Honorable Mention: 2020 Hyundai Venue
$17,350 | USN Overall Score: Not Currently Ranked
The 2020 Hyundai Venue is one of the newest entries in the fast-growing subcompact SUV segment. It’s so new that it’s not currently scored in our ranking of subcompact SUVs because its crash test scores are incomplete. Despite its low price, the Venue comes well-equipped with infotainment and safety technology.
Like many subcompact SUVs, the specs sheet says there’s seating for five, though it’s much more comfortable with just four. Its small stance makes it easy to maneuver, but it comes at the cost of cargo capacity, which trails segment peers.
On the plus side, the Venue gets great fuel economy, with EPA estimates of 27 mpg in the city and 35 mpg on the highway when equipped with the standard manual transmission. Opt for the available continuously variable automatic transmission, and the city rating climbs to 30 mpg, while you drop one mpg on the highway.
Every Venue comes standard with automatic emergency braking, driver drowsiness monitoring, and lane keep assist. Its 8-inch touch-screen infotainment system supports Android Auto and Apple CarPlay.
Honorable Mention: 2020 Chevrolet Spark
$13,220 | USN Overall Score: Not Currently Ranked
Even though it’s a veteran in the subcompact car segment, the 2020 Chevrolet Spark does not have a score in our new car rankings because it has not been fully crash tested. The Spark is Chevy’s smallest U.S. model, and its small size makes it a maneuverable urban warrior.
The four-seater won't set any speed records with its 98-horsepower four-cylinder engine, but it will keep going for a long time, due to its above-average predicted reliability score of four out of five.
Where the little Spark glows is its generous amount of standard technology. Each Spark comes standard with a 7-inch touch-screen infotainment setup that supports a 4G LTE data connection, an onboard Wi-Fi hot spot, Android Auto, and Apple CarPlay.
It’s one of the few cars left in the marketplace that still comes with manual door locks and crank windows, though power for both is available.
18) 2020 Mitsubishi Mirage
$13,995 | USN Overall Score: 4.9/10
The 2020 Mitsubishi Mirage is one of the cheapest cars you can buy in the U.S., but it’s still not worth the price. The Mirage is the lowest-rated model not only in our ranking of subcompact cars, but of any new vehicle sold today.
The five-seat Mirage hatchback and sedan are propelled by an anemic 78-horsepower three-cylinder engine that’s matched to either a five-speed manual or a continuously variable automatic transmission (CVT). Its interior is outfitted with materials reflecting the low price point. On the bright side, the Mirage does have an excellent powertrain warranty. However, its abysmal predicted reliability score of two out of five indicates you might need that warranty to keep the car on the road.
According to the EPA, the Mirage sedan earns fuel economy estimates of 35 mpg in the city and 41 mpg on the highway when equipped with the CVT. Estimates for the hatchback are 36 mpg in the city and 43 mpg on the highway. Both are excellent for non-hybrid vehicles.
We recommend you find an alternative to buying or leasing a Mirage.
17) 2020 Ford EcoSport
$19,995 | USN Overall Score: 6.1/10
The 2020 Ford EcoSport is an affordable option for shoppers looking for a maneuverable vehicle with generous cargo room in a small exterior package. While its urban-dwelling attributes are commendable, taking it out on the highway is far less rewarding.
Ford offers a pair of engine choices, including a 123-horsepower three-cylinder turbo or a four-cylinder that produces 166 horsepower. Neither are all that energetic or efficient, and both drone with an unrefined clatter under acceleration. Front-wheel drive comes standard, with all-wheel drive requiring the four-cylinder engine and pushing the price well over $20,000.
The base EcoSport comes standard with a 4.2-inch infotainment system with a pair of USB ports and an onboard Wi-Fi hot spot. You have to move up in trim levels to get Ford’s excellent SYNC 3 system, which has support for Apple CarPlay and Android Auto.
In our ranking of subcompact SUVs, the EcoSport holds a spot near the bottom of the list.
16) 2020 Nissan Sentra
$19,090 | USN Overall Score: 6.9/10
The 2020 Nissan Sentra is completely redesigned, with a new look inside and out, plus a host of newly standard advanced safety and driver assistance technology. Even with the redesign, however, the Sentra is still scored near the bottom of our compact car ranking.
Every Sentra now comes with the Nissan Safety Shield 360 package of advanced driver assistance and safety technologies. It includes reverse automatic braking, blind spot monitoring, automatic high-beam headlights, rear cross traffic alert, and forward automatic emergency braking with pedestrian detection.
Though an improvement from the previous generation’s 124-horsepower engine, the 2020 Sentra’s 149-horsepower four-cylinder engine and CVT still fail to inspire much confidence as you merge onto the freeway. Its five-seat interior is comfortable and modern, though taller passengers might feel their headroom squeezed when they’re in the back seat.
All but the base model get an 8-inch touch-screen infotainment system that supports Apple CarPlay and Android Auto. Base models use a 7-inch system with Bluetooth connectivity and a pair of USB ports.
15) 2020 Subaru Impreza
$18,695 | USN Overall Score: 7.5/10
The 2020 Subaru Impreza is the only sub-$20,000 car that comes standard with all-wheel drive. For $18,695, you get a roomy five-seat compact sedan with an engine that’s underpowered, but very efficient for a non-hybrid car. For $1,300 more, you can swap the standard five-speed manual transmission for a CVT.
While the manual gearbox allows you to wring every drop of energy out of the 152-horsepower flat-four engine, upgrading to the continuously variable automatic transmission gets you more than just dramatically improved fuel efficiency. CVT-equipped Imprezas come standard with Subaru’s EyeSight package of advanced driver assistance and safety technologies. It includes automatic emergency braking, lane keep assist, and adaptive cruise control.
The Impreza earns a spot near the bottom of our ranking of compact cars. While it does have some things going for it, its lousy predicted reliability rating of two out of five drags its ranking down.
14) 2020 Volkswagen Jetta
$18,895 | USN Overall Score: 7.7/10
The 2020 Volkswagen Jetta offers shoppers a smooth-riding sedan with handling that’s confident, even if its base 147-horsepower engine isn’t the strongest in the segment. As is often the case, however, the lack of oomph creates excellent fuel economy. It’s EPA-rated at up to 40 mpg on the highway.
Cabin space is plentiful and comfortable in the Jetta, even for adults in the back seat. The interior uses more hard plastics than many competitors, making it feel cheaper than it is. It comes standard with a 6.5-inch touch-screen infotainment system that supports both Android Auto and Apple CarPlay. Its 14.1 cubic feet of trunk space is ample for the segment.
Our compact car ranking shows the Jetta in the lower half of the list. While it has a higher predicted reliability rating than many class rivals, its lack of power and subpar cabin quality bring its overall score down. Volkswagen reduced the length of the 2020 Jetta's warranty, so if you can find a nearly identical 2019 on the lot, you should consider the older model.
13) 2020 Hyundai Accent
$15,295 | USN Overall Score: 7.7/10
The affordable 2020 Hyundai Accent offers a roomy interior for a subcompact car, good fuel economy, and plenty of tech features that can be added while staying under $20,000. The Accent earns a mid-pack spot in our ranking of subcompact cars.
You won’t set a land speed record with the Accent’s 120-horsepower four-cylinder engine, but you also won’t have to visit many gas stations with the sedan’s EPA estimated 33 mpg in the city and 41 mpg on the highway. The base model comes standard with a six-speed manual transmission and a basic infotainment system. Bumping up to the mid-range Accent SEL ($17,550) gets you the CVT that maximizes fuel efficiency and an infotainment system that supports Android Auto and Apple CarPlay.
In addition to an above-average predicted reliability score of 3.5 out of five, the Accent has a great warranty, with 10 years or 100,000 miles of powertrain coverage.
12) 2020 Nissan Versa
$14,730 | USN Overall Score: 7.7/10
Over the last couple of years, Nissan's mission has been to revamp its entire sedan lineup, redesigning both the Versa and Sentra for 2020. The 2020 Nissan Versa received a vastly improved interior, a modernized exterior design, and several high-tech safety features as standard equipment.
Every 2020 Versa comes equipped with lane departure warning, automatic high-beam headlights, reverse automatic braking, and forward automatic emergency braking. Optional tech upgrades include adaptive cruise control, driver attention monitoring, and a rear-seat reminder to let you know if you’ve left a child, pet, or cargo in the backseat.
While it’s certainly no rocket ship, the Versa’s power has been upped from 109 to 122 horsepower. A five-speed manual comes standard, and a CVT is available. The CVT is standard on upper trim models.
The Versa scores a mid-pack spot in our subcompact car ranking.
11) 2020 Nissan Kicks
$18,870 | USN Overall Score: 7.8/10
The 2020 Nissan Kicks is the brand’s smallest and most affordable crossover. The five-seat, front-wheel-drive-only SUV has plentiful cargo room compared to its peers and excellent EPA fuel economy estimates of 31 mpg in the city and 36 mpg on the highway.
Our ranking of subcompact SUVs shows the Kicks placed just below the segment leaders. It was a finalist for our 2020 Best Subcompact SUV for the Money award.
Like many vehicles in the Nissan lineup, it now comes standard with a host of advanced safety and driver assistance technology. Every Kicks is equipped with lane departure warning, blind spot monitoring, rear cross traffic alert, automatic high-beam headlights, and automatic emergency braking with pedestrian detection.
Though you can’t get Apple CarPlay or Android Auto on a Kicks that costs less than $20,000, you do get keyless entry, push-button start, three USB ports, and a 7-inch touch-screen infotainment system. The smartphone integration systems are available on upper trim Kicks models.
10) 2020 Toyota Yaris
$15,650 | USN Overall Score: 7.8/10
After years of shuffling names between the former Scion brand and Toyota, the Yaris family is once again united as the 2020 Toyota Yaris sedan and hatchback. Built by Mazda, this subcompact car is the smallest and least expensive vehicle Toyota sells in the U.S.
Despite its low price, the Yaris comes standard with low-speed automatic emergency braking. Its cabin is equipped with a 7-inch touch-screen infotainment system that includes support for Android Auto and Apple CarPlay. An onboard navigation system can be dealer-activated even after you purchase the car.
Though the 1.5-liter engine only produces 106 horsepower, the car is still fun to drive. It exudes some of the sportiest driving dynamics in the class, with tight steering and a suspension setup that doesn’t fear curvy roads.
In our ranking of subcompact cars, the Yaris earns a spot in the middle of the pack. It’s predicted reliability rating of four out of five is above average.
9) 2020 Toyota Corolla
$19,600 | USN Overall Score: 8.0/10
Since its birth in 1966, Toyota has sold more than 46 million Corollas worldwide. Now in its 12th generation, the 2020 Toyota Corolla’s base price is approaching the $20,000 mark. You still get considerable value for your dollar, with fantastic reliability, and loads of high-tech features.
Toyota equips every Corolla with Toyota Safety Sense 2.0. The package includes adaptive cruise control, automatic high-beam headlights, automatic emergency braking with pedestrian detection, and lane tracing assist, which helps keep the Corolla centered in its lane.
Our compact car ranking shows the Corolla scored in the lower half of the category. Its performance is hampered by an unimpressive base engine and an unrefined continuously variable automatic transmission. Its ride, however, is vastly improved from the car's previous generation.
8) 2020 Chevrolet Sonic
$16,720 | USN Overall Score: 8.0/10
The design of the 2020 Chevrolet Sonic has been around for quite a while. Still, Chevy has continually updated the subcompact sedan and hatchback through the years. Despite its age, it still holds a spot in the upper half of our subcompact car ranking.
Power for the Sonic comes from a lively 138-horsepower turbo-four. The standard six-speed manual was axed for 2020, making a six-speed automatic the only transmission offered.
While the Sonic is very light on standard and available safety technologies, its standard cabin tech is excellent. Every Sonic comes with the Chevrolet Infotainment 3 System, which includes support for a Wi-Fi hot spot, Android Auto, and Apple CarPlay. Both the sedan and hatchback have great cargo space, compared to class peers.
7) 2020 Hyundai Elantra
$19,150 | USN Overall Score: 8.1/10
The 2020 Hyundai Elantra is an affordable compact car with an above-average predicted reliability score, a fantastic warranty, and a long list of included safety and driver assistance features. Though in the last year of its current body style, it’s still a strong contender in the competitive segment.
As with many in the class, the Elantra foregoes strong acceleration for excellent fuel economy. It earns EPA fuel economy estimates as high as 31 mpg in the city and 41 mpg on the highway. Both the sedan and hatchback have responsive steering and confident, though not athletic, handling.
Hyundai equips every Elantra with automatic emergency braking, driver attention monitoring, and lane keep assist. It’s a 2020 IIHS Top Safety Pick.
The 2020 Elantra earns a mid-pack spot in our ranking of compact cars.
6) 2020 Kia Soul
$17,490 | USN Overall Score: 8.1/10
Fresh off its 2020 redesign, the 2020 Kia Soul earns a spot near the top of our subcompact SUV ranking. The four-door hatchback has a large cargo capacity, an interior that’s comfortable for even the tallest passengers, plus loads of standard safety and infotainment tech.
It’s the winner of both our 2020 Best Subcompact SUV for the Money award and a 2019 Best New Cars for Teens honor.
Kia offers a choice of two engines for the Soul, though the more powerful turbo moves the price closer to $30,000 than $20,000. The base Soul EX comes with a 147-horsepower four-cylinder that’s fitted with a six-speed manual transmission. A CVT is available for an additional $1,500. Though now classified as an SUV, the Kia is only available with front-wheel drive.
Every Soul comes with a touch-screen infotainment system that supports Apple CarPlay and Android Auto. In Souls with sub-$20,000 prices, the system uses a 7-inch screen.
5) 2020 Kia Rio
$15,850 | USN Overall Score: 8.1/10
If quality, efficiency, and a low price are high on your car-buying wish list, the 2020 Kia Rio should be on your shopping list. It's one of the higher-rated models in our ranking of subcompact cars, featuring both a fantastic warranty and an admirable predicted reliability rating of 4.5 out of five.
The Rio was a finalist for our 2020 Best Subcompact Car for the Money award.
Though not included as standard equipment, you can get a Rio hatchback or sedan with automatic emergency braking for less than $18,000. For 2020, Kia upgraded the car’s infotainment system. Now, every Rio comes with a 7-inch touch-screen system that supports Android Auto and Apple CarPlay.
The Rio lost 10 horsepower in its 2020 update and transitioned to a CVT to replace its six-speed automatic transmission. Though that’s not a recipe for fun, it is a formula for excellent fuel economy. According to the EPA, it's rated at 33 mpg in the city and 41 mpg on the highway.
4) 2020 Hyundai Veloster
$18,800 | USN Overall Score: 8.2/10
The 2020 Hyundai Veloster is a four-seat sporty hatchback with plenty of cargo room and an interesting trick up its sleeve to make its rear seat usable. There’s only one door on the driver’s side, but two on the passenger side, easing access to the back row.
Velosters you can buy for less than $20,000 include a 147-horsepower four-cylinder engine that's paired with either a six-speed manual or an optional six-speed automatic transmission. No matter which gearbox you choose, the car’s fuel economy is a bit below the segment average.
The Veloster comes standard with automatic emergency braking, lane keep assist, and driver drowsiness monitoring. It earned a Top Safety Pick award from the IIHS, and it holds a mid-pack spot in our ranking of compact cars.
3) 2020 Kia Forte
$17,890 | USN Overall Score: 8.3/10
The 2020 Kia Forte is the 2020 U.S. News Best Compact Car for the Money award winner. Its low starting price, above-average fuel economy, good predicted reliability score, and excellent warranty indicates that the Forte has what it takes to be affordable not just now, but throughout its life.
Adding to the car’s value proposition is a long list of standard equipment, including automatic emergency braking, lane keep assist, and driver attention monitoring. It was named a 2020 IIHS Top Safety Pick.
For less than $20,000, you can find a Kia Forte with either a six-speed manual or a continuously variable automatic transmission. The roomy sedan is powered by the same 147-horsepower four-cylinder engine found in many Kia and Hyundai models.
The Forte earns a spot in the top half of our ranking of compact cars. It’s held from a higher slot by its mediocre engine power and a ride that some might find overly harsh.
2) 2020 Honda Civic
$19,850 | USN Overall Score: 8.5/10
With a price that’s edging close to $20,000, this might be the last year that Honda’s venerable compact car makes this list. One of the original economy cars in the U.S. market, the Honda Civic has matured into a whole lineup of quality sedans, hatchbacks, and coupes.
The 2020 Honda Civic earns a spot near the top of our compact car ranking. It was a finalist for our 2020 Best Compact Car for the Money award.
For shoppers in the compact car segment, the Civic checks nearly every box. Not only does it have lively performance from all of its engine options, but it also handles well and gets good fuel economy for a non-hybrid. Compared to many segment rivals, the Civic’s interior feels more upscale, though there are still some hard plastics to be found. There’s plenty of room for up to five in most Civic models.
Standard features on the Civic include automatic emergency braking, adaptive cruise control, lane keep assist, and automatic high-beam headlights.
1) 2020 Honda Fit
$16,190 | USN Overall Score: 8.7/10
According to the U.S. News Best Cars overall rankings, the 2020 Honda Fit is the best vehicle you can buy for less than $20,000. It’s the top-rated car in our ranking of subcompact cars and the winner of our 2020 Best Subcompact Car for the Money award.
The subcompact Fit may be small on the outside, but it’s outfitted with an exceptionally versatile interior that can be configured for all shapes and sizes of cargo. Its EPA fuel economy estimates of up to 33 mpg in the city and 40 mpg on the highway are excellent. It has an above-average predicted reliability score of four out of five.
Though it doesn’t come standard, Honda’s comprehensive Honda Sensing package of advanced driver assistance and safety technologies can be found on the Fit EX, which is priced below $20,000. Every Fit is powered by a 1.5-liter four-cylinder engine that’s matched to either a six-speed manual or CVT.
More Shopping Tools From U.S. News & World Report
To learn more about the models on the previous pages, or any of the hundreds of other vehicles in the marketplace, head over to our new car rankings and reviews. Our comprehensive reviews aim to answer the questions shoppers tell us are critical to their buying and leasing decisions.
When you're ready to buy, we're prepared to help save you money. It starts with our guides on how to buy a car, how to finance your purchase, and how to lease. Our new car deals page will help you find the best financing and cash-back deals automakers are offering. If leasing's more your style, our lease deals page showcases offers with low monthly payments or little due at signing.
The U.S. News Best Price Program is ready to connect you with local dealers offering both buyers and lease shoppers with pre-negotiated prices. Buyers save an average of more than $3,000 when they use the program.
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20 Best New Cars for Under $20,000
- 2020 Honda Fit
- 2020 Honda Civic
- 2020 Kia Forte
- 2020 Hyundai Veloster
- 2020 Kia Rio
- 2020 Kia Soul
- 2020 Hyundai Elantra
- 2020 Chevrolet Sonic
- 2020 Toyota Corolla
- 2020 Toyota Yaris
- 2020 Nissan Kicks
- 2020 Nissan Versa
- 2020 Hyundai Accent
- 2020 Volkswagen Jetta
- 2020 Subaru Impreza
- 2020 Nissan Sentra
- 2020 Ford EcoSport
- 2020 Mitsubishi Mirage
- 2020 Chevrolet Spark
- 2020 Hyundai Venue
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Brilliant New Car Buys That Won’t Break the Bank
The list gets shorter each year, but you can still get a great new car for less than $20,000. You can even get a few SUVs without draining your wallet. Some of the vehicles in the sub-$20,000 club are scored at the top of their class in our new car rankings.
At that price, a new car with a full warranty is an excellent alternative to a used car. Of course, they're not all created equal. While some models are fantastic deals, a few models with low prices aren't worth your attention. On the following pages, we'll show you which ones deserve a spot on your shopping list.
We’ve listed all of the new cars available with prices below $20,000, starting with a couple of models that aren’t currently ranked in our system. We then count down from the worst to the best inexpensive vehicles you can buy, based on their U.S. News overall scores. In the case of ties, the car with the lower price gets the higher position.
For the first time, there are no pickups on this list. When the 2019 Nissan Frontier was updated for 2020, its base engine's elimination pushed its price to well over $20,000.
Note that our scores can shift as new information becomes available, so the scores you see on the following pages may not match those you see on each vehicle’s individual review page.