New cars are getting more expensive, but there are still some cheaper options out there, if you know what to look for.
Late last year, the average selling price of a new vehicle in Canada rose above $40,000 for the first time ever, according to market research firm DesRosiers Automotive Consultants. In 2015, the average price was $34,795. Even adjusting for inflation, prices are going up; more accurately, people are spending more money on new vehicles.
It has to do with better crash safety, lower emissions, big screens and automatic everything, but one of the main reasons people are spending more is that they’re simply buying bigger vehicles loaded with more stuff. If you choose smaller vehicles with fewer bells and whistles, you can still find new cars – such as the Chevrolet Spark – for around $10,000.
Below, you’ll find real-world prices – including discounts, fees and incentives – for the cheapest new vehicles on sale now in Canada, according to Unhaggle, a vehicle-pricing and data company that runs an online marketplace for new vehicles. Note that dealer discounts listed here are Unhaggle estimates based on the company’s own data. In cases where the discount amount is negative, it means that you can expect to see prices above the MSRP. These are averages though, and every dealer will be slightly different.
Once the purchase prices were tallied up, these five vehicles emerged as the cheapest options in their respective categories.
Hatchback: 2020 Chevrolet Spark LS
The 2020 Chevrolet Spark is currently the cheapest new vehicle in Canada.Courtesy of manufacturer
Here it is, the cheapest new vehicle in Canada – for now, at least. Back in 2016 when the current-generation Spark arrived, the big news was that Chevrolet was actually lowering the price of its already-affordable hatchback to $9,995 to compete with the Nissan Micra and Mitsubishi Mirage. Since then, Chevy has only bumped the Spark’s price up by three dollars, making this quite the bargain. The only real catch with the Spark is that if you want air conditioning and an automatic transmission, the price jumps up by an absurd amount to $14,298.
- MSRP: $9,998
- Manufacturer cash incentive: $0
- Estimated dealer discount: -$252
- Freight, PDI, government fees: $1,610
- Cash purchase price before tax: $11,860
- Lease for 48 months at 0.5 per cent interest
SUV: 2020 Hyundai Venue Essential 6-Speed Manual
The 2020 Hyundai Venue is billed as an SUV but is very similar to a hatchback.Mark Richardson/The Globe and Mail
Hyundai calls this an SUV, but put it side-by-side with any small hatchback and you’ll find there’s not much difference in terms of size or capability. Sure, the brand new Venue rides a bit higher and has some black plastic cladding to give it a rugged vibe, but it shares most of its underpinnings with Hyundai’s Accent, including the 1.6-litre engine. All-wheel drive isn’t available, even as an option. Still, it undercuts rivals like the Chevy Trax and Mazda CX-3, is exceptionally easy to drive and comes with Apple CarPlay and Android Auto.
- MSRP: $17,099
- Manufacturer cash incentive: $1,000
- Estimated dealer discount: -$360
- Freight, PDI, government fees: $1,920
- Cash purchase price before tax: $18,379
- Finance for 60 months at 0.99 per cent interest
- Lease for 48 months at 2.99 per cent interest
Sedan: 2020 Hyundai Elantra Sedan Essential 6-Speed Manual
The Elantra has long been among Canada's top-selling cars.Courtesy of manufacturer
The Elantra is perennially among the best-selling cars in this country, often trailing just behind the Honda Civic and Toyota Corolla. It doesn’t quite feel as spacious as its rivals, but even the base model offers a lot of bang for your buck with standard heated seats, Bluetooth connectivity and a touch-screen display. An automatic transmission – a surprisingly good CVT – is available for an extra $1,700. If you can wait, there’s a completely new Elantra sedan arriving as a 2021 model. It’s got a strange new grille, but the cabin looks downright deluxe.
- MSRP: $17,149
- Manufacturer cash incentive: $0
- Estimated dealer discount: -$387
- Freight, PDI, government fees: $1,820
- Cash purchase price before tax: $19,356
- Finance for 60 months at zero per cent interest
- Lease for 48 months at 0.9 per cent interest
Coupe: 2020 Honda Civic Coupe LX 6-Speed Manual
The 2020 Honda Civic Coupe is the last in a long line of two-door Civics.WES ALLISON/Courtesy of manufacturer
Get one while you still can. Honda is discontinuing the two-door Civic this year, ending the long run of this affordable coupe that was once a perennial favourite of Fast and Furious tuners, racers and anyone young-ish with a need for speed. This LX version is a far cry from the hardcore Type R, but its 2.0-litre engine paired with a precise six-speed manual is still capable of providing a fun, engaging driving experience.
- MSRP: $21,690
- Manufacturer cash incentive: $0
- Estimated dealer discount: $441
- Freight, PDI, government fees: $1,765
- Cash purchase price before tax: $23,014
- Finance for 60 months at 0.99 per cent interest
- Lease for 48 months at zero per cent interest
Truck: 2020 Chevrolet Colorado WT Extended Cab Automatic
The 2020 Chevrolet Colorado, a midsize pickup with good payload and towing capabilities. It isn't the newest truck on the block, making it a prime candidate for a sizable discount.The Associated Press
Current incentives and discounts mean you can get into Chevy’s mid-size pickup for considerably less than MSRP – before taxes, of course – on this WT Extended cab model. It has seating for four, a rear-wheel drive chassis and a six-speed automatic transmission. The four-cylinder motor is fine – you’ll probably want the pricier V6 – but even so it has a useful maximum payload capacity of 688 kg (1,516 lbs).
- MSRP: $27,098
- Manufacturer cash incentive: $2,750
- Estimated dealer discount: $1,275
- Freight, PDI, government fees: $2,010
- Cash purchase price before tax: $25,083
- Finance for 60 months at zero per cent interest
- Lease for 48 months at 2.5 per cent interest
Shopping for a new car? Check out the Globe Drive Build and Price Tool to see the latest discounts, rebates and rates on new cars, trucks and SUVs. Click here to get your price.
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