2025 Top 10 Cheapest Hatchbacks in Australia

Famed for their great manners around town, often excellent fuel efficiency and a stout wheelbase you can park virtually anywhere, hatchbacks have a lot going for them.

Whether you’re looking for an affordable first car or a more experienced new car buyer in the market for a cheap and user-friendly set of wheels for the city, there is no shortage of great options available in 2025.

Let’s help you out with your search as we take a look at the ten cheapest hatchbacks on sale here in Australia in 2025.

Kia Picanto Sport

The Kia Picanto hits the road in 2025 as the current title holder of Australia’s cheapest hatchback, in fact, it’s the cheapest new car you can get.

The Picanto is famed for its fun-loving nature and user-friendliness around town, representing a super affordable and mighty cheerful little hatchback that punches well above its weight on the value front.

• Price: $18,390

• Engine: 1.2-litre four-cylinder petrol

• Power & Torque: 62kW / 122Nm

• Fuel Economy: 5.4 - 6.0L/100km (manual v automatic)

• Infotainment Size: 8.0-inches

• Boot Space: 255 - 1,010L

• ANCAP Safety Rating: Expired four-stars

• Warranty: Seven-year/unlimited-kilometre

MG 3 Excite

Hot off the heels of a major update, the MG 3 range looks great and picks up a load of new gear, all while maintaining a very approachable price tag.

Notably, MG has given the MG 3 an updated safety equipment suite to help take the fight to its rivals, with its appeal bolstered by a great ten-year warranty.

• Price: $23,990

• Engine: 1.5-litre four-cylinder petrol

• Power & Torque: 81kW / 142Nm

• Fuel Economy: 6.0L/100km

• Infotainment Size: 10.25-inches

• Boot Space: 293 - 983L

• ANCAP Safety Rating: Three-stars (tested 2024)

• Warranty: Ten-year/250,000-kilometre

Suzuki Swift Hybrid

There’s a brand new Suzuki Swift in town, with the pint-sized hatch maintaining its fun-loving handling while offering buyers great fuel economy figures from a new, mild-hybrid powertrain.

The Swift sits as the most affordable mild-hybrid vehicle on sale in Australia, with an updated technology suite and redesigned cabin helping to keep its appeal fresh with buyers Down Under.

• Price: $24,490

• Engine: 1.2-litre three-cylinder petrol mild-hybrid 

• Power & Torque: 61kW / 112Nm

• Fuel Economy: 3.9 - 4.0L/100km

• Infotainment Size: 9.0-inches

• Boot Space: 265 - 980L

• ANCAP Safety Rating: One-star (tested 2024)

• Warranty: Five-year/unlimited-kilometre

Mazda 2 Evolve

The Mazda 2 is yet another relatively cheap hatchback designed to show Aussies that pint-sized motoring can still have a nice, mature nature with the added bonus of a hatch and sedan lineup.

The Mazda 2 excels as a city car, remaining easy to park and surprisingly smooth as you pick up the pace and offering great fuel economy figures for a package without any hybrid assistance.

• Price: $26,990

• Engine: 1.5-litre four-cylinder petrol

• Power & Torque: 81kW / 142Nm

• Fuel Economy: 5.0L/100km

• Infotainment Size: 7.0-inches

• Boot Space: 250 - 852L

• ANCAP Safety Rating: Unrated

• Warranty: Five-year/unlimited-kilometre

Toyota Yaris Ascent

The Toyota Yaris is one of the most recognisable names in the world of affordable hatchbacks.

While prices have moved north in recent years, the Yaris range remains the benchmark for the hatch segment when it comes to fuel economy, sipping just 3.3L per 100km on a combined cycle.

• Price: $28,500

• Engine: 1.5-litre three-cylinder + electric motor hybrid

• Power & Torque: 85kW 

• Fuel Economy: 3.3L/100km

• Infotainment Size: 8.0-inches

• Boot Space: 270L

• ANCAP Safety Rating: Five-star (tested 2020)

• Warranty: Five-year/unlimited-kilometre (extends to seven years)

Fiat 500

The Fiat 500 is an automotive icon that helped to kick-start the world of affordable motoring for the masses.

While it’s set to say farewell to Australia later this year, the Fiat 500 retains its affordable price tag and fun-loving package that makes it a great city car option, so long as you don’t need a heap of space in the back.

• Price: $28,900

• Engine: 1.2-litre four-cylinder petrol 

• Power & Torque: 51kW / 102Nm

• Fuel Economy: 4.8L/100km

• Infotainment Size: 7.0-inches

• Boot Space: 185L

• ANCAP Safety Rating: Unrated

• Warranty: Five-year/unlimited-kilometre

BYD Dolphin Essential

The BYD Dolphin range takes the honour of Australia’s cheapest battery-electric vehicle, giving hatchback buyers looking to make the switch to an EV some serious food for thought.

With 340km of range from a 45kWh battery pack and a 12.8-inch infotainment system as standard, the Dolphin Essential stacks up as a great value pick for electric hatchback buyers on a budget.

• Price: $29,990

• Engine: Single electric motor

• Power & Torque: 70kW / 180Nm

• Range: 340km

• Infotainment Size: 12.8-inches

• Boot Space: 345 - 1,310L

• ANCAP Safety Rating: Five-star (tested 2023)

• Warranty: Six-year/150,000-kilometre (eight-years/160,000km for battery)

Volkswagen Polo Life

If you’re looking for a more mature take on the conventional pint-sized hatchback, look no further than the latest Volkswagen Polo range.

The Polo leads the affordable end of the segment when it comes to driving refinement, remaining a great option for price-conscious buyers that are looking for something with European table manners.

• Price: $30,790

• Engine: 1.0-litre turbocharged three-cylinder petrol

• Power & Torque: 85kW / 200Nm

• Fuel Economy: 5.5L/100km

• Infotainment Size: 8.0-inches

• Boot Space: 351 - 1,125L

• ANCAP Safety Rating: Five-star (tested 2022)

• Warranty: Five-year/unlimited-kilometre

Mazda 3 Pure

The Mazda 3 is a great option for buyers looking for some more space and practical touches in a hatchback.

Sitting as the bigger sibling of the pint-sized Mazda 2, the Mazda 3 looks great, offers great on-road dynamics and a notable interior space premium that means it can more confidently tackle family duties.

• Price: $31,310

• Engine: 2.0-litre four-cylinder petrol

• Power & Torque: 114kW / 200Nm

• Fuel Economy: 5.9L/100km

• Infotainment Size: 8.8-inches

• Boot Space: 295L

• ANCAP Safety Rating: Five-star (tested 2019)

• Warranty: Five-year/unlimited-kilometre

Subaru Impreza 2.0L

Our list wraps up with the iconic Subaru Impreza, a package that stacks up as the cheapest all-wheel-drive hatchback you can get behind in 2025.

Fresh off a recent update, the Impreza has picked up the company’s latest-generation active safety equipment and remains the most versatile hatchback you can get for the price thanks to Subaru’s symmetrical all-wheel drive system.

• Price: $31,990

• Engine: 2.0-litre four-cylinder boxer petrol

• Power & Torque: 115kW / 196Nm

• Fuel Economy: 7.5L/100km

• Infotainment Size: 11.6-inches

• Boot Space: 291 - 883L

• ANCAP Safety Rating: Unrated

• Warranty: Five-year/unlimited-kilometre

Honorable Mentions for a Cheap Hatchback in Australia in 2025

• Toyota Corolla

• Skoda Fabia

• GMW Ora

• MG 4

• Hyundai i30

• Skoda Scala Select

• Hyundai i20 N

• Volkswagen Golf

• Audi A1

• MINI Cooper C Core

FAQ: What is the Best Hatchback to Drive?

For the money, the Suzuki Swift, Mazda 2, Kia Picanto, BYD Dolphin and Mazda 3 each offer city-friendly handling and user-friendly proportions at an affordable price, while larger hatchbacks like the Hyundai i30 are impressive little performers when pushed.

If you’re willing to stretch your budget a little bit, the Hyundai i20 N is one of the most impressive hatchbacks on the road thanks to its potent turbocharged engine and a mechanical limited-slip differential.

FAQ: What is the Fastest Hatchback in Australia?

There are more than a few hatchbacks here in Australia designed with speed in mind. While they’re not the most affordable, they offer some of the most accessible thrills on the market; these include the following cars.

• Hyundai i20 N

• Mercedes-AMG A35

• Golf GTI and Golf R variants

• BMW M140i

• Toyota GR Yaris

• Audi RS3

• Mini Cooper John Cooper Works

• Hyundai i30 N

• Toyota GR Corolla

• Cupra Leon

• Ford Fiesta ST

• Abarth 695

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If you’re looking at your best options for an affordable hatchback, be sure to reach out to one of our car-buying experts who can help narrow down your shortlist and find the best possible price.