The cheapest new car of 2025: Everything you need to know

At the beginning of the year, Kelley Blue Book reported that the average price paid for a new car in the United States was $49,740. Around the same time, Edmonds reported that around 20% of new car owners were locked into paying at least $1,000 per month on their new vehicles. 

Clearly, buying a car new is not for the faint of wallet, especially as inflation continues to rear its head and auto tariffs continue to loom over a trade-warring America.

That being said, while many new cars cost north of $50k, especially when buyers opt for upgraded features or special editions, there do exist models whose price tags are so low they might make you do a double-take. 

But only one car can take the title of the year’s cheapest.

What is the most affordable new car of 2025?

In 2025, the cheapest-new-car distinction belongs to the Nissan Versa, which starts at just $17,190. That’s almost 33% below the average price of a used car, which is pretty remarkable, especially in today’s market. In fact, the Versa is the only new 2025 vehicle whose base model starts at under $20k.

Runners up include the Hyundai Venue and Kia Soul, which start at $20,200 and $20,490, respectively.

Related: The best 2025 cars under $25k based on Consumer Reports data

Quick facts about the 2025 Nissan Versa

• Price: $17,190–$21,190
• City MPG: 22 (with auto transmission)
• Highway MPG: 45 (with auto transmission)
• Overall MPG: 32 (with auto transmission)
• Full-tank range: 345 miles
• Fuel-tank capacity: 10.8 gallons
• Horsepower: Up to 122
• Torque: Up to 144 foot-pounds
• Basic warranty: 36 months or 36,000 miles
• Powertrain warranty: 60 months or 60,000 miles

Is the 2025 Nissan Versa a good car? Here’s what auto experts say

At a starting price like $17,190, car shoppers in the market for a brand new vehicle are understandably interested. But is the cheapest new car on the market actually a good buy? Is it a reliable vehicle that will stand the test of time, or is it likely to cost owners more than they saved on the ticket price in maintenance and repairs?

Here’s what the new car experts at Consumer Reports, Kelley Blue Book, Car and Driver, and Edmunds have to say:

Consumer Reports’ review of the 2025 Nissan Versa

Consumer Reports is a non-profit consumer advocacy organization that tests vehicles at its six-mile closed-course driving track and testing facility in Connecticut. It also surveys its millions of members annually about their own cars’ performance and any issues they’ve encountered.

Consumer Reports’ testers praised the Versa for its easy-to-use control panel and intuitive touch-screen infotainment system. The org also lauded the budget sedan for its included safety features, which include automatic emergency braking (AEB) and forward collision warning (FCW) system.

On the down side, however, the testers at CR were somewhat disappointed in the Versa’s acceleration on uphill climbs and in onto-highway merging situations. They also mentioned that the car’s build can result in a somewhat bumpy driving experience, especially on rough roads or when driving over large cracks or potholes.

Overall, however, Consumer Reports has a positive view of the Versa, especially for its incredibly low price, even giving it the sought-after “CR-recommended badge,” which means the vehicle in question met or exceeded the org’s expectations in terms of safety and quality.

Related: The most popular new cars according to Consumer Reports

Kelley Blue Book consumer reviews of the 2025 Nissan Versa

Kelley Blue Book, a more than century-old automotive research and valuation company, aggregates car owner reviews on its website. The 2025 Nissan Versa, as of this article’s last update, has 20 driver reviews on the site.

Overall, reviewers gave the Versa an average of four out of five stars, with 45% of respondents giving it five out of five stars, and 80% of respondents recommending the vehicle in general.

Here’s how it scored in specific areas:

• Value: 4.4/5
• Performance: 3.9/5
• Quality: 3.8/5
• Comfort: 3.9/5
• Reliability: 4.2/5
• Styling: 4.4/5

Car and Driver’s review of the 2025 Nissan Versa

Car and Driver, an automotive enthusiast publication, recommends the new Versa for drivers looking for basic transportation and good fuel economy on a budget.

The driver-focused magazine admits that the Versa doesn’t impress in terms of its performance, but it lauds the model for its comfort and accessibility, noting that it “doesn’t feel like a typical penalty box.”

The 2025 Versa also landed a spot on Car and Driver’s Editors’ Choice List, where it was named best subcompact sedan of the year

Edmunds’ review of the 2025 Nissan Versa

Edmunds, another online automotive research publication, had almost only good things to say about the 2025 Versa, although the outlet, like others, mentioned the model’s lackluster acceleration.

Edmunds praised the Versa for its spaciousness (for a small sedan), modern tech, and capable safety features, calling it a “smart choice” for anyone in the market for a budget subcompact.

Here’s how Edmunds scored the 2025 model across three categories:

• Performance: 7/10
• Comfort: 7.5/10
• Interior: 8/10
• Technology: 7/10
• Storage: 7/10
• Fuel economy: 8.5/10
• Value: 8/10
• Wildcard: 7/10

More automotive content: 

• Top 10 electric cars that aren’t Tesla, based on Consumer Reports data
• The best affordable fuel-efficient cars according to Consumer Reports
• The best new cars of 2025 according to Consumer Reports, KBB & Edmunds

The takeaway

There you have it — the auto experts and car reviewers have spoken. The 2025 Nissan Versa offers excellent value for its price, and if you’re looking for a small, basic car with good gas mileage and safety features, it’s a great choice. The number-one complaint testers have with the vehicle is its substandard acceleration, which can be a problem when merging onto highways or climbing hills.

If you’re looking for anything more capable than a basic, around-town sedan, look elsewhere. 

Related: How to buy a used car in 2025: A 6-step guide with tips