You aren’t faced with as many restrictions as you may think when you shop for a sedan under $40k. This is the starting point for some of the more affordable luxury sedans, while top-tier economy models and even a few sports sedans can be found. This means you get some of the best variety, but it also opens the door to middling options if you don’t choose wisely. To help you weave the line between value and economy, we have already ranked the best sedans under $40k in 2022.
With a much broader price range to work with, there are fewer commonalities between the various brands and models. However, focusing closer on the cost ceiling, there are a number of factors to look out for if you want to get the most bang for your buck. These include:
Performance: There are still plenty of four-door sedans in this segment that prioritize efficiency over lively acceleration or handling. However, there are some genuine performance powertrains, too, meaning you can find some of the fastest sedans for under $40k if you look. The entry-level luxury sedans have a strong showing here.
Comfort: Even non-premium cars closing in on $40k are going to be quite comfortable. Obviously, those tuned for performance will be a little rougher, but the majority have softer suspensions and at least synthetic leather upholstery. A fair number of comfort features come standard, too, especially on the upper trim levels of cheaper brands.
Practicality: When you’re spending this much money, you want a car that will be easy to live with on a daily basis. A spacious rear seat and sufficient trunk space for daily errands are essential. Many cheap, 4-door muscle cars like the Dodge Charger are remarkably practical, along with entry-level premium cruisers like the Genesis G70 or Chrysler 300.
Features: When you’re no longer paying the bare minimum, you should expect to find a better array of tech. Heated steering wheels and front seats with power adjustability, full smartphone integration, and a comprehensive safety suite are to be expected. Not every car at this price point comes with an official safety rating, so the latter is essential for peace of mind.
What to Consider Before Buying a Sedan Under $40k
When you're thinking of spending close to $40,000 on a new, there isn’t much room for mistakes. These are generally quite well-rounded cars but they are still not the best of the best. To make sure you maximize your gains and minimize any potential shortcomings, here are some general pros and cons of sedans around $40k:
Pros
Entry point to many top-end luxury brands
Growing number of PHEV and electric models
Practical, everyday commuters and executive sedans
Great performance options
Plenty of standard features
Cons
Naturally more expensive than average economy cars
Battle between comfort, performance, and practicality
Performance models are heavy on the gas
Tech-laden cars are prone to problems
FAQs
What’s the best sedan under $40k?
There are a lot of great options from several different categories at this price point in the USA. One that superbly combines a number of factors such as performance, technology, comfort, and value is the Genesis G70. Alternatively, the Volvo S60 is a reliable pick from midsize luxury sedans under $40k, though its PHEV model, which is even better, is outside the given price range.
What’s the best sports sedan under $40k?
If you are looking for great speed and handling, then the Kia Stinger is hard to beat. You won’t get access to the twin-turbo V6 unless you spend more, but the turbo-four is still plenty of fun and not nearly as thirsty. Regardless, the Stinger handles superbly and its interior is surprisingly upscale. The fact that it’s also practical is just icing on the cake if you plan to use it as a daily driver.
Are there any electric sedans for less than $40k?
Most manufacturers go the performance route when it comes to electric sedans. Just look at the Tesla Model S Plaid or Porsche Taycan. For buyers who want something a little tamer or more practical, there are actually some sub-$40k electric crossovers such as the Volkswagen ID.4, Hyundai Kona, or Tesla Model Y. We will likely see popular sedans like the Toyota Camry or Honda Civic get the electric treatment and earn a spot in the top sedans under $40k.