If your goal is to buy a reliable new car without blowing the budget, 2026 is a surprisingly good year. Strong competition from Korean, Chinese, and mainstream value brands means you can now buy a brand new hatchback or small SUV for under $30,000 driveaway in many cases.
This guide lists the top 15 cheapest new cars available in Australia in 2026, shows the representative price for each model, explains what you get for the money, and gives practical buying tips so you know where to focus when searching for the cheapest new cars in Australia 2026.
Quick summary at a glance
Below is a clean table with the top 15 cheapest new cars in Australia for 2026. Prices are representative driveaway figures or manufacturer list prices before on road costs where noted.
Driveaway prices are used when reliable and recent dealer/manufacturer driveaway offers are available. Always confirm a driveaway quote for your postcode (for example, cheap new car prices in Sydney may differ from other states).
Notes on the table
- Cars marked as driveaway prices are representative driveaway offers commonly available in New South Wales and published by manufacturers or trusted industry outlets as of early 2026. Driveaway includes registration, CTP, and estimated on-road costs where shown.
- Where only the manufacturer's list price is shown, on-road costs vary by state, so the driveaway will be higher. Always request a personalized driveaway quote for cheap new car prices in Sydney or your local city.
- This list prioritizes the lowest-priced new cars widely available in Australia in 2026. Prices and availability change; consider this a practical snapshot to help you shortlist models.
Short model by model snapshot and what you get for the money
Below I expand on the most important models in the list so you know the real value each brings.
Kia Picanto
The Kia Picanto remains Australia’s cheapest new car in 2026 at a manufacturer list price starting from $19,190 for the base Sport manual and around $20,790 for auto variants. The Picanto is a tiny, city friendly hatch with modern features, including wireless Apple CarPlay and a seven year warranty. For buyers chasing the cheapest new cars in Australia 2026 the Picanto delivers low purchase cost, capped servicing deals, and excellent warranty coverage.
MG3
MG has aggressively priced its MG3 hatchback; driveaway offers around $20,990 have been widespread. MG bundles generous standard equipment such as a large infotainment screen and active safety aids. The MG3 is a great pick if you want a bargain new hatch with a decent warranty.
Chery Tiggo 4
Chery’s Tiggo 4 Urban variant is priced from about $23,990 driveaway and gives buyers a small SUV package with generous standard infotainment and a long warranty. This model is one of several affordable Chinese SUVs that have pushed the average new car price in Australia 2026 downward at the budget end.
Mahindra XUV 3XO
Mahindra’s XUV 3XO brings an attractive spec list at $23,990 driveaway for entry variants. It has been positioned as a small value SUV for buyers who want a feature rich vehicle without the mainstream brand premium.
GWM Haval Jolion
The Jolion Premium has a driveaway price from about $23,990. It is a feature heavy small SUV and has been a top seller in the budget SUV space. For many buyers the Jolion represents one of the best and cheapest car brands of 2026 choices when considering equipment to price ratio.
Hyundai Venue
Hyundai’s Venue base list price sits about $23,000, but driveaway offers tend to be slightly higher when on-road costs are added. The Venue is a mainstream small SUV that benefits from Hyundai’s dealer network and proven servicing options.
BYD Atto 1
BYD’s Atto 1 is notable for being Australia’s lowest priced EV in 2026 with a list price from $23,990, a significant milestone that expands the cheapest cars in Australia 2026 list into electric vehicles. For city drivers looking to transition to electric, the Atto 1 is an economical new EV option.
Suzuki Ignis and Swift Hybrid
Suzuki continues to offer compact, economical hatches such as the Ignis at around $24,490 driveaway and the Swift Hybrid at roughly $25,490 driveaway. These models are classic cheap new cars in Australia for buyers prioritizing low running costs and reliable service networks.
MG ZS, GAC Emzoom and others
MG’s ZS small SUV and the new GAC Emzoom entry are priced in the mid $20,000 and round out the list of affordable SUVs. These models often include long warranties and generous features, appealing to value buyers.
How to compare these cheapest cars: what really matters
Price is essential but not everything. When comparing the cheapest cars Australia 2026, use these filters to choose the best for your situation.
Ownership cost not just purchase price
Fuel or electricity, insurance, scheduled servicing, tyre life and depreciation influence the total cost more than the headline sticker. For example, a cheap new car that uses less fuel or has a longer service interval can cost less over three to five years than a slightly more expensive rival.
Safety and resale
Look for ANCAP or ANCAP equivalent safety ratings and consider projected resale value. Some budget SUVs from newer brands offer great features but have uncertain resale compared to established brands.
Warranty and dealer support
Long warranties and trusted dealer networks reduce risk for budget buyers. Kia’s seven year warranty and many Chinese brands’ seven year unlimited warranties are a big plus for low budget car buyers.
Real world examples with numbers
If you buy a Kia Picanto Sport at $19,190 and drive 15,000 km per year, your fuel and servicing costs will likely be lower than a larger petrol SUV. However, if you regularly do long distance commuting, an efficient hybrid or small diesel may save more over time even if the purchase price is slightly higher.
Price comparison and buying timing
The average new car price Australia 2026 has been rising in recent years for mainstream mid-sized SUVs and utes, but the budget segment has seen downward pressure thanks to new Chinese entrants and aggressive Korean pricing.
That means the cheapest car brands in the 2026 category are highly competitive, and buyers can often find promotions or dealer driveaway offers.
Best time to buy a car in Australia 2026
The best time to buy often aligns with model year changeovers, end of quarter dealer targets, major shows, and December end of year clearance events. For cheap new car prices in Sydney or other capital cities, look for local dealer campaigns and manufacturer incentives.
If you want the lowest possible price, shop at the end of the month or end of the quarter when dealers are more likely to discount to hit sales targets.
Tip
Ask for a fully itemized driveaway quote including registration, CTP, dealer delivery, and any government fees for your state. A low advertised price with huge on road fees may not be the cheapest in the end.
Who should buy the cheapest new cars in Australia 2026
First car buyers and budget conscious families who need a reliable runabout will love models like the Kia Picanto and MG3. Small families who prefer a compact SUV should consider the Chery Tiggo 4 Urban, GWM Haval Jolion or Mahindra XUV 3XO which offer additional space and similar low price entry points. City drivers intrigued by EVs will find BYD Atto 1 an attractive low cost electric option.
Pros and cons of buying a budget new car
Pros
• Low purchase price and lower initial depreciation than expensive models in percentage terms.
• Latest safety and infotainment on many new budget models.
• Long warranty coverage from several brands minimizes repair risk.
Cons
• Smaller vehicles can have less space and lower towing ability.
• Resale and brand perception can affect long term value for some buyers.
• Safety and crash test history vary across some cheaper new entrants; check ANCAP ratings.
Practical buying checklist for cheap new cars
- Get three driveaway quotes from local dealers and confirm stock availability.
- Check the ANCAP safety rating and warranty terms.
- Ask about capped price servicing and what it costs after the warranty period.
- Estimate the total cost of ownership, including estimated insurance, registration, fuel or charging, servicing, and depreciation.
- Consider waiting for quarterly or end-of-model promotions if you have time.
Final thoughts
Finding cheap new car prices in Australia 2026 is easier than it has been for years because the market now has real competition at the budget end. Whether you want the cheapest hatchback to run around the city or a small SUV with more space, there are solid new options under $30,000 driveaway.
The Kia Picanto and MG3 lead the pack for outright low sticker price and driveaway offers, while Chery, GWM, and Mahindra bring excellent value in the small SUV segment. BYD’s Atto 1 opens the cheap EV door for urban buyers.
Use the table above as your starting shortlist, compare driveaway prices in your postcode (for example, check cheap new car prices in Sydney if that is where you are buying), and factor in running costs and warranty when deciding.
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