Car prices have increased over the last few years; The average transaction price for a new car rose to $48,937 in September, from just under $40,000 at the beginning of 2020.

Paying that much for a new car is out of the reach of budget-conscious car buyers. Fortunately, there are still plenty of cheaper options available, including a handful starting at $25,000. As a bonus for all you money nerds out there, the three vehicles on the list below have some of the cheapest car insurance rates. Here are the models that still look like a good deal.

1.Honda HR-V

Starting price: $25,400

Hondas are known for their reliability and ability to hold their value, so buying this subcompact SUV for just $25,400 could be a great decision. The HR-V packs a lot into its relatively small profile, including Apple CarPlay® and a 7-inch touchscreen.

Safety enthusiasts will love that the base LX trim comes standard with Honda Sensing technology, which includes forward collision warning and lane keep assist. Complementing the HR-V’s safety certifications is a Top Safety Pick+ designation from the Insurance Institute for Highway Safety (IIHS), the agency’s highest rating. CNN also ranked the HR-V as one of the cheapest vehicles to insure.

Fun fact: The type of car you drive can affect your insurance costs. Click here to find the best car insurance for your needs.

2.Hyundai Kona

Starting price: $24,350

Another excellent option for budget-conscious buyers is the 2025 Kona, which starts at just $24,350. That might seem like a shockingly low price for a new car, but don’t worry, this subcompact SUV is still packed with goodies.

The base SE trim comes with a 12.3-inch touchscreen, 17-inch wheels and Apple CarPlay. You’ll be hitting the gas stations, too, considering the 147-horsepower 2.0-liter engine gets an EPA-estimated 31 mpg combined (highway and city). Upgrade to the SEL trim (still under $26,000) and you get power leather-wrapped steering wheel, power driver’s seat, and big 18-inch wheels. To top it all off, the Kona is also an IIHS Top Safety Pick+.

3. Chevrolet Trailblazer

Starting price: $24,790

The latest Trailblazer looks like a downright bargain, with a starting price of just $24,790. At an affordable price, you’ll get a 1.2-litre turbocharged engine and a host of safety features like automatic emergency braking, pedestrian detection and lane keeping assist.

Add the all-wheel drive option to the LS trim for an extra $1,605, and you’ll also get an upgraded 1.3-liter turbo engine with 155 horsepower versus the smaller engine’s 137 horsepower. Either way, you’ll be riding 17-inch wheels and changing your tunes on the 11-inch touchscreen. As a bonus, the Trailblazer also ranks high on the list of cheapest cars to insure.

4.Toyota Corolla

Starting price: $22,175

A staple on any list of affordable cars is the productive Toyota Corolla. While the Corolla’s design isn’t a head-turner, its starting price of just $22,175 certainly is.

The compact sedan has a 2.0-liter 169-horsepower engine that gets an estimated 35 mpg combined. You won’t find all the features of the more expensive models, but they’re there where it counts in the safety department. An 8-inch touchscreen with pedestrian detection system and lane departure warning with steering assist is standard on the base LE model.

5. Subaru Crosstrek

Starting price: $25,195

If you’re an outdoorsy person who’s always up for adventure but not ready to break the bank, look no further than the Subaru Crosstrek. With standard all-wheel drive and 8.7 inches of ground clearance, even the base model Crosstrek is ready to go anywhere.

You’ll get a 2.0-liter 152-horsepower engine that gets an estimated 34 mpg on the highway and standard safety features including automatic emergency steering and pre-collision brake assist. The Crosstrek also ranks as one of the cheapest vehicles to insure, according to CNN.

While car prices have increased significantly over the past few years, it’s good to know that some new vehicles have a relatively low price tag. If you choose one with below-average insurance costs, keeping your total vehicle costs within your budget will be a breeze.