10 New Cars With the Lowest 5-Year Cost of Ownership
When shopping for a new vehicle, looking at the sticker price on the window is only looking at half the equation. Factors like insurance rates, routine maintenance, fuel economy, and residual depreciation quietly decide how much a vehicle actually drains from your bank account over time.
Utilizing 5-year total cost of ownership projections from CarEdge—which factor in depreciation, expected insurance premiums, routine maintenance, fuel, and financing expenses—here are the ten most wallet-friendly cars to own, ranked from number 10 down to the absolute cheapest.
10. Honda HR-V
- Predicted 5-Year Total Cost of Ownership: $34,718
- Starting MSRP (incl. destination): $27,950
- Predicted 5-Year Depreciation: 27%
While the subcompact HR-V often plays second fiddle to the larger CR-V in sales volume, it stands out as a smart financial move. It remains one of the few reliable, well-built crossovers on the market that keeps its initial asking price comfortably under $30,000 while maintaining strong resale value.
9. Toyota Corolla Sedan
- Predicted 5-Year Total Cost of Ownership: $34,616
- Starting MSRP (incl. destination): $24,120
- Predicted 5-Year Depreciation: 26%
If you prefer a traditional notchback trunk over a hatchback profile, the Corolla sedan remains one of the safest financial investments in the compact class. It offers a slightly lower initial price tag than its hatch sibling, paired with bulletproof long-term reliability.
8. Toyota Camry
- Predicted 5-Year Total Cost of Ownership: $34,297
- Starting MSRP (incl. destination): $30,295
- Predicted 5-Year Depreciation: 37%
As the largest vehicle on this list, the midsize Camry carries a higher initial purchase price and experiences slightly steeper overall depreciation than smaller compacts. However, its class-leading fuel efficiency and virtually non-existent unscheduled maintenance costs earn it a spot in the top ten.
7. Nissan Versa
- Predicted 5-Year Total Cost of Ownership: $33,735
- Starting MSRP (incl. destination): $18,585
- Predicted 5-Year Depreciation: 24%
Although formal production ended, leftover inventory remains available on dealer lots. For buyers fortunate enough to find one, the Versa represents one of the absolute cheapest entry points into brand-new vehicle ownership with full warranty coverage.
6. Kia K4
- Predicted 5-Year Total Cost of Ownership: $33,333
- Starting MSRP (incl. destination): $23,535
- Predicted 5-Year Depreciation: 31%
Replacing the outgoing Forte, the Kia K4 brings modern styling and aggressive technology to the entry-level segment. While its projected five-year depreciation sits slightly higher than its Japanese rivals, its low starting MSRP keeps total long-term expenditures firmly in budget territory.
5. Nissan Sentra
- Predicted 5-Year Total Cost of Ownership: $32,875
- Starting MSRP (incl. destination): $23,845
- Predicted 5-Year Depreciation: 26%
Redesigned with updated styling inside and out, the long-running Sentra continues to hold its ground as other traditional compact sedans get phased out. It undercuts key rivals like the Civic on sticker price while delivering low daily operating costs.
4. Subaru Impreza
- Predicted 5-Year Total Cost of Ownership: $32,759
- Starting MSRP (incl. destination): $27,790
- Predicted 5-Year Depreciation: 26%
Now offered strictly as a 5-door hatchback, the Impreza comes standard with Subaru's symmetrical all-wheel-drive system. Though overall vehicle pricing across the industry has climbed in recent years, the Impreza’s strong residual values keep its net ownership costs remarkably low for an AWD car.
3. Honda Civic
- Predicted 5-Year Total Cost of Ownership: $32,541
- Starting MSRP (incl. destination): $25,890
- Predicted 5-Year Depreciation: 24%
The Civic’s legendary reputation for durability continues to pay dividends on the secondary market. Strong resale values directly lower total ownership costs, easily offsetting the car's slightly higher initial purchase price compared to entry-level competitors.
2. Hyundai Venue
- Predicted 5-Year Total Cost of Ownership: $32,435
- Starting MSRP (incl. destination): $22,150
- Predicted 5-Year Depreciation: 26%
With the departure of ultra-cheap subcompacts like the Mitsubishi Mirage, the Venue claims the title of the lowest-priced new crossover available in North America. Its low starting MSRP paired with predictable maintenance costs makes it an ideal pick for budget-minded commuters.
1. Toyota Corolla Hatchback
- Predicted 5-Year Total Cost of Ownership: $30,541
- Starting MSRP (incl. destination): $26,560
- Predicted 5-Year Depreciation: 20%
Taking the top spot for overall financial value, the Toyota Corolla Hatchback loses just 20 percent of its value over a five-year stretch. Combining high fuel economy, ultra-low maintenance demands, and outstanding value retention, it stands as the absolute cheapest vehicle to own over five years.
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7 OUT OF 10 CAR MODELS ARE JAPANESE
No surprise here.
These 10 cars are about as boring you can get.