Summary

  • The article provides a list of the 20 best cars under $35,000 for the 2022 and 2023 model years, offering options ranging from crossovers to sedans to SUVs and cars from premium brands.
  • The Toyota Corolla, Honda Civic, Hyundai Sonata, Chevrolet Camaro, Subaru Outback, Toyota Camry, and Nissan Altima are highlighted as affordable and practical choices within this price range.
  • These vehicles offer a range of features, engine options, fuel economy, and driving dynamics to suit different preferences and budgets, making them appealing choices for those in the market for a new car.

If you are in the market for a new car, there are plenty of options available today. The price bracket doesn’t matter, because you have multiple offerings right from $20,000 budget runabouts to million-dollar supercars, and even beyond that. The only difference is that the options are a lot more when you’re in the mass market segment, especially under $35,000.

There’s no denying that the higher the choices, the more it can confuse a person. So, to help sort things for you to a certain extent, we’ve come up with a list of the 20 best cars under $35,000 for the 2022 and 2023 model years, and it includes vehicles ranging from crossovers to sedans to SUVs, and even cars from premium marques.

Updated August 27, 2023: Though new car prices continue to rise, there are still plenty of great options under $35,000, and as such, we've updated this article to add 2023 models that are appealing cars for those on a budget. Our update includes some of the best 2023 sedans, and sports cars, and a few SUVs available, that won't break the bank.

RELATED: 10 Best Manual Cars To Buy In 2022

20 2024 Toyota Corolla

From $21,700

2023 Toyota Corolla
Toyota

The 12th generation of Toyota’s bestseller still enjoys great success. Moreover, Toyota’s recent models show that the brand wants to put excitement back into its models, and the Corolla is no exception. Between the rally-bred, GR Corolla and the sensible Corolla hybrid, there is a sweet spot. It comes in the form of the Corolla SE, also known as the Corolla Sport in Japan. Its naturally-aspirated, M20 engine is the baseline for the GR Supra’s base turbo-four.

Specifications

Engine

2.0-liter four-cylinder

Horsepower

169 horsepower

Torque

155 pound-feet

Transmission

CVT

Drive Layout

Front-wheel-drive

Fuel Economy (city/highway/combined)

32/41/35

Starting Price

$21,700

The Corolla comes in a frankly exhaustive array of trims. From the more mundane LE-based trims to the sportier SE trims, coupled with a variety of powertrains and the optional all-wheel drive, means there's a Corolla for everyone. This popular mainstream compact sedan soldiers on in an era dominated by SUVs.

19 2022 Honda Civic

From $22,550

Red Honda Civic Sedan
Honda

How can we not start our list with one of the most popular cars to have graced our planet? As a mainstream Honda model spanning several generations, the 2022 Civic marks the debut of the 11th-gen model, which, surprisingly, is a lot more understated than anyone would’ve expected. Some call it boring, some call it mature, but we’ll let you be the judge. What we care about is how the Civic is as an overall package. The neutral looks (at least to me) hide a pretty well-balanced car that offers something for almost every potential customer in this segment.

Specifications

Engine

1.5-liter, turbocharged four-cylinder

Horsepower

180 horses at 6,000 rpm

Torque

177 pound-feet between 1,700- and 4,500 revs

Transmission

CVT

Drive Layout

Front-wheel-drive

Fuel Economy (city/highway/combined)

33/42/36 mpg

Starting Price

$22,550

It is offered in four trims, with even the most expensive trim priced under $30,000. It comes with things like a nine-inch touchscreen infotainment system, wireless Apple CarPlay and Android Auto, dual-zone climate control, etc. The base trims come with a 2.0-liter, four-cylinder engine, whereas the top trims are powered by a turbocharged four-pot mill that displaces 1.5 liters. The 2022 Civic now also comes with a host of driver-assistance features and a whole lot of other meaningful upgrades that make it one of the best cars in the segment. The 2022 Honda Civic starts at $22,550 and tops out at $29,150.

18 2023 Hyundai Sonata

From $25,250

2023 Hyundai Sonata gray
Hyundai 

The Hyundai Sonata’s styling stands out from the crowd, and the compact sedan is solid overall, providing everyday practicality, a long list of standard features, good driving dynamics, and an agreeable price throughout its range. In fact, the top trim of the Sonata, the extremely well-equipped Limited version, barely crests the $35,000 mark at $35,125. All Sonatas come with a suite of active safety features that include forward collision warning with automatic braking, adaptive cruise control, rear cross-traffic alert, and other amenities.

Specifications

Engine

2.5-Liter Four-Cylinder

Horsepower

191 Horsepower

Torque

181 pound-feet

Transmission

8-speed automatic

Drive Layout

Front-wheel drive

Fuel Economy (city/highway/combined)

23/33/27

Starting Price

$25,250

The sedan also sports heated front seats, a 10.25-inch touchscreen, navigation, satellite radio, dual-zone automatic climate control, and other desirable comforts as standard just above its base trim. The cabin is nicely appointed with a look and feel that is far more upmarket than its price might suggest, and there is also plenty of passenger space, a sizeable trunk, and Hyundai’s warranties are class-leading.

Related: Top 10 Best Practical Sports Cars Under $30,000

17 2023 Chevrolet Camaro

From $25,800

A front 3/4 action shot of a 2016 Chevrolet Camaro on the road
Chevrolet

Here's the kicker: For way under $35,000, you can get into the Pony/Muscle car segment. The sixth-generation Chevy Camaro is due to be discontinued after 2024 and what comes after is confirmed to involve electrification, which means now is your last chance to get your hands one of these.

For the starting price of $25,800, you will have to settle for the base, 2.0-liter, turbocharged inline-four, but you can upgrade to the LGX, 3.6-liter V-6, which packs 335 horsepower and sprints to 60 mph (97 kn/h) in 5.2 seconds while managing a quarter-mile time of around 13.8 seconds.

Specifications

Engine

2.0-liter, turbocharged four-cylinder

Horsepower

275 horsepower at 5,600 rpm

Torque

295 pound-feet at 3,000-4,500 rpm

Transmission

Six-speed manual/ Eight-peed automatic

Drive Layout

Rear-wheel-drive

Fuel Economy (city/highway)

20/30/23 mpg

Starting Price

$25,800

The cheapest V-8 Camaro starts at $35,800 MSRP, which doesn't account for dealer markups. In 2016, the Camaro received GM's Alpha platform, which infused a much-needed dose of athleticism, allowing Chevy's Pony car to rival the Europeans around a track.

16 2022 Subaru Outback

From $27,645

Red Subaru Outback
Subaru 

There’s no denying that wagons are arguably the most practical breed of vehicles out there. So, how could our list not contain a wagon? We’ve picked this Japanese wagon because it features a rugged look and gives you the confidence to take it on any terrain without thinking twice. The Subaru Outback looks tough on the outside, offers a healthy ground clearance, comes with a spacious cabin, and starts at under $35,000. The 2022 Outback is offered across eight trims, thus catering to a wide audience.

Specifications

Engine

2.5-liter, four-cylinder

Horsepower

182 horses at 5,800 rpm

Torque

176 pound-feet at 4,400 rpm

Transmission

CVT

Drive Layout

All-wheel-drive

Fuel Economy (city/highway)

32/26 mpg

Starting Price

$27,645

While half the lineup is powered by a 2.5-liter, naturally aspirated four-cylinder engine and the other half with a 2.4-liter, turbocharged four-pot mill, both the options come with all-wheel-drive as standard. But, if you’re looking for a car that can fill your adrenaline cravings occasionally, look elsewhere. Both the engines are far from enthusiastic and the CVT just makes matters worse. The 2022 Subaru Outback can tow up to 3,500 pounds on the turbocharged engine and 2,700 pounds on the Outbacks mated to a naturally aspirated mill. Three of its trims fall under the $35,000 bracket, thus making the Subaru Outback a strong contender in this list.

15 2024 Toyota Camry

From $27,760

Front 3/4 photo of a silver 2023 Toyota Camry Hybrid XSE
Photo credit: Toyota

Nothing epitomizes dependable, mid-size sedans quite like the Toyota Camry. The nameplate dates back to 1979 and is still going strong, 12 generations later. Based on the TNGA-K platform, it shares its chassis with many of Toyota and Lexus’s larger models, including the Alphard, Crown, Lexus ES, NX, RX, and others. The generous interior space features a seven-inch infotainment screen, which can be upgraded to a nine or 10-inch. Bluetooth connectivity, Android Auto, and Apple CarPlay are also standard.

Specifications

Engine

2.5-liter four-cylinder + electric motor

Horsepower

218 horsepower

Torque

16 pound-feet

Transmission

CVT

Drive Layout

Front-wheel-drive

Fuel Economy (city/highway/combined)

28/44/36

Starting Price

$27,760

The engines range from a sensible and very economical, inline-four hybrid to the TRD’s 301-horsepower V-6. In the eco-friendly, hybrid Camry, you get a CVT while the more performance-oriented 2GR-FKS engine is paired with an eight-speed automatic. The Toyota Camry is one of the most affordable ways to get into the mid-size sedan segment and has a very high perceived reliability.

Related: 10 Best First Cars Under $10,000 - Top Speed

14 2023 Nissan Altima

From $27,790

2023 Nissan Altima 6

Nissan's lineup is weird because on one side, you have the legendary Nissan GT-R and retro-futuristic Nissan Z, and on the other, mostly boring commuter cars with sketchy reliability. Even so, Nissan's Altima is more than meets the eye. The new styling is much more memorable from the previous model's bland aesthetics, which made it as memorable as... I can't think of anything, actually. Despite the brand's mishaps, the Altima is a great all-rounder with generous standard equipment and a spacious cabin. The base engine is gutless so, you will want to upgrade for the variable-compression turbocharged unit.

Specifications

Engine

2.0-liter, variable-compression, turbocharged inline-four

Horsepower

236 horses at 5,600 rpm

Torque

267 pound-feet at 4,000 rpm

Transmission

CVT

Drive Layout

Front-Wheel-Drive (AWD Optional)

Fuel Economy (city/highway/combined)

25/34/29 mpg

Starting Price

$27,790

The best part is, that even the range-topping Altima, equipped with the VC Turbo engine costs less than $35,000 so, the Altima is something of a bargain. The 0 to 60 mph (97 km/h) happens in 6.4 seconds, which is about the same as a Mazda 3 Turbo. The Altima's most off-putting aspect is the CVT transmission, which sadly, is the only option, as no manual or conventional automatic is being offered.

13 2023 Honda Accord

From $28,390

2023 Honda Accord
Honda

The eleventh-generation Honda Accord cleaned up the, somewhat busy aesthetics of the previous model, but it will be a bit of a disappointment for those wanting a sporty sedan. The Civic Type-R's K20 turbo-four was dropped for the 2023 model year, leaving the 1.5-liter turbo-four as the only non-hybrid variant. The Sport model is available from $32,990, but instead of the 252-horsepower turbo-four, you now get a 2.0-liter naturally-aspirated unit as part of a PHEV drivetrain.

Specifications

Engine

1.5-Liter Turbocharged Inline-four

Horsepower

192 horsepower

Torque

192 pound-feet

Transmission

CVT

Drive Layout

Front-wheel-drive

Fuel Economy (city/highway/combined)

29/37/32

Starting Price

$28,390

The only available transmission for the 2023 Accord is a CVT - a clear indication Honda wants the Accord to be the brand's green model, leaving the Civic as the only Honda model to carry the performance torch. On the plus side, the Accord's interior is one of the more spacious in the segment and you get Honda's reliability rating, coupled with Honda's five-year or 60,000-mile drivetrain warranty (not including the lithium-ion battery).

12 2023 Mazda MX-5 Miata

From $28,050

2017 red Mazda MX-5 Miata RF
Mazda

Featuring the Mazda MX-5 Miata here almost feels like a cheat, but there’s no denying it’s one of the most fun, driver’s cars you can buy for under $35,000. Currently, in its fourth generation, the Miata is one of the very few sports cars still built with an engaging driving experience in mind. Mazda’s roadster adheres to the old-school philosophy of lightness and simplicity, which is why the SKYACTIV four-banger only has to lug 2,260 pounds (1025 kg) around.

Specifications

Engine

2.0-liter four-cylinder

Horsepower

184 horsepower

Torque

155 pound-feet

Transmission

6-speed manual

Drive Layout

Rear-wheel-drive

Fuel Economy (city/highway/combined)

25/40/34

Starting Price

$28,050

Still naturally aspirated and offered with a manual, the ND Miata is the epitome of “being one with the car”. The Miata has always been a soft-top convertible, but the fourth generation introduced a Targa body style, dubbed the RF. That one brings an electrically-operated, retractable hard top, but you’ll have to go over the $35,000 budget to buy one new.

Related: 10 Most Reliable SUVs According To Consumer Reports

11 2023 Toyota GR86

From $28,400

Red 2023 Toyota GR86
Toyota 

For the thrills offered at the price, the rear-wheel-drive Toyota GR86 sports coupe is practically without competition (except its Subaru BRZ sibling, of course). Powered by a naturally aspirated, 2.4-liter four-cylinder, the GR86 dishes out 228 horsepower, and it can still be had with a six-speed manual transmission. Toyota’s sports car will scoot from 0-60 in 5.4 seconds. The GR86 provides extremely sharp handling with accurate steering, and the genuine driving “feel” enthusiasts crave.

Specifications

Engine

2.4-Liter Four-Cylinder

Horsepower

228 horsepower

Torque

184 pound-feet

Transmission

6-speed manual/6-speed automatic

Drive Layout

Rear-wheel-drive

Fuel Economy (city/highway/combined)

20/27/22

Starting Price

$28,400

And if the mood takes you (and it will in this sprightly performer), its rear is happy to swing out for some hooliganism. Better still, the GR86 is equipped with two (admittedly tiny) rear seats, and though it has a serious sports pedigree, it's not too stiff to be used on the daily drive. The GR86 already stands out as a rear-wheel-drive sports car under $35,000, and getting behind the wheel to experience its thrills only improves its standing.

10 2023 Mini Countryman

From $29,950

2023 Mini Countryman silver
Mini 

Even though we’re an enthusiastic community, we understand that not everything is about what’s under the hood. Keeping that strictly in mind, we’ve added this novelty to the list – the Mini Countryman. Gone are the days when Mini produced namesake cars. Models like the Countryman are far from compact. In fact, it is the largest Mini model on sale and the automaker calls it an SUV. The quirky car grabs a lot of attention on the road even today. Step inside, and you’ll be welcomed to a very practical cabin, something you couldn’t say about Minis of the Yore.

Specifications

Engine

2.0-liter, turbocharged four-cylinder

Horsepower

189 horses at 5,000 rpm

Torque

206 pound-feet at 1,350 rpm

Transmission

Seven-speed dual-clutch automatic

Drive Layout

Front-wheel-drive (AWD optional)

Fuel Economy (city/highway/combined)

23/31/26 mpg

Starting Price

$29,950

The circular elements still take prominence inside the cabin, like the infotainment system in the round housing, the circular door hands, round dials, etc. What will impress you the most is the space. The 2023 Countryman can seat five adults rather comfortably, but, it directly affects the cargo space, which is just about adequate. However, that’s not the worst thing about the car. The Countryman’s Achilles’ heel is its powertrain; especially the puny three-pot engine that struggles to lug the 3,400-pound car. If you opt for the 2023 Mini Countryman, we’d strongly suggest you choose the four-cylinder option that can be had for less than $35,000.

9 2023 Dodge Challenger

From $30,545

Blue 2013 Dodge Challenger SRT8 392
RL GNZLZ via Wikimedia Commons

Like the Chevy Camaro, the Dodge Challenger as we know it, is another name that's about to be retired. The Charger nameplate lives on, but as an EV and the Challenger could follow suit. There are still plenty of 2023 model-year Challengers around, but if you are looking to spend under $35,000 on one, you will have to settle for the Pentastar V-6 engine. Interestingly enough, the V-6 Challenger could also be had in GT trim, which added all-wheel drive - something, typically reserved for the Charger Police interceptors.

Specifications

Engine

3.6-liter, V-6

Horsepower

305 horses at 6,350 rpm

Torque

268 pound-feet at 4,800 rpm

Transmission

Eight-speed automatic

Drive Layout

Rear-wheel-drive (AWD optional)

Fuel Economy (city/highway/combined)

19/30/23 mpg

Starting Price

$30,545

The V-6 Challengers don't shine in the performance department, but 0 to 60 mph (97 km/h) still happens in little over 6.0 seconds for both the rear-wheel-drive SXT and all-wheel-drive GT model. Despite not being the most athletic car on the list, the Challenger is still a lot of car for the money, even with the Pentastar V-6.

RELATED: 10 Cheap Cars That Can Do 200 MPH

8 2023 Mazda 3 Turbo

From $32,450

Red 2023 Mazda3 Hatchback
Drive Time Productions LLC

Nowadays, it's fairly rare for a manufacturer to sell you a range-topping model for under $35,000, but Mazda manages that nicely with the 3 Turbo. Offered in, both, hatchback and sedan form, the stylish hot-ish hatchback is a more sophisticated take on the segment that packs the biggest engine put in a modern-day hatchback, making it the most underrated Mazda of 2023. While most offerings in the segment offer a 2.0-liter (or smaller) engine, the Mazda 3 Turbo comes with a 2.5-liter SKYACTIV-G engine.

Specifications

Engine

2.5-Liter turbocharged inline-four

Horsepower

227-250 horsepower

Torque

310-320 pound-feet

Transmission

6-speed automatic

Drive Layout

All-wheel-drive

Fuel Economy (city/highway/combined)

23/32/27

Starting Price

$32,450

In order to get the most out of the engine, however, you will need to use premium fuel, otherwise, you will have to settle for 227 horsepower instead of 250. The Mazda 3 is more luxurious than sporty and unfortunately, the only available transmission is a six-speed, torque-converter automatic. Some testers have claimed 0 to 60 mph (97 km/h) times of as little as 5.8 seconds, but typically, the Mazda 3 Turbo does it in 6.2, which is still impressive. At the same time, you get Mazda's stylish "Kodo" design, generous standard equipment, and great reliability,

7 2024 Ford Mustang

From $32,515

Yellow 2024 Ford Mustang
Ford

Ford recently debuted the seventh-generation Mustang, and it will, likely, be the last, non-hybrid pony car we get from the brand. The S650 Mustang rides on the previous model’s platform and even carries over the engine options. For under $35,000, you will have to suffice with the base engine, which is a de-tuned version of the one found in the last-generation Ford Focus RS. With the Camaro and Challenger, as we know them, retired for good, the Mustang stands as the last of the old-school pony cars.

Specifications

Engine

2.3-liter turbo four-cylinder

Horsepower

315 horsepower

Torque

350 pound-feet

Transmission

10-speed auto

Drive Layout

Rear-wheel-drive

Fuel Economy (city/highway/combined)

22/34/27

Starting Price

$32,515

Even in base form, the S650 is a great all-rounder and one of the most usable two-door coupes you can buy. The 2024 Mustang has become a lot more digitalized, featuring a digital instrument cluster and a 13.2-inch infotainment screen, which also operates climate control. Interestingly enough, the base engine can no longer be had with a manual.

6 2024 Acura Integra

From $32,695

2023 Acura Integra blue
Acura

The Acura Integra was one of the biggest disappointments in recent times, but that doesn’t mean it’s a bad car. The Integra nameplate carries a lot of weight with it and while it has always been a more pampered Civic with a more exciting engine, the new model was not what we expected. Still, if you want the Civic’s reliability and practicality in a more sophisticated package, the Integra is as good as it can get for under $35,000. Unfortunately, the interior is a bit too similar to the much-cheaper Civic, even though it’s well-put-together and features slightly more upscale materials.

Specifications

Engine

1.5-liter turbocharged four-cylinder

Horsepower

200 horsepower

Torque

192 pound-feet

Transmission

CVT/ 6-speed manual

Drive Layout

Front-wheel-drive

Fuel Economy (city/highway/combined)

26/36/30

Starting Price

$32,695

You would be wise to upgrade from the standard, 7.0-inch display to the 9.0-inch. They are both responsive and do away with the annoying touchpad controller, found in other Acura models. Engine-wise, unless you go for the much more expensive Type-S, you get the Civic Si’s 1.5-liter turbo-four, which provides adequate power and great fuel efficiency. Performance kits are available if you want to get closer to the K20C’s power levels.

RELATED: Top 20 Cheap Cars That Are Really Fast

5 2022 Cadillac CT4

From $33,695

Blue Cadillac CT4
Cadillac 

The Cadillac CT4 has just about made the cut since it starts at a little over $33,000. The CT4 is an entry-level Cadillac and gives you a taste of the premium segment at a not-so-high cost. Cadillac’s styling has always been pretty good, and the CT4 is no exception. This sedan looks smart and has a good road presence. Considering the price point and the fact that it sits at the bottom of the hierarchy, the 2022 CT4 doesn’t offer the utmost bang for the buck.

Specifications

Engine

2.0-liter, turbocharged four-cylinder

Horsepower

237 horses at 5,000 rpm

Torque

258 pound-feet between 1,500- and 4,000 rpm

Transmission

Eight-speed automatic (10-speed optional)

Drive Layout

Rear-wheel-drive (AWD optional)

Fuel Economy (city/highway/combined)

23/34/27 mpg

Starting Price

$33,695

It comes with things like an 8.0-inch touchscreen system, a dual-zone climate control, etc. that aren’t necessarily luxurious features these days. It isn’t the most spacious car in the segment either. The Cadillac CT4 comes with a 2.0-liter, turbocharged four-pot mill as standard, but a 2.7-liter engine is also available as optional. The car is known for its sharp handling dynamics and will keep you entertained when you push it hard. The higher trims are, of course, more desirable, but for the badge and the luxurious appeal, the CT4’s starting price of $33,695 is justified.

4 2022 Mercedes-Benz A-Class

From $33,950

Silver Mercedes-Benz A-Class
Mercedes-Benz 

The Mercedes-Benz A-Class is the entry point into the German marque, and this is where you get to know what luxurious cars feel like. Mind you, it isn’t extraordinarily plush, but it isn’t your average run-of-the-mill car either. It has the signature Mercedes styling on the outside and the inside, and it is loaded pretty well, too. While it has a small footprint, the car is pretty spacious on the inside for a small car. But, all the space offered inside the cabin negatively impacts the cargo space.

Specifications

Engine

2.0-liter, turbocharged four-cylinder

Horsepower

188 horses between 5,500- and 6,100 rpm

Torque

221 pound-feet between 1,600- and 4,000 rpm

Transmission

Seven-speed dual-clutch automatic

Drive Layout

Front-wheel-drive (AWD optional)

Fuel Economy (city/highway)

24/35 mpg

Starting Price

$33,950

The 40/20/40 split seat, however, could provide some relief. A seven-inch touchscreen system with Apple CarPlay and Android Auto, and an eight-speaker sound system round off the tech features. If we had to compare it to the entry-level cars from the other premium brands, we’d say that the 2022 A-Class sedan is a better package overall. That said, as is with any luxury brand, most of the creature comforts are available through packages, that will push the envelope a lot higher than $35,000. It must also be noted that the A-Class will soon exit the U.S. market.

3 2023 Hyundai Elantra N

From $34,015

Front 3/4 action shot of the 2023 Hyundai Elantra N
Hyundai 

Hyundai’s “N” performance division doesn’t hold the same prestige as an “M” on a BMW or a “V” on a Cadillac, but that’s no reason to dismiss the ultra-sporty compact. The Elantra N has the performance and pedigree that beguiles it's sub-$35,000 asking price. It’s powered by a responsive turbocharged 2.0-liter four-cylinder making an impressive 275 horsepower and with an over-boost featured aptly named “N Grin Shift,” the Elantra N can up its power to 286 ponies for short bursts.

Specifications

Engine

2.0-liter turbo four-cylinder

Horsepower

286 horsepower

Torque

289 pound-feet

Transmission

6-speed manual/8-speed DCT

Drive Layout

Front-wheel-drive

Fuel Economy (city/highway/combined)

22/31/25

Starting Price

$34,015

The Elantra N is also fitted with a bevy of performance upgrades like an electronically controlled limited-slip differential, a rally-inspired integrated drive axle, torque-feedback rack-mounted power steering, and 14.2-inch brake rotors with high-friction pads that can make drivers question its front-wheel-drive status with its ample road-holding. It is available with either a lightning-fast eight-speed dual-clutch or a six-speed manual as standard. Better still, the Elantra N wears sporty exterior and interior upgrades while retaining the practicality of the standard model. For the thrills offered, the Elantra N is easily a top pick for enthusiasts on a budget.

Related: The Best Luxury Cars Under $70,000

2 2022 Audi A3

From $34,800

2022 Audi A3 blue
Audin 

If you’re a fan of Audi and have a $35,000 budget, you should look into the A3. Audi brought in the third-gen A3 for the 2022 model year, and it is an upgrade in pretty much every sense while retaining the driving dynamics that it is known for. It now comes with things like a 10.1-inch touchscreen system, a tri-zone automatic climate control, more tech features, and a plusher interior. In the U.S., the 2022 A3 is available only in the sedan form, whereas the other markets receive the Sportback version as well.

Specifications

Engine

2.0-liter, turbocharged four-cylinder

Horsepower

201 horses

Torque

221 pound-feet

Transmission

Seven-speed dual-clutch automatic

Drive Layout

Front-wheel-drive (Quattro AWD optional)

Fuel Economy (city/highway/combined)

29/38/32 mpg

Starting Price

$34,800

The 2022 A3 is offered in three trims and all of them receive the same 2.0-liter, turbocharged four-cylinder engine under the hood. You can also opt for the famed Quattro all-wheel-drive system if you’re willing to shell out some more moolah. But, if all you want to do is get onto the German premium bandwagon with this near-perfect sedan, you’ll have to pony up a shade under $35,000.

1 2022 Volvo XC40

From $35,100

2022 Volvo XC40 white
Volvo 

We’re breaking the ‘under $35,000’ rule here because the 2022 Volvo XC40 starts at $35,100, but it would be a sin to not include it just because it’s over the line by a hundred bucks. The 2022 XC40 might be our pick of this list for what it offers as a whole. The baby SUV from the Swedish company comes with the trademark understated Scandinavian aesthetics that probably has no haters.

Specifications

Engine

2.0-liter, turbocharged four-cylinder

Horsepower

187 horses

Torque

221 pound-feet

Transmission

Eight-speed automatic

Drive Layout

Front-wheel-drive (AWD optional)

Fuel Economy (city/highway/combined)

23/32/26 mpg

Starting Price

$35,100

Although a compact SUV, Volvo has done a fantastic job of providing a spacious cabin and a well-designed layout. There is ample tech and doesn’t miss out on anything much at this price point, but the infotainment system is not as slick as what the rival premium brands offer. We would suggest you look at the higher trims as well, but if you’re on a strict budget and aren’t comfortable stretching beyond $35,000, the Volvo XC40 crossover might be your best bet at getting a jack of all trades.