a heated steering wheel. But all that will cost you. A lot.

7. Suzuki SX4 Sedan: $13,699


Maybe you thought we’d forgotten about Suzuki. Chances are, you forgot about them too. But here is the Japanese automaker’s sole entry on our list, the SX4 sedan. Priced at $13,699 you might not get amenities like air conditioning, but it does come with a potent 150-hp 1.8-liter engine and 8 airbags! If you need more space there’s also the SX4 SportBack, but it will cost you at $16,799 – which doesn’t even put it in the list of the top 20 cheapest cars.

8. Chevy Sonic Sedan: $13,735

One of the most exciting models on the list is the replacement to the lackluster Aveo, theChevroletSonic. Starting at $13,735 it’s a fine machine with a cool interior, lots of passenger and cargo room, standard alloy wheels, keyless entry, 10 airbags and even a hill-hold control system for 6-speed manual transmission models. The base engine is a 1.8L 4-cylinder with a 25/36-mpg rating. It will cost an additional $700 for the 1.4L Turbo with a 29/40-mpg rating. That price is only for the sedan model, with a hatchback at $14,635.

9. Kia Soul: $13,900

A surprise find on our list and the first model to break under the $14K barrier is the KiaSoul.
With plenty of design and a solid size it just looks more like a $20,000 crossover and not a $13,900 machine. While understandably basic, even the base Soul includes a 138-hp 4-cylinder that achieved 35-mpg on the highway, while all models get MP3 and USB connectivity as well as Hill-Start Assist Control to stop from rolling backwards on hills. Automatic transmission models retail for significantly more at $15,700.
While Korean automakers have improved their products considerably over the past few years, they aren’t hiking the prices… just yet. The Soul is just the first of three Kia models to make the list.

10. Toyota Yaris 3-Door: $14,115

You can sound polite and say “inexpensive” but if you’re strapped for cash, the most important question when shopping for a new caris: what’s the cheapest car on the market?AutoGuide has got the answer, along with the nine runners up.
Toyota‘s warmed-over Yaris makes the 10th spot on our list with a base price of $14,115 for the 3-door model. The pricier 5-door will run you $15,150.
Using a 1.5-liter 4-cylinder like many of its counterparts the Yaris makes 106-hp and is rated at 38-mpg on the highway making it one of the most efficient models in its class, but not the most efficient. Growing three inches overall, Toyota claims the new car has 68 percent more cargo room than the outgoing model, which it shares a near-identical resemblance with. Standard on all models is air conditioning, nine airbags and power windows.









Least Expensive Cars of 2013


1. Nissan Versa 1.6 S      $12,780 (including destination charge)
Nissan Versa front view
Good value? Yes
You might expect America's least expensive car to be rather dismal, but the Nissan Versa is a surprisingly capable family car, offering as much space as most mid-size sedans for a little more than half the price of a base-model Toyota Camry. The styling is homely and the interior is rather drab, but the Versa does come with air conditioning and a CD stereo as standard equipment, and the options are reasonably priced -- a top-of-the-line Versa with power windows and locks, an automatic transmission, alloy wheels, Bluetooth and navigation -- navigation, for goodness sake! -- still costs less than a stripped-down Honda Civic.
Read more: Nissan Versa review
2. Chevrolet Spark LS      $12,995
Chevrolet Spark
Good value? Yes, definitely!
The Spark is a brand-new entry on this list, but boy, what a welcome addition! This mini-car features cheeky styling, bold paint colors, and a tiny-but-eager engine, and its $13 grand price tag includes air conditioning, power windows, alloy wheels, and a whopping ten airbags -- and for those who don't want to drive a stick-shift, an automatic transmission priced at a reasonable $925. The Spark's small size makes it easy to park and a lot of fun to thread through crowded city streets, but it also feels solid and stable out on the open road, though you'll feel some of the cost-cutting in the way the suspension crashes over bumps. Still, it's a very likable car, one that epitomizes the concept of cheap-n-cheerful.
3. Smart For Two Pure: $13,240
Smart ForTwo Pure

Good value? Cheapest automatic car, but other than that... meh
Though few Americans seem to take the two-seat Smart seriously, it actually does make a decent entry-level car. Though sparsely equipped compared to the Nissan Versa and Chevy Spark -- crank-down windows, no stereo, and no air conditioning (the latter is available as a $740 option) -- the ForTwo Pure does come with an automatic transmission, roomy seating for two and a surprisingly spacious trunk. And the novelty factor is unbeatable! The herky-jerky transmission turns some drivers off (it's essentially a manual transmission that does all the clutching and shifting for you), but if you can get used to that, the Smart Fortwo is actually rather entertaining to drive -- if for no other reason than the fact that you can park it anywhere.
Read more: Smart Fortwo review
4. Ford Fiesta S: $13,995
Ford Fiesta
Good value? Yes, especially if you love to drive
The Ford Fiesta is one of my favorite inexpensive cars. Its sub-$14k price -- unchanged from last year -- includes air conditioning and an AM/FM radio with an auxiliary input jack, although the color palette is limited (white, black, gray or silver; the red car in the photo is a higher trim level) and you'll still have to crank down your own windows. What sets the Fiesta apart is the fun-to-drive factor, a rarity in such an inexpensive car. Designed in Europe, the Fiesta lives for curvy roads and delivers great fuel economy, even if you spring for the automatic transmission (a high-tech six-speed twin-clutch transmission priced at $1,095). The Fiesta is cute, cheeky and eager, a thoroughly lovable car.
Read more: Ford Fiesta review
5. Kia Rio LX: $14,350
Kia Rio LX
Good value? Yes
One of the problems with cheap cars is that a lot of them look like cheap cars -- and who needs a constant reminder that their income isn't quite up to Mercedes levels? That's why I like the Kia Rio. Its smooth, modern styling belies its $14,350 price tag, and it has the same upscale look and feel on the inside as it does on the outside. And if you prefer a hatchback to a sedan, you'll be pleased to learn that Kia charges only $200 more for the 5-door over the 4-door -- a fraction of the premium that Nissan and Ford charge for the hatchback versions of the Versa and Fiesta. All Rios come with a fuel-efficient engine, air conditioning, and CD stereo with USB input jack as standard, although if you want anything else (besides an automatic transmission) you'll have to buy a more expensive model. Still, the Rio is a very good deal on a very grown-up car.
Read more: Kia Rio review
6. Chevrolet Sonic LS: $14,995
Good value? Yes
For years, Chevy held down a place on this list with the hapless Aveo; now they are the only manufacturer with two cars, the aforementioned Spark and the Aveo's replacement, the Sonic. While the Aveo was cheap and cheesy, the handsome little Sonic is a substantial car, with plenty of power from the base model's 1.8 liter engine and an interior that feels like it was built with parts from GM's more expensive cars. The base-model Sonci includes air conditioning, alloy wheels (a nice change from the plastic wheel covers found on most cheapmobiles) and the protection of ten airbags, more than most high-end luxury cars. The Sonic has a firm ride and a distinctly sporty demeanor, though it lacks the raw fun factor fo the Ford Fiesta. But unlike the Fiesta, which is hecho en Mexico, the Sonic is an American car that is actually built in America -- in fact, it's the only car on this list to wear the "Made in USA" label.
7. Toyota Yaris L 3-door: $15,130
Toyota Yaris
Good value? Not particularly
For years, the Yaris was one of my cheap-car picks, thanks to its cute styling, easy-to-park size, legendary reliability, and excellent value-for-money. Toyota redesigned the Yaris last year, and while the first three attributes remain, the value isn't what it once was. Toyota now charges over 15 grand for a base-model 3-door Yaris, which includes air conditioning, a USB-compatible stereo, and nine airbags -- not bad, until you consider that the Chevrolet Spark gives you all that plus alloy wheels, power windows, and an extra airbag and two extra doors for $2,135 less. The Yaris is still a very good car; it's just not the bargain it once was.
Read more: Toyota Yaris review
8. Kia Soul Base: $15,175
Kia Soul
Good value? Only with a manual transmission
The Kia Soul Base is one of my favorite cheap cars, offering cutting-edge style and a lot of standard equipment (air conditioning, power windows, locks and mirrors, and an iPod-compatible stereo) for just over fifteen grand -- an outstanding bargain. But there's a catch: The optional automatic transmission is priced at a whopping $1,800, roughly double the going rate. (That said, it's still $1,600 cheaper than an automatic Nissan Cube.) Even with the overpriced automatic, the Soul still gives you a lot of car -- and a lot of style -- for the money.
Read more: Kia Soul review
9. Hyundai Accent GLS: $15,320
Hyundai Accent sedan
Good value? Not compared to other cars on this list
For 2013, Hyundai has eliminated the "phantom" $13,000 Accent (a stripped-down model with no A/C or stereo that was all but impossible to find); the cheapest Accent now has air conditioni ng and a CD player, with an automatic transmission priced $1,000 higher. The Accent is a good enough car, with handsome styling and a back seat that offers generous legroom (but is a bit stingy on headroom). But at $15,000, it's just not a great bargain -- theChevrolet SonicKia Rio, and Nissan Versa all offer similar or more equipment for less money.
10. Mazda2 Sport: $15,515
Mazda2
Good value? Not really
The Mazda2 is a distant relative of the fourth-place Ford Fiesta, but the two cars couldn't be more different in character. Cute as it is on the outside, the Mazda2 has a surprisingly grown-up feel on the inside, thanks to the quality of its interior materials (significantly better than most cheap cars, even the Kia Rio) and a smooth, quiet ride -- so smooth and quiet that it's easy to forget you're driving Mazda's entry-level car. The Two's small size makes it easy to park but not much good for hauling passengers. The long standard equipment list includes power windows, mirrors and locks and air conditioning, but at well over $15k, it's rather pricey for such a small car.
Read more: Mazda2 review

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