Everyone loves a bargain, especially penny-pinching Canadians who’d rather spend a few extra bucks at the hockey rink or at a fundraiser for their local fire department than on an outsized monthly payment. We’ve taken a shot at profiling well-priced machines in the past and hope this instalment, focusing on cars, will also be of use to shoppers.
With new vehicle prices reaching dizzy levels heretofore unexplored by shoppers, achieving that goal becoming ever more difficult. This is exacerbated by some brands which have been busy purging lineups of affordable wheels in favour of huge trucks and SUVs (and their profits). Fortunately, affordable options remain and choices exist. What follows is a list of the six least-expensive new cars on sale in Canada today.
We are highlighting three gasoline-powered vehicles and three hybrids, showing ones with the smallest sticker price from each category. Pedants please note that for the purposes of this article we are defining ‘car’ as a coupe, sedan, or hatchback – one which is closer to the ground than an SUV or crossover. The presence of all-wheel drive is not a disqualifier.
Pricing shown here is sourced from configurator pages on manufacturer websites for the 2025 model year, including freight but no other fees since they vary across regions. And, like other articles of this type, we know most images here do not show a base trim; manufacturers tend to furnish images of top models because capitalism. Hey, just close one eye and tilt your head.
Cheapest Gasoline-Powered Cars in Canada for 2025
Cheapest Car in Canada: Nissan Versa, $20,798
This pert four-door is atop our list with a list price of just over 20 grand, marking the floor of entry into new car ownership. Equipped with a 1.6L four-cylinder engine and continuously variable transmission (the stickshift recently vanished), this fuel sipper nevertheless offers safety gear such as automatic emergency braking that can sense a pedestrian ahead, lane departure warning, and sensors for rear automatic braking.
Pressing the scales at a featherweight 1,210 kg (2,660 lbs), the Nissan Versa sips fuel to the tune of just 6.8 L/100 km in combined city/highway driving conditions, meaning owners won’t have to fill the 41-litre fuel tank very often. A 7-inch colour infotainment touchscreen incorporates Bluetooth so drivers can remain handsfree during calls.
- Canadian MSRP: $20,798 + $1,850 destination charge
- Power: 122 hp, 114 lb-ft of torque
- Cargo capacity: 416 litres (14.7 cubic feet)
- Combined fuel economy: 6.8 L/100 km
Hyundai Elantra, $22,599
This brand has been known for decades as the purveyor of value-laden vehicles, a trait which does not change in the 2025 model year. In its Essential trim, the Hyundai Elantra is equipped with gear such as heated front seats and wireless smartphone mirroring, features which were once the domain much more expensive machinery. It’s worth noting the only $0 paint option is Atlas White, so be prepared to splash out $250 if you want grey or black.
Power is drawn from a 2.0L naturally aspirated engine, making 147 horsepower and 132 lb-ft of torque. This is lashed to a so-called ‘Intelligent Variable Transmission’ which is really just a CVT. A rose by any other name, and so forth. Forward collision avoidance, active lane keeping, and a driver attention warning comprise some of the on-board safety kit.
- Canadian MSRP: $22,599 + $1,825 destination charge
- Power: 147 hp, 132 lb-ft of torque
- Cargo capacity: 402 litres (14.2 cu.ft)
- Combined fuel economy: 6.5 L/100 km
Kia K4, $23,995
In a world where many automakers are running away screaming from the compact sedan segment, Kia has chosen to launch a completely new vehicle for the 2025 model year. Wearing headlamps taken from its much more expensive SUV brothers and equipped with a massive 12.3-inch infotainment screen even in base LX trim, the Kia K4 offers a lot of value.
Its 2.0L engine makes 147 horses and 132 torques (bonus points if you noticed that’s identical to an Elantra). That power is sent to the front wheels through a continuously variable transmission which is great for fuel economy if not for outright driving pleasure. Front cloth seats are heated, as are the washer nozzles which is extremely helpful in coldest February.
- Canadian MSRP: $23,995 + $1,850 destination charge
- Power: 147 hp, 132 lb-ft of torque
- Cargo capacity: 413 litres (14.6 cu.ft)
- Combined fuel economy: 7.0 L/100 km
Honorable Mention: 2024 Mitsubishi Mirage, $16,998
It seems strange to assemble this type of list without mentioning the Mitsubishi Mirage. We would be remiss not to mention this car, despite all signs pointing to this brand cancelling it for the 2025 model year. Alert shoppers might find some 2024s on dealer lots since the brand expects existing stock to carry it through the first quarter of this year. The manual transmission variant went extinct before the entire car did, meaning all 2024s are equipped with the CVT.
- Canadian MSRP: $16,998 + $1,750 destination charge
- Power: 78 hp, 74 lb-ft of torque
- Cargo capacity: 484 litres (17.1 cu.ft)
- Combined fuel economy: 6.2 L/100 km
Cheapest Hybrid-Powered Cars in Canada for 2025
Cheapest Hybrid in Canada: Toyota Corolla Hybrid, $27,090
This is a vehicle built by the brand which is largely responsible for popularizing hybrids in the first place. Having spent the last umpteen years refining its craft with cars like the Prius, Toyota has managed to infuse the Corolla Hybrid with excellent fuel economy (if not a host of fun). Standard equipment in LE trim include an 8-inch infotainment screen with satellite radio capability, dynamic radar cruise control, lane departure alerts, and heated front seats.
Surprisingly, all-wheel drive can be added to this sedan for just $1,500, resulting in a sub-$30,000 price tag and one of the most affordable ways to get a four-door fuel sipper that’s also surefooted in the snow. So equipped, combined fuel economy is still an estimated 4.9 L/100km.
- Canadian MSRP: $27,090 + $1,760 destination charge
- Power: 138 hp, 156 lb-ft of torque
- Cargo capacity: 371 litres (13.1 cu.ft)
- Combined fuel economy: 4.7 L/100 km
Hyundai Elantra Hybrid, $28,599
Canadian shoppers will be looking at a Luxury trim in their Elantra should they choose to shop for a hybrid in this range. That means this option will have a far greater level of standard equipment than the base gasoline powered Elantra, including the likes of adaptive cruise control, a large 10.25-inch infotainment screen, highway driving assists, and a Bose-branded audio system with eight speakers.
The hybrid powertrain itself is a $2,500 premium compared to an equivalent non-hybrid Elantra in Luxury trim. Given the fuel economy estimates by NRCan, one will save about 350 litres of fuel per year given an average amount of driving. At today’s gasoline prices as of this writing, it’ll take just shy of five years to make up the difference in initial cost.
- Canadian MSRP: $28,599 + $1,825 destination charge
- Power: 139 hp, 195 lb-ft of torque
- Cargo capacity: 402 litres (14.2 cu.ft)
- Combined fuel economy: 4.7 L/100 km
Honda Civic Sedan Hybrid, $33,600
Seeming to have found its mojo after a spell of being lost in the performance woods, Honda is choosing to give its Civic Hybrid ample power compared to its immediate competition. In other words, someone at Honda has figured out that buyers shouldn’t have to be penalized with a wheezy engine because they want to save a bit of fuel.
They also choose to base this powertrain on the Sport trim which means convenience equipment such as dual-zone climate control, a leather-wrapped steering wheel, and an eight-speaker audio system are standard. Lane keeping and Traffic Jam Assist will help new drivers.
- Canadian MSRP: $33,600 + $1,830 destination charge
- Power: 200 hp, 232 lb-ft of torque
- Cargo capacity: 419 litres (14.8 cu.ft)
- Combined fuel economy: 4.8 L/100 km
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